CNBC Business News Update - Market Open: Stocks Lower, President Trump Holds Phone Call With China's President, Jobless Claims Pop 6/5/25

Episode Date: June 5, 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 President Trump and China's president spoke on the phone. The Dow is down 58 points being led lower by Procter and Gamble, which is down one and a half percent this morning. The S&P 500 index down five points. The NASDAQ down five points. Chinese state media reporting that China's president Xi Jinping held a phone call with President Trump today. China is short shipping. It's a term they use.

The rare earth magnets, the metals, and it's starting to close our factories. They're not doing it, by the way, to Germans or the Japanese are targeting us. This is obviously very important because these affect not just EVs but motors, speakers, sensors. So I think that maybe push is coming to shove here. Maybe we're finally realizing that we have some courts. We don't have all the courts. No. And then on the other side, and this is other reporting, apparently frustration on the Chinese is something we talk about all the time, which is the continued inability to access chips that are made by the likes of Nvidia.

CNBC's David Faber and Mad Money host Jim Cramer. There was some alarm today over the U.S. job market. The number of Americans who filed for unemployment benefits last week hit its highest in eight months. On initial jobless claims up, up up up to 247,000. That's CNBC's Rick Santelli. The government's big May jobs report will be out tomorrow morning.

Some economists aren't worried about jobs at all. Wells Fargo forecasting job creation for May at 125,000. Well, I feel comfortable at 125 at this point. Maybe the risk are skewed a little bit to the downside on that, but you know, I don comfortable at 125 at this point. Maybe the risk are skewed a little

bit to the downside on that. But, you know, I don't think we're going to be seeing the labor market just falling apart. We're not seeing that in terms of like the initial jobless claims moving up, but not spiking. And the anecdotes that we've seen again from the Fed and the beige book is when believe think that the labor market is falling apart at this point. Wells Fargo chief economist Jay Bryson on CNBC. Elon Musk doubling down with his attacks on the Republican Party's big beautiful budget bill that increases the U.S. deficit. He's calling for lawmakers to kill the bill. Inflation data questions from some economists. The Wall Street Journal says there are some who are worried about

the Department of Labor Statistics ability to conduct its massive surveys and get a true read of inflation. They say staffing shortages because of Doge is resulting in fewer price checks and less reliable data. AMC theaters will show commercials ahead of movies along with the trailers for future films. Pre-movie advertising is part of a new deal with national cinema media, according to The Hollywood Reporter. The new Nintendo Switch 2 video gaming console is out. Long lines to buy it today.

It retails for about $500. It's similar to the old one, but has a bigger screen, better graphics, and a new version of Mario Kart World. Five below shares were higher on better than expected quarterly results. Same store sales, they rose more than 7%. You can see shares are up just about 5.5%. The Philadelphia based discount retailer also guided in a second quarter revenue

above estimates. Five below's new CEO saying a renewed focus on value is working and shoppers are keeping a tight budget. CNBC's Frank Holland. Jessica Ettinger, CNBC. Jobs report numbers and analysis. Squawk Box, Friday, 830 a.m. Eastern, CNBC.