Wall Street Poised To Start The Week Lower As Earning Season Heats Up


Futures point to a lower open

U.S. equity futures are set to open lower on Monday as the corporate earnings season enters full swing. Spotify Technology SA (NYSE: SPOT), Restaurant Brands (NYSE: QSR), ON Semiconductor Corp (NASDAQ: ON), Loews Corp (NYSE: L), McDermott International, Inc (NYSE: MDR) are expected to report their first-quarter financial reports before the opening bell today.

Companies reporting after the closing bell include Alphabet Inc (NASDAQ: GOOG), Western Digital Corp (NASDAQ: WDC), MGM Resorts International (NYSE: MGM), AK Steel Holding Corp (NYSE: AKS).

At 7:31 a.m. ET, futures on the blue-chip Dow were down 21 points, or 0.08% to 26,496. Futures on the tech-heavy Nasdaq declined 6.87, or 0.09% while those on the S&P 500 fell 2.62 points, or 0.09% to 2,938.88.

U.S.-China trade talks resume

U.S. Treasury Secretary Steven Mnuchin and Trade Representative Robert Lighthizer will fly to Beijing today to meet with Chinese officials for the next round of U.S.-China trade negotiations, scheduled to resume tomorrow.

On Sunday, Mnuchin said that talks between two countries were entering a critical point. The negotiations are expected to continue and possibly conclude next week when Chinese delegation travels to Washington. “We’re getting into the final laps,” Mnuchin said in an interview in Los Angeles.

Boeing CEO to face shareholders

Boeing (NYSE: BA) Chief Executive Officer Dennis Muilenburg will attend the company’s annual shareholder meeting today, which comes a month after Boeing 737 MAX planes were grounded worldwide following two deadly crashes.

Mr. Muilenburg is expected to face hard questions from shareholders during the meeting that is going to take place in Chicago.

The meeting also comes hours after the Wall Street Journal reported that Boeing did not tell carriers before the Lion Air crash that it had not activated a safety feature warning about sensor malfunctions.

Shares of the aircraft maker were slightly down at $379.24 in pre-market trade.

Elon Musk, SEC deal  

Tesla CEO Elon Musk and the U.S. Securities and Exchange Commission (SEC) have reached an agreement that lets him off the hook over his use of Twitter.

The deal, which still needs court approval, requires Musk to agree to have his public posts about things such as Tesla’s finances and acquisitions vetted by “an experienced securities lawyer employed by the company.”

SEC officials had requested the Tesla chief be found in contempt for violating a previous agreement. Shares of Tesla indicated a gain of $2.14, or 0.91% to $237.28 in premarket trade.