How is his health, let alone healthy election season will play out. Investors are optimistic that a deal will get done for stimulus. Any stimulus will be a shot in the arm for the economy. We forget that the jobs report came out and the economic recovery is becoming increasingly shaky. Clearcut joe biden win could be seen as a plus for the economy and stocks. Next month for investors is about aging and repairing for the election, first and foremost. Joe people starting to play out the different possibilities. The prospect of not only a bit of a stimulus but much more stimulus. That would bethat very good for cyclicals. It would boost financials, perhaps energy stocks. That would be less good for some of the Big Tech Companies that have done very well in environments of low real rates. The white line, the financial etf. Lots of people pouring into that. This chart could reflect some bets on more stimulus and faster growth. Romaine he also kind of have to look at what has been happening
Off hard over the past few weeks. Scarlet they will have to basically refund or move all of the holders to the next season. Among the 24 groups in the s p 500, only two groups declined. Because of the Safety Company safe haven nature of their business. We have seen banks and auto companies. Banks leading by 5 , auto stocks by 4 . Of centralin terms bank announcements. The boj announced this morning. The fed on wednesday. A lot of people have said the excitement as worn off. Reiterating case of that they are standing by as needed. Of forgetou kind about the fed in the middle of all this. Yana, we do have the fed coming up this wednesday. They have pretty much done all could reasonably be expected for them to do so far. Are you expecting to hear anything more on wednesday that would suggest Additional Support for the economy or the market . Yana there has been tremendous, i think, global stimulus, particularly as it relates to hear. I think the continuation of the same theme, that they a
Mixed bag. The dax is down almost 0. 5 . The carmakers dragging on the dax. The ftse 100 is a different story, up 0. 3 . Some individual Companies Making gains. The british pounds giving back more of the gains of the week, 1. 3075. Pearson up after giving up the Penguin Random house it owns. Lets get to more with luke kawa, Bloomberg Cross asset reporter. It seems like this market is more and more moving on individual Company Names and less on a trade resolution or British Election resolution. Luke definitely. Weve taken a step back from the macro. That we are not really looking ahead to anything. We are just kind of in stall right now, waiting for the rest of the year to play out. Yesterday we tied for the smallest range in s p 500 futures of the year. We are getting a sense that last week was all of the big risk, and no we are winding down. Can year yield climbing higher could be the story of the year as we close it out for one more macro perspective. Vonnie we only have a few more s
The 10 year yield has just cracked 50. Twostens spread come as you might imagine, 4 basis points. Altria morris and looking at a merger. Phillip morris owners less pleased. London is andrew sheets, chief cross asset strategist at morgan stanley. Andrew, thanks for joining. Since we last spoke to you, weve had many more headlines, but how have we actually moved the needle on trade talks or any kind of agreement . Andrew im not sure that we have, vonnie. I think we are still unfortunately in the place that we were a week and a month ago where there is still quite a bit of uncertainty. You still have this impending deadline on september 1, with more tariffs that are going to go in, and still conflicting signs over what the path will be. I think the most likely path still being escalation. Directlyts of tariffs on growth and uncertainty, Holding Back Business investment, unfortunately are still there. Vonnie andrew, we just cracked 1. 50 on the 10 year yield. Im curious whether we see some
The week began with the region coming to terms with the worst assaults in egypts history after an attack in northern sinai hundred people dead. I spoke with a Senior Executive officer. What if it is an Inflection Point . Shocking event in terms of the nature of it and the death count that has come out of it. The thing you have to remember is that egypt has gone through a whole series of things on the political side, security side, as well as markets. Now we should view it as an isolated event and see where things go. Asisi came out strongly and said they will clamp down hard. We will see where things progress before jumping to too many conclusions. Yousef the question becomes how should investors look at it. You are saying look at it as an isolated event. I went back to the last terror event. Egyptian assets remain strong. Its quite interesting. If you look at it and go back a year, you almost have to view this as the timeline situation. They year back, very few Foreign Investors had a