Caroline bloombergs economic model is seeing a doubledip downturn. There was much good news on the vaccine front, but joe, the euphoria has ended. Investors are trying to work out how they get through until spring when the vaccine is going to be more widespread. Joe weve had a powerful rally for the first couple days, but then you look at the action with the nasdaq surging and itrything else lagging, and does seem like the vaccine opposition is running head to head with reality, which is that right now the covid situation is bad. Hospitalizations, hitting a record. Ineurope, you see the surges germany, italy. At some point, it seems likely we are going to get a vaccine, but the current situation, not good. Romaine it is really the sustained trajectory of this latest wave that is most concerning. The one thing, if we are going to find some silver lining, his hospital seem to be more prepared this time around than where they were back in march and april. Joe absolutely. With more, tech r
Or is Something Else to play. We will get into it but as i can see the major indexes down in the nasdaq up 3 . Following reports of the november surprise on a vaccine bio pharmacy ceo pledged to take the over speed when it comes to treatment. Tesla feeling a little dented this morning after getting snubbed by the s p 500 despite four straight quarters of profit the benchmark index says no thank you very much, we will discuss the implications of that. In Washington Congress returns as a stimulus stalemate continues, white house chief of staff mark meadows kelli Maria Bartiromo in the last hour he thinks the deal will get done and soon. We are 56 days away from the election for the battle of the swing state and definitely heating up. President trump touting a rebounding economy as a hits florida and North Carolina today and we will see him leave later this morning. The president is threatening to cut ties with china and issues of stock morning if joe biden wins. And how about this, the h
Michele. This is one of the most difficult things to accept, that this market does not have to reflect what is going on in this economy. Can you speak to that . Bob i can speak to that because im in the bond market and it is reflecting perfectly what is going on. We just printed 33 gdp. There is a giant hole that we think will take 10 years to fill the output gap that has been created. The fed is telling us for a long period of time they will keep rates at zero because they have to bring the cost of funding down across the system so that any kind of recovery takes hold. Slowly, Bond Investors are recognizing that, and that has emboldened them to move further up the curve both in terms of duration and lower in credit quality. Jonathan we have had conversations about market distortions. The equity market, Big Tech Companies dominating the benchmarks in the u. S. What is the cleanest trade in fixed income to play an economy that would take 10 years to fully recover . Bob there are two cle
To the Drug Companies to even the tech companies. ,rude is above 30 a barrel 32. 22. Yield is at 68 basis points. At 7. 1270. An we have president xi speaking today to the world health organization. Coming up later this hour, we will be speaking with the ceo of moderna, which is reporting some good initial promising results for vaccine tests. Us atne bancel will join 10 30 eastern. Guy looking forward to that conversation. The market certainly responding to that. Mostin europe, the beaten up sectors are rising the most strongly today. You can see the mining stocks up by 6. 9 . Car stocks are up really strongly as well. They are all outperforming the stoxx 600, which is up a healthy 3 . The commodity story absolutely front and center, as a result of which we are seeing Commodity Currencies doing very well. You can see the aussie dollar trading up by 1. 15 . Up by 1. 15 . As you say, we are seeing rising around 0. 71 . Vonnie exactly. Chinese president xi jinping addressing the World Hea
Now. Thats a gain of better than 800 points, 2950 a key level for the s p, were slightly above that with a gain of 3 . And the nasdaq, where so much strength has been of late, 2. 3 higher, 9230, russell 2,000 having a big day as well kevin oleary, 2950, key level on the s p were all the way back to where we were in early march and you, my friend, you say youre growing more bullish. Yes, i am i listened to what the fed says and they have an unlimited pocketbook they made it clear they are going to overcompensate, scott, and youre starting to see it happen right now. The beneficiary of this will be issues of credit, we issued a trillion dollars worth of investment rate credit so far this year. Spreads have tightened you know i watch the etf market like a hawk. The fed has only done a few hundred Million Dollars of purchasing it is job owning that is getting it going this is an extraordinary time. If youre an investor and missed days like today, youre mitts g i missing 30 , 40 , 50 of the