Here are the top news, trends, and analysis that investors need to get their trading day started:
1. Stocks bet on more profits after stopping their three-day losing streak
Traders working on the New York Stock Exchange (NYSE) on May 19, 2021.
NYSE
US stock futures pointed to a second straight day of gains on Wall Street, the day after a rebound rally halted a three-session loss. The Nasdaq rose nearly 1.8% on Thursday, dragging the tech-heavy index into positive territory for the week. Prior to Friday’s trading, the Dow Jones Industrial Average and S&P 500 were still lower for the week, despite progressing more than 0.5% and 1% respectively on Thursday. Tesla, chip stocks, and other speculative names that had great success in the previous session rebounded on Thursday as bitcoin prices rebounded.
2. Bitcoin is hovering above $ 40,000 after a wild week
A representation of the virtual currency Bitcoin can be seen in this illustration from May 19, 2021 in front of a stock graph.
Given Ruvic | Reuters
Bitcoin was trading above $ 40,000 on Friday as the rebound of the world’s largest cryptocurrency by market value stabilized to a three-month low near $ 30,000 after its collapse on Wednesday. Limiting concerns about U.S. demands for stricter cryptocurrency compliance with the IRS has been a concern to keep profits under control. The Treasury Department announced steps Thursday to require that transfers of $ 10,000 or more be reported to the IRS. At this week’s lows, Bitcoin fell more than 50% from April’s all-time highs near $ 65,000.
3. The US proposes a global minimum corporate tax rate of 15%
Treasury Secretary Janet Yellen speaks during a daily press conference in the James Brady Press Briefing Room of the White House on May 7th in Washington, DC.
Alex Wong | Getty Images
The Biden government is proposing a minimum global corporate tax rate of 15%. However, Treasury said Thursday that the final rate could be even higher, citing 15% a “floor”, and discussions should continue to be ambitious and increase that rate. Treasury Secretary Janet Yellen, who was Jerome Powell’s predecessor as chairman of the Federal Reserve, said setting a global minimum rate would help halt the “race to the bottom” for tax rates around the world.
4. Tim Cook, Apple’s CEO, wants to testify in the Epic Games case
CEO Tim Cook speaks at an Apple event at corporate headquarters in Cupertino, California on September 10, 2019.
Stephen Lam | Reuters
Tim Cook, Apple’s CEO, will take the stand on Friday to defend the company’s app store against allegations that have become an illegal monopoly. Apple relies on Cook’s appearance to complete the company’s defense against antitrust proceedings by Fortnite manufacturer Epic Games. Epic claims Apple’s App Store has turned into a budget vehicle that earns 15% to 30% commissions from in-app transactions and prevents apps from offering other payment alternatives.
5. Tesla is raising prices for the fifth time in recent months
Tesla’s Model Y compact crossover vehicles in a showroom in Shanghai, China on Jan. 18, 2021.
VCG | Visual China Group | Getty Images
According to EV news site Electrek, Tesla has raised prices for its 3 and Y models for the fifth time in the past few months. The Model 3 Standard Range Plus and Model 3 Long Range AWD rose by $ 500 and now started at $ 39,490 and $ 48,490, respectively. The Y Long Range AWD model also rose $ 500 and now started at $ 51,490. No reason was given for the increases. The prices for the Model 3 Performance and Model Y Performance vehicles have not been increased.
– The Associated Press contributed to this report. Follow all market action like a pro on CNBC Pro. With CNBC’s coronavirus coverage, you’ll get the latest information on the pandemic.
