Trump, Biden, Fed, Jobs and Dunkin' - 5 Things You Must Know Monday

Wall Street prepares for a week filled not only with the presidential election but also with a Fed meeting and the U.S. jobs report; Clorox and PayPal report earnings; Dunkin' goes private in $11.3 billion deal.
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Here are five things you must know for Monday, Nov. 2:

1. -- Stock Futures Rise Ahead of Election Day, Fed Meeting, Jobs Report

Stock futures were rising sharply Monday as investors prepared for a week filled not only with the presidential election but also with a Federal Reserve policy meeting and the U.S. jobs report for October.

Contracts linked to the Dow Jones Industrial Average gained 478 points, S&P 500 futures rose 50 points and Nasdaq futures were up 136 points.

Wall Street was kicking off the first trading day of November following the first back-to-back monthly losses for the S&P 500 since the coronavirus pandemic took hold in March. The S&P 500 declined 1.2% on Friday and ended the week with a 5.6% loss, its worst in seven months. 

With Election Day looming Tuesday - Democratic nominee Joe Biden leads President Donald Trump in polls - and a surge in the coronavirus that has now killed 231,000 in the U.S. and 1.2 million across the world, volatility has been the name of the game for investors the past few weeks. More of the same is expected this week as the Fed meets Thursday and the nonfarm payrolls report for October is released Friday. 

Oil prices were declining Monday on concerns that tough lockdown measures in Europe would crimp demand.

West Texas Intermediate crude, the U.S. benchmark, fell 2.71% to $34.82 a barrel in early trading Monday.

2. -- Clorox, PayPal and Waste Management Report Earnings

Clorox CLX posted stronger-than-expected first-quarter earnings and boosted its full-year profit outlook as the surge in clean products sales through the coronavirus pandemic continued to support the company's top and bottom lines.

Earnings reports are also expected Monday from AMC Networks  (AMCX) - Get Report, Estee Lauder  (EL) - Get Report, PayPal  (PYPL) - Get Report, Wingstop  (WING) - Get Report, Waste Management  (WM) - Get Report, Skyworks Solutions  (SWKS) - Get Report and Mondelez International  (MDLZ) - Get Report.

Later in the week reports are expected from Bristol-Myers Squibb  (BMY) - Get Report, Qualcomm  (QCOM) - Get Report, General Motors  (GM) - Get Report, Alibaba  (BABA) - Get Report, AstraZeneca  (AZN) - Get Report, Peloton Interactive  (PTON) - Get Report, Regeneron Pharmaceuticals  (REGN) - Get Report, Take-Two Interactive  (TTWO) - Get Report, Uber Technologies  (UBER) - Get Report and CVS Health  (CVS) - Get Report.

Waste Management, Bristol-Myers, Take-Two Interactive and CVS Health are holdings in Jim Cramer's Action Alerts PLUS member club. Want to be alerted before Jim Cramer buys or sells the stocks? Learn more now.

3. -- Manufacturing Data Highlight Monday's Calendar

The economic calendar in the U.S. Monday includes Markit Manufacturing PMI for October at 9:45 a.m. ET, the ISM Manufacturing Index for October at 10 a.m. and Construction Spending for September at 10 a.m. 

The U.S. jobs report for October will be released on Friday, with economists expecting the U.S. to have added 625,000 jobs last month vs. 661,000 in September. The unemployment rate is forecast to fall to 7.7% from 7.9%.

The Federal Reserve will hold a two-day meeting beginning Wednesday.

4. -- Dunkin' to Go Private in $11.3 Billion Deal

Shares of Dunkin' Brands  (DNKN) - Get Report were rising in premarket trading Monday after the coffee-and-doughnut chain agreed to be acquired by Inspire Brands for $11.3 billion, including debt.

The stock gained 6.16% to $105.85.

Inspire Brands - which owns Arby's, Buffalo Wild Wings and Jimmy John’s - will take Dunkin’ private at $106.50 a share, a 20% premium over the stock's closing price of Oct. 23, before reports of the deal surfaced.

Dunkin' has fared well during the pandemic. Last week, the company reported third-quarter earnings that beat Wall Street estimates and an increase in U.S. same-store sales of 0.9%.

5. -- Mall Operator CBL and Restaurant Chain Friendly's File for Bankruptcy

CBL & Associates  (CBL) - Get Report, the mall operator, and restaurant chain Friendly’s both declared bankruptcy over the weekend, the latest companies to go bankrupt during the coronavirus pandemic.

CBL, which manages more than 100 U.S. properties, was especially hurt by people turning to online shopping during the pandemic and the failure of some of its biggest tenants to pay rent as sales slumped.

Friendly's, the chain well-known for its sundaes, filed for Chapter 11 protection on Sunday. 

FIC Restaurants, which operates the Friendly’s brand, agreed to sell most of its assets to Amici Partners Group. Nearly all of Friendly’s 130 corporate-owned and franchised restaurant locations are expected to remain open.