CNBC Business News Update - Market Midday: Stocks Mixed, Inflation Cooled in June, Mortgage Rates Drop 7/11/24

Episode Date: July 11, 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 Edinger, CNBC. Inflation cooled again down in June from May, helping the case for lower interest rates. But stocks are mixed in afternoon trading on Wall Street. The Dow is in the green, up 47 points. The S&P 500 index pulling back, down 44 points from the record high it opened with. It's down eight-tenths of a percent. The Nasdaq plunging 310 points down one and a half percent, also down from the record high it opened with. The S&P 500 is down, but 400 of the stocks are up. So the stocks that really matter to the index itself are not up today, but you're definitely seeing a redistribution. You're seeing money come out of some of the stocks that have gotten us here and held us up here and rotating. Red Holtz-Welts, Josh Brown on CNBC. Mortgage rates are dramatically lower after the inflation

number. The rate today on a 30-year fixed home loan, 6.85 percent, down from a little more than seven. That's a big drop for one day, and that's according to Mortgage News Daily. The CPI, Consumer Price Index, at its lowest level in more than three years. Let's look at year over year. 3%, 3%. To find a smaller number, you're going to March of 21, when it was 2.6. CNBC's Rick Santelli. PepsiCo earnings beat quarterly estimates,

but U.S. demand weakened for beverages and its Quaker Foods and Frito-Lay products as consumers pushed back on those high prices. PepsiCo, I think that they raised price too much and the consumer is balking at the price of potato chips. Pepsi volume down 3.5, Frito volume down 4. But they made it up. They made it all up in price. I've got to tell you, I think they may be out of value. I think they literally have to kind of make it so that they do cut price a little bit. CNBC Mad Money host Jim Cramer and CNBC's Carl Quintanilla.

Delta shares were struggling after the airline's outlook fell short of estimates, even with super strong travel demand for the summer. The CEO tells CNBC those low airfares this summer, a result of too many airline seats for the number of flyers, well those fares won't likely be around this fall. The industry brought more capacity for this summer between June and August. You see the discounters particularly discounting heavily, but the industry is already correcting for the oversupply so that by the end of August, we expect in September our domestic unit revenues are going to be back inflecting positive once again. Delta CEO Ed

Bastian on CNBC. Virginia is America's top state for business 2024, dethroning North Carolina. Virginia, America's top education system. School spending still lags, but classes are small and higher ed is first rate. America's third best infrastructure. The power grid has issues, but Virginia finishes in the top five for business friendliness, but not friendly enough to land the Washington wizards and capitals across the Potomac. It's easier and better to do business in Washington, D.C. than it is to do in Virginia. Virginia has America's ninth best workforce overall, but a problem there too. Too many workers moving out, not enough moving in. Virginia has a population migration problem.

The data is irrefutable. Still, Virginia is tops this year. That's CNBC's Scott Cohen. The full report, and you can see how your state did, at CNBC.com. Jessica Ettinger, CNBC. When you're at your very top speed, it feels like you can run forever. And then there's this one moment where everybody else starts to die, and you're like, I'm not about to die.

I'm about to get faster. The Olympics from Paris starts July 26th on NBC and Peacock.