Stock Market Update

The S&P 500 futures are up 13 points and are trading 0.2% above fair value, the Nasdaq 100 futures are up 47 points and are trading 0.2% above fair value, and the Dow Jones Industrial Average futures are up 74 points and are trading 0.2% above fair value.

There's a positive bias in early trading following last week's turbulent action in equities. Pre-open gains in mega cap names have contributed to the upside bias.

This week's calendar features influential economic data. The July Producer Price Index (on Tuesday), the July Consumer Price Index (on Wednesday), and the July Retail Sales report (on Thursday) are among the potentially market-moving events. Today's data include the July Treasury Budget at 2:00 p.m. ET.

The 10-yr note yield is up one basis point to 3.95% and the 2-yr note yield is up one basis point to 4.05%. 

In corporate news:

• Starbucks (SBUX 76.80, +1.71, +2.3%): activist investor Starboard Value has a stake, according to WSJ
• KeyCorp (KEY 17.23, +2.62, +17.9%): receives strategic minority investment from Scotiabank (BNS)
• Walt Disney (DIS 86.35, +0.14, +0.2%): experiences unveils unprecedented expansions at its Parks and Resorts at D23
• Intel (INTC 19.80, +0.09, +0.5%): postponed innovation event amid continuing job cuts, according to Bloomberg
• Cisco (CSCO 45.43, -0.04, -0.1%): aiming to eliminate thousands of jobs, according to Reuters
• Tesla (TSLA 199.58, -0.42, -0.2%): stopped accepting orders for least expensive CyberTruck while it offers a premium model, according to Reuters

Reviewing overnight developments:

• Equity indices in the Asia-Pacific region began the week on a mostly higher note while Japan's Nikkei was closed for Marine Day. Japan's Nikkei: HOLIDAY, Hong Kong's Hang Seng: +0.1%, China's Shanghai Composite: -0.1%, India's Sensex: -0.1%, South Korea's Kospi: +1.2%, Australia's ASX All Ordinaries: +0.5%.
  • No data today
  • In news:
    • Former Bank of Japan official Sakurai said that the central bank will not be able to raise rates again until at least March.
    • Chinese bonds pulled back from their recent rally to record levels.
    • South Korea's exports through the first ten days of August were up 16.7% yr/yr with chip exports jumping 42.1%.
• Major European indices trade on a higher note. STOXX Europe 600: +0.1%, Germany's DAX: +0.4%, U.K.'s FTSE 100: +0.6%, France's CAC 40: +0.1%, Italy's FTSE MIB: +0.7%, Spain's IBEX 35: +0.2% 
  • In economic data: 
    • Germany's July WPI 0.3% m/m (expected 0.2%; last -0.3%); -0.1% yr/yr (last -0.6%)
  • In news:
    • Bank of England policymaker Mann said that wage growth in the U.K. remains concerning even though overall inflation is near the central bank's target.
    • Fitch affirmed the Netherlands' AAA rating with a Stable outlook and affirmed Finland's AA+ rating with a Negative outlook, down from Stable.