Morning Brief

What to watch today: Banking earnings, EU's Amazon probe, and Elon Musk's brain computer


U.S. stock futures were pointing to a slightly higher Wall Street open this morning, following the first loss in five sessions for the Dow and six sessions for the S&P 500. The Dow did, however, set another all-time intra-day high Tuesday before closing lower. Stocks remain solidly positive for the month, continuing a trend which has seen July gains in each of the past four years. (CNBC)

Continuing this week's bank earnings, Bank of America (BAC), Bank of New York Mellon (BK), Comerica (CMA), PNC Financial (PNC), and U.S. Bancorp (USB) issue quarterly results this morning. Dow component IBM (IBM), along with the first of the FAANG companies Netflix (NFLX), report after the bell. (CNBC)

* BofA beat estimates with profits on retail banking strength (CNBC)

Shares of Nu Skin Enterprises (NUS) were tanking about 20% in the premarket after the company said second-quarter earnings would come in below forecasts, due to reduced revenue in China. The maker of personal care products also points to negative impact from a falling dollar. (Seeking Alpha)

* Shares rail operator CSX sink after earnings were hit US-China trade war weakness (Reuters)

Goldman Sachs raised its Apple (AAPL) stock price forecast to $187 from $171, but that's still 9% below Tuesday's close. The Goldman research note is largely negative on Apple, discussing how the tech giant's services business growth may fall short. (CNBC)

On today's economic calendar, the government releases June housing starts at 8:30 a.m. ET. The Fed releases its Beige Book at 2 p.m. ET. The Energy Department releases its usual Wednesday look at oil and gasoline inventories at 10:30 a.m. ET. Kansas City Fed President Esther George speaks at 2:30 p.m. ET. (CNBC)

* Weekly mortgage applications drop as rates rise and homebuyers pull back (CNBC)


Amazon (AMZN) is facing a formal EU antitrust investigation. The commission said today it's looking into whether the e-commerce giant abused its role as an independent marketplace and a retailer of its own products. Meanwhile, Group of Seven top finance officials are meeting in Paris today to find common ground on how to tax tech companies and navigate digital currencies. (AP)

* Google has been accused of working with China. Here's what they've been doing there (CNBC)

Facebook's been saying a Swiss data protection agency will oversee its new cryptocurrency, Libra. But the social media giant hasn't reached out to the Swiss regulator about its digital coin yet. And the scrutiny of Libra moves to the House Financial Services Committee today, after a lively Senate Banking Committee hearing Tuesday. (CNBC)

The House voted to condemn as "racist" President Donald Trump's recent tweets, telling a group of progressive Democratic congresswomen, Alexandria Ocasio-Cortez, Rashida Tlaib, Ilhan Omar, and Ayanna Pressley, to go back to the "crime infested places from which they came." Four Republicans broke ranks and joined the Democrats. (CNBC)

* GOP support for Trump rises after tweets attacking congresswomen: Reuters/Ipsos poll

Joe Biden's campaign paid a prominent, longtime Democratic speech coach the day after the former vice president's widely criticized performance in the first debate of the 2020 primary. It was not clear whether Sheehan had advised Biden before the debate or he was hired immediately afterward. (CNBC)

Former GOP Rep. Claudia Tenney of New York is leaning toward running again for the battleground House seat she lost to Democrat Anthony Brindis during last year's midterm election. If Tenney enters the race for the New York 22nd District seat, she would join a growing contingent of Republicans considering a run. (CNBC)

Barney Frank, former chairman of the House Financial Services Committee, says significant progress has been made to reduce the amount of imprudent household lending in the past 10 years, but consumers are still borrowing way more than is manageable. (CNBC)

John Paul Stevens, the bow-tied, independent-thinking, Republican-nominated justice who unexpectedly emerged as the Supreme Court's leading liberal, died Tuesday in Fort Lauderdale, Florida, after suffering a stroke. He was 99. (AP)

Elon Musk's ambitious brain-computer start-up Neuralink is looking to start trials on humans next year. The start-up envisions drilling holes into the brain with a custom machine to embed thin threads that connect to a tiny processor, which can then be connected to a smartphone over Bluetooth. (CNBC)

* Tesla cuts prices on top-selling Model 3 while discontinuing versions of other cars (CNBC)

IAC/InterActiveCorp (IAC) is paying $250 million for a stake in car-sharing app company Turo. The deal, once it closes, would make IAC largest shareholder in Turo, often referred to as the Airbnb for cars. The new funding brings Turo's total equity raised to $470 million. (CNBC)


United Airlines (UAL) beat consensus earnings and revenue estimates in its fiscal second-quarter. United still expects profits to rise despite capacity cuts caused by the grounding of Boeing's (BA) 737 Max jet.

Sprint (S) said that a security breach exposed subscriber information, according to a letter to customers obtained by ZDNet. Sprint said it was informed of the hack on June 22. The company said it re-secured all compromised accounts by resetting PIN codes three days later.

DouYu International (DOYU) priced its U.S. initial public offering at $11.50 per share, at the low end of the expected range. The China-based video streaming service, which is backed by Chinese internet giant Tencent Holdings, debuts today on the Nasdaq.


While "Veep," "Game of Thrones" and "The Marvelous Mrs. Maisel" will get to bask in the Emmy's spotlight until the awards ceremony in September, there are quite a few shows and actors that did not make the nomination list. (CNBC)

Everyone's suddenly posting pictures online of what they might look like when they're old. If you're wondering how they're doing this, it's by using an an app called FaceApp, which is now the top trending free app in the iTunes App Store. You can download and use for free for three days. (CNBC)