Exchange, mark newton, gary at the cme group and Jerry Grossman over at the nasdaq. All right, mark, lets talk about really just todays action, certainly, friday isnt going to spook anyone. But is this a sign of things to come as we have two trading sessions left, actually . Yeah, brief stallout, slowdown. Weve had six straight gains ever since the taper was announced, and were still seeing good strength in energy and materials which is important because those groups have lagged the majority of the year. Now were seeing some reversion in the month of december where weve seen commodities reach the highest level since october. The yields getting over 3 in the tenyear, could serve to spook people, that is psychologically important. Were set to close at the highest weekly closing basis since 2011, so thats also somewhat important. Cheryl you know, mark, at the top of the show i was actually comparing the markets that weve seen not just today, but really this year with the 18mile mark of a
As well and europe moderately in the red as asia does retreat from the big gains yesterday. We have hit dow 16,000 and s p 1,800. But then those comments from carl icahn yesterday spoiled the party a bit. There could be an announcement this morning involving that 13 billion settlement between the department of justice and jpmorgan chase. If and when, well fill you in. More problems for tesla as the automaker is the subject of a formal government probe involving fires in the model s. The dow hit 16,000, the s p 1,800 yesterday. Both closed below those levels after carl icahn expressed concerns about current valuations, saying that stocks, in his words, could face a big drop. Jim, the story for retail in the Fourth Quarter is going to be price competition and margin pressure . I think companies mentioning price competition, best buy, contrast Urban Outfitters last night, contrast that with home depot and dicks where theyre not talking about that. I was talking with john donahoe yesterday
50 million worth of shares in fannie mae and freddie mac. That means he joins old nemesis bill ackman and other big investors on the mortgage bet. Lets bring in our panel. Fox businesss Charlie Gasparino. We also have tracy byrnes and barrons Senior Editor jack hough. What do you think of this one, charlie. Wish we had dick bove but he is boycotting tv until 2015. He is very positive on fannie mae. See a political angle. See the republicans taking senate and shelby becoming head of the banking committee. That will protect fannie and freddie. They will not dissolve it. Those bills out there to dissolve fannie and freddie will go nowhere because shelby is against that. Possibly that means equity in these things is pretty safe, right . Melissa it also means well have another housing bubble. That were not 20 years from now. Who cares. Carl is 79. Becomes more blurred lines, melissa. You have activist investors and government all coming together and fighting each other and not solving the p
Clear. Were going to see more of the same. We are going to continue to see a scaling back of these quantitative purchases. I think that was clear. She didnt back away from any of that even though weve seen some weaker data but she did absolutely reinforce the economy needs to be doing better. Unemployment still need to come down and thats why they continue think were going to see or continue to signal were going to see lower rates for a long time. Melissa what would you put on her list as number one of things to do . What would you like to see her do. Her number one priority is Unemployment Rate to get down, even though they have a dual mandate but i think that is priority. I personally would like to see the fed get out of the markets way which theyre doing as they scale back on the quantitative purchases but eventually i would like to see more focus extricating themself from all this accommodation. I think it is very worrisome were talking about Interest Rates staying so low for so lo
Of word of an ftc investigation. Well be all over that. Well come back to it in just a second but first more bad news for pimco cofounder bill gross this week. One of the megafunds own trustees, william pope joy, lashing out at the superstar bond manager calling grosss 200 milliondollar salary, quote, not appropriate and demanding an investigation into grosss conduct as a manager. So is the onetime king of bond overrated . Prepare yourself for todays wall street throwdown. Our very own Charlie Gasparino thinks gross is not worth the money. I bet that is putting it mildly. Capitalist pig. Com Jonathan Hoenig says he is worth every penny. [whistle blows] jonathan you go first because may be only word you get. Go ahead. Im not an investor in pimco, melissa but many, many people are. 2 trillion is entrusted to the firm that bill gross started in the way back in the 1970s. He is mutual fund superstar. There is only one lebron james and lady gawk gaugh. How many Bond Fund Managers are househ