Deal reshaping the storied Investment Bank, Morgan Stanley Ceo James Gorman will join us in the next hour. A mega merger, increases the projection of expenses saved and the guidance which well get into, as well. Giving up control of victorias secret selling a 55 stake to siycamore and stepping down. Well start with the deal of the day. Morgan stanley agreeing to acquire etrade valued at 13 billion. 58. 74 a share three months after schwab and Td Ameritrade announced a merger deal a lot of discussion of why not robin hood an enwhat it means for the sort of the framing of their Wealth Management business, jim. It is kind of amazing about 5 million accounts, maybe more robin hood with 10 million accounts in no time they were land speed record for accounts their success is driving everything they have the millennials. They have a different orientation. They have the easiest site to use. All hand held. Theyre racking up customers i have had robin on a couple times. Theyre the biggest threat
The pharma giants ceo joins us live and a big downgrade for one of the big streaming stocks we will debate in call of the day. The Investment Committee is ready to go. The Halftime Report starts right now. Welcome. Good to have you with us on this monday our Investment Committee, joe tear nova, josh brawn, steve wise brand and rob seechin. Lets begin with the markets stocks at session highs. Dow going for its close above 29,000 all this in what is a critical we can expectations are high. Positioning is pull bullish. The numbers better live up dont you think . Numbers i think will in certain instances have to meet high expectation i agree with that, scott but it seems we have rolled into 2020 and not much changed from 2019 you have been able to disburse allocations a little bit outside the u. S. Chinese equities are off to a strong start the iem both of those performing well. We are in earnings season. I think the pressure is on Financial Institutions more than any other sector i agree
Akwy sessiak ak akwywy situation of etrade. Will has the highlights. Hey, carl as you said, just last hour we were talking with james gorman, the ceo, and said he first got attracted to etrade back in 2002 when he was still at merrill. He said the conversations this time got real in december. Heres what he had to say about that 13 billion price tag i never worry about strategy. Im never trying to copy what somebody else is doing we have to do whats right for Morgan Stanley you have to be opportunistic, move and move quickly. We put in a very full, i think appropriately, a bid for a Great Company with an iconic brand if we tried to to do it on the cheap, that would have created turmoil. You get the job done thats what we did this is what he said about the rationale for the deal we bring in a group of technologists that i think will drive Technology Platforms even further than that weve been able to do they have Online Banking we can roll that to premium clients. We have a lot of young c
Eeked out a two basis point gain but it could have been worse and it should have been worse and was at one point in the day very ugly but the nasdaq rallied in the close taking the market with it. I kept from the very beginning, from the opening bell, where are the sellers. Where are they why arent they reacting to that ugly warning that we got monday from apple why is everything no matter how negative treated as a buying opportunity. It is like there is always something to be said for instead of and i think i know the answer. I think it is the index funds. 60 is coming in via index funds and they buy everything, including the stocks that should be getting hammered by bad news. And they buy in waves and they are in control of this stock market not mutual fund or Hedge Fund Managers either. Yes, index fund buyers i know people call this market a bubble and blame an easy fed but maybe, just maybe, listen to me, there is no one toblame. You simply have Many Companies doing well and compan
Welcome to power lunch, everybody. Stocks are just off the lows of the day. The dow down b about 200 points. Still on pace for its Third Straight session in the red with apple the biggest drag and gold reaching 1600, its highest level in seven years and utilities leading today on pace for a record close the second best performing sector this year next to tech up 9 for more on where the money is move ng todays market, lets get to bob pisani at the new york stock exchange. Hello, again. Much of damage is cue to apple and theyre worried about krohn kro coronavirus. Exxon mobil, another new 52week low there and also were seeing some of the big global industrials like caterpillar, 3m pretty modest response leon cooperman was saying the the biggest risk to the markets is the u. S. Elections and this is the way a lot of the Fund Managers seem to think bank of america, 150, the biggest Fund Managers in the world. He said that, too. The 2020 election is the number one thing. Were all worried ab