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Morning Brief

Dow futures near breakeven | May's Brexit deal fails | More banks to report earnings

BY THE NUMBERS

Futures were hovering near breakeven this morning as the market evaluated the impact of the failed Brexit vote. The Dow is sitting less than 200 points away from escaping correction. The three U.S. major averages are coming off their highest closes in more than a month. (CNBC)

* European markets higher after May's Brexit vote defeat (CNBC)

U.K. Prime Minister Theresa May had placed a motion before lawmakers in the lower house of Parliament, asking them to rubber stamp her withdrawal agreement with the European Union. The bill was rejected by 432 votes to 202, thought to be the largest in U.K. political history. (CNBC)

It's a big morning for bank earnings, with Bank of America (BAC), Bank of New York Mellon (BK), Comerica (CMA), Goldman Sachs (GS), PNC Financial (PNC), and US Bancorp (USB) all set to report. Asset manager BlackRock (BLK) and brokerage firm Charles Schwab (SCHW) will also issue quarterly numbers this morning. After the bell reports today include CSX Corp. (CSX), H.B. Fuller (FUL), and Kinder Morgan (KMI). (CNBC)

BlackRock results fall short of expectations, assets fall back below $6 trillion (CNBC)

Two economic reports out today are housing-related: the Mortgage Bankers Association will be out with its weekly look at mortgage applications at 7 a.m. ET, while the National Association of Home Builders issues its monthly sentiment index at 10 a.m. ET. The Labor Department will issue its December report on import and export prices at 8:30 a.m. ET. (CNBC)

The Federal Reserve issues its Beige Book today, with its region-by-region assessment of the U.S. economy due out at 2 p.m. ET.

IN THE NEWS TODAY

The partial government shutdown, which is now entering its 26th day, has exhausted contingency plans and is prompting drastic measures throughout the federal contracting industry, the Wall Street Journal reported.

China's central bank today pumped a net 560 billion yuan, or $83 billion, into its banking system — a record amount of money injected in one day — in a sign that the economy may be facing enormous stress. (CNBC)

Democrats will get a chance today to grill Trump's point person on deregulation when Andrew Wheeler goes to Capitol Hill for his confirmation hearing to be the next permanent administrator of the EPA. (USA Today)

* Acting AG Whitaker to testify before Congress (USA Today)

An FBI agent working for Robert Mueller filed a heavily redacted court document aiming to bolster the special counsel's claim that former Trump campaign chief Paul Manafort repeatedly lied to investigators. (CNBC)

Sen. Kirsten Gillibrand, a New York Democrat, announced she is launching an exploratory committee for a White House run. The senator spent so little during the midterms that she was reportedly left with a $10.7 million war chest. (CNBC)

Sears Chairman Eddie Lampert prevailed in a bankruptcy auction for the U.S. department store chain with an improved takeover bid of roughly $5.2 billion, according to Reuters citing sources, allowing the 126-year-old retailer to keep its doors open.

Snap (SNAP) announced that CFO Tim Stone will be stepping down to pursue other opportunities. It also said it would post results that are "slightly favorable" to the top end of its previous guidance when it reports its earnings. (CNBC)

Microsoft (MSFT) announced it has signed a multiyear deal with Walgreens Boots Alliance (WBA) that includes exploring digital health opportunities within stores and developing software for managing patient engagement. (CNBC)

Apple (AAPL) launched three new smart battery cases for its newest iPhones. They cost $129, and it's the first time Apple has launched a battery case since the one it first began selling for the iPhone 6/iPhone 6s. (CNBC)

STOCKS TO WATCH

United Continental (UAL) reported adjusted quarterly profit of $2.41 per share, beating the consensus estimate of $2.04. The airline's revenue also came in above estimates, amid an increased customer count prompted by an expansion of its domestic network.

PG&E (PCG) is being removed from the S&P 500 index, amid the utility's stock plunge as investors assess its potential liability related to last year's California wildfires. PG&E will be replaced in the index by medical device maker Teleflex (TFX).

Salesforce.com (CRM) is in talks to acquire privately held software developer ClickSoftware Technologies for about $1.5 billion, according to the Israeli financial news website Calcalist. ClickSoftware is currently owned by private equity firm Francisco Partners.

McDonald's (MCD) lost its right to the trademark for "Big Mac" in a European Union ruling. The case had been brought by Irish fast food chain Supermac's.

Verizon (VZ) will include subscriptions to Apple's (APPL) Apple Music service with some of its top-tier data plans.

Nordstrom (JWN) reported a 0.3 percent increase in comparable store sales at its full-priced locations in November and December, less than expected. Nordstrom cites lower traffic at those stores, although it also said comparable sales at it off-price stores rose 3.9 percent during that same period. The stock has now been downgraded to "neutral" from "buy" at Goldman Sachs, which also removed it from its "Conviction Buy" list.

Gannett (GCI) is pursuing a purchase of digital publisher Gizmodo Media Group, according to the Wall Street Journal. The paper said, however, that the effort may hit a snag because of a takeover bid for Gannett by newspaper publisher MNG Enterprises.

WATERCOOLER

Sony Pictures released the first trailer for "Spider-Man: Far From Home," which is set to hit theaters July 5, after the release of "Avengers: Endgame." The trailer shows Spider-Man embarking on a European adventure. (Variety)