5 things to know before the stock market opens on Tuesday, May 14
Here are the most important news investors need to start their trading day:
1. End a series of matches
The Dow Jones Industrial Average reported a loss for the first time in nine days. The Dow fell 81.33 points, or 0.21%, while the index S&P 500 slight decrease of 0.02% and Nasdaq composite add 0.29%. Traders are grappling with inflation expectations ahead of two key reports this week: the producer price index on Tuesday and the consumer price index on Wednesday. Economists polled by Dow Jones estimated the PPI rose 0.3% month over month. According to Live market updates.
2. Meme stocks are booming again
Keith Gill, known on Reddit by the pseudonym DeepFuckingValue and the name Roaring Kitty, is seen on a youtube video displayed on a smartphone screen in front of the GameStop logo.
Pavlo Gonchar | Missile | beautiful images
Started with an article, why was it posted like this? Share GameStop surge after “Roaring Kitty,” aka Keith Gill, the retail trader who fueled the GameStop craze in 2021, posted on X for the first time in three years. GameStop shares soared 74.4% on Monday after rising as much as 110% and being halted multiple times due to volatility. AMCother meme stocks, also increased by 78.4%. And the benefits may not stop there. GameStop and AMC jumped more than 50% in premarket trading on Tuesday. Meanwhile, short sellers lose money According to data firm S3 Partners, there was an estimated $838 million in GameStop Monday.
3. Inflation outlook
A customer moves through the checkout lane with his groceries at a Costco Wholesale store on April 3, 2024 in Colchester, Vermont.
Robert Nickelsberg | beautiful images
Consumers expect prices to continue to increase in both the short and long term. That outlook is fueled by higher levels inflationary home prices along with fuel and energy, according to a New York Federal Reserve survey released Monday. Respondents to the central bank’s survey also expressed little confidence that the Fed will reach its 2% target anytime soon. The results reflect those of University of Michigan Sentiment Survey released last week, indicating a decline in consumer sentiment.
4. Home Depot’s dilemma
A customer support employee at The Home Depot store on February 20, 2024 in Austin, Texas.
Brandon Bell | beautiful images
Home Depot posted first quarter earnings beat Wall Street expectations and revenue missed estimates on Tuesday. Shoppers are delaying big projects like bathroom and kitchen remodels because interest rates remain high. Chief Financial Officer Richard McPhail told CNBC that the company expects that waiting trend to continue. Home Depot reaffirmed its full-year guidance and said it expects total sales to increase about 1% in fiscal 2024, up a week from the previous year. But it said comparable sales, which strip out the impact of store openings and closings, are expected to decline about 1%, excluding that additional week.
5. Troublemaker 50
In this illustration, the OpenAI logo is displayed on a mobile phone screen.
Idree Abbas | SOPA Images | Missile | beautiful images
CNBC launched its 12th annual show CNBC 50 disruptor list, which stands out Private company is pursuing some of the market’s biggest opportunities and is growing despite a difficult capital markets environment. But this year, for the first time, one company repeated at number 1: OpenAI. Artificial intelligence companies are on the list, and the company’s constant pace of innovation has established tech giants rushing to catch up. Underscoring that point, on Monday OpenAI launched one new AI model and a desktop version of ChatGPT, as well as an updated user interface, their latest effort to expand the use of their popular chatbot.
– CNBC’s Lisa Kailai Han, Yun Li, Jesse Pound, Jeff Cox, Melissa Repko, David Spiegel, Julia Boorstin and Hayden Field contributed to this report.
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