CNBC Business News Update - Market Open: Stocks Higher, Rate Cut Rally Continues, Goldman Sachs Strong Results, 1st Class Stamp Now 73 Cents 7/15/24

Episode Date: July 15, 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 is in the green this morning as the failed assassination attempt on former President Trump dominates the headlines. The Dow is up 240 points, a half a percent, comfortably above 40,000. The S&P 500 index up 29 points, a half percent, and the Nasdaq up 125 points. That's more than one half of one percent. Apple and UnitedHealth shares up out of the gate, leading the Dow higher. Some traders believe the headlines will boost the short-term Trump trade if the former president is elected this fall. Some investors expect inflation to go up because Trump wants tariffs on imports and the deficit would grow as spending on defense would be higher than under Biden. But a Biden trade or a Trump trade isn't that simple and doesn't work for investors,

really, says one policy expert. Congress is as important or more important than the president in setting policy. So all this business about Trump baskets and Biden baskets alone doesn't really cut it. In a split Congress, what you're going to have is an increase in defense almost no matter what happens, but I think it'll be a little more pronounced on Trump's side. Unless there is one-party Republican control in Washington, top to bottom, what you're going to have is a situation

where the tax cuts in 2025 expire, and investors can play that as well. Pangea Policy Advisors Terry Haynes on CNBC. In focus for investors this week, retail sales numbers, data on import prices and housing. Fed Chair Jay Powell is speaking today. Goldman Sachs out with strong quarterly results today, beating estimates on better than expected fixed income trading. Burberry shares are struggling. The designer brand falling out of favor. The 168-year-old British luxury giant also suspended its dividend. Shares of Burberry are plunging in London after a disappointing first quarter performance.

Comp store sales for the luxury retailer fell 21% in the quarter that ended in late June. It warned that if the current trend persists, it will report an operating loss for the first half of this fiscal year. CEO Jonathan Aykroyd is stepping down effective immediately, and the board named Joshua Shulman as its new CEO. Shulman previously ran Michael Kors and Coach. CNBC's Becky Quick. Watch Macy's shares today. The retailer has ended buyout talks with Ark House and Brigade after months of negotiations. The cost of a stamp went up yesterday by another five cents,

bringing the price to mail a first class letter up to 73 cents. It's the second increase this year for the postal service. Amazon.com has a banner on the front page today reminding shoppers Prime Day sale starts tomorrow. There doesn't appear to be any pre-sale or early deals today. Universal's Despicable Me 4, number one at the weekend box office for a second week. Universal is a sister company to CNBC. Indie company Neon, its horror film Long Legs, was a surprise in second place.

Disney Pixar's Inside Out 2 was third and is now the company's biggest movie ever, making more than $1.25 billion at the global box office. Jessica Ettinger, CNBC. I think track and field is really special and unique in that you get out exactly what you put into it. When I am in the blocks, it's a really intense time and then I just feel like I'm flying. The Olympics from Paris starts July 26th on NBC and Peacock.