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Morning Brief

What to watch today: China trade, Trump's tax returns, Google and more

BY THE NUMBERS

U.S. stock futures were lower this morning after the Dow finished more than 400 points above its session low. Trade tensions continue to weigh on investor sentiment, with the Dow and S&P 500 down in three of the past four days and the Nasdaq declining in four of the past five sessions. (CNBC)

Anadarko Petroleum (APC) said Occidental Petroleum's (OXY) $38 billion takeover bid is superior to the deal it had in place to be bought by Chevron (CVX). It has notified Chevron that it is determining the deal, with Chevron now having four days to respond with another offer should it decide to do so. (CNBC)

* Buffett says Occidental Petroleum investment is a bet on oil prices over the long term (CNBC)

Allergan (AGN), Dean Foods (DF) and Mylan (MYL) are among the companies out with quarterly earnings this morning. Lyft (LYFT), Papa John's (PZZA), Sprint (S), TripAdvisor (TRIP) and Western Union (WU) are among the companies that issue numbers after today's closing bell. (CNBC)

On the data front this morning, the Labor Department is out with its JOLTS report for March at 10 a.m. ET. It's expected to show that U.S. employers had about 7.25 million job openings as of the end of that month. (CNBC)

IN THE NEWS TODAY

Chinese Vice Premier Liu He is expected to join a delegation in the U.S. this week, a potentially positive sign for a trade agreement between the U.S. and China even as the Trump administration says it will hike tariffs on Friday. (CNBC)

* Trump reignites the China trade war — here's how we got here (CNBC)
* Chuck Schumer urges Trump to 'hang tough on China' (CNBC)

Treasury Secretary Steven Mnuchin said he will not allow President Donald Trump's tax returns to be released to Congress. He said he's determined that the request from Democrats "lacks a legitimate legislative purpose." (CNBC)

Michael Cohen entered federal prison to begin his three-year sentence for crimes including ones he said he committed to benefit his former client, Trump. The president has said Cohen lied about him in a bid to win a reduced criminal sentence. (CNBC)

* Trump pardons man convicted of killing an Iraqi prisoner (USA Today)

Amazon (AMZN) is bringing its cashier-less convenience store to New York. And it will also mark the first time this type of store, called Amazon Go, accepts cash. The company faced some backlash over "discrimination" concerns. (CNBC)

* Walmart opening dozens of vet clinics in stores, launching online pet pharmacy (CNBC)

Google CEO Sundar Pichai is expected to showcase much-anticipated updates to the company's hardware lines and artificial intelligence today, during his keynote at the Alphabet (GOOGL) company's annual I/O conference for software developers. (AP)

* Apple and Google remove three dating apps for letting kids under 13 sign up, FTC says (CNBC)

After exiting Beyond Meat, Tyson Foods (TSN) said that it will roll out its own plant-based meat substitutes beginning this summer. Plant-based proteins have been gaining in popularity, even among those who also eat meat. (CNBC)

uBiome, a start-up that sells health tests, said that it is suspending clinical operations for its health tests, including SmartGut and SmartJane. That decision follows the news that the FBI searched the company's San Francisco offices. (CNBC)

A new government study found several active ingredients in popular sunscreens are absorbed into the body rather than just sitting on the skin. At present, no one knows whether the chemicals tested by the FDA are harmful. (NBC News)

STOCKS TO WATCH

Hertz Global (HTZ) reported a quarterly loss of 99 cents per share, smaller than the $1.33 per share loss that analysts had been predicting. The car rental company's revenue was essentially in line with estimates.

AIG (AIG) earned an adjusted $1.58 per share for the first quarter, well above the $1.06 estimate. The insurance company's revenue also came in above Street forecasts, and its general insurance operation saw an underwriting profit for the first time in a decade.

PepsiCo (PEP) will invest about $4 billion in Mexico over the next year in conjunction with Mexican partner Grupo Gepp, with part of that investment going to a new $109 million plant.

Pioneer Natural (PXD) reported adjusted quarterly profit of $1.83 per share, beating estimates by 22 cents, though revenue was below forecasts. The energy producer also announced it sold various assets to focus solely on its operations in the Permian Basin.

Gluu Mobile (GLUU) earned an adjusted 5 cents per share for the first quarter, matching forecasts, while the mobile game developer saw revenue come in above estimates. It also said three new games — "WEE Universe," "Diner DASH Adventures," and "Disney Sorcerer's Arena" — are set to launch over the next few months. However, Gluu also gave weaker-than-expected guidance for both the second quarter and the full year.

Mosaic (MOS) beat estimates by a penny with adjusted quarterly profit of 25 cents per share, with the fertilizer producer's revenue also coming in above analyst forecasts. The better-than-expected results came despite poor weather which boosted Mosaic's costs.

Boeing (BA) was downgraded to "equal weight" from "overweight" at Barclays, which thinks passengers will try to avoid flying 737 Max jets for longer than anticipated.

WATERCOOLER

Celebrities, including Lady Gaga, Harry Styles and Cardi B, dressed up in extravagant outfits and posed on the red carpet last night for this year's Met Gala. See what the stars wore via The New York Times.

HBO said in a statement that the modern-day "latte" that appeared in Sunday night's episode of "Game of Thrones" was a mistake. "Daenerys had ordered an herbal tea," HBO said. (CNBC)