CNBC Business News Update - Market Open: Stocks Mixed, Uber Q2 Net Loss, Reddit Shares Pop, Shopify Shares Plunge 5/8/24

Episode Date: May 8, 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 markets are mixed this morning on Wall Street. The Dow is in the green, up 61 points. It's coming off its longest winning streak since December and poised to build on that now. The S&P 500 index is unchanged. The Nasdaq, in the red, down 10 points. Uber with a net loss in the last quarter, even with higher revenue. The CEO tells CNBC the loss was because of investment losses. The business is fine. The biggest reason why we moved into a loss was that we've got significant equity stakes in certain companies like Didi and other companies out there. And we had to take a markdown of 700, over $700 million for those equity stakes. That has nothing to do with the operating business,

but we did have to mark down those equity stakes. Uber CEO Dara Khaswishari on CNBC. Reddit shares popping on strong first quarter results. Revenue jumped almost 50%. The online platforms raking in the advertising dollars. Our advertising customers are finding more and more success on Reddit. Really, at the end of the day, since Reddit represents everybody's interests and passions, that means every company's customers are probably on Reddit

somewhere. And so simply by making the product easier to use, making our ad tools better and better, we're able to kind of realize that connection. Reddit CEO Steve Huffman on CNBC. Dutch Brothers Coffee out with strong quarterly results. It's raising questions, though, over why Starbucks warned that consumers aren't spending as much on coffee. Dutch Brothers shares were soaring in early trading. Shopify shares plunging. After the Canadian e-commerce company said growth will slow over the next year, it reported strong results for its last quarter, though. Beer giant AB InBev posted higher revenue and profit in the first quarter as the anti-trans Bud Light boycott fades. AB InBev is the world's biggest brewer. It makes Budweiser, Corona and Stella Artois.

More people applied for mortgages last week as the rate on a 30-year fixed home loan dipped below 7.5%. Applications for a mortgage to buy were up 2% for the week, but still down 17% from the same week last year as this spring home selling season is on pace to be worse than last year. Summer travel demand in the U.S. could be softening from recent years. We're not seeing the incredible surge we did right out of COVID that's sort of starting to be exhausted. But we've seen the demand shift from places like Hawaii and Mexico to places like Japan and Europe. So you're still seeing really heavy demand for those parts of the world.

And I don't really see a sign of a lot of leisure travel ending. I think some of the destinations that got the most traveled, theme parks, national parks, Hawaii, they sort of got overdone. And so I think you're seeing a little bit of pullback there. The Point Sky's Clint Henderson on CNBC. The classic Swiss Army knife is losing the knife part. CNN says a new multi-tool will not have a blade in it, according to Switzerland-based Victorinox. The change comes

as more global locations no longer allow knives to be carried, with some exceptions for people who use them for work. Jessica Ettinger, CNBC. CNBC. Live ambitiously.