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Software stocks struggle, Google's AI spending, layoffs surge and more in Morning Squawk
CNBC· 2026-02-05 13:23
分组1 - Taco Bell's parent company reported strong same-store sales growth, indicating positive consumer demand [1] - Alphabet exceeded Wall Street's fourth-quarter expectations, with its cloud business performing well, although YouTube advertising fell short [2][3] - Alphabet plans to significantly increase capital expenditures for AI infrastructure, potentially more than double its 2025 total, leading to a drop in shares by over 4% in premarket trading [3] 分组2 - Companies providing AI-related products to Google, such as Broadcom, saw stock increases following Alphabet's AI spending announcement, with Broadcom climbing as much as 6% [4] - The Bureau of Labor Statistics is set to release delayed job data, with private companies adding fewer jobs than expected and January layoffs reported to be the highest since 2009, surging over 200% from December [5][7] 分组3 - Oil prices rose over 1.5% amid concerns of a potential U.S. military attack on Iran, with crude and Brent oil prices increasing more than 3% following President Trump's comments [10][11] - The Human Rights Campaign reported a 65% drop in Fortune 500 companies participating in the Corporate Equality Index, with participation falling from nearly 380 to just over 130 [12][13]
Layoffs in January were the highest to start a year since 2009, Challenger says
CNBC· 2026-02-05 12:45
Group 1 - U.S. employers announced 108,435 layoffs in January 2026, marking a 118% increase from January 2025 and a 205% increase from December 2025, the highest January total since 2009 [2][5] - Companies reported only 5,306 new hires in January 2026, the lowest figure for January since 2009, indicating a significant decline in hiring intentions [2][5] - The transportation sector experienced the highest level of layoffs, primarily due to UPS's plan to cut over 30,000 jobs, while Amazon announced a reduction of 16,000 jobs, mainly at the corporate level [5] Group 2 - The data from Challenger, Gray & Christmas suggests a shift in the labor market towards increased layoffs, with many plans likely set at the end of 2025, reflecting a pessimistic outlook for 2026 [3][5] - Initial jobless claims for the week ending January 24 were reported at 209,000, with a longer-term trend near its lowest level in two years, contrasting with the layoff announcements [4] - Over 100 companies have notified the Labor Department of significant layoffs under Worker Adjustment and Retraining Notification regulations, indicating a broader trend of job cuts [6]
Layoffs hit their worst January levels since 2009, Challenger says
CNBC· 2026-02-05 12:31
Group 1 - U.S. employers announced 108,435 layoffs in January 2026, marking a 118% increase from January 2025 and a 205% increase from December 2025, the highest January total since 2009 [2][5] - Companies reported only 5,306 new hires in January 2026, the lowest figure for that month since 2009, indicating a significant decline in hiring intentions [2][5] - The transportation sector experienced the highest level of layoffs, primarily due to UPS's plan to cut over 30,000 jobs, while Amazon announced a reduction of 16,000 jobs, mainly at the corporate level [5] Group 2 - The Challenger data suggests a shift in the labor market, with increased layoffs indicating that employers are less optimistic about the economic outlook for 2026 [3] - Initial jobless claims for the week ending January 24 were reported at 209,000, with a longer-term trend near its lowest level in two years, contrasting with the layoff announcements [4] - Over 100 companies have notified the Labor Department of significant layoffs under Worker Adjustment and Retraining Notification regulations, highlighting the scale of job cuts [6]
Peloton posts weak holiday quarter after splashy product overhaul fails to land
CNBC· 2026-02-05 12:12
A Peloton Bike inside a showroom in New York, US, on Wednesday, Nov. 1, 2023. Peloton Interactive Inc. is scheduled to release earnings figures on November 2.Peloton posted a worse-than-expected holiday quarter on Thursday after shoppers failed to shell out for its new AI-driven product line and turned away from higher subscription prices.The connected fitness company missed Wall Street's estimates on the top and bottom lines and fell short of its own internal sales targets in the three months ended Dec. 31 ...
'700 miles of range': What Ford and Ram replaced their EV pickups with
CNBC· 2026-02-05 12:00
Core Insights - Ford's F-150 Lightning was the best-selling electric pickup truck in the U.S. last year, but the company has decided to pivot towards extended-range electric vehicles (EREVs) due to challenges in understanding consumer preferences for EVs [1] - Major automakers, including Ford and Stellantis' Ram, are set to deliver EREV models by 2027, indicating a shift in strategy within the industry [1] Group 1: EREV Characteristics - An EREV, or series hybrid, operates differently from traditional hybrids, as the gas engine is used solely to charge the battery rather than drive the wheels [2] - The larger battery in EREVs allows for a longer electric-only driving range, with both Ram and Scout EREVs expected to achieve approximately 150 miles before the gas generator activates [3] Group 2: Market Trends and Consumer Interest - The global EREV model count increased by 40% in one year, primarily driven by growth in China, highlighting a booming segment in the electric vehicle market [4] - A McKinsey survey indicates that 13% to 18% of car buyers in Germany, the UK, and the U.S. would consider an EREV over traditional combustion or hybrid vehicles, with the U.S. showing the highest interest at 18% [5] - Potential EREV buyers are attracted to the benefits of faster charging and longer driving ranges, allowing them to experience electric driving without full dependence on charging infrastructure [6]
Bitcoin briefly drops below $70,000 as sell-off continues
CNBC· 2026-02-05 11:43
In this articleBTC.CM=ETH.CM=XRP.CM=Cheng Xin | Getty ImagesBitcoin briefly dropped below $70,000 on Thursday amid a broader sell-off of risk assets.The move, which happened around 6:27 a.m. ET, was the first time bitcoin fell below $70,000 since November 2024. Bitcoin bounced off that low and was trading at around 70,453.68 at 6:40 a.m. ET, according to CoinMetrics data. Some market watchers have suggested $70,000 is a key level to watch and a break below that could trigger more falls for bitcoin. Stock Ch ...
Google parent Alphabet shares are down premarket after its earnings beat. Here's what's happening
CNBC· 2026-02-05 11:11
Alphabet's shares were down in premarket trading on Tuesday after the company beat Wall Street's expectations on earnings and revenue, with AI spending projected to increase hugely this year. The Google parent shed 2.6% in premarket as of 6:09 a.m. ET, after closing nearly 2% lower on Wednesday. After the bell, Alphabet reported $113.83 billion in revenue in the fourth quarter, above the estimated $111.43 billion from analysts polled by LSEG. Its Google Cloud division earned $17.66 billion in revenue versus ...
CNBC's Inside India newsletter: The facts — and frictions — of the U.S.-India trade deal
CNBC· 2026-02-05 09:15
Modi, in his response on X, expressed delight over the lowering of tariff of 18%, thanked Trump and extended support for his "efforts for [global] peace."Trump said Washington would cut tariffs on Indian goods to 18% from 50% , while New Delhi will lower duties on U.S. goods to zero, replace Russian oil with supply from U.S. and Venezuela, open sensitive markets such as agriculture and buy $500 billion worth of American goods.Less than a week after the India-EU trade pact was finalized , U.S. President Dona ...
Sweden's Volvo Cars on track for worst trading day ever as shares plunge over 19%
CNBC· 2026-02-05 08:35
Group 1 - Shares of Volvo Cars fell by 19.5% on Thursday morning, marking the company's worst trading day ever [1] - The decline in stock price is attributed to a significant drop in fourth-quarter profit [1] - Contributing factors to the profit drop include tariffs, currency effects, and weak demand [1]
World's largest jeweler jumps 7% as CEO says firm wants to pivot from silver
CNBC· 2026-02-05 08:24
Core Viewpoint - Pandora, the world's largest jeweler by volume, is addressing investor concerns regarding its reliance on silver by introducing platinum-plated jewelry and guiding for flat organic growth in 2026 [1][2] Group 1: Company Performance - Copenhagen-listed shares of Pandora rose by as much as 7% following the announcement of its quarterly earnings report [1] - The company reported guidance for largely flat organic growth in 2026 [1] Group 2: Market Strategy - In response to the volatility of silver prices, which have more than doubled over the past year, the company plans to decouple its operations from silver trading [2] - CEO Berta de Pablos-Barbier emphasized the need to address the company's reliance on silver in order to stabilize its business [2]