Almost drawn even. Without sounding sort of like arcane and gob deli bookish here, that items teams seems to that we have less worry of about a recession. That concern eases, even when we do when inverted it takes sometimes a year or two years before it materializes. The nevertheless the fact that is pushed off, a lot of stocks that do business with companies abroad, particularly in asia, china, they are among the stronger advancers. It is helping reverse this bond Market Sentiment that built we were going to enter a slow down. Now people are selling bonds. Buying stocks. More attracted to the yield of the s p 500 for example, which at 2 or so, is significantly better than around the 1 1 2 youre looking at for 10year note. You can well understand what has been going on here, at the corner of wall and broad. Oil prices moved up a little bit. Theyre advancing today. That benefits key Oil Components dominant among 11 s p sectors. What is happening with the nearly 2 runup in oil prices. Benefiting two key components within the Dow Jones Industrials and chevron. Those with oil underpinnings. Get into the particulars in a second. I have two hours to bore you. Why should i do that now . Ed lawrence will keep things sizzling with latest on trade side. What do we hear from the white house . I will not bore you. Titfortat may have stopped for right now. You mentioned chinese not going to retaliate what they had said. There is no Actual Movement in trade talks. However the two sides are still talking. But in an interview a radio interview with Brian Kilmeade the president confirmed another phone call today. There is a talk scheduled for today at a different level. And yeah, they have been talking an, you know, the fake news tried to say we werent talking last week. Then the vice premier of china said, no, no, we have been talking. He spoke to people. He is the vice premier. So we have been talking. We continue to talk. Look, this is having a tremendous impact on china. I dont know if it having impact on us. I dont think so. Weve been experiencing or expecting a call between the u. S. Trade representative Robert Robert lighthizer, treasury secretary steve mnuchin, chinese vice premier liu he, and commerce minister, they spoke last august 13th to set up a call this week. We expect the two sides to set a date for the 13th round of facetoface talks in washington. Neither side is backing down. The chinese said there is no need for them to retaliate further. President trump says china is playing a vicious game, targeting farmers. Their latest tariffs well impose on september first. The president goes on to say he made up for it over the past two years, 28 billion in aid to farmer has been put out. The president saying in last couple months he is prepared to add more of that tariff money to help out farmers if necessary, if chinese do not buy u. S. Agriculture again. Back to you, neil. Neil thank you very much, my friend. To footwear distributors and retailers ceo matt priest what he makes of all this. As we know the latest wave of tariffs and 15 from 10 figure on, hundreds of billion of dollars worth of chinese goods is slated to take effect. Will that affect your stuff . Absolutely, neil. It will affect us dramatically. 53 of our goods hit sun morning 2007 01 a. M. Were very concerned about that. We think the added duties will mean 4 billion in added costs to the american consumer. What is the concerning is the uncertainty. We talked about it time and time again. Even the president said in france this past weekend that we havent collect ad dime from china until now. Now we have 100 billion in collected duties. I hate to break it to him, we paid 30 billion in duties on chinese goods over the last 20 years. Weve been taking in duties from the chinese for quite a long time. Neil if there is a reprieve, i can almost, there are signs of progress, the president has a history of surprising folks as much on the downside as on the upside. So, in a progress side, you can see him holding off on these additional tariffs. But that might be too little too late for you, right . Yeah. That is a great question. That is why we sent a letter yesterday, 210 Footwear Companies to the president , asking him to halt these increases on sunday, knowing that he is inclined to kind of pull such moves to maybe drive growth in the marketplace, to provide opportunity for continued talks in september. Were not expecting that. But that would be great. But at the end of the day, the uncertainty driven us away from china anyway. The implementation, or threat of implementation of duties can almost be just as i impactful, were seeing price spikes in vietnam, cambodia, indonesia. Demand is spiking that will drive up costs whether they come from china or another country. Neil curious your take on this, matt, the president argued, others argued, half full glass version of this trade war, if and when settled all bets are off, markets soar, underlying Business World soars. Uncertainty of a protracted trade nightmare goes away. Guys like you and your members all benefit. What do you really think of that . I think that is, there is something to be said to that we thrive on uncertainty. Business thrives on certainty. Tell you from talking to members, continuously over the last few months, when they were planning to invest in job creation, or in systems, innovation, all those investment plans have been placed on hold to kind of deal with the uncertainty of the tariffs. There are added costs that youre not expecting may or may not go into effect in sent or december the plans are on hold. You take away of the uncertainty the reverse will be true. Business investment will continue. Job creation will continue. Prices will remain competitive for a Consumer Base always looking for the best deal when it comes to footwear. The president is wellpositioned do that immediately, now. That would mean todays session highs would be off the charts if we were to announce that over twitter anytime soon. Neil i like that. If you tweet about it, right . That gets all the news. Matt, thank you very much. You have a lot to do, follow up on. We appreciate you taking time. Take a quick peek at the dow. It is up 334 points. The catalyst was overnight in china, they said despite actions United States plans to take with the new tariffs to take effect on sunday, these ones go from 10 to 15 theyre not going to respond to that. In other words they will not retaliate. We got word as president was echoing in a radio interview with Brian Kilmeade. The two sides had been talking. Vice premier indicated he is chatting with american counterpart. We have not confirmed that. Well take the president at his word they will plan ahead of meetings ahead of sometime in december. That date seems constantly moving. Twin development. No retaliation, no upping ante, continues the market weird relationship it has on the trade issue. It can be a kind of dangerous. Almost like an abusive relationship. Slightest bit of good news, we calm down, be happy. Slightest bit of bad news. Well sell off. Well be showing throughout the show as we will later on the my fox news show how much this month was dictated by moves on trade, tweets by the president , showing lack of progress, optimism, based on others showing possible amount of progress but take a look at that during the course of just this month. I covered markets for many years, my friends. I got to tell you, i dont think weve seen some days on one month built on a single issue, trade. I have seen them built on other things, war, violence, concerns about the european upheaval. Asian market upheaval. Latin american debt upheaval. Russian ruble. This is just trade. That dominate ad theme here. I call it a abusive relationship. Markets follow in pavlovian response with slightest bit of news we get, even if we cant confirm it. Good news we are hearing. Stocks soar. Anything looks like doubtful or get worse, stocks tank. Where do we end up . Market watchers mike murphy and john trainer. John, begin with you, end with you. It is remarkable. Not news to say trade is the centerpiece, isnt it . You characterized it perfectly. The market is reacting to daily headlines, good news, bad news on trade. What were trying to focus on, what is really going on the underlying economy. You saw good news out of the gdp report. Consumers strong. Inflation still subdued. You hit the nail on the head. Market right now is not focused on fundamentals. It is focused on trade. Any good news on trade certainly helps the market. Neil interesting when we look at markets through prism of this day and this year, since the trade war was initiated march of last year, weve been kind of stuck. Certainly the dow within the 25 to 26,000 range. They really havent moved here. Not much changed here but i do notice wild swings in those issues that would be directly affected by the prospects for trade with china. Boeing, caterpillar up. Deere, big multinational player up 2 1 2 . Micron technologies up 3 . Apple, of course, emblematic of International Players with wide exposure to china as market for goods and Manufacturing Center for their goods. What do you make of how all this playing out . I think a lot of it, neil, you want to look past the headlines. When youre seeing swings, you put them on the screen, of 8, 700 points and 600 points. That is not people at home trading based on things theyre hearing. The bulk of that is coming from program trading. That is Algorithmic Trading trading off headlines. The best thing for you and people on the show, dont get caught up in the headlines. Not think things are too good, when we have up 330 point day like today. Not think the world coming to an end when we have a selloff. Look back in the month of august, neil, we had a lot of talk about inverted yield serves, impending recession that will come. I dont see that yet. What people want to look at is underlying fundamentals of the United States economy are Strong Enough to support the market here. So any trade deal from the president and china is going to be a big boost for the stock market from these levels. Neil for those not having benefit of watching us right now, hearing us on radio, were showing the two and 10year note essentially even right now. That wouldnt have been an issue that long ago, if you think about it, john, we got obsessed with how fees are faring. It has gone from an inverted yield curve to maybe a flatter one. Im curious what is your definition of a inverted yield curve when it matters, drags on for weeks, months, then the bell starts for the slowdown of recession to come . Whats the deal . It is generally been a very good indicator to give you a 12 to 18 month advance warning, that 10, two yield curve, 10, two month yield curve is basically a little shorter, being slightly inverted is not the real worry. It is when it gets to 30, 40, 50, basis points inverted, that is really when the warning bells go off. So were not there, but, it is still is a concern. It is a headline. People are reacting to it. It is something factoring into our analysis. Right now this flat yield curve is not the indicator that we think it is. Partly because that 10year yield we believe is artificially low. So youre seeing a little distortion in the yield curve. Neil well watch it closely. Gentlemen, thank you very, very much. Peek at corner of wall and broad. Apple a key component sending out news, indications to the media for this september event. You know the drill here. This is the time of year they introduce these new iphones. These will not be 5g, latest, greatest, fastest thing. They will be successor to iphone x models on the market right now. Theyre not detailing what these new phones will be called outside of fact they are upgrades to the iphone xs , and xs max. They have to change these names or i will not report on it. I am reporting on this too, what is happening off the coast of florida, a category 4 storm, Hurricane Dorian is looking as it approaches the sunshine state. That means it has winds in excess of 130 miles per hour. Were on that after this. Alings. While helping plan, invest and protect for the future. So theyll be okay . I think theyll be fine. Voya. Helping you to and through retirement. To the wait did frowe just winners. Prouders everyone uses their phone differently. Thats why Xfinity Mobile lets you design your own data. Now you can share it between lines. Mix with unlimited, and switch it up at anytime so you only pay for what you need. Its a different kind of Wireless Network designed to save you money. Save up to 400 a year on your wireless bill. Plus get 250 back when you buy a new samsung note. Click, call or visit a store today. Neil all right. Puerto rico might have dodged this monster but dorian is still heading for the sunshine state. Right now, doing so likely as a category 4 storm with winds in excess of at least 135 miles an hour. Airlines are rearranging flights. A lot are waving change fees. Cruise lines from port canaveral, modifying weekend itineraries, going to the western caribbean, hard to dodge this weather bullet here. Were getting word right now, that some local authorities in the Southern Area are urging those who are in the path of this storm getting out of dodge, their hometown. Well keep you up to date on that. Accuweather chief meteorologist bernie reno on this how is it looking . Unfortunately dorian continues to get better organized, now pulling well north of puerto rico by 220 miles. The storm Getting Better organized. You see that on the satellite picture. The clouds are getting larger. You see movement northwest, 13 miles an hour, maximum sustained winds at 85 miles per hour. I want to show you the environment around dorian, the one limiting factor for next 24 hours, on water vapor loop, some of that dry air getting into the center of the storm. That is why it has not intensified fully in next 24 hours. However as the track continues to the westnorthwest. It is going over very warm water. Water temperatures, 84, 85 degrees. Weak wind sheer. What does that mean light winds in middle upper part of the atmosphere that will allow dorian to strengthen. There will be no interaction with land, as it stays well north of the turks caicos and middle and lower bahamas. This is a very unusual track. Typically these storms where theyre located track well to the west. This storm is going to the northwest because of this upper level low across the lower bahamas that will be sliding to the west and southwest. So we do expect this northwest track to continue at least over the next couple of days. We do expect dorian to become a category 2 hurricane, lets say tonight. That is maximum sustained winds of at least 95 miles per hour. Then that track continues to the westnorthwest. Then here is where it gets tricky. There will be a bending toward the west as it approaches florida, probably as a category 4 hurricane. Maximum sustained winds of at least 131 miles per hour. If this west track continues, looking for landfall at some point late sunday night, monday morning. Category 4, what does that mean . Winds of 130 miles an hour with a lot of catastrophic damage. I want to stress this one point. There will be a little dip in the west stream coming across the central part of the United States. At some point dorian will make a turn to the north. If it turns earlier before east coast of florida. We have to worry about the carolinas. A lot of evidence suggests that turn to the north is later in the process. That means florida, perhaps a track up to the north. Carolinas to florida, look out, be prepared. Dorians heading your way, neil. Neil thank you for that update. And warning, bernie. Governor ron desantis addressing emergency preparation as little while ago. One of the things state emergency allows us to do, get more fuel into the gas stations. People are going, looking, we her reports of there being fuel shortages already in placing like brevard county. Neil miami mayor Francis Suarez on the phone. Mayor, thank you for taking time. What are you telling residents . Thanks, neil. Were telling residents to prepare for the worst. We have seen this situation with irma a few years ago. These storms change tremendously in direction, intensity, speed. They come in variety of different forms. Andrew was a very wind insensitive storm with a sustained winds in excess of 200 miles an hour. Irma was incredibly wet. It had a huge storm surge of six to eight feet. We have since put in place a variety of Infrastructure Improvements to pump water out of vulnerable areas to the city. We also know king tide, it is particularly bad time of year for this to be happening. If the tide is high. King tide with a hurricane wet and producing storm surge, it could be, it could be problematic. Were taking, were taking all necessary precautions. Were checking all of our generators. Were checking all of the pump systems to make sure theyre functioning. We installed back flow involves, to prevent water coming in from the bay. Were urging residents to take this seriously. One of the things we saw irma, 80 of the city was without power nine to 14 days. For elderly it is particularly problematic. They dont have the means to be able to take care of themselves. So were buying water an ice, food as well to feed them. Neil mayor, this comes at worst of times with the labor day weekend, traffic you deal with, your fine city deals with, rush of people to visit. You have a rush of people potentially want to leave. Are you prepared for that . Yeah, last time during irma, we had the largest evacuation of dade county in the history of dade county. We evacuated hundreds of thousands of people. So obviously people are accustomed to it now. We never had evacuation of that kind. We do it in consultation with fema, which has sophisticated flood maps, tell us exactly, give us a pretty good idea how deep the flood penetration will be from the sea. Also, from intensity of rain were expected to receive. Neil mayor, hang in there, we appreciate you taking time. I know youre slightly business. Thank you, neil. Neil much appreciate it. Mayor Francis Suarez of the beautiful city of miami. Beautiful day at corner of wall and broad. 26 issues up. A lot on hopes of trade. When have you heard that before . O a Money Market Fund when