Juneteenth, China Trade, Albertsons, Textron - 5 Things You Must Know Friday

China will speed up purchases of American farm goods as part of the phase one trade agreement; Albertsons files for an IPO; Juneteenth is commemorated.
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Here are five things you must know for Friday, June 19:

1. -- Stock Futures Rise on Positive Trade Talks

Stock futures rose Friday after a report said China would speed up purchases of soybeans, corn and ethanol from the United States as part of the phase one trade agreement between the world's two largest economies.

China will step up buying of the American farm goods after purchases fell behind due to disruptions caused by the coronavirus pandemic, Bloomberg reported.

U.S. Secretary of State Michael Pompeo said Thursday following meetings in Hawaii this week that Beijing would honor its commitments under the trade accord.

“During my meeting with CCP Politburo Member Yang Jiechi, he recommitted to completing and honoring all of the obligations of Phase 1 of the trade deal between our two countries,” Pompeo said  in a tweet.

The report was giving U.S. stock futures a lift Friday, offsetting concerns over rising coronavirus infections. Contracts linked to the Dow Jones Industrial Average rose 329 points, futures for the S&P 500 gained 36 points and Nasdaq futures were up 101 points.

Stocks finished mixed Thursday as optimism over a global economic recovery lost out to worries over the spread of the virus. Sentiment was dented by rising infection numbers in some U.S. states.

The Dow fell 39 points, or 0.15%, to 26,080, the S&P 500 rose 0.06% and the Nasdaq climbed 0.33%, marking its fifth straight day of gains.

The S&P 500 trimmed its loss for the year to 8%.

2. -- Jerome Powell Speech Leads Friday's Calendar

The economic calendar Friday lacks any economic data releases but several Federal Reserve officials have speaking engagements across the country. Chairman Jerome Powell has a virtual speech planned for 1 p.m. ET at the Federal Reserve Bank of Cleveland's "Discussion on Building a Resilient Workforce During the Covid-19 Era."

Boston Federal Reserve President Eric Rosengren, Cleveland Fed President Loretta Mester and Vice Chair of Supervision Randal Quarles also have appearances planned.

Earnings reports are expected Friday from Jabil  (JBL) - Get Report and CarMax  (KMX) - Get Report

3. -- Albertsons Kicks Off IPO

Grocery store operator Albertsons filed for an initial public offering, seeking to sell 65.8 million shares at between $18 and $20 a share.

The IPO would give Albertsons, which operates stores under the Albertsons, Safeway and Vons names, a valuation of more than $10 billion at that price range. The company also owns Plated, a meal-kit company.

The stock is expected to begin trading publicly late next week, The Wall Street Journal reported, citing people familiar with the matter. The stock's ticker symbol will be "ACI."

Albertsons won't receive any proceeds from the offering since the share sale sale is coming from existing shareholders. Cerberus Capital Management, Albertsons’s private-equity backer, will own 31.9% of Albertsons following the offering.

Albertsons is the No. 2 grocer in the nation after Kroger  (KR) - Get Report by number of stores.

4. -- Textron to Cut 1,950 Jobs Amid Demand Slump

Textron  (TXT) - Get Report plans to cut 1,950 positions in three business segments, including Textron Aviation, as demand slumped for flight simulators during the coronavirus outbreak.

“There has been a substantial decline in demand and order cancellations for flight simulators in light of the expected long-term impact of the pandemic on the commercial air transportation business,” the company said in a filing.

Textron, the aircraft, defense and industrial provider, said it would suspend production at a facility in Montreal, and would record a number of severance charges and inventory valuation write-downs.

Textron's earnings declined and sales declined 11% in the first quarter as jet and helicopter deliveries fell during the pandemic.

5. -- Juneteenth Is Commemorated

Juneteenth (June 19), commemorates the emancipation of slaves in the United States.

President Abraham Lincoln’s Emancipation Proclamation went into effect on Jan. 1, 1863, but back then the news took time to travel. It wasn’t until June 19, 1865, when word of the proclamation was brought by the Union army to enslaved people in Galveston, Texas, making them among the last to be freed.

New York Gov. Andrew Cuomo signed an executive order earlier this week recognizing Juneteenth as a paid holiday for state employees. Texas was the first state to make Juneteenth a state holiday in 1980.

Nike  (NKE) - Get Report, Twitter  (TWTR) - Get Report, Target  (TGT) - Get Report and a number of other companies said they would observe Friday, June 19 as a paid company holiday.