Perfect sense. But then there are days like today when i cant take how stupidly bullish this market can be the dow gaining 164 points nasdaq climbing 0. 35 . You often hear people saying that the whole things been manipulated. Its a desperate Federal Reserve and its a scared powell and its President Trump winning the election no, the feds just doing its job. And if the white house wanted to juice the stock market, dont you think they already wouldve cut a deal with the democrats on the next round of stimulus see, there is a much simpler explanation. I call it clueless buying. I always say you should never underestimate the wall street promotion machine. But never underestimate the power of enthusiastic buyers who do not know what theyre doing they know nothing some people accuse me of taking the thing too far. They say im not willing to call people out for being morons that are more likely to put retire clorox ceo than i am to put a departing Ceo Jim Hackett on the wall of shame. They
Sell in part because were worried that theyll report not so hot earnings that includes early this morning when the market got severely oversold before rebounding the no one wants to own a stock unless it can report whats known as a bte, a bte meaning a better than expected quarter the tyranny of bte has cast a pall over this market. But now the earnings season has actually arrived with pepsico kicking things off, many stocks are down big from their highs, and im starting to think that theyve fallen so far that bte is the wrong concern [ buzzer ] instead, we should be looking for quarters that are not as bad as feared, or nabf, nabf yesterday wall street was concerned that pepsico would fail to deliver and the stock went down in anticipation of that bad number. If there is any degradation at fritolay, any market share lost to cocacola you have to believe that this thing would get clubbed like a baby seal but as it turns out, pepsicos results were not as bad as feared it was a nabf quart
Going down. Look, i have the i have a list in my hands, like senator mccarthy of 54 known stocks in the s p and how they would do inverted the top 20 ive been working on. Three are hurt 17 that win. If everybody decides that theyre going to pay less for every stock because of this, all lose the algorithms are set to make sure all these use our economy is not as uniquely sensitive. These are not exporters that need to have a dollar weaker dollar is just getting stronger. Extraordinary rally in the dollar dont want to see it i struggle to reach a conclusion that this is all bad given the fact that germany had rates for some time and the market is not doing that badly, even though they have an export economy and their dax, real terms, is up even though theyre exporting right to china in and those sales are weak as we see the numbers from china it is not the end of the world or the German Market would be down. No one is asking if it is the end of the world if it is the end of the cycle, ri
Carnival no shes actually flying long distance, choosing delta, united oh, hold it, shes spending like crazy on luxury goods overseas at least according to the mastercard data. Shes going out to dinner after work from home says american express. Oh, wait a second the consumers shopping at lowes for black and decker because she cant sell her home because rates are too high so she might as well refurbish the darn thing with a new deck, maybe throw some Sherwin Williams paint on it but shes not working out as much as before drinking less. According to Planet Fitness and diageo at which point i say wait a second, hold it. These data points, which is what i live with every single day, every minute of my life, these data points, theyre driving me crazy. And thats actually somewhat easy to do but they are the markets reacting to every twist and turn of the consumer right now and it seems to have the memory of a mayfly the market started weak, turned positive, sold off again, dow dipping 67 po
More than a decade earnings in focus, state of texas, ea, match, humana and amds chief lisa su will join us later this hour. Apple sports books reportedly reaching a new streaming deal with the pac12 lets begin with the fitch downgrade. Downgraded the u. S. To aa plus you talked about this last night. Is the market shrugging it off or not i think it has to in some ways, its just an upgrade of the way we run our country, and i think you want to go back and think, well, what happened in august 5 of 2011 when the s p downgraded us s p was at 1,119 it had gone down to 1,095. So, there was a big decline. Then, one year later, it went up so, in other words, if you just take the worst case scenario, which is what happened in 2011, it was an amazing buying opportunity. And when people looked at it, i think they said it was quizzical. Tim geithner was very angry, said it was wrong. This one says, youre a completely dysfunctional country, and we recognize that but all countries are dysfunctional