Underway at the masters, while one of the trail blazing golf legends is one of my winners of the week. All that and so much more on making money. Muck charles well, markets rerutted out of the gate erupted out of the gate nicely, but the tale has been the case all year long. The emergence of buyers yesterday is when youve got to watch out. In the final hour of trading all year long, thats when you know the next day is going to be big. Shakeout sessions are becoming somewhat more predictable. To the pros, they buy into these dips into the close, and then the next day the market opens bigger. Put that on your notes for how to make money. Now, there continue to be some dark clouds including, of course, covid cases, a lack of fiscal stimulus and just exactly what the fed is doing because so far not what they promised. In fact, the ecb is doing a whole lot more pumping than [inaudible] meanwhile though, earnings remind investors of fundamentals. Great earnings reports include disney, cisco
I think it is a mistake that because we helped the wealthy we shouldnt do it. The reason they did it is because of that. If you dont lift up the economy, the people who suffer the most are the poor. The fed is thinking about how do we lift up the economy they shouldnt hurt a wealthy person to make them feel good. They are doing the right thing now which is to let them get through this there are going to be serious situations thats kind of a secretary dairy problem right now. We should get through this and kind of unwind some of this stuff wisely there are huge incomes you could have negative imcome tax, fix education there are a lot of things we should be doing to help the poor federal policy is not the thing they should focus on letting the economy grow they dont focus on Growth Strategies they have policies that dont help growth. If you had 1 growth in the United States over 10year period, that would be 4 trillion gdp thats like 10,000 a person extra. That pays for a lot of social sa
I say that with hesitation because you never know with these numbers anymore. Here is more. Is not highfrequency data. But they are coming in stronger than expected. 6. 2ory orders up by percent. The forecast was for 5 . Percentages dont mean a lot right now because data is always volatile. It is even more so now. We are seeing wide swings in orders for both factory goods, durable goods and nondurables. Durable goods orders, we already got a report on that. That gets revised. It is revised stronger. 7. 3 earlier. Tothe end of july, it is up 7. 6 now. These are june numbers. Orders, that is the one economists like to look at because it tells you what business orders are and what business spending is in gdp and that comes in at 3. 4 . That is up from 3. 3 . Not a lot of new information. Slightly stronger. The reopening started to bring rebound into the economy. At this point, we have no idea if that has continued. The new yorku that ism number which represents this 53. 5 four july. At le
Expects a renewed down turn. And with the big swings in the market, weve seen the vix, the volatility fear gauge above 53 59 minutes left in another volatile week. We have great guests david giroux from t. Rowe price. And shares of wind ham hotels Geoff Ballotti will join us. Lets get to the market now and another up and down session for stocks after yesterdays massive drop mike, you may be coanchoring to day. Youre not off the hook. We need your charts and your dash boards. Walk us through the action what happened . I wouldnt have it any other way, of course heres a one year, the s p 500, that selloff yesterday was a little bit destabilizing, it seems for the tape it didnt punk tour the air that this rally is inpenetratable it did hold today. Back down around the 3,000 mark. Theyre fighting it around that level. I did highlight this zone in here a lot of this area is still in normal pullback zone the rhythms of the market seem like theyre a little upset by yesterdays pullback you ment
Joint action. Saudi arabia wants producers to agree on additional cuts of one Million Barrels per day. Nejra what a wipe out on wall street. We will get to that in a moment, but first, breaking headlines coming through. We are still in earnings season. Basf sees significant first half Coronavirus Impacts on the Global Economy, and it sees 2020 point 2 ebit of four billion euros to 4. 8 billion euros versus 4. 5 billion euros in 2018. Those are the two red headlines. They are saying they do not expect the virus effect to be fully offset over the years, so some important headlines coming through on the impact of coronavirus. Elsewhere in the numbers, it is proposing a full year Dividend Per Share meeting the highest estimate, but it sees a significant first half Coronavirus Impact on the Global Economy, bracing for a possible profit drop on coronavirus but also the slump in autos. That is the main takeaway here, adding to industrial gloom by adding to the profit drop due to the impact of