To combat health risks of ecigarettes. The big question, should they be out loud completely . That and much more on making money. Charles didnt take long, folks, look at your screen. Wheres connell . Now the consensus is the fed will cut Interest Rates by quarter of a person. Maybe two more rate cuts this year. Dont forget about trade talks with china. Theyre ramping up. More positive tone. Speak of positive, Economic Data has been coming in fairly strong. A lot to discuss. So lets bring in wells fargo Security Rate strategist zachary griffith, bellpointe chief market strategist, david nelson. Sarge 986 he is president and in. Sarge, good to have you in studio. I like what is going on here, that not headline stuff but the Economic Data, Industrial Production, huge. By the way chinas Industrial Production at 17 1 2year low. Ours came in 200 better than anticipated. Homebuilder confidence, best level of the year. Is it too good going into tomorrows fed meeting . I think yes, it is very p
Weakest number in 17 years. This is below that number. Retail sales also weaker than expected. The expectation was for 7. 9. You are looking at 7. 5 year on year for august. Again, below the july number as well. In terms of fixed asset investment, we are focused on the private sector and estate sector, also missing the surveys. 5. 5 . The survey had 5. 7 . So this is pretty weak data. In terms of retail data, we have seen month on month auto sales for example, a big component and retail sales, falling almost double digits. In terms of Industrial Production you have seen the impact of tariffs, but this awes this august that it doesnt account for the additional tariffs in september so that will be a further drag. Domestically you have weak demand as well. Investment, some economists suspected a step up in terms of local governance and the issue of special bonds to fuel additional estate sector investments. It doesnt look like that has spread through. Across the board this is a miss. In,
Inversions plus, tiffanys mixed quarter, the luxury retailer with an earnings beat. Peloton getting set for the public debut, widening losses ahead of its initial Public Offering as we have said twice now, stocks are set to open lower on worries about Global Growth and the risk of recession. Investors paying close attention to that yield curve and its inversions of the two and ten as well as trade tensions between the u. S. And china about an hour ago or so, we got a president ial tweet, quote, so interesting to read and see all of the free and interesting advice im getting on china from people who tried to handle it before and failed miserably. They got taken to the cleaners, were doing very well with china. This has never happened to them before this being a preference to the large tariffs in place that are set to go up september 1 and then december 15 and the overall there has been some press that echoed some things i was hearing shared on monday that the idea that the chinese have
10year yield is below production broad base slow down in demand chewy debuts at the nyc and biden verses amazon. A lot for investors to digest today. Retail sales is the latest thing. I these are the people who ae focused on the feds. There is to reason to cut now because retail is not that bad may was okay not great, not bad what matters is this book. And it is significant because hock t hock tan missed by 2 billion revenues thats the president a billion of just the overall slow down. Now we are starting to get it. Now we are starting to see why the fed has to be worried. 22 billion in sales and it is being heard. That means everybody is being heard. If you miss what hock tan said last night, you got to listen to this piece in the Conference Call. It is clear that the u. S. china trade conflict including ahuawei is creating economic and uncertainty as a result, volatility have increase and our customers practically reducing inventory levels to manage risk. Maybe this gets the white ho
Until the close, cnbc contributor stephanie link from tiaa a nuveen company. Welcome, stephanie thanks. Energy doesnt usually lead this market but is today on the oil bounce and questions about whether thats sustainable and given sort of the scale and increase in tensions whether the move is big enough to bring back the sector and commodity trade i dont know. I really dont because its been a tough industry for the whole year. For a whul of years now. So this is really more a supply issue concern. I think the Biggest Issue for oil are demand and the demand environment has been slowing and the revisions have been lower. So with that as a backdrop this might be just temporary. You would have thought oil would have been rallying much more than it did. I spoke as well about 20 minutes ago to one of the senior traders at one of the major investment banks and said was pleased to see the algos didnt disrupt the market when pompeo came out and clearly blamed iran on that. That could have been a