Salanio and Salarino discuss news from the Rialto marketplace in Venice. Antonio, a merchant, has lost a ship at sea. Shylock, a Jewish moneylender, enters and discusses his daughter Jessica's elopement. Shylock had lent money to Antonio and plans to collect if Antonio defaults on the loan. Shylock's hatred of Antonio stems from Antonio's mistreatment due to Shylock's Jewish faith. Tubal brings news that Antonio's ships have been lost at sea, and it appears Antonio will default on his loan to Shylock.