Here are the top news, trends, and analysis investors need to start their trading day:
1. S&P 500 appears to add to Thursday’s record close
A Wall Street sign is pictured outside the New York Stock Exchange amid the coronavirus disease (COVID-19) pandemic in the Manhattan neighborhood of New York on April 16, 2021.
Carlo Allegri | Reuters
US stock futures rose on Friday, a day after the S&P 500 hit its 27th record close in 2021, but the first since May 7. After a scorching inflation report, the Dow also rose on Thursday, breaking a three-session hiatus and ending less than 1% from last month’s record close. The Nasdaq’s gain on Thursday put the tech-heavy index within 1% of its last record high in late April.
Ahead of Friday’s Wall Street opening, the Nasdaq rose 1.5% for the week, making a fourth straight weekly gain for the first time since January. The S&P 500 wanted a three-week winning streak. The Dow lost 0.8% that week and was well on its way to break two positive weeks in a row.
10-year government bond yields ticked lower on Friday, trading just above 1.4%, around their early March lows before climbing over 1.7% to a 14-month high later this month.
2. Meme stocks get some relief when they bump into a wall
SELINSGROVE, PENNSYLVANIA, UNITED STATES – 01/27/2021: A woman walks past the GameStop store in the Susquehanna Valley Mall. An online group rocketed GameStop (GME) and AMC Entertainment Holdings Inc. (AMC) shares to suppress short sellers.
Photo by Paul Weaver / SOPA Images / LightRocket via Getty Images
Meme stocks got some relief early Friday after bumping into a wall on Thursday. GameStop shares, which were down 27% on Thursday, rose 6% pre-IPO. GameStop investors appeared to be running for exits on Thursday, a day after the video game retailer announced the appointment of two former Amazon executives as CEO and CFO and announced it would sell up to 5 million additional shares to raise funds. GameStop – up about 50% from its all-time high of $ 483 per share in January – remained up nearly 1,100% in 2021. Last week’s big winner AMC Entertainment rose 4% in the premarket on Friday after closing 13% on Thursday. The stock – more than 40% down from last week’s all-time high of $ 72.62 – is still up 1,900% this year.
3. Biden, G-7 leader, advocate a global minimum corporate tax
US President Joe Biden poses for a picture during a meeting with British Prime Minister Boris Johnson (not pictured) ahead of the G7 summit in Carbis Bay, Cornwall, Britain, June 10, 2021.
Toby Melville | Reuters
President Joe Biden and G-7 leaders will publicly advocate a minimum global corporate tax of at least 15% on Friday, part of a broader agreement to update international tax laws for a globalized, digital economy. At a meeting at a resort in the UK, world leaders will also announce a plan to replace taxes on digital services targeting America’s largest tech companies with a new tax plan targeting the places where multinational corporations actually do business, not where they are headquartered. The White House also said G-7 leaders will agree to “provide political support to the global economy for as long as necessary to create a strong, balanced and inclusive economic recovery.”
4. Two Royal Caribbean passengers positive for Covid. tested
A file photo shows the Celebrity Millennium cruise ship at the Kai Tak cruise terminal in Kowloon Bay.
Felix Wong | South China Morning Mail | Getty Images
Royal Caribbean announced late Thursday that two guests on board their Celebrity Millennium ship had tested positive for Covid. According to the cruise company, which did not reveal their age, passengers were asymptomatic and isolated. Celebrity Millennium was one of the first North America cruises to resume sailing last week. In order to lift the pandemic freeze of more than a year, the CDC required a fully vaccinated crew and anyone over the age of 16 to provide proof of vaccination. In the early days of Covid last year, cruise ships became breeding grounds for the coronavirus.
5. Tesla begins shipping its new Model S plaid
Tesla Model S plaid
Tesla kicked off delivery of its new Model S Plaid with a livestream event Thursday night at the electric car maker’s test track near its Fremont, California factory. CEO Elon Musk made his appearance by driving a Model S plaid across the track and onto the stage. In the weeks leading up to the evening, Musk hailed the vehicle, which had been delayed for months, as the “fastest production car of all time”. The Model S Plaid, a high-performance version of Tesla’s flagship sedan, starts at $ 129,990, compared to $ 79,990 for a long-range Model S in 2021 because the plaid is just that good. “
– Reuters contributed to this report. Follow all market activity like a pro on CNBC Pro. Get the latest on the pandemic with coronavirus coverage from CNBC.