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Has Wall Street's 3-day rally run out of steam?

IN THE NEWS TODAY

U.S. stock futures were starting off the third quarter under pressure this morning, following a strong three-day rally that's seen the Dow and S&P 500 recover roughly 90 percent of their Brexit-related losses. The stock market is closed on Monday for the long fourth of July holiday weekend. (CNBC)

Ahead of today's trading on Wall Street, the Dow and the S&P were up about 3 percent and 2.7 percent, respectively, for the first half of the year. The Nasdaq, however, was off about 3.3 percent in 2016. The Dow and S&P were up in the second quarter for the third quarter in a row. (CNBC)

In addition to last week's Brexit shock, oil has been a driver in markets. For the second quarter, U.S. crude gained 26 percent, the biggest quarterly gain since 2009. Prices were lower following Thursday's 3 percent decline. Baker Hughes releases its weekly rig count at 1 p.m. ET. (CNBC)


Tesla (TSLA) is the subject of a preliminary investigation by federal regulators, following the disclosure of a fatal accident involving a Tesla Model S being driven in autopilot mode. Tesla shares were sharply lower in premarket trading.

The U.S. government and Honda (HMC) are taking the unusual step of telling owners of certain older model Honda cars and SUVS to stop driving them and immediately have them repaired because defective airbags make them dangerous to drive. (USA Today)

Apple (AAPL) is reportedly exploring buying Tidal, the music-streaming service run by rap musician Jay Z. Tidal denied talks were held. Apple declined to comment. Apple Music debuted a year ago, following the purchase of Beats, founded by rapper Dr. Dre. (WSJ)

Spotify is accusing Apple of making it harder for the streaming music company to compete by blocking a new version of its iPhone app. "Apple uses the App Store approval process as a weapon to harm competitors," said Spotify. (Recode)

Apple CEO Tim Cook was named lead independent director at Nike (NKE), as the athletic apparel and footwear giant announced the retirement of co-founder Phil Knight as chairman. Cook has been on the Nike board of directors since 2005. (CNBC)

A California jury ordered Oracle (ORCL) to pay Hewlett-Packard Enterprise (HPE) $3 billion in damages in a case over HP's Itanium servers. Oracle plans an appeal. The Itanium processor is made by Intel. (Reuters)

Hershey (HSY) has rejected a $23 billion takeover bid from Mondelez (MDLZ). The chocolate giant traded above Mondelez's bid of $107 per share in cash and stock, indicating investors expected a new offer. (Reuters)

Puerto Rico is set to register its largest default to date on today, with $2 billion in debt payments due to the financially strapped island's creditors. On Thursday, President Barack Obama signed a rescue bill. (CNBC)

Attorney General Loretta Lynch plans to announce today that she will accept whatever recommendation career prosecutors and the FBI director make about whether to bring charges related to Hillary Clinton's personal email server. (NY Times)

Lynch faced continuing questions related to an awkward encounter with former president Bill Clinton after the two crossed paths Monday at Phoenix's Sky Harbor International Airport. (USA Today)

Presumptive GOP presidential nominee Donald Trump's campaign is considering former House speaker Newt Gingrich and New Jersey Gov. Chris Christie in a shortlist of possible candidates for vice president, according to media reports. (USA Today)

BY THE NUMBERS

The first day of July and the final trading day before the long holiday weekend brings a number of economic reports, including the ISM manufacturing index for June and May construction spending at 10 a.m. ET. Throughout the day, U.S. automakers release June vehicle sales.

Fed Vice Chairman Stanley Fischer will be interviewed on CNBC at 10 a.m. ET. Then about an hour later, Cleveland Fed President Loretta Mester is due to speak in London at the European Economics and Financial Centre.

Micron Technology (MU) reported an adjusted loss of 8 cents per share, a penny smaller than expected. But revenue was slightly below estimates. The chipmaker also plans job cuts as part of an effort to lower costs as demand continues to decline.

STOCKS TO WATCH

Williams Companies (WMB) saw six of its directors resign, after an attempt to remove the CEO failed, according to Reuters. The departures come after Energy Transfer Equity (ETE) abandoned its more than $20 billion deal to buy its rival pipeline operator.

BHP Billiton (BHP) is going to appeal a Brazilian court's decision to reinstate a $6 billion claim against the mining company related to last year's disaster involving the Samarco iron ore mine.

Walt Disney (DIS) is buying a 33 percent stake in the video unit of Major League Baseball's digital operation, MLB Advanced Media, according to a Bloomberg report. The deal values the business at about $3.5 billion.

An online petition with 9,000 signatures accused Starbucks (SBUX) of reducing employee work hours. The company said there's no nationwide cutback in hours or jobs at the coffee chain's stores.


WATERCOOLER

The New Jersey Senate delayed a vote to raise the state's gas tax by 23-cents ahead of the holiday weekend. But starting today, drivers in Maryland and Washington State are paying more at the pump. (USA Today)

Jack Daniel's Distillery is kicking off a whiskey-driven scavenger hunt today by scattering barrels to more than 50 countries over 90 days. Special barrels will be hidden at "historic and cultural sites." (USA Today)