What to watch today: Dow takes aim at new records on inauguration day

Dow futures rose Wednesday ahead of the inauguration of Joe Biden as the nation's 46th president. The 30-stock average on Tuesday broke a three-session losing streak, with a 116-point gain that brought it just over 0.5% away from its record closing high. (CNBC)

* Weekly mortgage refinance demand drops 5%, after rates hit the highest level since November (CNBC)

The flood of earnings continues before Wall Street's open, with Dow stocks UnitedHealth and Procter & Gamble on the docket along with Morgan Stanley. United Airlines is set to report quarterly results Wednesday afternoon. (CNBC)

* Morgan Stanley beats estimates on strong Wall Street and wealth management results (CNBC)
* P&G raises forecast after earnings top expectations, fueled by 8% jump in sales (CNBC)
* UnitedHealth profit beats on lower medical costs due to deferred care (Reuters)

Shares of Netflix surged 13% in the premarket a day after the streaming giant said that its fourth-quarter results showed it surpassed 200 million paid subscribers for the first time; three years after passing 100 million. Netflix said it is "very close" to being free-cash-flow positive and is considering stock buybacks. The company beat estimates with Q4 revenue, though it fell short on per-share profit. (CNBC)

* Netflix and Disney are trading places: Disney is the upstart, Netflix the old guard (CNBC)

Biden takes the oath of office at noon ET, taking the helm of a deeply divided nation and inheriting a confluence of crises. Biden's inauguration unfolds devoid of crowds due to the pandemic and heightened security at the Capitol, where supporters of outgoing President Donald Trump laid siege to the seat of the U.S. legislative branch of government exactly two weeks earlier. (AP)

* 12 Army National Guard members removed from securing Biden's inauguration after FBI vetting (AP)

Following the ceremony, Biden plans to sign more than a dozen executive orders to address a litany of challenges. The first will require Covid masks and physical distancing in all federal buildings, on all federal lands and by federal employees and contractors. Many of Biden's orders will reverse those issued by Trump, including the so-called Muslim travel ban and the construction of a southern border wall. (CNBC)

Shortly after Biden's inauguration, Democrats Raphael Warnock and Jon Ossoff will be sworn in as U.S. senators from Georgia, giving their party control of the upper chamber of Congress in a 50-50 split with soon-to-be Vice President Kamala Harris as the tie-breaking vote. (AP)

One day before stepping aside as Senate majority leader, Republican Mitch McConnell on Tuesday explicitly blamed Trump for the Capitol attack, saying the mob was "fed lies" and the outgoing president and others "provoked" those intent on overturning Biden's election. Trump's impeachment trial in the Senate for inciting insurrection will unfold after he leaves office. (AP)

Trump issued 73 pardons on his last night in the White House, including one for his 2016 campaign chief and former White House senior advisor, Steve Bannon, who was accused of defrauding donors. Trump also pardoned Anthony Levandowski, the former Google engineer sentenced to prison for stealing trade secrets relating to driverless cars from the search giant. (CNBC)

* DOJ won't criminally charge Sen. Richard Burr for stock trades after getting Covid intelligence (CNBC)

Eschewing tradition, Trump won't be attending Biden's inauguration. He plans to depart Washington in the morning. Trump on Tuesday night released a farewell address video, touting his record on the economy and foreign policy, while glossing over the Capitol riot and refusing to mention Biden by name. (CNBC)

As Biden takes over, the U.S. fight against Covid is going to shift to a more centralized, federal government-led approach. The current pace of U.S. vaccinations is going much slower than officials had hoped as the nation's virus deaths on Tuesday topped 400,000; a quarter of which happened in the last month. (JHU)

* Biden leads observance of America's Covid deaths on eve of inauguration (Reuters)
* New CDC director pledges to speed Covid vaccinations, restore Trust in agency (WSJ)

The coronavirus vaccine developed by Pfizer (PFE) and BioNTech (BNTX) is likely to be just as effective against a highly transmissible mutant strain of the virus that was first discovered in the U.K., according to a study by the two companies, which has not yet been peer-reviewed. (CNBC)

Alibaba (BABA) founder Jack Ma has emerged after weeks out of the spotlight, which sparked speculation about his whereabouts as his companies face increased regulatory scrutiny. In a video posted on Chinese social media, Ma addressed rural teachers as part of one his charity foundation's initiatives. (CNBC)

Walt Disney (DIS): Walt Disney eliminated bonuses for top executives for 2020, as the pandemic impacted earnings from its theme parks and movie studio business. Disney's shares rose 2.2% in the premarket.

Pearson (PSO): Pearson reported a 10% drop in sales during 2020, but the educational publisher saw sales trends improve during the fourth quarter thanks to growth in online learning. Pearson shares jumped 6.7% in the premarket.

ASML (ASML): ASML reported better-than-expected profit and sales for the fourth quarter, with the chip equipment maker saying its 2021 outlook could improve depending on political developments between the U.S. and China.

Tyson Foods (TSN): The beef and poultry producer announced additional settlements in cases involving alleged chicken price-fixing, involving more than 30 commercial buyers as well as end-user consumers. Terms of the settlements were not disclosed, and they are still subject to a judge's approval. The company's shares were up 1.5% in premarket trading.

Interactive Brokers (IBKR): Interactive Brokers beat estimates on the top and bottom lines for the fourth quarter of 2020, thanks to an increase in customer accounts and higher trading volumes for the electronic brokerage firm.

Zions Bancorp (ZION): Zions reported better-than-expected earnings and revenue for the fourth quarter, with the regional bank also reinstating its outlook after suspending forward guidance last March. Zions also said it expects to resume share buybacks this year. Shares were up 1.3% in premarket trading.

Paccar (PCAR): Paccar shares are jumping in premarket trading, after the truck maker announced a new partnership with Amazon-backed autonomous vehicle technology startup Aurora. The venture will seek to develop and commercialize autonomous versions of Paccar's Peterbilt and Kenworth trucks.

The Mega Millions jackpot Friday is moving closer to $1 billion after last night's $865 million drawing went without a winner. Tonight's Powerball drawing is worth a projected $730 million. No one has won either lottery's top prize since September, when both were won during the same week. (USA Today)