Morning Brief

Wall Street looks to extend its record rally

Key Points


U.S. stock futures were higher this morning after the Dow, S&P 500, Nasdaq, and small-cap Russell 2000 on Wednesday all logged record high closes. The tech-heavy Nasdaq was riding a nine-session win streak. (CNBC)

The last vestiges of the dotcom bubble burst was finally wiped out, when the S&P 500 Information Technology Index hit a record high for the first time since March 2000. (CNBC)

* Stocks set-up for an extended summertime rally (CNBC)
* ECB holds interest rates steady (CNBC)
* Philly Fed index and jobless claims at 8:30 a.m. ET (CNBC)

Dow stocks Microsoft (MSFT) and Visa (V) lead this afternoon's earnings reports. This morning, Dow component Travelers (TRV) reported a mixed quarter, earnings that missed estimates but revenue that beat. (CNBC)

American Express (AXP), another Dow stock, issued earnings and revenue that exceed estimates. But net-income fell 33 percent from the year-ago period when Amex still had a partnership with Costco. Amex shares were under pressure in the premarket. (CNBC)

* Amex, Visa, and MasterCard seek licenses in China (Reuters)
* Morgan Stanley predicts Nike shares will rally nearly 20% (CNBC)


President Donald Trump, in a New York Times interview, said he wouldn't have appointed Jeff Sessions to be attorney general had he known the former senator would recuse himself from the investigation into Russian interference in the 2016 election.

* Trump warns special counsel against looking into his family finances (NY Times)
* Trump's embrace of Russia making top advisers wary (AP)

The Senate Judiciary Committee wants Donald Trump Jr. and Paul Manafort to testify at a Wednesday hearing. It's unclear whether they'll appear. Meanwhile, presidential advisor Jared Kushner is set to speak to senators in a closed-door session Monday. (NBC News)

* Ex-campaign chair Manafort reportedly owed millions to pro-Russia interests (NY Times)
* Trump loans from Deutsche Bank face regulatory scrutiny (NY Times)

A key group of Republican senators met late into the night to try to salvage their health care bill but emerged without any progress. Senators were summoned earlier Wednesday to lunch with President Trump. (Politico)

Repealing much of Obamacare without a replacement plan would increase the number of people without health insurance by 32 million people over 10 years, a new CBO study finds. That's 10 million more than the agency's June estimates for the now-dead repeal-and-replace effort. (CNBC)

* House panel approves budget measure that advances tax reform (Reuters)
* Trump stops hundreds of planned regulations (AP)
* The first six months of President Trump in 7 issues (The Washington Post)

Sen. John McCain has been diagnosed with brain cancer. The tumor was discovered after a blood clot was removed from above his left eye last week. Words of encouragement poured in from McCain's Capitol Hill colleagues and President Trump. (CNBC)

Experts believe O.J. Simpson has a good shot at being granted parole at hearing in Nevada today. Simpson is approaching the minimum time served of his 33-year sentence after being convicted in a botched 2008 robbery. (NBC News)

Sears Holdings (SHLD) announced today the launch of Kenmore products on Amazon, as well as the integration of the full line of Kenmore Smart appliances with Alexa. Sears shares were soaring in premarket trading. (CNBC)

Activist investor Jana Partners is cashing out of its 9 percent position in Whole Foods (WFM) in wake of Amazon's (AMZN) $13.7 billion buyout offer. Jana originally took the stake seeking to replace board members and explore a sale. (CNBC)

When more than 900 Whole Foods shoppers were asked what Amazon should add or change at the organic grocer's locations, the top response was adding "cashier-free checkout," according to a new poll. (CNBC)

* Half of American jobs at risk from automation, new study says (CNBC)

PepsiCo's (PEP) longtime leader Indra Nooyi is promoting one of her lieutenants to serve as the company's president, filling a No. 2 role that's been vacant for nearly three years and shuffling around her potential successors. (Dow Jones)

Intel (INTC) has cut most of its division that worked on health wearables, including fitness trackers. Many of the workers were given the opportunity to relocate to other parts of the business. (CNBC)

Facebook (FB) is reportedly planning a subscription-based news product later this year, requiring readers to pay after accessing 10 free articles. The news industry previously asked Congress for exemptions to work with platforms like Facebook. (The Street)


Blackstone (BX) saw earnings and revenue come in short of estimates in its latest quarter. However, the money manager notes assets under management were at an all-time high and results are up by double digit percentages over a year ago.

Qualcomm's (QCOM) ongoing legal dispute with Apple (APPL) contributed to a 40 percent decline in year-over-year in quarterly profits and a negative outlook. However, adjusted earnings and revenue beat estimates.

T-Mobile US (TMUS) blew the doors off estimates with adjusted earnings and revenue for its latest quarter. The mobile service provider saw a surge in subscribers and record low customer defections.

Alcoa (AA) earned an adjusted 62 cents per share, 2 cents above estimates, with revenue essentially in line. However, the aluminum producer cut its annual earnings forecast, citing higher input costs.

SAP (SAP) reported better-than-expected sales for the second quarter, helped by demand for the business software provider's cloud services, but higher costs were blamed in part for below-consensus profit.

Canadian Pacific Railway (CP) reported a better-than-expected quarterly profit, on higher commodities shipments. But the rail operator issued a cautious outlook for the second half of the year.

Kinder Morgan (KMI) expects to increase its dividend by 60 percent next year, with 25 percent increases for the two years after that. The pipeline operator also announced a $2 billion share repurchase program.

Square (SQ), PayPal (PYPL), and other payment company stocks could benefit from yet more consolidation in the industry, with France's Ingenico announcing a deal to buy Swedish rival Bambora for $1.7 billion.


The first wave of scores at Royal Birkdale suggest today's opening round of the British Open major tournament won't be as brutal as initially feared. (SB Nation)

]"Game of Thrones" still has the bulk of two seasons to go, but the showrunners of HBO's blockbuster flagship fantasy series are ready to unveil their next original show: an alternate Civil War-era reality. (CNBC)