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President Donald Trump has said the U.S.-Iran ceasefire is over following multiple flare-ups of hostilities in the region. View More
An F-35B Lighting II, attached to Marine Fighter Attack Squadron (VMFA) 121, takes off from the flight deck of America-class amphibious assault ship USS Tripoli (LHA 7), May 13, 2026.Courtesy: U.S. Navy U.S. forces launched strikes against Iranian targets shortly before the U.S. resumed its naval blockade of Iranian ports in and around the Strait of Hormuz, U.S. Central Command said Tuesday.The latest round of strikes, aimed at "degrading Iranian capabilities used to attack commercial shipping" in the economically vital strait, began at 3 p.m. ET, Centcom said in an X post. The U.S. said its naval blockade in the Gulf of Oman would restart at 4 p.m. ET. In a statement posted on social media later in the day, Brad Cooper, Centcom Commander, said that Iran had "intentionally" targeted civilians and attacked seven commercial ships over the past seven days, resulting in about a dozen crew members killed, missing or injured. The blockade of Iranian ports was lifted after the U.S. and Iran struck a temporary ceasefire deal as part of a 14-point memorandum of understanding signed last month. But President Donald Trump last week declared the ceasefire was "over" after multiple flare-ups of hostilities in the region and as each side accused the other of violating the terms of the deal.Trump announced Monday that the U.S. would reimpose the blockade against Iran, as Tehran's efforts to forcefully take control of the strait appear to have ramped back up as the ceasefire falls to the wayside.Commercial shipping traffic through the waterway, which was far below prewar levels even as the ceasefire was in effect, sharply dropped in recent days, ship tracking firms found.Before the U.S. and Israel launched the war against Iran in late February, the strait saw 20% of the world's oil pass through it."The Hormuz Strait is OPEN, and will remain OPEN, with or without Iran," Trump insisted in a Truth Social post announcing the blockade was back on.In the same post, Trump said that the U.S. will start demanding reimbursement "at the rate of 20% on all cargo shipped" through the strait.The policy proposal met with deep skepticism from energy experts and swift opposition from shipping industry groups, including the United Nations' International Maritime Organization. Critics quickly resurrected recent clips of Trump administration officials declaring that it would be illegal for a country to impose tolls in an international waterway.One day after announcing the 20% fee plan, Trump reversed course. He claimed on Truth Social on Tuesday morning that he would "replace" the proposed toll with "Trade and Investment Deals that the various Gulf States will be making into the United States."At the White House later Tuesday, Trump said that he had fielded calls from world leaders who told him "we'd love to do it a different way.""I like that, actually, because I don't think anybody should be able to charge a fee for the strait," Trump said. "I don't think anybody should be really in that position, but we were doing it as a reimbursement."He said that he spoke with Saudi Arabia, the United Arab Emirates, Qatar, Bahrain, Kuwait and others. None of those countries has yet revealed plans this week to boost investment in the U.S. Choose CNBC as your preferred source on Google and never miss a moment from the most trusted name in business news.
CNBC's Jim Cramer said today's stock market is far less concerning than it was during the dot-com bubble. View More
In this article.SPXSKHYFollow your favorite stocksCREATE FREE ACCOUNT watch nowVIDEO2:1002:10Don't let a few frothy stocks fool you about the whole market, says Jim CramerMad Money with Jim Cramer CNBC's Jim Cramer said Tuesday that today's stock market is nowhere near the kind of bubble that preceded the dot-com crash.While companies such as SpaceX may fuel perceptions of excess, Cramer argued they are exceptions to the rule, rather than representative of the broader market. "There are always outliers," the "Mad Money" host said. "There is some froth, but the froth does not represent what we trade. What we own."Stocks have surged to new highs over the past year as enthusiasm surrounding artificial intelligence fueled massive gains in semiconductor and other AI-related companies. Memory-chip makers Micron and Sandisk have jumped more than 243% and 644% this year, respectively. That rally has led some investors to question whether the market has become overheated, drawing comparisons to the dot-com boom of the late 1990s.Cramer disagreed, pointing to lower interest rates, stronger corporate earnings, and far more reasonable valuations than investors saw during the tech bubble. The latest consumer price index report came in cooler than expected Tuesday, he noted, which eased concerns that the Federal Reserve would soon need to raise interest rates. "You don't get a dotcom crash scenario without a series of tremendous rate hikes and we simply aren't there yet â new Fed Chair Kevin Warsh spoke today and he didn't sound like he would tighten if the CPI stays at these levels," Cramer predicted.Cramer also argued valuations look far more reasonable than they did at the peak of the dot-com era. Heading into 2000, the S&P 500 traded at more than 25 times forward earnings, according to FactSet data, compared with about 20 times today. "That's a big difference, and while 20 isn't exactly cheap, it's certainly not expensive like 2000," he said. He also pointed to several of the market's largest companies trading at what he considers attractive valuations despite reporting strong results. Bank of America, Goldman Sachs, and JPMorgan all reported substantial earnings and revenue beats on Tuesday, he said, and trade at roughly 12 to 18 times forward earnings. Cramer's Charitable Trust, the portfolio run by CNBC's Investing Club, owns shares of Goldman Sachs. "These are all ridiculously cheap," Cramer said. "And you think that's frothy?" The same argument extends to technology, he said. Cramer noted SK Hynix trades at roughly four times 2027 earnings estimates, while Micron is at six times 2027 numbers. Nvidia, meanwhile, trades at a similar multiple to the broader market, he said, despite its dominant position in artificial intelligence. Cramer's Charitable Trust owns shares of Nvidia."What typifies this market is the inexpensive nature of so many big-cap stocks," he said. watch nowVIDEO11:1411:14Jim Cramer calls time out on 'bubble talk'Mad Money with Jim Cramer Jim Cramer's Guide to InvestingClick here to read Jim Cramer's Guide to Investing at no cost to help you build long-term wealth and invest smarter Sign up now for the CNBC Investing Club to follow Jim Cramer's every move in the market.DisclaimerQuestions for Cramer? Call Cramer: 1-800-743-CNBCWant to take a deep dive into Cramer's world? Hit him up! Mad Money Twitter - Jim Cramer Twitter - Facebook - InstagramQuestions, comments, suggestions for the "Mad Money" website? madcap@cnbc.com Choose CNBC as your preferred source on Google and never miss a moment from the most trusted name in business news.
Zipline is growing its drone delivery business in the U.S., and has hired former Tesla, Uber Eats and Waymo executives to help it scale up in new markets. View More
A Zipline precision drone with a delivery pod underneath.Zipline South San Francisco startup Zipline is adding former Tesla and Waymo execs to its C-suite, and bringing on a former Uber executive to lead its commercial expansion, as the company scales its drone delivery service into new U.S. and international markets.Since Zipline started up about twelve years ago, its fully electric, autonomous drones have been used to make more than 2.5 million commercial deliveries. The drones can carry items weighing up to 8 pounds. They have been used to deliver everything from life-saving vaccines, blood and anti-venom doses, to burritos and personal pizzas. Customers generally order via Zipline's app. Little Caesars, Chipotle and Cleveland Clinic are among the U.S. businesses Zipline works with today, along with retail partners like Walmart and over 100 small businesses. The company's CEO and co-founder Keller Rinaudo Cliffton estimates that Zipline is now making one drone delivery every 20 seconds, up from one per minute in early 2025 when Zipline ranked at No. 46 on CNBC's annual Disruptor 50 list. One million of its deliveries to-date were conducted within the last 12 months, the company said, and roughly 70% of its daily delivery volume takes place in the U.S.That's a big shift from Zipline's early days when it focused on drone deliveries of medical essentials and humanitarian aid to clinics and farms in Rwanda and Ghana. Zipline's business in Africa is also growing, Rinaudo said, with development deals and expansion underway, some with the help of the U.S. State Department. watch nowVIDEO7:4307:43Zipline CEO on State Department deal: A big transition toward commercial diplomacySquawk Box Rinaudo Cliffton is fond of saying Zipline works to make orders for delivery feel as effortless as "teleportation." Its fastest order-to-delivery time has been about five minutes for some orders in Dallas.With the company's newest healthcare partner, Cleveland Clinic, Zipline will be offering "healthcare home delivery service" in a suburb of Cleveland this month, allowing patients to get prescriptions flown to their homes, at no additional cost to start.Joining the venture-backed startup as its new chief financial officer this month is former Tesla vice president of finance, Sendil Palani. Palani spent about 17 years working for Elon Musk's electric vehicle maker, and told CNBC he views Zipline as a similarly, mission-driven organization with related operations from precision manufacturing to maintaining charging infrastructure. Zipline also has the potential to eliminate traffic congestion and pollution associated with traditional deliveries by air and on the ground, Palani said, while saving human and animal lives with its rapid deliveries, which can be made over damaged roads in the aftermath of extreme weather or other disasters.Today, Zipline has the capacity to make 24,000 drones per year at its South San Francisco factory. Palani, who started at Tesla when the company was making just one, fully electric vehicle per day, sees analogies to the years when Tesla started mass-manufacturing its entry level Model 3 sedans.(Zipline's former CFO was another Tesla finance leader, Deepak Ahuja, who is still advising the drone business, and personally recommended Palani to fill his shoes.) Zipline's South San Francisco facility.Zipline In addition to the new CFO hire, Zipline is bringing on Kevin Vosen as chief legal officer, who joins after a stint at Ohalo, the agricultural biotech firm, and a seven year tenure as chief legal officer at Waymo, Alphabet's autonomous vehicle venture.Bolstering its leadership team should help Zipline scale its services across the U.S., Rinaudo said, after gaining traction in its first major metro area of Dallas, Texas, last year.The startup has also hired Allen Penn as head of commercialization and markets. Penn previously served as vice president of Uber Eats, and helped build the company's food delivery and international ride-hailing business.While Zipline is expanding to Austin, Houston, and Cleveland, it has not yet revealed its next U.S. markets. "We are expecting just the U.S. business to grow by another 15X this year," Rinaudo Cliffton said, adding "many tens of metros across the U.S. and some new, large international markets" in 2027.While Zipline has the most traction by far in the U.S., it faces competition from Alphabet's drone division Wing, fellow startups like Flytrex and Matternet, and others developing cargo-carrying drones for military use.Researchers at PwC have estimated that the U.S. drone market will grow 65% a year from 2024 to 2034, with deliveries rising from around 13 million this year to more than 800 million in 2034."It's at a crazy inflection point," Rinaudo Cliffton said. "This thing that we were working on for 12 years that everyone thought was totally weird and was never going to work is now becoming totally normal. Everybody is realizing it doesn't make sense to have a 3,000-pound gas-powered, combustion engine vehicle and a person deliver something to your house that weighs five pounds." 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The consumer price index rose 3.5% in June from a year earlier, a deceleration after several months of upward moves. View More
In this article@LCO.1Follow your favorite stocksCREATE FREE ACCOUNT watch nowVIDEO3:1803:18Inflation eases to 3.5% annually, biggest drop since April 2020Markets and Politics Digital Original Video Consumer prices pulled back in June on the heels of lower energy and gasoline prices, a reversal after moving sharply upward in recent months due to the Iran war. However, inflation risks re-igniting in coming months amid renewed hostilities between the U.S. and Iran, economists said. The consumer price index, an inflation barometer, rose 3.5% in June from 12 months earlier, the Bureau of Labor Statistics said Tuesday. That's down from 4.2% in May â the first decline in the annual inflation rate since January, when it stood at 2.4%. "It suggests the worst is over, we're past the peak and inflation should moderate," said Mark Zandi, chief economist at Moody's. "The biggest threat is that things unravel and we're back to full-blown war with the Strait [of Hormuz] shut down," he said. That could push interest rates higher. The inflation rate is one of the economic indicators the Federal Reserve uses to guide interest rate decisions. Prior to this latest CPI reading, policymakers at the U.S. central bank had recently signaled an increase in borrowing costs could be on the table to try to contain inflation. The Fed aims for an annual inflation rate around 2% over the long term. (function(){function e(){window.addEventListener(`message`,function(e){if(e.data[`datawrapper-height`]!==void 0){var t=document.querySelectorAll(`iframe`);for(var n in e.data[`datawrapper-height`])for(var r=0,i;i=t[r];r++)if(i.contentWindow===e.source){var a=e.data[`datawrapper-height`][n]+`px`;i.style.height=a}}})}e()})(); Barring renewed tensions, economists said that inflation should moderate, likely keeping the Fed from increasing borrowing costs. "We think inflation will continue the process of slowing down over the coming year," said Tom Porcelli, chief economist at Wells Fargo. "We don't see a compelling reason at this point for the Fed to raise rates." U.S.-Iran escalation could reignite inflation The U.S. and Iran reached a temporary ceasefire deal in mid-June to try to end the conflict that erupted Feb. 28, when the U.S. and Israel bombed Iran. Global oil prices declined substantially throughout June, from more than $90 per barrel to roughly $73 per barrel by the end of the month. Read more CNBC personal finance coverageAI is changing older workers' careers, research finds â here's howTrump Accounts: Who is eligible, how $1,000 deposits work and how to open oneStudent loan borrowers on new RAP plan can lose key benefits if they pay lateHere's the inflation breakdown for June 2026 â in one chartCNBC's Financial Advisor 100: Best financial advisors, top firms rankedCNBC Elite Advisors: Top ultra-high net worth wealth management firms for 2026 Prices for gasoline, which is refined from crude oil, and other fuels and energy products fell dramatically as a result. Gasoline prices fell about 10% in June while fuel oil declined 9% and the broader energy category declined 6%, according to the inflation data issued Tuesday. However, each is up by double digits over the past year: By 27%, 43% and 16%, respectively. Since energy and fuel are major cost inputs for businesses â fuel to power airplanes and transport food to grocery stores, for example â consumers have seen prices rise to varying degrees elsewhere, too. (function(){function e(){window.addEventListener(`message`,function(e){if(e.data[`datawrapper-height`]!==void 0){var t=document.querySelectorAll(`iframe`);for(var n in e.data[`datawrapper-height`])for(var r=0,i;i=t[r];r++)if(i.contentWindow===e.source){var a=e.data[`datawrapper-height`][n]+`px`;i.style.height=a}}})}e()})(); The price reprieve in June may be short-lived amid flaring tensions in the Middle East. That U.S.-Iran ceasefire deal appears increasingly fractured after the adversaries exchanged hostilities for a third consecutive day on Tuesday. Global oil prices had risen to about $86 per barrel as of 9:45 a.m. ET on Tuesday."A serious re-escalation of the conflict would threaten to revive the key upside risk to inflation and raise the odds of rate hikes," Goldman Sachs Research wrote in a note on Sunday. Largest one-month drop since April 2020 watch nowVIDEO2:3102:31Consumer prices rose 3.5% annually in June, less than expected as energy prices easedSquawk Box Overall, the consumer price index declined by 0.4% on a monthly basis in June â the largest one-month decrease since April 2020, at the onset of the Covid-19 pandemic, the BLS said. The energy index was the largest contributor to that decrease, "more than offsetting" increases in other indexes like those for shelter and food, the BLS said. (function(){function e(){window.addEventListener(`message`,function(e){if(e.data[`datawrapper-height`]!==void 0){var t=document.querySelectorAll(`iframe`);for(var n in e.data[`datawrapper-height`])for(var r=0,i;i=t[r];r++)if(i.contentWindow===e.source){var a=e.data[`datawrapper-height`][n]+`px`;i.style.height=a}}})}e()})(); But there were declines elsewhere, too. The price for new vehicles remained steady during the month. Used car and truck prices declined 0.2% in June, bringing the annual decline to about 2%, likely due to weak consumer demand amid affordability concerns for cars, Zandi said. (function(){function e(){window.addEventListener(`message`,function(e){if(e.data[`datawrapper-height`]!==void 0){var t=document.querySelectorAll(`iframe`);for(var n in e.data[`datawrapper-height`])for(var r=0,i;i=t[r];r++)if(i.contentWindow===e.source){var a=e.data[`datawrapper-height`][n]+`px`;i.style.height=a}}})}e()})(); Apparel and electricity prices were also down "big time" during the month, while medical services prices also decreased and housing was "barely up," Zandi said. However, he doesn't expect all these trends to continue, and chalked up some of the price weakness to data "anomalies" that can occur in CPI reports from time to time. (function(){function e(){window.addEventListener(`message`,function(e){if(e.data[`datawrapper-height`]!==void 0){var t=document.querySelectorAll(`iframe`);for(var n in e.data[`datawrapper-height`])for(var r=0,i;i=t[r];r++)if(i.contentWindow===e.source){var a=e.data[`datawrapper-height`][n]+`px`;i.style.height=a}}})}e()})(); Indeed, specific categories within the broader CPI report can surge or fall back amid various supply and demand issues. For example, beef roast prices are up about 14% over the past year amid a decades-low cattle supply. Tariffs and adverse weather also pushed up tomato prices 20% in the past year, though they've recently begun falling back. Ultimately, "there are a lot of gravitational forces at work that should push inflation back to target â assuming the war doesn't go off the rails again," Zandi said. Choose CNBC as your preferred source on Google and never miss a moment from the most trusted name in business news.
Goldman Sachs and JPMorgan showed that Wall Street is a major beneficiary of the AI boom, with record revenue driven by surging trading and investment banking. View More
Chairman and CEO of JPMorgan Chase & Co. Jamie Dimon and Goldman Sachs Chairman and CEO David Solomon.Angela Weiss | AFP | Getty Images American megabanks on Tuesday gave evidence that the global artificial intelligence boom isn't just benefiting tech giants and chip makers.Goldman Sachs and JPMorgan Chase each posted record quarterly revenue hauls, fueled by massive gains in equities trading and investment banking.Behind the surge in activity â Goldman revenue jumped 39% to $20.3 billion, while JPMorgan saw it rise 27% to $58 billion â is the fact that AI is "everywhere in financial markets," JPMorgan CFO Jeremy Barnum told reporters."These are booming environments with a ton of activity, big IPOs, big index rebalancing, a lot of activity in Asia," Barnum said Tuesday. "A lot of it is downstream of the AI theme, writ large on a global basis. It's just a very, very, very active environment."The quarter showed that the AI boom is creating winners far beyond Silicon Valley. While Nvidia and hyperscalers including Alphabet have captured many of the headlines, Goldman, JPMorgan and other banks are profiting from the massive flows of capital into AI.They are advising on AI-related deals, financing data centers and power infrastructure, underwriting debt and equity offerings, and facilitating the surge in trading that has accompanied the global race to deploy the technology.That is creating "a ripple effect" across the American economy and giving banks a flood of new opportunities to provide financing and trading solutions across public and private markets, Goldman CEO David Solomon told analysts Tuesday."We are in the middle of an AI capex super cycle where there are demands on financing in every single financing instrument, in every region of the world and across every single industry," Solomon said. Capex is short for capital expenditures, or investments made by a business for physical assets like factories.Goldman is preparing for a three-to-five year investment cycle that is still in its early stages, he told analysts.Goldman shares jumped 8% in afternoon trading, while JPMorgan rose 2%. VIDEO14:5414:54Watch CNBC's full interview with Goldman Sachs CEO David Solomon AI 'tipping point' While the AI buildout isn't new, what's changed is that it has broadened out beyond chips and software to include power providers and infrastructure players. The top beneficiaries of this trend are the three biggest Wall Street firms: Goldman Sachs, JPMorgan and Morgan Stanley, according to Wells Fargo banking analyst Mike Mayo. The AI investment boom "reached a tipping point" in the second quarter, Mayo said.Mayo increased his price targets for Goldman and JPMorgan after Tuesday's blowout results. Morgan Stanley is scheduled to report earnings on Wednesday. Gas turbines made by GE Vernova, at the on-site natural gas plant under construction during a media tour of the Stargate AI data center in Abilene, Texas, US, on Wednesday, Sept. 24, 2025. Kyle Grillot | Bloomberg | Getty Images The clearest evidence of the AI impact appeared in equities trading, where global capital flows and blockbuster transactions helped produce some of the biggest revenue surprises of the quarter.Revenue from equities trading rose 86% to $6 billion at JPMorgan and 72% to $7.42 billion at Goldman. Combined, that was a whopping $4.4 billon more than analysts had expected.Other large banks also benefited. Bank of America, the second biggest U.S. lender by assets, saw equity trading revenue rise 70% to $3.6 billion.Helping the quarter, investors broadened out their search for AI beneficiaries, pouring money into Asian markets, including South Korea, Taiwan and Japan, Soofian Zuberi, president and co-head of Global Markets at Bank of America, told CNBC."People looked at the AI trade and said, 'What are the best reflections of it outside the U.S?,'" Zuberi said. "You've got American clients who are diversifying and allocating more money to Asia, including foundations, the endowments, and family offices." SpaceX, Alphabet The AI impact also showed up in the banks' strong advisory banking revenue for the second quarter.Investment banking revenue at Goldman jumped 55% to $3.4 billion, and climbed 30% to $3.3 billion at JPMorgan Chase. That is a combined $1 billion more than analysts had expected.In the quarter, Goldman was lead advisor on the SpaceX IPO and Alphabet's $90 billion equity issuance and advised Dominion Energy on its sale to NextEra Energy, all moves driven by the AI cycle.At Bank of America, investment banking fees jumped 50% to $2.1 billion.At the same time as they reap record fees driven by AI, banks are starting to benefit from implementing the technology internally. That should help them increase revenue while keeping a lid on headcount and other expenses."AI is driving banking by helping streamline processes," Zubieri said. "And banking is driving AI, because without banking you can't have all these data centers financed." Choose CNBC as your preferred source on Google and never miss a moment from the most trusted name in business news.
The healthcare giant's second-quarter earnings will shine the spotlight on its exciting new products and pipeline. View More
Johnson & Johnson shares have showed signs of life ahead of earnings. For the stock to keep running, the healthcare giant needs to show investors that its most promising drugs are still gaining steam. J & J's climb back to record highs exactly one week ago was largely fueled by a marketwide rotation into lagging healthcare stocks and away from big winners tied to the AI infrastructure buildout. Since then, though, the stock has lost a few percentage points, in line with the S & P 500's healthcare sector , as the Iran war heated up again and dragged down large swaths of the market outside energy and tech. A weak preliminary earnings report from hospital operator HCA Healthcare weighed on the group in Tuesday's session. Nevertheless, Wednesday morning's second-quarter earnings report is J & J's chance to prove that its businesses â from pharma to medical technology â are performing well enough for investors to stick around and bet on more upside from here. According to FactSet, the average price target among analysts of around $254 does not signal a lot of daylight, as that's right around where the stock traded Tuesday afternoon. Our price target is a bit higher at $265 â a couple of bucks shy of last Tuesday's highs. We're among like minds with our buy-equivalent 1 rating ; nearly 70% of analysts who cover the stock feel the same. For now, though, it's too close to earnings for Jim Cramer to recommend any moves. "I'm not going to go out on a limb and say buy J & J until I know more," he said during Tuesday's Morning Morning. As of Monday's close, shares of J & J had climbed over 14% since the start of June, one of the Club's top gainers during that stretch. One of only two stocks better is fellow Club stock Cardinal Health , which was up roughly 19%, underscoring the market's rotation into the very healthcare names left behind in this spring's blistering rally in chip stocks and other AI hardware makers. Through Monday, the healthcare sector was up 8.7% since June began, easily outperforming a basket of chip stocks , which had dropped 2.7%. Healthcare is a classic defensive sector, so as the AI trade wobbled and investors booked profits in first-half winners, more money flowed in the direction of companies like J & J, Cardinal and our other Club healthcare name Eli Lilly . Cardinal and Lilly also set fresh record closes last week, before retreating modestly, as J & J has, in recent sessions. J & J went nearly four months between record closes. After finishing at $248.56 on March 2, the stock would pull back nearly 11% until bottoming on May 8. It took out its old high on June 26 and kept climbing to close roughly $267 apiece last Tuesday. We've owned J & J since early April . "The majority of the driver has been this market rotation out of tech and into healthcare to move more defensively," said Leerink biopharma analyst David Risinger in an interview about the sector's recovery rally. "But in addition, the underlying fundamentals have been encouraging recently." In other words, companies including J & J have the chance to validate their comebacks this earnings season. JNJ YTD mountain J & J's stock performance so far in 2026. One of J & J's most important drugs is blood-cancer therapy Darzalex, which in the first quarter grew 18%, excluding foreign-exchange benefits, to $3.96 billion. It is currently J & J's top-selling drug by a wide margin and a crucial part of the company's efforts in oncology. Consensus for the second quarter is $4.24 billion, implying 19.8% annual growth, according to FactSet. Darzalex "remains the gold standard" in treating multiple myeloma, J & J CEO Joaquin Duato said on J & J's April earnings call. In a May interview on CNBC, Duato said, "We have the bold ambition to become the No. 1 company in oncology by 2030," explaining that J & J is heavily investing its resources "to get closer" to the goal of eliminating cancer. Carvykti is another key J & J cancer drug, albeit much smaller than Darzalex. Carvykti grew 57% last quarter to $597 million, and analysts expect 49% growth in Q2 to $654 million. While both are used to treat multiple myeloma, Carvykti is a type of personalized treatment that helps a patient's immune system attack the cancer. Think of Carvykti as a more specialized therapy, while Darzalex is an antibody used as a backbone treatment. Patients with multiple myeloma typically end up taking multiple types of medications , explaining why J & J has a broad portfolio for the disease. Away from cancer, investors will focus on the performance of J & J's immunology franchise, which is currently led by Tremfya, its second biggest drug behind Darzalex. Tremfya, which belongs to a class known as IL-23 inhibitors, is used to treat plaque psoriasis, psoriatic arthritis, and digestion-related ailments under the umbrella of inflammatory bowel disease. In the first quarter, the injectable Tremfya grew revenue by 64% to $1.6 billion. The company said Tremfya is now the leader in new U.S. patient starts in inflammatory bowel disease, helping drive this wave of growth. For the second quarter, analysts expect Tremfya sales of $1.78 billion, implying 50% year-over-year growth, according to FactSet. J & J's updates on the recently launched Icotyde will be important to the Wall Street reaction. Like Tremfya, Icotyde blocks the IL-23 receptor to treat inflammation. The big difference: Icotyde is the first daily pill in the IL-23 inhibitor class. For the second quarter, Icotyde's revenue contribution will likely be minimal, given the Food and Drug Administration only arrived in mid-March . It's currently approved to treat moderate to severe plaque psoriasis, with the goal of more indications in the future. J & J is counting on the drug to be its next cash cow and has said it can be one of its biggest drugs ever . That's why investors want the latest on prescription trends and traction in the psoriasis market. In a note to clients last week, analysts at Goldman Sachs said their recent survey of experts backs up J & J's belief that Icotyde could eventually do at least $10 billion in annual revenue. To be sure, the analysts, who have a $275 price target and buy rating on J & J, said the company would likely not break out Icotyde revenue this quarter since it's still so early in the launch. Darzalex, Tremfya and Icotyde are all part of J & J's Innovative Medicine segment â the official name of its pharmaceutical business. Innovative Medicines made up roughly two-thirds of the $94 billion that J & J generated last year. The remaining third came from MedTech, home to its medical devices and surgical products businesses. Innovative Medicine and MedTech are the heart of J & J following the 2023 separation of its consumer-health division, which sold products including Band-Aid, Tylenol, Neutrogena and its namesake baby powder. That business became a standalone company called Kenvue , which is in the process of being acquired by Kleenex maker Kimberly-Clark . Innovative Medicine is not only much bigger than MedTech, but it's also faster growing, expanding at a 7.4% clip in the first quarter, compared with 4.6% for MedTech. In the three months ended in March, J & J said Innovative Medicine had 10 drugs growing at a double-digit percentage. One drug excluded from that list is Stelara, a former blockbuster for J & J that treats similar conditions as Tremfya. However, J & J lost its exclusivity for the drug in 2025, leading to a steep decline in sales due to competition from cheaper biosimilar alternatives. Stelara's first-quarter revenue of $656 million fell 62% from a year earlier. Wall Street expects a similar-sized decline for the second quarter, according to FactSet. RBC Capital analyst Shagun Singh said in an interview that she will be focused on the Innovative Medicine growth rate minus Stelara. More generally, Singh said she likes how J & J has positioned itself across both remaining segments. "These are non-elective categories where if you get a heart attack, you have to go there. If you have cancer, you have to take your drugs," said Singh, who has a buy-equivalent rating and a $265 price target on the stock. Within J & J's MedTech business, Singh noted that cardiovascular care is the most important end market right now. It grew 10.5% last quarter, versus 1.2% for surgery, 3.6% for vision and 3.2% for orthopaedics. Investors will be closely watching the MedTech results in light of HCA Healthcare's Tuesday warning about a decline in surgical procedure volume. In October 2025, J & J announced that it would separate its orthopaedics business, which makes products used in joint reconstructions, among others. J & J said it was considering multiple options, including a potential sale or spinoff. No matter which path J & J chooses, the result is that the remaining company should have a streamlined focus and improved growth rate â a combination that could result in Wall Street assigning a higher valuation to the stock. In general, we're bullish on Johnson & Johnson's commercial lineup and next-generation pipeline, which is why we chose the company to replace rival Bristol-Myers Squibb when we exited that position in April. Our decision was about upgrading the quality of the companies in our portfolio, which has proven to be the right move thus far. During our June Monthly Meeting , Jim Cramer made the case for investors to buy J & J â as it traded in the $230s â by emphasizing its quality. He said when high-quality stocks trade lower, absent a material change to their earnings outlooks, that means they're getting cheaper. "Buy it if you don't own any," he said. At this point, with earnings arriving Wednesday morning, and shares at higher levels, we recommend waiting until we see the numbers before taking any action. But the opportunity to grab more shares might come knocking again if an encouraging report Wednesday is met with more profit-taking. We'll find out soon enough. (Jim Cramer's Charitable Trust is long JNJ, CAH, and LLY. See here for a full list of the stocks.) As a subscriber to the CNBC Investing Club with Jim Cramer, you will receive a trade alert before Jim makes a trade. Jim waits 45 minutes after sending a trade alert before buying or selling a stock in his charitable trust's portfolio. If Jim has talked about a stock on CNBC TV, he waits 72 hours after issuing the trade alert before executing the trade. THE ABOVE INVESTING CLUB INFORMATION IS SUBJECT TO OUR TERMS AND CONDITIONS AND PRIVACY POLICY , TOGETHER WITH OUR DISCLAIMER . NO FIDUCIARY OBLIGATION OR DUTY EXISTS, OR IS CREATED, BY VIRTUE OF YOUR RECEIPT OF ANY INFORMATION PROVIDED IN CONNECTION WITH THE INVESTING CLUB. NO SPECIFIC OUTCOME OR PROFIT IS GUARANTEED.
Supreme Court Justices Amy Coney Barrett and Elena Kagan are testifying about the high court's budget request, which includes higher spending for security. View More
Supreme Court Justices Elena Kagan and Amy Coney Barrett testify before the House Appropriations Committee on Capitol Hill on July 14, 2026 in Washington, DC. Finn Gomez | Getty Images Supreme Court Justice Amy Coney Barrett told a House subcommittee on Tuesday that "the threat level" against her and other federal judges "is really high" as she testified about the high court's 2027 budget request."Those statistics sound abstract, but being on the receiving end of them is not," Barrett told the House Appropriations subcommittee on financial services and general government, before she shared several anecdotes about threats affecting her and her family.The Supreme Court is asking Congress to appropriate $228.4 million for fiscal 2027, a nearly 10% rise since the $207.8 million appropriated for 2026. The increase reflects higher spending on security-related measures, both for the protection of justices and for cybersecurity.Justice Elena Kagan, who was testifying with Barrett, noted that the chief of the U.S. Capitol Police recently testified that threats against Congress are up 50% this year compared with 2025."The Supreme Court Police expect a smaller but still very substantial 38% annual increase in threats this year, which follows a 25% increase last year" in threats to the court and its justices, Kagan said."For some of us, those threats have come very close, and all of us live with the knowledge that they may again materialize," she said.According to data from the U.S. Marshals Service, since the beginning of 2026, there have been a total of 512 investigations of threats to federal judges, of which there are 2,600 active judges. That compares wish 807 investigations of threats for all of 2025.Barrett and Kagan are the first Supreme Court justices to testify to Congress since 2019. That year, Kagan and Justice Samuel Alito testified about the court's budget request.The two justices are scheduled to testify on Tuesday afternoon to the Senate Appropriations subcommittee on financial services and general government.Barrett said the increased threats "have required my children to think about and see things that children should not have to see or think about."She told the panel that in the spring of 2022, "My security detail sent me home with a bulletproof vest" when threats to her life escalated after the leak to a media outlet of a draft Supreme Court opinion that more than a month later reversed a 1973 decision that had said there was a constitutional right to abortion."I carried it into my house, put it into my bedroom, dropped it down on a table, turned around, and my 12-year-old son was standing in the doorway of my bedroom, and he wanted to know what it was and why I had it," Barrett said."I didn't know how to respond because maybe I lack imagination, but I didn't expect that performing this service was going to put me in the position of explaining to my children what a bulletproof vest was and why I had to wear one."Barrett, who was nominated to the court by President Donald Trump in his first term, also discussed having recently been the target of a "swatting" attack."My teenage son, one of my teenage sons, opened the door to go out with friends and saw in our street, it was full of police cars, who had responded to a false report of gunshots and raised voices in my home," Barrett said. "I was very, very grateful that I had Supreme Court Police outside my home because they were able to stop and meet with and explain to the county police that it had been a false alarm, and so the police did not actually attempt to enter our home."She also said that "any of us, me included, have received threatening anonymous deliveries designed to intimidate and harass us."The hearing comes nine months after a 29-year-old California man, Nicholas Roske, was sentenced to more than eight years in prison for his 2022 plot to assassinate Supreme Court Justice Brett Kavanagh at his Maryland home. Roske told police after his arrest that he was upset about the leaked Supreme Court decision on abortion.Kagan, in her testimony, noted that "the majority of last year's funding increase went to shifting the responsibility for residential security of the justices from the Marshals Service to the Supreme Court Police.Kagan said that when she first joined the court in 2010, after being nominated by President Barack Obama, "Our security was very different at the time.""The Supreme Court Police focused almost exclusively on protecting the building, and our IT department focused on supporting the latest BlackBerry devices," she said."I didn't have a security team of my own, and I was accompanied by security personnel only when I participated in work-related public events," Kagan said. "We began expanding our security program in earnest in 2017, initially at the behest of members of Congress."Barrett said that in addition to increased threats to judges personally, "the cybersecurity attacks have been up ... by magnitudes year after year.""The rapid advancement of AI is making that more and more possible," Barrett said. "We haven't suffered the kind of paralyzing attacks that some of the lower courts have, but in seeing that, that has caused us to try to ramp up very quickly our cybersecurity protection, and so some of the funding that we're seeking is for additional cybersecurity experts."The subcommittee's chairman, Rep. Dave Joyce, R-Ohio, opened the hearing by saying, "Whatever one's view of the specific Supreme Court ruling, judicial officers â up to and including the justices of the Supreme Court â must be able to do their jobs without fear for their safety or their family's safety."Correction: This article has been updated to correct a quote from Supreme Court Justice Amy Coney Barrett. Choose CNBC as your preferred source on Google and never miss a moment from the most trusted name in business news.
New York became the first state to ban construction of 'hyperscale' AI data centers, for one year, after Gov. Kathy Hochul signed an executive order Tuesday. View More
US President Joe Biden (2L), with US Senate Majority Leader Chuck Schumer, and New York Governor Kathy Hochul, looks at a 3D rendering of a future Micron factory presenting by CEO of Micron Technology Sanjay Mehrotra (L) during a tour of the Micron Pavilion at the SRC Arena and Events Center of Onondaga Community College in Syracuse, New York on October 27, 2022.Mandel Ngan | AFP | Getty Images New York State Governor Kathy Hochul on Tuesday signed an executive order barring the construction of new large-scale data centers using 50 megawatts or more of power for up to one year, making the Empire State the first state in the nation to impose such a ban. "We're in the midst of one of the most significant economic upheavals in generations ⦠perhaps ever," the governor said, announcing the executive order in New York City. "These hyperscale AI data centers consume enormous amounts of power, truly threatening to outpace our grid's capacity," she added. "They drive up costs for local ratepayers, and I refuse to let those costs get passed down to New Yorkers." Hochul's sentiment echoes that of many state residents and environmental leaders, who have heavily scrutinized hyperscaler data centers on the basis of their excessive consumption of power and natural resources, particularly fresh water. The announcement noted that New Yorkers have seen their electric bills surge, with the state's average residential electricity price climbing nearly 68 percent since 2019. This fact has skewed public opinion starkly against new data center construction, with major public backlash against proposed facilities in townships such as Lansing and East Fishkill. Leaders of the data center opposition celebrated the governor's decision. "This one-year moratorium is a huge step forward for New York communities fighting against an onslaught of massive data center proposals," stated Laura Shindell, director of New York State's Food & Water Watch, a high-profile environmental nonprofit. "It comes as the direct result of immense public pressure from people across the state demanding their elected leaders protect them from Big Tech's assault, which threatens the state's clean air and water and New Yorkers' financial security." Praise was not limited to environmental and community leaders, however, as it also came from the governor's allies, both in Congress and in the state legislature. "This one-year moratorium is fundamentally about trust," said Senator Kirsten Gillibrand, in a statement provided to WRGB Albany. "Right now, New Yorkers aren't convinced these massive facilities benefit them. Before we move forward, our communities need ironclad guarantees that their energy bills won't spike, their water will be protected, and their air will remain clean.""Technology should make our lives better, not pollute our water, strain our energy grid, or drive up our utility bills," State Senator Kristen Gonzalez, a Democrat, stated in the New York State announcement. "By giving our State time to plan, we can ensure that development and innovation do not come at the expense of all of us."Many, however, voiced their dissatisfaction, claiming that the moratorium would hinder New York's â and the United States' â ability to compete in a rapidly expanding technological field. "A statewide moratorium is the wrong answer to the right questions," New York State Assemblyman Scott Gray, a Republican, and three of his colleagues wrote in a letter to the governor in June opposing data center moratoriums. "It freezes investment, takes decisions away from the communities that should be making them and duplicates or ignores work the governor's own administration already has underway.""Siting belongs to local communities. Albany's job is to set the regulatory framework, facilitate interconnection and protect ratepayers and grid reliability," Gray and his colleagues wrote. "It is not Albany's job to decide for a town or village whether it wants one of these projects. That is a local decision, and it should remain one.""China wins," said Pennsylvania Senator John Fetterman in an X post on Tuesday morning. There have been claims made by those building data centers that foreign rivals of the U.S. are supporting the anti-AI movement, and evidence of foreign-created anti-AI content being published for a U.S. audience. watch nowVIDEO2:5502:55Dell CEO on Bernie Sandersâ AI data center moratorium proposal: âThatâs not a great idea'News Videos A data center moratorium remains popular in the state. A Siena Research Institute poll conducted in June revealed that 46% of respondents believed that a "one-year moratorium on new permits for large data centers in New York" would be good for the state, whereas only 21% said it would be bad. The issue appeared to be fairly bipartisan as well, with Democrats backing the idea by a margin of 37 percentage points and Republicans supporting it by a margin of 13. This same poll showed Hochul, a Democrat, leading her Republican challenger, Nassau County Executive Bruce Blakeman, by a margin of 20 percentage points â a promising sign for her reelection campaign. The first-in-the-nation statewide moratorium marks a significant show of authority by Hochul, who has now carried out a landmark policy that her Democratic colleagues, such as Maine's Janet Mills and Virginia's Abigail Spanberger, have cautioned against. Fourteen state legislatures across the country have introduced bills restricting new data center construction, none of which, to this point, have been signed into law.Tuesday's moratorium might not be the last action taken by the governor's office, either. The Responsible Data Center Development Act, passed by the state legislature earlier this year, contains a one-year moratorium on the construction of new data centers with a peak energy demand of 20 megawatts or more. Hochul has yet to take action on the bill but has indicated that she will work with the legislature to "further review" its nature. Furthermore, a statement released by Hochul's office stated that the governor is actively "pursuing legislation to repeal sales tax exemptions for massive data centers across the state."In addition to the pause on new data center construction, Hochul directed the NYS Department of Public Service to "consider approaches to require data centers to fund new clean electric generation dedicated to their operations, including but not limited to customer-sited distributed energy resources and battery storage."Once the state develops a comprehensive framework to support municipalities and strong standards for construction, Hochul says, the moratorium will be lifted. New York was ranked by CNBC as being among the best-positioned states to win AI data centers in its recent annual rankings of Top States for Business. Choose CNBC as your preferred source on Google and never miss a moment from the most trusted name in business news.
New estimates show Social Security's annual cost-of-living adjustment for 2027 may be between 3.7% and 3.8%. Here's what to know. View More
People shop for groceries at a Wegman's store in Brooklyn on July 13, 2026 in New York City. Spencer Platt | Getty Images  Cooling inflation has also chilled some experts' expectations for the 2027 Social Security cost-of-living adjustment, which may be between 3.7% and 3.8%, according to new estimates.The Social Security COLA may be 3.7% in 2027, estimates Mary Johnson, an independent Social Security and Medicare analyst. That figure is 1 full percentage point below the 4.7% COLA for 2027 Johnson estimated last month."This is a significant drop in inflation, and one that we've rarely seen in the June CPI data over the past five years," Johnson said in a statement.New government data released Tuesday shows the consumer price index increased 3.5% over the past 12 months as of June. That was lower than expectations due to a decline in energy prices. watch nowVIDEO2:3102:31Consumer prices rose 3.5% annually in June, less than expected as energy prices easedSquawk Box Meanwhile, the Senior Citizens League, a nonpartisan senior group, estimates the Social Security COLA for 2027 may be 3.8%, unchanged from its projection from last month.To be sure, those estimates are subject to change. The official COLA for the following year is typically announced by the Social Security Administration in October.Social Security benefits are adjusted annually through cost-of-living adjustments to help those monthly checks keep pace with inflation.The annual COLA has averaged 3.1% over the past 10 years, according to the Social Security Administration. In 2026, more than 75 million Social Security and Supplemental Security Income beneficiaries saw a 2.8% increase to their benefits. How Medicare premiums may change in 2027 Retirement confidence among retirees has declined, according to a January survey fielded by the Employee Benefit Research Institute, a nonprofit, nonpartisan research firm; and Greenwald Research, a research consulting firm.Retirees' confidence fell 5 percentage points to 73%, the survey, which included 1,045 individuals in retirement, found. Top worries included inflation, debt, healthcare costs, housing expenses and potential changes to the retirement system, according to the results. Two in 5 retirees said their healthcare costs have been higher than expected, the survey found. Read more CNBC personal finance coverageAI is changing older workers' careers, research finds â here's howTrump Accounts: Who is eligible, how $1,000 deposits work and how to open oneStudent loan borrowers on new RAP plan can lose key benefits if they pay lateHere's the inflation breakdown for June 2026 â in one chartCNBC's Financial Advisor 100: Best financial advisors, top firms rankedCNBC Elite Advisors: Top ultra-high net worth wealth management firms for 2026 One healthcare expense â standard premiums for Medicare Part B, which covers medically necessary and preventive services â may be $209.50 per month in 2027, according to estimates in the annual Medicare trustees report released in June. That is up from $202.90 per month in 2026 â an increase of $6.60 or 3.3%. Higher-income beneficiaries may pay additional surcharges."That's relatively low," Johnson said. "The average increase in Part B is usually about 5.4% per year, and that's what it's been over the past 10 years."The initial deductible for Medicare Part D, which covers prescription drugs, will be $700 in 2027, up from $615 in 2026, according to the trustees report. Meanwhile, the catastrophic threshold, or out-of-pocket spending limit, will be set at $2,400 next year, up from $2,100 in 2026. Those new thresholds have been finalized, according to the report.Correction: Standard premiums for Medicare Part B in 2027 would be up from $202.90 per month in 2026 â an increase of $6.60 or 3.3%. An earlier version mischaracterized the figures. Choose CNBC as your preferred source on Google and never miss a moment from the most trusted name in business news.
