Here are the key news, trends, and analysis investors need to start their trading day:
1. S&P 500 will start higher after six consecutive monthly wins
Traders operate on the floor of the New York Stock Exchange (NYSE) in New York City on July 15, 2021.
Brendan McDermid | Reuters
2. Employment report July, quarterly earnings dominate the coming week
A worker swings hinges on the company’s largest commercial asphalt paver at the Calder Brothers facility in Taylors, South Carolina, USA, on July 19, 2021.
Brandon Granger | Calder Brothers Corporation | Reuters
For the coming week, job data and income are the top events that could move the markets. Three reports addressing labor market health begin Wednesday with the ADP’s July private sector jobs report. The government’s weekly review of initial jobless claims and the July employment report will be released on Thursday and Friday, respectively. More than a quarter of the S&P 500 companies will publish quarterly results in the coming week. Investors will look for signs of wage inflation in the number of digits and signs of higher prices in these earnings reports. The Federal Reserve expects the sharp rise in inflation to be temporary.
3. Senate ends text of non-partisan infrastructure law
An aerial view shows how construction continues on the Sixth Street Viaduct replacement project that connects Boyle Heights with downtown on July 28, 2021 in Los Angeles, California.
Mario Tama | Getty Images
In a rare weekend meeting, the Senators finalized the text of their $ 1 trillion bipartisan infrastructure bill, which will be next submitted to the Senate. The move, a top legislative priority for President Joe Biden, includes $ 550 billion in new spending over five years to build roads and charging stations for electric vehicles, and replace lead water pipes. Many Democrats, including Senate Majority Leader Chuck Schumer and House Speaker Nancy Pelosi, want to pass the infrastructure bill along with a much larger single-handed $ 3.5 trillion reconciliation package.
4. Covid cases are increasing again; Federal ban on eviction expires
A health care worker at a drive-through location established by Miami-Dade and Nomi Health in Tropical Park prepares to administer a COVID-19 vaccine in Miami, Florida on July 26, 2021.
Joe Raedle | Getty Images
The delta-driven surge in Covid infections across the country is particularly felt in Florida. A day after recording the most new daily cases since the pandemic began, Florida broke a record for current hospital stays on Sunday that was set more than a year ago, before vaccines were available. The most recent seven-day average of new daily infections in the US increased 54% from a week ago.
Tenants and housing rights activists protest for the suspension of rent payments and mortgage debt during the coronavirus disease (COVID-19) outbreak in Los Angeles, California, the United States, October 1, 2020.
Lucy Nicholson | Reuters
Evictions, most of which were paused during the pandemic, are expected to increase on Monday after a federal moratorium expires over the weekend. The House of Representatives legislature tried on Friday to pass a law extending evacuation facilities for even a few months, but it failed. According to the Aspen Institute think tank, more than 15 million people live in households that owe their landlords up to $ 20 billion.
5. Jack Dorsey’s Square buys Australia’s Afterpay in a $ 29 billion deal
Jack Dorsey, CEO of Twitter and Co-Founder and CEO of Square, speaks during the Bitcoin 2021 Convention cryptocurrency conference at the Mana Convention Center in Miami, Florida on June 4, 2021.
Marco Bello | AFP | Getty Images
Square plans to buy Australian fintech Afterpay to expand into the booming installment loan market. Jack Dorsey’s payments company announced the $ 29 billion deal on Sunday evening. The price tag marks a surcharge of around 30% on the closing price of Afterpay on Friday. Afterpay stocks in Australia closed nearly 19% higher on Monday. Square shares fell 1% in pre-trading on Monday in the US. With Afterpay, customers can pay in four interest-free installments and pay a fee if they miss an automated payment. Square also announced its second quarter results on the Sunday ahead of the previously scheduled release on Wednesday.
– The Associated Press 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.
