CNBC Business News Update - Market Open: Stocks Higher, S&P 500 Index And Nasdaq Hit Fresh Record Highs, Inflation Is Going Up 6/27/25

Episode Date: June 27, 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 Edinger CNBC. The S&P 500 index rises to a record at the open this morning, overcoming tariff and geopolitical fears. China has confirmed a trade deal with the U.S. offsetting for investors. The fact that inflation went up in May. The Dow is up 167 points, four tenths of a percent. It's being led higher by shares of Nike, which are up 14 percent this morning. The S&P 500 index up 16 points. The Nasdaq up 66 points. Infidea shares are up more than 1 percent today, pushing toward new highs with Microsoft as well. Inflation is going in the wrong direction, going up in May, revised up for April too as Americans face higher prices. The inflation data, 2.7, that's the core year over year, hotter than expected. And in the rear view mirror, there was an upgrade. So there is a stickiness here.

CNBC's Rick Santelli. And it's just starting, says Morgan Stanley's Seth Carpenter on CNBC. Most of what's going on with inflation for this print, for the last CPI print, is mostly a pre-tariff story. We still think there's plenty to come in terms of inflation from tariffs. With inflation going up, Carpenter adds the Fed

may continue to hold off from cutting interest rates. We've just lived through a few years of higher than normal inflation, and I'm not sure consumers, businesses are just going to go back to business as normal if we see another pickup. And that caution is what I think the Fed is trying to express, at least Jay Powell. Consumers pulled back their spending last month, slowing for the first time since January as Americans tightened their wallets. The Commerce Department says spending especially pulled back at restaurants

and hotels. Nike shares, as I mentioned, are surging. They're up more than 10 percent after saying the worst may be behind the company. Nike's trying a turnaround. It's trying to make fewer products in China. It also says it will have to raise prices. Disney confirmed a Lilo and Stitch 2 movie is in development after its live-action remake broke box office records. Duncan Hines' parent ConAgra Brands says it's phasing out artificial colors. ConAgra also makes Slim Jim's Marie Callender's Healthy Choice and Bird's Eye frozen foods.

Kraft Hines and General Mills also made similar pledges earlier this month. Many of ConAgra's products already make a point of using natural dyes on a jar of Vlasik kosher pickle spears. ConAgra notes they're colored with turmeric, not the synthetic yellow number five. It's a tough time in the job market for young college graduates. Unemployment among young college grads is outpacing the overall U.S. jobless rate. The hardest job market for that age group in more than a decade. The rise in unemployment has worried many economists as well as officials at the Federal Reserve

because it could be an early sign of trouble for the economy. New in theaters this weekend, Universal's Megan 2.0, Universal's a sister company to CNBC, and Apple's highly anticipated Formula One film F1 starring Brad Pitt. Jessica Edinger, CNBC. CNBC is the network for ambitious people.