10 things you need to know before the opening bell

Here is what you need to know.

The Japanese yen is surging. The currency is stronger by 1.3% at 104.47 per dollar, a two-week high, as traders position themselves ahead of Friday's Bank of Japan policy meeting. "An imminent shift from fiscal tightening to loosening has reduced the pressure on the Bank of Japan to provide more stimulus, wrote Capital Economics' Japan Economist Marcel Thieliant. "However, the sharp appreciation of the exchange rate since the start of the year is threatening to derail the Bank's efforts to lift price pressures, and we expect policymakers to step up the pace of asset purchases and probably also cut the interest rate on excess reserves at the upcoming meeting."

Credit conditions in China are the loosest since 2010. That's according to HSBC's latest China Monetary Conditions Indicator (MCI). The reading of 9.2 was the highest since the peak of China's credit boom, and helps explain the country's 6.7% growth rate recorded for the second quarter.

Morgan Stanley thinks oil is headed lower. In a note to clients, Morgan Stanley researchers, led by Adam Longson, wrote, "We see worrisome trends for supply, demand, refined products, the macro and positioning that may all coalesce in late summer. Hence, our bearish bias." The team thinks oversupply could push the energy component into the "mid-30s." Currently, West Texas Intermediate crude oil is trading down 1% at $42.70 per barrel.

AB InBev upped its bid for SAB Miller. AB InBev has raised its offer for SAB Miller to 45 pounds ($59.04) per share as a drop in the value of the pound following the Brexit vote threatened the deal. Reuters says the new offer values SAB at about 79 billion pounds ($104 billion). The previous offer came at a price tag of 70 billion pounds ($106 billion) due to the exchange rate when the deal was announced.

Deutsche Bank is facing a massive lawsuit. The investment bank is being sued by investors who bought $5.4 billion of preferred securities tied to the subprime mortgage market, Reuters reports. U.S. District Judge Deborah Batts ruled investors who purchased the securities in November 2007 and February 2008 are allowed to pursue claims.

Fiat Chrysler inflated its sales. An internal review found the automaker inflated its sales from mid-2015 by 5,000 to 6,000 vehicles, Automotive News reports, citing two sources at Fiat Chrysler Automobiles. According to the report, the inflated numbers were at least partially due to pressure to keep its 75-month year-over-year monthly sales streak alive.

A Florida judge ruled bitcoin isn't money. Michell Espinoza was charged with money laundering and acting as an unauthorized money transmitter after he sold bitcoin to undercover cops. But Circuit Court Judge Teresa Pooler dismissed the charges, stating, "Bitcoin may have some attributes in common with what we commonly refer to as money, but differ in many important aspects," she wrote. "While bitcoin can be exchanged for items of value, they are not a commonly used means of exchange."

Stock markets around the world trade mixed. Overnight, China's Shanghai Composite (+1.1%) led as Japan's Nikkei (-1.4%) lagged. In Europe, Britain's FTSE (+0.3%) is out in front. S&P 500 futures are down 0.75 points at 2161.50.

Earnings reporting is heavy. 3M, Caterpillar, McDonald's, Starwood Hotels, Under Armour, United Technologies, and Verizon Communications are among the names reporting ahead of the opening bell while Apple, Buffalo Wild Wings, Panera Bread, Twitter, and United States Steel highlight the companies releasing their quarterly results after markets close.

US economic data picks up. S&P Case-Shiller Index will be released at 9 a.m. ET before Markit US Services PMI is announced at 9:45 a.m. ET. Consumer confidence and new home sales will both be released at 10 a.m. ET. The US 10-year yield is lower by two basis points at 1.55%.