Good Tuesday Morning welcome to squawk alley. Im Carl Quintanilla with Morgan Brennan and jon fortt at post 9 of the New York Stock Exchange obviously a selloff resuming today. The dow extending losses from a thousandpoint drop on monday when stocks had their worst day in more than two years big tech lost more than 200 billion in market value yesterday thanks to the selloff microsoft, apple, amazon all down more than 4 . Dan niles from alpha one capital joins us on the phone. Weve been through some challenging times together, you and this network, as we try to address global issues. This is one theres not an easy edge what does the playbook look like from your standpoint right now i think the way i look at this is simple whats your risk reward at any point in time. There are certain things we know for certain. One, we know for certain the markets are at record value. My favorite measure is i take the valuation of the entire stock market and i divide it by gdp. If you look at that, your
Been seeing a lot of industrials, energy companies, airlines, travel Companies Taking the brunt of the selling. Now it has spread to the leaders. 4 , then a little under worst day since october 28. I think that is one powell said neutral. All down more than 4 , basically the big laggards today. That is what you get. Scarlet the dow and s p negative on the year. Nasdaq Still Holding onto a gain of 2. 8 . Lets check in with our market reporters to say what they were monitoring. Abigail, get us started. Abigail i am thinking about the selloff we had on this day and putting it into the context of a chart we have looked at frequently, because it feels like it is from out of nowhere, but many the surface there have been indications we could see this action. This chart goes back to the beginning of the coronavirus outbreak as we were reporting on it. A little more than a month ago. In yellow is crude oil and copper is in pink. Both of those commodities down about 10 . At the lowest crude oil
Maybe you dont care but you do care about the american economy. And boeings news impact us all. We tell you whip process then apple hitting the alltime high today, three analyst have three different takes on the same stock. Well find out who the traders believe is right all that as we begin with an earning alert on fedex not good. Fedex stock down again, missing on earnings and revenues lets get back to eric chemy at cnbc hq with more on the fedex flop. Thats right a disappointing quarter for fedex. Ceo fred smith acknowledged in the release that the fiscal 2020 is a yeerd of continued significant challenges and changes. The the company missed on top and bottom lines setting weak Global Economic cannibus, increased fedex ground costs, the loss of busy from amazon, shift to lower yielding services pb, no competitive pricing environment and late Holiday Shopping season. Looking ahead, the company reduces guidance to reflect lower than expected revenue and higher than expected expenses. F
A predator a year on with a sluggish economy in mind he softening his tone as the president welcomes his chinese counterpart xi jinping the billboards however arent as welcoming for hong kong china. And china brazil it would seem chinas growing influence on the continent isnt the easiest to sell to the public. And were joined by Carlos Dsouza hes the lead emerging market economist at Oxford Economics he focuses on latin america while carlos now give us a sense of the stakes here how important is china for latin america. Trucks are missing in growing more than for latin america but i think we need to understand the kind of relationship is that a lot of america and china have is very different from the kind of relationship in china with stan economies are in very different as well from relationships of china has advanced economies like you are in the United States so what were looking at is that most of the american economies are very export are. Going to the exporters so theyre dependen
1. 00 and there south africa at just under half a trillion now in host country brazil the leader once described china as a predator a year on with a sluggish economy in mind he softening his tone as the president welcomes his chinese counterpart xi jinping the billboards however arent as welcoming freedom for hong kong china. And china brazil it would seem chinas growing influence on the continent isnt the easiest to sell to the public. And were joined by Carlos Dsouza hes the lead emerging market economist at Oxford Economics he focuses on latin america while carlos now give us a sense of the stakes here how important is china for latin america. So simon singh is growing more than for latin america but i think we need to understand the kind of relationship is very good and china have is very different from the kind of relationship in china with stan economies are in very different from relationships of china has advanced economies like here in the United States so what were looking at