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The Market In 5 Minutes: Deutsche Bank, Banco Santander Fail Stress Tests

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The Market In 5 Minutes: Deutsche Bank, Banco Santander Fail Stress Tests

Below is a tool used by the Benzinga News Desk each trading day -- it's a look at everything happening in the market, in five minutes. Apply for daily AM access by clicking here or email minutes@benzinga.com.

Macro Focus

U.S. stock futures traded higher in early pre-market trade. Futures for the Dow Jones Industrial Average jumped 58 points to 17,681.00, while the Standard & Poor’s 500 index futures rose 6.90 points to 2,073.70. Futures for the Nasdaq 100 index climbed 11.75 points to 4,374.50.

French consumer price index rose 0.2 percent year-over-year in June, while consumer spending slipped 0.7 percent in May from April. German retail sales rose 0.9 percent in May from April, while jobless claims declined 6,000 in June from May. Eurozone consumer prices increased 0.1 percent on the year in June.

Japan's industrial output declined 2.3 percent in May from the prior month.

USA Initial Jobless Claims for Jun 24 268.0K vs 267.0K consensus estimate.

Oil prices traded lower as Brent crude futures declined 0.81 percent to trade at $50.20 per barrel, while US WTI crude futures also fell 1 percent to trade at $49.36 a barrel.

Related Link: Stress Test Finale: Everything You Need To Know About Banks Returning Profits To Shareholders

BZ News Desk Focus

The Federal Reserve's "stress test" evaluates the capital planning processes and capital adequacy of the largest U.S.-based bank holding companies. Included in these tests is the firms' planned capital actions such as dividend payments and share buybacks and issuances. Thirty one of the 33 banks tested received no objections to their capital action plans. Of the 33 U.S. banks, Deutsche Bank (NYSE: DB) and Banco Santander (NYSE: SAN) failed their tests.

Some of last night's and this morning's notable earnings:

Darden Restaurants (NYSE: DRI) Reports Q1 EPS $1.10 vs. Est. $1.08, Rev. $1.79B vs. Est. $1.81B
Pier 1 Imports (NYSE: PIR) Reports Q1 EPS $(0.07) Vs. Est. $(0.05), Revs. $418.4M Vs. Est. $420.05M,
McCormick (NYSE: MKC) Q2 EPS $0.75 vs $0.74 est, Revenue $1.06B vs $1.06B est
ConAgra (NYSE: CAG) Reports Q4 Adj. EPS $0.52, Inline, Sales $2.828B vs $2.89B Est.
Constellation Brands (NYSE: STZ) Reports Q1 Adj. EPS $!.55, Sales $1.87B

Sell-Side Themes

Analysts seem to agree Tesco (NASDAQ: TSCO) has a pretty weak outlook.

Sell-Side's Most Noteworthy Calls

Goldman Sachs downgraded Diamond Resorts (NYSE: DRII) to Neutral.
Keefe Bruyette & Woods downgraded PrivateBancorp (NASDAQ: PVTB) to Market Perform.
Morgan Stanley upgraded Priceline (NASDAQ: PCLN) to Overweight.
Goldman Sachs upgraded Nokia (NYSE: NOK) to Buy.

Deal Talk

Lions Gate Entertainment (NYSE: LGF) announced plans to acquire Starz (NASDAQ: STRZA) for $4.4 billion in cash and stock.

Bloomberg reported Mobileye (NYSE: MBLY) was working with BMW and Intel on self-driving cars.

Hertz Global (NYSE: HTZ) reported a U.S. supply deal with Lyft and Uber for rental cars.

In The News

Boris Johnson, former mayor of London and supporter of the "leave" campaign, was among one of the names political pundits and experts believed would inherit the country's top ranks and become prime minister. However, Johnson said in a press conference on Thursday he has no plans to run for the job.

Oil headed for the biggest quarterly advance in seven years as falling U.S. supply added to speculation the global surplus is easing.

Victoria's Secret is promoting bras without padding as it responds to athleisure trend, slowing growth in core business.

Trending

TWLO MBLY CARA C BAC LGF JPM STRZA DRI STZ MKC PCLN TSRO ZIOP YELP [Stocktwits]

Some unfortunate people were out to #RuinShakespeare.

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