Here are the key news, trends, and analysis investors need to start their trading day:
1. S&P 500 appears to add to Friday’s record high
Traders on the floor of the New York Stock Exchange, June 25, 2021.
US stock futures were mixed on Monday after the S&P 500 closed at another record high on Friday and posted its best weekly gain since February. The Nasdaq, which fell from a record close of the previous session on Friday, had its best week since April. The Dow rose on Friday, now within 1% of its last record high in early May. The 30-share average saw its best weekly rise since March. Investors look to the second half of the year as the second quarter ends on Wednesday. Ahead of the new week, the S&P 500 rose nearly 14% in 2021; the Dow rose 12.5% year-to-date; and the Nasdaq rose 11.4% in 2021.
2. Bond traders await June government employment data
Signage at a Job News USA careers fair in Louisville, Kentucky, USA, on Wednesday, June 23, 2021.
Luke Sharrett | Bloomberg | Getty Images
The 10-year government bond yield ticked lower on Monday, trading around 1.51%, with the government’s latest monthly employment report due out next Friday, ending a busy week of economic data. Economists estimate 683,000 non-farm payrolls were created in June when the country’s unemployment rate fell to 5.7%. Average hourly wages are up 3.7% year-on-year, up from 1.98% in May. After further signs of surging price pressure in the recovering economy last week, Wall Street will be closely monitoring this wage data for signs of labor inflation.
3. Republicans say a bipartisan infrastructure deal is back on track
President Joe Biden speaks to a bipartisan group of Senators outside the White House in Washington on Thursday, June 24, 2021. Biden invited members of the group of 21 Republican and Democratic senators to discuss the infrastructure plan.
Jacquelyn Martin | AP
It looks like the bipartisan infrastructure deal is back on track. Senator Rob Portman, R-Ohio, said Sunday the compromise agreement could move forward after President Joe Biden made it clear he would sign the measure even if it did without a second set of Democratic priorities. The president said last week that he would refuse to sign the contract unless the two bills came together. The Democrats want to pass this second law through reconciliation, a process that does not require Republican votes.
4. FAA sends a letter to Boeing; J&J reaches opioid agreement
A Boeing 777X airliner takes off on January 25, 2020 in Everett, Washington, for its maiden flight at Paine Field.
Boeing will not receive certification of its 777X long-haul aircraft until mid to late 2023 at the earliest. This emerges from a letter from an FAA official to Boeing received from CNBC saying there are numerous technical issues that need to be resolved. Boeing, a Dow component, fell 1% in the premarket on Monday.
New York State Attorney General Letitia James speaks during a press conference to announce criminal justice reform on May 21, 2021 in New York City, United States.
Brendan McDermid | Reuters
Johnson & Johnson has reached a $ 230 million settlement with New York State that prevents the healthcare company from promoting opioids. J&J confirmed that sales of such products have ceased in the US J&J has not marketed any opioids in the US since 2015 and completely ceased business in 2020. Dow shares rose 0.5% in pre-trading hours.
5. ‘F9’ sets a record weekend for the Covid era at the home box office
Still from Universal’s “F9”.
Comcast’s “F9”, the latest in the Fast and Furious franchise, led the North American weekend box office with $ 70 million in ticket sales. That’s most of the films released after the pandemic. The previous record holder from the Covid era was Paramount’s “A Quiet Place Part II”, which was owned by ViacomCBS and opened in May for just under 50 million US dollars on its debut weekend. With an additional $ 37.9 million in international ticket sales, “F9” has grossed more than $ 405 million since debuting outside the US and Canada in May.
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Disclosure: NBC and CNBC are owned by Comcast’s NBCUniversal unit.