CNBC Business News Update - Market Midday: Stocks Mixed, Boeing Machinists Still On Picket Lines, Fewer People Applied for Unemployment Benefits 10/24/24

Episode Date: October 24, 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 by CNBC's Jessica Ettinger.

I'm Jessica Evinger. CNBC split markets this afternoon. The Dow down 277 points, about a half a percent. It's being led lower by shares of IBM, down 6%. Honeywell down 4%. Verizon down 2.5%. The S&P 500 index has slipped into the red this afternoon after being higher earlier.'s down six points now the nasdaq is in the green up 53 points it's being helped by shares of tesla companies whose shares have hit fresh all-time highs today include t-mobile philip morris visor nasdaq con ed energy and southern company striking boeing machinists voted no on the company's latest contract offer, and they are walking picket lines today. This was an overwhelming rejection. Basically two-thirds of the machinists who voted, they said no. Late last night, this is what the president of the machinist union had to say about the vote. This wasn't enough for our members, especially when it's been 16 years since we've had a chance to bargain every area of our contract.

And trying to make all that up in one is very hard to do, but our members deserve more. They've spoken loudly. This is a costly strike. It's estimated to be costing Boeing at least $1 billion per month. Clearly, they're going to have to go back to the negotiating table. CNBC's Phil LeBeau. For airlines that need to replace old jets and or need to increase the number of seats they're offering, they're just looking at Airbus and other plane makers right now. Here's the CEO of American Airlines today on CNBC. For Boeing, it's just, I look forward to the day when they're not just a distraction. We've been struggling with them for, you know,

over the last five years. As we take a look forward, we're going to the day when they're not just a distraction. We've been struggling with them for, you know, over the last five years. As we take a look forward, we're going to make sure that we're protected. I'm quite confident that our deliveries next year, no matter Boeing coming in or not, that we can meet the capacity guides that we have. We don't depend a lot on the Boeing deliveries. American Airlines CEO Robert Isom on CNBC. Southwest Airlines CEO Bob Jordan will keep his job after the company and an activist investor have reached a deal to put new directors on the airline's board. Jordan is making moves to increase revenue at Southwest, including getting rid of open seating next year and charging more for certain seats on each plane.

IBM reported disappointing quarterly results last night after the closing bell. Its shares were lower. Tesla out with stronger than expected third quarter results. CEO Elon Musk was bullish on the earnings call last night. The profit beat came as Tesla benefits from environmental credits, not necessarily selling more cars at profit. The number of Americans who applied for unemployment benefits last week fell again, coming in well below expectations as the job market remains resilient. I'm not seeing the effects of this hurricane in the jobless claims. I think we expected them to be up.

It was because of that. There's a little pop, 4,000 in Florida. I don't see it in North Carolina. I don't know if the hurricane effect has passed through, is yet to come, but it seems to be gone. Very interesting as to whether or not and how much it shows up in the jobs numbers when we get them in November. CNBC's Steve Leisman. Halloween is one week from tonight. Multi-billion dollar industry. Jessica Ettinger, CNBC.

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