, a groups pulling us there lot of the cyclical groups. Consumer discretionary stocks are leading the declines with Health Care Help to limit the declines. The other notable mover of the session would be the u. S. Dollar. We talked about the correlation less thanrices the fact that the dollar has been down and that is something investors are increasingly talking about. Were is some talk that maybe could see a return to strength for the u. S. Dollar. Take a look at the bloomberg care. Going back all the way to the 70s and the trade weighted dollar. The other time we have had long runs, have been longer than the current run in the drop in the past month or so notwithstanding. You had all volcker being named fed chairman and a 67 month rally in the u. S. Dollar. Then the dollar came down and in the 90s, robert rubin in treasury spurred and 81 month rally in the u. S. Dollar and we have had a current rally that is only 57 months. Past performance does not guarantee future results. But the
Customers, facebook is finding out what it means to be a hardware company. Yes. On Major League Baseballs opening day and today as well, rob manfred will join us at post nine to discuss ticket prices and a lot to talk about. It will be a very interesting conversation. We want to start with tesla. Shares are popping today on reportedly strong early demand nor the mass market model three car. Phil lebeau has been following the figures from a tweet storm of elon musk. What do we know . A big three or four days for tesla and elon has been tweeting and giving us numbers on the amount of reservations placed for model 3. At the end of saturday night, 276,000 reservations, likely much bigger than that now but we havent gotten an update from tesla. The base price for model 3, 35,000. That means if they only sold 276,000 at the base price and we know they go for much more, they bring in 9. 6 billion when those sales were completed. By the way, model three deliveries start in 2017, by then it wil
December looks likely. Most members are on board. Market expectation show investors look to move next month. Speaking yesterday, york that president said he is looking forward to the day the fed raises rates. Begin to raise Interest Rates. That is a good thing. That is a sign that the economy is returning to health. The Federal Reserve is getting closer to achieving our mandate. Francine for more, lets bring moretti. And lets bring in simon kennedy. Thank you for joining us. Simon, lets start off with you. Expectation for a rate hike hasnt increased for two days. When we heard was a hawkish fed what we heard yesterday was a hawkish fed. Samco simon they responded in the markets. The jobs market the jobs number you saw. Francine we had inflation. December, the in feds meet the cymer 16th. The reason it is not 100 , people wonder if the fed is going to do the right thing. Now they are talking about how a rate hike would still be a mistake. They also look back a few months blink backaw th
Manufacturing according to the institute for supply management rising , contracting by the most since july 2000 nine because we did see an unexpected contraction in that manufacturing number. Despite that we are seeing a rally. Hits in the session took a but Still Holding up relatively well. Everything that we here between now and the next fed meeting effects what it will do beyond that meeting. I know this is one of alixs miprs. This looks at the forward rate curve and Interest Rate swaps in that market. We are seeing a gentle curve although it is a slightly more aggressive than it was historically. With every piece of Economic Data that is a little more negative, we are going to likely see the expectations for the pace of Interest Rate increases to get a little more benign and indeed that is what the fed has told investors as well. Alix also what is interesting in terms of what is leading stocks is the momentum, not those related to the fed but the stocks elected poor a lot of money
And manus cranny. French president hollande heads to russia today to enlist the help of president putin against Islamic State, a task made more complicated by turkeys downing of a russian jet. Hollande urged Angela Merkel to step up germanys government been to the cause. Ryan chilcote is in moscow for us. Things have changed a lot since hollande first planned his trip to russia. Update us. Russias spat with turkey is only growing. Russia today announcing new restrictions on turkish imports. There is some talk that they could go after food imports. It looks like they are going after industrial goods like detergent, some food imports. This after many russian tour operators canceled packages for russian tourists to turkey. Turkey is the biggest destination for russian tourists outside the former soviet union. This is a trade response, not a military response. If you look at the ruble today, you see something interesting. Thisuble down just a cad morning, but so is oil. You look at the las