two more next year. whether this is one more hike or three more hikes. i would be pausing until we had a sequence of inflation numbers above 2% at the minimum. we have a situation where the fed has reversed course and raised rates. the $50 billion a month in the balance sheet is important to markets. neutral is not 2.5%. one person at the fed believes it is 2.5%. we are just below the bottom of the range of where neutral might be. i am waiting for validation from the fed they have changed direction. thethan: joining me around table is the cohead of fixed frome plus coming to us edinburgh is luke hickmore. great to have you. is next week s decision really that much in the balance? it is not much in the balance because the market is expecting it. there will be a hike, but the comments will be dovish. the question is how dovish will they be in 2019? i think the markets completely reinterpreted anything by the fed. how about the fact growth has started to slow a l
the pre-market poised to open the at a new high as subscriber growth tops in less expectation. we will have the latest from ecb president, mario draghi as they approve austerity plans. these litigation charges at goldman. weighing on the bottom line. first, netflix. strong results for the second quarter. the company adding 3.3 million subs. stocks up over 11%. this is reed hastings last night on the company s earnings web cast. the stock was half this price. i described it as euphoric. it s a mystery to me. what we know cuss on is how to get incredible content, stream it beautifully and market it in every country. i m out of the stock commentary business. maybe he should be. stock now closing in on an 8,100% gain from the may, 2002 ip 0. it is ridiculous this is only up 11. this was the most dazzling call. when you have a chief content officer on you know you are about to get blown away. raising numbers, narco. they are like crouching tiger, number two. they are n
adp in line at 177. and our road map begins with apple s iphone sales disappointing. why the company says future product rumors could be to blame. private sector hiring slows. will signs of a cooling job market change the fed s potential rate hike plans? and a food rally, mondelez and yum brands beat the expectations. mcdonald s gets an upgrade at goldman up. the iphone shares disappoint and tim cook said we are quote we are seeing a delay in purchasing behavior that we think is a consequence of the number of rumors and reports about future products. that is happening outside of greater china. jim, it will be interesting to watch you get him to expand on that. it is going to be the smallest gap up or down for apple on earnings in a couple of years. well, look, i think that this is one of those where if we looked at it as a consumer products company, wow, they beat by eight cents, look at this return of capital it s amazing. but you know what, that is not the way that
of course therefore, price goes down. dollar index, you see it there as well. a bit stronger this morning. how are things in europe you ask in i will tell you. strong. the dax 2.5% gain. cac up almost 2% and the uk having a positive day if you are on the market. it starts with greece this morning. the prime minister sends a letter agreeing to a bailout on slightly different terms. is this all too little too late? plus the first day of the second half. adp data better than expected ahead of a jobs report tomorrow. the dow wraps up the month of june down just over 2% and ensuring a deal. ace buys chubb keeping the chubb name but, of course it is the ultimate inversion, as i like to say, selling out to a company that is based in zurich. both stocks are up sharply. the accretion numbers very strong. jim and i will have a lot more on that. futures up sharply on hopes for a greek debt deal. the prime minister says athens could accept the bailout offer if things were changed. this a
capitalal has changed its business and cites among other things ge capital s exit of the u.s. and consumer businesses and transformation of its funding model. you might recall during the financial crisis ge s finance arm almost took the company down and since that time, it has certainly changed that this or i should say last year undertaking an aggressive plan to reduce ge capital selling over half of its assets and, indeed, since that time, it sold about $166 billion or signed $166 billion worth of deal. now keep in mind, ge is one of four non-bank companies that have been given this systemically important financial rating. others include aig, met life and prudential and met life is involvedn a legal battle with the fed having, of course, received a favorable ruling earlier this year by a judge who said tfederal reserve or the government could not designate it as that. that means these companies are subject to federal reserve reover sight and enhanced capital rerooirmts. the