5 things to know before the stock market opens on Wednesday July 7

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

U.S. equity futures were relatively flat on Wednesday, a day after the Nasdaq hit a new closing record as the S&P 500 broke a seven-game winning streak. The Dow Jones Industrial Average, which closed on a record Friday, began the shortened holiday week by breaking a four-game winning streak. Fears that the best of the economic recovery from the Covid pandemic might be in the rear view mirror hurt sentiment. U.S. oil prices rose on Wednesday after Tuesday’s surge to six-year highs turned into the worst session since May. OPEC and its oil-producing allies created uncertainty in the market when they postponed discussions on production policy indefinitely.

The 10-year Treasury yield fell early Wednesday, trading around 1.34%, ahead of the afternoon report of the Federal Reserve’s June policy-making committee meeting. . Traders will be looking for more clues as to why central bankers have brought forward their interest rate hike timeline, with most of the 18 panel members predicting two in 2023. In fact, seven members see the Fed possibly hike. rates starting next year. . It will be a busy summer for Fed watchers. President Jerome Powell is scheduled to testify next week on Capitol Hill, about two weeks before the Fed meeting in July. The Jackson Hole Economic Policy Symposium, sponsored by the Kansas City Fed, is scheduled for August 26-28.

Demand for mortgages fell for the second week in a row as low inventories and high home prices continued to weigh on the booming housing market. Mortgage applications fell 1.8% last week, according to the Mortgage Bankers Association’s seasonally adjusted index, falling to its lowest level since early 2020, before the coronavirus pandemic began to take its toll. devastation on the economy. Demand for refinancing and buying has been hit, even as mortgage rates have fallen. Home purchases are down 1% for the week and 14% from a year ago. Refis fell 2% on the week and 8% from last year.

Shares of Chinese ridesharing giant Didi fell a further 4% during pre-marketing on Wednesday, as the company’s main app was removed from Tencent’s and Ant Group’s Alipay messaging service for new users. . Didi plunged nearly 19.6% to $ 12.49 a share on Tuesday, after China announced a review of the company’s cybersecurity. Didi went public on the New York Stock Exchange exactly one week ago at an initial offering price of $ 14 per share. The crackdown on Didi continues Beijing’s aggressive action against Chinese tech companies, from the cancellation of the Ant Group’s $ 34.5 billion IPO last year to the antitrust fine of 2.8 billion dollars from Alibaba.

Satellite imagery and data specialist Planet Labs gears up to go public, merging with SPAC in deal backed by Google, BlackRock and Alphabet’s Salesforce co-founder Marc Benioff . Planet Labs merges with ad hoc acquisition company dMY Technology Group IV, which trades on the NYSE under the ticker DMYQ. “We are a mature company and have a huge new and unique data set from our 190 satellites, Earth’s largest imaging fleet ever, and more than 10 times anyone else,” said at CNBC Will Marshall, Co-Founder and CEO of Planet. DYMQ shares rose nearly 2% in pre-market trading.

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