Suddenly Interest Rates are a force determining stock prices. This time, its not bearish, its bullish a positive force, chief reason the dow rallied. Were back into bad news is good news mode here, and the bad news is that unemployment, well, employment is weak. Employment is getting weaker, which will send Interest Rates back to levels that encourage all sorts of Economic Activity here. While at the same time driving the dollar lower to a level that benefits our Big International exporters. Meanwhile, inflation is coming down because of all of our newfound oil, making gasoline cheaper. Wow. Halcyon. Lower Interest Rates, lower dollar, lower gasoline, this is the stuff of greatness for the stock market. Let me show you why. First, we have lost entirely the bond market equivalent stocks. The stocks that did well because of the dividends when Interest Rates were low. Now rates are in retreat and those stocks are roaring again. Take kimberly clark. The Company Reported a spectacular numbe
Its bullish a positive chief reason the dow rallied. Were back into bad news is good news mode here, and the bad news is that unemployment, well, employment is weak. Employment is getting weaker. Which will send Interest Rates back to levels that encourage all sorts of Economic Activity here. While at the same time driving the dollar lower to a level that benefits our Big International exporters. Meanwhile, inflation is coming down because of all of our newfound oil, making gasoline cheaper. Wow. Lower Interest Rates, lower dollar, lower gasoline, this is the stuff of greatness for the stock market. Let me show you. First, we have lost entirely the bond market equivalent stocks. The stocks that did well because of the dividends when Interest Rates were low. Now rates are in retreat and those stocks are roaring again. Take kimberly clark. The Company Reported a spectacular number. Thank you for coming on the show. Hope to see you soon. And the dividend yield had gotten so outsized that
Minutes away. My partner tyler is what im trying to say, and you are my tyler, but youre down and you are my sue. Sue, i cant remember a more eagerly anticipated, maybe more important fed decision than the one we face in about 58 minutes from now. Everybody wonders what the fed is going to do with those bond purchases. Probably no move on Interest Rates. Almost certainly none here. What will they do about the bond purchases. That is one reason why the basic barometers of the stock market are basically calm. A little bit lower. The dow down about 47 right now. The nasdaq off about 4 and the s p down about 3 points. Basically waiting, watching and wondering what the fed will do. But there is also another huge story that were following at this hour and that is the question of whether they will rise above down in washington and come together with respect to raising the debt ceiling and then that important continuing resolution to fund the government. There are a lot, eamon javers, politica
Not much of a market move, but still five in a row. Reporter yeah, well, five in a row to the downside. Yeah. Reporter the bottom line here. The dow jones industrials, up modestly 45 points in the middle of the day, and ended slightly in negative territory. If you want to know, what happened in the last hour, because thats why im here, folks, exxon. It did it again. Look at this. There it is. Are we down . Down. Exxon is down 19 out of 20 days by my count. And, yes, yesterday was 18 out of 19. Theres your problem. Energy stocks, chevron was also weak throughout the day. Volume picked up. Lets move on here. One of the reasons we were calm throughout a good part of the day is the 10year flat lined. Look at that. Its just about a flat line here. The yields, i mean, on the downside. Prices on the upside. That helped throughout the day. It helped, also, that emerging markets were a little calmer. It was generally downside day in emerging markets, but a little calmer. Theres the eem, the eme
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