U.K. in chaos; Macron's big win; Earthquake at Uber
Posted June 12
1. U.K. in chaos: British Prime Minister Theresa May remains under intense pressure following last week's election shocker.
The results have dramatically weakened May's position with just a week to go before the official start of Brexit divorce talks.
May had been pushing for a clean break from the European Union, but she could now be forced to compromise with those seeking to retain some parts of EU membership, including access to the bloc's free trading area.
The pound was trading slightly lower against the dollar on Monday at $1.27. That's 15% lower that its level on the day of the EU referendum.
2. Macron's epic victory: La Republique En Marche!, the party of French President Emmanuel Macron, is projected to win a huge majority in parliament after a strong showing in the first round of voting on Sunday.
The result, which will be finalized in a second round of voting next week, should help Macron deliver on an ambitious overhaul of the country's economy and political system.
3. Uber earthquake: Uber's board on Sunday voted unanimously to adopt all recommendations from a report prepared by former U.S. Attorney General Eric Holder, which will be released to employees on Tuesday.
A report in the Wall Street Journal said the roles of two of the company's top executives, CEO Travis Kalanick and his right-hand man, Chief Business Officer Emil Michael, were on the table at the board meeting.
4.. Global market overview: U.S. stock futures were lower early on Monday.
European and Asian markets were also down.
The Dow Jones industrial average closed 0.4% higher on Friday, while the S&P 500 shed 0.1%.
The Nasdaq dropped 1.8% on Friday after a report from Goldman Sachs suggested that tech stocks are in bubble territory. The analysis sparked sharp falls by some of the sector's biggest firms, including Apple, Facebook, Alphabet and Microsoft.
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5. Stock market movers: The tech sell-off might continue on Monday. Apple, Facebook, Netflix, Amazon, Alphabet and Microsoft were all slightly lower in premarket trading.
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6. Coming this week:
Monday -- U.S. monthly budget statement;Tuesday -- Fed meeting begins; Verizon/Yahoo deal set to close; Senate could release new health care bill; Uber releases report into sexual harassment allegations; U.K. inflation dataWednesday -- Fed interest rates announcement; U.S. inflation data; U.S. retail sales data; Crude inventories report; Marijuana industry conference; U.K. jobs reportThursday -- U.S. initial jobless claims; Manufacturing output and industrial production data; Bank of England rate decision; Cherokee, Kroger Co releases earningsFriday -- U.S. housing market data; University of Michigan's consumer sentiment index