Here are five things you must know for Friday, Aug. 28:
1. -- Stock Futures Point Mostly Higher
Stock futures were rising Friday, a day after the S&P 500 closed at an all-time high for the fifth consecutive session, following Jerome Powell's comments that the Federal Reserve will keep interest rates low even if inflation rises above its target levels.
Contracts linked to the Dow Jones Industrial Average rose 136 points, S&P 500 futures gained 11 points and Nasdaq futures were rising 10 points.
Stocks in Japan closed lower Friday, down 1.41%, after Prime Minister Shinzo Abe said he would step down because of worsening health. Abe suffers from ulcerative colitis, an inflammatory bowel disease.
The S&P 500 established another closing high Thursday - its 19th of the year - after Powell said the central bank would seek inflation that averages 2% over time and adopted a new strategy that reflects the Fed's "view that a robust job market can be sustained without causing an outbreak of inflation."
In what Powell called a "robust updating of our monetary policy framework," the changes mean the Fed essentially will keep rates near zero even if inflation tracks above the Fed’s target level of 2%.
The S&P 500 rose 0.17% to close at 3,484, and the Dow jumped 0.57% to 28,492. The Nasdaq bucked the trend Thursday, closing down 0.34% after setting an all-time intraday high during the session.
2. -- Calendar Highlights for Friday
The economic calendar in the U.S. Friday includes the U.S. Goods Deficit for July at 8:30 a.m. ET, Personal Income and Outlays for July at 8:30 a.m., Chicago PMI for August at 9:45 a.m. and Consumer Sentiment for August at 10 a.m.
3. -- Walmart Reportedly Wanted to Be Majority Owner of TikTok
Walmart (WMT) - Get Report teamed with Microsoft (MSFT) - Get Report to buy the U.S. assets of TikTok, but before the retailer hooked up with the software giant it had other plans, according to a report.
Prior to announcing its joint bid with Microsoft for TikTok on Thursday, Walmart was part of a consortium put together by SoftBank Chief Operating Officer Marcelo Claure, which also included Google parent Alphabet (GOOGL) - Get Report, CNBC reported, citing people familiar with the matter.
The structure of the acquisition would have had Walmart as the majority owner, with SoftBank and Alphabet acquiring minority stakes.
Walmart wanted to be the exclusive e-commerce and payments provider for TikTok, one of the people told CNBC. But the U.S. government wanted TikTok's lead buyer to be a technology company because that would better fit with its rationale that China's ByteDance had to sell TikTok’s U.S. operations because of alleged threats to national security, CNBC reported.
4. -- Amazon Buys 1,800 Electric Vans From Mercedes
The order - for 1,200 of Mercedes' eSprinter vans and 600 of its smaller eVito van - is the biggest for Mercedes-Benz's electric vehicles to date.
Mercedes, the German automaker owned by Daimler, also joined The Climate Pledge, a climate initiative that was started by Amazon last year.
“We need continued innovation and partnership from auto manufacturers like Mercedes-Benz to decarbonize the transportation sector and tackle the climate crisis,” Amazon CEO Jeff Bezos said in a statement.
5. -- Marvell Beats Earnings and Revenue Estimates
Marvell Technology (MRVL) - Get Report declined 0.47% in premarket trading Friday to $35.74 after the semiconductor company posted fiscal second-quarter earnings and revenue that beat analysts' forecasts.
Marvell earned 21 cents a share on an adjusted basis in the period as revenue increased 11% to $727 million. Analysts had expected Marvell to report earnings of 20 cents a share on revenue of $724.7 million.
"While we continue to invest in advanced technologies for future growth, our team also remains focused on driving operational excellence. Through successful integration execution and continued operational discipline, we expect to drive earnings expansion in the third quarter," said CEO Matt Murphy in a press release.
For its fiscal third quarter, the company expects adjusted earnings of between 22 cents and 28 cents a share and revenue to increase 5% to $750 million. Wall Street expects earnings of 25 cents a share on revenue of $775.6 million.
"We are expecting revenue growth to continue in the third quarter, driven primarily from 5G wireless infrastructure and cloud datacenter end markets" Murphy said.
"We continue to believe the re-shaped Marvell is positioned to capitalize on two of the strongest secular growth trends in technology that we have identified: 5G and cloud computing," said Jim Cramer and the Action Alerts PLUS member club, which holds Marvell in its portfolio.