New Starbucks latte and big bank fines — 5 things to know today

by  

Ben Geier

Here’s what you need to know to start your day.

Good morning, friends and Fortune readers.

The markets are set for a lower open this morning after the S&P 500 index managed yet another record closes in the final hour of Tuesday’s trading session. Today, look out for two major retailers releasing earnings, a new drink from Starbucks, and news that five global banks have settled with regulators for allegedly trying to rig foreign exchange markets. Plus, humans are landing on a meteor! Here’s what you need to know:

1. Department store wars

Two of your favorite mall anchor stores are reporting earnings today: Macy’s  M -1.13%  and JC Penney  JCP -0.28% . Macy’s, which reports this morning, is expected to see earnings of about $0.50 per share, while JC Penney, which will report after the bell, is expecting to see a loss of around $0.80 per share. JC Penney has had a rough few years, and investors will be hoping to see signs of a turnaround, or at least some positive news in the report.

2. Currency troubles

Five banks — Citibank  C -0.15% , JPMorgan Chase Bank  JPM -0.90% , Royal Bank of Scotland, HSBC Bank HSBC 0.40%  and UBS — have settled with regulators over allegations they tried to rig foreign exchange markets. The fines in the settlement come to around $3.4 billion. Barclays Bank did not settle, and continues to be under investigation. This won’t do the financial sector any favors when it comes to its public image.

3. Drink up your pralines

Are you tired of the pumpkin spice latte? Are you not a fan of gingerbread? Does the idea of drinking anything eggnog flavored that isn’t filled with booze make you gag? Well, Starbucks  SBUX 0.10%  still wants your money, and as such they company is introducing the Chestnut Praline latte today, the company’s first new holiday drink in five years. So grab a red cup and drink up.

4. U.S. and China reach another deal

A day after achieving an accord on trade, the U.S. and China have reached a deal on the environment. Both countries agreed to curb greenhouse gas emissions over the next two decades. This is the first time China has agreed to such a deal.

5. YouTube is creeping on Spotify

The Google  GOOG 0.51%  subsidiary has signed a deal with Merlin, an organization representing many independent record companies, according to the New York Times. What could this mean? It could mean YouTube is looking to build its own streaming service, so similar streaming services should look out.