CNBC Business News Update - Market Midday: Stocks Mixed, Nasdaq Tops 17,000 for the First Time, Starbucks To Resume Union Negotiations 5/28/24

Episode Date: May 28, 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. The NASDAQ at a fresh intraday record high above 17,000 today on Nvidia shares jumping. We've got mixed markets though. The Dow is down 154 points this afternoon, four-tenths of a percent. It's below 39,000. The S&P 500 index up four points above 5,300. And that NASDAQ is up 94 points. That's a little more than a half percent.

This is one of the best years ever in terms of you have a down day. And then the next day does really well. Not surprisingly, it's like the best start ever after 100 days to an election year ever this week. I mean, all in all, just something to think about. The last week of May into about the first week of June, historically, is kind of a strong period. So in the near term, we think this upward bias is still here. Carson Group's Ryan Dietrich on CNBC. This week, investors are waiting for the latest on inflation.

The PCE comes on Friday morning. That's the personal income and expenditures report. Airlines getting back on track today or trying to after ground stops at New York airports and several others yesterday that set the schedule back because of severe weather, the violent tornado outbreak of the past week continues today. Warnings in parts of Texas where more than a half million people are without power. Tesla shareholders being urged to reject Elon Musk's pay package. Proxy advisory firm Glass Lewis says the compensation, which was recently valued at $46 billion, could dilute their existing holdings and test line would

concentrate Musk's ownership. Musk's pay was originally approved by shareholders in 2018, but was struck down by a Delaware court in January. Shareholders will vote on a re-proposed package on June 13th. CNBC's Silvana Hanau. Starbucks set to resume union negotiations. The company is confronting issues at its stores. T-Mobile will buy most of U.S. Cellular in a $4.4 billion deal, saying it'll increase coverage in rural areas. The deal is not expected to close until the middle of next year.

The economy's been firing on all cylinders except for the housing market. And while mortgage rates have ticked a little lower, they're just not low enough to get people to put their current homes on the market and buy a new one. The last few weeks we've seen the 30-year dip down is a good sign. The challenge really has been this sort of artificial constraint on inventory because so many sellers have locked in a 2% and 3% rate, and they've been unwilling to let go of that, which makes sense. And so I don't see anytime soon inventory becoming, you know, flush where we need it to be.

Brown Harris Stevens, best freedman on CNBC. Hollywood coming off its worst Memorial Day holiday weekend box office in nearly three decades, not counting COVID-2020 when theaters were just shut down. Warner Brothers' Furiosa, a Mad Max saga brought in just $32 million over four days. I mean, this is a disaster. If you count for inflation, you've got to go all the way back to the early 80s with a Richard Pryor movie. That's how long it's been since a movie grossed this little and topped the box office. The entire industry thought Furiosa was going to be a hit. It cost $170

million to make. They did a full freight marketing campaign. They just rejected it outright. Pucks Matt Bellany on CNBC. The scripts spelling B begins today in Washington, D.C. The finals Thursday night on ION TV. Jessica Ettinger, CNBC.