The nasdaq on track for a 5th week worth of gains here and the dow is erasing its losses for all the year at its highest level since late february, its also having its bests august since 1984. We turn to the Investment Committee for this we have just been seeing green, green, green for it seems like weeks, if not nonts months at this point it is surprising the markets have marched higher the way they have over the last several months since the pandemic lows its not all surprising all the factors were looking at from the fiscal side, the monetary side and the virus side are lining up in support of equity just think about what happened with chair powell yesterday and the historic announcement he made about departure from the prior inflation targeting regimes to this averaging inflation concept. What does that mean . That means rate will be low, low, low for the foreseeable future we think thats two years from now. That is very support ifr five f valuations then you have this fiscal stimu
As the action ultimately turned negative today down. S p declining. 80 and believe it tech and 234nasdaq plunging 1. 6. This month the market is led by the covid winners, the names that do fine when the economy is frozen those are not the stocks that lead us higher when times are good but as we saw today, covid plays could lead lower when the economy is improving are we finally emerging from the trough lets consider the case here first, you need to know. Were in a dangerous place its dangerous to be where we are because you can never tell if the economy is really at an Inflection Point until after and even if it is, covid stocks make up the average and drag down everything were now in the third day of this rotation with the Fastest Growing covid winners, industrials, travelers, retail these groups struggled to find their footing because they are covid losers but now in the morning today but the last two days, they are on fire i mean, did they give up the ghost at the end of the day . I
34. 20 is your level. The nasdaq coming off a fourth positive week. Longest weekly winning streak since december the composting a half percent gain at this point courtney, are you surprised at where we are in the markets given what is going on around the world with the coronavirus its been a while good to see you today. Am i surprised im surprised at how quickly the mark has come back however, we have a market that wants to go up people do want the see things better whether its the onlyis ianalys companies, expectations are very low. The fact we have seen a glimmer of hope, these markets wanted to see that i think well continue to see that rise as we move forward if people can put masks on, we might come out of this faster on the economic front the marks are looking 12 months ahead and saying we see ourselves come out of this and were seeing that with the rise in the s p and market overall. The notion of people being optimistic and wanting to be optimistic you want to be optimistic tha
Charlie breaks it for us this hour. Plus, could the tiktok saga be distracting from an even bigger china stock drama . In a countdown exclusive, one of the markets best known and feared short sellers, Citron Research founder andrew left reveals the stock he says is the biggest fraud right now in that country and whether shopify will really add stamp. Com to its cart bus he plus the names hes long on today. The ceo of the second largest gold miner in the world is here. And blitzing covid19 fears. The former nfler whose wildly popular masks he was making way before the pandemic, now has the cdc saying touchdown. Your masks score. By the way, we have some breaking news on a report that the big ten has now canceled its football season. We will ask our nfler about that. He played for the s. E. C. Plus, buffett goes big on berkshire and the latest from chicago where looters are targeting the miracle mile. Lets start the claman countdown. Liz and yes, we need to take you to chicago right now.
You could have picked any number of days to make this kind of call. Why was today the day you did it the stocks had a tremendous run, as you just we wanted to get through earnings to make sure our thesis didnt change. Our price target was 900 coming out of earnings and our perspective is the stock seems to be trading in the 1500 range which we find very difficult to justify unless we really make huge assumptions at this point were not comfortable making those assumptions. You admit today that trying to call the direction of the stock could be a fools game tesla shares are positive. Why bother trying to make call like this in this kind of a market its really not a call that the stock will go down in the next month or two. As anna agnalyst we set ratings. Objectively when we look at various scenarios for the stock and say what do we think is realistic price target based on those assumptions its 900. Its just a disconnect we move to an underperformer equivalent of a sell rating. Look, its