Thats leading the dow right now. Jpmorgan chase, rough week overall. The cardholders, mx, visa down this week, doing better. Exxonmobil also on the upside. And the laggards, and this is like perfect, the symmetry here, all the stuff thats been the Market Leader is down. Walmart, a 52week high, new high, Procter Gamble raised their dividend, merck is up on the week, health care is up on the week, united health, apple had a good week. Its down. Weve been telling you how goldman has downgraded apple, maybe a surprise, but talked about lingering low sales and margins a possible delay, possible in the 5g phone everybody is anticipating towards the end of the year, and i think this is the most important thing, a shallower recovery hard thing to call at this point. Everybody is all over the map on that shallow recovery apple has regained almost 65 of the losses weve had, a little better than the s p 500. Its trading right now at 23 times forward earnings and if youre like me and look at the earnings for next three quarters and say theyre not really very real, we dont have a good grasp on that, the sell side analysts are behind the curve so theres a good reason to be skeptical about apple on a forward multiple right now finally, some of the china stocks, china related stocks, we had some earnings from loreal and lvmh, exposed to china both of them generally made positive comments not about europe or the u. S. But about sales so far in china as it is slowly reopening those stocks are both trading to the upside a little hope there from two big luxury makers. Ive had a lot of inquiries about whats going on with oil theres your Luxury Brands trading to the upside. U. S. Owes the big oil etf and what you own here is front month contracts, the most immediate month and a month after that theres been enormous amounts of activity in this in the last several days huge amounts of creations. A lot of people seem to be interested in buying into it i would caution a lot of people about this the front contracts here and these are, when you really into the next contract it costs you money and you lose money going into it. These etfs are used by professionals to hedge the market, used by professional to short the market all of your retail viewers who want to know should we pile in hopeful the market would rise, i would be cautious and learn about what it takes to own futures contracts and what they call decay in the premium. Get into that some other time, folks, but sometimes you have to be careful when youre dealing with the etfs and the kind of kraktz that they own. Sure. Back to you. Heres the reason why, because that may contract actually expires on monday, so people are selling off that contract which is why theres pressure on the front month and buying the june contracts, which are up significantly in value today. Technical factor for sure. Speaking of technicals, want to bring your attention to one thing, watching the levels in the s p 500, i know you are, youre watching 2862, i know you are because its the 50day moving average, it literally touched it and then fell down. Is that an area of resistance or stalling out that traders are paying close attention to right now . I dont know how much value there is in 50day and 200day moving arjz but the fact that we havent been there in a long time, since february, i think is important. Now that the market has stabilized and, you know, dom, its been remarkably stable week for the s p, were essentially up 2 . Thats pretty modest considering the big moves weve seen in the last six weeks or so, i think technicals will start mattering more right now any time you can get a sense of going back to normalcy or above things that used to be considered positive like being above the 50day moving average, yeah, i think now it starts to matter a little more bob, its interesting weve had a deluge of negative data this week, negative headlines as well, yet the market really seems to be globing on to whats positive here today case in point its a trifecta gileads covid19 treatment remdesivir showing early signs of success reportedly. Youve got the boeing announcement about plans to resume some wide body aircraft production starting monday this white house threephase fwloo guideline for opening america up putting those together it seems like its raised optimism for how quickly a recovery can take root here. That said it was only a couple days ago where we were talking about the stronger likelihood that this wouldnt be a vshaped recovery, this could be a u or or another letter out of the alphabet are the headlines enough to keep the market piggybacking on doms question enough to keep the markets going at these levels or is the bar higher . Yeah. I think the important thing is what moves the market . Look today, why are we up . We have a potential, we dont have a vaccine, but we have a potential treatment that might keep people out of hospitals and keep people from getting in worse conditions the market believes thats a positive thats its telling you that. Look at the market you can see the futures moved up when that announcement was made after the close yesterday. Helping people out, not a vaccine, just keeping people out of hospitals, keeping people from getting even sicker than they already are, thats a positive number two, any idea about when we might be able to get out of this, the rollout, you see cuomo every day seems to be able to move the markets if he has positive news or negative news about a rollout, where are we going to go interest herfrom here, whats the plan. Better help on the health front, a plan to roll out and get out of this gradually people will react positively to it and remember, theyre trying there are analysts talking 2021 numbers, trying to get people away interest 2020, the first half of the year, and even into 2021 numbers if you look at that idea with whats happening now in the health front and the rollout, there is some reason to be a little more optimistic the data, though, because its backward looking, were getting, you know, april, may numbers now that are going to be horrific the headline numbers are really bad. So i think its very valuable for us to recognize the companies that are cutting the dividends and withdrawing the guidance its a good remind aer, a soberg reminder to balance off some of the optimism and thats why i think we have to be vigilant and keep it on both sides of this. We have to look forward but also have to realize the enormity of what were dealing with. Certainly you have been all over that all week long, so bob pisani, thank you for taking the time again this morning. Weve got the dow up about 400 points right now the dow, s p and nasdaq are in positive territory for the week. Second straight consecutive week of gains if we can hang on these gains right here meantime a name that did report earnings this morning, Kansas City Southern, ceo Patrick Ottensmeyer joins us in an exclusive interview. Thanks for being withus today. Good morning. Thank you for having me. So i want to get your thoughts on earnings that you released this morning and also how the company is responding to covid19 and keeping employees safe first, given the fact that as a Freight Railroad that moves not only goods in the u. S. But throughout north america, you have a lot of Realtime Data in terms of what those volumes look like and how it speaks to demand or maybe even lack of demand in some industries right now. What are you seeing in realtime and how would you expect that to change or shift or recover in the coming months . Okay. Were seeing you know, we have a broad, very diverse portfolio of businesses ranging from agriculture, food, chemicals, paper, autos, intermodal and what we are seeing is each one of those segments is responding differently to whats going on weve seen areas of weakness, particularly in intermodal, our international intermodal, largely in and outof mexico, largely based on trade with asia and specifically china we started to see those volumes, that business dropoff really at the end of february through march. Automotives is about 10 , a little less than 10 of our business we saw that really drop off in the middle of march and continues on into april. Obviously you all are very familiar with the headlines on the auto sector. Lot of plant closures, although we see based on announcements that have been made recently those plants will start to come back in the next few weeks or months, so were trying to be prepared for that. On the other hand, agriculture, Food Products continues to be strong paper, chemicals we are handling packaging, product for packaging, and delivery type of materials as well as chemicals that are used in some of the solvents its really a mixed bag and were seeing overall declines here in the last few weeks we are very focused on trying to respond with cost saving measures, but be prepared for a recovery, whatever happens, were not making a bet on the economy. We want to make sure were prepared for whatever recovery we have and whenever that occurs yeah. Certainly you pulled your guidance for the year as well like weve seen Many Companies do in terms of not making a bet on the economy right now, does it feel like were in a recession from your viewpoint . Well, you know, ill leave it to the economists to get too the technical definition of recession. We are definitely seeing a downturn and although if you saw our fir quarter results, theres very strong first quarter. It would have been stronger had we not seen the weakness in a couple of areas, particularly in the end of the quarter so far in april and, of course, railroads report their car loadings every week so you all have good visibility to whats going on, were down and particularly down in the areas that i memgsed in international intermodal, although weve seen some recovery there. Domestic intermodal and across the border has been strong and thats really more of a market share opportunity, but automotive has fallen to very low levels recently. Yeah. As a railroad youre deemed Critical Infrastructure which means you keep operations going and trains running as i mentioned earlier not just in the u. S. But also in our neighbor to the south mexico, which is such a key trade partner for the u. S. , weve been very focused i think the markets have been very focused on how this pandemic is playing out, potential recovery is playing out in the u. S. And europe, in china and other parts of asia, but what are you seeing on the ground in mexico and how does that factor into your broader efforts to keep employees across both borders safe and keep those trains running okay. Let me pick up on one thing you said and ill take if youll indulge me for 15 seconds and call out the railroaders, the worker, our employees across north america, we are critical and essential business in both u. S. And mexico and really want to draw attention to the frontline heros in our business and our company that still come to work and have done their job and be prepared to keep our customers, our economies rolling an when the recovery comes were going to be crucial helping drive that recovery. As far as your other question about the response, we started doing things here in the u. S. Probably in early march, some in reaction to guidelines that we were getting from Government Agencies at all levels, state, local, federal, and as we rolled those sanitary procedures out, we rolled them across our entire network. It wasnt a matter of where do we need to do this because of guidelines from governments. We just did it across our entire network starting with distancing and then sanitizing everything from off buildings to locomotive shops to cabs of locomotives so that we could try to keep our workers healthy and safe i can give you statistics. We did have our Earnings Call this morning and i gave some data on that call. Weve had a very good Health Profile of our employees, both in the u. S. And mexico, and very few situations where weve had workers with symptoms and let alone with covid most of the people that we have staying at home, other than those Office Workers than can do their job from home which represents about 15 of our workforce, the folks that weve had respond and stay at home according with these sanitary guidelines are usually workers who are not symptomatic, but have either Health Conditions or age in particular in mexico that would suggest that they stay at home under the federal sanitary guidelines hey, patrick, its dominic chu here im curious, with regard to the ramp up of the ability to get this path forward for the economy in the United States and elsewhere, we often look forwards Transportation Companies as leading indicators for when we can get the Economic Activity back going. To what degree do you feel comfortable with supply chains and visibility into those particular types of industries that your particular operation at Kansas City Southern can be perhaps an indicator of the overall economy as things really start to fire up again i guess i think the best answer i can give to that is, again, the very close contact we have with our customers. Our customer base, we are a obviously a b to b enterprise. Our customers tend to be large concentrations if you look at our profile of our revenue base and volume, the top 200 customers represent a huge percentage of our business, so its that contact at all levels our sales and Marketing Team tends to have contact with the headquarters, the purchasing, the logistic folks, but our people in the fields are touching those plants every day and get information about whats going on at the plant level. I would say right now particularly with volumes declining, we are elevating our connection and our contact points with those customers so that we can stay very close to what theyre seeing and be able to respond on the upside and the downside what were doing is with volumes declining were responding on the cost side, trying to rationalize and consolidate trains and save money and do things more efficiently. As i said earlier to the extent that frees up locomotives, people or railcars, keep them close so when we start to hear again all levels of those touch points with customers that things are recovering, that we are ready to go and do our part to help drive the economy back into a growth mode finally, patrick, i wonder to what degree is fuel a tailwind here how long do you expect that to last structurally, do you see big shifts in share between modes as a result of this whole episode you know, i think on the cost side were probably at a point where the fuel headwind or tailwind im sorry probably has a limited run. We have a lag in our fuel pricing on the revenue side versus the cost side, so i would think, you know, we might get to a point by the end of the second quarter, so 90 days out, we might have a bit of a tailwind benefit in the second quarter. I wouldnt expect it to be huge. You know, that will run its course kind of at current levels and then im sorry, dom, i forget your second question. Just in terms of i wonder if were going to be looking at generational shifts in the market share between modes of transportation yeah, i think when we take stuff back intermodal is the best example with volumes being depressed and capacity on the rail network and particularly our network and even more specifically our crossborder network where theres a big cross a market share opportunity, our Service Levels have improved tremendously i think thats a big factor. If we can convince our customers and maintain those Service Levels at the at levels theyre at today, i think there is a great opportunity for us to gain market share, particularly on the crossborder intermodal where our share is pretty low still and i think across the industry you know, the silvl lining of th cloud of reduced, is Service Levels are improving across the industry and as we grow, rail service is going to be better as we come out of this and thats going to help the rail look more attractive to other modes and we can sustain that performance, it will result in longterm shift in market share. Of course speaking to that, the implementation of precision scheduled railroading which youve been involved in and has been the biggest most transformational trend for the u. S. Railroads of the last couple years patrick, thank you for joining us today on the heels of earnings shares of Kansas City Southern are up 2. 5 . Thank you. Thank you market is off of the highs of the session but gilead is hanging in there as hopes are very high for the future of remdesivir 8 gain there for gilead i llan, highs for abbott labs elliy d vertex were back in just a moment. What do you see . We see a billion more people breathing free. We see access to fresh food being the global norm, not the exception. We see homes staying cooler, without the planet getting warmer. At emerson, when issues become inspiration, focusing core strengths to create a better world isnt just a result, its a responsibility. Emerson. Consider it solved. Welcome back european markets set to close in a moment seema moody has the breakdown of the action overseas. Seema . And morgan, particularly strong session in asia and its exactly what were seeing in europe as well stocks there sharply higher across the board as more countries unveil their framework around reopening their economies while overlooking two data points that came out this morning. A 0. 7 decline in eurozone inflation and car sales in europe tumbling 50 . Italy seeings the biggest drop of 85 the auto stocks, though, are higher in todays trade with bmw leading the charge up around 5 . Luxury retail among the best performing groups across europe right now. The collective focus turning to lvmhs xhentz on a recovery in china taking hold as the revenue picture starts to improve on the mainland slowly. While the stay at home plays that have worked over the past month so look at hello fresh, the Meal Kit Company and the Remote Software working company team, both of those stocks are trading lower at this moment germany will start to reopen its economy, denmark will allow certain Small Businesses such as hair dressers, driving schools to open by next monday austria says shopping malls can resume operations may 1st. However whats