Populating wall street are a bunch of weather man everyday you hear the forecast today the dow slipped some points nasdaq declined 1. 2 it is enough to make you take a meteorologist course to see which way the wind blows seems like both ways blowing at the same time. The tail wind dies and the market goes right back down again. You dont care about todays weather, what good is that for you on the forecast . It is easier said than done. How do you navigate your way through the confusing markets. Starting with the winds from the vaccine. We know it is a huge tail wind for the economy. Once people are vaccinated, we can open everything back to normal and more restaurants and retailers will make it and there will be more jubilation. The jubilation that kohls got underneath its stocks and malls can reopen and troubled retailers can be able to shooure and macys the younger robin hood traders are betting heavily on the cruise line, between the vaccine and soon enough well be able to take a cru
Meaning less demand for oil. Meanwhile similar story in bond market, yield on 10year treasury below 4 tenths of a percent overnight. Now we are staying right under and it is down 28 basis points. Again, another indication of a recession at hand. The 30year following 1 for the first time in history. The 30year bond, the yield there at. 883 . Thats down 40 basis points this morning. Global markets reacting to all of this this morning in the stock market. Deep selloff in europe. The cac quarante down 335 points. That is 6 and a half percent and dax index in germany lower by 672. Overnight in asia across the board. Chinese experts tumbled in the month of january, more signs of trouble in japan as well. First quarter gdp lower in japan showing the economy contracted 7. 1 from the previous quarter. Thats a sharp contraction in japan. This on top of the Coronavirus Crisis, cases in the United States and abroad are growing. The white house looking into emergency measures. Overseas italy report
And more the Halftime Report starts right now. Good to have you with us on this friday. Our committee at the able today, josh brown, jim lethan that will, Jenny Harrington lets begin the markets. Stocks lower again, wrapping up a turbulent week that has thrown the remainder of the summer in doubt. Its how we came into the week and how were ending it are two different feelings you tell me what to do as we move forward here. Its deja vu. We saw it before well see it again. Heres how it plays out. As we get close to the fed meeting we saw the odds of another cut, they were high to start with the markets get excited about that we could see trump flip flop he put the tweet out, didnt get much play from it because he was asleep, so wait until dude is awake if youre going to smack him between the eyes so i took off a little exposure as soon as the tweet hit markets at all levels, alltime highs, were at high levels, getting nervous, antsy did anything change for you this week . You came in thi
A crucial way for local companies and multinationals to get their goods into the heart of fuel. Theres a train coming. So when the tents were here at this place there were no trains coming but yeah because. There is not. There trying many times to bring the train as. The refugees represented the problem. For the free. And. There is a ministry here. And you see there. The tribes with many ways that your. Children. So youre blocking the trains deliberately you know that if you are blocking the way. You will and the greeks they will start to react. The greek Train Company poissy told us they couldnt move goods for 75. 00 days costing them 20000000. 00 in lost shipping. I think is the best metaphor for whats happening in europe today in the sense that people refugees who are fleeing from war and from war zones such as syria but also going to stand in iraq became a problem. Because were at the train tracks and theyre blocking the train tracks. So it became a problem for for the for a sions
Strength of the labor market. He repeats his comment a return to 2 inflation is going to require below trend growth and softening in the labor market. But before you think its all hawkish, it is not. He goes on to cite risks of doing too little or too much with policy. He notes the stance of policy is restrictive and has helped to bring down inflation and to reduce growth. He says because the fed hiked rates so quickly there may be meaningful tightening in the pipeline. Financial conditions, he says, alluding to the high rates in the bond market have tightened significantly and could affect Monetary Policy, an illusion to some of the comments from his colleagues who said because the bond market is doing its work, the fed may not have to do much. He doesnt say that but alludes to it and says the committee is proceeding carefully. He will base his decisions on data and outlook and balance of risk. He says the data does show progress towards the feds goal of maximum employment and stable