10AM Hour: Taylor Morrison CEO on Sale to Berkshire, Related Digital, Hilton & Bristol Myer Squibb CEOs 6/1/26

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Sara Eisen (1:06)

Good Monday morning, welcome to Squawk on the Street. I'm Sara Eisen. With Carl Quintanilla, we are live at Post 9, as always, from the New York Stock Exchange. David Faber joining us today from Michigan with a big interview coming up in just a few moments. Related Companies Chairman, Jeff Lau, from the site of the Company's Stargate Data Center. Also ahead this hour, the CEO at the center of the Deal News of the Day. That would be Taylor Morrison Chief, Sheryl Palmer. She's with us after the news that Berkshire Hathaway is buying the home builder for nearly $7 billion.

Plus, we'll talk to Hilton CEO with the read on the consumer as the company launches a new brand today focused on college towns.

Carl Quintanilla (1:43)

First, though, some manufacturing and construction data coming out. Let's get back to Rick Santelli. Hey, Rick.

Rick Santelli (1:48)

Hi, Carl. Indeed, ISM manufacturing. Now, S&P remains strong. House ISM for the month of May, 54.0. That's a full point above expectations. 54 would be the strongest reading going back to May of 22 So, very similar to S&P, basically a four-year high. Manufacturing, least anecdotally, based on many numbers is starting to pick up. If we look at prices paid, not such great news, but better news. 82.1, still lofty, but we're expecting a number around 85 Sequentially, 84.6. 82.1 would actually be the least since May, excuse me, since March, when it was 78 and change. On the new orders front, well, it's still below an area of high water mark, but 56.8 is a strong number. We started out at 57.1.

56.8 will be the strongest since February, when it was below 56 So, pretty good numbers. Now, on the employment front, considering it's employment week, as you've been pointing out, this is a sub 50 index number. 48.6, better than expected, squentially higher than our monthly last look at 46.4, but it hasn't been above 50, going all the way back to September of 23 Now, let's look at construction spending. This is an April number up 4 tenths, double expectations, and last month's whopper of a number up 6 tenths was downgraded to up 2 tenths. Interest rates are elevated due to oil, and even though stocks are a bit in the red, at least when you look at outside some of the S&P numbers potentially, it is well off its lows, acting better in response to higher oil than interest rates, which remain quite sticky, 4.5%, up a half a dozen basis points in a 10 year. Carl, back to you.

Carl Quintanilla (3:45)

All right, good stuff, Rick. Thank you, Rick Santelli this morning. Got some awfully big swings today in technology as NVIDIA announces this new PC-focused chip and moves the entire semi-complex. Let's get to Christina Partson-Nevalos with some details. Morning, Christina.

Christina Parsonevelos (3:59)

Good morning. Well, Intel, AMD, Qualcomm have a new competitor, and of course, it's NVIDIA. Last night at Computex in Taipei, CEO Jensen Wong unveiled the RTX Spark, NVIDIA's first processor built for consumer window PCs. NVIDIA already sells the DGX Spark, which is a desktop workstation built for AI engineers, but the RTX Spark is a different animal. Aimed at everyday consumer devices starting at the premium end of the market. NVIDIA is working with Microsoft, Dell, HPE, Asus, Lenovo, etc. And plans for more eventually. They plan to have 30 laptop models and about 10 desktop models. The first devices should hit shelves this fall. And so that's the reason why you're seeing some of these other players like HPE swing quite dramatically. CEO Jensen Wong made clear, this is not a one-off product. It's a long-term commitment.

Jensen Wong (4:49)

There is no question this re-invention of the computer is as big of a deal as the re-invention of the phone into what we now know as the smartphone. And so this is the beginning of that journey. This is the beginning of a new line. And so we have a roadmap for this. This is a brand new product family for us.