Today, which is the chief reason why the average has turned tail after an initially positive showing. The dow dropping 70 points. S p shrinking. Nasdaq chilimbing 0. 05 . You know i want to make everybody the largest amount of money. If its legal and it turns a profit, its got my blessing. So if windstream, a super highyielding Telecommunications Company gets a private ruling from the irs that it can spin off assets into a Real Estate Investment trust and create instant value for you, im thrilled. Thats just what happened today. If centurylink and frontier communications, two companies very similar to windstream go from that idea, take advantage of the tax code goodies, more power to them. Those are real gains that you got today, big ones. And i think such that kind of Financial Engineering and ingenuity, im saying great, guys. I hope verizon and at t rethink and say they should do it. I think the Cable Companies should look it at it. Now, if i were a politician, id do everything in my
Rates. But also, promising that the administration will take action without congress if need be. Well ask a top House Democrat out of maryland about all this and will there be comprehensive tax reform to encourage companies to stay put in this company. Very much a thorny issue. Still with us by now. This time tomorrow theoretically we will know what apples new products are being introduced and it is at the iphone 6 . Is it the iwatch . Something else their sleeve . Payment system . Were they a hit with public and investors . Today a closer look at what apple needs to do to impress shareholders and customers and the bar is set very high. Yes. Lets start with that sector. Its the nasdaq out performing fractionally lower off by a point or two. The s p 500 is a weak link down and hardly call it a link. Thats the broad market index. Down almost half a percent today and something to did with the weakness across brept crude and the metals, as well. The blue chips off a quarter of 1 and just b
So call me at 1800743cnbc. Remind me never to pay poker with fed chief ben bernanke. Nearly every Single Person i knew thought ben bernanke had a bad hand coming into todays fed meeting. The guy had all aces. A heck of a rally today. The s p vaulting 1. 2 , so what happened here . How could so many people get this guy wrong . How could so many people think he had jack high with all this taper nonsense . Ben threw in his cards when we werent looking, got a whole new hand. The man is not an ideologue. Like so many others who comment about the fed and politics. The facts changed so bernanke changed his mind, too. He doesnt care that hes going to get hammered for doing so by the same people who hated what hes done for the Housing Market and what hes done for the stock market and what hes done for unemployment. As bernanke said, he never spelled out what he was going to say anyway, people just put words in his mouth. Think about what what happened when he said they might have to cut back th
My take is dont get too excited. Why . Because we just found out why weve been going up. Weve been going up, s p, people trying to figure out why. You have good employment. You have workforce growth and the hours not that great because of the weather, but i think you say to yourself, well, why is the s p going up every day . Oh, employment has gotten better and thats a major switch would it shock me if the market takes some profits in this . No, because its been going up on anticipation of something good and then we got the big enchilada good. I kind of like it. The s p has rallied the past ten jobs fridays in a row. Some say thats a ridiculous metric, but maybe its time for a reversion to the mean. No metrics are ridiculous if they just look, i forgot to wish the bull market happy birthday. Of course, it never happened, you know that . You know the bull market has never happened. Jim has been on a tear lately of the haters of this market, right . Yes. The haters will have to asterisk
Rally. Disbelief in the prices where stocks are trading. And the moves that they have made. Moves like today. Dow gained 15 points. S p advanced 019 . And nasdaq claimed 0. 4 . The best percentage gain since august of last year. I think that this disbelief issue is the subtle undercurrent that accompanies so much of whats happening in the market lately. People they dont believe. They dont believe we can keep rallying like this. Without better job growth. After all, heres the subtext. How can the averages be making alltime highs when employment is still so much weaker than it was before the recession hit . That thinking is the reason why so many people are so mistrustful if not scared an frightened of this move. But theres a problem with this logic. Theres a problem with the idea that theres a positive correlation between job growth and stock prices. In reality as ill explain, there is a correlation. But bizarrely its an inverse one. Yes, less job growth can actually be good for the sto