U.S. stock market futures continued to climb with Nasdaq futures nearing record highs as optimism of a quick economic recovery outweighed another night of social unrest, plus stocks to watch today in the Money & Markets Opening Bell.

The Top Story

The S&P 500 and Nasdaq Composite have jumped in six of the last seven trading sessions, as investors continue to bet on a fast post-coronavirus pandemic economic recovery.

Those bets are outweighing rising U.S.-China tensions and protests across the country over the death of a black man in police custody.

Tens of thousands of people defied curfews to take to the streets of U.S. cities on Tuesday for the eighth night of protests as National Guard troops lined the steps of the Lincoln Memorial.

With regard to the economy, the Institute of Supply Management’s non-manufacturing Purchase Manager’s Index is expected to show a jump in May, rising from 41.8 in April.

Additionally, the ADP National Employment Report is expected to show private payrolls dropped by 9 million in May, following a record 20.2 million plunge last month. A more comprehensive jobs report comes out Friday.

As of 9:20 a.m. Dow Jones futures were up 1%. S&P 500 futures rose by 0.6% and Nasdaq Composite futures jumped 0.1%.

Stocks to Watch Today

Microchip Technology Inc. (Nasdaq: MCHP) — The American microchip manufacturer raised its quarterly revenue and earnings guidance. Its original earnings guidance was between $1.25 and $1.45 per share. It revised it to between $1.35 and $1.53 per share. Shares of Microchip Technology were up 7.4%.

Boeing Co. (NYSE: BA) — Shares of the American plane manufacturer were up 1.9% in premarket trading after the company reached a deal with German travel company Tui Group (Over-the-Counter: TUIFY) over compensation for the grounding of Boeing’s 737 Max aircraft.

Zoom Video Communications Inc. (Nasdaq: ZM) — The video conferencing platform reported a 169% surge in revenues in the last quarter and earnings of $0.20 per share — both beating Wall Street expectations. However, revenue costs associated with the surge jumped 330%. Shares of Zoom were up 1.2%.

The Fed Wants to Buy Bonds, But Not Many Are Selling

Back in March, the Federal Reserve launched its monetary bazooka in an attempt to stabilize the economy during the coronavirus pandemic, including buying corporate bonds.

To this day, however, the Fed has yet to buy even one bond, according to The Wall Street Journal.

One reason why companies aren’t selling is that signing up for the program could be seen as a weakness during a market rebound.

Another is companies are reluctant because if the Fed buys now, they would be limited on how much more than could buy if the COVID-19 pandemic takes another swipe at the stock market.

Japanese Regulators Warn Its Banks of Risky US Debt

Banks in Japan have been warned about the risks of investing in overseas securitized corporate loans.

Regulators have told banks those loans could be problematic with a wave of U.S. bankruptcies, according to The Wall Street Journal.

Japan’s banks hold around 20% of the $750 billion global market for corporate debt packaged securities.

Mortgage Demand Jumps As Interest Rates Fall

Homebuyers are rushing back into the market and mortgage applications are going up.

According to the Mortgage Bankers Association, the number of mortgage applications for new homes climbed 5% last week and was 18% higher than a year ago.

For context, just six weeks ago, mortgage applications were down by 35% annually.

The average interest rate for a 30-year fixed-rate mortgage dropped to 3.37% while points for loans with a 20% down payment decreased to 0.3.

What We’re Reading

How to Play the Stock Market Rally So You Aren’t ‘Left Holding the Bag’ (Money & Markets)

‘The New Toilet Paper:’ Bikes Are Flying Off Shelves, Overwhelming Shops (CNN Business)

This Energy Stock Can Provide Investors With 30% Upside in 1 Month (Money & Markets)

Earnings Report

Here are the companies releasing earnings reports today:

American Eagle Outfitters Inc. (NYSE: AEO)

Campbell Soup Co. (NYSE: CPB)

Cloudera Inc. (NYSE: CLDR)

Express Inc. (NYSE: EXPR)

Guidewire Software Inc. (NYSE: GWRE)

Check back each morning before the opening bell for stocks to watch today with Opening Bell, here on Money & Markets