CNBC Business News Update - Markets Midday: Dow Rallies In Otherwise Down Market, Econ Stats Exacerbate Downturn Worries, Nvidia Falls Despite Upbeat Earnings

Episode Date: February 27, 2025

The latest in business, financial, and market news and how it impacts your money, reported by CNBC's Peter Schacknow

I'm Peter Schack, now CNBC. It's a mostly lower day for stocks, although the Dow Jones Industrial Average is proving to be the exception, the Dow gaining 185 points to 43,618, but the S&P 500 shedding 18 points or three-tenths of 1% and the Nasdaq nine-tenths of a percent lower or 171 points. A handful of economic numbers are exacerbating worries about a

slowing economy and the market is also reacting to the White House announcement that tariffs on Mexico and Canada will go ahead as planned on March 4th. Alexandra Wilson-Elizondo, chief investment officer of the multi-asset solutions unit at Goldman Sachs, says the enthusiasm from January has clearly faded. You had very high valuations, You had a lot of momentum in terms of sentiment, in particular in January. So you had, you know, meme stocks, something that looked like what was happening back in 2021. And so from our perspective, there's room for this to continue to go down.

But we do ultimately see that the market is going to come up in line with growth expectations, in line with a consumer which is showing anxiety but ultimately has a lot of dry powder. Among today's economic numbers, initial jobless claims rose by a greater than expected 22,000 last week to 242,000. Pending home sales, a measure of home sale contracts signed but not yet closed fell 4.6% last month compared to expectations of a 1 percent drop. Durable goods orders rose 3.1 percent in January,

but that was entirely accounted for by the transportation sector. Market Bellwether NVIDIA sliding 4 percent, despite a better than expected performance in its widely anticipated quarterly earnings report. Peter Schacht now now CNBC.