Cap. And flight path trouble. And amazon Banning Police use of facial recognition technology. It is a very busy thursday june 11 this is Worldwide Exchange here on cnbc good morning. I am brian sullivan. Thank you for joining us on a very busy thursday and one that could be a tough day for investors. On the screen,down 635 points right now. Some thinking the reopen rally may have been overdone and health data up in texas. Texas is siege about 2 to 3 daily growth in cases. Not that outline in the last couple of weeks but a slight up tick there and other states like arizona. That has got people on edge. Yield has been falling reversing a recent trend bonds will be sensitive. The fed yielding 6. 69 well call it oil prices like stock futures are down this morning. Not only any kind of growth concerns but youve got inventories growing. If virus cases do start to spike, we could see gasoline as many retreat rates will state low for years bank and financial stocks taking it on the chin wednes
Spot index down. 75 . That giving a boost equities as well. Within the equity market, the stops outperforming confirm the narrative is about reopening more economic optimism. The best performers are the likes of airlines, travel stops, the Airlines Index and hotel index up 10 or 7 . In the economic front, it is the more growth sensitive sectors leading the pack. Industrials up 4 in todays session. David which is a big change, it seems to me. In the past it was all about tech and health care. Now we are starting to see stocks that only do well if we can get on top of the virus. Is that because we have hope we are getting past it or because theyve gotten beaten down so badly at some point it makes sense . Kailey it is a little bit of both. Financials and energy are the worst performing sectors yeartodate so there may be buying coming into the market given how depressed the valuations are, but the fact that it is the cyclical growth centric stocks that are outperforming. Investors may be
Saying it will reopen 100 stores in the u. S. This week and progress on the vaccine front with heavy hitters stepping in which well have much more on. We will and not just are we excited about the new package there, the music is exciting i had seen the graphic, but i add not heard this music they should just playing through the whole hour to keep people on their toes very dynamic and thanks to the team for making it work. 59 minutes left of the show and big guests to come a huge exclusive with the ceo of merck. Ken frazier. Hell join us as they lay out their strategy to battle the coronavirus. Plus, mt. Sinai teaming one a slew of companies to support front line workers well speak with the ceo and ceo of pinterest. Mike is drilling down on the action meg is tracking progress on the vaccine front and wilfred has new comments from jamie dimon, but mike, first to you on this Broader Market and take ussen inside what are you seeing . Yes, obviously have broken above these levels everybody
Provider. Scott cooper, what does a Venture Capitalist do . Basically what we do we provide money to companies that are trying to grow and hopefully become very Big Companies like a facebook or google or an apple someday and every doing our jobs correctly, were helping them grow the company so we dont obviously work in the businesses but we can provide and navigate new challenges as they go through the business, we like making ourselves as a money provider and a supporter as a business growth. Why can a company such as the one you described go to a bank and go through traditional avenues . A good question, the problem is most of the business we invest are very risky businesses that lose money for a long period of time as they invest in the business and banks unfortunately are not in the business of doing that or taking risk of losing the capital, we are willing to take that risk and about half of what we invested we will ultimately lose all her money and any bank to your promos will no
So, scott cooper, what does a Venture Capitalist do . Basically what we do is we provide money to companies that are trying to grow and hopefully arbecome very Big Companies like facebook or google or apple someday and then if we are doing our jobs correctly we are also helping them grow the company so we dont work in the businesses but hopefully we can provide introductions to them and help them navigate new challenges as they go through the business so we like to think of ourselves as a money provider and hopefully a supporter as the business grows. Why cant a company such as a the one you describe go through a bank and do traditional avenues. Good question. The problem is most of the businesses we reinvest in our ricky businesses and lose money for a long period of time as they invest in banks are just not in the business of doing that or taking risk of losing their capitals so we are willing to take that risk and in fact half of what we invest in will lose our money and any bank wh