Chris Irish, Jerome Powell, Marijuana discussed on America's Morning News
Nine th day of November and taking a look at the stocks this morning. I shares were higher mostly across the globe. Following Wall Street's moves yesterday. Stocks rocketed to their biggest gains in eight months Wednesday following comments from the fed reserve chair Jerome Powell the Dow surging six hundred seventeen the S P advanced two point three percent. And the NASDAQ rose two point nine percent. The Russell two thousand up two and a half percent. So what did the fed reserve chair say to make everybody skipper? Let's bring in our regular guest. Crisper safe with tomato research, also the author of cocktail investing as well as the co host of the cocktail investing podcast. Good morning. Chris. Good morning. I'm well. Thanks for joining us. As always we appreciate it. Let's talk about jerem Powell's comments yesterday. Struck a positive tone on the economy. Of course, we know those those rate hikes are cooked in to rise again next month. But. Who knows about next year? Chris what did what did you hear from the F that cut your ear? Yeah. I I think you're right. The the December rate hikes, you know, pretty much fake take the question is what about before that are specified for next year. And it's fascinating to me. Because if we take Powell's comments just compared to two months ago where rates were nowhere near neutral. Now they're much much closer to neutral. You have to ask yourself. Eight weeks we saw that we've seen the stock market. If back all of his games, we've got a number of data points that suggest the global economy as well as the domestic economy are slowing considerably. And I think what your listeners need to. Remember is that monetary policy is not fixed. It's rather flexible bydesign react to what's going on. And I think the notion behind Powell comment is just that the economy has slowed in the need to get rates where they were. Hi. In order to keep the economy, kind of even keel, remember too. We've seen this sharp plummet in oil prices. That's obviously going to be. And I think it gives Powell in the fed a lot more room to breathe and potentially run. Well, you mentioned oil drop below fifty bucks a barrel in New York for the first time in more than a year. What's going on there? We know Saudi Arabia, but but what's happening with OPEC. Well, I think it's a couple of things Matt I mean one you have to remember that you know, it's a commodity was subject to laws of supply and demand. So let's let's look at vote on the demand side, take the commerce. I just made it right? Whether the global economy is slowing so Nathan crude is softening then there's the supply side, and as you just pointed out, it looks as if you know, some of the production cuts that were had been expected earlier may not be there. And I would argue that as foil balls further. Odds are that we will not be any production cups because these these nation states will to get as much money inside to them as possible. So it's a very interesting next couple of weeks on the oil. Brought my my prediction is that. We'll probably see oil that allow all somewhere between forty five fifty per period of time. I like it. Let's see here. Chris. We've got some breaking news this morning. Chris. Deutsche Bank offices have been raided one hundred seventy criminal police officers. Prosecutors and tax inspectors searched six offices in and around Frankfurt on money laundering allegations. How is this significant if at all to the US? Well, you know, the Bank has a presence in the US both, you know on on investment banking commercial banking tied. So it's really going to be a question of, you know, which companies were banking with them. What Specter's does this raise? It also is another question of overall credibility or. Industry, I'm afraid. So so I think that there will be companies that are beyond reproach JP Morgan Bank America city, but it is gonna raise in flag. Remember too that in some respects investors are just getting over the news with Wells Fargo. Yeah. It's another tinge of uncertainty. Yeah. That's a good point tobacco company. Altria is reportedly in talks to take a minority stake at twenty to forty percent in e cigarette maker jewel labs. This is a significant jump here. Chris not only to go into the e cigarette market, but you wondered on this show. I'm sure elsewhere as well why a lot of the tobacco companies haven't made the move to the marijuana market. The medical recreational marijuana market this way for that. Oh, go ahead. If ads. So the whole thing is kind of interesting because the FDA investigating Joel and its ability to use their words book younger Americans, but it's understandable that you know, with tobacco under fire. These guys are looking for other growth opportunities, and I agree with you. But at some point, I think they will Wade into the marijuana market. But let's remember that marijuana is not big on all fifty states, and it's not legal at the federal level. Right. So if you can't you're not legal at the federal level. How can they duck business? You know with me on this. Sell product monetize it and collect you know, the revenue stream and deposited into a Bank. You can't do that. The the huge headwind. I think you know, look based on what's happening in Canada. Do our prospects for legalisation the US better than they've ever been. Yeah. I think they are. It's just going to take some time. I think I think the response again circle back fuel is I think all trade is trying to figure out. Okay. What can I do in the near term something that hasn't been reported much? Chris under reported Senate majority leader Mitch McConnell is backing the legalization of ham. Of course, he's done. So since two thousand thirteen but he's trying to squeeze it into the year end spending Bill and that could that could. I mean, you're talking CBD oil everything else that goes along with that. So that could. That that could bring to the forefront. They're all right. The juniper juniper lot out it's drawing mixed reviews. I know I know you had one yesterday I had one a couple of days ago. Starbucks new holiday, drink your thoughts on it. It's not quite a milkshake. It's not a Frappuccino. So I like that. Yeah. I mean, it's. It was fine. It wasn't anything. Is it the? I remember like the pumpkin spice latte or some of the other what I called liquid cracks drinks. It's not quite that caliber. But is it a little different? Yeah. Is it worth the premium price? Maybe not. Well, I I compared mine too little too close to Jenin Todd. I I like my gin and tonic. My sapphire and tonic to be separate from my. Here's the thing. You know, you're out on out in California where it's still probably. Fifty degrees. I'm staring outside of the window with huge wind, and it's probably thirty to thirty does not work. Know, it's I think it's about forty nine here right now. Blustery and raining. But yeah, I feel you now if they can come up with a drink tastes like bullet bourbon that might be interesting this time of year. There you go Irish coffees the answer, Chris Irish coffee all the time here in the winter. I drink them every day during the show, Chris we appreciate your time. As always, my friend. Thank you. All right. Have a good week off. That's Christopher says he joins us each Monday and.