CNBC Business News Update - Market Midday: Stocks Rally, Jobless Claims Fall Easing Economic Fears, Boeing Has a New CEO 8/8/24

Episode Date: August 8, 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 stocks are rallying this afternoon on Wall Street. As a positive sign for the labor market came out this morning, fewer people than expected applied for unemployment benefits last week. That eased economic fears. The Dow soaring 567 points, up one and a half percent. The S&P 500 index up 100 points, almost 2%. And the Nasdaq is up 389 points. That's just about 2.5%. Listen, I think everything can be summed up with this, including the drama that happened on Monday. On average, the market has three 5% pullbacks and one 10% correction each year. So far this year, we've only had one 5% pullback. So I really expect going forward that we are going to see some more volatility.

Pivotal's Tiffany McGee on CNBC. Jobless claims came in better than expected. Continuing claims ticked a little higher again. This is the number of people who are, week after week, still collecting unemployment checks. It suggests it may be taking some people longer to find their next job. Continuing claims, pretty much spot on. 1,875,000 is exactly what economists and analysts expected. Sequentially, we're higher on the continuing claims. This now becomes the ninth, the ninth, nine consecutive

month over 1.8 million. We could see that that is what many are looking at. CNBC's Rick Santelli. Eli Lilly out with strong quarterly results today. Blowing past estimates, it's raised its forecast for diabetes and weight loss drugs, Manjaro and Zepbound. The shortage for the drugs is over, but these are injectables, and Lilly has a pill coming. We have a key project in our pipeline, which is the oral pill, GLP-1, which in our hands gives you about mid-teen weight loss, controls diabetes well.

The pill's still in testing, so we don't have the final clinical profile, but assuming it hits its marks, we'll need the injectables. Terzepatide will be more effective than Orforglupron. That's the chemical name of the pill because it's a dual acting, GIP, GLP versus just a GLP-1, which is what the pill does and what semaglutide is. So I think the market will segment and certain patients who need more weight loss, have more acute disease, will use more powerful medications, usually injectable, and that the pill could be for the

masses. Eli Lilly, CEO, David Ricks on CNBC. Other drug makers are also working on weight loss pills like Amgen, and its shares have hit recent all-time highs because of that. Boeing has a new CEO this morning, Kelly Ortberg, taking over the troubled plane and rocket maker from Dave Calhoun. Just as news breaks that the astronauts on the International Space Station, who got there for the first time on a Boeing rocket, may not be able to come back on it and might possibly have to catch a ride on a SpaceX flight. Disney's D23 Expo fan event starting today in Anaheim, California. Noah will issue an updated forecast for the Atlantic hurricane season today.

Jessica Ettinger, CNBC. I just love this game. So excited to share it with the world. The Olympics from Paris on NBC and Peacock.