And good morning and welcome to Worldwide Exchange. Im seema mody in for sara eisen. Im dominic chu futures are shaping up to be a little bit more on the mixed side of things right now we are seeing the s p opening up just about flat if Current Conditions hold. The dow jones off by 4 points and the nasdaq up by 7 overall if you take a look at the equity picture, we are still hovering near those record highs. As a reminder the u. S. Bond market is closed today in observance of the columbus holiday season. We will have a deeper dive first, to some breaking news out of washington overnight. President trump calling on congress to fund the border wall as part of any deal for the socalled d. R. E. A. M. Ers. Nbcs tracie potts live in washington with more on that good morning, tracie. Hey, seema. Good morning, everybody. It did happen within a matter of hours. Not too long ago President Trump laying out hiS Immigration agenda for Congress Already overnight. Democrats are saying this wont work
Get some good numbers from the companies. General electric the former industrial powerhouse, reported a terrible number and the stock cascaded down at first after candied talk with the new ceo it rallied s p climing 1. 5 nasdaq, equal 1. 3 , records. Why does this matter because i feel emboldened when we get a report like we did from General Electric and the other side come out unscaved some of them is because of the the benign back drop from washington when the senator agreed to move forward on tax reform still though, lots of companies with cash overseas that can be repatriated here as a low tax rate as part of this reform, some others take off with that in mind, lets go to our game plan for next week. On monday, we hear from iconic, the engineer portion of the old alcoa. This is a very important time for the stock because the company doesnt have a ceo its time something happened, give us a darn ceo here. Chemberly clark reports to do, an analyst put a sell on this stock this morning
Charts thats so disturbed. And i just sold amazon on the call. Mark, mark, we have a way better what i to trade amazon. Well break it down. The action begins right now. Lets get right to it. Crude comeback the commodity rallying 1 to 3 , having the best week since march. It left Energy Stocks in the dust, this leaves us to wonder could oil be a value trap . Mike, what do you say . Its a little of a rebound, but crude prices are obviously still exceptionally weak and you know we also one of the things we we heard a lot of people talking about this week as well are concerns about corporate debt level. This is an industry that has very high debt level. So that obviously is an area of concern. The recount did tick up as well. Domestic demand is not that great. Obviously, all of this rests highly on what opec ultimately is going to do. But our increase in production is probably enough to offset any of the cuts that they have been talking about recently. I mean, so its always about what is t
Well break it down. The action begins right now. Lets get right to it. Crude comeback the commodity rallying 1 to 3 , having the best week since march. It left Energy Stocks in the dust, this leaves us to wonder could oil be a value trap . Mike, what do you say . Its a little of a rebound, but crude prices are obviously still exceptionally weak and you know we also one of the things we we heard a lot of people talking about this week as well are concerns about corporate debt level. This is an industry that has very high debt level. So that obviously is an area of concern. The recount did tick up as well. Domestic demand is not that great. Obviously, all of this rests highly on what opec ultimately is going to do. But our increase in production is probably enough to offset any of the cuts that they have been talking about recently. I mean, so its always about what is the more important data point in terms of price action. We started out saying it rallied 3 . Is that more important or th
Theres a lot of supply. So the question is is this some great opportunity . I think its a rebound in an ongoing problem. Lets keep going. All right. It really gets down to energy. And what weve got here, two lines, blue is the market, one year chart, orange is the s p 500 energy sector. I must say i see that and im tempted to play for, you know, some kind of convergence making the bet that maybe this and this are going to do that. Look at the next chart. I see that on a five year basis. Youve got to do it. Youve got to do it. This could be a killer opportunity for some form of convergence. How about if i did the ten year chart . But lets put it all in perspective . This is the beginning of dicks data, s p Industry Groups and what we really know is that there is no real difference. So from here Going Forward betting on energy versus the blue line which has all of the leading stocks in the world, i think energy has still got plenty of down side relative to the market. After all, its kept