Futures Steady Ahead of Upcoming Data Deluge

U.S. stock futures are showing slight increases as investors prepare for significant economic reports and corporate earnings announcements this week. Additionally, Google is reportedly planning to sell its mapping data to companies developing renewable energy technologies, while prominent tech leaders like Mark Zuckerberg and Elon Musk will participate in a Washington forum discussing the implications of generative artificial intelligence.

1. U.S. Futures Show Minimal Movement

U.S. stock futures were largely unchanged on Tuesday morning as traders anticipated new economic data and corporate results. By 05:27 ET (9:27 GMT), major indices were flat, with the Dow Jones dropping 14 points or 0.1%.

On Monday, all three main indices on Wall Street closed with gains, marking their second consecutive day of increases as markets slowly recover from a challenging August. However, despite the slight uptick, the benchmark indices, including the Nasdaq and Dow, are expected to end the month lower.

2. Job Openings Report and Best Buy Earnings Ahead

Investors will have the opportunity to review job openings data in the U.S. on Tuesday, alongside earnings reports from various companies as the quarterly earnings season comes to a close.

Economists predict that the Job Openings and Labor Turnover Survey (JOLTS) will reveal a decrease in available positions to approximately 9.47 million in July, down from 9.58 million the previous month. This would represent the lowest level in over two years, yet still indicates a tight job market.

The JOLTS report will set the stage for the highly anticipated U.S. employment figures coming later this week. The labor market remains a key focus for the Federal Reserve as it implements monetary tightening, aiming for a reduction in worker demand to help alleviate inflation.

On the earnings side, Best Buy is expected to release its second-quarter earnings on Tuesday, and analysts will be interested in how the electronics retailer navigates a slowdown in consumer spending on non-essential items. Last quarter, the company suggested that demand challenges may reach their lowest point by year-end.

Additionally, Chinese electric vehicle manufacturer Nio is set to share its performance before market opening, while HP will report its results after market close.

3. Google to License Mapping Data to Businesses

Google is preparing to offer its mapping data to companies involved in renewable energy product development, as reported by CNBC.

The tech company plans to sell access to new APIs that provide solar and energy-related information, aiming to generate up to $100 million in revenue in the first year following the launch. Google is reportedly targeting a range of potential buyers, including solar installation companies and real estate firms.

Google has been exploring ways to monetize its mapping services amid broader economic uncertainties and did not comment on the report.

4. Tech Leaders to Discuss AI at Upcoming Forum

U.S. Senate Majority Leader Chuck Schumer has invited notable tech figures such as Elon Musk and Mark Zuckerberg to a closed-door forum next month focused on the future of generative artificial intelligence. This event will also include prominent executives from Google, OpenAI, and Microsoft.

The forum aims to address the potential risks associated with AI technology as Washington officials seek to develop appropriate regulatory frameworks. Schumer emphasized the need for collaborative efforts to lay a solid groundwork for AI policy, reflecting concerns raised by President Biden regarding AI’s implications for national security and the economy.

5. San Francisco Fed Supervisory Head to Retire

Azher Abbasi, the head of bank supervision at the San Francisco Federal Reserve, is set to retire, according to various media reports. His departure comes amid scrutiny following the failures of Silicon Valley Bank and other financial institutions earlier this year, which the San Francisco Fed was tasked with overseeing.

Abbasi’s replacement on an interim basis will be Niel Willardson, a former official at the Minneapolis Fed, effective October 1. The oversight issues highlighted in reports regarding the collapse of SVB have drawn national attention and raised questions about the Federal Reserve’s supervisory practices.