5 things to know before the stock market opens Wednesday

1. Wall Street set to rise after more S&P 500 and Nasdaq records

ADP is out with its monthly look at jobs trends at U.S. companies at 8: 15 a.m. ET. Economists expect  it to show 1.17 million positions were added in August. The ADP numbers are not always the best indicator of the government’s monthly employment report, which is released Friday. ADP said last month that July private-sector jobs grew only 167,000, a fraction of what was expected. Two days later, the government said nonfarm payrolls in July increased by nearly 1.8 million.

2. Macy’s shares rise after retailer posted 53% jump in Q2 digital sales

People wear protective face masks outside Macy’s Herald Square store in New York, June 23, 2020.

Noam Galai | Getty Images

Shares of Macy’s rose 5% after the embattled retailer saw digital sales during the pandemic surge 53% in the second quarter. Macy’s reported a smaller-than-expected loss of 81 cents per share on revenue of  $3.56 billion, which also beat estimates. With some malls still on coronavirus lockdown during the quarter ended Aug. 1, Macy’s same-store sales tumbled 35.1%. “We are encouraged by our second quarter performance; however, we continue to approach the back half of the year conservatively,” Chairman and CEO Jeff Gennette said in a statement.

3. TikTok’s algorithms emerge as a sale sticking point

Sheldon Cooper | LightRocket | Getty Images

It’s unclear whether TikTok’s algorithms for serving up videos will be part of the sale of its U.S. operations, according to The Wall Street Journal. ByteDance, the Beijing-based owner of TikTok, is trying to get clarity on the Chinese government’s newly amended rules on exporting technology. Last month, citing national security concerns, President Donald Trump signed an executive order requiring ByteDance to sell or spin off its U.S. TikTok business. ByteDance is expected to choose between a combined bid from Microsoft and Walmart and an offer from Oracle.

4. Labor Day containment key to controlling Covid-19 this fall

Kansas National Guard member Roy Manns, from Topeka, Kan., loads a sample into an Abbott COVID-19 testing machine at a drive-thru testing site Wednesday, May 20, 2020 in Dodge City, Kan.

Charlie Riedel | AP

A day after the lowest new infections in more than two months of around 34,000, Tuesday’s new cases were nearly 10,000 higher at over 43,000. Covid deaths on Tuesday spiked above 1,000 after four days below that level. While new cases are declining in summer hot spots in California, Texas, Arizona and Florida, infections are starting to increase in the Midwest. Top U.S. health officials said Tuesday that containing the coronavirus this fall starts with Americans acting responsibly over the long Labor Day weekend.

5. Trump, in Wisconsin, calls violent demonstrations ‘anti-American’

U.S. President Donald Trump talks to reporters as he stands with local law enforcement and business people while examining property damage while visiting Kenosha in the aftermath of recent protests against police brutality and racial injustice and the ensuing violence after the shooting of Jacob Blake by a police officer in Kenosha, Wisconsin, September 1, 2020.

Leah Millis | Reuters

Continuing to hit law-and-order as a pillar of his reelection campaign, Trump blamed “domestic terror” for unrest in Kenosha, Wisconsin, where protests against racial injustice erupted after the Aug. 23 shooting by a White police officer of Jacob Blake, a 29-year-old Black man. In a visit to Kenosha on Tuesday, the president, without mentioning Blake, called violent demonstrations “anti-American.” Pressed by reporters, Trump repeatedly pivoted away from questions about structural racism in the U.S., instead blasting what he described as anti-police rhetoric.

— The Associated Press contributed to this report.

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