CNBC Business News Update - Market Open: Stocks Mixed, Nasdaq Pulls Back From 20K Record, Wholesale Inflation Higher Than Expected 12/12/24

Episode Date: December 12, 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 by CNBC's Jessica Ettinger.

I'm Jessica Edinger, CNBC. We have mixed markets this morning on Wall Street. Inflation at the wholesale level ticked higher in November. Bond yields ticking higher, but some investors are worried the Fed will pause its interest rate cuts when it meets next week. There could be some churn. The Dow up 29 points this morning, led higher by shares of Merck, which are up 2.5%. The S&P 500 index down 11 points. The Nasdaq down 81 points. Nvidia shares are down almost 2% this morning. The Nasdaq retreating from 20,000 after closing above that level yesterday for the very first time.

Some investors are bullish, but say the magnificent seven tech stocks have already run up and it might be time to look elsewhere. Well, in terms of the basket of the MAG7, I think there is still some upside to those companies, which I think is going to help the market continue to keep working its way higher. I just think that if you're trying to find the fastest race car here on the track, I'm not sure that you're going to get the best relative outperformance, technically speaking, from those names as you are going to get from more mid and small cap names. Piper Sandler's Craig Johnson on CNBC. Wholesale inflation popped last month in the producer price index for November. Year over year, not very good news here. 3% on headline year over year. That's a big jump. We're expecting 2.6. 3% you have to go all the way back to February of 23 to find a higher number.

CNBC's Rick Santelli. The number of people who applied for unemployment benefits last week hit a two-month high at 242,000, higher than expected, and signals a possibly cooling labor market. Time has named President-elect Trump Person of the Year. I do want to thank Time magazine. I've been on the cover many times. I don't know who has the record, but I can only probably talk well about 25% of the covers. But it's been an honor and every time it's an honor, I will tell you. And thank you very much for doing it. The president-elect speaking there at the New York Stock Exchange,

ringing the opening bell this morning as the markets are near all-time highs. His pick for Treasury Secretary Scott Bessent stood with him. We've gone up since the election. I was just told by Scott, everybody said, you have to pick Scott. Scott Bessent, he has to be the one chosen for treasury where is Scott let's see he's around here someplace he's around here he told me we picked up three trillion dollars since the election day and I said well that's good but what about before the election day he said we picked up some money there because they thought you were going to win I said

I like this guy he's going to be my treasury secretary. You can see the full remarks at CNBC.com. The banking industry says it's exploring all options to push back on a new rule capping overdraft fees. The new Consumer Financial Protection Bureau rule starts October 1st of next year. It drops the average overdraft fee from $35 for each occurrence to $5, saving consumers billions. Beverage company shares were ticking higher today. Coca-Cola, PepsiCo, Keurig, Dr. Pepper. After Deutsche Bank analysts said more people are heading to restaurants and impulse buying snacks. Heading into the new year, Tommy Bahama parent Oxford shares were lower on disappointing quarterly results.

We get quarterly results this afternoon from retail giant Costco. Jessica Ettinger, CNBC. Inside Wealth, an exclusive newsletter for a select audience. Inside family offices, how the wealthy become ultra wealthy. Robert Frank's high net worth perspective. Join the list at cnbc.com slash inside wealth.