Here are five key things investors need to know to start the trading day:
1. August’s end
Stock futures climbed Friday morning as the major averages head into the final trading day of August. Futures tied to the S&P 500 rose 0.4%, while Nasdaq 100 futures advanced 0.7% and Dow Jones Industrial Average futures gained 0.2%. For the month, both the S&P and Dow are up about 1.2%. The tech-heavy Nasdaq Composite is down almost 0.5%. A down August for the Nasdaq would mark back-to-back monthly losses for the index. Follow live market updates.
2. Pre-PCE
Wall Street is getting another look at the Fed’s favorite inflation gauge Friday morning. A fresh read on the Commerce Department’s personal consumption expenditures price index is due out at 8:30 a.m. ET. The Dow Jones consensus estimate for July PCE sees 0.2% monthly increases in both headline and core prices, largely in line with recent trends. If the report comes in as expected, it should keep the Fed on track for a much-anticipated September rate cut.
3. Retail review
Retail earnings are largely in the rearview. American Eagle, Best Buy, Dollar General, Gap, Lululemon and Ulta Beauty all reported quarterly results Thursday (one a few hours earlier than planned). The readouts were mixed: American Eagle posted a 21% sales gain, and Best Buy hiked its full-year profit guidance, meanwhile Dollar General warned of “financially constrained” customers and Lululemon cut its guidance. The consensus: The back of the year for the retail industry remains uncertain.
4. Gathering Intel
Intel is assessing its options. The once-dominant computing company has engaged advisors to review strategic options, a person familiar with the matter tells CNBC’s Rohan Goswami. Advisors are considering a full range of options — including splitting off and selling businesses — and will present their findings at an upcoming Intel board meeting in September, the person said. Intel’s business has struggled as AI-giant Nvidia claims more and more market share. Earlier this month, Intel reported underwhelming earnings and said it would lay off 15,000 workers.
5. No new planes
Profits or planes? Cash-strapped airlines, in a bid to achieve sustained profits, are deferring spending on new aircraft as the latest measure to save money. JetBlue — one of the carriers putting off deliveries of new Airbus planes, along with Spirit and Frontier — estimates the deferrals will save it about $3 billion. But CEO Joanna Geraghty called the step a “double-edged sword:” “We need planes to grow, but taking delivery of aircraft that end up sitting on the ground after we’ve paid for them significantly worsens the problem,” she said.
