CNBC Business News Update - Market Open: Stocks Plunge, US Economic Growth Shrinks In First Quarter, Disappointing US Job Creation In April 4/30/25

Episode Date: April 30, 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. The economy turns and stocks are plunging on Wall Street. The Dow down 700 points, more than one and a half percent. Amazon shares leading the Dow lower. They're down more than four percent. The S&P 500 index down 113 points this morning. That's more than two percent. And the NASDAQ down 450 points, that's 2.5

percent. Shares of Nvidia are down 3.5 percent this morning. We've had a series of shocks to the system that involve tariffs. And I think if you remember every one of the people in the cabinet, the president said, look, we're in for a hard time. Hard time. CNBC Mad Money host Jim Cramer. GDP fell three tenths of a percent in the first quarter

as President Trump's policies brought uncertainty, which is weighing on business and consumers. The first negative read for GDP in three years. One definition of a recession would be two negative quarters in a row. ADP says far fewer people were hired in the private sector in April than expected. Economists were looking for 120,000 new jobs. ADP payroll data show only 62,000 new jobs were created.

We get the government's big April employment report Friday morning that will include government hiring. President Trump's first 100 days in economics with CNBC senior economics reporter Steve Leesman. What numbers we will include government hiring. President Trump's first 100 days in economics with CNBC senior economics reporter Steve Leesman. What numbers we have from the first 100 days are dismal with historic drops in consumer sentiment and downgrades to the economic forecast. Among the starkest numbers,

CNBC finds the plunging consumer expectations is the third sharpest three month decline in the 50 year history of the conference board. Weak actual consumers spending the past two months, but at the same time, jobless companies have remained low. Oil is down. It looks like any turnaround though is going to need a major assist from a change in tariff policy. The chief of staff for Vice President Mike Pence in President Trump's first term has a take on how President Trump may move on from the tariff agenda that's spooked investors.

India is where the administration is looking to go first. I think you'll probably see basically a Pyrrhic victory with one country or two country that they claim establishes a larger resetting of the trade agenda and pivoting back to relenting a little bit on this trade war. Board chair at conservative, Advancing American Freedoms, Mark Short on CNBC. Starbucks says its turnaround is on track, even though sales dropped again in the last quarter. The coffee chain reported disappointing quarterly results

last night after the closing bell. Yum! brands out with disappointing results, too, after Pizza Hut's same-store sales fell 2%. Walmart will not break out the cost of the Trump tariffs on the screen at checkout for consumers to see, nor on its receipts to show how much they're impacting the price of an item. Walmart joining Amazon that said yesterday

it will not itemize the additional cost for consumers. Chinese e-tailers like Shien and Taimu are breaking out those costs for shoppers. Fewer home buyers applied for mortgages again last week Chinese e-tailers like Shiyin and Taimu are breaking out those costs for shoppers. Fewer home buyers applied for mortgages again last week as uncertainty slams the spring housing market. Even with mortgage rates below where they were a year ago, buyers are still hitting pause.

The average rate on a 30-year fixed home loan, 6.8 percent today, according to Mortgage News Daily. Meantime, home sellers, they're realizing if they want to sell, they're going to have to lower their prices. Price drops right now. 36% of homes on the market have a price drop. That's more than any April in the last 12 years. It reflects that when there's more inventory,

buyers have more negotiability relative to sellers. Compass CEO Robert Refkin on CNBC. I'm Jessica Ettinger, CNBC. to sellers.