Here are five things you must know for Wednesday, May 30:
1. -- Stocks Steady Amid Italy Crisis, U.S.-China Trade Spat
U.S. stock futures pointed to a rebound for Wall Street on Wednesday, May 30, after a political crisis in Italy pushed equities sharply lower during the previous session.
Contracts tied to the Dow Jones Industrial Average undefined rose 149 points, futures for the S&P 500 undefined were up 14 points and Nasdaq undefined futures gained 24.50 points.
The Dow on Tuesday, May 29, tumbled 391 points, or 1.58%, to 24,361, the S&P 500 declined 1.16% and the Nasdaq finished down 0.50%.
Italy's political crisis, which lifted yields on short-term governments bonds the most in more than 25 years on Tuesday, continued to hang over global sentiment, with reports from Rome suggesting new elections could come as early as July. European stocks traded mixed on Wednesday.
Asian shares closed with heavy losses on Wednesday as investors reacted to news the U.S. will publish a list of Chinese goods it will hit with tariffs next month as the brewing trade war between the world's two biggest economies threatens to escalate again.
China's Commerce Ministry issued a statement Wednesday saying it was "surprised" by the U.S. move and urged Washington to act in the spirit of recent talks in which the two sides said they would work to narrow China's massive trade surplus.
2. -- Dick's Sporting Goods, Michael Kors Report Earnings
Michael Kors Holdings Ltd. (KORS) posted adjusted earnings in its fiscal fourth quarter of 63 cents, beating estimates by 3 cents. Shares fell 6.2% in premarket trading
Revenue in the quarter rose to $1.18 billion; analysts expected $1.15 billion.
The company said it expects fiscal first-quarter earnings of 90 cents to 95 cents on revenue of $1.135 billion.
Dick's Sporting Goods Inc. (DKS) reported first-quarter adjusted profit of 54 cents a share, above estimates of 45 cents. Sales were $1.91 billion vs. estimates of $1.88 billion.
The sports retailer raised its full-year earnings guidance. The stock jumped 15.8% in premarket trading.
The U.S. economic calendar on Wednesday includes the ADP National Employment Report for May at 8:15 a.m. ET, the second estimate for first-quarter GDP at 8:30 a.m., International Trade in Goods for April at 8:30 a.m., and the "Beige Book" from the Federal Reserve at 2 p.m.
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3. -- Salesforce Jumps as Earnings Top Forecasts
Shares of Salesforce.com Inc. (CRM) rose 4.8% in premarket trading on Wednesday after the cloud software company's first-quarter earnings and outlook for the year topped analysts' forecasts.
Adjusted earnings in the quarter were 74 cents a share, smashing estimates of 46 cents. Revenue rose to a record high of $3.01 billion and topped forecasts of $2.94 billion.
Salesforce also said billings - defined as revenue plus the sequential change in unearned revenue that it has billed but not recorded on its income statement - rose a stronger-than-expected 16% to $2.21 billion.
Salesforce estimated that earnings for the fiscal year would be $2.29 to $2.31 a share on revenue of $13.08 billion to $13.13 billion.
The company's sales cloud platform, which provides software used by salespeople to track leads and close deals, saw revenue rise a relatively modest 16% last quarter to $965 million. Growth was markedly stronger for Salesforce's three other reporting segments, which collectively now account for about two-thirds of its revenue, according to Real Money's Eric Jhonsa.
4. -- Microsoft Passes Alphabet in Market Value
After closing Tuesday at $98.01, Microsoft's market cap was $753 billion, higher than Alphabet's $738.5 billion.
Google first passed Microsoft in terms of stock market value six years ago, CNBC noted.
Apple Inc. (AAPL) is the market cap leader, with the iPhone maker valued at $923.56 billion.
5. -- Tesla in Autopilot Mode Crashes Into Parked Police Cruiser
Authorities said a Tesla Inc. (TSLA) sedan operating in Autopilot mode crashed into a parked police cruiser in Southern California.
Police Sgt. Jim Cota said the officer wasn't in the cruiser during the crash Tuesday in Laguna Beach. He said the Tesla driver suffered minor injuries, the Associated Press reported.
Tesla's semi-autonomous Autopilot mode has come under scrutiny following other recent crashes. The carmaker said the function isn't designed to avoid a collision and warns drivers not to rely on it entirely.
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