Here are the most important news items that investors need to start their trading day:
1. Stocks slip
Stock futures were slightly lower Tuesday to start the trading week. Futures tied to the Dow Jones Industrial Average were down 8 points, or less than 0.1%. S&P 500 futures slid 0.1%, while Nasdaq 100 futures fell 0.3%. Those moves come after a positive week on Wall Street that saw the Dow and the Nasdaq add 1.4% and about 3.3%, respectively, for their best weeks since July. The S&P 500, meanwhile, gained 2.5% for its best week since June. Last week, traders were watching new economic signs that indicated easing price pressures, including the latest U.S. nonfarm payrolls report, which showed the unemployment rate rose in August to 3.8%, its highest level in more than a year. But September, which is historically the weakest month for equities, could be a challenging month. Follow live market updates.
2. Rising competition
Mercedes-Benz and BMW want to take on Tesla. The automakers unveiled electric concept cars that are built on entirely new platforms at the IAA auto show in Munich, making their most aggressive push into battery-powered vehicles yet. It’s unclear what the final versions of the EVs will look like, but Mercedes has placed a big focus on the interior and user experience. Meanwhile, BMW said its car design embodies classic elements that fans know of the brand. Chinese electric car companies and start-ups were also featured prominently at the show, holding high-profile press conferences and vehicle launches as part of their attempts to make a splash outside of their home country.
3. Blacked out
Disney is encouraging sports fans and other customers to switch to a live TV option from Hulu as part of its ongoing fight with Charter Communications. Disney pulled its channels — including ESPN and ABC — off Charter’s Spectrum cable service last week as the companies battle over contract fees. The blackout came in the middle of U.S. Open tennis coverage and other live sporting events, including the start of the college football season. Charter’s dispute with Disney stems in part from the fees Disney is seeking for its programming at a time when cable TV viewership is on the decline and streaming is on the rise. Disney owns a majority stake in Hulu.
4. Arming up
Chip designer Arm estimated the per-share price for its blockbuster U.S. IPO between $47 and $51, according to an updated filing. Arm, which is owned by Japan’s SoftBank, filed for a Nasdaq listing in August amid a historically slow period for tech IPOs. Only 9.4% of Arm’s shares will trade on the New York Stock Exchange, with SoftBank expected to own roughly 90.6% of the company’s outstanding shares after the IPO, according to the filing. Arm designs the architecture of chips and sells licenses to that technology. Its chips are used in 99% of all smartphones and it is a key provider of technology to Apple, Alphabet and Qualcomm, among others.
5. Russia’s ties
North Korea and Russia seem to be heading for closer military and political ties amid Russia’s ongoing war with Ukraine. A White House official said Monday that North Korean leader Kim Jong Un plans to travel to Russia to meet with Russian President Vladimir Putin this month. Arms negotiations between the two countries “are actively advancing,” the official added. Meanwhile, discussions to revive the Black Sea Grain Initiative — which provided safe passage for millions of tons of foodstuffs before Russia suspended the humanitarian corridor — collapsed. Putin, who had been meeting with his Turkish counterpart to discuss the deal, said it wouldn’t be revived unless obstacles to Russian exports were removed.
— CNBC’s Pia Singh, Arjun Kharpal, Lillian Rizzo, Ryan Browne, Holly Ellyatt and Reuters contributed to this report.
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