This is the Morning Squawk briefing for CNBC. Click here to subscribe and you will receive it in your inbox in the future.

Good Friday. As Starbucks closes more stores, it might soon become harder to get that morning coffee of yours.

After a lackluster performance in the market yesterday, U.S. stock index futures rose slightly this morning.

Here are five things investors need to know before the start of trading days:

At a high level for the past 22 years

This week, U.S. Treasury yields have become the focus of Wall Street as they soared to levels not seen in decades. Now, traders are assessing what this trend means for various assets and worry whether the rapid rise in yields is signaling that there is something wrong in the market.

The latest situation is as follows:

• The yield on 30-year U.S. Treasury bonds rose to its highest level since 2004 yesterday. The yield on 10-year Treasury bonds also continued to climb, building on the largest single-day increase in over a year that was seen earlier.
• History shows that the sharp rise in yields should not be any less alarming to investors than any multi-year high. As one analyst said about CNBC, "We should be prepared, or at least we should be warned in advance: interest rates are rising, and something is about to break."
• According to the author of Matt Peterson from CNBC, the rising yield rates are sounding a real alarm for the United States, as the country is facing persistent inflation and an expanding debt burden. This also exposes the tense relationship between Federal Reserve Chairman Kevin Warsh and Treasury Secretary Scott Bessent.
• Mortgage News Daily reported yesterday that the average interest rate for 30-year fixed-rate mortgages rose to 7.45%. Experts warn that the increase in yields will also push up car loan rates.
• Despite the pressure from the U.S. debt market, the S&P 500 index is still expected to record its first weekly gain in three weeks. Meanwhile, the Dow Jones Industrial Average is expected to fall for the fourth consecutive week.
• Click here to view real-time market updates.

2. Downward impact

The Senate rejected a resolution that would have called for an end to the Iran war yesterday by a very narrow margin. Almost all Republican senators voted against the proposal, despite the fact that Republicans are concerned that this conflict and its impact on energy prices could harm their candidates' chances of winning in the midterms.

This week, the largest business group in the United States warned Trump not to implement a ban on diesel exports. Trump stated that he pushed for this measure at a time of rising energy costs. Industry insiders warn that such a move could ultimately lead to higher diesel prices.

Meanwhile, Iranian state media reported that Iran's Foreign Minister Abbas Araghchi stated that if "certain conditions are met," the country will reopen the Strait of Hormuz within seven days. As a result of this, oil prices fell this morning.

3. Novo Nordisk vs Eli Lilly

Novo Nordisk presented its plans to drive growth beyond its blockbuster weight loss drugs this week. However, as Annika Kim Constantino and Elsa Ohlen from CNBC have written, the pharmaceutical company still needs to work hard to convince investors that it can hold its ground as Eli Lilly continues to erode its market share.

Thanks to the Wegovy oral medications, Novo Nordisk held a leading position in the early stages of the oral weight loss drug market. However, Eli Lilly's CEO, Dave Ricks, stated earlier this week to CNBC that one-third of the newly added GLP-1 patients are using their Foundayo oral medications. On Monday, Novo Nordisk assured investors that the company will have a pipeline of drugs—some of which even do not fall within its core areas of obesity and diabetes—and that these drugs may enter the market with strong momentum.

As of this week, Novo Nordisk's shares listed in the United States have fallen by more than 10%, and are expected to record their worst performance since February. Meanwhile, Eli Lilly's stock price has risen by about 2.5%.

4. What fascinates Wall Street Meta

Meta started relatively late in the generative artificial intelligence competition. Today, Wall Street is rewarding this company to ensure that history does not repeat itself in the consumer-grade AI field.

Earlier this month, after launching the personal proxy application Muse, the parent company of Facebook released the Muse Charm device this week, clearly aiming to beat OpenAI and Google to it. As CNBC's Jonathan Vanian wrote, this device also reflects Meta's efforts to reduce its dependence on Apple's distribution channels.

The CEO, Mark Zuckerberg, hardly provided any specific details about the actual functions of this device, but this seemingly did not deter investors from making purchases. The stock price of Meta has soared by nearly 17% this week, with the potential to record the largest single-week increase since the beginning of 2024.

5. The Business Brought by Cats

Cat owners are spending a lot of money on their feline companions, which is good news for pet retailers such as Chewy, General Mills, and Petco.

The American Pet Products Association estimates that after a recent round of growth, the number of households with cats will reach 53 million by 2025. Corporate executives attribute this growth to cats being more suitable for living in smaller spaces, as well as lower maintenance costs compared to dogs.

The strong performance in cat products sales can offset the weakness in dog products business. As Chewy CEO Sumit Singh said during this month's financial report conference call: "The situation for dogs seems to be worsening; the situation for cats seems to be improving."

Daily Dividends

Here are several reports worth saving for the weekend:

• Whether Texas shifts to blue may depend on whether Democrats can mobilize opposition to data centers.
• Aggressive investor Toms Capital writes to Devon Energy, urging them to explore alternative options, including selling the company
• The "robotic relationships" department might become a reality in the workplace of the future.
• Peloton is transforming the treadmill with new features, ushering in the next phase of transformation.
• Trump disclosed over 1,100 transactions in July, including sales of Microsoft and Amazon stocks totaling up to $25 million each
• Warsh The Fed's push for "regime change" continues, but it encounters resistance

CNBC, Matt Peterson, Diana Olick, Sarah Agostino, Garrett Downs, Spencer Kimball, Elsa Ohlen, Annika Kim Constantino, Jonathan Vanian, and Catriona Marangi have contributed to this report.

Edited by Josephine Rozzelle for this issue.