Morning Brief

Ahead of jobs, Q2 on Wall Street starts in the red

Key Points


U.S. stock futures were lower this morning, the first day of the second quarter, ahead of the 8:30 a.m. ET release of the government's March employment report. The Dow closed out the first three months of the year with the biggest quarterly comeback since 1933. (CNBC)

Economists were forecasting a healthy 205,000 jobs were created in March, with average hourly earnings seen up 0.3 percent. The jobless is expected to hold steady at 4.9 percent. (CNBC)

Fed Chair Janet Yellen may have squeezed some of the volatility out of markets with dovish comments this week. Cleveland Fed President Loretta Mester speaks at 1 p.m. ET. She's a voting member on the central bank's policymaking committee this year. (CNBC)

U.S. oil prices were lower this morning, after a flat finish on Thursday. West Texas Intermediate crude posted a 3.5 percent quarterly gains, breaking a two quarter losing streak. The weekly Baker Hughes rig count is out at 1 p.m. ET. (Reuters)

Japan's Nikkei lost 3.5 percent today, as a reading on the economy disappointed investors. Meanwhile, China's Shanghai composite closed slightly higher on better-than-expected Chinese manufacturing surveys. (CNBC)

A consortium led by China's Anbang Insurance is walking away from its proposed takeover of Starwood Hotels (HOT) worth almost $14 billion. Marriott's (MAR) recently increased $13.6 billion offer was favored by management. (CNBC)

Tesla Motors (TSLA) gave a preview of its lower-priced, Model 3 sedan, saying more than 150,000 drivers had ordered the electric car, even though it's more than a year away from production. The starting price is $35,000. (Reuters)

The blood-testing devices that Theranos touted as revolutionary often failed to meet the rich startup's own accuracy requirements for a range of tests, including one to help detect cancer. That's according to a federal inspection report. (WSJ)

GOP presidential front-runner Donald Trump in Washington with the head of the Republican National Committee. Trumps trails Ted Cruz in next week's winner-take-most Wisconsin primary. (Reuters)

Dozens of world leaders assembling today for a nuclear security summit in Washington will confront a disparate array of modern-day threats, ranging from government actors like North Korea to murkier groups like the Islamic State. (AP)

Officials from the CDC, the White House, Health and Human Services, and local governments gather in Atlanta today, to work on a game plan to combat the Zika virus.


The government's jobs report is the first set of data in busy day for economic numbers that also include the ISM's March manufacturing index at 9:45 a.m. ET, and February construction spending and the University of Michigan's final March consumer sentiment index at 10 a.m. ET.

The nation's automakers also release their March U.S. sales figures throughout the morning, with forecasting a 23.5 percent increase from March of 2015.

Manhattan real estate set a new record during the first quarter, with the average price of an apartment topping $2 million for the first time in history. The average price per square foot of $1,713 was also a record.

Urban Outfitters (URBN) late Thursday gave an upbeat outlook for the current quarter, with the apparel retailer saying it sees low single-digit increases in comparable sales.

Marvell Technology (MRVL) is going to miss the deadline to file its annual report for the just-ended fiscal year, and the chipmaker also said it would issue an annual loss as revenue drops.


David Tepper's Appaloosa raised its stake from 9.5 percent to 10.88 percent in TerraForm Power (TERP), one of the so-called yieldcos of SunEdison (SUNE). This week, Appaloosa filed a lawsuit, saying SunEdison and some TerraForm directors had breached fiduciary duties.

Progressive (PGR) locked in a contract to become Uber's insurance company in Texas, breaking a trend that the ride-hailing service buy insurance solely from James River Group (JRVR).

Netflix (NFLX) won't be investigated by the government for so-called throttling. The FCC's chairman said the streaming service's actions were outside the net neutrality rules adopted late last year.

Egypt blocked Facebook's (FB) Free Basics Internet service there at the end of last year after the U.S. social network refused to give that country's government the ability to spy on users.

Regeneron (REGN) and Sanofi (SNY) say their experimental eczema treatment was highly effective in two large trials, with no serious side effects. The two drugmakers plan to seek U.S. approval.

Endo International (ENDP) was accused by the FTC of paying rivals to delay generic competition against two of its biggest drugs. Endo said it was disappointed by the action and intends to vigorously defend itself.


Forty years ago today, Steve Jobs and Steve Wozniak started Apple (AAPL). But it was a long road to becoming the world's biggest tech name, flirting with financial collapse before Jobs returned. (USA Today)