The likes of which they have not seen since 1933, in the midst of a downturn for the month, the likes of which we have not seen since 2008 here we find ourselves this morning looking at a market that will open lower. Your thoughts . You go up 19. 9 in the s p, you can have two thoughts. One is that was the greatest bull market ever the other is, boy, is this market dysfunctional were not moving the way we should theres very little volume yesterday the machines took the dow up 500 points in the last 20 minutes. Im keying on oil. I think oil is something that the algorithms are keying in i wish there wasnt algorithmic trading, but its here to stay the quants are in charge you know, lets bring back the smith corona typewriter. The quants are in charge, they took it up and now theyll cashier the market and cash it in lets come back to oil for a second it does get lost sometimes in all of the volatility were seeing and our focus on the economic crisis, on the Health Crisis, on the equity ma
Moment first what were calling the changing tones on a decidedly red day. Goldman sachs, the note that has wall street talking today. Our near term downside is no longer likely. Fed and congress have precluded the prospect of a complete economic collapse. Hes not as negative as was. Where are you today as we watch the markets come off a big week . Lets think about the sentiment we carry the high expectation there would be a significant amount of loss of life. We have seen a significant improvement in that expectation. Markets responded. Markets are responding to the health care numbers. As i see the market now, i still believe the lows are protected by strong support between 25. 50 and 25. 75. I do not believe you get the opportunity to buy at the lows again. The market never gives you that opportunity. You are running into resistance now from prior gaps that we had in the market. Today we have a weak tape. Within that, we have a very Constructive Development thats the return of Leader
Those shares are sinking as well the governments Small Business Lending Program ramping up with more than 200 billion in loan processed as companies wats it get paid out well tuk the ceo of presman auto who has already received his money. One of the fortunate ones lets kick it off with bob who has a closer look of what to expect from this quite unusual earning season very unusual. One for the record books well be starting tomorrow with jpmorgan and wells fargo they are trading down. Thats not surprising. The banks tend to trade to the down side. The Regional Bank vs been week with the rally that are 30 where they were at the end of february what are we expecting from earnings season overall. Its a real mish mosh. Clue lessness. The range of estimates on these companies from q1 and q2 from high to low is enormous. That means people dont have any idea of what will go on. Theres a number of company, almost 100 at this point that have withdrawn guidance recently its very hard to figure out
Its nearly 4 s p above 2500 thats a loss of 3. 5 . Thats the same loss for the nasdaq theres the russell 2000 which has been a big winner down by more than 4 i want to begin with breaking news regarding General Motors. A significant story is developing as we are learning that new york deaths have topped 500 and the tremendous need that the governor of the state of new york has said remains four ventilators. The president tweeting just moments ago about General Motors a couple of tweets i want to give you some of my own reporting. He says, quote, as usual with this General Motors things never seem to work out they said they were going to give us 40,000 much needed ventilators. Now they are saying it will only be 6,000 in late april they want top dollar always a mess with mary b. Thats mary barr invoke p that means the defense production act he goes onto say General Motors Must Immediately open their stupid ll lly abandoned plant io and start making vent lae iningw ford get going on vent
Closely. The treasury yields are probably the more important story were watching this morning. Lets take a look at that. Youll see the tenyear is yielding 1. 067 . Mike santoli point the twoyear at 0. 73 right now. Its been cut in half since valentines day. I think a lot of the push and pull of futures from when they opened last evening, are we going to get a surprise rate cut . Weve had Central Banks around the world comment on that. Its been stunning considering bond yields were already very, very compressed coming into this weekend and now weve just stretched the new lows. At one point 0. 69 , that still stuns me for the tenyear. Weve been continuing to watch these numbers drop rapidly this is the story people will watch closely. We should point out, stocks in shanghai surged overnight on speculation that authorities will stimulate the economy soon. As mike mentioned, theres talk of potential coordinated central bank move. Thats something our guest host talked about on friday, an op