Because there is some, not a lot but some cautious optimism starting to trickle out around both the markets because they ended their day and they ended their week higher as well. Perhaps some hope on the horizon about america getting healthy and getting working again. But tim seymour with 22 million filing for jobless benefits in just the last three weeks wiping out a decade of job gains, no doubt some very hard Economic Times for millions of people still to come. Is there really any good reason for markets to be rising like they have been i think its a liquidity squeeze. Its been a skepticism trade that has squeezed markets higher it has been a combination of the Federal Reserve expanding its Balance Sheet to 6. 1 trillion. Its been all of this well ahead of the recession frankly its been a dynamic where i think the positioning of markets allowed markets to push on higher it doesnt change from where we are but obviously we started all this on covid19 as weve gotten more clarity on cov
Here believe it or not, maybe your stat of the day, 164 of the s p 500 are actually higher now year over year for all the market damage over the past year. A good chunk of the market still remains higher we have a great Investment Committee lined up for you again today. That would be guy adami, and karen finerman, who will join us in a bit let us begin the show by focusing on four big mac row calls today from well known firms, all kind of saying the same thing are you ready, folks lets walk you through it, number one, goldman sachss, the market urn likely to make new lows morgan stanley, pull backs should be bought jpmorgan chase, were going to hit all time highs in the market next year. Piper stanley being more direct. The bear market has concluded. There you go guy adami, you heard that, you have four calls all saying the same thing, its not taken away from main street and the human toll we understand we are focused on the markets. Do you agree with those pretty optimistic views no,
Not entirely clear. The buyers are less enthusiastic. We have had horrible Economic Data. Investors and traders are assessing that reality. It is no longer just somewhere in the distance. It is here today. Many folks are saying you will be the Second Quarter that will matter. Some are saying this rally has to do with traders looking past 2020 to 2021 as the data continues to come out poorly, it could be a problem. David it is not clear what the Economic Data are telling investors. Are they paying attention to earnings, because we are getting to the heart of earnings season. Abigail they are paying attention to earnings. The banks are down in a big way. All of the big banks reporting disappointing profits, absolutely plunging, bigger loan loss reserves. Trading is a bright spot. Morgan stanley saying theyre not sure how long that will last. This is a reality. In march where it was clear the coronavirus prices would create tremendous economic problems, everybody expecting it to hit earni
But is quite rapid the last few days and it tells us more and more, volatility it is going to be here to stay. Patient capital, as it always has, will win. You have got to look at where the secular plays are going to take place in what is a Game Changing event, whether number one or number two or number three in my investment career. These are Game Changing events. Where is the secular story going to the cute the banking area . Names like ally. More online pension purchases, as i talked about with nike. You have got to think about where is the secular story going to be we will get a cyclical rebound. That is going to be beneficial for investors. Joe i know you want to keep talking micro. You mentioned we shouldnt get too excited about hopes for the second half. We dont really know if the threedate bounce, volatile as it is, is sustainable. You mentioned a couple names. Big picture, where do you see investors have the safest cushion, the biggest margin for error, or even if they are buy
Louns lou announced he is stepping down from his ceo role. And scott minerd will tell us why he doesnt think investors should be buying just yet. We have josh here welcome back to you. Interesting dichotomy setting up in the market. The stayathome stocks versus the gooutside pelaton was just hit on power lunch and netflix, zoom, are all outperforming and the goout stocks, the restaurants, the ubers are all getting hit. Theres the pocket of green there. Yeah. Look at live nation they do concerts. Yeah. Theyre thinking people are not going to go out if and when coronavirus comes here in bigger numbers. So the thing with that is that the danger with that is buying into a narrative because the narrative could be popular for two days and then all of a sudden it goes out of favor and people are like what was i thinking why do i own this stock . Because i think people are going to sit home . However, i do own zoom and another name thats been ripping, teledoc this is virtual doctors visits im