Here are the key news, trends, and analysis investors need to start their trading day:
1. S&P 500 closes about 5 points from May’s record close
A trader on the New York Stock Exchange, June 4, 2021.
2. The new meme stock, Clover Health, will rise again
Clover Health on the Nasdaq. presented
The meme stock mania was set to resume Wednesday, with day traders returning to focus on Clover Health. The stock rose 22% in pre-trading hours after rallying nearly 86% on Tuesday, up 146% since trading closed on Friday. Another name popular among Reddit traders, Wendy’s, up nearly 26% on Tuesday. In pre-trading, it was higher again on Wednesday. The excitement about AMC Entertainment over the last week has subsided a little. The shares fell by 5% in the pre-trading period. After the closing bell on Wednesday, the original Meme stock will report GameStop quarterly results. The shares rose in the premarket after a plus of 7%. Showing up as a Meme stock, Clean Energy Fuel rose 27% early on Wednesday.
3. Biden embarks on his first trip abroad after infrastructure talks stall
United States President Joe Biden departs after speaking at the Eisenhower Executive Office Building in Washington, DC on Wednesday, June 2, 2021.
Samuel Corum | Bloomberg | Getty Images
President Joe Biden will begin the first overseas tour of his term on Wednesday. The first stop on his eight-day tour is Great Britain. Biden’s trip ends next week with a summit meeting with Russian President Vladimir Putin. Biden’s departure comes a day after he finishes infrastructure talks with a group of GOP senators. He began contacting senators from both parties to forge a bipartisan compromise and set a deadline for Congress to pass laws in the summer. However, the Democrats also laid the foundations for passing the infrastructure package in whole or in part by themselves.
4th Senate Passes $ 250 Billion Bipartisan Technology and Manufacturing Bill
A worker in the photolithography department of a Mikron Group’s semiconductor factory in Zelenograd, Moscow.
Anton Novodereschkin | TASS | Getty Images
In the coming weeks, the House of Representatives is expected to adopt a bipartisan $ 250 billion bill on technology and manufacturing that was passed by the split Senate on Tuesday. The move includes $ 52 billion to fund semiconductor research, design and manufacturing initiatives. Biden hailed the bill’s passage as the White House builds its own recommendations on securing American supply chains through China and countering Beijing’s geopolitical ambitions.
5. Bitcoin ricochets after El Salvador accepts it as legal tender
A man works on a laptop in a Bitcoin training facility. Salvadoran President Nayib Bukele has announced that he will propose a law to Congress, in which his party controls the majority, to make Bitcoin legal tender.
Camilo Freedman | LightRakete | Getty Images
A day after Bitcoin fell to a three-week low, Bitcoin rose 5% to more than $ 35,400 on Wednesday. El Salvador added, being the first country to adopt Bitcoin as legal tender. Prices in El Salvador can now be shown in Bitcoin, tax contributions can be paid with the digital currency and the exchange into Bitcoin is not subject to capital gains tax there. The current official currency of El Salvador is the US dollar. It is still unclear how El Salvador will eventually adopt Bitcoin as legal tender.
– Associated Press and Reuters contributed to this report. Follow all market activity like a pro on CNBC Pro. Get the latest on the pandemic with coronavirus coverage from CNBC.