CNBC Business News Update - Markets Midday: Stocks Rally, Walmart Ups Outlook, Gatorade Bar Controversy

Episode Date: August 15, 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 Peter Schacknow

I'm Peter Schach, now CNBC. Stocks are continuing their recovery with another rally that has lifted the S&P 500 back into positive territory for August. The Dow is up 455 points at 40,463. The S&P 500 rallying 1.4 percent, or about 76 points. And the 361-point gain for the Nasdaq amounts to a 2.1 percent jump. An upbeat earnings report from Walmart before the open helped lift the market's mood. Edward Jones Senior Investment Strategist Mona Mahajan says Walmart's numbers provide evidence that the consumer may not be weakening as many had thought.

It does seem to align with the broader narrative of a soft landing and a consumer that may be cooling, but certainly not collapsing. In particular, I think the call out that this quarter has not really shifted in any notable trends, meaning the consumer has not seen a notable leg lower at the start of this quarter, that is a positive sign as well. So thus far, it does seem to confirm a soft landing narrative, which is great. Walmart shares are up 6.6 percent today. Also helping Wall Street sentiment, a better-than-expected 1 percent jump in retail sales for July and lower-than-expected initial jobless claims for last week, falling by 7,000 to 227,000. Ulta Beauty shares are surging 11 percent today, after Warren Buffett's Berkshire Hathaway revealed a stake in the cosmetics company.

And a judge says PepsiCo can be sued for health claims made about its Gatorade protein bars. A proposed class action suit calls the bars fortified junk food. PepsiCo has not yet commented on the case. Peter Schach now, CNBC. September 10th, CNBC and Boardroom host a high-powered event exploring the intersection of sports, business, and entertainment. Be there for Game Plan. Get in on the action.

Get in on the Game Plan. Register now at cnbcevents.com slash gameplan.