Hideous beatdown im going to make it real simple for you. The market is spectacular al beit mercurial fashion show. The same stocks that would strut down the runway greeted with oohhs and aahhs will be pelted by tomatoes. Stocks that have languished sell like hot cakes when styles change we call that a rotation on wall street. Investors are furiously recalibrating what theyre willing to pay for and just right now theyre happy to pay up for the stocks of solid companies with healthy dividends and ideally big buy backs. You know what . Theyve lost interest in the stocks of Fast Growing Companies when it comes to revenues. They issued huge gobs of equity and pay people or come up with bizarre new metrics or explain how theyre really doing okay even though they dont have much in the way of earnings if any. In other words, the cloud stocks are up salesforce. Com, adobe, workday, z scale, i could go on and on. These names were all smoking red hot and now theyre struggling you have to wonder
Foreign purchases. We have the first public impeachment hearing testimony revealing the president s lawyer was digging up dirt in his shadow diplomacy in ukraine. Howi lets take a look at we are setting up when it comes to the start of trading here in sydney. Investors dealt a pretty mixed hand overnight. Stocks closing pretty close to fresh record highs. Still, uncertainty over the lingering trade negotiations continuing to chip away at sentiment. We are hearing potentially the agricultural purchases that had been a solid part of the phase i deal could be in doubt. China reportedly saying if these tariffs are not resolved, they could back away from purchasing more u. S. Soy and pork. Taking a look at the picture, just about 1 10 of 1 . Watching the labor market numbers, typically quite volatile, could be a move in the aussie dollar. New zealand, upside about 1 10 of 1 after the reserve bank of new zealand held on rates for their last meeting of the year somewhat unexpectedly, causing
Pressures for boeing, downgrades at Credit Suisse and ubs renewed congressional scrutiny, shares tumbling 10 on the past week. Opioids on trial in ohio for Drug Companies reaching a last minute settlement ahead of a landmark First Federal opioid case. And Mark Zuckerberg speaking out, why the facebook ceo tells nbc news it is more important to be understood than it is to be liked. Shares of boeing under pressure, having its worst day in more than 2 1 2 years, losing almost 7 friday. As we said, Credit Suisse and ubs cut the stock to neutral from buy today boeing under scrutiny following the revelations of the emails from 2016, which called into question the safety of the 737 max jets Flight Control system. The board met over the weekend, expressed regret over the message, continuing to investigate. Dennis muilenburg is scheduled to testify at house transportation next week reuters suggested this Board Meeting in texas may consider things like job cuts and some other kinds of trimmings
Easy philadelphia victory, i decided to take on a number of twitter followers who insist that anyreality from these levels is entirely phony a move based on easy money from the Federal Reserve and a j gigantic budget deficit. Therefore they say its all false. It has to end badly. I read all these thoughtful 280 character or less arguments, and they all have one thing in common they hate the market see this as a gigantic house of cards thats waiting to collapse the dow lost 92, well, some of it, the s p shed 0. 5 . Theres one huge problem with this world view, history look at this, i got in this business in the fall of 1981 with the s p trading at 120. 120. Its now at 2,938. The dow, the dow was at 85 6. Its now at 26,478 if this isnt dispositive, i dont know what is i dont know if youre a short seller it seems unfair that there could be a moment where the feds propping things up and theres a gigantic budget deficit, perhaps with a liquidity bubble, but thats just not how it works peopl
Gains at the open although still on track to break that twomonth winning streak plus pharmaceutical stock rallying ahead of the open, this after Johnson Johnson received a smaller than expected judgment against it involving its sale of opioids. And facebook targeting snapchat again the social network reportedly developing a new messagingapp that would allow even more sharing between friends. Sharing. We share look. Were always sharing. The market is up. Receive watched this market from 3 30 this morning up until now, and theres nothing. Nothing nothing i mean, not even the bonds theres nothing. But people will foment reasons its going up and i refuse to do that you refuse to do what to explain right i think a lot of people recognize that without a new tweet thats disruptive, theyd better get a little longer well get back to fundamentals for while until were interrupted by a new update from the trade war. Hard to know which way thats going to go. Yesterday, jim, we obviously noted this