You had one set of facts that you wanted to stick to, even as that narrative has changed for the worse or for the better. Yesterday the facts changed for American Express and the stock roared 9 higher today, helping to prop up the Dow Jones Industrial average. Dow ultimately dippingc 40 points. S p declining 0. 14 , nasdaq slipping 0. 09 . Ill have more to say about the debates impact on the market later in the show. For now, i want to talk about how stock picking is the opposite of politics. If you change your mind in politics, you get eviscerated. But if you dont periodically change your mind in the stock market, your fort folio gets eviscerated. Im hardly the person to point out this need for flexibility. Keynes asked why he flipflopped on a issue allegedly responded, when the facts change, i change my mind. What do you do, sir . I say allegedly because the story is aprosthetic riffle. American express had been a serial guide downer, almost every quarter produced a disappointment.
Roared 9 higher today, helping to prop up the Dow Jones Industrial average although not enough to keep it in the black. The dow ultimately dipping 40 points, s p declining 0. 14 , nasdaq slipping 0. 09 partially because of the rancor of last nights debate. Ill have more to say about the debates impact on the market later in the show. For now, i want to talk about how stock picking is the opposite of politics. If you change your mind in politics, you get eviscerated. But if you dont periodically change your mind in the stock market, your portfolio gets eviscerated. Im hardly the first person to point out this need for flexibility. Im taking my cue from the late, great economist john maynard keynes, who when asked why he flipflopped on a issue allegedly responded, when the facts change, i change my mind. What do you do, sir . I say allegedly because the story is apocryphal, but the sentiment certainly rings true. For example, until last nights been a serial guide downer, almost every qua
Afternoon, the outgoing chair now of the Democratic National committee will not gavel in the convention, which is expected to begin an hour from now. This amid the fallout from wikileaks release of thousands of Democratic National committee emails showing officials favoring Hillary Clinton over Bernie Sanders. Prosanders protesters are already out in full force in philadelphia. Well take you there live for the latest developments. Meantime, weve had strategists come on this program and say that the tech sector looks inexpensive right now. But looks can be deceiving. And were going to tell you which single stock is making the entire sector look cheap. Well give you three guesses. Youll probably get it on the second one. Weve also got earnings coming up, from gilead, Las Vegas Sands, express scripts, and Texas Instruments. Well tell you what to expect from those reports after the bell. Yeah, we have just an absolute deluge of earnings coming out this week. Its going to be a very, very bu
Investors. Dow gained, nasdaq rocketedstra much alphabet and amazon. Not to mention microsoft. Thats four straight week in the black for the averages. I find that amazing. With the Global Economy obviously slowing, this market is taking up the big industrials and the tech stocks and throwing away the witnesstreasured healthcare names, at least until today, where they tried to rebound. Industrial and tech have been weighed down by the short dollars. Tell that to the ceos of microsoft and alphabet, which is of course google, and amazon, who stopped the shorts last night. Down there giving them the business with magnificent earnings and fabulous Conference Calls. More on that later. That doesnt mean my thesis goes away. Today healthcare may have escaped from the bears den. But now retail is being mauled. Footwear star sketchers fell short of estimates, something well talk about later with the companys cfo. You dont want to miss that. We go to next weeks game plan. Come on, thats the drill
That doesnt mean we can ignore the macro data. What are the homebuilders waiting for . How about the new home sales data on monday . Weve also got one Earnings Report ill be following closely on monday. Thats broadcom, a Big Semiconductor company. This market used to adore the stocks of target. This morning another semiconductor company, freescale, being acquired by msp semi, is reporting a low number, in part because of china. In broadcom notes any similar weakness, it does a lot of telco equipment, semis, i bet the whole high gross Semiconductor Group which is finally trying to claw back today will get hurt again. It will see rotation into the more plodding basic semis like intel and basic instruments. Please dont forget about cyprus semi. Tuesday is the day that everyone seems to worry about most because apple reports. Apple is cheaper than any of these techs that exploded hard today. But that doesnt mean the stock cant be hurt, now that the tech bar has been set so high by amazon a