Bank of America earnings, Kalshi's DC charm offensive and more: Morning Squawk

Good morning and welcome to your daily financial briefing. As we approach Tax Day, recent data from the IRS indicates that the average tax refund this year shows a notable increase of over 10% compared to last year. Meanwhile, S&P 500 futures appear stable this morning after the index celebrated its ninth positive trading session out of the last ten. Optimism in the market remains high as all three major indexes posted gains for the second consecutive day, largely fueled by hopes for a peace agreement between the U.S. and Iran. The recent uptick in tech stocks has also contributed to this positive momentum, bringing the S&P 500 closer to its all-time high. In corporate news, Bank of America and Morgan Stanley have continued to impress during this earnings season. Bank of America saw a 1.2% rise in premarket trading after reporting its highest earnings per share in nearly two decades, surpassing analysts' expectations. This uptick was attributed to robust equity sales and trading activities. CEO Brian Moynihan is scheduled to appear on CNBC's "Squawk on the Street" at 10:15 a.m. ET. Morgan Stanley also exceeded forecasts, with shares climbing nearly 3% before the market opened, after announcing a 16% increase in revenue year-over-year driven by success in trading, investment banking, and wealth management sectors. Additionally, Broadcom's shares rose over 3% in after-hours trading following Meta's announcement of an expanded partnership with the chipmaker. The collaboration includes a commitment from Meta to utilize 1 gigawatt of custom AI chips supported by Broadcom's technology. Notably, Broadcom's CEO, Hock Tan, will transition from Meta's board to an advisory role. In the realm of prediction markets, Kalshi is making strategic moves in Washington, D.C., amidst growing regulatory scrutiny. The company has launched an advertising campaign highlighting its commitment to U.S. laws and its ban on insider trading. This initiative appears to be a proactive approach to differentiate itself from competitor Polymarket, especially as Congress has introduced several bills aimed at regulating prediction markets. Finally, in the airline industry, United Airlines CEO Scott Kirby reportedly proposed a merger with American Airlines to the Trump administration earlier this year. While such a merger could create the largest airline globally, holding about 40% of domestic capacity, experts believe regulatory hurdles could pose significant challenges. Transportation Secretary Sean Duffy has indicated potential support for mergers within the aviation sector, suggesting a complex landscape ahead. Stay tuned for updates as these stories continue to develop.