CNBC Business News Update - Market Open: Fresh Record Highs For Dow and S&P 500, Mortgage Rates Continue To Slide, Buy-Now-Pay-Later Leaps In Popularity
Episode Date: September 25, 2024The latest in business and financial news and how it impacts your wallet, as reported by CNBC's Peter Schacknow ...
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I'm Peter Schach, now CNBC.
Stocks have opened modestly higher, with both the Dow and S&P 500 touching record intraday highs in the early going.
The Nasdaq is still about 3% from its most recent record high, but is coming off its highest close since July 16th.
At the moment, the Dow Jones Industrial Average up 27 points at 42,235. The Nasdaq Composite is a tenth
of a percent higher, 18 points, while the S&P 500 also rising about a tenth of a percent,
about seven points. Joanne Feeney, Portfolio Manager at Advisors Capital Management,
says investors are focusing on the recent Fed interest rate cut, but cautions they may be
taking too narrow a view. Stay focused on the earnings potential.
And, you know, whether it's driven by innovation in something like AI,
whether it's driven in continued bills of new houses,
or the struggles the consumer faces and how that changes where they shop.
All of those things create opportunities for investors,
as opposed to just looking at the big macro picture, which is those interest rate cuts.
Mortgage applications jumped 11 percent
this past week, according to new figures from the Mortgage Bankers Association. That comes as
mortgage rates continue to fall, with the average 30-year loan down for the eighth straight week to
6.13 percent. Shares of KB Home are slumping about 6 percent. The home builder reported quarterly
profit of $2.04 per share, two cents shy of forecasts, although revenue was in line.
Holiday shoppers are expected to take full advantage of buy now, pay later services this year.
Data from Adobe Analytics is predicting $18.5 billion worth of buy now,
pay later spending during this year's holiday season.
That would be more than 11% from a year ago.
Peter Schach now, CNBC.
The vote. It'sach now, CNBC.