U.S. stock futures have dropped in today’s pre-market following tensions between the United States and China. Market participants will also closely monitor second-quarter 2022 earnings results as 270 companies are slated to report their quarterly numbers.
U.S. House of Representatives Speaker Nancy Pelosi is expected to arrive in Taiwan today and stay the night there. China has expressed strong reservations against Pelosi’s visit to Taiwan.
Chinese authority claims that Taiwan is part of its territorial integrity while the U.S. government has replied that the Biden administration will not bow down to China’s threat. Reuters reported that Chinese warplanes flew and warships remained close to the line dividing the Taiwan Strait.
Pelosi would become the first House Speaker to visit Taiwan since Newt Gingrich in 1997. Following the U.S.-China geopolitical conflict, the yield on the benchmark
10-Year U.S. Treasury Note fell around 2.54% as investors opted for safe-haven government bonds.
On the M&A front, Canada’s
Toronto-Dominion Bank ( TD Quick Quote TD - Free Report) has decided to purchase U.S. based investment-bank Cowen Inc. ( COWN Quick Quote COWN - Free Report) in an all-cash deal of $1.3 billion. The banking sector of Canada is dominated by six big brothers that control nearly 90% of the market share. The acquisition of Cowen is an effort by Toronto-Dominion Bank to expand business in the high-growth U.S. market.
A plethora of companies will report earnings today. Oil refining and marketing bigwig
Marathon Petroleum Corp. ( MPC Quick Quote MPC - Free Report) has come up with quarterly earnings of $10.61 per share, beating the Zacks Consensus Estimate of $9.17 per share. The company posted revenues of $54.24 billion, surpassing the Zacks Consensus Estimate by 63.08%. Caterpillar Inc.( CAT Quick Quote CAT - Free Report) has reported quarterly earnings of $3.18 per share, beating the Zacks Consensus Estimate of $3 per share. The heavy equipment maker posted revenues of $14.25 billion, missing the Zacks Consensus Estimate by 0.34%.The company said that growing material and freight costs were partially offset by higher prices and increased sales.
Global luxury hotel Chain giant
Marriott International Inc.’s ( MAR Quick Quote MAR - Free Report) quarterly earnings of $1.80 per share beat the Zacks Consensus Estimate of $1.59 per share. Marriott recorded revenues of $5.34 for the quarter ended June 2022, surpassing the Zacks Consensus Estimate by 7.41%.
Electronics manufacturing major
Eaton Corporation plc ( ETN Quick Quote ETN - Free Report) has registered quarterly earnings of $1.87 per share, beating the Zacks Consensus Estimate of $1.82 per share. The company posted revenues of $5.21 billion, missing the Zacks Consensus Estimate by 0.29%.
Major companies that will report after the closing bell today are restaurant retailer
Starbucks Corp. ( SBUX Quick Quote SBUX - Free Report) , micro-chip developer Advanced Micro Devices Inc. ( AMD Quick Quote AMD - Free Report) , Internet-based payment platform PayPal Holdings Inc. ( PYPL Quick Quote PYPL - Free Report) and crude oil producer Occidental Petroleum Corp. ( OXY Quick Quote OXY - Free Report) .