CNBC Business News Update - Market Midday: Stocks Lower, Salesforce Falls 20%, Kohl's Down 24% 5/30/24

Episode Date: May 30, 2024

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 and reported by CNBC's Jessica Ettinger.

I'm Jessica Ettinger, CNBC. Stocks falling this afternoon on Salesforce with disappointing quarterly results. And investors are also bracing for some new inflation data that will be out in the morning. The Dow extending its losses down 344 points, nine-tenths of a percent. The S&P 500 index now down 19 points. That's off its earlier low. That's three-tenths of a percent. The NASDAQ is down 92 points.

It's about a half a percent this afternoon. As of the noon hour Eastern time, Salesforce shares tanking 20 percent, leading the Dow lower. I think this is an oversold knee-jerk reaction on Salesforce. But I see this more as a speed bump versus hitting a wall. So this is also a very common tail end of earnings season as we focus more and more on macro and economic and we have less large companies and catalysts. You do sometimes face some of this selling pressure. G squared's Victoria Green on CNBC. But there are some companies whose shares have hit all-time highs today, and they include T-Mobile, Decker's Outdoor, Costco, DaVita, and NVIDIA again at a record high. Bond yields were

cooling after the GDP number revised for the first quarter. U.S. economic growth came in at its lightest in two years. Second time around the block on the first quarter numbers expected to be up 1.3 and it is up exactly 1.3. Comps to the second quarter of 22. Last time we were at these levels of GDP activity. CNBC's Rick Santelli. And inside the GDP report today, an inflation surprise. The little bit of inflation improvement incrementally better than it was. Nice to see a downside surprise in that number.

CNBC senior economics reporter Steve Leisman. Investors are waiting for a bigger inflation report coming tomorrow morning with the PCE, personal consumption expenditures data. Coal's shares were tanking on disappointing quarterly results. Footlocker stocks surging. The turnaround there showing some signs of life. U.S. crude oil down more than 3% for the month. So far, the worst performance for oil of the year, but it's good news for drivers as prices at the pump keep ticking down. Cruise lines, the latest industry to turn to discounting after retailers like Target and Walmart said they're lowering prices. Joining Wendy's and McDonald's offering lower price value items next month.

It's all about the consumer. Tesla facing another investigation about issues with Tesla vehicles. U.S. safety regulators seeking records from Tesla as part of an investigation into reports of power steering loss in Model 3 and Model Y vehicles. The National Highway Traffic Safety Administration says it wants the information from Tesla by July 24th and the probe covers about 334,000 vehicles and comes after the agency received more than 100 reports about the loss of steering control. CNBC's Silvana Hanau. Tomorrow night's Mega Millions jackpot now more than a half billion at $522 million. Jessica Ettinger, CNBC. I just love this game. So excited to share it with the world.

The Olympics from Paris starts July 26th on NBC and Peacock.