5 Things to Know

5 things to know before the stock market opens Tuesday

1. Wall Street looks to add to rally

U.S. stock futures were pointing to more gains at Tuesday's open after a rally put the Dow Jones Industrial Average within 1% of breaking even for the year and around 4% away from its Feb. 12 record closing high.

The S&P 500 hit another record and logged its first close over 3,400 ever. The Nasdaq also closed at another record high.

Global markets were getting a boost Tuesday morning on a renewed commitment by the U.S. and China to their phase one trade deal following a phone call between the two sides late Monday.

2. Dow shakeup prompted by Apple split

Marc Benioff, founder, chairman and co-CEO of Salesforce, speaks at an Economic Club of Washington luncheon in Washington, DC, on October 18, 2019.
NICHOLAS KAMM | AFP | Getty Images

Major changes are coming to the Dow industrials, with three new companies joining the 30-stock benchmark before-the-bell on Monday. Salesforce replaces Exxon Mobil; Amgen replaces Pfizer; and Honeywell International replaces Raytheon Technologies. The shake-up was prompted by Apple's decision to enact a 4-for-1 stock split, which would significantly reduce the Dow's exposure to the information technology sector.

3. Republican National Convention: Day 2

A general view of the renewed White House Rose Garden, from where first lady Melania Trump will address the Republican National Convention on August 25, during a media preview hosted by her office in Washington, D.C., U.S. August 22, 2020.
Erin Scott | Reuters

Day 2 of the Republican National Convention features first lady Melania Trump on Tuesday night. She's set to give her speech from the Rose Garden, which she redesigned. The program includes Secretary of State Mike Pompeo, breaking decades of precedent keeping secretaries of State from partaking in overtly partisan politics.

President Donald Trump appeared frequently during the opening of the GOP convention on Monday, as he's expected to do every night. Featured speakers included Donald Trump Jr., and former U.N. Ambassador Nikki Haley.

Sen. Tim Scott of South Carolina, the only Black Republican in the upper chamber, delivered a forward-looking speech that focused more on policy than the president. Scott took the lead on the GOP's police reform efforts after the death of George Floyd.

4. New cases in U.S. continue downward trend

New infections of the coronavirus in the U.S. ticked up to 34,567 on Monday from Sunday but continued a generally downward trend since the most daily cases of the pandemic of over 77,000 on July 16. Cumulative cases in the U.S. stood at over 5.7 million with 177,279 deaths as of Tuesday morning. The U.S. accounts for about a quarter of all global cases and fatalities.

AstraZeneca has started testing an antibody-based cocktail for the treatment and prevention of Covid-19, adding to recent signs of progress from many companies on possible medical solutions to the disease. The British pharmaceutical giant is also among the leaders in the global race to develop a successful coronavirus vaccine.

5. Laura could hit U.S. Gulf Coast as a hurricane this week

Visible GOES-16 satellite image of Tropical Storm Marco (left) and Tropical Storm Laura (right) at 12:50 p.m. EDT Sunday, August 23.

Officials in the Gulf Coast states are warning that Tropical Storm Laura could rapidly intensify into one of the most powerful hurricanes to ever hit the region. Residents are being urged to prepare before landfall in Texas or Louisiana, which is expected in the next couple days. Laura comes on the heels of Tropical Storm Marco, which weakened sooner than expected and made landfall Monday in Louisiana. The back-to-back storms prompted many energy companies to shutter Gulf operations and ride out the weather.

— Reuters and The Associated Press contributed to this report. Follow all the developments on Wall Street in real-time with CNBC's live markets blog. Get the latest on the pandemic with our coronavirus blog.