10 things you need to know before the opening bell

Here’s what you need to know before markets open.

1. The UK economy is doing even worse than we thought, and the prospects of a V-shaped recovery look bleak. Growth rebounded 1.8% in May, but economists polled by Reuters were betting on a 5.5% rebound.

2. JPMorgan’s Q2 earnings beat analyst forecasts as investment banking revenue surges 91%. “We are prepared for all eventualities as our fortress balance sheet allows us to remain a port in the storm,” CEO Jamie Dimon said. Shares climbed 2.3% in pre-market trading.

3. Oatly scores $2 billion valuation and backing from Blackstone, Oprah, and Natalie Portman, WSJ says. The Swedish oat-milk company could go public in the next 12 to 18 months.

4. Mohamed El-Erian warns that financial stress from coronavirus is ‘far from over’ and says investors must prepare for a debt crunch. “The sense that the worst did not come to pass has fed complacency among investors of all stripes,” he said. 

5. Billionaire Salesforce founder Marc Benioff claimed the coronavirus would disappear from the US in 3 weeks if everyone wore a mask. If people wore face masks, the crisis could end in just three weeks, Benioff said on CNBC’s “Mad Money” on Monday.

6. UBS says buy these 18 diamond-in-the-rough stocks that will offer massive gains over multiple years, even as their underlying industries suffer. The stocks have room to run despite the struggles their industries may face in the future.

7. A Wall Street investment chief dispels the notion that surging stocks are disconnected from the economy — and lays out 3 reasons why the market will continue to climb over the next year.  Here’s why one investment strategist says stocks are not disconnected from economic reality — and three reasons he says stocks will be up in a year.

8. US futures are up. In Europe, Germany’s DAX fell 1.4%, Britain’s FTSE 100 fell 0.3%, and the Euro Stoxx 50 fell 1.4%. In Asia, China’s Shanghai Composite fell 0.8%, Hong Kong’s Hang Seng fell 1.1%, and Japan’s Nikkei fell 0.8% at the close. In the US, futures underlying the Dow Jones Industrial Average, the S&P 500, and the Nasdaq rose between 0.2% and 0.6%.

9. Second-quarter earnings today. Wells Fargo, Citigroup, and Delta Air Lines are highlights.

10. On the data docket. National Fraud Intelligence Bureau Business Optimism Index and Federal Reserve member Lael Brainard’s speech are due.

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