I cant see me loving nobody but you meanwhile, gold and bonds are booming. Can these assets continue to rally together i thought it was the loving spoonful. The turtles ding ding, nice job by tim welcome. We love it when youre here. I know its a long day whats the question . Now at 24 times forward earnings continuing to make alltime high s to answer your question, where can you still be we havent said this in a vacuum something is happening in the gold they gold mining stocks are breaking to the up side. Im not even sure its a great question theres a lot of things that should be flashing caution on the there. Three year lows on they. What is a healthy market, is really the question. If you own cocacola, peppist, mcdonalds, starbucks, these are defensive stocking probably going higher, and the valuation probably doesnt even matter. Staples hitsing new highs, bonds going up, bitcoin going up, stocks going up. Whats the message in that its really simple. Now if youre just looking at the s p 500, that made a new alltime high. If the fed is telling you theyre getting lower rates, ten year of qe and all that stuff, it tells us no inflation, and the only thing thats inflationed is the s p 500 in that we say with the s p 500 topped out, around 1600, got cut in half both times 3,000, you take a 50 hit to that, you get right back to the support at 1600. Im not saying thats going to happen, but it looks like on the charts. Starts to scare people. A little bit. Everyone is saying the economy is agree, the only thing thats doing well is the s p 500 and the stock market is not the economy. It look at the transports, but the economy and the Global Economy more importantly is look that great there are signs of weakening ism, pmis, those will likely turn lower, and heres the thing, take the playbook from japan. This is after they already tried. Then they cut near to the lows, and the japanese market did not responsibility are you say thats whats going to happen . I think theres a chance that the fed cuts rates in july and the market goes down and how bad is it . Really the question is youre get concerns, and whats a happening, its hard to argue, the consumer is going to resilient. For whatever you want to say about a rearlooking measure in gdp, the economy has been growing. It doesnt show that its going to fall off the cliff. If the fed is getting out of your way, shouldnt the market be able to get in its own way here and continue what its doing . Thats the question, though if you look at some of these leading indicators, things are starting to it the only caveat, if we get some movement, and it would have to be some kind of truce in this trade war, you can see the market hit new highs, but thats the one thing were set up for right now you know, you that talk about what is happening well lets like at maga, thats microsoft apple, google and what was that did you see that blue hat microsoft is acting like a defensive name what did we see out of or aically. Enter price spending is constituent pretty good. Thats great, but heres the thing, back to the market. If the markets going to break out. Youre going to need apple, google and amazon getting back towards their prior highs. A to them to be that a torque to get the market to break out. You knee small caps in september of last year the iwm was 175, but guess what . The s p 500 effectively at alltime highs, were nowhere near the russell if the market were as strong as everybody wants to believe, but to answer your. I answered the first question, but then another question, which im answering now, what does it tell you with all these assets it says to me that the fell is looking at inflation in awful wrong places are you negative oust justify im carb were at the top of the trading range. They are signs out there im saying im cautious. I dont have a lot of equity exposure i think you can buy puts if you want to hold on to your stocks in this market, there are certainly times you just need to be cautious. Did he answer the question . I said cautious about eight times. How about cautiously optimistic. I realize that people dont like the quality, but theyre some of the a greatest companies in the world, and these are companies when markets were at a lowgrowth standard, were not doing coke had underperformed for years. When we were in 2014, 2015, and kind of going through this fedinduced environment, and people were wondering what happened, these Great Companies are chugging along on all cylinders. I think you have to tay the market that is with you and not get carried away and say everything is perfect. Theres a lot of issues out there. Its far from perfect. I think its closer to bad than perfect, but thats what makes markets. You know locked answer it more succinctly, a guy like a chris harvey, who might as well be the fourth imagining brother. Do you want to answer no, welcome chris harvey, wells fargo head of securities strategy is he great . Hes outstanding. I feel more negative that positivity what about you what as low volatility dont since september . Its outperformed by 13 , 14 . What did it do in 2008 its outperformed. What happens six months out from the summer of 2007. Equity market was down 3 , the fed made an emergency cut, and barnes sterns was about to go belly up s p up 25 , the fed perhaps cutting, and oh, by the way, the Bank Industry test, and Bank Balance Sheets you quite, quite strong. Were not trying to equate. Whether the Banking System is stronger today than in 07, what does that have to do the point being that were in a better situation. A lot of people are saying recession, recession, recession. Now does the market only because the banks are better capitalized . Absolutely. Yes, i assume its rolling over. Payrolls dont look great. All of that is telling us, b. S. , is we have just peaked it doesnt mean things have terrible. And now were having strategists cut their earnings estimates. So you have an s p if you have 166, you have an s p pushing almost 18 times. All crowding, or microsoft trading at 26 times, thats kinds of the problem well look back and say, that was kind of obvious. Those stocks never should have been trading at those levels. If the tenyear is if theyre going to be 120, 125 basis points, where should multiples be they should be relatively high 17, 18 times, not particularly high roll it back to the late 90s, with 25, 30 times. Thats expensive here on a relative basis so if the fed cuts rates, what does the market do . B. K. Says it goes down. I dont think it goes down. What happens with the g20 what i think is trump wants things to go okay, but not great. He does want uncertainly that will cause the fed to cut if it cuts, i think its better. The yield curve has gone up. What can you get the market higher is in the financials start to who if the fed cuts, trump can start say maybe possibly we have a detente, and by the way im going into an election cycle i cant have the Global Economy rolling over in that type of situation, so you cant have the sun, the moon and the stars start to align. The bars low, dont you think . The meeting between trump and xi all they have to say is its cordial, were going to keep talking. I think you have to have move beyond, hey, were talking again. I do know theres a lot priced into this, a lot of expectations, but at some point youll have this, we had a nice cup of coffee and huge piece of cake, and the market goes down it seems to me the fresh kind of volley on trade, we had this case where the fed then went the extra yard so you have this case where really on the fed wants to is it become maybe upon, maybe not intended, but will do anything that goes on and right now the fed is your friend theres nothing to change the feds ways and means every time you have tried to fight this dynamic, the market has been painful why would it be any different this time . Whats different is we had a crisis brewing, and then in 2007 and 08. We dont have one here, except for the fact its selfinduced we can get through i didnt thanks him yet hes still here. When you hear an equities strategist talk about how the president is trying to thread a needle into an election year, that makes me a little nervous when you have all this negative yielden rates globally, you have the rates cycle starting from 2. 25 , we are that far away from big, big mishaps that we dont have the ammo if we have a crisis. Whats your last word for us . Um and then were going to thank you and you wont be here. Be careful. Dont light your hair on fire, but there is upside opportunity. Chris, thanks good stuff. As wall street awaits the big g20, a handful of stocks are soaring. The traders will tell you which stocks to trade or fade into the event. Crossing back above 11,000, how much hotter can this rally get a top analyst will be here to weigh in along with b. K. , the bitcoin boss theres much more fast money right after this trip. Thanks to you, we will. This is why voya helps reach todays goals. All while helping you to and through retirement. Can you help with these . Were more of the plan, invest and protect kind of help. Voya. Helping you to and through retirement. Man stand up if you are a First Generation College student. Stand up if youre a mother. If you are actively deployed, a veteran, or youre in a military family, please stand. The world in which we live equally distributes talent. But it doesnt equally distribute opportunity, and paths are not always the same. Im so proud of you, dad man i will tell you this, Southern New Hampshire university can change the whole trajectory of your life. In an exclusive interview, they talk about how the Company Plans to tackle tariffs. Well so everybody we can to try to take costs out of the business, working with suppliers, opportunities in the supply chain, other limits, and then well try to protect the customer on the project. At 25 , theres no way. Yeah, some of it has to pass through, but well try to minimize that impact. Xhb homebuilder is up almost 30 . Home depot will probably trade on sensitive some can offset whats going on on the tariff front. I tell you, its had a good run off the bottom that probably peaked when we peaked at around 325 i stay in the trade. Reify cycles will only increase here every tick lower youll see more people spending more money on the house they have, not the house they want. In the past its been true, but the data doesnt support it. Just the verbal equivalent to that, guys. We had another set of tariffs coming up. So far a lot of companies have absorb the prices, these new tariffs will not be able to absorbed prices. They put out a future remodeling index. That is rolling over near lows of the last three years. All these things combined, im not sure if that happens again im inclined to favor b. K. , weve stead does that fast bulls in this. They debt it, but go ack, scott, to january of 2018. The stock had a parabolic move to 210, then a falloff e guess where we just stopped out at so maybe if the Broader Market does roll over look at you it took you a few seconds. I think its a better time to take profits now than to lever up the trade i would probably buy it on a breaks we were just talking about expectations were low for this g20 whats important is we already have 200 million, that are in limbo right now. So i believe those 200 billion will be in place for the balance of this year until we have a substantive trade deal look at how thats already weighing on u. S. Corporate earnings, how strategists are thinking about it, theyre already cutting their estimates for the back half. If this doesnt go well, i dont think its priced in i think eel have companies in july we know that home depot and lowes are on a different cycle. Youll see murky guidance to watch the full interview, head to cnbc. Com. Youre watching fast money. Heres what else is coming up. I wont believe this. We have to go back to 1955. I dont believe it. Thats right. The s p is having its best june in more than 60 years. Plus bit counsel is going full moon. One top strategist says the sky is the limit he will he beerto weigh in. Much more Facebook Facebook right after the break. Air. When when you hear those words that you get diagnosed with cancer. osamah successfully treating it still remains one of the most enormous challenges facing us today. We realized that, if we developed the technology that could take 2dimensional patient imaging and convert it into 3dimensional holographic renderings, we could enable surgeons to dissect around the cancer so we can precisely remove it. When we first started, we felt like this might just not be possible because Computing Power just wasnt there, but verizon 5g ultra wideband will give us the ability to do this. We wont rest until we see this technology being able to change lives. Will transform not just the automobile, but mobility itself. An autonomousthinking vehicle protecting those inside and out. And its the mercedesbenz of today that will help us get there. The 2019 eclass, with innovations that will change the way we drive from this day forward. Visit your local mercedesbenz dealer for exceptional lease and financing offers. Mercedesbenz. The best or nothing. Tracking for the best june since 1955, bob pisani is breaking down some of this, and famously said two months ago the market was one tweet away, and also one tweet away from a 10 correction he was right on both counts. Like at what happened in may we were down 8 on trade worries, and now were up about 8 in june since the bottom on euphoria over central banks, and tariff talks with china. You can see this with the best performers if you look at industrials and metal names, consumer names, u. S. Steel, whirlpool and tech traderelated names. Everyone else also had a big really union. Wynn also up 14 75 of their revenues come from macaw in china, but we need a little more participation from some other groups. The transports, for example, the railroads like union pacific, southern, as some of the Big Health Care names, basically flat back to you, scott. Bob, thanks so given all these moves, we thought it was the perfect time to play our favorite game, trade it or fade it. Love this game. Guy trade it or fate it isnt that you normally do, with the animation . Theres usually a graphic white house, i would never do that again you have graphic envy we should make a bumper sticker. Implts im going to if you ever say anything bad its on the website, the cnbc website. Apple wrote a her to mr. Look highser. I would say face it here. They are the poster child for trade war. Sure, because youve got this environment where all the trade war dinattics have but apple is a stock, if this is an environment where coax, pepsi, mcdonalds, all these games can go higher, apple with a blended multiple on the services side, that no one really knows what to do with this, this is a safe bet. They know what to do with it. They sold it down when services was a big part of the story. The bigger problem is not this concern about what they can do or not do with the Capital Market its the fact that iphone is not growing anymore. Thats two thirds of their sales. Weve known that for a year and a half but if you have the underlying aspect, the hardware not growing, that will impact it overall. Its a company where people know whats going on. We know theres a blended multiple be at 35 times on services and you could have a company with a Capital Markets dynamic, what were share but this stock when all this other stuff would be changing overhead if you think that china is priced in. And i do i think the rally this moon is china positivity about china being priced in. Thats my concern, so im going to fade it so i will double fade it im with dan. What a surprise i can probably guess the rest of this based i can probably tell you exactly what its going to be. Well see well see. Timmy, youre up. U. S. Steel im going to trade it again, this is a company with a lot of pressure for trade war dynamic, for hot rolled prices, flat rolled prices what do you think is in the price. The biggest think for this company is the Balance Sheet if they can show some moderation, i think the stock can do fine in an environment. Everybody knows manufacturing is not in a great place the stock knows that. So he thinking he knows what im going to say, but iming going to say trade it. Run the graphic. Inflation is coming kee ining ki after 12. 5, 13 ritz trading like it will be out of business. They its. So this is the sort of thing thats thats idiotic, it does nothing for steel companies. Next up. Just a bit, but im going to stick with it and fade it. Its not that i dont like deere, but look at the run this thing has had. Its been like ra scalded dog taking off here. Whoa. Thats not something that b. K. Wants to buy. He wants to sell it there. So you fade it. You know in january of 2018, where john deere stock was trading . You can say it was probably broadband 170, and where is it now . Probably about 170 valuation is not the concern. Its a concern here, but you have a major double top, im with b. K fade it. Its tough being one bull. My back is breaking from the burden im carrying for the rest of america, but heres the problem. My john deere lawn tractor broke down my lawn is now two weeks without getting cut, the neighbors are complaining. What can i tell you . Im fading. Danny, win. I think you trade this one, and let me tell you why. This stock last year, come in what was when there was concern, it was trading he almost 150, it went back down to 100 i think theyre finding a flow here bob pisani already told us about two thirds of their sales come from macau i think equities have acted okay, and i think this is a way that u. S. Investors may try to play some sort of reflates trade in china. Yeah, he said trade it. I say fade. I meant to hug it out. We usually wait to the break. Ialready said i was trading well hug it out. Please. All day tomorrow on cnbc dont miss the special report made in vietnam. Hes profiling that manufacturing boom it all starts at 6 00 a. M. Eastern time fedex tumbling today, now down nearly 40 from the september high one trader is betting the stock will continue to break down on earnings this week weve got the details. Going crazy for clippo after facebook unveiled its libra last week we have an explanation when we return im not bullish on fedex at all. Any strength has been a sell, and i dont see any reason why it will change tomorrow. Look at some of the things outside of fedex the rails dont like good. All of those look horrible again, if we were in a great cyclical economy, those things should be screaming. They aint. But were not in a recession. I didnt say that. It sounds like you are. Were at alltime highs it can go down 10 without having a recession. The bears are talking about makes sense in terms of probably the truckload spot rates, if you look at export coal items, theyre down about 26 year over year, so the numbe