Dropping below the s p 500 dividend yield which is crazy. You can make more money on the yield on the s p 500 than on the 30 year. Unfortunately the algorithms are utilizing global yields as the correlation to equities and that seems to happen from time to time. Remember prior to that it was the chinese currency any time that traded above a 7 Point Equities move lower. So youre looking at global yields and youre basically understanding that protectionism doesnt exist in global asset pricing. What do you mean . Thats exactly what is going on right now so the United States is blessed with technology. The United States is blessed with low energy. Zero versus the rest of the world. Correct but why is that becky . Because we are seen as the best economy globally and thats where i see protectionism doesnt exist in asset pricing the rest of the world is just driving capital here. So you can see bond yields coming down precipitously but still see it being something that doesnt drag the stock m
Here to discuss all that is adam parker, Research Founder and ceo, and a cnbc contributor. Adam, there were all kinds of reasons it made sense to anticipate a little bit of chop coming into august seasonals, sentiment, technicals, valuation, arguably, yields are doing what theyre doing, but Corporate America has kind of shown its hand on earnings for the most part this earnings season. Better than anticipated. The consensus is holding up on a forward basis. Where does that leave you in terms of whether, in fact, you know, the market can skate without much more of a correction i mean, if youre reacting week over week or, say, over the last month, i dont think the data make you more negative. No. I think if you were starting july 1, saying, im 50 , were up ten, down ten, im like 60 40 up now because i think the Big Companies delivered pretty Solid Earnings reports their earnings are up pretty much for all of them, google, amazon, meta nvidias numbers are up. They didnt even report yet. S
Know, the market was acting as if there wasnt going to be anything to pay for that. I guess we learned our lesson last week and culminating on friday. We did and we were able to break below that critical area from early from late february off of the nvidia earnings and now youre getting a little bit of a bounce. I mean, this is squha of a weak bounce. I still think sentiment is selling rallies and i think that was reflected the entirety of last week. But i do believe understanding that were coming into what is really, really a critical week in terms of further price deterioration im not so sure just looking purely at technicals and understanding youre going to get 38 eps growth from the mag seven, im not so sure that there is that much down side ahead of us. I think that the market is trying to find a little bit of an area in which we could bottom from. Im not telling you that the up side is going to look anything like the up side that you got from the fall into january and february, b
sharply low. the dow well off its lows and highs, as boeing pops after the f.a.a. said the recertification of the max could come before midyear. bond yields are both falling once again as coronavirus fears spread the ten-year dipping to its lowest level since october joining us is dan nathan from risk reversal advisers dan, good to see you. clearly a risk-off sentiment today. do you see that as a buying opportunity or sign of more to come. listen, this virus came out of nowhere all of a sudden i think it s given investors the reason to hit the pause button a bit. when you think about the performance so far, the nasdaq making a new all-time high today, you still narrow group of stocks, microsoft up 5% on the year. that s 3.5 trillion in market cap, really doing a lot of work here to me there s a lot of underperformance outside of meg tameg a-cap tech s&p is down about a percent. only one positive, utilities the number of people infectioned around the world the coronaviru
Day. Is an exciting i wore my champion ofll the the world series. I figured you would get some slack on that. Historical in so many ways. Know taxk when did you reform could be achieved in america for the first time in 31 years, my answer is always the same. November 8 when President Trump, you were elected president of the united states. When you put together, the great ideas on tax reform from inside and outside congress, i have seen many of you with us. Remarkable leadership and courage from the men and women senate, and the especially my colleagues in the house. , mr. E house and the senate willingness to go across, save the table with us, and on the phone with us, to for yourne, but leadership, you would not be with us today. Thank you so much. And let me finish by speaking directly to the American People. Onre are three days to put your calendar. The first is new years day. On new years, our country will have a new tax code for a new youre a of american prosperity. New years day.