Its the fed on a day where the fed presented the monthly heati lly meeting, surprise we heard endless chatter how the stock market is in a bubble of the feds making. After a good day, the dow gained 160 points and nasdaq fell to 1. 35 . You need to know that i think this is totally nuts yeah, right. The all powerful fed created an environment where equity is the only asset class worth owning and bonds are for suckers. Its our central bank with the illuminati and free masons im sick and tired of hearing were in a bubble that the feds over inflating the price of stocks by printing money to keep the economy moving believe it or not, there is more to the economy than the Federal Reserve and certainly more to the stock market first, im not saying the fed doesnt matter of course, its important. They could raise shortterm rates to five and that could crush the stock market that would make the bears happy. I can hear them coming on air and praising the fed for giving investors a reasonable al
Index, measures the strength of manufacturing slips to the lowest level since 2009, everybodys going to freak out theyre worried about a recession. Which is why the dow lost 304 points, s p 5001. 23 and the nasdaq dropped 1. 13 that was last week now this market was due for this beatdown but i also told you that i dont believe were headed into recession. Im standing by that position. But the recession thesis became more compelling today and you need to get your head around it if you want to understand this market so let me lay it all out for you. One place. The single biggest problem behind the recession thesis is the president s trade policy but maybe not the way you think. Trumps towers and chinese exports have done realdamage t the chinese economy. Second largest in the world. As china falters, it is taking the rest of the trading partners with it, especially europe, throwing worries about brexit along with a lack of fiscal stimulus from germany and you have a worldwide slowdown goi
Im a total loser. Im with you. You are with me i didnt mean it with me. Sounded just like you did lets look at futures, of course speaking of exciting, our markets have been exciting lately a higher open this morning after that turnaround yesterday, european markets and well answer and assume well have spain and italy in there there they are all down this morning. Spain the worst performer of those european markets the 10year note yield was a concern. The budget deal exacerbated concerns about a growing deficit. Will we be able to finance it without rates moving higher . Whats the feds role going to be there you see it 2. 866 is the current number. Lets get to the road map. It starts with the stock market seeking stability after those recent very volatile days. A higher after being in the red for most of the morning. Twitter shares are up more than 25 right now in the premarket the social Media Company reporting its first ever net gaap. They didnt fall into the gap any soared into the
Now below 48. Roll back with china falling hard. The biggest drop in eight years. A 40 billion farm pa deal. Teva buying allergan and mylan and facebook. Its two price targets ahead of wednesdays earnings. The impact that is having on the nasdaq. First up this major selloff in china. The s p and nasdaq each coming a off the worst week since march. Jim, you have been fielding questions on twitter all morning long. Why the pain . You wrote, because we are china right now sample we are. I mean look i wish which werent. It was amazing to watch china roll over in the middle of the night and then see our futures unchanged. Thats just false. I mean the reason its false is because there is a link between minerals arc link between oil and us. So we have a lot of companies that i think arent going to do well with coin going down. More importantly the rest of the world, holly cow, is brazil going to take the product . Europe . You need to see europe get stronger, brazil not just kind of go away a
Or cold pay patrol number at th Payroll Department and you get the kind of benign action that gets you multiple opportunities to make money. Nasdaq falling. 74 . Thank you apple. Yes, this was the biggest opportunity, apple with the stock soring up 4. 39 after an amazing quarter 891 billion market cap. I say own it dont trade it. Could we get to a trillion dollars . If the company does well but theres plenty of others who couldnt master kushlgt pin action that comes from the iphone having such great numbers, as well as impossible take overs in the Technology Sector at the same Time Healthcare stabilizing, even the oil seem to be climbing high. Oil going through 25 suppliers the benign back drop continued continues next week. I dont know, because if theres one day where its going to take a breather its going to be up monday quad come was up a bit seems like this Semiconductor Company always locked in and may catch a break. Even though i dont think kwaqud comwants to sell at all. It may