US stock futures (ES=F, NQ=F, YM=F) edge lower Thursday morning as April's Producer Price Index (PPI) reports inflation to unexpectedly fall 0.5% month-over-month.

Walmart (WMT) released mixed first quarter earnings results that beat same-store sales expectations, while warning of price hikes to come.

Sports retailer Dick's Sporting Goods (DKS) unveiled its $2.4 billion deal to buy Foot Locker (FL).

To watch more expert insights and analysis on the latest market action, check out more Morning Brief here.

Video Transcript

00:00 Brad Smith

Welcome to Yahoo! Finance's flagship show, the Morning Brief. I'm Brad Smith, alongside Madison Mills. Good morning, everyone. Let's get to the three things that you need to know today.

00:08 Madison Mills

First up, US stock futures falling following the latest read on the economy with PPI and retail sales, with prices paid to US producers unexpectedly declining in April by the most in five years, reflecting a slump in margins, suggesting companies are absorbing some of the hit from higher tariffs. Meantime, retail sales largely flat month over month.

00:27 Madison Mills

Investors also digesting commentary from the Fed Chair, Powell says we may be entering a period of more frequent and potentially more persistent supply shocks.

00:34 Brad Smith

Plus, Walmart out with earnings and warning price hikes are ahead. Shares flat after the company delivered solid sales and earnings growth. The retail giant is bracing for a bigger hit from the trade war and overall economic slowdown in the coming months, citing a lack of clarity in the current operating environment.

00:49 Madison Mills

And Dick's Sporting Goods announcing a $2.4 billion deal to buy Foot Locker. Dick's is expecting to operate Foot Locker as a standalone business unit and maintain the Foot Locker brand as well. Deal expected to deliver 100 million to 125 million in cost synergies, but could attract regulatory scrutiny due to Dick's dominance. Both companies currently grappling with the impacts of President Trump's tariff plans.  Related Videos

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