And thats whats driving the stocks of so many Big Industrial Companies Higher even as others sell off in a bizarre confluence of good and bad news thats mirrored in todays action with the dow struggling to stay positive, up just two points. S p dipping 0. 26 and the nasdaq getting crushed, down 1. 05 . In the last 24 hours, president elect trump has announced a bunch of probusiness cabinet picks while to spare jobs that would otherwise be lost to mexico. The result is that the markets anointing a whole new group of stocks, rotating into them while slaughtering others. So i want to explain why thats happening and how you can profit from it. So lets trace the narrative. First the picks trump announced today, Steve Mnuchin as treasury secretary, wilbur ross as commerce secretary, sent a huge message. People who are probusiness and thats who this administration is going to be listening to. Progrowth, projobs. Now, close viewers of this network know that wilbur ross is a pragmatic, crafty b
Credit suisse upping iphone estimates and earnings. Wells fargo being investigated by federal prosecutors. The latest on the controversy facing the company and what its ceo told jim earlier this week. If you want to watch nfl football tonight. Apple shares aiming for fourth straight day of gains up more than 9 so tar this week. Company announcing initial quantities of the iphone 7 plus have sold out worldwide ahead of tomorrows debut in stores. The same goes for the smaller iphone 7s in jet black. Also Credit Suisse boosting estimates for both this year and next. Its led the dow for two straight days. After all that misery having been added in march of last year. Tim cook came on mad money when the stock was at 93 and said, listen, its not the end of the world. Nobody believed him. Said it was a desperate act. 20 points later doesnt seem all that desperate. I think that whats selling we all have our checks with these. We know sprint came out very publicly. We know t tmobile came out pu
Later, its a secret sign that energy may have found a floor and had one trader placing a very big bet. Well tell what you that is and well start off with the big moves in tech. Cisco surging and tesla misses but the stock is soaring on an upbeat outlook and amazon announcing a 5 billion buyback. Do these then to buy back the standout performance we saw in todays session in technology . Is it time more importantly to put the tech trade back on . Guy. When you talk about the tech trade, thats a pretty wide swath but in terms of cisco specifically it might be time to take a serious look at cisco. You dont have the Revenue Growth you need to v. Probably up 2. 5 , 3 and youre talking about a company thats traded seven times forward earnings, great Balance Sheet as shown by an acquisition added to a buyback. Started to make a transition are, and pete can speak to the transition microsoft did. At least they are attempting to move away from legacy businesses into businesses to make more sense
In the credit markets which is why tonight i want to walk you through the hidden but bullish changes that helped the market regain some mojo after whats been a thoroughly nightmarish year for the bulls. First we have to recognize this market has been plagued by a pair of stressed out stocks, free port mcmoran and chesapeake, the two most visible black holes out there. Chesapeake has 500 million in debt next month. We heard they hired advisers to reorganize and perhaps fall on that bomb setting up a bad chain reaction. Pay it out of cash on hand and the it line. Also committed to paying 1 billion in debt due for next year perhaps out of asset sales. They have high quality assets. Second freeport sold a 13 stake in the copper mine to metal that gives freefort the flexibilitile to unload other assets to ruse the 19 billion plus debt load. Second black hole. Momentarily filled. Third positive, the high yield debt market is plagued by the decline in sprint bonds, the telco company. Sprints
Pay it out of cash on hand and the it line. Also committed to paying 1 billion in debt due for next year perhaps out of asset sales. They have high quality assets. Second freeport sold a 13 stake in the copper mine to metal mining for 1 billion in cash. That gives freefort the flexibilitile to unload other assets to ruse the 19 billion plus debt load. Second black hole. Momentarily filled. Third positive, the high yield debt market is plagued by the decline in sprint bonds, the telco company. Sprints owner announced a 4. 4 billion buy back equivalent to 4. 2 of the market cap. Certainly they have money to throw at sprint to stave off the decline in the companys fortunes and bolster the ability verizon, at t and tmobile. The common stock jumped but it is about the credit side of the ledge er. I have to get it through to you because the stock market is often smaller than the bond market when it comes to the direction overall of what we are looking at. The oil and gas pipeline business ha