Happy Wednesday. Today is August 12th and stock futures point to a rebound after the S&P 500 snapped a 7-day winning streak. Dow futures are up 270. Wall Street executives are happy that Joe Biden picked Kamala Harris as his VP running mate. Tesla announced a five-for-one stock split yesterday and Moderna and the U.S. reached a deal for 100 million COVID-19 vaccine doses. The Pac-12 joined the Big 10 in canceling all fall sports and will hope to reevaluate in the spring.
U.S. stock futures rose and pointed to a rebound at the open on Wednesday after the S&P 500 closed lower for the first time in eight days.Dow futures were higher by 280 points, or 1%. S&P 500 futures added 0.8%. Nasdaq-100 futures were higher by 0.9%. The S&P 500 flirted with an all-time high on Tuesday before a late-day sell-off led by tech shares knocked the benchmark down. The S&P 500 is 1.8% from its February record.
Wall Street leaders on Tuesday cheered Joe Biden’s selection of Sen. Kamala Harris as his running mate in the presidential election. Finance executives, confident the ticket has what it takes to topple President Donald Trump, raved about her experience in government, as well as her fundraising prowess. Financial advisory firm Signum Global is already telling its clients that the choice of Harris reinforces the notion that the Democratic ticket is more moderate than progressive.
Tesla announced a five-for-one stock split on Tuesday evening. The split goes into effect after the close of trading on August 31. Theoretically, the move could mean more smaller investors could afford the stock, but those investors are minuscule compared to major institutions.
Moderna Inc. reached a deal with the Trump administration to supply 100 million doses of its experimental vaccine for Covid-19, in a pact valued at up to $1.5 billion, the latest in a string of supply agreements the U.S. has reached to stockpile the most advanced vaccines in testing. “I’m pleased to announce we’ve reached an agreement with Moderna to manufacture and deliver 100 million doses of the coronavirus vaccine candidate,” President Donald Trump said at a White House briefing. “The federal government will own these vaccine doses, we’re buying them.”
The Pac-12 has canceled the fall football season, multiple sources told Yahoo Sports. The league is scheduled to make the announcement formal on Tuesday afternoon, continuing a day of seismic news in the sport. The decision comes soon after the Big Ten announced that it was canceling its fall football season in the wake of the COVID-19 pandemic. Both leagues plan to attempt to play in the spring.
U.S. consumer prices rose in July by more than expected on a jump in auto and apparel costs, though inflation remained broadly muted as the pandemic suppressed demand.The consumer price index rose 0.6% from the prior month, following a 0.6% gain in June, Labor Department figures showed Wednesday. The median forecast in a Bloomberg survey of economists called for a 0.3% increase. Compared with a year earlier, the gauge increased 1%, after June’s 0.6% rise.