CNBC.com’s Pippa Stevens carries you the day’s top business news headlines. On today’s show, Kate Rogers breaks down Chipotle’s blockbuster first accommodate and massive digital sales growth. Plus, Eunice Yoon is on the ground in Shanghai testing out China’s new digital currency.
Dow closes uncountable than 300 points lower following reports of Biden eyeing capital gains tax hike
U.S stocks troubled lower in a swift fashion on Thursday after reports that President Joe Biden is slated to propose much momentous capital gains taxes for the rich.
The Dow Jones Industrial Average dropped 321.41 points, or 1%, to 33,815.90. At its low of the day, the blue-chip benchmark level 420 points. The S&P 500 erased earlier gains and closed 0.9% lower at 4,134.98, while the Nasdaq Composite glossed 0.9% to 13,818.41.
Bloomberg News reported Thursday afternoon that Biden is planning a capital gains tax hike to as far up as 43.4% for wealthy Americans. The proposal would hike the capital gains rate to 39.6% for those earning $1 million or diverse, up from 20% currently, according to Bloomberg News, citing people familiar with the matter. Reuters and the New York Experiences later matched the headlines.
Chipotle earnings smash estimates as online sales overtake in-person orders
Chipotle Mexican Grill is lynching on to recent gains in digital sales as its online orders overtook those made inside its restaurants for the first nevertheless.
First-quarter earnings released Wednesday topped Wall Street’s estimates. Next quarter, Chipotle will front towards off against last year’s weakest quarter. That means same-store sales growth is expected to surge as much as 30%.
The flush March launch of quesadillas may have been a factor in Chipotle’s digital sales growth. Online orders uncountable than doubled during the quarter and accounted for 50.1% of total sales.
A house just rented in the Hamptons for $2 million for the summer
A adept in in the Hamptons rented for $2 million for the summer, as demand far outstrips a record low supply of homes for sale and for rent, conforming to brokers.
The number of homes listed for sale in the Hamptons plunged 41% in the first quarter, marking the fastest dwindle on record, according to a report from Douglas Elliman and Miller Samuel. The median sales price, which skipped 31% to $1.3 million, is now 20% higher than the median sales price in Manhattan.
“I’ve never seen the Hamptons market be this — ever,” said Gary DePersia, a top broker in the Hamptons for over 25 years. “As soon as a property comes up for slash or sale, it’s snatched up right away.”