From another cash infusion . Ben pace says hes expecting the Federal Reserve to announce another round of stimulus at the meeting next week. Is that what the markets really want right now . Ben pace joins me along with chris heize and rick santelli. Ben, lets talk fed policy. You think the fed announces qe4 next week . I think its the fact the twist operation is ending at the ends of the year, and they dont feel compelled to incrementally tighten that. That means it has to be replaced. Thats the qe4, the fact theyll continue to buy to continue to be just as easy as theyve been since the september 16th qe 3 announcement. So you think its a continuation. Whats the impact on the market, do you think . Is it priced in . Are we expecting that . What do you think . I think its generally priced in. The thing that concerns me the most is the effectiveness of Monetary Policy here is starting to get less and less as time goes on. The shock and awe impact we havent really seen. Its more of a fisc
Business as usual elsewhere. The jobs report is playing out in this part of the world. Yes, that is another a another big one. A chance to react as far as the jobs report. 74,000 jobs added to the u. S. Economy for the month of december, well below the 200,000 estimate. What we saw was a drop in yields as far as government treasuries are concerned. Just about the lowest level in about a month for the u. S. 10 year as far as yields are concerned. Broadly speaking, this is what we are seeing in the equity markets this morning. Is really about dollar weakness which is seeping through to various degrees in the asiapacific. Once again, we see dollar weakness, asian currency strength and a lot of these out,ts as was pointed japan,he holiday in second week into the year and we have already seen for public days. Anyway, we will see how that pans out tomorrow. We are seeing the currency, the south korean won strengthening. We will see how that will impact the markets. On that note, back to you.
County bulls regroup here . Caterpillar posts a record quarter. Michael soft launches windows 8 this week and so far the reviews kind of tough. Its been called baffling and confusing. Googles new laptop gets glowing reviews. And bp is selling 50 stake in russian oil producer tnk to rasneft. How will it change the market landscape . The dow and the s p closed below their 50day moving averages friday. All three major indices suffering worst day in about four months. A lot of discussion about the percentage of Companies Beating on the top line. Its the minority. Its the minority report. We finely got there there, to a point where companies we always thought it would happen. We always thought during the slowdown we would finally have the triple whammy. Europe not be good, asia not be good, United States not delivering. Were seeing it. Look, its not verizon didnt feel it, chipotle didnt feel it, parker hannafan says it was a disaster. Mixed has been nearly stocky in the sense its not i cant
It ended up we didnt mind what we saw. Every piece of data we got was positive. The dow at one point down 123 points before we got a remarkable comeback from the lunch time swoon thats become a staple of the last four days of trading. The dow is down 24 points. S p dip imperceptible. And nasdaq advancing 0. 02 . We are still in a good news bad news mode until the last hour of trading. But we saw a glimpse of what could eventually happen when we start accepting good news for what it really is. Plain old unadulterated good news. Today ill tell you how we can get out of this ridiculous paradox and rally to still higher prices. Although it might be too early for it to occur in a sustained fashion. But i dont want to tell you how we escaped from the box. One thats still keeping the majority of stocks from advancing until you know what kind of positive data im talking about. First, we got numbers from adp, the National Payroll processor, showing improvement. Why do we care about the number .
Couple points to close around 1638. And despite the gains over the past tw datwo days, dow sti heading towards the worst monthly decline since last year. Bob pisani, august cant end soon enough. Though it is isnt like last year. Thank heavens. I will take a nice slow calm august versus last year. We are getting ahead of ourselves. Bill and i have been doing this a long time. There are days when it is wise to retrain from overanalyzing markets. Sometimes things dont make sense. On a day like today when you have stock market rising in the middle of early part of the day with and then just falling off and buying yields declining at the same time, very light volume and sun certainty in syria, dont overanalyze too much. We have modest rally, few point really in the last two days. Less support for the syria attack obviously a major issue. Gdp issue better this morning and weekly jobs claims 331,000. Most people i talked to said that might be good enough. I think thats the way we ought to lea