Path and what it could mean for the people of houston, the home of the biggest refineries in this country power lunch starts right now welcome to power lunch. Im courtney reagan, as tyler mentioned retail flying high but stocks trading in the narrow range. Fed chair yellen and top central bankers meeting in jackson hole. Well head there live. Hormel foods missing earnings estimates and cutting its outlook. J. M. Smuker tanking on its earnings miss. Thanks koscourtney the president taking another swing at Republican Leaders on twitter, including paul ryan for failing to get things done how does paul ryan feel about the president ial jabs. Ylan is getting ready for her one on one with the House Speaker. Reporter paul ryan keeps trying to talk taxes but the president has other ideas in those tweets he was blaming both paul ryan and Mitch Mcconnell for making a mess of this debt ceiling fight. Paul ryan just wrapped an employee town hall here today at boeing, speaking with employees as wel
Were decoupling 2. 27 . 30year at 3 . Fiveyear at 2. 6. And i go through all of those to highlight the yield is steepening and continues to do so. Global yields, this is getting interesting. Italian tenyear, 2. 21 . Its moved 18 basis points in a day. You see the biggest weekly rise, oneweek rise for the italian, german and french tenyear yield, we have seen it happen the highest in years. How long . 30 years. But all the strategists said probably five years four or five years ago we were wait iin. Here we are. What was happening the entire time that rates were not going up . We were sub2 . We were stuck in the muck, basically. The greatest thing, i mean, to see the stock market hitting new highs while rates are surging, if youre at zero on rates and sooner or later you have to normalize, if rising rates are going to move into financial assets, you have a problem with stocks going down. Unless you decouple. Rates are going up for good reason, then the stocks go up at the same time. You
Everybody waiting to see what happens. 8 30 a. M. S p futures down by less than a point. The nasdaq up by 1. 5. Yesterday you saw the nasdaq close down by basically it was flat. It was down 0. 9 points or something. It was flat. Dow and nasdaq did manage to eke out gains. Check out what happens overnight in asia. The nikkei looks like it was flat lining as well. Up 3. 5 . Shanghai comp and hang sang both a little bit higher. In europe, youll see thing are relatively positive if evfor th major averaging at least. Dax up slightly. And lets take a look at crude oil. This was the wbig story yesterday. Major pull back for crude oil prices. We have had people who have told us this week that crude was going to come down because of seasonality issues. We did see numbers this week. That has put pressure on wti. Now to the weather. Hermine has downgraded to a Tropical Storm, but not before becoming the first hurricane to make land fall in florida since 2005. The storm brought 80mileperhour winds
Take a look at the u. S. Equity futures at this hour, youll see green arrows. S p look like they would open up 2. 5. Nasdaq just over 13. Overnight in asia the knnikkei s up. 25 . The hang sang up just about as much. If you take a look at the early trading in europe, at this point, the dax is higher. The cac is france is up. 80 . The ftse is down. 10 pkts. Strong over there. The scuttlebutt yesterday looking at it. I wasnt here in the morning. Adp was strong so the market was weak. There we go again. It was that, but also the idea with some of the chatter in the morning that, look, we already knew this number was going to be around this. A lot of it already baked in. Do you believe the fed will raise rates if its a strong number on friday. No. I need to see it. Who knows. Maybe they want i think they want to. Theyve cried wolf so many times. It wouldnt kill them to do a quarter point to reestablish credibility. Once a year you get quarter point. Usually its once every ten years. We got
Speaking out after abandoning his potential mega deal with allergan, calling out the treasury in an op ed. And jeff immelt taking on Bernie Sanders in an op ed of his own, saying we create wealth and jobs instead of just calling for them in speeches. Lets take dimon first. Jpmorgans jamie dimon warning increased volatility is likely to stay. He writes, the good news is that the system is resilient enough to handle the volatility. The bad news is that we dont completely understand why this is happening. Dimon discussed the banks healthy Balance Sheet, showed some disappointment in the Stock Performance compared to the benchmark over the past decade on the heels of that journal op ed the other day. Look, he talks about what the Balance Sheet really means. Best line in the letter was, you can see in the table below that Jpmorgan Chase alone has enough loss absorbing resources to bear all the losses assumed by the 31 largest banks in the u. S. Thats the good news. Bad news, you know there