Good morning. US stock futures dipped in Monday morning trading as investors prepared for a slate of inflation data later in the week and braced for the start of second-quarter earnings season.

"You see, the first thing for any organism is survival. Cutting losses on anything gives the chance to endure"

Larry Hite

Top News

US Treasury Secretary: Recession risk still a possibility

WHAT: US Treasury Secretary Janet Yellen is doling out some cautious words about the state of the US economy. In an interview with CBS’ Face The Nation Yellen said she would not rule out the possibility of a US recession saying it’s “appropriate and normal” for growth to moderate, while adding that inflation remained too high.

WHY: US President Joe Biden said last month he believes the US will avoid a recession. “It’s been coming for 11 months, well guess what? I don’t think it’s going to come” Biden said to a group of Democratic party donors.

Food delivery workers minimum pay rates delayed

WHAT: It looks like New York City’s plan to set new minimum pay standards for app-based food delivery workers has hit a speed bump! A judge ordered a delay in the commencement of the new standards after the city was sued by food delivery companies DoorDash, Uber Eats and GrubHub.

WHY: City officials recently announced plans to substantially increase earnings for those workers in the coming years to provide them with more financial stability.

Energy exec: US elections could lead to major energy shock

WHAT: The next US presidential elections could bring some shocking vibes to the energy world! Patrick Pouyanne, CEO of TotalEnergies said a “major systemic risk” in the energy market could unfold if Republicans won and decided to halt hydrocarbon exports. “I can tell you that, in addition to the Russians, if we lose American gas and oil it is not a shock, it is a super shock” Pouyanne said.

WHY: The Biden Administration last year conducted the largest ever sale from the Strategic Petroleum Reserve of 180 million barrels, part of a strategy to stabilize soaring oil markets in the aftermath of Russia’s invasion of Ukraine.

In Other News

Yellen calls for tighter China-US ties

 WHAT: US Treasury Secretary Janet Yellen has a proposition for China: Let’s communicate more! Delivering remarks at the start of a meeting with Chinese Vice Premier He Lifeng, Yellen called on China to join global initiatives to help poorer nations and address climate change, while endorsing the need for closer communication between both countries.

WHY: Yellen’s visit to China is Washington’s latest attempt to repair ties between the world’s two largest economies battered over issues from Taiwan to technology that has left an impact on business and trade relations between both countries.

Amazon’s UK workers to strike during “Prime” season

WHAT: Get ready for an Amazon showdown in Britain! Nearly 900 workers at a warehouse in Coventry are gearing up for a three-day strike, which is scheduled to coincide with the company’s “Prime Day” sales event over a pay dispute according to workers union GMB.

WHY: Strikes have been called in several industries in Britain in recent months including nurses, teachers and transportation workers in response to inflationary pressures.

Social media influencer energy drink under scrutiny

WHAT: US Senate Majority Leader Chuck Schumer is sounding the alarm on a supercharged influencer-created energy drink that’s twice as powerful as Red Bull! According to Schumer PRIME Energy, a beverage brand started last year by YouTubers Logan Paul and KSI, should be investigated by the Food and Drug Administration due to its high caffeine content, and allegations that it’s being marketed to children.

WHY: According to a warning label on the company’s website, PRIME Energy is not recommended for children under the age of 18, women who are pregnant or nursing, or individuals who are sensitive to caffeine.

Key Economic Events

• Monday - Fed’s Barr Speaks on Bank Supervision And Capital Rules

• Tuesday - No Major Economic News

• Wednesday - US CPI Y-o-Y, Fed’s Kashkari Discusses Monetary Policy, Banking Solvency

• Thursday - Initial Jobless Claims (wk end 8-Jul)

• Friday - U. Of. Mich. Sentiment

Notable Briefs

• Here’s what you should look for in financial statements!

• Are you saving enough? Here are 10 signs to consider

• Be more resilient by following these 10 steps!

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