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Traders work on the floor of the New York Stock Exchange during morning trading on May 24, 2024 in New York City. 

Michael M. Santiago | Getty Images

This report is from today’s CNBC Daily Open, our international markets newsletter. CNBC Daily Open brings investors up to speed on everything they need to know, no matter where they are. Like what you see? You can subscribe here.

What you need to know today

Treasury yields weigh on Wall Street
The
S&P 500 snapped its three-day winning streak as Treasury yields climbed. Despite Nvidia‘s continued rise since its earnings report last week, the tech giant couldn’t prevent the Nasdaq Composite from falling. The Dow Jones Industrial Average also declined, shedding 400 points, with insurer UnitedHealth leading losses. The yield on the 10-year Treasury note rose for a second consecutive day following a lackluster auction of government bonds on Tuesday. Rising yields can dampen consumer spending and make Treasurys and money market funds more appealing than stocks. Oil prices also slipped. 

Salesforce plunges
Shares of Salesforce slumped more than 17% in extended trade after the cloud software company reported weaker-than-expected revenue and issued earnings and revenue guidance that missed analysts’ expectations for the current quarter.  

Peltz dumps Disney stake
Activist investor Nelson Peltz has sold his entire stake in Disney, according to a person familiar with the matter. In early April, Peltz lost a proxy battle at Disney to elect himself and former Disney Chief Financial Officer Jay Rasulo to the company’s board. Peltz had long taken issue with Disney’s governance, particularly the company’s streaming strategy and a failed succession plan for CEO Bob Iger. 

Bulking up on shale
ConocoPhillips agreed to buy Marathon Oil in an all-stock transaction worth $17.1 billion. The acquisition will add 2 billion barrels of resources to ConocoPhillips’ portfolio, extending the company’s reach across shale fields in Texas, New Mexico and North Dakota. ConocoPhillips CEO Ryan Lance said the deal would immediately grow ConocoPhillips’ earnings, cash flow and shareholder returns after the deal closes in the fourth quarter.  

American sales strategy backfires
Shares of American Airlines slid more than 13% after CEO Robert Isom said the airline would slash capacity in the second half of the year. It comes a day after the carrier parted ways with its chief commercial officer, Vasu Raja, and cut its revenue and profit forecast. Raja led a plan to drive direct bookings at the airline in lieu of third-party sites and travel agencies, a strategy that included gutting the airline’s sales department. Raja will leave the company next month. 

[PRO] The summer trade
The Dow, S&P 500, and Nasdaq all hit record highs in May, but there are doubts that the momentum can carry on through June to August. CNBC’s Brian Evans explores historical data and shares what to expect from markets as well as which sectors typically perform the best. 

The bottom line

The world can be a confusing place at times. You would think we were in the midst of an energy transition, only for that environmental nirvana to be shattered by a multibillion dollar shale deal. ConocoPhillips is set to buy Marathon Oil in a $17 billion deal that would boost its portfolio and push its market cap past that of BP, according to Enverus M&A analyst Andrew Dittmar. 

No amount of federal aid for an energy transition — through Biden’s $369 billion Inflation Reduction Act and the Infrastructure Investment and Jobs Act — can bring about an immediate end to our addiction to oil. 

Toyota, which has been dragging its feet on rolling out all-electric vehicles, unveiled a new range of hybrid engines on Tuesday that can use biofuels to meet tougher emissions standards. The Japanese marque is not the only one resorting to hybrid vehicles as EV sales stall due to range anxiety and insufficient charging infrastructure. 

Meanwhile Chinese automaker BYD introduced a hybrid engine that, when fully loaded with battery and gasoline, can cover 2,100 kilometers (1,300 miles). 

Conoco’s deal couldn’t juice markets, which, after clocking some record highs, are under pressure from rising Treasury yields. With earnings season mostly in the rearview mirror, the focus has returned to the Fed, the economy and inflation. 

Atlas Merchant Capital CEO Bob Diamond told “Squawk on the Street” the Fed would “want to see some economic weakness before they cut rates. I mean 25 basis points doesn’t matter in the scheme of things. Maybe there’s 25 [points] there for signaling reasons. I don’t see the Fed, the FOMC, taking the risk of stoking inflation.” 

While markets are on pace to end on a high this month, Wolfe Research chief investment strategist Chris Senyek expects trading to become a lot “choppier over the summer.” He suggests sticking with large-cap technology stocks. This month, information technology stocks have outpaced all other S&P 500 sectors, up more than 13%. Nvidia alone has advanced more than 30% in May.

“If we’re correct and trading becomes choppier, our sense is that investors are likely to stick with what has worked so far this year,” Senyek wrote. “Said differently, our sense is that the  ‘Mag 7,’ Secular Growers, and Momentum stocks will outperform over the summer.” 

CNBC’s Alex Harring, Pia Singh, Spencer Kimball, Sara Salinas, Scott Wapner, Jordan Novet and Leslie Josephs contributed to this report.

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JB Hunt launches first electric aftermarket semi truck route in Arizona

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JB Hunt launches first electric aftermarket semi truck route in Arizona

Following successful inbound implementations in the Pacific Northwest, North Carolina, and Mexico, Daimler Trucks North America (DTNA) is expanding the reach of its electric semi fleet into Arizona with long-time associate JB Hunt.

JB Hunt will add the new Freightliner eCascadia electric semi to its Arizona fleet immediately, and put it to work delivering aftermarket truck parts from DTNA’s parts distribution center (PDC) in Phoenix to multiple DTNA dealers along a dedicated route.

The electric Freightliner truck is expected to cover approximately 100 miles in a given day before heading “home” to a Detroit eFill charger installed at Daimler’s Phoenix facility.

This milestone marks the first all-electric route in the DTNA aftermarket parts distribution network, significantly reducing carbon emissions and setting a precedent for future sustainable outbound logistics operations.

“This solution with DTNA is a great example of our commitment to supporting customers’ efforts to reduce their carbon footprint and work towards energy transition,” explains Greer Woodruff, executive vice president of safety, sustainability and maintenance at JB Hunt. “JB Hunt owns and operates several eCascadias on behalf of customers, and our drivers have really enjoyed their in-cab experience. As customer interest continues to grow, we are here to enable their pursuit for a more sustainable supply chain in the most economic means possible.”

Daimler is analyzing future expansion opportunities throughout its internal parts distribution and logistics with an eye on electrifing additional routes and further reducing the carbon footprint of its logistics operations.

JB Hunt will evaluate its utilization of the charging station for other customers in the area, eventually enabling fully integrated zero-emission vehicle solutions into its 3PL fleets.

SOURCE | IMAGES: Daimler Trucks North America.

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Mitsubishi Fuso cleans up, putting 89 electric garbage trucks to work in Greece

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Mitsubishi Fuso cleans up, putting 89 electric garbage trucks to work in Greece

The Greek cities of Athens and Thessaloniki are popular tourist spots, and those tourists are about to breathe a little bit easier – literally! – thanks to nearly 90 new electric garbage trucks from Mitsubishi Fuso.

The Daimler-owned Mitsubishi Fuso brand has been making big moves since export of its newest electric eCanter medium duty truck kicked off earlier this year. First expanding to Hong Kong, and now taking orders in the EU.

“Thanks to its compact dimensions and high chassis load capacity, the electric Next Generation eCanter is ideal for waste disposal companies that drive on narrow roads,” says Florian Schulz, Head of Sales, Marketing and Customer Services. “In addition, the vehicle is locally emission-free and quiet, so that garbage can be emptied early in the morning in densely populated areas. This makes it particularly suitable for municipal applications.”

One of the most important goals the cities’ governments had was to quiet down the garbage collection process. To that end, Greek body manufacturer KAOUSSIS has put a lot of development work into the upfit body to quiet the hydraulic and compaction actions. The company is calling its refuse body “the first of its kind,” creating a market advantage for the electric eCanter while meeting all EU technical regulations for operating waste disposal vehicles with standing personnel.

The hydraulic system employs proportional, electro-hydraulically operated directional valves that operate at a maximum pressure of 180 bar. KAOUSSIS says it’s specially designed for EVs, and is compatible with garbage bins between 80 and 390 liter (aka: really big) capacities. The lift also features a dynamic weighing system that records the weight of the waste with an accuracy of up to ±0.5 kg (about a pound).

“We have had a very close cooperation with KAOUSSIS for over 30 years,” says Antonios Evangeloulis, Director of Sales & Marketing of the Greek importer & general agent for Daimler truck products and services Star Automotive Hellas. “All the necessary tools, safety measures, technicians, training and certifications are in place and we are able to offer excellent after-sales support for these vehicles. Overall, it was an exciting project that we were able to realize together.”

Forty of the new electric refuse trucks are expected to be deployed by the end of November, with the balance expected to be delivered over the course of 2025.

Electrek’s Take

Mitsubishi Fuso eCanter; via Daimler Trucks.

Electrifying the commercial truck fleet is a key part of decarbonizing city truck fleets – not just here in the US, but around the world. I called the eCanter, “a great product for moving stuff around densely packed city streets,” and garbage is definitely “stuff.”

Here’s hoping we see more “right size” electric solutions like this one in small towns and tight urban environments stateside somewhat sooner than later.

SOURCE | IMAGES: Daimler Trucks, via Charged EVs.

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Italian DC fast charger maker Alpitronic enters the US market [video]

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Italian DC fast charger maker Alpitronic enters the US market [video]

Electrek‘s Seth Weintraub went to Alpitronic America’s new HQ to speak with CEO Mike Doucleff about its plans to roll out its ultra-fast chargers across the US.

Bolzano, Italy-based Alpitronic was founded in 2009, and it specializes in the development and production of DC fast chargers. The global company’s best-known product line is the Hypercharger, an ultra-fast EV charging station that can deliver charging power from 50 kW to 400 kW, depending on the model.

Alpitronic Americas recently announced an agreement with Mercedes-Benz High-Power Charging to become the first DC fast-charging network to deploy Hypercharger 400 units at scale in the US.

Alpitronics Americas’ new headquarters’ 68,000-square-foot office and industrial space in Charlotte, North Carolina, includes a diagnostics laboratory and repair center, a spare parts warehouse, a training center, and space for as many as 300 employees.

The Bolzano, Italy-based company’s Hyperchargers achieve, on average, an efficiency rate greater than 97.5%, and that its repair and service network can service chargers anywhere in the US.

Alpitronic cofounder and CEO Philipp Senoner said, “As a natural part of Alpitronic’s growth, we are anxious to expand our industry-leading Hypercharger network from Europe, where we are market-share leader, to North America. We are pleased with the talent we are finding in North Carolina and look forward to setting a new standard for the EV charging network in the US.”

Alpitronic chargers support all EV brands. Pre-production units have been tested publicly in Rock Hill, SC, and Portland, OR. The first US-built, public chargers are expected to be installed and available in October.

Seth and Mike Doucleff discuss what Aliptronic’s main driver was to come to the US, what attracted them to Charlotte, and what the company thinks the future of DC fast chargers is in the US, among other things. Their conversation begins at 00:41 on the Electrek podcast below:


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