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Here are the key news, trends, and analysis investors need to start their trading day:

1. Wall Street fell after another record high day

Traders operate on the floor of the New York Stock Exchange (NYSE) on July 21, 2021.

Brendan McDermid | Reuters

2. Big tech earnings after the closing bell

Tim Cook, CEO of Apple (L), Satya Nadella, CEO of Microsoft (C) and Sundar Pichai, CEO of Google.

Getty Images

3. Tesla tops $ 1 billion in quarterly net income for the first time

SpaceX founder and Tesla CEO Elon Musk looks on when he visits the construction site of Tesla’s Gigafactory in Grünheide near Berlin on May 17, 2021.

Michele Tantussi | AFP

Tesla stock rose about 1.5% in the premarket on Tuesday, the morning after the electric automaker reported earnings of $ 1.45 per share on sales of $ 11.96 billion. Both exceeded expectations. Tesla has topped quarterly net income of $ 1 billion for the first time, ten times more than the same period last year. The company also reported a $ 23 million impairment loss related to the bitcoin it holds on its balance sheet. The world’s largest cryptocurrency collapsed more than 40% in the second quarter, leaving Tesla’s holdings worth much less than the nearly $ 2.5 billion at the end of the first quarter. During Tesla’s post-earnings conference call, CEO Elon Musk said he likely won’t appear on future calls unless he has “something really important” to communicate.

4. GE, UPS top estimates for earnings and sales

Larry Culp, CEO, General Electric

Scott Mlyn | CNBC

General Electric’s shares rose more than 3.5% in pre-trading hours after the troubled conglomerate’s earnings and sales beat estimates in the second quarter. GE also said Tuesday that it expects free cash flow of $ 3.5 billion to $ 5 billion in 2021, up from its previous forecast of $ 2.5 billion to $ 4.5 billion. Free cash flow is closely monitored by investors as a sign of the health of a company’s business and ability to pay off debt.

UPS CEO Carol Tome meets with workers

Source: UPS

United Parcel Service shares fell about 2% in the premarket after the delivery giant announced second-quarter earnings and revenue on Tuesday that beat estimates. Under CEO Carol Tome, UPS has curbed costs and focused on high-margin packages as part of its “better not bigger” strategy.

5. House Selection Board to Attack Capitol Building to hold first hearing

U.S. Representative Liz Cheney (R-WY) with Chairman Bennie Thompson (D-MS) and members of the Special Committee to Investigate the Jan. 6 attack on the U.S. Capitol speak after meeting House Speaker Nancy Pelosi ( D-CA) with reporters on July 1, 2021 at the Capitol in Washington, USA.

Jonathan Ernst | Reuters

The House of Representatives special committee investigating the deadly pro-Trump invasion of the U.S. Capitol will hold its first hearing on Tuesday. The panel will hear directly from four law enforcement officers about their struggles in defense of the Capitol from the mob. Wyoming Rep Liz Cheney, who was ousted from GOP leadership after refusing to criticize Donald Trump for falsely claiming the 2020 elections were rigged, is one of two Republicans appointed to the committee. The other Republican is Rep. Adam Kinzinger of Illinois. House spokeswoman Nancy Pelosi previously turned down two of GOP leader Kevin McCarthy’s recommendations for the committee – militant Trump supporters Jim Jordan from Ohio and Jim Banks from Indiana.

– 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.

Three-time Olympian Dominique Dawes told CNBC that a lack of audience led the U.S. gymnastics team to finish second in Sunday’s qualifiers behind the Russian Olympic Committee team.

“You feel a little lost because there isn’t an audience to feed on that adrenaline,” said Dawes, the first African American to win an individual Olympic medal in artistic gymnastics. “At none of my three Olympic Games I could not imagine that the audience would not ‘Go USA!’ sings. or at least just feeds on their energy, so it has to be tough. ”

Olympic Games organizers banned spectators from the Tokyo Games after Japan declared a state of emergency amid rising Covid-19 cases in the country.

The Russian women’s gymnastics team scored a high of 171,629, more than a full point ahead of the U.S. women’s team of 170,562. However, Dawes told The News with Shepard Smith that Team USA’s performance in second place isn’t necessarily a bad thing.

“I think it’s great that they’re in second place, honestly, that makes it a competition,” said Dawes.

While Olympic champion Simone Biles received the highest total score of all participating gymnasts and qualified for every single event, she wrote on Instagram about the massive pressure she felt during the Tokyo Games.

“It wasn’t an easy day or my best day, but I got through it,” she wrote. “I really feel at times that I am carrying the weight of the world on my shoulders. I know I take it away and make it look like the pressure isn’t affecting me, but damn it is hard sometimes, hahaha! ”Galle wrote. “Olympia is not a joke! BUT I’m glad my family could be with me virtually,” she said. “You mean the world to me!”

Dawes, who won team gold in the “Magnificent Seven” of the 1996 Atlanta Olympics, said she understands the pressure Biles is feeling.

“I felt that when I led to the 1996 Olympics in Atlanta, Georgia,” said Dawes. “We were expected to win gold, make history, be the first women’s team to ever do this and I knew, as one of the leaders of that team, that my results were really important so I can feel what she feels I hope she knows we stand behind her every step of the way, and whatever the result, we love her and she is a positive force in gymnastics. “

Travelers back on the fence about flying may want to read a new list of the world’s best airlines.

The flight safety website AirlineRatings.com published its list of the “Top Airlines in the World”, which traditionally classifies airlines according to safety, on-board service, passenger comfort and flight routes.

But this year new evaluation criteria are shaking up the ranking. For the first time, airlines are being judged in part on how they have responded to the global Covid-19 pandemic.

“Covid has affected ratings in two ways,” said AirlineRatings.com Editor-in-Chief Geoffrey Thomas. “Airlines had to be Covid compliant by our standards to be considered, and we removed profitability as a criterion this year.”

And the winner is…

Qatar Airways took first place this year and was named “Airline of the Year” by the website.

The Doha-based airline received the grand prize for its cabin innovation, in-flight service and “commitment and commitment to keep operating during the Covid pandemic,” the website announced on July 20.

Qatar Airways, based in Doha, was founded in the mid-1990s and currently flies to more than 140 destinations.

Courtesy of Qatar Airways

According to AirlineRatings.com, Qatar Airways also presented industry innovations, such as being the first provider of the International Air Transport Association Security audit and one of the first to test their Covid Safe Travel Pass.

Qatar Airways also has one of the youngest fleets in the world, the announcement said.

The rest of the list

Here is the full list, followed by each airline’s position over the past year:

1. Qatar Airways (9)

2. Air New Zealand (1)

3. Singapore Airlines (2)

4. Qantas (4)

5. Emirates (6)

6. Cathay Pacific (5)

7. Virgin Atlantic (7)

8. United Airlines (not applicable)

9. EVA air (8)

10. British Airways (17)

11. Lufthansa (11)

12.ANA or all Nippon Airways (3)

13. Finnair (12)

14. Japan Airlines (13)

15. KLM (14)

16. Hawaiian Airlines (16)

17.Alaska Airlines (18)

18.Virgin Australia (10)

19. Delta Airlines (19)

20. Etihad Airways (20)

Most airlines maintained a similar position to the 2020 list. However, Qatar Airways has jumped eight places to take the top spot, a position typically dominated by Air New Zealand.

“Air New Zealand has been our Airline of the Year for six of the past eight years for its outstanding innovation and cabin service,” said Thomas.

The much-acclaimed Qsuites from Qatar Airways, which create a private room with double beds and privacy screens, have been named the airline’s “Best Business Class” for three years in a row.

Courtesy of Qatar Airways

British Airways jumped seven spots in the rankings to 10th place while United jumped 8th place after failing to make the 2020 list at all.

Only airlines with seven safety stars are considered for the annual list. This assessment is based on crash history, pilot-related incidents, government audits – and now Covid logs like social distancing, aircraft cleaning and masked cabin crew.

Less than 150 of the 350 airlines rated by AirlineRatings.com have seven stars. Eight airlines have only one star, according to the website.

The company said rankings judged by the site’s editors also take into account airline service, staff engagement, and passenger feedback.

Excellence Awards

Individual airlines are also honored with the “Airline Excellence Awards” for their outstanding service and products. This year’s awards went to:

Best First Class: Singapore Airlines

Best business class: Qatar Airways

Best Premium Economy Class: Air New Zealand

Best economy class: Air New Zealand

Best Low Cost Airline in Asia Pacific: Jetstar

Best low-cost airline in Europe: EasyJet

Best Low Cost Airline in America: Southwest

Best ultra-low-cost airline: Vietjet Air

Best regional airline: Qantas

Best cabin crew: Virgin Australia

Best lounges: Qantas

Award for catering on board: Qatar

In-flight entertainment award: Emirates

Independently of this, AirlineRatings.com publishes an annual list of the “Top Twenty Safest Airlines”, which analyzes crash records and compliance with safety regulations. It will also take into account the airlines’ Covid compliance measures in the next year, said Thomas.

This list is expected in January 2022.

American Airlines Flight 718, the first commercial US Boeing 737 MAX flight since regulators lifted a 20-month lockdown in November, will depart Miami, Florida, USA on December 29, 2020.

Marco Bello | Reuters

American Airlines said Monday that it may need to add stops to certain flights due to delays in fuel delivery at some small and medium-sized airports, and urged pilots to save fuel if possible, the latest headache during a surge in summer travel.

The airline said airlines, including American, experienced the delays due to a lack of truck drivers, trucks and fuel supplies.

American Airlines’ delivery delays at jet fuel stations initially mostly affected western US cities, but are now being reported at American stations across the country in a memo that has been verified by CNBC.

The airline said flights will carry additional fuel to airports affected by congestion, a process known as tankering, or add refueling stops.

“As our country continues to face numerous challenges, we should work together as a team to work reliably, safely and as efficiently as possible,” Dudley wrote. He urged pilots to use fuel-efficient strategies such as taxiing with a single engine.

American said flight disruptions due to fuel shortages have been “minimal” and no flights have been canceled as a result.

“Our team continues to work around the clock to monitor the situation and minimize the impact on our customers,” said the airline on Monday.

A Delta Air Lines spokesman said the airline had encountered some problems with fuel delays at some of the smaller western airports, but it had not experienced any operational issues. Southwest Airlines also had no disruptions due to fuel issues but could switch to tankers if necessary, a spokesman said.

“We have been and continue to be in contact with federal agencies and pipeline operators to address this fuel capacity issue,” said Airlines for America, which represents most of the major US airlines.

Captains have the power to decide how much fuel is on an aircraft.

“We want to make sure that the safety margin is protected and that we don’t leave any passengers behind,” said Dennis Tajer, spokesman for the Allied Pilots Association, which represents the approximately 15,000 US pilots.

The fuel supply issues arose during a surge in domestic vacation travel demand that was close to or above 2019 levels, according to US airline executives.

Many international travel destinations require negative Covid-19 test results or proof of vaccination for entry or are completely closed to visitors. This has increased the demand for US travel this summer, especially flights to smaller airports near outdoor tourist attractions.

On Saturday, Nevada’s Governor Steve Sisolak and several lawmakers announced they were working to prevent potential fuel shortages at Reno-Tahoe International Airport and to ensure planes used to fight forest fires have adequate supplies.

Bozeman Yellowstone International Airport in Montana was about half a day late on fuel deliveries earlier this month, disrupting less than a fifth of daily flights, an airport spokesman said.

More than 223,000 passengers boarded or disembarked at Bozeman Airport last month, a record and, according to airport data, more than 35% more than in the same month in 2019.

Air travelers also faced hours of waiting for airline customer service and long lines in airport restaurants and other vendors due to staff shortages.

Airlines urged their employees to take vacations or takeovers during the pandemic last year to cut labor costs, but travel demand recovered faster than many of the airline’s executives expected, and airlines are making efforts to recruit and to train.

The floods in China and Europe are yet “another body blow” for global supply chains, the CEO of a shipping firm told CNBC on Monday. 

“Rarely does a week go past without something new,” says Tim Huxley, CEO of Mandarin Shipping. 

Shipping has already seen massive disruptions this year. As parts of the world rebounded from the pandemic, increased spending led to a shortfall of containers, creating delays and driving up prices.

Then in April, one of the world’s largest container ships became wedged in the Suez Canal, halting traffic for nearly a week. The waterway is one of the busiest in the world, with about 12% of trade passing through it.

In June, an uptick of Covid cases in southern China caused more delays at ports in the region, again jacking up shipping prices.

‘Broken railway links’ caused by floods in Europe

Heavy rainfall and flooding have devastated parts of western Europe. Some of the most severe flooding happened in Germany and Belgium. Parts of Switzerland, Luxembourg and the Netherlands have been affected as well.

“This is really going to disrupt the supply chain because the railway links have all been broken,” Huxley told CNBC’s “Squawk Box Asia.”

He said that includes railways coming from the Czech Republic and Slovakia into the German ports of Rotterdam and Hamburg, which have been “seriously disrupted.”

“And so that’s going to delay cargo movements in and out,” he said. “It’s gonna really disrupt the industry.”

Huxley pointed to Thyssenkrupp, noting the German steel making giant could not get raw materials due to the flooding.

“That ultimately will have a knock on effect on industries such as the motor industry, domestic appliances and things like that,” he said.

S&P Global Platts reported, citing a letter to customers, Thyssenkrupp declared force majeure on July 16. A force majeure event occurs when unforeseeable circumstances, such as natural catastrophes, prevent one party from fulfilling its contractual duties, absolving them from penalties.

A source at the firm’s mills told S&P Global Platts that parts of the railway in Hagen are “missing,” adding it’s even more difficult than before to get trucks for delivery. Hagen is a city in Western Germany that is among the worst-hit by the floods.

Flooding in landlocked Henan disrupting supply of wheat, coal

Meanwhile, the disruption caused by the flooding in the Chinese province of Henan is made worse by the fact that the province is landlocked, said Huxley.

Read more about China from CNBC Pro

The disruption of railways is, again, going to cause a “big impact,” he said. 

“Obviously, that will have an impact on shipping, that will force shipping rates up,” Huxley said. 

The distribution of wheat and coal has been affected, according to Huxley, who pointed out that Henan is the “bread basket” of China and has produced 38 million tons of wheat this summer.