Despite strong sales during the shutdown, especially from walmart. And times of trouble in the Housing Market u. S. Home building dropped by the most ever in april a lot of talk of a bottom has those housing stocks up as well today. Absolutely. But as you said, the Broader Markets near the session lows. Coming up on todays who, well speak with Eric Rosengren on the back of that congressional testimony from chair powell and secretary mnuchin. Well get his read on the economy and whether weve reached a trough in the data plus, well speak exclusively with jim fiterling as the Company Releases a return to work playbook but lets focus in on the big stories were watch ing today. Mike is tracking the Market Action courtney has highlights from retail earnings. Mike, you and the market just selling you have a bit, but of course only lightly following yesterdays big rally. Actually today is i think the narrowest range intraday for the s p 500 in three months and by the way, three months to the d
Million. Brazil is the worlds pandemic hotspot. Infections in india rising at the fastest in asia. The fed chief is staying neutral on u. S. Aid, dodging senate attempts to make him take sides. He says more help would be needed but stopped short of a full endorsement. Shery we are seeing further afterre of u. S. Futures stocks fell to the last part of the trading session. We have had a strong start in week but there was a report on modernas vaccine study did not produce enough Critical Data to ss its success. There are similar patterns with drug makers like gilead. We saw the selloff. The s p 500 fell for the first time in four sessions for the nasdaq was outperforming at one point but turned negative. Look at what oil is doing, seeing wti above the 30 a barrel level after closing at the highest in nearly two months. We have june futures expiring tuesday. A month ago when may rises plunged prices plunged, we are not seeing that reaction this time around. There is more signs of markets
Even pharma is down. One thing you have pointed out is the volume and how it has picked up as we sold off today and extended yesterdays weakness as well. Yesterday volume had dried out and people were sitting and waiting. You are seeing a pickup in activities this week. What do you think that signals . Brent i will go back to my opening comments from the standpoint of people who are shortterm market participants, thinking of the next couple of weeks what is volatile given the reopening has started and we will get realtime feedback of how that goes. There will be spots where it will not go as well. If you have those setbacks in those areas, that would be a nearterm market detractor. We will find ways to deal with this. Treatment,ccine or these have become political statements, but i do think america will find a way. That is what capitalism and democracy does. It adapts to problems historically. We have this big blanket of the economy which was a thing we needed to do and now we are find
British pound sterling. Lots of development in europe, including the 750 billion euro package, a combination of loans and grants. We will get to that in a moment. Essentially, that massive edge helping to narrow spreads, so the italygermany 10 year spread in seven basis points at 1. 91 . Matt the china story obviously a huge one that markets didnt look like they were pricing and until now. The european rescue package was a story that markets had priced in already. It was 500 billion last time arco spoke. Today it has grown a little bit, with another 250 billion euros attached to it or get still, 500 would be the number in grants. Overall, it doesnt look like that is doing much. In terms of the stoxx 600, it is down. The dax is up or than 100 points again. One of the big reasons is daimler. Renault is up 16 . Macron has unveiled a 5 billion euro loan guarantees to renault. No direct help to daimler, but theres going to be incentives in france to buy a new car, 7000 if it is electric, an
Headlines in the quarter some past underperformers are catching a big bid check out these moves and the financials etf up 9 and xlb materials up 3 and on the flipside, outperformers like tech and health care are underperforming the Broader Markets with the xlk etf up 1 and xlc communications up 1 so is this rotation temporary or will this be the new leadership Going Forward . Guy adami, lets start with you. Hi, mel hi, guy well, just about everything is temporary if you think about it except luggage in the great words of eddie murphy, but i digress. I think it can continue and i absolutely think the banks can continue and kudos to karen who has been talking about the banks and saying the pain trade will continue to be higher in the Broader Market what we have said is banks should be trading higher and for example, j. P. Morgan which weve outlined the metrics that i used that was a 62 tangible book and put a 1. 85 multiple and youre talking about a 118 stock and i absolutely think there