CNBC Business News Update - Market Midday: Stocks Lower, Losses Accelerate, Insurance Industry Watching Texas 7/7/25

Episode Date: July 7, 2025

From Wall Street to Main Street, the latest on the markets and what it means for your money. Updated regularly on weekdays, featuring CNBC expert analysis and sound from top business newsmakers. Anchored by CNBC's Jessica Ettinger.

I'm Jessica Edinger, CNBC, Wall Street, selling off this afternoon. President Trump sending trade letters to both Japan and South Korea, announcing 25 percent tariffs on goods coming into the U.S. from those countries. The Dow down 533 points, more than 1 percent. Sherwin-Williams shares, leading it lower. They're down more than 2 percent. The S&P 500 index down 60 points that's just about 1%. The NASDAQ down 207 points now that's more than 1%. Nvidia shares down 8 tenths of a percent this afternoon. Money in the bank built by the budget bill passing and the

decent jobs number and the market at a new high well we're gonna spend it down a little bit with some hawkish trade stuff. So that's where we are. I mean, I think the market was due to cool off almost no matter what. CNBC's Mike Santoli. President Trump confirmed tariffs are set to go into effect August 1st and not the day after tomorrow,

which was the original deadline. There's going to be some uncertainty this week regarding this tariff deadline. Yes. The president threatening some additional tariffs on BRICS, aligned nations of 10 percent. The Treasury secretary got into some of that talking trade with the gang on squawk. Take a listen. We are going to have several announcements in the next 48 hours, and what President Trump

is concerned about is the quality of the deals, not the quantity. Treasury Secretary Scott Besant on CNBC with CNBC's Carl Quintanilla. The insurance industry watching Texas as flash flooding has killed more than 80 people. The insurance journal reporting that the deadly floods are reinforcing Texas as a crisis epicenter. A flood watch has been extended into tonight. In 2024, Texas endured Hurricane Barrel, which knocked power out to millions, a windstorm that blew out Houston's skyscraper windows and numerous wildfires. It says insurers are struggling to keep pace with claims as Texas over the past 10 years accounts for about a third of all damage caused by

extreme weather in the U.S. When you have a three story wall of water coming at you in less than an hour it's very hard to keep everybody protected. So it's a terrible thing that's happened. The lesson from this is we can work on building resiliency so it's not a huge surprise that there are floods. America is true. The floods can happen anywhere. Straight line winds, hurricanes, tornadoes. We need to just make sure people are protected, which means improving resiliency. That's all state CEO Tom Wilson on CNBC. Tesla shares dropping in early trading after Elon Musk said over the weekend he's launching a new political party. Investors are worried that Musk will spend more time on politics and not running his companies.

Yeah, and he's leaving the door open to the possibility that maybe he would run for president himself in a post on X. He would not rule that out, though he said for right now his focus is on the House and the Senate ahead of the midterm elections, and that he really plans to focus on just a handful of House and Senate races where there are very thin margins that could be enough to serve as a deciding vote in these upcoming midterms. That's CNBC's Alice Barr in Washington.

Dr. Phil's TV network Merit Street quietly filed for bankruptcy ahead of the long holiday weekend. Universal's Dinosaurs won the Fourth of July weekend box office. Jurassic World Rebirth bringing in $147 million in ticket sales over the five-day period. Universal is a sister company to CNBC. Jessica Ettinger, CNBC. CNBC is the network for ambitious people.