5 things to know before the market opens on Friday July 30

Here are the most important news, trends and analysis investors need to start their trading day:

Wall Street is expected to open lower on the last trading day in July, with investors receiving three reports on Dow stock earnings and another reading on inflation to digest. Futures on the Nasdaq led the way on Friday, falling more than 1%, as Amazon shares fell nearly 7% pre-market after its first shortfall in three years. The Dow Jones Industrial Average and S&P 500 hit all-time highs during Thursday’s session and broke two-day losing streaks. But they failed to break Monday’s records. The Nasdaq rose modestly, but still finished around 0.4% off its last record to close on Monday. All three stock indexes tracked strong monthly gains.

The Federal Reserve’s preferred inflation gauge is expected to be released at 8:30 a.m. ET. The economist expects the government’s basic personal consumption expenditure price index for June to rise 3.6% year-on-year. This would follow a 3.4% advance in May, which was the fastest pace since the early 1990s. Following its July meeting on Wednesday, the Fed noted “progress” on targets inflation and employment, which was seen as a signal that changes to easy money policies, particularly the monthly purchase of bonds, could be underway. Central bankers made no adjustments to asset purchases and near zero interest rates.

Dow Chevron shares reported a second consecutive profitable quarter, as improved demand for petroleum products and higher oil prices boosted operations. The company has also reinstated its share buyback program. The oil giant earned adjusted $ 1.71 per share on $ 37.6 billion in revenue, with both estimates beating estimates. Shares rose about 1.5% in the pre-market. Exxon, which is no longer a share of Dow, also beat estimates in terms of earnings and revenue. The shares rose in the pre-market.

Caterpillar, another component of Dow, fell nearly 2.5% in pre-market on Friday, despite the heavy equipment maker saying it earned adjusted $ 2.60 per share on nearly $ 12.9 billion in revenue. The industrial precursor benefited from higher infrastructure spending around the world.

On Friday, Procter & Gamble topped estimates with quarterly earnings and revenue, with consumers buying more high-end health and personal care products. Dow stock rose 1% pre-market. P&G reported earnings per share of $ 1.13 on revenue of nearly $ 19 billion. However, the company warned that rising commodity costs could affect its profits in the coming year.

Amazon said second-quarter revenue rose 27% year-on-year to over $ 113 billion, the third quarter in a row of $ 100 billion, but in reality a slower pace of growth compared to the advance a dazzling 41% from the previous year. The e-commerce and cloud giant reported second-quarter earnings per share of $ 15.12, which beat expectations. Looking ahead, Amazon has warned of lower sales and a lower growth rate for the third quarter. The advice echoed similar warnings from Facebook and Apple, which this week said revenue growth rates would slow from pandemic highs.

Unpublished CDC data that served as the basis for the decision to recommend that fully vaccinated people resume wearing masks indoors in places with high Covid transmission rates is expected to be released on Friday, according to Washington. Post. The CDC’s internal document, obtained by mail, reveals that the delta variant is as contagious as chickenpox. It also shows that vaccinated people infected with delta can spread it just as easily as unvaccinated people. Members of Congress were briefed on the CDC data by Director Rochelle Walensky on Thursday, the Post reported.

– Reuters contributed to this report. Follow all market actions like a pro on CNBC Pro. Get the latest pandemic news with CNBC’s coronavirus coverage.