Oil prices, S&P nears bull market, Apple WWDC: Monday's top stories

Today's top stories: Saudi Arabia is pledging to cut production, sending oil prices higher. Meanwhile, the S&P 500 is nearing a bull market, but Morgan Stanley analysts say in a new note that they expect to see S&P 500 earnings to fall by 16 percent. Finally, Apple is expected to reveal a new product, a mixed reality headset, at its annual WWDC.

Video Transcript

BRAD SMITH: This is Yahoo Finance's Live. I'm Brad Smith alongside Julie Hyman, and here are the three things that you need to know to start your morning. Crude oil jumps as Saudi Arabia says it will cut production by another million barrels per day in July. It's a bid by the world's top oil exporter to lift prices depressed by recession fears and macroeconomic headwinds.

The cuts were announced at the OPEC plus meeting of top producers, though the Saudi move is considered voluntary as the cartel made no collective plans to alter output there. The move to go it alone is a big one, and it comes at the expense of market share. Global oil demand is forecast to hit a record high this year despite signs of a slowdown in China-- one of the world's biggest consumers.

The market melt-up continues. S&P sits a hair's breath from a bull market, and that's 20% in a jump from its October low. But Morgan Stanley strategists say, don't get too carried away. It sees a sharp pullback in corporate results, denting the US equity rally. It's staying bullish on equities in Taiwan, South Korea, and Japan. However the Nikkei's rapid ascent has certainly caught investors' eyes of late. The move in stocks comes ahead of next week's critical Fed decision. Investor bets are currently for no-move on rates this month.

And the day's big event takes place in Cupertino, California. Apple is widely expected to unveil its first new product segment for years at its Worldwide Developers Conference, namely the Mixed Reality Headset. The long awaited debut would be the biggest launch since the Apple Watch, and reports suggest that it could include cameras and display immersive video. That not all though. The tech giant is also poised to unveil a new 15-inch MacBook Air and new features for the iPhone and iPad. We're live from the event all day and we've got much more.