Source: NYSE Here are the most important news investors need to start their trading day:
1. Markets are looking up
US stock futures rallied on Friday morning, a day after the three major indexes posted mixed results. On Thursday, the Dow ended slightly higher, while the S&P 500 and tech-heavy Nasdaq slipped after another round of inflation data showed price increases slowing somewhat. However, the one-month data does not trend, and inflation remains high even as gas prices ease from June’s record highs. The US Federal Reserve is still expected to act aggressively against rising prices and is forecast to raise interest rates again in September. Next week, markets will get even more insight into how inflation is affecting consumers as Walmart, Target, Home Depot and Lowe’s prepare to report quarterly results.
2. Democrats are ready to pass their big bill
Speaker of the U.S. House of Representatives Nancy Pelosi speaks during a sign-in ceremony for S. 3373, the SFC Heath Robinson Honoring PACT Act of 2022 at the U.S. Capitol in Washington, DC, August 9, 2022. Sarah Silbiger | Reuters The House on Friday is set to pass climate, health care and corporate tax legislation, now known as the Lower Inflation Act, largely along party lines. The law is intended to boost the electric vehicle industry, among other climate issues, while strengthening Medicare and Obamacare. The bill is much smaller than the original proposals. Still, it represents a victory for majority Democrats, who have struggled for months to pass enough of President Joe Biden’s agenda while negotiating with centrist members of their own party, Sens. Joe Manchin and Kirsten Sinema. Passage in the House would send the bill to Biden for his signature.
3. Rivian predicts a bigger loss for the year
Workers work on an assembly line at Rivian Automotive’s electric startup plant in Normal, Illinois, April 11, 2022. Kamil Krzaczynski Reuters
4. CDC relaxes Covid guidelines
Luca Moore, 11 months, receives a vaccine against the coronavirus disease (COVID-19) as his mother Dr. Danielle Smith holds him at Northwell Health’s Cohen Children’s Medical Center in New Hyde Park, New York, USA, 22 June 2022. Shannon Stapleton | Reuters The Covid-19 pandemic is far from over. Tens of thousands of people are infected every day in the United States. However, the disease poses a less serious health threat, the US Centers for Disease Control and Prevention said on Thursday, as they eased guidelines for dealing with the virus. The agency said there are high levels of immunity in the population, as well as a range of vaccines and other treatments for it. Among the changes to the CDC’s recommendations: No more testing in schools for people who don’t have symptoms, and unvaccinated people will no longer need to be quarantined if they’ve been exposed to the virus.
5. The Justice Department wants to issue the Trump search warrant
U.S. Attorney General Merrick Garland speaks about the FBI search warrant served at former President Donald Trump’s Mar-a-Lago estate in Florida during a statement at the U.S. Department of Justice in Washington, U.S., August 11, 2022. Evelyn Hockstein | Reuters The historic showdown between the US Department of Justice and former President Donald Trump has entered a tense new phase. Attorney General Merrick Garland said Thursday that the Justice Department has filed a motion to unseal the search warrant FBI agents executed earlier this week at Trump’s private Mar-a-Lago club in South Florida. Agents reportedly removed several boxes and documents from the resort. The New York Times and Washington Post, both citing sources, said US officials were seeking sensitive documents with national security implications. The former president, who has referred to various investigations surrounding him as a “witch hunt,” said late Thursday that he would not oppose the issuance of the warrant. Trump’s lawyers also have a copy of the warrant, as well as a list of items seized during the search, but have not released either document. The manifesto, if released, would likely be heavily redacted if classified materials were on the list. – CNBC’s Samantha Subin, John Rosevear, Spencer Kimball and Dan Mangan contributed to this report. — Join the CNBC Investing Club now to follow Jim Cramer’s every stock move. Follow the broader market action like a pro on CNBC Pro.
