Morning Brief

What to watch today: Dow to fall, Deutsche Bank cuts jobs, and Apple stock downgraded


U.S. stock futures were pointing to a lower Wall Street open this morning after Friday's strong jobs data dampened hopes for a Fed interest rate cut later this month. (CNBC)

Despite Friday's declines from Wednesday's record closing highs, the Dow and S&P 500 rose more than 1% each for the holiday-shortened week. The Nasdaq saw a weekly advance of nearly 2%. (CNBC)

Shares of Dow component Apple (AAPL) were under pressure in the premarket after Rosenblatt Securities downgraded the stock to "sell" from "neutral," saying it thinks there is "less reward" for ownership. Rosenblatt did, however, maintain its 12-month $150 price target. (CNBC)

Also adding to the drag on the overall market were shares of Dow stock Boeing (BA). The U.S. aircraft giant lost out on a 737 Max deal to its European rival Airbus, after Saudi Arabian low-cost carrier Flydeal said it would buy up to 50 Airbus A320 Neo planes. The 737 Max jets were grounded in March after two deadly crashes. (WSJ)

Fed Chairman Jerome Powell has the opportunity this week to reinforce market expectations for a July rate cut or rein them in. He testifies before the House Financial Services Committee on Wednesday and the Senate Banking Committee on Thursday. (CNBC)

Trump says the Dow could be 10,000 points higher if not for the Fed (NY Post)

This week's light economic calendar begins with May consumer credit at 3 p.m. ET. However, as Powell appears before lawmakers, investors get two key reports on inflation, which could sway central bankers either way on a cut. Consumer prices for June are out Thursday, with June producer prices Friday. (CNBC)

BlackRock sees economic outlook worsening for the second half, but stocks doing well anyway (CNBC)


Deutsche Bank (DB) shares turned negative after initially jumping nearly 4% in early morning trade today as the German lender announced a mass restructuring program over the weekend. In one of its boldest overhauls, the bank will see 18,000 jobs cut by 2022 and the closure of its global equities sales and trading business in a bid to improve profitability. (CNBC)

* Read Deutsche Bank CEO's email to staff about job cuts (CNBC)

Iran announced it will raise its enrichment of uranium, breaking another limit of its unraveling 2015 nuclear deal with world powers and further heightening tensions between Tehran and Washington. Iran said the new percentage "will be based on our needs," without specifying. (AP)

A new analysis of employment information of Huawei personnel appears to show deeper links between the technology giant and China's military and intelligence bodies than previously acknowledged by the firm. Some employees can be linked "to specific instances of hacking or industrial espionage conducted against Western firms," it claimed. (CNBC)

Shared office space manager WeWork is looking to raise $3 billion to $4 billion in debt before it goes becomes a publicly traded stock. The potential debt offering underscores how disappointing market debuts for Uber (UBER) and Lyft (LYFT) prompted other money-losing start-ups with lofty valuations to reassess their IPO plans. (Reuters)

Starbucks (SBUX) apologized after an employee at one of its stores in Arizona asked six police officers to leave or move, triggering social media backlash. The officers had visited the store on July 4 and had paid for the drinks, before an employee approached them about a customer not feeling safe because of the police presence. (Reuters)

Wealthy financier and registered sex offender Jeffrey Epstein was arrested Saturday in New York on new sex-trafficking charges involving allegations that date to the early 2000s. Epstein is expected in court today where federal prosecutors are set to unseal the new charges. (AP)

* Why the Trump White House is caught up in the Epstein scandal (NY Times)


Multiple brokerages initiate coverage on cloud-based cybersecurity firm Crowdstrike (CRWD) following the standard IPO cooling off period. Crowdstrike opened at $63.50 per share last month compared to its offer price of $34. The stock has gained about 26% since then.

Disney's (DIS) "Avengers: Endgame" is now just $15 million shy of the record for highest-grossing film of all time. At the end of the July 4 holiday weekend and after 73 days in the theaters, "Endgame" has hauled in $2.772 billion globally, just short of the record $2.787 billion that "Avatar " has earned since its release in 2009.


Google is denying a New York Post report that the Alphabet (GOOGL) unit is in talks with Dish Network (DISH) to create a new U.S. wireless carrier. In a statement to website 9-to-5 Google, a spokesperson said that claims of Dish talks are "simply false."

The United States won its record fourth Women's World Cup title and second in a row, beating the Netherlands 2-0 on Sunday. Megan Rapinoe converted a penalty kick in the second half and Rose Lavelle added a goal. The U.S. set records with 26 goals and a 12-game World Cup winning streak dating to 2015. (AP)

American teen sensation Cori "Coco" Gauff faces No. 7-seeded Simona Halep at Wimbledon today after pulling off another huge upset days earlier. The 15-year-old Gauff, who became the youngest to win a match at Wimbledon since Jennifer Capriati in 1991, took out Venus Williams in the first round. (USA Today)