Those markets are doing today. Its a red day for the most part, spain is in the green. 10year note yield were always watching that and that is at 2. 42 boy, its a big start to the year for crude well talk a lot about that. Crude over 60 bucks even though its ticking slightly lower today along with brent and wti and brent at the bottom of the screen the roadmap starts with the new year and new rally futures rising as we said as wall street shrugs over geopolitical concerns and the tax effect bp taking a major q2 earnings set but bullish on the tax laws long term impact apples mea culpa, looking to quickly make amends with angry customers. Stocks coming off the best yearly performance since 2013, including 71 record closes for the dow, 72 for the nasdaq and 62 for the s p the dow posting a 25 gain for 2017 and s p up 19 . The nasdaq leading the three major indexes up 28 jim, happy new year to you. Happy new year. Thank you very much. It would certainly seem as though we entered a new year with the wind at the back of stocks. We certainly do but i also want to caution on monday opening historically we had profit taking come in. It wouldnt surprise me. Europe is not up and asia was up very strongly. The pmi in europe is incredibly strong and at the same time its going down thats because the dollar is weak and i think were misinterpreting, europe is bad no, its all about the euro. January is a 50 50 month if you look back over the last 50 years, s p is up 50 of the time who knows how the month will shake out. Things certainly seem to be in line for the market continuing to go up. Yes and the banks start the earnings season and ive got to tell you, they are ones that are beneficiaries of the tax code, none of them has taken anything up they havent they may have called analysts and say numbers are going to be better it will still come as a surprise lets understand each other. When we get the surprise some people will say, well, you know, no kidding, i calculated that but there are other people who say, you know what, wow, and these break out and go from a 14 multiple to maybe a 17 multiple given the fact that the multiple is higher. Obviously i think that the big tax increase, big tax decrease is not in the market for a lot of companies because youve got to calculate it. And the companies calculate it for you. In a lot of cases pretty good. Im glad we showed jp morgan which your trust added. Jp morgan will tell the best story, they have a good tax situation. When you read articles about how the government is no longer stepping in the way of business, there was a New York Times piece that could it was real news im waiting for trump to tweet real news in New York Times, were starting to grow again i know hell do that because he eventually gets to the times, dont you think, gets there somewhat he is tweeting this morning well see if it does get there is this going to be the year were talking about the banks often and forea good reason. Yes, because geez, they are at the center of what most people dont realize, which is they had huge Compliance Costs but they also were afraid to lend to a second home. Anybody who is wealthy and anyone who is medium, boom, they could not get a loan a lot of Construction Loans not working. Obviously we do have some state and local tax problems in a couple of states but the boom in the southeast is what i think people will not talk about its incredible to me how strong the southeast is. Are you at all worried about u for ya, you have targets on wall street, 3,000, 3,000 clubs growing by the day, josh brown from halftime writes, we show every sign of wanting to go back to that place and bank of america, Merrill Lynch talking about the same thing. Great piece by ken fisher, one of my faf rit Money Managers saying were about to have the end the blowoff, meaning this would be blow off top. He prefers europe but thats been something hes been laying out for a while. But he did say look, we really eent had the blowup. There are tons of times we saw stalts, got on twitter, thanks to bob lang. When the dow is up 25 , thats been ten times, its been higher eight times with six of those in double digits. Dont feel it ends yet but also, look and that could even be better with the tax cuts i really think this deregulation story will could into play in the first quarter. Were going to hear companies say, you know what, weve got freedom. They dont want to speak too loudly about freedom because there will be a backlash, but youre a pipeline company, building pipelines everywhere. I like the fight of worries over u for ya and not being bullish enough, thinking that the tax package could prolong the bull market for years. Look, look at these banks, this is a major group so far behind the market. The oils are so far beyond the market theres a lot of Health Care Stocks doing better. I can look at sectors and spot Companies Like unh, big dow stock, its going to do better even some of the losers i think could do better, although its hard to imagine exxon up a lot. Look what oil is doing this morning. I think some people are misinterpreting twoyear high for crude. They are saying iran could become offline the north sea is back online i think its demand, demand, demand when you see pmi in europe at 60 and asia coming back and United States exporting a lot of oil but still kind of running short in oil and certain places of the country, its weird because were exporting and importing, i know that. I see a lot of groups that just havent had their move. If you have a sin kronized Global Recovery that were in, maybe the dollar ends up weaker than people think. Maybe its the year commodities come back. Freeport, which is down had a huge run if i were freeport, i would offer 100 million shares and clean up the Balance Sheet i think there are companies that should clean up the Balance Sheet that made acquisitions, we have very few secondaries last year a lot of the companies can really get liquid. Again, thats they have a lot more cash flow less cash flow will go to the government, more going to the companies, i know that buybacks are like a sin are you kidding me they are a sin for the 47 of the people who dont own stock but the 53 they dont sit there and say, wow, i cant believe they are wasting the money on thestocks that i own. I mean, the shareholders kind of they want some growth but what they really want is higher stock prices, this whole like welcome home i think thats fantastic and they are giving bonus to workers, remember our job, to think about stocks stocks benefit, period and i think this whole idea that what a waste of money if they buy back, it doesnt take into account what it means for jp morgan and what it means for chevron. Chevron actually has money, they can bring it back and what it means for all health care and insurance and industrials. Its just not in not in the market. No. And youve been making the argument for weeks the numbers are too low. They are because they havent been raised yet. A lot of these companies a lot of analysts are either not clued into the companies or are about to Start Talking about the idea that the retailers have real earnings and those earnings will flow more we see great jp morgan upgraded nordstrom from sell to hold jp morgan gets back on the bandwagon of coming private. Theres a bunch of notes how kohls did well, j. C. Penney, elle brands i mean, victorias secret doing better i met someone who went to victorias secret, someone i hiked with this weekend. Are you kidding me everyone is back to victorias secret we didnt exactly discuss bras, that would have been inappropriate but there are badge and body works doing better satellite work that hes been on your show showing a huge improvement in traffic i think you want to get in front of retailers and want to get in front of amazon. Dont forget, weve got notes positive i want to get one more thing in there. Do you want to get out of lulu citi said maybe you should. Citi is too negative. Citi doesnt realize that we are that they won the athleisure battle. I wish sara eisen was here, on the cover of athleisure magazine i subscribe to everything. Maybe not that one sara with her infant i do think where we are is one of the things most amazing get this, four years ago was soshixts, the top in europe, if you remember then the ukraine sanctions and then europe is coming back and coming back fast i think people are underestimating the fact that there is a lot of business thats done by International Companies in europe. The fact that the dollar is lower is great im very optimistic on these manufacturers still. Im not bored by them. A lot of people were bored with the upside and bored and yawning at stocks. Who are they im going to wake them up. The rip van winkles, yeah, numbers raised no, no what happened . Some of it is, did you ever look at the etf list . The etf list from wall street journ journal, they published it, its an endless number. They matter, 483 billion coming in the market look at these, these are etfs i remember when you used to lock at the stock trade they would be look at this this is where the money is going. This is a creation of wealth and one of the reasons why the market doesnt come in is the money keeps flowing in to these index funds. Its every time you think its going to go down the index funds get more money in. The money the money is flowing into stocks. I hate to disappoint people. That was a pretty good been a while since youve been tv. I came back fresh, went out to san diego, that was fabulous. I had to try to you know, when you cant keep up with your daughter anymore and its not you hope its just because shes ripped i wasnt going to try to get in the way of that. You were skiing with the kids, not easy. Definitely not. And last nights game was great then the second game was bad and eagles okay and there we covered sports i want to talk about the fact that this market, you look at the stock like netflix someone comes out and says netflix is doing well and the stock goes up three. Did you not know netflix is doing well up 50 last year and now gets upgraded to youtperform along with disney. Analysts are waking up. Two upgrades of abbott labs, my trust owns it. I was thinking of selling the darn thing, whatever youre allowed to say and boom, i mean, two analysts up. Where have they been theres a lot of analysts completely asleep on the switch, asleep and im waking them up right now. You know they took take take this off mute when you see theres a demonstration and somebody alive alive. The president is hes awake yeah, hes back on tweeting and stuff. And hes kicking off the new year with take busy agenda eamon javers from outside the white house with more. Reporter good morning, scott to you as well the president returning from sunny march ra lag go to a chilly white house in washington, d. C. This morning. A couple of Foreign Policy issues, yesterday tweeting out about iran and pakistan yesterday. On ran the president tweeting iran is failing at every level, despite the terrible deal made with them by the Obama Administration the great iranian people have been repressed for many yeersz and hungry for food and freedom along with human rights. The wealth of iran is being looted time for a change. The president also tweeting about pakistan, prompting some diplomatic response from that government saying that the United States has foolishly given pakistan 33 billion in aid in the last 15 years and they have given us nothing but lies and deceit, they give safe haven to the trust terrorists wt in afghanistan with little help. The president calling for the jailing of humaxts abedin, a high ranking aide to Hillary Clinton last year. The president also tweeting about iran and other subjects this morning as well it should be a lively day at the white house. Well see a briefing from Sara Huckabee sanders later this afternoon and ask her about issues that perk lated over the week also, important to bear in mind here at the white house, infrastructure, they would like to do a plan on that and talking here about well fare reform. So some domestic policy matters on the president s agenda here at the white house today as well. Thanks, happy new year to you as well. Raising numbers inf infrastructure plays. We didnt talk infrastructure, another reason to be positive. I dont know where the money will come from unless they do the 50year make America Great bond that i keep insisting that gary cohn listen to. Theyll probably do that because its real news theres a lot of real news coming out today. In fact, still to come, real news regarding apple and the picture for fang stocks as we enter the first trading day of 2018 lets look at futures, its going to be a positive open, first trading day of the new year, dow would open positive by 130 points s p by 11. More squawk on the street when we return. [hawaiian music playing] apple is making 29 replacement batteries for the iphone 6 and later Devices Available immediately, a month sooner than originally planned they were offered following news that the ios software was slowing down older i phones, they apologized to customers and said the move was an attempt to prevent shutdowns due to battery wear an embarrassing episode for apple. Now they come out 29 and you can do it immediately. Look, they made mistakes periodically, there was an antenna issue, dont worry about the super long cycle apple also got the commentary when i was away, reached me in san diego about a survey, a survey showed that people dont like the phones. We dont know. The surveys have gotten people out at 90, 100, i can go through what the surveys do. The fact is there is not not a way to gauge how these phones are doing based on the few weeks theyve been out. You have to wait until the earnings report. The battery life issue, how many people really people who are getting the vehicctor, putt a man on the moon, elon musk versus boeing. I remember 94, intel had a problem and only showed up when you were doing ten digits times ten digits times ten digits, like california license plates 50 times everyone just broke the stock broke down and amd went up and who remembers . I mean, this battery life issue is a conard, i think it doesnt matter drove the stock down, changed the chart. I hear you i hear you sorry, i mean, i think if youre going to base your selling on battery gate, i mean, batterygate battery no. 200 bucks in the near future for apple . I dont know. I think its going to mark time. It marks time as people realize that there are buyers of the 10 and 8. Im tired of this. Im tired of these im tired of people who gotten out of apple repeatedly it seems like their goal is to make it so you buy high and sell low. That is not a time honored prospect. Youve never ever suggested anything but buy apple and hold apple. I think it should be owned not traded my view is in the minority there are people itching to sell go sell. Go sell. Remember when carl icon, said on your show, on your show, carl icon said china is the problem i think china is the answer. I like india india doesnt really have india is just wide open. My wife is in india, what the hell is she doing there . She never comes back listen, we need phone towers shes there now yes, very spotty coverage a lot of fog today. Tired of her being get back come back, already. Up next, its cramers mad dash as we count down to the first opening bell of 2018 looking at futures, a good open on wall street across the board. More squawk on the street straight ahead king a hundred mid to their breeding grounds. Except for these two fellows. This time next year, were gonna be sitting on an egg. I think were getting close make a uturn. Uturn . Recalculating. Man, we are never gonna breed. Just give it a second. You will arrive in 92 days. Nah, nuhuh. Nope, nope, nope. You know who im gonna follow . My instincts. As long as gps can still get you lost, you can count on geico saving folks money. Im breeding, man. Fifteen minutes could save you fifteen percent or more on car insurance. Welcome back, time for jim cramers mad dash ahead of the market open. I want to get this point across, california, Recreational Marijuana, its in california about fifth of the country, scotts miracle grow, hydroponic allows you to grow pot inside. Rightnow it is only 11 of corporate of the revenue. Most of their stuff has to do with home depot and walmart sales but Recreational Marijuana is really a boom and there are not many ways to play it. By the way we have a show marcus is doing a show tonight. Thats right, hes back. Doing a show on marijuana 10 00. We have to watch that show we will. Look at this from this move here down low and its been a nice steady the profit. T the profit. Hes in california, going to be very big. The opening bell is just minutes away well be right back from the New York Stock Exchange. Woman so, greg, its a lot to take in. Woman 2 and i know thats hard to hear, but the doctors caught it early. Hi, blake my dad has cancer. Woman and i know how hard that is to hear. But youre in the right place. Man and dr. Pascal and her team, they know what to do. They know what to do. The doctors know what to do. So heres the plan. First off, were going to give you all. voice fading away your bbut as you get older,ing. 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Boy, 90 seconds or so as we said, jim, people have High Expectations for this year. Yes. Right out of the gates. But look a