Charles the dow nearly 300 point higher, topping 27,000 as big banks beat this morning. Third quarter earnings season has indeed kicked off with a bang today. Jpmorgan, goldman, wells fargo, citigroup, blackrock all reported ahead of earnings open this morning. Just the two banks alone, jpmorgan, they have got 10,600 branches. They give us a great view of domestic economy. Jamie dimon saying the American Consumer is going strong. What does that mean for the stock Market Going Forward . Joining me nuveen equity strategist bob doll. Thanks for joining us. Thank you. Charles so far so good for the week 23 S P Companies reported. 91 have beat. Wont be all that good but what are we getting so far. The strength of consumer. We have yet to hear from Manufacturing Companies where things are more questionable. We need stabilization in manufacturing here and overseas. Germany, china, pmis, the isms, get a little stabilization there i think we get a lift. Charles when jamie dimon this morning talked about the u. S. Consumer, waynes are higher, spending combined with strong Balance Sheet and low unemployment, that is offsetting weaker Business Sentiment and Capital Expenditures and some things people are concerned about manufacturing. Can manufacturing be soft for the moment with the strong u. S. Consumer . Is that a good come to i think the market is acting as if it will go into the abyss like tomorrow morning and this is not true. That is why youre starting to see cyclicals do a little bit better. It is interesting you say that you look at some of the winners today, unitedhealthcare up big, Johnson Johnson. Great earnings. Charles these are names to your point are probably oversold not just industry issues or Company Issues but political atmosphere and President Trump and democrats saying they will go after them, Johnson Johnson gave pretty good guidance today. No question. Youre seeing spreading out in the market. Not just all the defensive issues where people will buy it whether were in a deep recession or not, or high pe stocks that that kind of grow to the moon. That is healthy. Broadening out to my small cap comment. Charles industrials and technology outperformed. We talk about rotation a lot. Can those kinds of names, smaller percentages of these indexes but can they be the ones to lead us higher from here . That is the right question. Remember, monday, tuesday, after labor day we had that multistandard deviation event. That was the shot across the bow to say maybe leadership will switch. You raised the right question. Defensive and high pe are this much of the market. The rest of it is like this much. If were going to pass the baton the market may not do a whole when the baton gets passed. We have to have the tech names do well. They have done very well for the most part although they do have serious issues maybe we get some resolution or we learn more. Would you touch a name like a netflix . I think long term business prospectses are questionable. They have had a nice rally off the bottom. They had a big decline before that. I think that is, people saying, what is the longterm . Disney in the mix. Other companies. What is that business going to look like. Charles bob, waywas talking with neil, talked about this move now, the good news is that the markets moving on earnings. The bad news the market is moving on earnings. This is it, i think. This earnings season if were breaking out to new alltime highs it will have to happen next few weeks. What do you think . I dont disagree. We got the trade truce last week that was bothering people. That is a mild positive. Earnings make a difference. Earnings estimates next year are in my view too high. Charles are the earnings too low perhaps. Perhaps. Like the expectations in the Second Quarter were pushed to the subbaste. If the Company Reports from the basement it may look like a positive surprise. Charles bottom line, stay the course . I think so. Charles bob, always great having you on. Appreciate it. Breaking this moment, a potential big break in the General Motors strike. United Auto Workers Union cleared a big Sticking Point in the negotiations. Grady trimble has more. He live with us, grady . Reporter i would say all signs are pointing towards a deal. The first time in 30 days ive been covering the strike, i said a deal could be imminent. Looking more and more like it. You mentioned a big Sticking Point throughout the strike. A pathway to full time employment for temporary workers. So thats cheaper for the company to pay temporary workers. So obviously General Motors has been pushing towards that. The union wants workers to be able to become fulltime quicker. Im told by a source they worked out a deal, details being worked out in that respect. But for full time, temporary workers to become full time in three years. Now another thing that is indicated ad deal could be close a meeting held this morning. Ceo mary barra rather met with the top negotiators for the uaw and General Motors. She was basically at the main table where these conversations are happening. We arent sure exactly what the details of the conversations are, but again, it seems like things are getting closer. Maybe she was possibly ceiling the deal. Well see. Finally uaw leaders called for all of their local leaders to meet in detroit. Typically this type of thing would precede a vote on a tentative agreement. Again, charles, i should say there is no tentative agreement right now but all signs pointing towards it. As a result General Motors stock spiking. You see right around 10 00 when the meeting happened with the ceo. A lot of optimism for traders today. Neil. Charles, rather. Charles no problem, grady. Appreciate it. Great news. I want to get back to the markets. Joining me point view Management Investment and david dietze and moodys managing director john lonski. John, let me start with you maybe we get something on General Motors, maybe boeing is in the final stretches of 737 if he aco, bob doll says manufacturing, i put an asterisk. You close 33 manufacturing plants for General Motors, you shut down a 737. That is noise in there. Could that play a role into this economy this year but going into the next year . It will show up in the manufacturing output numbers. The most important thing the consumer is spending. The the con consumer king. The it drives the u. S. Economy and helps the World Economy from collapsing. Very important. If there is no consumer demand, manufacturing will continue to contract. As long as we spend, all should be he will. Charles 27 s p names, maybe 30. It is early but looking pretty good here. Banks cleared a big hurdle because they have been hit or miss. Really had not lived up to the hype. What is your assessment so far where weve come during this Earnings Period . Im pretty positive. The banks touch about every actor in the economy, whether a consumer, corporation, lender, borrower, banks have very good read on that. The fact were seeing excellent results from jpmorgan, from wells fargo i think really bodes well going forward. Most players in the economy are not quite as Interest Rate sensitive as they are. They managed true, this flattening of the yield curve extremely well. That is impressive. Until we, dont want to forget the Third Quarter was very strong in terms of corporate borrowing activity, leveraged loans were up sharply. Junk bond issuance up 46 . Investment grade bond issuance up 30 . That is providing a lift to the results for the banks. Charles david, we had Johnson Johnson which i thought was impressive. Beat on top and bottom line. They upped their guidance. This company has avalanche of lawsuits. United healthcare another name big, probably, was oversold but there is some you know, intangible things, that could hurt them including the political atmosphere here. So how does an investor grapple with all of these things. From fundamentals to exogenous events no one knows what the outcome would be . Definitely stay diversified. Historically has been a great time to buy some health care names when there has been proposals to overturn the whole health care system. We saw that with hillary care. We saw that with obamacare. That is great investments were made. I think you may have that opportunity now because a lot of proposals are straws in the wind. That kept valuations down but the fact of Matter Health care is like utilities and reits it is defensive sector theyre not worried worried about it what overseas headlines are. I think these are great opportunities. Charles we have the democratic debates. Elizabeth warren is coming on. Real clear politics has biden still ahead. She has been something of a juggernaut. At least she has everyone moving to the left, her and sanders. If it becomes clear the democratic nominee could be someone who wants to redo the whole capitalist system . Would that impact the economy or do we have to go through the election. Im old enough to remember 1972, a fellow George Mcgovern ran for the democrats was clobbered by richard nixon, not exactly the most popular president of all time, okay . I would think that as a democrats go further to the left, the average voter becomes more concerned and that can only help the republican candidate. Charles the federal reserve, a week ago, we shot up to 88 chance of a rate cut this month. 55 of chance of one in december. Those numbers are starting to drift down. Theyre drifting down for the right reasons but will wall street be accepting of that, david . Have most investors, people buying on the street today, also calculated one rate hike, one more this year . Rate cut, absolutely. Charles rate cut. I dont think anyone put in a rate hike, but you never know. Lower Interest Rates are always manna from heaven from the market. Obviously makes stocks more attractive at margins, cuts bonds, borrowing costs for the everyone in the economy. Having said that i would be less aggressive with the rate cuts for the right reason. For example, getting a brexit deal over in europe. Getting trade deal with china. More strength in manufacturing. Those are all good reasons to pull back a little bit. I want to add, as long as the yield curve is inverted. As long as federal funds rate is ahead of treasury yield, the fed should cut rates. Inflation expectations are wellcontained. The new york fed came out with a study that showed Consumer Inflation Expectations were the lowest on record according to this particular sample. Charles Consumer Sentiment on friday said same thing, going back to 1979. Jay powell always says he follows what the consumers expect. No problem with inflation. We know inverted yield curve a bad signal. Get rid of the inverted yield curve. Charles david, jon, thank you very much. Lebron james breaks his silence on the nba china feud and social media erupts. Is king james an expert on chinas history or more informed about his nike contract . What about the revenues at nike . China, nike gets out of china . Also well discuss later in the hour hunter breaking his silence over his business dealings he is involved in. Since he still has a stake in a Chinese Company he stepped down from, did he make the situation worse for his father ahead of tonights debate . Of a different kind. Adp helps canyon ranch place the right people in the right jobs, so employees like dave can achieve what theyre working for. Now you can, with shipsticks. Com no more lugging your clubs through the airport or risk having your clubs lost or damaged by the airlines. Sending your own clubs ahead with shipsticks. Com makes it fast easy to get to your golf destination. 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Plus, get 250 back when you buy an eligible phone. Thats simple. Easy. Awesome. Call, click, or visit a store today. We all talk about this freedom of speech. Yes, we all have freedom of speech but at times there are ramifications for negative that can happen when youre not thinking about other, only thinking about yourself. So many people could have been harmed, not only financially, physically, emotionally, spiritually, so just be careful what we tweet and we say. Charles so lebron james really not doing the nba any favors with those controversial comments as they look to salvage their relationship with china but risk losing american fans. Can the league find their way out of this mess . We have former georgetown basketball player, omari faulkner. So happy to be here. Charles this whole controversy gain with one individual, one american, supporting hong kong and happened to be the general manager of the Houston Rockets and brings us where we are today . One thing that brings us a great nation, a leader across the world the fact that we have the opportunity to speak how we feel. We have freedom of speech. What happens here, i think why lebron is really caught up in this twitter storm and you know, National News today is because i think he made light of the comments in which the general manager made. The comment were not super aggressive. Those were his thoughts and his opinions. He has a rights and freedoms to say what he wanted to say in regards to the people of hong kong, how theyre being treated in china. Charles he made light of it and suggested that, david morey was not informed. We see what is happening in hong kong. Just everyone understands chinese economist leaders are brutal regime. They have a million muslims in reeducation camp strictly because of their religion, things like that. Im not sure how informed anyone should have to be on this but even if youre not, getting back to the idea of americans having a voice, having the ability to voice that, lets face it, it is about the money, isnt it . Absolutely. Charles i had the opportunity once i graduated from georgetown to travel the globe. I traveled to 45 Different Countries as sports envoy for the u. S. Department of state, during that time i had the opportunity to travel to china for the first time in my life. So we fly into shanghai. I got the opportunity to travel to the west bank, the province where high, high population of muslims and i tell you, some of the stories that i heard from young children, you know, parent, coaches, you name it, of how theyre being treated, how theyre being discriminated against were really unfathomable. So you know for, i think lebron to make comment that someone was unknowledgeable about the subject, i mean it takes an easy Google Search to truly find out what is going on, just to read the news. Lebron james, i mean i think he is bigger than just an athlete. He has a loud microphone. Charles sure. When you, youre doing grade things like educating students in akron, ohio, being a spokesperson here in the United States and for the nba, i think you have the responsibility to be knowledgeable about these topics and be careful with your words. Charles nike, his main sponsor, in the collen cap kaepernick add, stand for something or you are willing to lose everything. They have not been explaining that to the rest of us. Thank you for having me. Big news, jennifer aniston, she joined instagram. Her first post generated a million likes. Did you know, you, you could be the next big online influencer. One College Offering a online degree, before you scoff, data showing influencers can command 100,000 for posting on instagram. Watch out, Bernie Sanders may be looking to tax the new instagram riches. Well look at his plan. He is set to prove he is the ultimate socialist in the race. My body is truly powerful. I have the power to lower my blood sugar and a1c. Because i can still make my own insulin. And trulicity activates my body to release it like its supposed to. Trulicity is for people with type 2 diabetes. Its not insulin. I take it once a week. It starts acting in my body from the first dose. Trulicity isnt for people with type 1 diabetes or diabetic ketoacidosis. Dont take trulicity if youre allergic to it, you or your family have medullary thyroid cancer, or have multiple endocrine neoplasia syndrome type 2. Stop trulicity and call your doctor right away if you have an allergic reaction, a lump or swelling in your neck, or severe stomach pain. 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