CNBC Business News Update - Market Open: Stocks Higher, Ford Changes EV Strategy, Target Sales Higher For the First Time In A Year 8/21/24

Episode Date: August 21, 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 Ettinger, CNBC, Wall Street with gains this morning. The Dow up 100 points, quarter percent, the S&P 500 index up 11, and the Nasdaq is up 22 points. The S&P 500 index and the Nasdaq yesterday snapped eight-day winning streaks. Bespoke investment out with some data saying since 1971, all the way back in 1971 when NASDAQ data began, the index has hit eight straight days of gains, only 14 other times. It's only going to nine straight sessions of wins, only four other times. So kind of a rare rally that we saw taking a look at the NASDAQ year to date up over 18%. CNBC's Frank Holland. Ford will delay its new EV plant and cancel the three-row all-electric SUV it was

planning. The company is shifting its EV strategy as it tries to be more nimble about producing lower-cost EVs. It will be coming out with an all-electric commercial van with production starting in 2026. An electric truck will be coming in the second half of 2027. They're going to be dropping their plans to build an all-electric three-row SUV. The market's just not there right now. Bottom line is this, guys. They realize they have to lower costs and they are moving as quickly as possible. CNBC's Phil LeBeau. TJ Maxx and Marshall's parent TJX Company's out with strong quarterly results for sales, and it's raising its full-year guidance as shoppers love the hunt and the discounts.

The retailer's been taking market share from Target, Macy's, and others, and has become a haven for price-sensitive consumers. Target shares, meantime, popping on better-than-expected quarterly results, saying sales are up for the first time in a year, but it gave a cautious outlook for the rest of the year. We reduced prices on over 5,000 items. We continue to see an incredibly resilient consumer. Now, they've been facing the pressure of inflation and rising interest rates. They're continuing to look for value, but we've seen a pretty steady consumer environment.

I think part of it is we still have a very strong labor market. Target CEO Brian Cornell on CNBC. Macy's shares dropping on its results, which were mixed, and it cut its full year sales forecast. Homebuilder Toll Brothers raised its outlook for the rest of the year. Mortgage rates are falling. It's pointing to solid demand for newly built homes, and it thinks that'll continue into next year. Tesla recalling more than 9,000 Model X SUVs because the trim on the roof can separate. Friday night's Mega Millions jackpot. Now more than a half billion dollars. Nobody won last night, so the new prize is $527 million. Denny's today has pumpkin pecan pancakes back on menus. Jessica Ettinger, CNBC. The Investing Club. We're not about trading. We're about investing.

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