CNBC Business News Update - Market Open: Stocks Higher, President Trump Floats Lower 80% China Tariffs, Bank Of America Says Consumers Are Still Spending 5/9/25

Episode Date: May 9, 2025

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 by CNBC's Jessica Ettinger.

I'm Jessica Ebinger, CNBC. Some trade deal optimism on Wall Street. President Trump suggesting a cut in the proposed tariffs on Chinese goods ahead of trade talks this weekend in Switzerland. The Dow is up 111 points, a third of a percent led higher by shares of Boeing up 1 percent. The S&P 500 index up 22 points. The Nasdaq in the green up 110 points this morning. Nvidia shares barely in the green. It is still a headline driven market, mostly on trade. Here's CNBC's Mike Santoli and Carl Quintanilla. On Wednesday the president was asked whether he would roll back some of those 145 tariffs on China. He said no. Today he says 80 seems right. Yes, tariffs on China. He said no. Today he says 80 seems right. Yes, reports maybe it gets below 60. I mean, I think it

really does sort of accentuate the somewhat absurd moment that the market finds itself in and trying to handicap these things. Meantime, the U.S. Treasury Secretary and Chinese counterparts are set to talk this weekend for the first time since President Trump proposed tariffs on Chinese goods as high as 145 percent. China is posturing ahead of the talks messaging about its dominance over rare earth metals that are important to U.S. industry.

The Commerce Ministry today said that it's going to have a crackdown on rare earth smuggling. This is coming as the social media account that is linked to CCTV and is followed for its commentary on U.S.-China trade has been mocking the U.S. and its rare earth shortages, suggesting that China will play the rare earth card in the U.S.-China discussions in Geneva. CNBC's Eunice Yoon in Beijing. The U.S. consumers holding up, according to the Bank of America consumer checkpoint for April, despite very low consumer sentiment numbers. Consumer momentum is continuing. It is continuing at a more moderate pace, but it is still moving forward.

And the other thing that we're seeing is for most households, their financial condition remains solid. Bank of America institutes Liz Everett-Crisberg on CNBC. They analyze data from about 60 million B of A credit card holders. But Americans are pulling back on travel. Expedia shares down 10 percent on weak quarterly results. The travel booking platform also issued a soft outlook. Ride Share Company Lyft shares are higher even with disappointing quarterly results

because it announced a stock buyback plan. Sweetgreen shares are lower. The salad chain lowered its full year outlook saying it's seeing a consumer pullback. U.S. crude oil back above $60 a barrel this morning as trade deal sentiment could mean the global economy might not slow as much as previously thought. 60 is about break even for big names like ExxonMobil and Chevron. Meantime, BP shares are higher. The British oil and gas company may be a takeover target after the Financial Times reported that Chevron, Shell and ExxonMobil have looked into buying it. Florists hoping to do a brisk business today ahead of Mother's Day on Sunday. New in theaters,

Lionsgate's Shadow Force, Briarcliff's Juliet and Romeo, and A24's Friendship. Jessica Edinger, CNBC.