Here are the key news, trends, and analysis investors need to start their trading day:
1. Wall Street wants to open flat, focus on earnings and the Fed
Trader on the New York Stock Exchange.
2. Pfizer sells $ 7.8 billion in Covid vaccines in the second quarter and increases guidance for 2021
Eon Walk (left) gives Daryl Black a dose at a COVID-19 mobile vaccine clinic hosted by Mothers In Action in partnership with the LA County Department of Public Health at Mothers in Action on Friday, July 16, 2021 in Los Angeles Pfizer BioNTech Vaccine Angeles, California.
Irfan Khan | Los Angeles Times | Getty Images
Pfizer increases its 2021 sales forecast for its Covid vaccine by nearly 29% to $ 33.5 billion as the Delta variant spreads and scientists debate whether people need booster vaccinations. While posting better-than-expected quarterly earnings and earnings, Pfizer also said Wednesday that it sold $ 7.8 billion in Covid footage in the second quarter. Pfizer stock fell about 1% in pre-trading hours. Earlier this month, Pfizer said it was seeing signs of waning immunity caused by its Covid vaccine at German drug maker BioNTech and planned to ask the FDA to approve a booster dose.
3. Biden is considering the Covid vaccination mandate for federal employees
The White House is heavily considering requiring federal employees to provide evidence of a Covid vaccination or to undergo regular tests and wear a mask. President Joe Biden suggested Tuesday that extending the mandate to the entire federal workforce “be considered”. The Department of Veterans Affairs became the first federal agency to request vaccinations for its health workers on Monday.
4. Big Tech reports failed profits, stocks mixed in the pre-trading session
Tim Cook, CEO of Apple (L), Satya Nadella, CEO of Microsoft (C) and Sundar Pichai, CEO of Google.
Apple was down 1% in pre-trading after warning that the negative impact of global chip shortages would worsen this quarter. That caution came after Apple reported better-than-expected quarterly earnings of $ 1.30 per share. Revenue was also up versus estimates, driven by a 50% increase in iPhone sales.
Microsoft beat estimates by 25 cents with quarterly earnings of $ 2.17 per share, while revenue beat estimates of continued strong growth in the company’s cloud computing business. Microsoft continued to benefit from the pandemic shift towards working and learning from home. The Microsoft share rose slightly in the premarket.
Alphabet earned $ 27.26 per share last quarter, well above estimates. The Google parent company revenue also exceeded forecasts as it benefited from the increase in online advertising spending. Alphabet was up nearly 4% in the premarket on Wednesday.
5. McDonald’s Hit Powered by BTS Ad, New Chicken Sandwich
People wear protective face masks in front of McDonald’s in Union Square as the city resumes Phase 4 reopening following restrictions imposed in New York City on July 30, 2020 to slow the spread of the coronavirus.
Noam Galai | Getty Images
McDonald’s reported double-digit sales growth in the US in the same store on Wednesday compared to pre-Covid 2019 levels in the most recent quarter. The strong demand for the BTS meal promotion and the new chicken sandwich added to these numbers. Earnings per share of $ 2.37 and revenue of $ 5.89 billion exceeded expectations. The McDonald’s share fell slightly in the premarket.
Boeing reported its first quarterly profit in nearly two years on Wednesday, helped by a surge in commercial aircraft deliveries as airlines recovered from the pandemic. The profit of 40 cents per share exceeded estimates for a loss of 83 cents. Sales of $ 17 billion also exceeded expectations. The share rose by 5% before the IPO.
– CNBC’s Peter Schacknow and 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.