CNBC Business News Update - Market Open: Stocks Mixed, Bronfman Bid For Paramount Global, Lowe's Cuts Outlook 8/20/24

Episode Date: August 20, 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. Mixed markets now in morning trading on Wall Street. The S&P 500 index and the Nasdaq will try for a very rare ninth straight winning day today. Each are on their longest winning streaks since last year. It's the Dow that's in the red this morning, down 46 points, being dragged lower by shares of Boeing, which are down two and a half percent. The S&P 500 index now in the green up five points. The Nasdaq in the green up 14 points. You have seasonal headwinds. August, September, we're down the last three August and September consistently. It's the roughest patch for the market. September, the most volatile month. So if people think that, oh, we've had this nice wind streak, it's all clear. No, there's going to be a lot of chop in the next few weeks.

Freedom Capital's Jay Woods on CNBC. No big economic data this week, but next week we will get another read on inflation. Gold at another record high above $2,541 an ounce. For the first time, a standard gold bar with about 400 ounces of gold in it is worth more than $1 million. Edgar Bronfman submitting a more than $4 billion rival bid for Paramount Global. The company already has a deal with Skydance, but some shareholders are unhappy with that Skydance plan. Interesting approach here from the Bronfman-led group in terms of saying they think the Skydance deal on its own, in other words, the purchase of the Skydance studio, would be dilutive,

and they are trying to make a benefit, so to speak, of the fact that they aren't offering any liquidity for the B shares. It's far from clear to me, guys, that the special committee will see it that way. CNBC's David Faber. Lowe's cutting its full-year outlook as the home selling season is slow. It sees home improvement sales weakening this fall. The average rate on a 30-year fixed home loan today is about 6.5%, according to Mortgage News Daily. That's still not low enough for many would-be buyers who have to face record high home prices. Eli Lilly's weight loss drug slashes the risk of developing diabetes in a long-term trial.

Terzepatide is used in both Zepbound for weight loss and Manjaro for diabetes. The proposed merger of Alaska and Hawaiian Airlines, approved by the Department of Justice. Now the Department of Transportation is taking a look. Boeing has paused all tests of its new 777X jet. Boeing says it has paused test flights of its 777X planes after it found damage in a portion of the aircraft. The company says the damage was located during scheduled maintenance and that it has grounded three other test planes. Meanwhile, Reuters reporting that the FAA will require inspections of Boeing's 787 Dreamliners. This after an incident in March

when a LATAM Airlines plane went into a sudden midair dive. Reuters says the agency says the issue stemmed from a movement in the captain's chair that caused the autopilot to disconnect. CNBC's Silvana Hanau. Paramount Plus raises prices today for new subscribers to the streaming service. Eight bucks a month for the regular plan and the plan with Showtime goes up to $13 a month. Jessica Ettinger, CNBC. September 10th, CNBC and Boardroom host a high-powered event C-N-B-C.