CNBC Business News Update - Market Open: Stocks Lower, September Trading Can Be Volatile, Costco Membership Costs More 9/3/24

Episode Date: September 3, 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 Edinger, CNBC, Wall Street, giving back some of Friday's gains on this first day of September trading. August was a winning month. The Dow's pulling back from Friday's record high. It's down 171 points, almost a half percent. The S&P 500 index down 39 points. That's almost three quarters of a percent, still above 5,600. The Nasdaq down 204 points this morning. That's down a little more than one percent. I'm buying and I think you want to be adding to stocks on weakness if we get it and today we're getting it a little bit. September should be likely a little bit volatile and I think you want to use that weakness to be adding.

High Towers Stephanie Link on CNBC. And here's how one CNBC markets expert is sizing up this month for investors. September is traditionally a rough month for stocks. August was strong, but the markets in September are likely to be rather complicated. But the good news may be outweighing the bad news. The market broadening trend we saw in August is very real. Earnings have been really strong. Inflation is waning. The July core PCE, that's the Fed's preferred gauge of

inflation, dropped to two and a half percent. Finally, this may be the best indicator of all. Fed rate cuts are expected. CNBC's Bob Pisani. Investors looking for earnings this week from Dick's Sporting Goods, Dollar Tree and Broadcom, plus the big August jobs report that comes out Friday morning. United States steel shares were lower after Vice President Kamala Harris says she opposed the planned sale of U.S. steel to Japan's Nippon Steel. Watching shares of Southwest Airlines today, the airline is poised to make a lot of changes to bring in more money, like replacing open seating with assigned seats and more. But activist investors are still taking aim. Reuters is reporting Elliott Investment Management now holds a 10 percent stake in the company, crossing a key threshold that allows the activist investor to call a special meeting should it choose to do so. Now, Elliott is pushing for

the removal of CEO Robert Jordan and Executive Chairman Gary Kelly, as well as the nomination of 10 new board members. CNBC's Silvana Hanau. Weight loss drugs like Ozempic and Wagovi cut COVID-19 deaths, according to research found in a new study published in the Journal of the American College of Cardiology. Costco memberships cost more this morning. Gold Star members paying $5 more at $65 a year. Executive membership, $10 more at $130 a year. Clark.com says the beloved hot dog and soda combo is still $1.50.

A new season is on for retail, leading up to the all-important holiday shopping season. We are definitely seeing a more cautious consumer that's been more hesitant in their spending. And the way you get them to spend is either by offering value or offering innovation. Telsey Advisory Group's Dana Telsey tells CNBC some of the retail companies that investors should be watching. The off prices like TJX, Burlington and Ross. I'm looking at the Abercrombies and Birkenstocks to continue to perform well. Very company specific. Everyone's inventory levels are being managed very carefully, but it's value and innovation that could be the themes of holiday

2024. Meantime, Amazon has announced it's planning another Prime Day sales event in the traditionally slow month of October to try to pull some holiday sales forward away from the discounters. Disney, Marvel's Deadpool and Wolverine took the top spot of a quiet Labor Day holiday weekend box office. Jessica Ettinger, CNBC. CNBC kicks off its first ever official NFL team valuations with sports business expert Michael Ozanian. Team values and team finances are not public information. Exclusive NFL team valuations, September 5th, CNBC.