CNBC Business News Update - Market Midday: Stocks Mixed, S&P 500 and Nasdaq Fall from Record Highs, Nvidia Down 2% 6/6/24

Episode Date: June 6, 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. Mixed and lackluster markets this afternoon. Investors are on hold for the May employment report, which will be out tomorrow morning from the Labor Department. The Dow up 23 points. The S&P 500 index down five points. The Nasdaq is now down 23 points. Companies whose shares have hit fresh all-time highs today include T-Mobile, TJ Maxx and Marshalls parent TJX companies, Costco, Walmart, Eli Lilly, Micron, and NVIDIA. NVIDIA shares pulling back a little this afternoon, but they're up about 10% since Monday. Shareholders as of tomorrow will participate in a 10 for 1 stock split designed to make shares more affordable. At $1,200 a piece right now, it's hard for people to pay that just to buy one share. We are seeing a true mania in NVIDIA.

I mean, take a look at the images that we're seeing on social media. The CEO is signing shirts. My friends are texting me about the stock. My mom is texting me about the stock. And there's a true mania out there, especially when you look at the stock market, the options market. People are piling into these crazy short-term bets tied to NVIDIA soaring ahead of its stock split tomorrow. The Wall Street Journal's Gunjan Banerjee on CNBC. NVIDIA shares will split after tomorrow's closing bell. The stock will begin trading on a split-adjusted basis on Monday morning.

If it happened right now, that means shares would be trading at about $121 apiece instead of more than $1,200 each. Just the price change due to the stock split will allow it to be more affordable for more retail investors. And so that would be the opportunity that we're recommending. When you see that uptrend, once the stock splits and more demand for the company comes in, then that would be an opportunity to possibly take some chips off the table and just take some profits with capital gains at the current rates.

Kadena and Company's Kalai Kadena Puaa on CNBC. Slightly more people than expected applied for unemployment benefits last week at 229,000, very close to the pre-pandemic weekly average of 225,000. And continuing claims still at a level that suggests people are finding their next job relatively quickly. On continuing claims, it remains under 1.8 million again, 1,792,000. It just amazes me how steady these are. CNBC's Rick Santelli. Americans Flight Attendant Union has rejected the airline's immediate 17% pay raise.

The flight attendants have been in extended contract talks and have been considering a very rare but possible strike. Jessica Ettinger, CNBC. Friday, a critical jobs report. but possible strike. Jessica Ettinger, CNBC.