This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

July 7 Premarket Briefing: 10 Things You Should Know

Here are 10 things you should know for Monday, July 7:

1. -- U.S. stock futures were pointing lower Monday ahead of earnings season and after last week's strong employment numbers.

European and Asian shares drifted lower. Japan's Nikkei 225 fell 0.4%.

2. -- The economic calendar in the U.S. on Monday is bare.

3. -- U.S. stocks on Thursday rose with stronger-than-expected jobs data and a falling unemployment rate enough to push the Dow Jones Industrial Average well over the 17,000 threshold.

The Dow closed Thursday (U.S. markets were closed Friday for Independence Day) at 17,068.26, up 0.54%. The S&P 500 rose 0.55% to 1,985.44 and the Nasdaq rose 0.63% to 4,485.92.

4. -- American Apparel (APP) is in talks to raise new financing from hedge fund Standard General that would allow the company to pay off a loan that came due after it ousted founder Dov Charney, people familiar with the matter told The Wall Street Journal.

Bankers are still working out the terms of the financing from Standard General, which effectively controls 43% of the company's stock, and it is unclear what form it will take, a person familiar with the situation told the newspaper.

As part of the talks, the two sides also have reached an agreement in principle to replace all of the company's board -- except for its two co-chairmen -- with directors who have more industry experience. No formal agreement has been signed, people familiar with the situation said.

Still unclear is what role Charney will play at the company in the future, the Journal noted.

5. -- Archer Daniels Midland (ADM - Get Report) reached a deal to buy Wild Flavors, a flavors and ingredients maker for food, for 2.2 billion euros ($3 billion) in cash.

ADM also will assume about $136 million of net debt.

Wild Flavors, of Switzerland, is the world's sixth-biggest flavor provider, according to Reuters.

6. -- Christine Lagarde. chief of the International Monetary Fund, predicted that the global economy will improve over the next 18 months but said growth might not be as fast as previously expected.

Lagarde said that investment remains weak and that the recovery in the United States hinges on the ability of the Federal Reserve to gradually reduce stimulus measures and on political leaders agreeing on a fiscal plan.

Lagarde made the comments Sunday at a conference in France. The IMF is expected to refresh its economic forecasts this month. In April, it predicted global growth of 3.6% this year and 3.9% in 2015, up from 3% last year.

7. -- Shares of Lorillard (LO) rose 5.3% on Thursday to $64.41 following a CNBC report that the tobacco company and rival Reynolds American (RAI) may be merging by the end of the month.

Sources told CNBC that the merger is weeks away, although the companies have not fully negotiated terms. 

Reuters reported in May that Reynolds American was in active discussions to buy Lorillard in a complicated, three-way transaction that could see British American Tobacco take a major role to back a potential merger.

8. -- A trial begins Monday in which American Express (AXP) is set to face off against the U.S. government and 17 states over claims the credit card giant stifles competition from credit card providers that charge lower processing fees.

The trial is expected to last two to three months. At issue in the trial are American Express rules that bar its millions of merchants from offering incentives for customers to use less-expensive credit cards or cash when making purchases, Reuters reported.

9. -- Three Boeing (BA) 737 fuselages were damaged when they fell into the Clark Fork River in a train derailment in Montana last week.

Six fuselages were aboard a westbound train when 19 cars derailed Thursday about 10 miles west of Alberton, Mont. The three remaining plane sections also fell off but stayed on land. 

Boeing said in a statement that it has experts at the scene to assess the damage. Marc Birtel, director of media relations, told The Associated Press on Sunday that he didn't have information on what the experts have decided.

The fuselages were traveling from a Spirit AeroSystems (SPR) plant in Wichita, Kan., to a Boeing facility in Renton, Wash., to be assembled into airliners.

10. -- The Michael Bay sequel "Transformers: Age of Extinction" and the Melissa McCarthy comedy "Tammy" led the weakest summer holiday weekend at the box office in at least a decade.

The North American box office was down 44% from the July 4th weekend last year.

"Transformers" made an estimated $36.4 million in ticket sales over the weekend. 

Nike's Long-Term Goals Are Better Than Anything Kicked in the World Cup

How This Unloved Bull Market Continues to Smash Records

GoPro's Future Is Foggy Despite Picture-Perfect IPO

-- Written by Joseph Woelfel

To contact the writer of this article, click here:Joseph Woelfel

To submit a news tip, send an email

Follow @josephwoe58

Copyright 2014 Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed. AP contributed to this report.

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
APP $0.01 -26.70%
ADM $39.94 0.00%
AAPL $93.74 0.00%
FB $117.58 0.00%
GOOG $693.01 0.00%


Chart of I:DJI
DOW 17,773.64 -57.12 -0.32%
S&P 500 2,065.30 -10.51 -0.51%
NASDAQ 4,775.3580 -29.9330 -0.62%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs