20 Episode results for "Chris Harvey"

Current Marine Heat Wave Reminds Scientists Of 'The Blob'

Environment: NPR

02:28 min | 1 year ago

Current Marine Heat Wave Reminds Scientists Of 'The Blob'

"This message comes from NPR sponsor xfinity. Some things are slow like a snail races. Other things are fast like Xfinity X. by get get fast speeds. Even when everyone is online working to make WIFI simple easy awesome more at xfinity dot com restrictions apply right ocean temperatures from Alaska down here to California have been rising. This is a marine heatwave and scientists say it looks a lot like mass of warm water that appeared I five years ago and was nicknamed. The BLOB Cassandra Profeta with Oregon public broadcasting has more the current marine heatwave isn't quite as big or as warm as has the Blob at least not yet but the last heat wave caused major upheaval in the ocean a toxic algae bloom made it unsafe for people to eat shellfish up and down the coast so many crab and clam fisheries were closed salmon and sea lions had food to eat and warm water species started showing up farther north Chris Chris Harvey is a biologist with the National Marine Fisheries Service given the severity of the last marine heat wave the BLOB. We definitely felt it was our responsibility at this point to say this is something that we are concerned about and we're GONNA continue watching it with regular monitoring along the West Coast Harvey says one of the unexpected consequences of the blob was that more whales got entangled in fishing gear while searching for food closer to shore. We didn't anticipate that at all. We should expect there to be some surprises that that we currently came to anticipate if this event persists for years like the last one did and if its extent and magnitude remains a severe scientists say it's possible a change in the weather could end the heat wave nate manteaux with a Southwest Fisheries Science Center says the warm water is the result of an unusual weather pattern. That's caused winds to be weaker than normal for months. That means cold water at the bottom of the ocean is not moving up toward the top scientists. Don't know if that's connected to the human caused climate change. That's warming the planet. We don't know if the weather pattern is we do know that there's an underlying warming has boosted ocean temperatures every year right now. Water temperatures are about five degrees above normal off the western. US scientists expect the heat wave to hurt salmon populations and the fisheries that depend on in them. It could also cause a shift in marine species to cooler waters for N._p._R. News I'm CASSANDRA PROFETA and Portland.

Cassandra Profeta National Marine Fisheries Serv US Chris Chris Harvey Southwest Fisheries Science Ce NPR Portland nate manteaux Alaska Oregon California five degrees five years
Fast Money 03/02/20

CNBC's Fast Money

45:23 min | 9 months ago

Fast Money 03/02/20

"Today's uncertainty may cause you to question your investment strategy but with the right perspective and investment solutions. We think it's possible to stay on track toward long-term goals with Janice Jackson. Abandon your dance not your financial goals to break to rally caps. Or maybe you're short-covering chaperones because Wall Street just closed out another historic day. The Dow surging more than five percent twelve hundred and ninety three point gain. Its biggest point game ever while the Nasdaq and S&P five hundred also posting monster gains four hundred sixty eight of the S. and P. Five hundred with up today. This follows Wall Street's worst weeks the financial crisis twelve years ago but today every SNP sector finished sabally in the green there were also more big moves in bonds the benchmark ten year treasury hitting its lowest level earlier today at one point. Oh three percent did bounce back ended at one point one. Six percent but yields here are still down forty percent this year simply incredible day all around and trillion dollar question that we asked tonight is a very simple. Should you put your faith and your money in the rally that we had today welcomed fast money? Everybody I'm Brian Sullivan. Thanks for joining us on another big day traders on the desk Tim. O'brien Keri Kelli. Brian Kelly terrifying men and guy. Donnie guy up. So eager to get into an amusement shrunk the names but kick us off because we've got this twelve hundred point rally truly incredible ended on our highs. But are you a buyer remarkable right? So listen I'm not gonNA pretend to say I saw this coming or any. Any percentage of this coming today but what we talked about on. Friday and I know it was only a few days ago. We said look. You take some solace in today's action on the fact that a couple of things happen. The market has bottomed on days where the vix is traded somewhere between thirty five and forty. Obviously we got that in spades on Friday and we also pointed out if you go back to September of two thousand eighteen or so Friday's close. Basically was the resistance level of the levels. We saw back in September right before the market sold off so we flag those levels now again. I didn't see today coming by any stretch of the imagination. So what's next to answer your question well? Today's the recent low of twenty eight fifty five and the S&P the recent high the all time high of thirty three ninety three on February seventeenth a fifty percent correction puts you at thirty one twenty five so one percent from where we closed. I think it's reasonable to stink. That will rally tomorrow towards those levels and then fade on the back of what should be continued selling. So I if you think about today not only did every asset class work but you also got this dynamic win market start. Panicking policymakers start planning so this whole concept of coordinated central banks. And once again we can. We can sit around being real frustrated. About what central banks can actually do. Here we can be frustrated about the Fed has created this Basically the market is is There's a lot of terms. I won't use in terms of how the market needs to respond to the Fed. But that's that's where we are. What's very interesting or I think. The dynamic here is a lot of folks come in today. They tune in tonight. And they say oh. Wow is this December two thousand eighteen when this was a v-shaped recovery and here we are in a dynamic where we're truly looking at the economy and we don't even know the extent of where the current of viruses. So I I think investors again prone to go back to the old playbook. I'm not sure this v-shaped I don't want to get out there with that one way or the other but it has to be where investors are right now because this all happened. So let's be clear Tim and I want you to follow up on that point because we're not throwing water on this. This was an amazing day. A lot of people made some of their money back. And that's good news. But here's the thing if you look at all the data okay half of the biggest gains that we've had point or percentages also come Internet markets. Right thousand eight two thousand nine. We can go to the Eighties. Whatever you want. Was there an element of panic? Binding today which in many ways is not healthy. There's no sense. There's there was a lot of panic by there was a lot of panic. Selling markets were at a nine. Rsi ON FRIDAY MIDDAY. They hadn't been that low even through the December. We know how oversold we were. This type of bounce shouldn't surprise anybody but these events come in difficult and dangerous market if you look if you look at the top. Five percentage biggest percentage gains of the Dow in history. All five of those came in two thousand eight and two thousand and the point is in bear markets. You get these nasty rallies. I don't know if this is a bear market on. I don't think there's enough information out there for anybody to know that at this point in time but you can get these nasty rallies. I think the next thing you have to look for is the G. Seven coordinated call Tamar. Because it's really difficult to stand in if they are going to have coordinated central bank action and some sort of coordinated fiscal stimulus which is ultimately in my view the economic governmental response to all of this. That's really hard to stand in front of as a short. If anything is anything short of that what they do tomorrow then I think the market fades like guy saying so. I think tomorrow is a real critical day. I would just say if on Friday afternoon. You're looking to dump out of your portfolio. Why not take a little bit off at these levels after this rally? I hate days like today because even though I'm long Lee last week was a disaster. I mean this is not healthy right. Companies the value of companies did not move five percent. Today sentiment changed right and the oversold the tips talking about. Was you know nearly crazy right so this kind of action? I don't really like there was a lot of things like for the market. To go up. There was a lot of fuel for the fire coordinator G seven. You have the expectation of a big fed move. I think even Clovinger dropping out of the race in throwing her support toward Biden. Hillary Martin's the Biden bounce absolutely to the extent that Bernie's weakened I think that's better for the market so I guess too like I'm not a buyer on a day like today I'd rather be a seller and risk. Being even more bloodied by the end of the day the markets as my southern relatives might say guy. There's no question but you know you look and you would think markets up a historic level terms of doubt points and s and P points. Probably as. Well get the VIC still has a thirty three handle. I believe which if you'd asked a couple of weeks ago. People just said preposterous. It's never gonNA trade there again yet here. We are a day like today again. It's interesting I'm glad you mentioned it. Because everybody when the markets go down like they went last week. It's always panic. The markets panicked. Just you want to give that. That's fine you know what the panic was there in spades on the upside as well. It's not fundamental on the way up and panicked on the way down. You have both up and we had some data points today to get a Lotta floating around guy where people on Thursday. Maybe Friday bought some of these double and triple inverse market short bets. I wonder how much of today was that. Recover something about those first of all. And with all due respect to that the companies that have built those things. Those are really dangerous there. You can play them in the short term but if you play them and you actually use them tactically for any meaningful period of time the amount of erosion and the underlying position. I think is very dangerous I would also say that. I don't think these are markets you WANNA trade. I don't think these remarks you want to step in and step out based upon. What you think is going to happen and we've seen this so many times. I talked about where the closest a market allegory. Or analog I saw was was August. Twenty eleven when we were downgraded from AAA in this country. You had huge problems in Europe Basically you had this kind of dominant dynamic in the first eight days of August. Then you had this thing with markets went up six percent down six percent up six percent down six percent and finally had a wicked rally into the end of October. Before dumping people right back you know wear by the year end this is this is an environment where markets are trying to figure out what the global impact of this. Look at the. Pm is they came out across Asia this morning. China thirty five manufacturing PM. I I know that's the center of the storm. I know that's probably aberrant number but I don't think you should be in there trying to trade this and I think those those those triple levered. Etf's are very dangerous for most people and to your point tim on on what's going on in China. We know that that number is likely lagging. So you say okay fine. The factories are going to get back up and running but now the question is and again. You don't know the answer. This where's the demand GONNA come from? Is Europe now shutdown? What's happening here in the? Us are those. The demand factors that are going to slow down and even if those factories in China get back up and running. Who are they producing products for? That's the part that I think is unbelievably difficult to tell at this time. And it's really difficult to trade this market because you just had zero information. Yeah and by the way. I'm looking down because I'm reading an email that we got from Bob. Assigning who might come on its daily traitor. Talk it's fantastic has always nine hundred. Eighty four billion dollars changed hands today. According to Goldman Sachs the volatility. My point is is on the upside the downside and some people got stressed out in fact or not again. I'M NOT GONNA pick on Robin Hood but Robin Hood was down for most or all of the day and if you happen to them the last time we better better than having those folks. I don't know how many there are a couple hundred thousand or couple million. They were unable to participate in this day. And so there's another modest saved them from themselves but but there's a there's a reason anyway. There's a risk to these high volume days where we're learning that. There are risks in other ways. Extreme price moves right extreme reactions. And maybe some technology spokestream reactions again getting back to global central banks coordinated to do what what exactly is cheaper money going to somehow stem the tide of people traveling. Just anecdotally you talked about it before you were supposed to be at a conference over the next couple of weeks. That's canceled and I know I had a conference schedule towards the end of March which is at least twenty something days away. That was just cancelled as well for the reasons. We're talking you guys get saved by the way. I'm sorry you're going to actually have desk without me at the end of the Week. I'm back I will be here apologies because you're not traveling shack but but do the suit. Let's connect the dots to the stock market. We're fast money. We'll get to apple in just a moment karen the real news. Tim Seymour. Guida McCarron Feinman. Pk myself who cares right but we get on a plane. There's hundreds of thousands of US going to cities spending money hotels restaurants. Taxis Uber's whatever it is that is economic loss. That is not going to go back. Houston but I can't go back in time. And we don't know how this is going to impact the eastside evaluation price to earnings what earnings GONNA be. How long is this going to go on? We don't know but I do think companies will get a free pass for probably the first quarter and the second quarter and then we'll see. I mean you know we talked last week you said why wouldn't every CEO out there be you know guiding down or removing guidance? Any of that makes total sense because they really don't know for one and why not give yourself a little bit of room but back to the multiples and evaluations. I mean the decide. All this is that money is free. And in fact your your evaluation based upon discount rate which is often priced off. The ten year is now priced off of a one fifth tenure and that gives equity multiples in an enormous amount of play. If you WanNa do that and let's be clear. This is a world war. Central banks are pushing us all out the risk curve. This is a dynamic where equities become very very attractive especially those big companies that have a lot of room to do what they need to do in capital markets. Angie Baxter only I mean and I think that's what you're saying but they're only attractive because rates are so low that doesn't mean they're attractive because the fundamentals are good which adds to the complexity here. Because you could actually have you have economic effects of this that are greater than necessarily the health effects that's not to minimize the health effects of it but if everybody starts to cocoon and everybody starts to quarantine themselves then you have a big economic shock here in the US but at the same time right if you have stimulus fiscal stimulus global central bank stimulus. He didn't have the stock market. Go up the economy going down and confusion all over the place which is why. I think it's good that people aren't trading in the stock market is not the economy because say one thing because it sounds like we're being kind of negative on a on an update and maybe we're being negative on down days last week What's very positive is that today. I would argue that. The new slow around the corona virus was worse. And you have a dynamic where I think. Investors have had a chance to digest the economic impact. The entirety of the unknown is out there for us all but markets were able to find a little bit more rational irrational day a little more rationality of good stuff there. And I think Tim. I think everybody's being fair I mean it's better than just saying. Hey great day everybody start buying stocks. You can't do that so I think a little bit of skepticism. Right now is a very healthy thing. The biggest stock in America. A big part of this move apple surging more than nine percent for its best day. Since two thousand eight oppenheimer maybe helping fuel those gains the upgraded apple to outperform three hundred twenty dollars price target about twenty minutes ago. I saw from ever core. Isi and after the bell reports saying their data shows that APP store revenue surged twenty percent in January. Good time to get into the stock or by more of it if you own it. Well I'm long so I guess I would be a buyer here always save you go from longest like he bought it. I mean this movie didn't more today. This is a crazy move on really no fundamental apple news. I mean I guess to cocoa second about India Trump helping India for apple. But I mean it's I I don't I wouldn't jump in today and say this is the day I gotta buy it. I do still believe though that That is the is the driver here and that. I think there's a very good chance that the five G. story plays out at the by the second half of the year. I mean if you WanNa think about what the positives for apple in this environment is if you think about you know interest rates at Lowe's and even if you have some kind of economic shock recession you have apple which has a massive stockpile of cash. So they're going to be able to cover their liabilities. Cover any dividend that they're going to pay and then there almost had this kind of utility effect where your cell phone is the last thing that you're going to get rid of you. It's essential to most people so you know I'd get them not going to be buying apple up after this massive move but I think in the next week or two there may be a time but had a real good risk we Risk reward entry. Well Mark Apple's market proxy no matter what Apple was going to outperform on a way up and it was just like a dent on the way dance if you take the trough to peak and basically closed on the peak so the trough from Friday For those planet home seventeen percent in the world's biggest company you can do the market cap swing so you know summer. Two hundred fifty billion dollars of market cap was added apple off those lows. Backup to the highest the oppenheimer note interesting note They do downgrade of bid on. Eps going out to twenty twenty one. They took it down and look to be about seven percent. On some of the obvious overriding factors. But they say at three twenty this is this is the stock that not only technically has upside so they can upgrade it from a from a upside to valuation to target and then they've also just talked about the same things we talked about. I think it does come back to valuation and I think if you look at the valuation of Apple Right here year round twenty two thousand twenty numbers. What do you want to do with the stock an environment where they can do a lot with their balance sheet? I think you want to own it whether you want to own it right now. I think this thing needs to settle it by the way just to get through. H Hyatt hotels. They're withdrawing their guidance. So there's another we kind of again to your point care and we kind of expel. Hyatt hotels just saying they're going to withdraw their guidance for the year. But I think if you'RE A VERIZON GUIDE ARMY OR AT and T. Two point I mean is up six percent today. I think it had an upgrade. All of our brains are a little bit Friday the last couple of days. You're not shutting off or Isan Salon because it's the last thing you're going to do. It's it's not a high hotels you know what? Your Business is going to do. Clearly been some winter I mean tangentially mentioned zoom video since it was a seventy five dollar stock and to see the move so there have been some lenders through all this as well but getting back to apple quickly because I know on the Monday after. They said they were going to sort of be hurt. By what's going on. In China. The stock was down. I think five dollars from three twenty one down to three sixteen and we commented. You know it's surprising wasn't down more the next day the stocks making an all time high. We had a conversation on the desk. All of us here saying you know what it's not ridiculous to think that at this stock should re-test to eighty well nowadays retest. It got much lower than that but it did it on almost two hundred million shares over the course of two days. This is the stock that trades thirty million shares. A day. So I hear what everybody's saying and I'm not saying Russian by it but if you're looking for something to trade against those two days with extraordinary volume are as good as anything on the downside. Okay good conversation. There Annapolis had a huge day. So much more to do on this monster Monday up next the one big group that mostly whiffed in today's record move what it is and wide might be worth a second floor for you. There's your mystery chart and then wells. Fargo's Chris are retold investors Friday to start buying select stocks. Seki he nailed at least for today. He'll join us again. A reminder you can always watch us live on the go anywhere on the fast money. Cnbc APP we're back right after this. Today's uncertainty may cause you to question your investment strategy but with my perspective and investment solutions. We think it's possible to stay on track toward long-term goals with Janice Henderson. Abandon Dance. Not your financial goals. I welcome back to fast money. Let's now get you the very latest of the virus outbreak the toll here in the United States rising does now stand at six with one hundred five confirmed cases. Nationwide in the White House is loudly calling on big Pharma to step in to try to help make drill at CBC HQ with more. Brian the president and the virus task force meeting with the CEOS of major drug and vaccine makers regeneration Gila K Madonna and research chiefs from Pfizer. Jj Sanofi Bester. The president trying to get a sense of timelines from these companies. We spoke just now about that. With Sanofi Pasteur Dr John Shiver who had just come out of the meeting. We hope to have a vaccine in the clinic within a year or so it hopefully move quickly into development past that towards the product as we all see how the you know. The the outspread of carnivorous changes or grows and are aiming javer is asking the president if he'd consider allocating additional funds to the pharmaceutical industry to speed the work. Trump jokingly responded. The industry has too much money already. Underlying some of the tension from a president who's persistently attacked the industry for its high prices saying they're getting away with murder now depending on that industry to speed vaccine or drug to market Brian or Joe. Thank you very much so guys. Let's talk about some of these biotech names and and let's be clear. There's there's I. We made screens. There's two different types of companies. Here guy there are the gentleman's the Gilly ads the Pfizer's these are huge. Companies that have real research scientists in the stuff and then there's the small super micro caps that are being traded by traders around this. Yeah be careful out there and I'm GonNa Avoid speaking about any of those microcapsule we'll talk. For example Gilead Gilead was headed higher before krona virus. If you go back and look this is sort of the tailwind for them on. What had been a story that was improving with a balance sheet. That had been improving. Gilead makes sense. Think five to your point. Pfizer had been beaten up. That makes sense. Merck's had a move from. I think ninety five down to seventy nine. That stock is bounce. That makes sense ally. Lillies its own animal. So I think big cap farmer despite what the President says about them being too rich ripping people off paraphrasing. I still think those stocks are fine and again in terms of a vaccine for this the talking about something a year away. Hopefully this is going to be long over before that quickly. There was a scene if your call top gun with Tom. Cruise up on ready five and one of the guys came and said it's GonNa take a few minutes and the commander on the ships said an expletive. This'll be over in two minutes. That's the same thing here. You don't have a year to play around with this guy. Your Egos cashing checks check. Can't they can't wait for top gun to coming out the side. Yeah Kill Gilead also step in and out of five billion dollar acquisition today. Forty seven which increases their presence in their oncology and hematology The issue with that for a lot of Of the annals community from what? I've read is that it doesn't necessarily move the needle on their twenty two twenty one billion dollar revenue line which is something that they're very concerned about and has been dragging gilead down because HIV are still things that are looked to be at least a drug pipelines. That are slowly dwindling. So again I agree. Biotech had been outperforming. This year had actually been along with healthcare place where investors were actually continuing to find both valuation and earnings. And I think they will if you look if you look at how they traded as well I mean it actually is fairly constructive. Bow Out the to moving average. It's had a very big day here. I think in this environment though. You can wait for this to break out about. What about above one twenty-five rather than trying to be a hero and buy it. Would you want to just go? The individuals are being regenerates up thirty seven percent in a month. You Got biogen of twenty one percent a month gilead up nineteen percent. Well I mean the IB gets you Gilead right and then the FBI also gets you biotech. I mean to me unless you really really are deep in the weeds. If you're going to be playing for some sort of vaccine or you gotta go with one of the innings okay. Well maybe the group getting hit the hardest and all of this from the Krona Virus. Outbreak has got to be the airlines. The sector's down within twenty percent in the past week many names simply missed out on today's record rally. The jets actually finished down a half a percent spirit airlines jetblue leading the losses. Tim Has the selling been overdone. And is maybe there's some value in this just absolutely crushed sector? I think it's overdone. In a handful of names and to be clear the entire sector should not be treated the same way and I think there's financial stress that will be coming through the sector Dan made a great point on Thursday or Friday. When he said this is a sector. That's been going in bankruptcy. A couple different types. I think airlines are on differently. I think Delta Airlines does not have the same kind of financial stress that an American Airlines and a much is much operational leverage in addition to financial. So people aren't talking about is where actual. Eps In the short run might be more than made up for by fuel costs now. I realize that's not a reason to reread airlines and in fact the market rarely does But I do think. In the case of Delta Airlines because of their operational leverage is one of the places where again the reduction in revenue per available seat miles razz them offset by the cost? Essentially on the other side is. Something isn't going to get a lot better for airlines in the short run but you take twenty six percent off of Delta. It is so so by the way just before he jumping carry. I did a report on that at the end of the year. Jet Fuel costs the Gulf coast. Two dollars and two cents a gallon at a buck sixty five. Today it's seventeen percent decline delta spent eight and a half billion on jet fuel last year so you take that you take seventeen percent off at least in the short term off that eight billion dollar number for American united and Delta. They all spent about the same by the way should balance out some of the pain on the loss traffic. And just say it again though. Unfortunately the market never does this for airlines. So I don't think this is the reason to go in and buy. I think it's basically look at the existing. Eps cuts in wonder where. There's actually a bit about your so for me. I'm long airlines. I always look for things that I want to buy. More of when they trade down and this actually isn't what of I mean I'm thinking about the most severe travel disruption that I've ever seen was nine eleven and I don't think this is anything close to that and the balance sheets is Tim said are way way different place however the business model is such that each new passenger is such high margin right. They have a lot of fix cost. And so. When you get all these cancellations or you're flying at very very low utilization is down dramatically. That's when you really GonNa get just crushing earnings that I don't know how quickly those will come back if this persists in the US for another two months. That's really going to start to eat into travel season which obviously is huge for the airlines. So I'm concerned about that. This is not a a one where they all went bankrupt. This isn't that but I am concerned about the business model and how quickly when capacities down and gets crushed right good stuff there on the airline's group to watch. I mean they have. The market's really turned any kind of significant corner. Risk of the strategist. Who might have gotten ahead of this rally? Plus a ten million investors today missed out. We hear you robinhood investors and we've got more on the story about went wrong on the single biggest point gain in the history of the stock market and millions couldn't participate. Kate Rooney on that and we're back after this this CNBC podcast is brought to you by td Ameritrade. Do you wish you had a second opinion before placing trade with a strategy gut check from td Ameritrade trade desk. You'll get a second set of eyes on your trade idea to help you make decisions with more confidence. Their team of experts is available to help you. Weigh the risks and potential rewards. So you understand the INS and outs of your trade to learn more at contact the trade desk at td Ameritrade Dot com slash trade desk where smart investors get smarter member. Sipc walk too fast money. If you're just joining US history was made again today on Wall Street. Incredible the Dow surging five percent. That's twelve hundred. And Ninety three point gain it is the largest point gain of all time on a percentage basis. Not at the top. Hey not bad. Today's bounce back comes after the market hand in its worst week since the financial crisis last week so the question is very simple. Today's rally all clear for your money's bringing Chris Harvey Head of Equity Strategy for Wells Fargo Securities on Friday. Credit credit is due Chris on Friday. You start advising clients that they could start to selectively nibble or AD positions on names like Visa Mastercard and American Express. So good job there but one day does not a rally make despite our use of the word. Do you still think there's more to go on the upside so I think there's more to go but this falls under the umbrella of by when you cannot what you have to add a five percent rally. It's hard for us to tell people to chase this rally in the short term. But we do think and what we want to do. We want them to leg in and leg and slowly so what we said at the beginning of the year is take risk off the table. We expected some five to ten percent. Pullback you've got that and now what what confused US early? This year's the Corona Virus. You're paying a five percent premium for access to the criminal buyers now on Friday you were paying ten percent discount. That made a lot more sense to us and we can argue about what that discount should be but at ten percent. That was a pretty good today today. Make sense to you and your team on the the beginning bounce made some sense the afternoon. It wasn't quite sure why things up the way they were again. We want clients to be disciplined. We don't want them to chase. We think there's still opportunity there be selective but over time. We don't know how the corona viruses going to play out and I think you'll have opportunities we go forward and it'll be more volatility and there'll be some downside so Chris I'm curious to hear saying on Friday to buy it's up five percent. Is that all you say. Maybe don't buy is that all you're expecting the death I mean. Why wouldn't people by no? That's not all we're expecting so if you go to our price target. You're looking at a double digit returns. Somewhere around ten percent but in the near-term you if you bought the low on Friday Europe eight percent in a very short period of time again. We can't tell you what's going to change tomorrow. What people are going to say? We know there's going to be volatility. We just don't want you to chase. We think you get a better opportunity and just be disciplined. Nobody knows how this is going to play out so late into this trade so right. You're not Tom People. Go Chase it but you're still it close to thirty three hundred for the year. Thirty three thirty three thirty four the things that made you cautious going into the end of the year and again. I would difficult to argue. The market was euphoric. Put the world's not only last year's not so great. It's a lot worse. How do you get excited about twenty twenty so a couple things one is? We're at one sixty six on her. Eps number on the street is coming down to us to if you look at the amount of accommodation of China's putting on the table and if global central banks do what a lot of people expect them to do they'll be a ton of accommodation on the table. I think colonel virus will be something temporary. I think when you look back in three months you'll be happy with the scores and I could actually raise my numbers in the second half of this year based on the accommodation base. What we what we see and you could possibly see a melt up in the second half of this year. So don't get don't be too fearful don't panic there's opportunity and there's value on the ground told me ask do you think today's rally already pricing in fifty basis point cut by the? Fed is that would that be disappointing? That's all it ended up being so I think there is. I can't tell you if it's twenty five until you fifty or one hundred but there is some short of component to central bankers. There is some sort of component to the quickey and accommodation. We'll be disappointed. I think they will but at the end of the day. We don't think this is a monetary policy issue we think the market's really need to trade. The markets need to work through this. The feds job is price stability and maximum employment. It's not price discovery and as we look at the situation. I'm not really sure how. Monetary policy helps the the real big issue for us is when credit markets. Start to freeze. There's a lot less liquidity in credit markets. But I think if you needed to bring something to the marketplace you could. It might cost you something but you still could. It's interesting. I mean price stability. You're talking about. That's their one of their mandates right except at the bond market the US bond mark for the last year's been the most volatile. It's been in history. This is the United States. We're talking about so. They're clearly failing but yet the market's still seems to think that they have this magic one that can support. The market's at what point I think right now sixteen trillion negative yielding bonds globally. When does it matter I think matters now I think on Friday in this morning and even last night people were worried? Where is the tenure going to stop is GonNa stop at one percent? Are we going to go to seventy five basis points fifty base points? People are still worried and I think rightfully so. I don't know where it stops. That's why we're talking about. Hey Be disciplined. Be Patient late into this trade. The risks are still out there. Things can open up. And maybe you get a better opportunity buying them lower. We don't know but to answer your question. Yes it's still major. And I want to be perfectly clear because you guys said Nibble at Visa Mastercard American Express stocks six percent today visa after hours did cut its revenue projection by a couple of percent. Are you still those stocks? So what we're recommending is credit card in processors and it's really the theme and the theme that we're investing in if you look at these. We want higher quality names higher quality. Names WE WANNA stocks that were down double digits. They were down double digits. In a short period of time more importantly they pre-announce we want companies that pre-announce that means they're in top things that makes them to us investable and that means that the management teams. We have a little bit more competence in the management teams. Okay Chris Harvey was far. Chris was a pleasure. Thank you thank you for coming on all right so guys I mean you know. Listen I I think this today was such A. I don't WanNa say confusing day. But even Chris kind of sadly they just didn't on these are some of the smartest people business really understand a twelve hundred ninety three point rally the acceleration especially toward the end. Well can I quickly? I don't WanNa get too wonky on this but you know when volatility spikes like this you see moves like this and it we in the business we used to call it bad. Greek or negative gamma which means when you're short volatility you got to sell on the lows and you got a bye on the highs and that's happened in spades over the last couple of weeks so with a vix At thirty four work clothes today. I hate to say it but you can see more of this. Hold on their guy. Saddam icus me a negative in English. In when you sell when you sell an option you get paid to sell that option when you on the other side of that coin is you incur the risks associated with that although you get paid. There's a risk associated with selling that option and it's manifesting itself now with vicks going from fourteen to forty five closing at thirty four so now you wind up chasing and they chase on the downside by selling and they chase on the upside go back on Friday and look at some of the moves we saw Thursday as well when the SNP out of nowhere. Rally sixty handles only to give it all back like this. That in France is negative. Gamma and I'm sure they'll talk about it Friday at five thirty on the award winning Options Action Guy. Thank you very much all right. How many now the White House holding a briefing on the Corona virus? Of course we are monitoring it for you if there are any headlines pertained to vaccine to specific companies to the economic impact. We will bring those to coming up the big battle `boring over the future of twitter. Tell you what set shares of that stock flying high today later on. Why options traders say. Now it'd be a golden opportunity to get in for gold. Explain what all right. Welcome back to what was indeed a monster. Monday huge start to the week insert adjective here stocks surging to kick it off the Dow rising twelve hundred and ninety three points today. The Nasdaq posted big gains up. Four and a half percent. One tech stocks really took off in today's session but for a couple of reasons. Twitter shares jumped nearly eight percent. Probably part of that was of course just getting caught up in the market rally. The other part Elliott management the massive hedge fund. Making a move on the company. Julia Boston is in. La with more on what is sure to be a twitter fight for all time. Julia Well Bryan. Twitter shares soaring on the news that the act of investor is looking to oust CEO. Jack Dorsey close to the situation tells me that Paul. Singer's Elliott management is concerned about Dorsey splitting his attention between twitter and square in about his plans to spend months this year in Africa. That's worth says Elliott has taken a more than one billion dollar stake in twitter and has nominated for new directors to the board. No twitter Elliott have no comment but that source tells me that talks between the two parties have been productive now. Elliott can target twitter unlike facebook or snap because twitter only has one class of stock and Dorsey does not have voting control over the company. Now between win Dorsey returned as CEO of twitter. In Two Thousand Fifteen. And just this past. Friday twitter shares were down. Six percent started plummet more than twenty percent after reporting disappointing. Third Quarter results back in October now ever court weighing in on. Elliott's move this morning. Upgrading twitter to in line from underperformance and raising its price target on the stock to thirty three dollars record predicting that Elliot will either pursue cost cuts or could install. Ceo that could increase profitability. The probability that twitter will be sold now. All of this news comes as twitter. Dorsey cancels his speech south by South West scheduled for about two weeks from now as the company bans all non critical travel due to kron virus. Brian or Julia Borsen. La Julie Thank you very much anybody buying or owning twitter just based on the Elliott fight. Well no no owned it before that twitter just had its best quarter ever. I would argue in terms of daily active users in terms of their revenue profile. And this was after a very disappointing previous quarter so I like twitter. I voted for a long time and I've recognized that that I think they've had trouble truly monetize but I think there's there's real progress there and there's absolutely a key brand now. The the thing about Elliot is that they usually say they're stepping involved and they have a whole litany of things that they want change. They haven't said anything here. All they've they've said is they want a new. Ceo who focuses fully on one company. And that's interesting and obviously they they benefit just by saying that it is crazy right. I mean th that. He's the CEO of two companies and square has sort of. He's able to get away with it because square has done phenomenally. Well I mean it's been an extraordinary homerun. Twitter on the other hand has really sort of bounce back and forth for years and then then take it on and say all right. I. I'M GONNA move to Africa half the time. It is so crazy. There's no other coach you. It's absurd there's no other country the US people get a lot. You know the yell at CEOS who live in in California but they work in Texas and they commute on Mondays to Thursdays or whatever it is this is insane now apparently saying that. Africa is where the future of the business lies. Maybe or or that could be. It's just the board at twitter has sort of gotten away from they've of been somewhat anonymous and that's no longer the case and their most important job is who is the CEO of this company and I don't know that it would be neat to see you. They need a fulltime CEO. Yeah I think they do. Who's not living literally continent away correct. Yes Elliott might think also. It's good when you work in a company you want the CEO to physically in the Office. So you can avoid him or her as this was also a relatively easy target right in that the fact you have a CEO. That doesn't have two jobs. They doesn't have a vote he can't block it and you have a stock price. That's down so to me. This was more about Elliott looking saying hey this is an easy target where we might be able to pick up a couple of percentage points if we go in and move things around rather than it being you know a condemnation of Jack Dorsey. Okay good stuff coming up trading trouble. How big technology problem? Possibly ten million people missing out on today's record rally. We'll give you enough on Robin Hood and what went wrong. And here's a look at our Kramer Cam. Jim is breaking down his thoughts on today's big market rally. A lot still left do mad money. The top of the hour. But we're backward up this all right well. It was certainly a record day all around on Wall Street. All thirty Dow stocks higher on the day. They closed up twelve hundred ninety three points but many investors millions in fact maybe left in the dust unable to trade. Let's find out. Why with key Rooney Kate Very? Hey Brian an outage at robinhood forcing traders to stay on the sidelines today as markets rebounded the startup which says it has ten million users announcing technical issue right around when US stocks open this morning. Equities Crypto and options trading at Robin Hood as well as Bang Trent transfers were unavailable through the close on Monday company telling users they're continuing to work on resolving this n apologizing on twitter but the startup getting a flood of questions over if and when they might compensate traders for any losses one factor possibly contributing to this and other recent technical glitches could be higher than average trading volumes. Just last week we had fidelity Charles Schwab and TD ameritrade saying some clients had issues making trades. Those issues were resolved within a few hours and didn't affect all clients. I spoke to a few legal. Analysts who say this length of outage is unprecedented and will likely raise the alarm for regulators as one former. Sec official tells me if you're a broker and people can't get a hold of review. That's quote a big problem Brian to you or Kate Kate. Thank you very much so I mean listen. What Robin Hood is a free APP? It's a free APP. Still GonNA I mean the red threads on this art colorful. I'm most Reddit. Threads are colorful. This is in the bucket of fintech right. But and and the kind of Silicone Valley. Ethos is move fast and break things. The problem you have is your now in a regulated industry. And so I think that's exactly right that I think the regulators are going to have to take a look at this and say okay. That's great that you've built this APP. That's free you're selling your order flow. That's how you're getting paid but you have to say if you're opening it up to the general public it's gotTa work on days like today or days like Friday so I think that's probably the biggest thing here with okay. There you go coming up gold getting a big bid on this record market day were options markets. Say that gold maybe moving now and be sure to tune in to our ongoing coverage of the wild ride on Wall Street and where we stand with the very latest on the corona virus a market turmoil. Special tonight seven. Pm Tomorrow on. The upside really was a gold medal for the market so that included gold as well the mettle rebounding in a big way after a huge plunge over the weekend over in the options market one trader is making a mega bet. Gold's rally is just beginning. Let's find out what kind of debt that is. Mike Cohen San Francisco and the options action. Mike so gold commodity futures we saw call volume outpaced put volume by about two to one that's consistent with the bullish activity that we've been seeing in the commodity over the course of the last twenty trading days or so. Most of that activity was concentrated in the June. Seventeen twenty five calls in that included a purchase of nearly twelve hundred of those calls. The buyer spent seventeen dollars and twenty cents in premium for those. That's a bit of approximately two million dollars in premium that it will rally above that seventeen thousand five strike price that would represent an increase of about nine percent for the metal by June expiration which is actually in late. May because these are futures all right good to know their. We'll watch that closely for more options action. You can tune into the full program which airs every Friday. What Time Guy Thirty Bryant there you go eastern by the way up next your final trees treat time to kick it off with Eliot. I'm long twitter. And if you look at the stock off those lows that last quarter numbers it was a billion dollar quarter for them. Good for them so in this market. I want things that you have to spend money on. Cybersecurity is one of those crowds strikes W. Yes alibaba. Liked way tongue in there. I think there's more applied to guys. Saddam we have to say recipes. Jack Welsh great man great. Ceo's been on this show Delta Airlines major double bottom of forty five all right. Thank you all. We'll see tomorrow night. A big big mad money. Jim Starts Right now this CNBC podcast is brought to you by TD Ameritrade. Do you wish you had a second opinion before placing a trade with a strategy gut check from td Ameritrade trade desk. You'll get a second set of eyes on your trade idea to help you make decisions with more confidence. Their team of experts is available to help you. Weigh the risks and potential rewards. So you understand the INS and outs of your trade to learn more of contact the trade desk at td Ameritrade Dot com slash trade desk where smart investors get smarter member SIPC.

US twitter Tim Seymour CEO China apple Cnbc Fed TD Ameritrade Chris Robin Hood Brian Delta Airlines Europe Chris Harvey
4: Roy DeMeo (Part 2)

Mafia

38:48 min | 1 year ago

4: Roy DeMeo (Part 2)

"Previously on Mafia Roy demeo and his crew had made a chilling for murder by becoming the Mafia's Goto disposal unit. It they had gained respect notoriety. He'd taken any contract like I said he took contract into the West these which made them to the website. So Much Shali the money up to Roy Roy was kicking money up to Nina. DEMEO had his hands in the stolen car ring as well as in pornography and drugs Roy was the the person got things done on the street he was the earner he was the one that was involved in the business and was the one to see that. If there's any risk the business he can roller sleeves up and be weapons necessary to protect the family but the beliefs were starting to take notice and the male or one of his crew was bound to make a mistake. Chris Harvey Rosenberg what he was going to be made man and this we never happened. This is Mafia. Most of the victims of the murder machine had been discreetly disposed of their bodies hidden in the massive Fountain Avenue Landfill but there was one very public murder. Andrei Katz Walter Mac. A prosecutor at the time said investigating the mob was frustrating. strating so I mean I don't really know nor did we expand much time and effort finding out you know why a successful prosecution of those people You know wasn't able to happen because it was a pretty wild place. In which law enforcement was not widely widely respected and and people like demeo could could function pretty much unmolested. Much of the police force was not interested in investigating. Cats is murder any any further but detective Joe Winding was convinced. There was a connection between this murder and the rampant car theft. Cats had been a car thief after all and I always went to my boss and sometimes I had to get Donna has a niece. Begum is so. Let me look into the homicide site. He says Oh. Why do you want to do that? is going to create a headaches within the borough because it means going out to that detective precinct and asking. I'm for all their records and they don't like to do that. They don't like an outside agency coming in winding a detective with the Attorney's office rather than the Nypd Wipe E. D. was not taken seriously but the auto crimes unit at the NYPD was overstretched and the FBI were not interested in localized car. Our crime with the authorities out of the picture. The mayor's Criminal Empire boomed seventy seven thousand in cars were stolen in New York City in nineteen seventy four alone by nineteen seventy nine. The carjacking empire was now national it was was known as the Empire Boulevard operation that the the caught deaf this is became so lucrative. So what they would do is on their fictitious name rent a factory warehouse opening up and the skeletons the cost for being place in it and then just let go and then all of a sudden little little crime would be notified. They gotTA warehouse. Skeletons is nothing. They can do. All the pause who've gone by that time but detective winding was still determined terminate to explore the link between car thefts and the disappearances finally he was given permission to investigate the blessed granted. Me My favorite. I developed an informer that said look at the amount of Cotija disappearing. He says it's the test this and killing them. What after another? And basically that's how we started and the main thing that got everybody's curiosity again. I come back Andre Cats lost I think they're cutting them up and that's what we're not funding and he says you want to go with that Go ahead and we did and as I started Developed is informed who says it's all stemming from the stolen caused wendling informant had given him an idea as to how things might connected but still didn't quite understand then he got lucky he met someone who had been working on car thefts in Queens so when they sitting down for examining Queens. I sat down to kind of introduce himself as a cop. Works Crime Right. And this is Jon Murphy. And in talking with John We found that we had a mutual interest both being in the Marine Corps and I told him you know I gotta in a car situation that they're involved in stolen caused but I don't really know what they're doing how that organization works as can you who explained to me and he said sure no problem. I had a cup of coffee with him. I sparked his interest especially when I named the place and I went up his office. We talk down to his boss said listen. I'm involved in this. You're in Queens Brooklyn. Can John John Work with me on this and we work together on this. Because I think he's GonNa make you happy as can make my boss happy. I'm involved in the murders. You're involved in stolen. Car will get his eighty so. Let's cut the Pie and he agreed. The mafia life is intense with all the money laundering and hitch ops. So sometimes I need a break from that dark world but I. I don't want to do something mindless so I've started playing best fiends. It's a game you can play on your phone but it's casual not intense meaning that anyone can play no matter your skill or age and it's not mindless at all it's challenging and there are so many levels. I don't get bored or lose focus and far from the dark underbelly that I usually talk about. This game is bright and colorful. There are are a lot of characters to that are all bunks. It's a matching game and the matches. You may give your bugs special abilities. So you need to strategize strategize. Who would be the best in your own little gang? You can see your rank against your friends to and let's just say I'm making my way up. The latter. Those on the top should watch their backs. Best fiends is as complicated or as casual as you make it and you can in play as long as you have time for there are a ton of characters and there are monthly updates so it always has something new. It's free to download and you won't owe anyone a favor. Engage your brain with fun puzzles and collect tons of cool characters to with five star rated mobile puzzle game on Indianapolis App Store and Google play. You can download best fiends for free on the apple APP store or Google play. That's friends without the our best beans wendling and Murphy contacted the organized. Crime Task Force of the Queen's District Attorney's Office to help them. They found that one of the Queens Detectives Kenny McCain had a detailed knowledge of the local Mafia Kenny was the intelligence officer of the DJ's office. He maintained all the organized crime files. Kennywood toes who boys who they're talking to him and he dente fi all over the place as the three detectives used their different skills together to get the information they needed. When Kenny went out with us you know? WHO's that caught WANNA know watch? We'll find out when a guy that uses left hand turn directional to make turn Dr I pull the car over we. All we all identified as House said. Let me see your driver's license and registration vehicle. Oh Oh by the way you in the back seat it out and we made them get up and take them all down a fire escape. See how it is easy anytime we WANNA go out him Cam. Do 'cause that's what we do and this was like in her. This has gone one step out. Detectives don't do cost us but we did it because because we found that tremendous useful tool but it and they got annoyed. I mean we stop one guy so many times he actually is keys up in the air and it said lock me up you do something but start these car stops because it also looks like you talking to us and that they didn't want to look I hear you talking walk into us. You will be killed within that. We Kenny informed winding in Murphy that the local Mafia hang out was the Gemini Lounge and it was owned by thug. Roy demeo who was also involved in Car Crime Joe. Coffee is a former NYPD. Detective my loans was a ballroom where the auto crime individuals hung out. That was their place. CINTRON AC- Brooklyn which is right near the ironically the Fountain Avenue Dump and place. Would you says the headquarters where the males crew which included several guys will auto crime individuals. Some of them are involved in selling narcotics and they're all involved in order crime and murder at the behest of the male. The detectives suspected that the club club was not just a local hangout but a Mafia headquarters without a warrant. They couldn't search the property. Meanwhile meanwhile the mail return to business. As usual. After the death of Rosenberg. He remained popular with Gambino family boss. Paul Castellano because because of his specialist skills and because he was making a lot of money and boy was one of the biggest money producers. I mean he he was. He was on a board of Credit Union He had pornography and he had a tremendous launch a book out the estimated million dollars. In fact DEMEO was so important to Castellano that may have saved his life in late. Nineteen seventy nine to Cappos a father and son James Epa Lido and junior came to cast Alana with a complaint demeo Mayo and his boss Nino Gach e were involved in drug running in the Mafia. This transgression often punished with death. But castellano no no sided with gadgets and DEMEO and instead ordered the pair to kill the EPA Lido's and he wanted was sent down the Nino Gadji kill so Nino trusted his right hand. Man is top. Kill Roy so they sit up a meaner widow. Father and son had them kickoff but the father realized this is not going to turn out with that is Roy turns around and shoots the Sun and Nino shoots the fog and cloud with five go off balance enough to lingerie drops windows open. Unfortunately a local off duty policeman was driving by and heard the gunshots. What's loud and clear Sajjan trying to raise money in his off hours driving a cab sees a flash everything stops ones big shootout. Our Nino get shot. Boy escapes the male had made it out of the shootout Magaji was not as lucky. He was shot and arrested. Aw Gadji had bribed his way into a reduced sentence from attempted murder. He was later convicted of assault much to the frustration of prosecutor. Walter Mac the. I don't know that it's fair. I think in many ways the DEMEO crew was successful in in Overcoming the criminal justice system in the states for that case law was worthy of every effort that Demeo crew could bring to bear to to frustrate the system and Patrick Penny. who was the witness was one of the witnesses base he was killed in shot is haunted out and kill it was extremely frustrating for the FBI? DEMEO AHAH was skirting there every attempt to get him and the carring off the streets. Then they made a key breakthrough in nineteen nineteen. Eighty a customs official working. Docks spotted a consignment of cars destined for Kuwait. It looked like the cars have been stolen and given new richest patient documents. The intelligence quickly led to a warehouse. Here's what the crime cartel would do in the city and it's still being done on a limited basis because it's not as much caught up to the she used a bit and it would steal and constantly airports and if somebody in Kuwait wanted luxury American car they would still on order the exact call they wanted to model the in all routine and ship at the wait at four times the price that you pay for it now if they wanted when he had these cards they go over there American luxury 'cause or even Jaguars is which wrangled pause and he looked. We need parts for eventually. So would they started to do that. We're still a carson chop them up and sell the parts at ten times. The price very lucrative vessels the FBI raided define that it was in fact. Full of stolen cars a fingerprint. At the scene pointed to the DEMEO crew interest. Show you the scale of the case. I mean this this was this now became an international case. I mean this guy is such an entrepreneur of stolen. 'cause I mean you might say what he did for Mirdha Oughta. He did the same for 'cause he was a Mafia family. Not only selling stolen. 'cause in Brooklyn but shipping them out to another country country. I mean this was unheard of. Nobody could be that organized to do that. And that's why at that point in time it became very interesting to everybody and everybody wanted a piece of cake. The sheer scale of the Empire Boulevard operation got the law enforcement much more interested detective winding says it was now that they started to more diligently look into the possible connection between the thefts and the murders the the The murders crew. The Detective Bureau decided to send their liaison to oversee the investigation as it grew internationally. It was no oh longer in the capable hands of the police department. We had to bring in the feds and it was only certain feds. That would come in because we'll to run the name by us. We knew of the person person had a great reputation. And that's how I it really took off them by nineteen eighty two. The pressure on Demeo was stepped up. A new task. Force moved into offices at Foley Square in New York to take over the case it was headed by top shot. Shot Prosecutor. Walter Walter such a total attorney when he develops the case can't you after he's developed a case he then tries to focus has defense attorney and he goes to his own case apart and when when he starts ripping apart he gives instructions to all right so we do get fixed. This we gotta get this more information on this. We gotta do this and do that. I mean the man just throws himself into a case how would his full sole Mac was put in charge of getting the car wreck in case together. Mac says his main task was to bring all the crime agencies together under one roof of federal state local we'll city investigators all of whom remain very good friends who are still with us today and others passed on who felt that this was a labor of love and he was a commitment to the victims. The moms the husbands wives brothers or sisters that it was time to bring justice to the situation situation. And that's what captain gone. As Matt continued the investigation. It became very clear that what had started as a large-scale car. Crime case was turning turning into something much bigger and what happened in the next. Six months to year was an extraordinary combination of motivated investigators. Instigators some of whom I never would have met under any other circumstances many of the local prosecute local investigators Who felt felt strongly that the individuals in the crew had evaded responsibility for truly heinous acts and they were looking for some means means and mechanisms up perhaps drawing altogether slowly and surely Mac and his team were building the case against the DEMEO crew two members Richard to nome and Henry Borelli where arrested for the car theft ring demeo allegedly told them to plead guilty Z.? As to close the case. But that's not what happened but the crew at that time was so. Oh paranoid about that. Somebody my cooperate that he and I think it was two or three other individuals who shot and killed in their home light the week or so later. Ten days days later as waterfalls down the crew was getting suspicious that everything would come crashing down and that someone would turn on them and Someone did Being in the mafia stressful. So your job doesn't have to involve illegal activity or flying bullets to be stressful and chronic. Pain can impede you from doing any activity to tell the truth getting into the weeds about some of what the mob is done was starting to affect my sleep. And so I decided to try feels also feels is a premium. CBD that is delivered to you if you've been curious about CD. It's been known to reduce stress help with anxiety Zayed's and relax you enough to go to sleep without any high so you can still function and keep a clear head for me. That's the key. I want to be calm at work but I still need to be able to work. CBD is a new world so feels as a lot of support from humans. Let's not robots so you can find how it will work for you. It's easy just a few drops into your tongue and you'll feel better soon and feels. This has a guide for dosage strengthened effects. If you become a member you'll have it delivered to your door every month and you save money you can save even more money on membership today by going to feels dot com forward slash mafia to get fifty percent off your first order and free shipping shipping. That's F. E. A. L. S. dot com forward slash mafia to become a member and get fifty percent off automatically taken off. Your first order with free shipping feels dot com forward slash mafia in nineteen eighty the FBI received a phone call from a new informer identified himself. Only as Harry soon enough Harry was revealed to be Vito arena with formerly been part of the DEMEO crew as a car thief Joe. Coffee was sent to deal with arena himself yourselves. I get a phone call friend of mine knowing what. I'm investigating regarding the organized. Crime Hits knowing that'd be to arena was part of it. It says they got beat over in jail in Brooklyn. If you get them tonight he's going to be a wealth of information arena and his boyfriend. Joey LE- left left the crew. After facing discrimination the crew were largely homophobic. They returned to their life of armed robbery. Not long after after that the two were arrested at a stick up and arena decided to play the informant. And we'd take him into Manhattan and a Sunday Monday night when nobody that except the US attorney in us and we sit him down and we tell them what we want. We want only information about the chop shops and homicides long story short. We say to him we tell him what we want and we ask him. What do you want any time? He says I don't want anything. They retired as a homosexual and said all I want is to be in a cell with my lover. Joey lay so I look at the. US Attorney looks. That's an easy. One can condone that very easily. No money involved no freedom no nothing arena began to tell detective Joe Coffee and prosecutors about the intricate murder machine and they're jaws dropped anyway beat arena sits down for the next week and a half and fills us in on every homicide that and how they did them how to cut the money so to the extent where he even told us that it's easy to cut a body up. He says the hottest part of the body to cut is the elbow the boiling grizzle around the elbow is the easiest part of the body. Chop up is the head the head snaps off like a pencil with somebody's telling us and we're like an off. Laura this guy. We never heard anything like this life and he tells us all about Roy. The Mail Roy demeo being a guy behind situation arena wind all in an an offer to bring the detectives to the body of one of demands victims. Joe Scorning Vitorino was part of the head. natty kill Joe. I was going because they're afraid he was going to become a rat. Xanana Connex problem so they lure him shopping and they bring them in they kill them and they put his body into a fifty five gallon drum and put them in and his head was sticking out. I it couldn't get the head down so it took a shovel and chopped his head off. Chop this idol was in the barrel and it took the head and put next to the body. Then fill the gap to the five Gallon Drum we concrete covenant. Put It on a truck and drove a long island to little place called mastic beach Shirley Long Island and put the fifty five gallon drum into the water. Now we're getting this information three years late it so I'd take my troops and we go out to Shirley long island beaches and we bring on New York. City's police department scuba take. This comes up about ten minutes lead. Says There's about twenty to fifty five gallon trumpers which one is the one you can move so he finds it and by this time. The concrete had dissipated from the salt water and he finds the bone in the trump. So we gotta wait three hours for the medical examiner you finally comes now. Vito arena had given US description seven of this guy. Joe Scorning refined. The body was a little skeletal now. And there's a boundary jacket Hungary pants and a woollen Shakhab. Ah The unprecedented find helped. Detective coffee solve multiple disappearance cases and as a result mm-hmm detective wendling was sent to the gym. I lounge to confront DEMEO. The idea was to intimidate him into either confessing or to turn informant so they knew Roy was involved in so many murders so many things that he could he would be a wealth of information to police but DEMEO would not be swayed instead. He tried to bribe the officers wasted. You can take me down guys your old time is what do you want here. Lousy million dollars Swiss bank account wife's name name give me the former goal like king said thrown around. Roy and I said as soon as I take you out of truck ca-car it's become what us and I'll save your life. He said I'm a good soldier in the mob. Bob How many call me. I'll go like a good soldier as his okay. I'm looking ahead to Yadda Chunky UCAR masterminds evildoers. For every hero. There is a villain the new podcast villains the PODCAST network highlights the psychological political and emotional factors that spawned both real and fictional villains. Every Friday villains focuses on different real or fictional evil doer for fictional villains. You'll delve into the social influences. That led to that character's character creation for real villains. You'll learn the true story of their dark deeds and hear what drove them to evil. You'll hear episodes on a variety of bad guys from the Joker Charles Manson to vader and Pablo Escobar. Some are fictional some real. But ALL VILLAINS FOLLOW VILLAINS FOR FREE ON SPOTIFY or wherever you get podcasts or you can visit our cast dot com forward slash villains to listen now with the case coming together well and evidence building up it seemed like it was only a matter of time before demeo would have his day in court art along with the rain. Were two other key. Witnesses Freddie denault brother of Ritchie and gadget zone nephew. Dominic Montego cleo dominic as was the nephew to Nino Gadji now. What Nina would do was if he wanted the message to deliver? Live it down there. We do just nephew dominic. and that's how dominic went down and he got involved with them and Nino thought it was a good place the his son to start to learn his nephew to start to learn. The trait and bombing was not only inform not make with an eye witness. It seemed like the evidence was stacked against him but as the trial date approached. Roy demeo went missing. The police searched for DEMEO. Informants said he was last seen on the streets looking paranoid and heavily armed then a call came in the males Cadillac had been found dumped in a parking lot behind the boat club in Brooklyn. And I said when you find Roy which you're gonNA find us on in opening trunk until I'm there. He says no problem so they said they found Roy's caught bringing into motorcycle. Call me here at the House I says I'm on my way the own pop that trunk until I get there. I told him I take him out of the trunk. And I WANNA live up to that popped. The trunk was frozen to Chandelier and I said man what a tribute to us they kill them. They kill this man Russians or the Mayo died the way you live as a street rat and a fetal position and a trunk talkable car demeo had been shot seven times and left in a freezing guard for a couple of days. The obvious question who might have carried out the hit for the law enforcement team the Gambino boss. Paul Castellano was the man with the most motive roared. The mail was killed because Paul Cassell decided he was a liability. They realized we were getting close to them to the male and they thought that we were able to arrest them and it costs a random and turn them into an informant. Here would have bought the whole empire about Castellano was right to be afraid even though he was did demeo had left plenty of damaging evidence that could bring down the family and with so many former allies turned rat. He couldn't risk any more exposure. When these mob people in these stone killers like the mail on done away with by homicide homicide by accident however it happens to me? That's David Celebration. But in my business it was more conducive to our goals goals to have them live so we could all make informants out enemy go to the next step. So the only the only Moore's I would have about finding scumbag. The mayor dead would be that. We eliminated him as an informant. There is no sympathy or empathy. Or anything like that from anybody. Buddy and law enforcement include myself it is still unknown who exactly pulled the trigger. Many believe it was the notorious Aureus hitman Richard. The ICEMAN Kook Linski other reports say Castellano gave the order to demands own crew members or it may have been Gadji himself soon after the task force raided the Gemini Lounge even with the Rina's testimony about how the murders were carried out. They found was still shock so based on the information that we got from all these people we went to the courts and we got a search warrant. The search wants searched on premises about a palm. Now we go in now where I hope the Internet apartment and we're working on the information I was given to lose including the bodies will cut up in the bathtub and the blood was drained. The NABET TUB so we whip out all drains put the we call up people in and we'd take the best one upon and in the drains found the but blood never goes away country. What am I see on television? The bled if blood is in pipes and wall all the blood will remain there forever and identifiable so really dude I. We're able to match the blood with the victims and criminals and Overton. I thought we met all case. This evidence led the team to males boss the case evolved into US versus getty and Paul Castellano. Despite despite now being the head of the Gambino family wasn't safe either he too was called to face trial and liked a male has ask Solano would make his court date on polecat. SELENA was murdered and the way he was murdered is interesting. He he was on trial for the actual case involving Gadji Joey testing and the whole crew in the mail and everybody and and He was in court and on the restaurant so conversation in the hallway and during the course of that trial while he goes to his lawyer's office and sitting the offers to have the conversation about the taste. That's going on in the Federal Court and he heads to dinner. Castellano was said to have dinner at sparks. Restaurant in midtown Manhattan but a hit team was waiting outside so it was a setup they bring them up there and they whack act on getting out of his car. The hit was widely attributed to the next boss John Gotti but with Castellano gone it was the remnants of the demeo crew and Gadji who ended up standing trial for the remaining murders including that of car thief. Andre cats this case who's not some case. That was built overnight Donovan. A week was years of investigating talking to inform his sending guys to Kuwait and with the hard work of Walter Mag magnificent case. It didn't get the publicity. Should've the Ganji was found guilty of the car thefts and went on to be prosecuted for the murders but it was Demeo who had spearheaded the whole thing and though the trial was for twenty-five count murders only a fraction of his murders. Have ever been solved. The truth is we will never know the real number. Roy Bragged about one hundred and fifty individuals. And I would say we're somewhere between one hundred fifty to two hundred is probably all the inaccurate number and you know we had people call us you know about their daughter that disappeared. Hang on at the bars or stuff like that you know and as to which we had no information and and You know it was one of those situations where I think. Roy was extremely efficient and vicious in protecting his turf. And you know as happened many times numerous times people would be killed because they happen to accompany a target the crown as far as giving victims justice. That's kind of nebulous. How can you ever accomplish that? I'm of the school thinking that there is no such thing as close for the families of victims boy. The Mail was as guilty of serial killing as any serial killer though have had in this country including the son of Sam David He was a serial killer he kill more Woah people and David Berkowitz he called. Kill more people than Ted Bundy did not only did he kill them. He cut their bodies up and the chain them mm-hmm than the humanity for this was a vicious evil human being. If you could call him a human I wouldn't even call him that in the next episode before they were gangsters before there was the mafia there there was one hustler who found that the way to make money was to have his hands in all the pots but rosty was probably if not the first one one of the first true realize the Economic Opportunity that prohibition presented to him and thereby other criminals as well. So you're talking about somebody with his involvement in every single step of illegal alcohol trade which is every single stab offers you of course. More prophets became very rich very quickly. Arnold Rothstein was known for his clever tactics and personal style. He was not a crooner. Violent person made his way in the world. He was the kind of man who had the skills to be successful. The upper world probably a hedge fund today and also for one of the most lucrative sports gambling fixes in history history. The story goes that he is approached. Talk Man the Derby Smoking a cigar one night on the street. He said if you know what's good for yourself and you know what's quit for Mrs Williams you will lose that game and you you will lose it very very neural. And that is

Roy demeo DEMEO Brooklyn FBI Nino Gadji prosecutor Paul Castellano murder Walter Mac NYPD Chris Harvey Rosenberg US Attorney Manhattan Queens Kuwait New York City
Fast Money 01/10/19

CNBC's Fast Money

44:26 min | 2 years ago

Fast Money 01/10/19

"Do you love? Bravo. So do I I'm Megan cigarroa, host of the daily dish Bravo's official podcast in each episode. I'm breaking down the biggest moments of the show. Plus, I interview the Bravo leads at the center of the drama. Subscribe and listen free on your favorite podcast app. Starts right now. Live from the NASDAQ market over looking New York City's Times Square. I'm Melissa Leo. Traders on the desk or Tim Seymour seagrass. Oh, Dan, Nathan and guide Dommie tonight on fast patience Powell strikes, again, the venture managing the markets. Calm we'll answering questions about the easing strategy in Washington DC today, but can investors really trust the fed threaded? As Chris Harvey says there is one group of socks he hated until now you'll explain why this apprising group could be the big winner in twenty nineteen. We start off with a Macy's igniting retail inferno. The departments were having his worst day ever down eighteen percent after slashing full your guidance and announcing weaker than expected holiday sales move wing on the whole group retailers. Kohl's Nordstrom target all under pressure. So is this just a Macy's problem? Or is this a bigger warning about a week consumer guy? Don't seventeen percent says it's Macy's specific. But I don't think it is Tim talked about a couple days ago. It's it's department stores. I have not figured it out. I mean, I think a lot of thought that maybe they've gotten the other side of the mountain clear. They haven't made it there. But seventeen percents ridiculous move. The thing that makes me think maybe the consumer is still out there. As fact that on a day like today when MasterCard at every reason to sell off it was actually up half a percent. I'm still in the camp that says the US consumer will always spend money, but it doesn't mean they should be spending money and quite frankly with consumer debt to GDP closer. Now sixty percent that poses a problem. Especially of interest rates are going to go higher. Another said that with a week stock market. The consumer actually, actually let's remember Macy's a mall play Kohl's and target stand-alones. So it's a bigger problem for Macy's. I would something happened. Something happened between black Friday cyber Monday time period and the end of December because they said base. I it seemed like a light switch went off and the consumer stop spending that period, it's not so much. I think for a margin miss on. Macy's. It was a big problem. The top line was weaker. It's a holiday miss. Let's be clear, and I thought the these steals we're going to be fantastic. So I'm surprised by some of this. Despite the fact that we were warned by Amazon way back when I think in in Macy's case part of the issue was this company actually getting out of this destructive strike cycle of essentially having to promote your way into sales and the top line is, okay. The bottom line is not very good. And I think they're giving the store way again. And I think that's an issue for departments. I think two thousand eighteen was a really interesting year. When you think about it? We had the start we have this tax cut. There was a lot of through Seattle about a consumer consumer-led recovery here in the US. But we also had this thing book ended by, you know, eight hundred thousand US workers federal workers being furloughed. I mean when you think about all the stuff that's happened in between four retail. We saw housing top out last year. We saw autos top obviously thousand dollar smartphones topped out at some point. We look at the retail right now and you sit yourself. Yeah. It was a margin miss do. They have a whole heck of a lot of margin pressure. And we're gonna talk about airlines with there was a. Miss their those. What is Macy's lead in? I guess that's the the weakness. What do they lead in what product category? Do you think about Macy's four? Don't think they lean anything weakness. They talked about was was jewelry thing sportswear. I mean what what do you buying a department store? And so I think it was really across the board. And I still think this is more of a secular issue for Macy's. And I don't think these guys are dead. I actually I actually think the stock looks very interesting to note, essentially, give you mentioned jewelry. I mean, here's an Tiffany was down fifty percent from its Johnny. I know. But what I'm saying is when you think about it. You can go all different sides of the spectrum. Here are both sides of the spectrum. And you're seeing consumer weakness. So I mean the way I see it is like the the push into retail sales into the holiday period that was about as good as it gets for quarters about. What is Macy's worth eight billion dollars market cap. It's gotta be worth more than eight billion just real estate loans because real estate alone. You have the herald square. It's gotta be. Worth twenty billion how much more real estate. Are they going to sell? I mean, how many more assets are they going to get rid of in order to bring some value to the stock that was sort of one of the points that I think Bakkal America had and their downgraded Macy's today. Things are only so many more things than Macy's can do it this point especially with the consumer that looks like it may be the best of the consumer those days are behind three till at this point. And I'm not suggesting this goes the way of Sears. But to your point. I mean, the Sears sold off things and you see where we've gotten on that side of the equation as well. So I don't think Mace's that either I'm shocked at astound as much as it is. I don't know if it's an opportunity necessarily now you gotta start to wait here. What is Nord some say what's target gonna say I think in the beginning of March. I mean, that's where it becomes really interesting. But I'll say again, I think the dance point. I do think that the stock market selloff and Steve alluded to this scared. A lot of people in the market. And that to me is really the thing you have to focus on if this markets about to roll over again. Like, I think it might that could put the. Consumer right back into the cave. I want to kind of try to take a step back here because I agree with you, Dan. I think we've seen across the retail sector from luxury for it from the low end we've heard from the middle from broad lines hard lines, you name it. But I think there are secular pressures going on. I think there's enormous GNA pressure. I think there's labor pressure to to take from this that the consumer is dead in his rolling over. I think is not right. I think we went into this holiday season. I think with with a with cops were very difficult your year for a lot of these guys. I think the bottom line is the consumer is implode. They are making more money. Ask price spending their money on though. I mean there they don't seem to be spending money today point on cars. They're not upgrade their phones as much they're not buying women's apparel or fashion jewelry things at Macy's are selling what they are buying things online for free shipping out of very low price. It's almost like the the. Suffer guided for the q four I think it was like a five billion dollar guide down for the holiday season. Now, here's the thing. We've been talking about this. They missed that guidance for q four lights out for all retail, this you can go to the point of the overall market consumer does lead. So if we see these names start to roll over I think the market is poised to roll over and what role over the start of the rollover, it could be it could be. But like I said, you know, when you're going to hear from target target or any took a beating last quarter. So they've already sold down to their their recent low. So maybe it could be a buying opportunity for all the things that got hit on the back of Macy's that are already been hit. But I think the overall market is ready to slide over again, I continue to think food retail is a mess. I think food producers are mass I think WalMart is a mess as it's all of those things I think there's too much competition. I actually think that Amazon is the best. And I think Amazon has the ability become a lot more profitable here. I think they're going to hire EBITDA. Higher than than WalMart somewhere in the next twelve months. And I think that's extrordinary. So I still you know as much as they warned Amazon at these valuations. Yes to be unusual. I wouldn't have guessed that, well, I tend to be more value oriented, but Amazon relative to itself, if you'll notice evey is trading around eighteen times next year, which is come way down. Why is it coming down because they're making money? And I think the stock is actually as interesting without a market proxy behind it. Good and bad, but just on its own merit. I like Amazon do we set up into zones earnings? I mean, it's interesting all it's the question. But if you told me last night there wanting to get fritzy, right? Macy's down seventeen percent. What is what's gonna happen to the broader market? It's the vix is going to be up couple handles and stock mortgage sound three hundred points, given run we had and here we up closed on the high. So it doesn't make any sense the setup in Amazon is probably okay. If they warn though, say similar to what they said last quarter to dance point Katie bar the door, but you have to believe. Caining Katie bar the door anyway. Shoutout to the prom date was tied here from. Tiny sort of not any Katie bar the door. Russia market sells off Amazon gets demaim. Let's just be really clear. Consensus was looking for seventy three and a half billion dollars for four revenues for Amazon. Okay. They guided to about sixty six and a half to seventy two and a half if they come in at the low end and then guide down for Q one. Remember what happened when apple guided down sales eight percent for this quarter. You're going to see a stock easily down ten percent. And this is a stock. That's gone from what fourteen hundred seventeen hundred in just a matter of weeks last question at what point does a Macy's dividend. Do question it. What is it that? Jimmy what percent right now right now the issue with me on Macy's is truly what they're doing with store count and same sore sales betting against the dividend betting against the balance sheet. I think people been totally wrong on Macy's. That's not why you're selling the stock. Our next guest says he sees more pain ahead for the consumer. And that Wall Street is on the wrong side of the retail trade Harvey's have equity strategy at Wells Fargo securities. So there's more pain ahead for the. Consumer. What implications does that have in terms of your market view as far as their market view? We think there's another three or four percent upside here we've been somewhat we haven't been as enthusiastic because we thought the fed made a mistake. But now that the fed is kind of walking back. There's some debate at this point in time what we wanna see and to this point is we would love to see expectations come down. When earnings get report, we think that the stock stocks are down why keep expectations up valuations much better bring expectations down, and then you can beat lower guidance, then the market can work going forward. But right now, we've had the January fact you have the bounce. You're still you still have some issues with trained tariff. You still have a lot of turmoil out there if you really want the market to go forward reset guidance reset the bar, and then you can really work going forth. So really, there's no there's there's nothing to be done until we're through earning season. At this point. I think that's true. The other thing that we're looking at is what happens to the statement. Does the statement change from the fed? The fed still has graduate hikes in there. There's nothing in there to say that they should change that how does the market react if they come out with the same statement. So Chris it's easy to say that corporates should be a little conservative with their guidance. Just look in the last few weeks. Look at FedEx look at apple Macy's today lines. I mean, it's a dangerous proposition investors shooting. I ask questions later, isn't it easier maybe to kinda squeak out a little here. And there is far as what their visibility. Is. It really depends on what you wanna do if you wanna hold or maintain in the short term great. But it's going to be tough beating guidance going forward. So take the pain. Now, a lot of stocks down at this point in time. Then you have good valuation. Then if things are better you'll beat lower expectations. You'll get paid in the end if you don't lower guidance if you maintain guide us, it's tough to beat your stocks really gonna language for a long period of time. But Chris what do you do with a market that's up eleven percent in ten days. And I know you're not playing day-to-day. But, but you talk about stocks rebounding first of all the market's not going down despite these massive warnings. And maybe. It was two weeks ago. But the stocks that are actually not falling the ones that have not guided the ones that people should be selling here because it's inevitable. So what we think is. So we've been up in quality down a risk for a long period of time. However, what we're starting to see there's more value in by. You're starting to see value stocks. Look a lot more attractive the spread between cheap inexpensive has one absolute value is better. And if you can change guidance, I think you can work going forward we've been a bear market value for a long time. Those stocks have a lot of juice in them. We just need a couple of things fall in place for them. Where is the value? What's we see value across the board? So we've liked biotech for a long period of time. Obviously there's been a couple takeouts there. We wouldn't chase. It. We see value food beverage tobacco. We also see value in reads if you're looking for contrarian plays Reaser greet dividend play. So yeah, I'm gonna give this away. But the biotech thing that's just might be a little pre cursive little power pitch. We coming on later in the show. I'm just putting it out there. Now can't wait to show because. Thank you. Thank you. Chris. Great to see sorry Wells Fargo, what do you think Rossa? So if they were confused about what the fed has said, if the fed made sort of mistake, I don't know how any of that has changed. He might have positioned it better in the words. But the balance sheet is still going to be reduced and rates are still moving higher market should be rolling over to Chris point. I mean, we have the next three weeks or so are really going to be very key. We're gonna have another fed meeting with the press conference after every single meeting where we're going to get through the bulk of earning season, we will know a lot by the end of January we will. But what I think people are saying here about the fed is also determined from these fed minutes that the fed is going back to kind of try to recruit their message that they feel as if they were misinterpreted, and in fact, maybe they were even wrong. So that that is what makes all of this very different. And it kinda feels like we're just kicking this canned down the road because I think Steve. Talking about a fed that has as has some work to do at a balance sheet. That's only eleven percent off of its all time high and again in bed meeting today in an interview with Rubinstein you actually heard that they talked a little bit about substantially lower their more hawkish. Exact I mean, it's sort of like it's such a flip as somebody who's observing early? Where do they stand right here? If you're stragically Chris Harvey, and you have a three thousand year and target for the SNP five hundred you need a lot of what he just said to happen. You need a lot of corporations to take down there. For guidance for two thousand nineteen you need the stock market to go back towards those Christmas lows that all has to happen soon. People need to get a little bit more freaked out about the term substantially lower balance sheet. That's and then you can set up for low expectations and rally into back towards their his target is twenty six sixty five. Most of them are like thirty two hundred or so, yeah. And they've all been ratcheting down his next week. So he looks great. All right. Coming up throw. It wasn't just Macy's. American airlines. Delivering the latest shock to the already troubled transports, cutting its profit forecasts suggest how much is a head for the groups traders way in plus from Drome Powell's mouth investor's ears fetch delivering again today, saying the fed will be patient. But there's one thing you said that's got Wall Street on edge will explain later guy here so polish on one sock. You can barely contain excitement. Look at that so excited setup the play to give us his fast pitch license time square near city much more fast money right after this. Welcome back to fast money. American Airlines getting slammed today after slashing its outlook. And it is just the latest shock to the group. Let's get to fill abo- with all the details. Phil, hey, Melissa Linda first off with the American news. And then we'll talk about the broader group of airlines and why they're under pressure for American. They brought down their full year earnings guidance down to a range of four dollars and forty cents to four sixty a share that compares the previous four fifty to five dollars, by the way, the consensus heading into today for sixty to share now in terms of the airlines overall this is part of what people are starting to worry about you've got four Q revenue warnings. And by the way, American said that it expects revenue to be up about one point five percent. Previous guide into between one point five and three point five percent. You have that along with reports in the industry that corporate travel bookings may be slowing down. And there's just limited growth when it comes to domestic airfares. Why take a look at jet fuel prices. I know the sounds counter intuitive this some people. But lower jet fuel if it's too low. It's heard for the airlines especially domestically to get the air fares to move higher as much as they would like them to move higher. And as a result, you've got limited growth there. In terms of passenger revenue remembers, you take a look at the airline stocks. You've got delta and United reporting next Tuesday and Wednesday respectively. We already heard from delta last week in terms of fourth quarter revenue and the pressure that they're seeing relative to expectations. We'll talk with at bastion next week. We're going to talk with Oscar Munoz United guys the bottom line is this a lot of people are wondering have the glory years happened already for the airlines it where is that next leg of growth for these guys because it's certainly not there as we head in two thousand nineteen I'm going to go back to the question. I feel like I asked every single time. You have an airline story filling that is our the airline just going back to their old ways. I don't think they're going back to their old ways. They do have the ability to grow revenue, certainly when you look at the segments. Of the cabin. So in that regards Blissett, it's far different than it was let's say seven eight nine years ago. The issue becomes one of okay? These guys have really done well in terms of growing that segmentation and that Ansari revenue then where's the next leg of growth after that? And I think that's what a lot of people are asking themselves right now. Do you think we're seeing separation in the airline sector between those that are doing it? And those let's say just the big three. It's very clear one is training near the bottom of that valuation range, and they are the guys that reported today. Yes. And I think that when you look at American relative to United and delta they haven't done as much relatively speaking. So far as the other two when it comes to that segmentation of their cabins, but that's quickly coming along for them. And when we've talked to Doug Parker, he's made it very clear. Look we realized what we need to do. And that will be happening in the quarters ahead. The other thing that I get a lot of questions about guys is boy United had a great year last year. Does that mean that United is now outperforming delta and American not necessarily? It was coming off such a three years in a row when they couldn't shoot straight when they were their own problems. Now, they are finally getting their act together. And they have over the last six to nine months really it's been probably the most problem for six to nine months at United seen in a long time. So the stock had a nice move at the last half of two thousand eighteen the question now is what happens in two thousand nine hundred for United health Hank you fill abo- joining us the new York Stock Exchange. It is worth noting that a number of the major airlines down double digits double digits from their fifty two week high. So is there much more turbulence ahead, Tim well guys for the airline? I mean, so I could see American certainly flying at a lower altitude than the other two because of the fact that the revenue stream of Delta's industry leading they have more revenue initiatives in their margins. Are better American was down forty percent last year and trades about half the valuations United it's extrordinary. So I think the airlines are tremendous trading stocks, and I have to tell you at forty five bucks. Delta looks I I think we're going to retest the lows of last week on the delta announcement just based upon where I think the market is overall. But I think you then have to look these things I think they tend to overshoot in each direction might be American has a twenty five percent market share in Reagan Reagan airport in in Washington. So if the government shutdown last a little bit longer that's going to hurt them. Plus the corporate traveler more lucrative traveller. Who don't you get hurt with that save? SAVE? So if you look at that sock price, it's up four percent of your data. You're better off their versus the others after those bed. Would you consider the metaphors I would need an air sickness bag to combat what you and you did number one number two. If you go back to delta beginning this month, they actually tweak guidance to the higher end stock traded up today as Phil pointed out on what was a pretty lousy tape for the airlines valuation is interesting, and he actually traded down and held levels. We last saw the summer of two thousand seventeen so though, you have major double tops at sixty. I think you have a short term level to buy against earnings. I do you know, let's look back in December. Remember carnival carnival crews had some disappointing guided we've seen two airlines goes back to the consumer. And I think it's really important to think about that jobs number three hundred twelve thousand we got for December a disproportionate one hundred seventeen thousand three hundred twelve were multiple job holders. Multiple job holders. Don't have time to tickets on American Airlines and go on vacation, and they don't have discretionary income to go to Disney or to go out on us. Well, all right. But my point is by my point is that. The point is is that there's a huge only back between some of the data that we're seeing out of the jobs, and some of the consumer data that we're seeing and to me the consumer confidence has been weaking the last two months. So I do not think the for six months of this year is going to be great for the consumer for more on the airlines, go to CNBC dot com. I'm Melissa Lee. You're watching fast money CNBC person business worldwide. In the meantime, here's what was coming up on fast. So what is your salary? I wanna say it's one hundred it's in the range of one hundred eighty thousand something like that. Well, I guess that's enough money to keep the markets. Calm, but should investors? Really? Trust the bed. We get a special report plus guy dumbest dumping up to the plate to pitch one. Stock. He says is about a breakout. No matter where the market goes next. He'll give us the name and the trade when best return. We wanted to have the balance sheet returned to a more normal level, which is a level. No larger than it needs to be for us to conduct monetary policy. Don't know the exact level that will depend on the really the public's appetite for our liabilities specifically currency to us. That's a liability public has large appetite for currency and also reserves, other liability. So it'll be substantially smaller than than it is now. Welcome back that was Federal Reserve chairman Jerome Powell giving more color about the Fed's easing strategy for the year. And it was those comments on the balance sheet. You just heard that had some on Wall Street on edge. CNBC senior economics reporter, Steve Liebmann is back at headquarters with more dovish or hawkish Steve. So can I pick a third choice and not dovish not hawkish move, maybe careless careless. Wow. Okay. I think that this is a lot like the Cobre third comment that upset the markets when he said that there was we were a long way from neutral. I I don't know exactly what chairman Powell thinks, but the their estimates out there, which the new York Federal Reserve gathers which shows that the on the street, they expect a balance sheet of three point five three point six trillion. That is for the fed to bring it down there from the current four trillion is that substantially. More than it is now is disagreeing with the market estimates right now, I don't when he said back then that we're a long way from neutral. I didn't think he meant they were going to go more than one hundred basis points. But I think the market saw that as potentially more than that. And I think this is a case where the fed chairman might have been more precise. I think the first part of his thing was correctly, telling what fed policy is right now that they wanna get the Balaji down to a place where they can conduct monetary policy without affecting saying substantially smaller. They were several people. I talked to observers who kinda rolled there is that comet it's not even back from October. It's his latest appearance, Steve where he backed away from automatic basically, automatic roll off the balance sheet, and now he's going back to I mean, it's amazing. How different the messages can be construed by the markets in such a short amount of time. It's not a period of months is a period of days at this point. And the. Question is what what can the markets? Believe does the fed have a credibility issue in its messaging. I think you can believe what the committee has said together as a committee, and that is that the balance sheet is going to roll off in this very predictable manner with a cap of up to fifty billion dollars a month and the new York Federal Reserve Bank has published a schedule as to the amount that we're roll off. And it's not six hundred billion by the way, it's more like four hundred forty billion this year for what that's worth and maybe three hundred next year, which which is to say that sometime in mid twenty twenty the fed will hit that target. Here's the problem. The problem is that if I was the Federal Reserve chairman, which of course, in for very good reason, I am not the I would have been thinking very carefully about how he's going to answer the balance. She question if that's the case it came up with substantially smaller. Then I'm wondering that maybe he meant to guide me that substantially smaller guide the markets that way. But if he didn't mean that then it'd be like, well, wait a second. You weren't prepared to answer that question carefully. So I don't have a good choice either way stevia. So we had a conversation. You said the fed is like it's an army moving forward. They hit some resistance. They regroup. They continue on forward resistance meet the market going lower. And it's just going to the market then recovers ten percent. The army continues to move forward is that the dance we're gonna do now for the next year. I think so, and I think in my sort of operating premise on this thing is how did the taper tantrum they came over the taper tantrum the market kind of freaked out they withdrew little bit wait a little time. And then came forward without much ca. Concern in terms of stopping the purchasing of assets. I think the fed wants to be higher here. I under- given circumstances. In other words, if the forecast comes out the way, they plan I think the fed does want to add, you know, maybe to rate hikes from here, and then kind of wait around, but it's going to wait till it has the market with it. Because when Powell does say, and I think he says this would very very advisedly. They have muted inflation right now. And it does give them the opportunity to wait. I think they'll use that opportunity in light of the market reaction here say hold on. We're going to chill bit. We're gonna take a look around, and we'll wait, and we'll have the market with us. So I look if the data comes in stronger or doesn't weaken substantially from what the fed expects, I would still expect rate hikes here. But I don't think you'll do it in the context of a market that is violently opposed to it. Hey, Steve is Tampa. Despite the army in the forward in the bow. Aren't you? Aren't you concerned about fed that's leading the market lead it around? I mean that to me is the credibility issue. Yes. Like, yes. And no other words, if there was some imperative for the Federal Reserve to raise right now, if there was a an obvious inflation threat. I'd be like, well, this is a problem. If there was a credibility problem that the fed had to sort of claw back. I I would say, yes. But I think the fed has time to wait. I don't think fifty basis points here there in the next year or so is gonna make or break either the economy of the Federal Reserve, Steve thank you very much Seesemann back headquarters, how should stick to reading off a piece of paper. I mean, that's. Got a messaging problem. I don't think he does it. Well, I think that every time he does he's got to walk it back. And when we look at the minutes, there's different conversations that were taking place, then what really has come through Powell up his mouth. So I think that either way the market does not like higher rates. They don't like tightening. And the market is probably going to react to it in short order. Yeah. I just want to make one comment listening to fed chairs for years now. I can't remember too many times where they actually mentioned a company in the company's guidance that they gave he's mentioned apple now onto instances. He seems to think there's some issue is regarding the trade were and how it's affecting US corporations. So this is going to be a theme until we have any real progress on the trade war. And I it hardy though, as an investor that he has mentioned it, and is acknowledging the data points for you mentioned that the more you get nervous about why they're being dovish. That's my point. And I think at some point the the longer they stay dovish. The worst is for very fragile economy. It's the markets all about the fed. So that's what this is taught us think about how the market is totally moved on the fed the fed only remind you down the road coming up new year, new 4._0._1._K, gene Thompson the fidelity. We'll be here to tell you the three resolutions, you should be making for your 4._0._1._K and twenty nineteen plus guy is warming up for what could be his most important fast pitch every got that suit jacket on fast. Tell us one under the radar. Biotech can't get enough of much more fast money right after this. Welcome back to pass. Don't look now. But biotech is in rally mode up almost twenty percent since the Christmas Eve lows is there more room to run in the group are guide Dombi has one under the radar biotech sock. He says is about to break out. It's time for the fast pitch. Sauntering ever to knock Pete over our steady Kim opera because that wouldn't be nice, man. Yes. It's funny. We talked about biotech the cops show gonna talk about it now. And this is my power pitch. Slighted all hard to say not easy to spell it Seref to supply. And why well give you three reasons why great balance sheet for biotech over billion dollars in cash. That's pretty darn good there, folks. Number two genetic medicine. A lot of people think this is the pre-eminent company in the genetic space. We'll see if that pans out. That's what a lot of analysts are saying right now in the last one huge emanate potential y because you've seen it over the last month month and a half this eight and a half billion dollars market cap company. Great balance sheet, tremendous upside, and yes, we have seen down traps into stocks over the last couple of years on disappointing data, but to the street is thinking just that they just reported or spoke the J P Morgan healthcare conference that maybe they've turned the corner. So for lots of reasons not least of which the stock has had a. Downdraft to the downside we've bounced a little bit. I think Surata sets up very well in this environment sort of market agnostic fed NAS tick, China trade Agnes tick, but you know, what with the money out there. Now, this might be a candidate so guy when I when I look at this look at the chart that you're eventually going to look at when I look at the chart it looks like it's technically challenged. I know that the fundamental seemed good, but when you turn around and look at that chart in the name, I'm worried about the fifty days been declining the twenty days rolling over it seems like even though it's been up for the last couple of days. It seems like it's rolling over to me on momentum. I'm no Carter Braxton worth as you know. I'm no flash. Gordon? I am not at the pinnacle. I'm not at the zenith of the technicians. But I'll say this in biotech. You gotta throw the out the window a lot of times because you know, as well as I one piece of data that comes out positive, though, the charts out the window and we wake up one morning and Pfizer drug or Merck. Rely Lilly or any of these people say. You know, what we wanna pony up with these guys? And you know, you see it thirty percent move. So I hear you on the technicals. But you know, what the more, you know, I'm throwing technical out the window, and you know, what can't make money with scared money or something like that something like that? Now where question out buying or selling guys pitch on threat, Dan when he saw I'm not a buyer. Listen, I don't know this story, obviously doing great work on a really affordable disease. We wish the best. But here's a company. This backed it in two thousand eighteen to three hundred million dollars sales and lose two hundred and seventy eight million on a gap basis that income I mean to me it's just not somewhere that I can play cross them. So I'm gonna say sell as well. And when I look at the technical push back. I have is usually the technicals have all the fundamentals within them. So it usually tells the whole story, but yes, I do not disagree that the are binary events that you could see this thing up. So that you don't play it or your cell ten agai. I'm your friend. I'm voting by knows the color of my be unbiased. Like the color ties. So gene therapy works here might work for you. I'm sorry. Didn't go for you to. All right. So why not buy here on the desk? More importantly, are you at home buying guys fastpitch on Sorrento? We wanna know you can head over Twitter right now and vote in our poll. Plus if you're looking to maximize your 4._0._1._K this your stick around because our next guest has brought along three financial resolutions to do just that much more right after this. Welcome active fascinating. We've got market flash. On activision blizzard the stock sinking after hours, let's get to Josh Lawson and San Francisco for all the details. Josh. Melissa. It's a divorce. That's how one analyst is describing this news here about activision and development studio bungie, remember activision had this lawn. Standing publishing agreement with bungee for its destiny franchise now activision is saying that the rights and responsibilities are going to bungee fully. And that means activision will no longer recognize revenue from that franchise. Caught up with Michael Packer from Wedbush. She says a new destiny version typically generated around five hundred million of revenue for the company by his math. So now giving this news the streets can have to adjust estimates going forward. He says activision wasn't happy with the product revenue and bungy wasn't likely happy with the profit split. It's been a rough few months four activision. We know that stock is down thirty percent over the last three months. But or tells me he does remain in activision bowl here. He says the stock is cheap in the company has a deep line of content on the way back to you. All right. Thank you, Josh Lipton. San Francisco trade it, Dan. She just surrounded the trade. Josh, he always. That's a really interesting piece of news because we think of activision is a content player. Right. And they obviously have other deals and so this does put a whole possibly in the revenue stream. I think the most important news. I heard today the information had a story that Amazon is going to launch a streaming video game service. And you know, when you think about it. There's only a handful of content players, obviously, plenty of development things that's gonna shake things up. I think in two thousand nineteen so I wouldn't abandoned activision trading in about seventeen and a half times forward earnings out. It's not expensive expensive. And the problem is that they're not really going to grow EPS meaningfully at all in the next couple years with the competitive climate. I like it here. I have to say I think things been beaten and Katie bar the doors that doesn't apply here to try. Okay. Joan it does apply here electron of carts, and I did an options actions months ago when daddy risk reversal electron of cards. And if you look that stock is gotten Frick ac- as well done seventy five it has. But you. You love show. Did I yeah. I think it's a counter thing when whenever he's. That is too much for Casin. That's three what that is. That's that's. Amy of the have very eighties. Not didn't lose my train of thought was was electric arts. Maybe all the bad news is in the stock same valuation. I think you can only here switching gears here. The ball drop time swears cleaned up and your hangovers hopefully healed by now, but it's not too late to think about a New Year's financial resolution your nestegg, according to fidelity about fifty percents of retirement savers plan to increase their contribution right in twenty nineteen. So let's bring in genie Thomson fast for a one K. He's a senior vice president of workplace investing at fidelity. She joins us from Boston janey. Great to see you. Yeah. You to Melissa. It's a great time of year to start revisiting your plants here. So what's your first tip? Here. You want to increase your contributions? That's right. And you know, the new year new you it's a great time to increase your retirement. Savings contributions to your four one K we recommend that people say fifteen percent for retirement over the course of the. Career to really reach their retirement savings goals. How should you think about how much you increase violets? For some reason your paycheck doesn't go up. Do you still increase your contribution lists paycheck goes down? Do you still increase your contribution? Yes, we do amend that you say try to save fifteen percent. And if you're not quite there at a minimum you want to say to the company mats and try to increase at least one percent a year a good time to increase. It is the beginning of the year or say, you get a merit increase of cost of living adjustment halfway through the year. That's another good time. But you really want to try to increase it because we amend that you save ten times your ending income by the time we retire. So if you're end your career making fifty thousand dollars, you need to save five hundred thousand if your end your career making one hundred K, then you need to save a million. So that's ten times that number before retirement, and to do that you gotta say fifteen percent to get there. All right. Take advantage of the company match. This makes sense because this is basically free money, but at the same time if you're inclined. To go beyond the company match is that really a wise move or you're putting too many eggs in one basket in terms of you've got your job at this company. Plush, you've got stock or whatever it is in that company as well. Yeah. At a minimum try to save up to the company match with whether it's three percent or five percent. You wanna know is it one hundred percent on the dollar up to three years fifty percents? You wanna understand the formula save up to that? If you can save up to the company match, and you have extra money if you're in a high deductible health plan. It would be a great idea to save an health savings account, those triple tax savings if you contributing to the limit and that then go back and put more money into your 4._0._1._K. All right. And if you're turning fifty this is very important, right? You can you can play catch up a little bit here to your contributions. You can you know, the limit that you can contribute from your personal money is nineteen thousand the 4._0._1._K the company can contribute more on top of that. But if you turning fifty this year or you're over fifty you can contribute an extra six thousand dollars for a total of twenty five thousand dollars. And the key thing to note is that even if you're birthdays in December come January, which it's January now you can control. Bute to that catch-up contribution and take advantage of that a little bit early. Right. It's great to see you. Thank you so much for all your tips. We pre she ate it you to Jeanie Thompson the fidelity returning seventy. What are they give you what happened? Got a few years left before I start to do a little research. Void turned to big buy in life. Well, the point is that at that age, actually, you have to start taking money out, and you have to start paying the tax on it. So the whole idea here is that it's compounding tax free for all that time. So do it really office. What genie say all right, Dan. Just getting all serious serious on the far one K coming up. Check out the Kramer, Cam Jim Cramer sitting down with Intel's. Interim CEO Bob swan that is tonight. I'm mad money. We'll get a speak of what he just told him about the semi space. Right. After this break. We're live Times Square. We're live at the NASDAQ and Times Square much more. Facile ahead. Welcome back to our very own Jim Cramer sitting down with intermittent CEO. Bob swan moments ago about what is next for the chips. Ach? Let's take a listen. The PC is stabilized a bit. We have a leading position data center is huge and the needs for data growing and growing. In addition to that, we have you know, it's not just Intel inside the PC in the data center. But it's also inside the automobile inside the factories inside the retail store, so an era of this increasing data in the needs for data. Our presence is just much more expansive today than it's ever been. The full interview short tune into mad money with Jim Cramer that is at the top of the hour. Speaking of Intel there was a frenzy vets in the options pits in the name today. Dan over at the plasma to break it down. Yes. Great to hear an acting CEO talk like that a couple of weeks before their earnings seem pretty positive in light of some of the news that we've seen in the PC Centric space in the smartphone space. They've obviously diversified pretty well today put volume was one and a half times that of calls, but it was actually a cul strike that caught my eye looking out to April expiration. There was somebody accumulating four thousand of the April fifty calls it traded about an average price of a dollar ninety. And what I find really interesting about that is that one ninety if we want to go to the chart one ninety and premium on a fifty dollar strike with the stock closing today of forty eight and a half, it's kind of pretty near the money, especially when you're looking out to April, you're gonna catch to earnings announcements, and you're also gonna CAC. Cack catch probably the announcement of which should be a positive catalyst here. I just want to go quickly to one year chart and I wanted just demonstrate the fact that this stock has actually shown some really really good relative strength over the last few months, especially as the market has been pretty volatile. This is not been pretty volatile this fifty dollars that is kind of like, you could have set up a little bit of a gap fill on any good news over the next couple of months, so and I just wanna take it out to five years, and why you might want to consider defining your risk into what could be volatile period the market. And obviously, maybe volatile into earnings on January twenty fourth look at this thing it had that gap. A couple years ago it stayed above the mid forties that looks to be good support. But if they miss and guide down the street doesn't like that new CEO, you could have a stock in the mid to low forties, filling in that gap. So the idea of playing for the upside defining your risk and looking at breakout level like fifty make sense to me. I didn't tell you suck. I don't know. I mean, worldwide PC shipments down. I think four and a half percent year over year. It's clearly declining. I mean is it a value stock? It's been a value stock for well. That's been the argument really hasn't worked out that much. And then you hear what MD said over the last couple of days, and it makes you wonder, you know, where's Intel gonna go from here? I my inclination is people try to buy non value. I think there's another like lower. Well, I think it is values dot granted. I think it's been somewhat defensive in the middle of this semi's bloodbath. Although it kind of had its fall out earlier in the year. So, but I like that a center like the diversification. And I actually think of all the chip maker's these guys have the most diversified business. And that's what I'd rather owner AMD is actually coming after until the coming after and video. So I think when you when you listen to Lisa sue the CEO of AMD at yes, she made it apparent they made investments that's what they're coming after. And I think this is the more beta play that if Intel performs this one is going to be a two one performance based thing on. For him day. I think so that Dan for more options actually could check out the full show that it's Morrow five thirty PM eastern time coming up next, the final trades. It is TIME TO REVEAL the results of our Twitter poll. The guests the desk wasn't buying guys. Pitch on director and Q within the remix because sorry guys seventy percent of our viewers are not buying either wasn't hundred percent, the remix or richer. Now, do we did this? Because it was so bad. But it wasn't quite lean d of remix inbetween original, Tony and Selena get a remix again. This is worse than the original final trait. I'm I'll tell you. What's worse right now? Our share price of US deal yet still press exactly where they were a year ago. Eight hundred times, I think it's time to start nibbling on US steel up. Lenore wasn't a great pre yesterday was up seven percent. When stock stop going down on bad news there by Lenore Elian. And you have been watched us that we're all fading. I did watch that we're talking about the Wm. I think you sell that thing. I think we test back towards. Guy going to bust out some moves here. I'm just buying the remix on my Spotify application now, I like it so much. Seref the filthy animals stance narrow mad money starts right now.

fed Macy Dan Amazon Steve Liebmann US Jerome Powell Chris Harvey Chris it Tim Seymour Intel Washington Jim Cramer CNBC Melissa Leo Twitter Times Square American Airlines
Fast Money 11/01/18

CNBC's Fast Money

45:26 min | 3 years ago

Fast Money 11/01/18

"Are you prepared to navigate today's bond market's at MFS we help advisors help their clients by assessing market risks and finding opportunities. Learn more at MSN dot com. The NASDAQ markets. I'd overlooking New York City's time swear, I'm Melissa Leo traders on the desk or Tim Seymour. Karen, feinerman Brian Kelly, Dan, Nathan tonight on fast. Stop soaring again today at a top strategist has monster rally is coming. He'll be here to tell us why he is so excited. Plus another big night for earnings. We're watching apple Starbucks shake shack and CVS all on the move after hours those conference called underway right now. And we've got team coverage in the earnings trench, gene. Monsters on the red iphone listening to Tim cook. Tell Wall Street about the quarter Carter worth's giving us instant analysis on the move in the after recession Josh Lipton, by the way outside apple headquarters in Tina where he just spoke to CEO Tim cook. So Josh taken away. What do you tell you? Melissa. So this conference calls just about to kick off just come to highlights of the print here. Melissa iphone shipments. Forty six point nine million. That was a miss the street was at forty seven point five the iphone average selling price, though, seven hundred and ninety three bucks shoes at seven fifty one. So I did ask Tim cook about that. He told me, listen, if you look at the top end of our phone lineup, we grew double digit units and that gets compounded when you look at the ASPCA as well. And so it was a huge quarter for us on the high end of the line. Of course, I'm the tennis and tennis maxi become officially available in late September. We've had a lot of analysts also come on air, Melissa and tell us they think the ten or is going to be Tim Cook's biggest-seller over the next twelve months asked cook about that as well. Whether he agree with that. He said, listen, we don't predict beyond the current quarter. We think will be a big seller, and obviously we create so we could get a lot of the advanced technologies to even more people. I think are the call. It kicks off your Melissa. She's gonna want just more insight into the iphone Nixon Q. One tennis tennis. Max and the ten or also this guidance of eighty nine to ninety three billion street was at ninety three billion Tim cook telling us, there are just certain realities that he's dealing with including tougher comps and foreign exchange headwinds, but I'm sure the street's gonna wanna hear a lot more certainly digestive services will be key that faster growing higher margin business, and then these supply demand issues he did mention to us that listen he's entering Q one here with an unprecedented number of products. He told us to take some time to get into supply demand balance for some of those products. Sure the street wants to hear more about that as well. Melissa back to you. All right. Thanks, josh. We'll check in with you later the stock by the way was down as much as five percent right now it's down by about four and a quarter percent. So could this move spark another tech, especially given the fact that apple had been the defensive sort of bastion of tech investors during this route it's held up. Very well news up thirty one percent of the year into this printed. He really important. Remember Amazon's down about eighteen percent from its all time. Highs just a month ago Google. Down about fifteen percent. We know that Netflix and Facebook down considerably more. So this one has been just a relative strength leader. But we think about this quarter and wire investors shooting first and asking questions later, the call hasn't even started. There's three main points units an iphone or flat year over year in a quarter where they refreshed, and I think that's something where they get a little more clarity on. Josh just said that ten are which just came out is going to be important, but that's gonna lower the ASP's that's the lower model phone, and then the other points just wanna make real quickly that services did decelerate on a sequential basis. It just grew seventeen percent. It's still about sixteen percent of the overall that something that's really important. But if they're not growing that unit base. That's something that becomes a problem. And then lastly, China which grew nineteen percent last quarter year every year that growth decelerated to only seventeen percent the quarter. So those questions need to be answered on this call. I mean for that bulls out there who say services are going to be the key in order for it to move away from being a hardware company growing, the install base getting growth. There would be very important thing. I would. Imagine order keep that flywheel going. I think I think the install base gross growth is fine. I think the growth is Dan said, it's, you know, be careful because I don't that's exactly the market that they're pushing for memory prices are falling. That's actually good for gross margin and people seem to be paying more for memory. So a little bit of a mismatch. Good for apple. I think the big weakness here was the outlet for you on fiscal Q one. They basically said we have a tough cop. They also actually talked about weakness in emerging market. So this is something that we talk about all the time on the show what's really going on in other parts of the World War. Guess what? Another big CEO and another big tech company talking about how the rest of the world may be an issue in. Maybe that's something that comes back here anyway with this is their quarter and to get this kind of a cautious outlook. I know it's a tough comp. But that's not what anybody wanted to think about the other, you know, Amazon for this calendar. Fourth quarter light on revenues apple for the calendar. Fourth quarter, consumer better, right? What kind of picture does that paint? Well, pains picture of uncertainty, which Mark like, and it could be that he's being excessively. You know, conservative -servative cautious on the call. Maybe we'll get a little more color. Maybe not. I think though that it's prudent to do that in this environment. Why not? So you know, I'd rather have seen a better print, but I wanna wait to hear the call. I think it'll be I think we'll get more more granularity there. I I mean for me on the call what I'm going to be looking to here is one is that EM slowdown something that's a macro type level. Or is it just specific to apple which maybe it could be and then secondary. If you wanna see things turn around here, if they mentioned that services are doing really, well, I think that could be the thing that turns around the stock in the after our then we may not have another tech wreck. But if you do have this kind of view that listen the global growth is slowing down. Then that's going to be a problem for all stocks, and Tim cook also mentioned FX wins, which would cost the company about two billion dollars. But the supply demand issue. I mean, I think that that sort of an interesting one because that'll this sounds like that is potentially. We we don't. Color on this a self inflicted problem that apple could have managed better possibly. I mean, we don't know tells supporter wherever the places where they need to grow going forward to grow that installed base or places where there's a lot of very local cheap alternatives, and that's China, and it's obviously going to be India going forward, and I'll just mention this. You know, there's a lot of focus on ESPN eight a lot of analysts say that's the number to focus on. I think more and more customers are doing the apple upgrade plan. And they're thinking about it how this advertisers over a year or two year period. And that also goes back to the services as a big number of these services revenue right now that's being lumped in with apple care that they man it's mandatory that you have apple care when you use the apple upgrade program. So that's working right? Into the services. I think over the next couple of years if units really do just flatten out or start to decline a little bit. The is going to start talking about how much revenue they get per user per year. And that's something that I think is going to be a ship. Probably over the next couple of years. The other thing from services is. It's a little bit concerning. How much are one off new a new screen cost two hundred bucks that seems to be a big part of this. Also, Tim cook talked about the fourth quarter being tough cop and last year they had released, but let's remember last year's fourth quarter. Sorry Q on county calendar. Fourth quarter fiscal Q on for the company actually had kind of a bumbled release. Let's face it. There are bottlenecks. Actually, it wasn't a very smooth number. It's not like he won last year. Was that historic? In fact, that actually is what made fiscal Q two so the January quarter or the the end of the first quarter a much better number bottom line here. This is four percent of the SNP. This is eleven percent of the cues. This is a very big deal. But I don't get the sense at least right now and his Karen. So let's for the call that there's something systemic in their business or in the tech business that's outside of this emerging markets. Warning that you've already hasn't been priced into the selloff in the market which did touch apple right L only little right, right? There's going to be a tech wreck really had a tremendous selloff in -ticipant tipping, bad news like this. Yeah. This release a ten days ago. I think would have been a lot more muted reaction today. Tomorrow that we would have ten days ago. Sorry, same beliefs is your point that because we've actually writing the last few days, this is not as big of a deal that would have been if it fell on a week ago. Yes, I agree. I mourn apples. Gene, Munster, founder of Luke ventures. He's over in the earnings trench at the red found Jean what what's your take away? So far. Most of the first thing is this was a solid quarter. I realize that some investors are disappointed with the December guide being point slightly below analysts were at that was impacted by FX, and we're listening keenly in what they're gonna say about channel inventory and how that impacted December guide. So the call just kicked off here. But overall was a solid quarter. And I'm gonna make a prediction that as we fast forward a week in two weeks three weeks. Now, the general tone of analysts is going to shift to an increasing ASAP that was one big positive surprise in the quarter and second and excel A-Rated return of capital at this pace of close to twenty five billion a quarter. They could return going into next year at a pace to X pastor. And obviously that's a big deal because on these pullbacks apples opportunistic in terms of Binstock back. So I think the big takeaway here is the biz. Mrs on track and ultimately need to hear more about that guidance. But overall it's positive when you hear the the supply demand issue imbalanced. I think that's what you're getting at when you you meant production impacting guidance on that sounds like something that a startup company would go through not not the kind of company that apple is trying to manage the number of Esca us. They're selling concurrently. Apple is traditionally struggled with getting products up to speed new products, especially for example, last year when I phoned ten came out it didn't reach the pie demand equal to the end of the December quarter this time. They're introducing three new phones which is more than last year. And so that is something even though they are a well oiled machine it takes usually a quarter. So really to get up to some of the efficiencies and yields they need from that production. So that probably would explain that Phil need to get a sense from Tim cook on the call about how much that impacted guidance. All right, gene. We'll check in with you a little bit later on. Let's meantime, get a check on the apple chart with. Chart MasterCard or with what do you think Carter? Well, you know, I think the summer this is going to be that it's sort of a non event, let's talk about that. Obviously won't could say what are you talking about? It's it's down four percent. It ended the week to sixteen thirty. And here we are two thirteen. Meaning we were up so much coming into today's session up. Almost three percent. We've given that back. We're basically flat on the week. I don't think you're going to be rewarded as a bear or bull. I stood here on Friday making constructive case for apple. But it turns out it's neither constructive, nor frankly, bad, let's look at a few charts and see if we can put it all together. Here's the chart of the past one two years. Here's the well defined channel. And the reality is that of course, that it looks as though Apple's just going to remain in this well-defined channel literally like a pinball machine has ding ding, ding, ding day off the top off the bottom speaks to the important to technicals. And I think we're just going to obviously, stay in this. But that's a wide range. Let's zero in a little tighter here is the. Here now chart let's draw the lines, and what we've got is this, well defined wedge. And if you see this that low is two six and today, we were to twenty two we're simply going to actually go back towards the middle of the rings, the apex exactly to twelve where it's trading right now. Meaning this is still unresolved not a winner for the bears or bulls. I'm afraid apple is just at a price where it belongs. Sometimes there's equilibrium. And I think that's what's going on here. Just reference Carter as you said it was on resolved. What's the bottom level of that? Channel on the other automobile is about two seven that okay of four or five days goes to a six. But again, the line is rising. So that's about to seven to await. And we're indicating now again about two twelve to thirteen just stuck in the apex. All right Carter. Thanks once. Again, Carter worse on the charts. Dan, final where I think it's important to remember when this company reported there three on August versus stock was at one ninety a month later. It was. Two thirty. Okay. So here we are consolidating those gains is good as that guidance in that quarter. Was this one leaves some questions? So the jury's still out on this. If they missed units in this quarter that we're in right now their holiday seasonally, strong one the stock is going back towards that one ninety. So I think it probably is chopping between now. And then all right coming up. We continue our apple coverage as well. As coverage with the rest of the earnings action throughout the hour as all those halls underway right now, plus Google employees walking out across the country and around the world today to protest the tech giant's response to a number of sexual harassment issues at the company, the CEO speaking out on CNBC moments ago, we will tell you what he said. And later, Chris Harvey, a Wells Fargo says a monster Elliot's coming he'll be here to explain why he's buying hand over fist into year end. We're life and Times Square New York City much more fast money right after this. Thanks for listening to the CNBC podcast will return after a short break, are you prepared to navigate today's bond market's at MFS. We help advisors help their clients by assessing market risks and finding opportunities. Learn more at dot com. Welcome back to pass one a Google employees from all over the world walking out today to protest the way the company has handled sexual misconduct. Google CEO Sundar Pichai sitting down with CNBC's Andrew Ross Sorkin at the deal conference moments ago in commenting on this protest moments. Like this showed that we didn't always get it. Right. And so we are committed to doing better. We are listening to employee's. That's that's partly why today's important, and you know, nine hundred a concrete steps coming out. Incomes of what we can do better. So for me. I I won't up knowledge. The woman who step up and do this. I think it's. Chose extraordinary courage, and we want to figure out how to support them better. And it's a process and I'm coming into doing better. And I wanna make sure glue sets the bar for something like this. And this, of course, is just one of the issues that Google alphabet face, more broadly. There's all the huge issue of not disclosing a data breach security breach until months afterwards. Right. I don't know. Did I didn't hear anything about that being addressed? Yeah day. But to the other issue of the the walkout, I think, you know, it's not it reads terribly forty-eight, you know, forty eight times, but there's one hundred thousand people that work there any large corporation. It's just you can't radically that ever I think he did a good job of saying the right things saying what do you need to say? We've made a mistake. We you know, we're committed we care all of the right things. Ultimately, I think this is a blip. Do you remember when Sachin Adela said women should ask for raises some writing like that and very quickly and appropriately backed off and said, I was wrong. I made a mistake and that ended up being a blip. I think this will to the other issues are going to be more difficult. Yeah. I I mean, look good for Google forgetting out there today bad for Google for creating the situation. More people to get out and protest. I don't think Google has a reputation at least in my eyes is a company that's been insensitive to the world or their employees. I do think Ugo has issues with GDP. Are I didn't think Google now is with data privacy? Again. I think investors are going to start viewing companies that value their data and treat their data differently than they they will they will be the ultimate determine evaluation, and I think will does have some stuff to worry about here. Yeah. I I mean, I think one this month thing is highlights that we talk about stock price a lot. But there are stakeholders involved in these companies, and I think they handled it fairly well in this situation, but Google has other issues. I mean from the bitcoin guy here, I think we're at peak centralization, and that is going to be an issue for Google over the time over time. It's a company that's growing sales on one hundred and twenty billion dollar base with seventy percent gross margins at twenty percent. I I mean that naturally, and if you look at it it's growing sales higher than it's growing earnings. And I think analysts are starting to expect there. There's gonna be. A greater sped as they've already done with Facebook to Tim's op Ed points that he writes on CNBC dot com. All the time. This is an issue. That's I think the bigger issue is that their CEO's willing to sit down with Andrew Ross Sorkin, but he's not willing to go. Do what Sheryl Sandberg did Jack Dorsey show on capitol to Capitol Hill. And that's something that's coming to them in two thousand and nineteenth. Which is one of the reasons why when I took it breaks one thousand that probably spent some time below that as analysts investors start to digest what higher spend looks like to combat these issues. So I I don't think he'll go has quite Facebook's issues. But I agree with Brian on the parasitic centralized platform, by the way, they're third quarter numbers for right down the fairway. I think they were very very solid numbers. But you have to ask a question. Why does this company with as solid as it is with as predictable as its core businesses? Why does it trade at this multiple? I think it's too cheap. And that starts to tell you something I to me my biggest complaint with Google is the management of the balance sheet. It is ridiculous that they haven't done something. If you look at with Microsoft to done has done and look at how their stock reacted same for apple. It is ridiculous that they're not giving that back to shareholders well for more on. The issues playing Google you can head over to CNBC dot com. Maybe you'll find an advocate and by once in a while. I'm Melissa Leo. You're watching fast one CNBC person business worldwide. In the meantime, here's what else is coming up on fast. Be a big party. That's what a top strategist says to expect for the market into year end. And he's calling it a Munster rally. He'll tell us why you so bullish. Plus something is happening in the crypto universe that could get bitcoin out of purgatory once and for all, and we'll tell you what it is much more fast money right after this break. Welcome back to pass money stocks rallying again today. Now, it's third day of gains in a row. All of Wall Street was pounding the table ahead of earning season. So as reports start to wrap up what else can drive the markets higher from here. Bob Basan is at the NYSE with more on that. Hey, Bob, low Melissa seventy five percent through earning season and finally out of October. So where do we go from here? So here's some events that might be moving the markets in November. I with earning season mostly over expect corporate America to ramp up by back. This is an all time record year for by backs about one trillion dollars will be announced before the end of the year and a good chunk of that has not yet been spent that's the key. They will spend it because stocks are cheaper. Now second there's lots of speculation about the elections with a lot of people speculating that democrat control of the house might be a threat to tax cuts. Now, I don't buy that at all. But it certainly might be a threat to making the tax cuts permit. Now, you see what any speculation about China trade negotiation through to the market? Look what happened today. Expect maximum pressure on China going into the talks on November thirtieth finally came hearing that both sides wanted infrastructure Bill. I keep hearing the going to materialize. But how do you pay for it? The Dem's will wanna pay with higher taxes. Republicans want a public private partnership and expect a lot of resistance to increasing the deficit that's going to be a problem. It'd be all that the most important trend may be seasonal November is the second best month of the year up one and a half percent on average is nineteen fifty. It's a forty five of the last sixty seven years. Those are great odds for not month. This also starts the best six months of the year for the markets. And this is the best part of all the fourth quarter. In election years has been invariably up from all October bottoms since World War Two eighteen out of eighteen times. It's been up. Now, that's a stat to put a bet on back to you, Melissa. Thanks five invite away. Happy twenty five years at CNBC. Thank you so much guys spree. She ate it's been a great privilege to be here in a great privilege to work with all of you escape. Great Melania, Bob. Alright. So you by the way, I don't know if you saw the pictures on Twitter Bob looks amazing. Benjamin button. No chafing yelling that sounded very ominous. Now, I mean is in a pleasure works. My. Our next guest isn't fearful of any of the risks that Bob outline because he sees a monster rally had let's brand Chris Harvey a Wells Fargo. So what is it just that stat was pretty staggering eighteen hundred eighteen times, we're up that's pretty good. I'll take those odds. But what we see is everyone's moved to one side of the boat risk aversion. Everyone is just run to risk version as one side of the boat goes over everyone started to run back. The other way what we see is value is uncovered. We were all talking about was it Al goes was this. These guys are those guys. But by was uncovered fifteen times earnings. This was a great opportunity. We still think it's a great opportunity, but people act as if this was a spectator sport, not a contact sport. We want people to pick up that value. There's plenty of opportunity out there. It's more of a trade than a long-term investment. But there's a lot of opportunity that the markets covered in this selloff. So what's this trait? Then if it's not long term, right? What's a trade bind year end? And then what? So we think you have a couple of weeks we think that as we go forward. What did we do? Okay. In August in September. We told people to derive their portfolio as the market traded off. What do we tell them to do? We told them on Monday. You have to start adding Rhys back into the portfolio, and that that's what we want them to do. But we were on this market me. We're on the show a couple of months ago it saying it gets a trader's market. It's still traitors market market goes up that we want to start laying back off again. So are there particular industries the ones that have been hit hardest? You went after the ones that are still more value. So if you're short term trader by risk by the beaten up things, if you're a longer term trader by high quality that's been beat down. We find it across the board. We find it in tech. We find we find it and consumer b b diverse be be aggressive. Don't you stand? There. Look at the opportunities. Don't you stand there and look at the value take advantage of? So I'm looking at your targets for next year that they don't seem too much higher than this year. What four percent higher something like that? So what's going on? Right. So what's going on is we had a massive Sela that massive off had I. Thank you. I appreciate that. And so we want to take advantage of this. There's there's not a lot of opportunity as we look forward. The opportunities are very small, and so you have to react very quickly. And you have to trade the opportunities. We're looking in nineteen twenty twenty as we go. We're looking at mid single digit returns here. We're having an opportunity to have double digit returns you have to act on it. You have to buy you have to take on some risk. And then what it starts to be priced backup? You wanna lay back off? Do you think I'm sorry? No, please. So, but I get that you the same place, but happens some things changed. So do you think we should still be at one hundred and seventy s and p on where you are next year where are you on SAP hundred seventy three okay? But in the last two three months, we've dealt with an increasing trade deficit we've seen a potentially more aggressive fed we've seen global growth actually slowing down before. I should we be exactly the same where where we were on a PS sh-. Well, we just UPS for nineteen. So we're not exactly okay. But so what do we see that's different? What are we? It's the same. What we see are better valuations. What we see our rates are still low credit spit. Strodes spreads still tight mea is starting to pick up. Now, the Chinese and the US are starting to talk about well, maybe we can cooperate. So there are positive things to look at is tariff is trade going to be an issue short. What do we see in tightening cycle, usually see deceleration you have to deal with it? That's why we're talking about mid single digits as we go forward. But when the opportunity presents itself, you have to take these opportunities will close very quickly. So you can't just stand there. It's not a spectator sport. Everyone's talking about. Why this happened was it? How was it? It doesn't matter the opportunity there pick it up exploited. All right. Chris. Thank you. Harvey Wells Fargo. Yeah, I think the most important thing is China. I don't really think it's the elections. I think that there was some clarity about all this. You know, we're just talking about you just mentioned EM. We're seeing EM grow slow. We're seeing Europe. We're SM showed some slowness. We're seeing the time of the dollars rallying rescind credit conditions tighter globally. So I think that the China trade stuff going away. I think you see a market back up towards the prior highs with twenty nine fifty until we until we have that has a rally over the past three days made you all more optimistic about where we are in the markets. You know, we've we've had a nice snapback. I realized it's only the first day of November and people want to still tach some of those two just picking up the hedge funds have been short-covering last couple of days. It's been ferocious look at today. You actually saw the FX I up four percent. Alibaba was up six this isn't because people suddenly changed Trump's China. Whatever it is. So we're things oversold. Absolutely. Chris talking about being an active trader in a market where they actually think that things are going to hold up, even if the return profile in the next couple of years is less than it wasn't the last. I agree with that. We're not going into recession overnight. I think the dynamics dough for US earnings and people to assume that actually were in this never ending kind of upswing of double digit, earnings growth. In fact, not only is that not true. But I think seven percent is going to be tough in two thousand hundred are you more optimistic about the markets. And where we go into year end given the three day rally that we just experienced early. Okay. At some point you're going to have these big bear market rallies in assuming we're in a bear market. I don't know. But I do think, you know, to Chris's point that the market dynamic has changed. A bit. So if the last several years, you've just simply been buying and holding in every month putting money into your 4._0._1._K. Maybe now is the time to be a little more tactical, and you might have to pay attention a little bit more that tweet around ten o'clock that really helped markets reverse, right? President Trump saying that he talked to president Xi of China and that the talks were pretty good effectively. Right. This was this was a trade. Well, we don't know what it means. Apparently, according to the state media, China, President Trump initiated the phone call. I don't know if that changes how you think about that conversation. Right. But this underscores the point that this has been a market that has been fueled by concerns about either the fad or by trade trade something good news today. We had the market snap higher. Right. I mean to me trade is the is the bigger issue than whether the fed raises, you know, in the short, I think it should rates. But I I don't know if this is just purely a campaign, a, you know, an election ploy to try to get the markets backup because we know that Trump uses markets as his as his measuring stick for how well the presidency is. I think if he could resolve that that would be hugely positive. We talked about that being an asymmetric risk even with this up being up a little bit. I still think it's an asymmetric risk. So Chris is no longer here. Surely. What he really said was was about positioning people got to the wrong side of the boat. I heard that's a quote, but I just think this was about positioning. If you asked me where we were at the start of October. We were pretty much where we were in the end of January, which is you for physician. All right. Well, if the markets rally from here, we'll energy join the rallied is the worst performing sector in the past month there too. Big names oil names report before the bell tomorrow. Dan. What are you looking? Yeah. So to Massa was Exxon and Chevron Exxon in five the options, Marcus about two and a half percent in either direction. That's just tomorrow in three and a half percent move imply for Chevron, what's interesting to me is we talk about a lot of these sector ETF's, those two names combined make up forty percent of the X L E. We know what crude is done. This month is down about seventeen percent in a straight line. It broke that uptrend the really nice uptrend. That'd be the place all year long. That's the two year chart of the XL E. It's been a great trading sort of vehicle if you are inclined to play it look at that in the mid to low sixties a lot of support there. And obviously the high seventies a lot of resistance were back at that support level. If those earnings are okay tomorrow in both those names, you probably have a trade back up towards seventy bucks. I think he'd do Chevron I companies should be judged on how much free cash will generate period. I mean, that's the most these guys are trading historic lows on price to free cash flow. I think Chevron is a bite here for more options action. Check out the full show. That's tomorrow five thirty PM eastern time, by the way, let's pull up the after our chart apple extending, it's after hours loss here. It is down by six percent CFO just said on the conference call that it will stop giving out unit. Sales data on the iphone the ipad in the max. We'll get less information in terms of unit sales. We don't know. Why yet? But it's down six point six percent investors like Erin training. Yeah. See why the market doesn't really like that a lot better. If they would have said beginning March of two thousand nineteen said I warned on right? I that that I don't love as much. I like, you know, a lot of warning. That's not good news. You look at the history of technology and cycles and companies usually do that when a cycle. Peaking at all. You have to gene the metrics. Look at the fact that units this is going to be the third year in a row that is basically plus or minus one percent year over year. So this may accelerate the move of what I said earlier that this company is going to start talking about our PU rather than units. What we're at the bottom mccarter channel right now to six is really kind of the bottom end of where this thing has been a pinball. He said it was going to be unresolved. Maybe. Is a move towards resolution. I think we have Josh Lipton back. Josh. Yeah. Most I just wanted to chime in here. I mean, you're right. It's definitely to take a leg lower. When CFO Luca my S three did announce this news year, some new changes to how they were port as you said he said listen starting with the December quarter. We're no longer gonna be providing unit sales data for a few products here. I phone ipad and MAC and what he says is demonstrated by our financial performance in recent years. He says the number of units sold in any ninety day period is not necessarily Representative of the underlying strength of our business. Furthermore, again from Luca yesterday. He says that you seal is less relevant for us today than it was in the past given the breadth of our portfolio and the wire sales price distribution with any given product line. But you seem to see the the stock which was already down then take a leg lower on those comments, Melissa. All right. Josh. Thank you. Let's get back to where fast money fringing Munster in the earnings trench, gene. You heard the comments. So what do you think Melissa? I was. Shocked to hear that. There are no longer to be breaking up the numbers. I understand why the share prices down that as you talked about. It's never good when companies try to restrict some transparency. So that's for the reaction. But I do want to I think there's a higher order calling. That's going on what apple is trying to do is. They're trying to really advance this theme of apple as the thoroughness. And when we talk about apple is a service. We're not talking about the fourteen percent services segment. We're talking about the whole business, including the hardware having greater visibility. And allowing investors to not sweat an iphone quarter unit number in any given quarter in one easy way to do that is to stop disclosing that. So I think the simply put is this is not a bad thing. I think this is actually a good thing for Apple's multiple. I think that this will force investors into this new paradigm of thinking about the overall company is apple as a service. That's the bulk. Right. But so so I wonder also I guess we'll throw it here out to Karen into you guys. Does that mean that we wanna pay less attention to ASP's diverse selling prices? Are we going to they're trying to get us to move away from hardware company metrics, they are still a hardware company? I know I don't know that we'll have that granularity. I think they kind of flubbed this for two reasons. One just starts with this next quarter. The second why did just come out? And that's a big change in your reporting that should have been out at the top. Right. I don't think that should have been sort of in the contouring go, by the way, all the veterans that you like to us. We're going to change all those that. I don't love that. I think it's week. You know, look, you can't tell the market to judge as a software and services company or just as apple at a time. When services are still such a, you know, every time they report or every night, we talk about this dock on the show. It's about how much services important I talked about how. Last night. J P Morgan now gives the a blended PE based upon services and hardware. Okay. Well, you can't say no longer is the most important part of your business. No longer that important to break out. It's still by far the most important part of the business, gene. Don't you find that? Don't you think that it's going to be harder to value this company? I mean, I get wanting to transition away from certain metrics. I get trying to emphasize services. But can we actually understand the service flywheel? We don't understand what the installed basis and how that is changing from quarter to quarter. It's going to be more difficult to analyze this. No doubt having those that luxury of having those unit numbers. I was actually hoping that they would even break out the watch because it's getting to a point of materiality, but they went the opposite direction. So this is going to be a process for investors to get more confidence that this in fact is a stable business. And I want to emphasize when we talk about services apple as a service. This theme that they're trying to advance their hardware piece. The sixty five percent iphone piece operating with some visibility. The plus three percent. Phone unit growth this quarter was the ninth consecutive quarter of minus five to plus five percent. And so I agree. Investors are going to feel a little bit of feel a little bit irritated that. They're pushed into this new way of thinking about it. But undoubtedly this company is still doing exceptionally. Well, and I think that eventually this will ultimately reward the multiple of apple all right down seven point two percent right now. It's it's interesting because we were down seven percent now. And nothing's does really changed about the competent. They're just not giving those metrics. So yeah, it's going to be a little murkier. But I think we probably priced it in at these levels. This mean? I mean for all intents purpose, this is still an iphone company, and they're not going to tell us how the iphone what you're still making the same bet you're still making the same really fundamental shift mic shift in their business. Gene was say he wants to here watches broken out two-thirds of their sales come from iphone that has a sixty five percent goat gross margin. They just guided gross margins at thirty eight and a quarter, which actually you're down a few percent from their high. I think just five years ago or something like that. So to me, it's actually very important what they just did an event in Brooklyn where they unleashed their new ipad pro and their MAC books and trying to show how these new products actually gonna move the needle. Why why are they even bothering to show that actually these you becoming a material part of business team talked about the watch. I mean, we got excited about that watch route healthcare. I mean, you know, but. That's a different issue than how they were just saying why bother with that. You're right. The phone is the most important, but how about the entire product line? It's important to understand. What's what? All right. So apple right now is close to after our session lows right now we'll have much worn out Bill during the show continue monitoring the comments from the conference. Call check in on our earnings movers as we head to break. Take a look at Starbucks. So are we won't shake shack is sinking. We'll tell you. What's driving? Those stocks went returns. And we continue to monitor this precipitous drop in apple shares in the afternoon session after the CFO sitting on the conference call that it will no longer provide unit sales figures for the ipad, the iphone and the MAC apple shares are down almost seven percent in with this decline in the after our session apple gives up that one trillion dollar market cap, Mark. So it's below trillion bucks right now down by almost seven percents moving onto food giant shake shack and Starbucks on the move after hours following their earnings reports. Kate Rogers is in the newsroom breaking down. Both of those reports for us. Hey, Kate, a Melissa. That's right. So we'll kick it off with Starbucks really strong fourth quarter. Here beats on the top and bottom lines. Same store. Sales. Also surpassing expectations across the board US same store sales up four percent that is the highest rate in five quarters. China's same store sales up one percent. That's also key as China is the coffee giant second largest market. Here's what Kevin Johnson had to say on the call. We acknowledged Dowden in eighteen has been a your pain along with some challenges. We sharpened our focus to drive growth at scale, the Starbucks brand is incredibly powerful and beloved by customers, we are brand days relevant by constantly challenging the status quo elevating the customer experience investing in and empowering our partners operating with discipline and adapting with Jodie increasingly important today as consumers are interacting with brands and completely different ways. And Starbucks leading this transition book in our stores and digitally chief operating officer Rosberg retold CNBC that US comic salaries acceleration was driven by streamlining the in store experience and continuing beverage innovation particularly in cold drinks. Other highlights include fifteen million active rewards members. That's up fifteen percent year over year. RJ MorningStar said those competes in the US and China were positive surprises. Could indicate that trends are stabilizing on both fronts. The stock. Getting a really nice pop. It's up nearly eight and a half percent right now. Shake shack, though facing quite a different move down over six percents. That's due to a big same store sales. Missed a climbing zero point seven percent in the quarter. Projections were calling for an increase of one point one percent. Those calms, unfortunately for the company outweighed beats on both the top and bottom lines from shack back over to you, Melissa. All right, Kate. Thanks Kate Rogers in by the way, somewhat related here. We wanted to note that Weight Watchers is taking about fourteen percent in the accession. Tim your long Starbucks. Yeah. I think Starbucks move is is one where really the disappointment and the fear was around North American same store sales or whatever you want to say about China China is the growth market, but where people were actually punishing remember where we were the end of the April quarter. He actually had the stock down around thirty dollars thirty percent from where it is today. The valuation at around twenty three times to me. Relative to itself is an awful. I think Starbucks has done. A nominal job. I've actually tweeted about this recently, a passing higher prices along to their consumers and somehow getting away with it. I don't know how much longer that goes on. But I do think that the company's done a great job of bouncing both social costs labor costs input costs and the price of their underlying product shack shack McDonald's. I mean, like, this is a company that you know, you wanna talk about shake shack. I love like shadow down annual sales about four hundred billion dollars. This year's what McDonald's does in a week. What's that mean? No, not how do you? Good enough. Right. Right. Like listen to hundred stores, it's growing sales at twenty percent. Plus a year we're talking about it down six percent on a down. I don't know less than one percent cop. It don't even like to me. I just don't I think we're talking about two billion dollar market cap. I think this company has massive Redway ahead of because they think they have a superior bullish. Are you? Get a word before my dad. It is a big story. The after our session apples sinking off of its earnings report its market cap falling below one trillion dollars his down by six point nine percent, Jean monster. Who you see there's monitoring that call. He'll tell us. What is next for the tech giant win fast money returns? Welcome back to fast money, bitcoin celebrating the tenth anniversary of its creation this week. And this year was its craziest ever as jumps to twenty thousand before epic decline as it sits almost exactly where did a year ago, but believe it or not institutional investors are piling into this bear market digital investment from gray scale investments release a new report today. That's just there could be another bull market ahead. Michael. And China's of managing director of grey scale investments. He was also named one of business insiders rising stars of Wall Street this month. -gratulations Michael good to see you. Thanks, melissa. Thanks for having me on. So the incresed. We're just remarking about the incredible stability of bitcoin throughout this bout of market volatility. Does that give you hope I think what giving us? The greatest insight is how much we're seeing in the way of investment. So the report that we released today shows that three hundred thirty million dollars. Humidity has come into the scale family of products to the end of September. And about seventy percent of that is coming from institutions and just Q three alone. And I think all the institutions that were dealing with are really using this price pullback as a time to either average down if they're already in the asset class or using this price declined as a time to really start building a position, what's your sense as to how much of that is new money being put to work by institutions versus you know, putting more into current position. It's probably about an even mix a month's our investor base right there, certainly some folks who are involved pre the two thousand seventeen run. And then definitely some folks who I think that run up caused them to get really excited about the asset class and are now stepping into the space when prices are a little bit more attractive. So Michael you have multiple products at grey scale, not just the bitcoin trust are you seeing flows into other places or is it all into bitcoin. So we're still seeing about seventy some odd percent of our influence going into our bitcoin product. But as you said, we have a family of nine different products, some of them are single currency products. And then we also have our digital large cap fund, which actually is a basket of all the top digital currencies. And so there is a. Predominant amount of the money going into the bitcoin investment trust. And I'd say the reason for that is that bitcoin is really just the asset of the digital currencies that were often products around where investors have the greatest familiarity, the greatest knowledge, and it actually often is where they first deploy capital and then come back into other products within the gray scale sweet just quickly. I'm curious because we saw this sort of retail frenzy also surrounding pots off earlier this year, and some people were of the mindset that it's the same sort of investor. Do you feel the same way we do you ever take a look at the cannabis space and think oh, there's a run there. That's not good for bitcoin and vice versa. So we don't look at candidates. I personally don't look at the cannabis space. But I will tell you that the investors that were interacting with our endowments pensions. Hedge funds these are folks retail guys can be the these are ten plus track. Records of success. They had deep investment committees in deep convictions. And they're investing into the space for the medium to long-term. Michael great to see you. Thank you, Mike. Kasana shine, of course, grabbing, yuck. I listen. I always settlements. I mean, we're seeing institutional investors come to us saying they wanted it. Long term view the understand to mega trends are converging web three dot O while through while speak to dot all right coming up apple sinking. If the company announced the future change the way of breaks out sales. The stock is now down by more than seven percent final. Check on that stuff when we return. Welcome back to fast of apple shares up pretty much at the after our session. Lows down by seven point three percent falling after the CFO announce at the tech giant would no longer report unit. Sales data for its devices, namely, the iphone the ipad in the MAC for more. Let's get back to Jeanne Munster over the earnings trench. So gene, did they say anything else about why they're doing this? No, they didn't say much about why they're doing they're giving some context around guidance and trying to fill in some blanks around some future things around a are and that opportunity there. But haven't said more about why they're doing this. But I think the clear reason is this for years apple is what it over trying to get investors off of this drug of looking at with iphone unit. Number was and they've done that they've ripped the band aid off. It's going to take a few quarters for investors to get comfortable with this. So they're going to be in the penalty boxes. Investors get comfortable, but the right thing for the company longer term. So what's the bottom line? What's your grade for the? Gene bought online. The quarter grade doesn't change a B. Plus, and unfortunately, whenever you rip off abandoned it's going to be it's gonna stink for a little bit. And we're going to have to kind of Wade through that over the next few quarters, all right Jeanne. Thanks, great to see you, gene, Munster, Luke ventures. So they're they're not going to give this unit sales out of starting in the fourth quarter calendar quarter. This is the same quarter that they guided lower revenue so Karen, how are you doing right now is an apple shareholder not so good. That's so happy with that. I really, you know, I can't read into it. Oh, it's all good. Could be neutral could be it could be bad. I just think they didn't handle. Well, when they should've told us also early in the day. Let's say we open up a lower seven percent here. What does that do to tech is is going to be as detrimental as the Amazon don't lowering complex has been the the Microsoft the apple Google Amazon. I think. It's really gonna catch impressive to be very Frank. So I think this probably has some of those guys start testing the pilots as you see there. Cues trading lower in the after our session up next got the final traipse. Final trade ten dropped about those oil company, Chevron like it. Karen? Yes. CBS good earnings still like it here. You know, little beakers t LT oil down less reason to raise rates, Dan. That's silly traded up to seventy two. All right. Jim Cramer starts right now. Fest money podcast is sponsored by MFS investment management.

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Fast Money 10/02/19

CNBC's Fast Money

45:12 min | 1 year ago

Fast Money 10/02/19

"Never miss a day of squawk box America's most powerful morning show with the Squawk pod daily podcast. Listen for free wherever you get your podcasts and it. CNBC DOT com the life and the Nasdaq markets. I'd overlooking New York City's Times Square. This is fast money. I'm Melissa Leo Traders on the desk or Tim Seymour Karen Feinerman Dan Nathan and Steve we begin with breaking news stocks slammed as a major sell-off hits. Wall Street the S. and P. Five hundred posting its biggest two day drop since August August and the selling was widespread all eleven. SNP sectors finishing the day in the red so the question tonight is simple the time to get worried tim well the data seems nice to be getting worse and so we have some important data coming up tomorrow and on Fridays I assume services and we tend to want to believe that this is the more important number as opposed to manufacturing number which everybody Eddie spooked. This is a trade war. That seems to be manufacturing trade war to what extent we get that tomorrow it should be noted that last month's ISM services was they very bullish number which had the markets reverse a two day plunge just like the one we've had when people thought okay here we go but you also had. ADP which showed that the labor market ser- ser- it could be if you look at the kind of three month average on jobs on ADP were down about twenty five thousand over the twelve month but not much as changed yet in the labor market yeah carrying you said last night thank you were getting worried. You're more worried run relative basis. Are you even more worried today. I'm a I'm a little more worried today but I'm starting to see. There's a lot more fear in the market right right. There's a lot more things are starting to feel a little bit a little panicky not a super panic but you know one of the things. I watched really closely as the vix. We had a very big spike in the vix today. I'm actually I think now is not the time to buy volatility. I think it's too far too fast and if anything we have sort of the story the the EU tariff that just came out. If that's sort of that was some Tesla numbers we will get later if that's sort of starts a momentum down now. There's a big down open. I will probably be selling protection into that. I like to look at to buy things when they start to trade an integer some of which I own sadly that are trading and introduce down. I'm going to be looking for some of those to add technically. We were weak. We cut through the fifty cut through the day. I said at the other end of the show. I don't see us doing doing what we did last year. I mean it's too easy so I do think I don't think the worst is over but I think you're okay to dip a little bit on the buy side. You would buy this today. The other day about alter sold it a so so stock specific today thought about buying Roku was on the fence on it things that have been beaten up drastically that are due for a bounce. I think you're okay with so just think about this time. Last year. The was up almost ten percent pity around twenty nine. I'm fifty and no one thought we could go down twenty percent no matter a month and we did and and I don't think anything's too easy when we're talking about selloffs in the market especially when we have a situation where rates are so low and people think it really is the only place to be. They think that US equities is the only place to be relative to what's going on in Europe Asia that sort of thing. I just don't like hearing this trade stuff up moving around. I don't like it floating. I know we've been talking about trade as it relates to China and that is the most important thing that is the economy that's growing six plus percent and when they slow down it reverberates all all over the world but I don't like the fact that we know the data in Germany's been horrible. Okay is practically in a recession and that is the big economy over there so we start talking about this trade war or having the potential to go on multiple fronts. I say to myself you may get your headline that you're waiting for an China trade. PM is the global we're negative. They were the first ones that were negative. They were negative. Were over a year and now for the last two months. You're starting to see that turn so might be. Aus- chasing facing them down at this point. I don't know well I m days. That's terrible news. I mean being the last man standing when we certainly we have the resilience that we have in this economy. Look I mean we talk a lot about credit and people come on save credits. Okay you're not. GonNa see credit. Hold up if you start to really see the job market off because consumer credits going to trickle through but also the corporate credit side. We talked about this bounce. She's numbers by the way if you look at the the High Yield E. T. S. whether you're looking at the H. Y. J. H. Y. it's down two points over the last couple of days not great news so if you look at the two day moves though in a number of sectors including banks banks in two days have taken taken out almost that entire rally twin and China is and has gone down although the healtcare Stephen because the expectation on the low end is actually getting a little bit more. I I also think it's kind of interesting to go back and think about two thousand sixteen which is a very volatile year. There's a lot of stuff going on brexit caused a lot of volatility June July of two thousand and sixteen and into our election and I think we're starting to see just this week. We're seeing politics start to infuse themselves into our market so bit and you know I'm on the air. Today I heard well does that leg down because Bernie's in the hospital and that means that Warren might be the this is stuff that we're going to hear for the next year so it may start to have an impact earning star when there's whenever there's a void of something real fundamental to buy into the markets trade off of whatever you give and do we think that earnings are going to be decent for the third quarter. I mean given what we've had so far Micron Carnival Fedex clorox taking their guidance down today. Delta saying that their costs are higher. I don't know well. I thought Delta is actually a little bit overdone. Yeah I mean but on a day like today. It doesn't really matter things are GonNa get overdone and the pendulum swings very far. I'm interested to see what the banks tell us not so much what happened happened during this past quarter but what they're seeing not just for their own business which is really important obviously for what they they have a great insight into what is happening in the US economy so that we'll be really interesting. you know the autos kind of rolling over. Don't love that either right but I do totally agree with. Steve we need. That's the main something to me. The main piece of data when via stock is what are the fundamentals of the company not not Lauren or who's ahead or what you know and also would also look at. We start off the show. I'm saying we're where. Are we going to be the same way as it's time to buy time to sell last year we had everyone was raising rates or we were on the raising a a higher rate path. Now everyone is on a lower rate because needs are really bad. Here's the thing at a certain point is going to matter. I don't like it doesn't matter now. I don't like the technical setup. I think we're in week since around that three thousand level when we broke down from there my issue. Is that the Fed does not have enough AMMO Komo to fight the next recession unless he uses the balance sheet so once you use the balance sheet. That's a whole nother Pandora's box. That's the only thing we're talking about. Technicals that goes and we're talking about kind of where we are. In the market cycle. I also WanNa talk about positioning which we talk about all the time and ultimately think it's the most important thing and while we've talked about equity investors certainly could be considered underinvested in Agra. We look across retail and institutional. If you look in the data that I'm getting from my prime brokers as it relates to total gross capital at at the balance sheet the size of capital work in other words how much exposure is in the market. We're at ninety fifth percentile for hedge funds for long short hedge funds and other as they may be more net neutral and they you may not be net long in ways that they had in the past but they bigger balance sheet which is dangerous in other words at times of higher risk which whatever you WanNa say about where we are. We have so many more factors out there that could be things to be worried about and the fact that the Hedge Fund community is near what would be seen extreme levels in terms of overall Balaji. I don't like back going into the fourth so in other words if there's if there is a cell situation head for the exits than we see all that money I could actually see guys as things have to change into your and some of these guys might not even make it through this. They'RE GONNA have to be selling some of the crowded winners and you're actually going to see some of the weaker hands and some of the weaker stock to actually achieve catch a bit on short-covering but yeah. I just think you're supposed to simplify during a difficult period right now. You're not supposed to get more complicated and I think that there are guys that have become more complicated. Yeah I just again you know I. I don't think it helps market participants that the president just yelling at everybody all day today all day long that we're on every network you know that sort of thing and I just just think back to two thousand and nine when we were in the throes of just the worst sell off that we've had in a long time and we had a president who was pretty calm. Just you said that sort of thing and I think those are the sorts of things would really be helpful going forward and so I think this is something that you guys better get used to because this is going to happen here on out you on a daily basis as we get into the end of this year and we've had a president has been y'all. Everyone in the market went to all time highs. I think now right now anything Stephen Eighteen market timing is under the president. That's being gay and it went to all time highs under every other. I don't think that's your litmus test. I think what you have to do is dig in starts starts but the point is is that yelling at the Fed in trying to kind of get them to do something that may not be particularly natural says he'll be aware of something. We've been aware of this. We've had a president. You've been complaining about this president for the last four years. We went to all time highs. That's the point I'm making. We haven't done anything he may. He may preside over one of the worst sell off. We've seen in a decade too because the policy is also catching up to. That's a really important point. I slightly moving on what back to to what you're talking about is where politics will inject and where they haven't even mattered think about what we're actually starting to contemplate if you get any change from this administration. None of it is is good. None of is good for the mark is what I'm saying. In terms of what you have in terms of legislation art agent indebted hasn't ranked eighteen months and it hasn't been good for the economy so forget it. I'm I'm not making up. Hold on that from here on out. If you change the prospect of the status quo the market's not gonNA like it one of Wall Street's biggest bulls believes the market is overreacting acting to risk recession fears. Chris Harvey is a head of Equity Strategy at Wells Fargo Securities Chris Great to have you with us on a daylight today. You actually say it might be time to put money to work here on on this back back. What we're looking for is so obviously we saw what the manufacturing did. We'll get is some servicing tomorrow so for in line or less. I would expect the equity market to start to sell off a little a bit more. We get a one two percent sell up then it starts getting interesting twenty-eight. Half Twenty eight twenty five it starts to get interesting because the risk reward changes right we want we like stocks when they're lower not when they're higher furthermore the setup into powerful or trade negotiation is a lot more productive and we think something not negative is going to come out of that and you can see abouts so we're looking for that negative news to come out. We're looking for that wash out to occur and if it is we'll look to take advantage of it. Does your view on the trade negotiations that are coming coming up later this month in almost a week from now change at all given what has gone on with the president and again. We're trying not to be a political show but this obviously obviously impacts how the president goes into these negotiations right so we've always said that that training is the second half type of thing and so as we get closer to the election you need more and more certainty. The one thing that we keep hearing is there's so much uncertainty. We don't know so as we go forward. You need more certainty. I think the president is very cognizant of that. The fact is also very kind of the economy's in kind of a difficult spot and if you put more stress on it you could push it over so they need some progress and also if you look at it. He's got impeachment to deal with. He has an economy. That's slowing down. He has some more stress with with overseas issues. He needs a win in the short term and I think what he needs to do is have momentum going into two thousand twenty and that kind of forces him to get the table furthermore if you think about this if he doesn't looking to deal on the table the economy does slow down. Somebody else's name goes on a trade resolution and I think that would be infuriating to him because he's done a lot of the heavy lifting to get a deal on the table so so you you basically turned very bullish a little bit earlier. This year was April or so people in so since then I mean is part of that. Bullishness predicated on this notion of a stock market president because it seems like everything that you had talked about just now when it comes to a trade deal has to do with trump wanting to be the one to claim credit trump not wanting the economy to slow down further trump not wanting the stock market down more so the commentary commentary before the political so tim. I agree with you. Politics are now starting to come into play. We we haven't really priced at it. I don't think we're ready to price in it. I don't I don't think Warner Bite enough of a threat but as we go forward the perception will start to wax and wane and we're beginning to see that so yes if we get a change in leadership if trade negotiations don't don't go as planned if I am serves a lot worse than we need to rethink things somewhat but also remember all your bond. Proxies have already moved. All your vase already moved. This is not fourth quarter of eighteen where they had underperformed. This is a lot different people already moved into kind of a caching canned good mentality and so the pain trade is actually asleep for that reinforce to occur even with all that said in terms of the waxing and waning with the political pressures et. Cetera you still stand by financials which upgraded in September we upgrade in September what we wanted to do when rates are low. A lot of pain is in there. A lot of bad news valuations pretty attractive. The underlying fundamentals are still okay. We had the Barkley we have. Atacama conference numbers came down a little bit and we think overall the fundamentals are are in decent shape not fantastic but decent and for the valuation. We think it's a pretty good risk reward. Okay Chris Great to see thank you Chris Harvey of Wells Fargo you like I had to say well. I liked the part about financials right. I'm long. This has been a terrible. I don't know a week the last two days guess but I think that what has started as the rotation out of growth at any price toward value continues and and this is an area of I think very good value yeah four point eight percent down in two days in banks. You know someone was right a couple days ago and doesn't feel so right now so you know. I don't know what the right trade is banks but I tend to agree that the balance sheets and the value rotation that we saw with should include banks some of it. Was You know late cycle cyclicality -ality totally warranted. I do think that that's a fair trade. I look across some of the other sectors and it's clear that the defensive sectors have been not yesterday straight. They've been last the last nine months trade and therefore I do think the market is position defensive. What do you think happens though when you think about this if we start to turn lower like we did in two thousand eighteen eighteen the Q. Four when correlations went to almost every risk assets started to go down when you have the excel you and you have staples to the best performing sectors and the S. and P. Five hundred trading at all time highs up massively outperforming the broad market. What do you think they're going to do so if you're losing if you're leaving expensive growth right now. What are you GonNa do with expensive. No growth stocks to me. I actually I heard all day long. We had Tony Dwyer on last night talking. About how different is this Rachel it does does it really matter if the stock market's going down and it's going to start to snowball these things may lead the way and the other stuff that have been coming out of. They're not GONNA go back into right away so my point is is. I don't think it makes any sense to be complacent five percents so what's got me worried. Is that if we don't get a deal. We don't get some type of deal in the next week and earnings are flat and we start to really you see the fundamentals shrinking there. I don't like the way the technical setup has been extremely negative and the Fed does not have enough to fight off recession this time around so we'll know in the next couple of weeks where this market's going. That's the weakness that I'm worried about all right coming up tesla shares under pressure. The company just announced new delivery numbers. We'll bring bring you the very latest and later worn today's big selloff and what it means for the Fed's next move we are live from Times Square New York City much more fast money right after this. I'm David favorite join me Karl Antony and Jim Cramer for the opening bell our of CNBC Z. Squawk on the street the podcast subscribe for free wherever you listen and you can always catch us live weekdays at nine. AM EASTERN CNBC welcome back to fast money. We've got a news alert on Tesla. The stock is down almost four percent in the after hours session. Let's get to fill Abo- with all the details on the delivery numbers fill Melissa these numbers fall short of Wall Street was expecting total deliveries ninety seven thousand vehicles seventy nine nine thousand six hundred of those being the model three the remainder a little over seventeen thousand being the Model S. and ex so if you take that ninety seven thousand and by the way the estimate on the street was for ninety nine thousand deliveries but if you take that ninety seven thousand and it with first-half delivery year to date they have delivered just over two hundred and fifty five thousand vehicles which means and they need to deliver about one hundred and five thousand vehicles in order to hit guidance that has been delivered and they've stuck with all year of full year deliveries of between three three hundred sixty four hundred thousand vehicles but again Melissa Tesla falling short of Wall Street estimates for q three deliveries. The estimate was for ninety nine thousand deliveries they they came in at ninety seven thousand this back to you all right fell. Thanks Philibeaux joining us with the latest on Tesla's delivery numbers after the close of the third quarter so one hundred five thousand originally the range seasoning start to get to the bottom end of a ranch data now. You're still shoot the name I it's interesting in how we choose to focus on delivery sometimes and other times we don't care. I mean the fact that Elon Musk said in February who's GONNA analyze it. Five hundred thousand before got kicked off twitter tells you that these numbers are always always all over the place and they're not gonNa make those numbers but that's not why I would be short the company. I'd be short the company because they can't make profitable car. They are not profitable. WanNa see their off-balance-sheet balanced liabilities. I want to see how long they can. They can operate and if capital markets go really bad. You know that's that would that would be a big problem for this company. I mean the move in the sock is really not the huge trying to apologize yesterday. Finish higher today outperforming relative to the down day in the markets so down four percent is I mean in the context. The things is like flat right. Yes that's flat tests. I actually think that did you know given how out of favour money losing businesses are right now outright. They're growing and sexy whatever and they have a you know very charismatic leader. It trades pretty well though you brought up we're talking in the Green Room about the committee has asked for information regarding the summon feature because there's all these viral videos over the weekend on twitter about people using the feature in which you can call a parked car mark to come to you and they're near accidents. There are all sorts of things that you know. teslim short didn't want to happen. I think it's a testament Tim Senate before a lot of these underperformance onto performance in the market have performed as of late. It's looking people looking for that reach for Beta and this Tesla's lots of twenty-seven percent short interest. It's down twenty eight percent. This fits the bill of people that have been betting against it for such a long time. You have that tax credit that is rolling off for good. Come January first so whatever they didn't deliveries here here. I think a lot of that healthy portion of it was pulled forward so I still wouldn't be an investor there. It's got a world of competition but it also has a shortage risk that any hint or any sniff ah positive news the stock can rally Yeah Yeah. I think tim kind of hit the nail on the head I mean this is a company that if this is one of the worst situations from the balance sheet standpoint and from the product that they sell if we were to go into recession and also you know you see what crude oils doing. It's one thing if you're telling me that your crew target is eighty dollars and twenty twenty one or something like that but it stuck in the mud here so you have a situation where this company was desperate to raise cash just a few months ago they may need to again again if they literally demand falls off a cliff for this model three. That's doing what eighty percent of their units or something like that so to me. I just don't get it and and the other thing is for you in Moscow. Go out without email. What a week ago saying that we're likely or good shot of getting a hundred thousand in the quarter and then come up short. It just seems like we'll go back to this corporate governance bit and just enough already although it makes it seem like it might have been leak. Why would you leak something that wasn't even accurate to even the League is true. I think he likes round up. Yeah Yeah Yeah just about you know plus or minus okay. We've got much more pass ahead. Here's what's coming up next time to take cover vern what you should be doing with your money. Following today's big selloff on later hitting the skids. Why investors are slamming the brakes on the auto stocks stick with us. The best money is back right after this hi everybody. I'm becky quick along with Joe. Kernan and Andrew Sorkin welcomed the Squawk pod from CNBC. That's right. We are launching a podcast. Everyday squad brings you the best stories debate and analysis from the most powerful full show in business news. You'll hear interviews from our guests special behind the scenes content in the latest headlines. Everything you expect from squawk box in a podcast let Assan. CNBC DOT com slash podcast apple podcasts or on your favorite podcast APP subscribe to squad today. Welcome back to fast money was tough. Dan Wall Street today the S. and P. Five hundred falling nearly two percent John with energy financial technology industrials all leading the way lower. Let's get more on what today's sell off. Botha's on is the New York Stock Exchange Bob Low Melissa. Let's call it a combination of additional tariff wars and speculation on the health of the US consumer which is the engine of global growth right now part of the problem with parsing the state of Confu consumer is very confusing data so for example the movement of two big ticket consumer items housing and autos. They don't seem to be correlated right now. Houses been very strong on lower rates. Leonard had terrific numbers. Today it had a new high but autos have not been great. Ford had disappointing third quarter car sales and was down today now the home building stocks are up sixteen percent in the past three months look at his auto manufacturers is what I'm talking about down nearly twelve percent going in the other direction so here's four things traders are looking for in the the next couple of weeks first and second any signs of a slowdown in the consumer starting with I the Friday jobs report where expectations are for a gain of one hundred forty five thousand jobs and second the markets are watching for any kind of decline significant decline in consumer leaders this year and it's been very clear what those leaders have been costco. Home Depot starbucks bucks Nike all of whom are up more than twenty percent in two thousand nine hundred declined fifteen to twenty percent from those highs that would be notable so far only starbucks showing some signs of weakness third. What I'd say is a technical breakdown white now any significant break below the two hundred day moving average for the S. and P. Five hundred twenty eight thirty thirty five and we're still almost sixty points away from that and finally near-term fourth quarter guidance from some of the significant global leaders. I would start with J. P. Morgan that would be October fifteenth so far no signs of any earnings recession this year back to you Melissa all right. Thank you Bob Bob Bassani at the New York Stock Exchange Steve. I know you probably were watching. The home builder's as long as the auto stocks so so I'm still in Lanark I've been in that. What's been a winning traits up forty. Seven percent real winter has been Katie Holmes. That's up seventy. Five five percent year to date is up thirty nine or somewhere thereabouts. This has been a winning trade. It's been a direct correlation to interest rates so if interest rates do start to pick-up somehow some way around the feds you have to watch out with this segment that has already been so beneficial to a lot of investors in terms of the consumer though I mean I think that there are probably probably just as many data points on the earning side right now. I know it's very very early that could indicate a strong consumer as there are for Consumer Sumer. Yeah I mean we look. We've we've heard strong consumer from a number of companies. Especially people like Nike and discretionary discretionary is not dead but you know look we. Let's check this payroll tomorrow. I if wage gains start to fall below three point two three point three percent you start to wonder how sustainable it is at some point. Companies cannot continue to be hiring. People look at some of the industrial sectors the auto companies tell you what could happen to jobs. We're seeing steel. Steel industry's been ravaged so be careful all right well. The Dow closes of nearly one hundred fifty fifty one points away from wiping all of its second and third quarter games today and our necks gases Sharing Wall Street's recession concerns might gaping Barclays head of economic research. Mike Welcome to the show thank you so what is your what is your probability now of recession to twenty five thirty percent over the next four quarters higher-than-normal so kind of an irregular expansion phase you think five to ten percent per year like unconditional probability but what's concerning us is the slowdown in the labor market so to your point if employment growth is slowing and we've got soft manufacturing and hours worked slow. It's going to mean less aggregate. Income growth less ability to support consumption not lockstep just because one slows doesn't necessarily mean the other one follows right away. The savings rate is eighty percent after all but you wonder. How long can it keep up so we do expect private consumption growth to slow the economy to remain at trend if not a little little bit below. The first half of the year we think was manufacturing trade slowdown the second half of the year. We think we'll be a consumer focus. What are some of the leading indicators that you would look can't give us a hint. What's coming well. I think I mean honestly for us. It's all about employment. The three leading indicators employment employment in an employment that's about about as funny as I get is an economist mainly just about the best idea like mainly just because it has the labor market has the highest signal to the noise continent. Send you kind of the most robust signal and historically households won't be as comfortable spending if income and employment prospects look bleaker so what's your point. If some of these consumer companies are not getting the earnings are not doing the hiring and that persists then then consumption is going to slow down just just like business spending did doesn't automatically mean a recession but you have less absorption capacity for what might come next recession. It compares about ten percent on any other sort of normal or correct or not at risk but certainly not a baseline so if you're telling us us that it's Employment Employment Employment going to your number one joke. new repertoire spans even funnier the more I think about it. That's the primary determine whether or not we're going to be in a recession. What is making that probability. Go from ten all the way up to thirty five percent on the Outer Bounds of your estimate meant if employment has been relatively good so what about the number is is forcing that probability higher than just a repeat of the same number so the slowdown so the the reported data showed about two hundred and ten thousand jobs a month last year. Let's call at one sixty one sixty five first half of this year if we're kind of repeating one hundred then over time that that builds up slower less than -pointment growth less aggregate hours worked so you're just kicking in low unemployment rate. Its speech else full employment right so I'll take that I guess the question is why. Do you think the expansion has been this long. It's more of a product that we've been without a recession for this long and the expansion. Why do you think it's been this long I think. Do you think that we could roll off quicker because it has been so long for. We've gotten there. I think it went went this long in part because of how far it fell and then the slowness cautiousness in the recovery argument for years has been slow isn't fragile slows actually actually durable right so we were just kind of plotting along in a way that actually was quite resilient. Going forward doesn't just because it's been this long doesn't necessarily mean the next one has to be deep. It has to be severe. The difficulty in calling recession risk right now is there don't appear to be obvious overhangs obvious exuberance boom combustive fed. That's looking to tighten a lot so we have difficulty finding an outright catalyst but it doesn't appear like there's a lot of over over extended sector ready to course correct when it does. You're going to get a very deep recession so it doesn't automatically mean since we've grown this long that the recession has has to be deep. There'd be a lot of factors driving that extremely low interest rates for this long has caused some of those boom bust sort of even to even announced the excesses to to get flattened so you don't have those excesses as we've seen another part we we've taken down. Certain inspectors were in recessions at certain points in time and I also think the regulatory environment probably corral some of the potential excesses and has we've maybe traded lower growth and lower volatile growth for potentially faster growth for a period but a risk of overshoot so I think those are part of the the reasons and maybe policies just been less effective. There is zero lower bound story. Monetary policy has less less traction in this world so it took longer to climb came out and and didn't give us a major over shoe. Mike thanks for coming back you fascinating stuff by Mike I think if we start to think about areas where if the consumer does start to you know first of all earn less money and and start to lose their job I I think the trades that have been most sensitive to this environment have been home depot have been some of the the places like starbucks think about the labor costs also that have been fed into a lot of these businesses and even though there may be less jobs. You actually may see their their their margins. Yeah you got to mention starbucks here. July twenty six the stock traded at an all time high up eighty percent after their earnings after the print seven percent in North America was amazing. The stock is literally really been down fifteen percent since then so the point is things overshoots the upside they also the potential to do so the downside that's not has no bid right now and fundamental seem great based the US consumer coming up checkout shares of bed bath and beyond that sock falling in the after session despite an earnings beat. Excuse me we'll give you the highlights plus we found one big bright spot in today's Sea of red. We'll tell you what it is and what it can mean for the markets stick with US fast monies back after a quick break. Welcome back to fasten who've done earnings alert on bed bath and beyond shares of the retailer falling and the after hours. Let's get more on the quarter head over to Eric Chemmy at headquarters Eric Melissa. That's right. It's been a volatile after our session for the embattled homegoods retailer following. What was a mixed I earning 's report the company reported a smaller than anticipated loss but revenues came in below street expectations in partout high severance costs related to a string of recent lay-offs weaker-than-expected cops are also weighing on the stock. It was the tenth straight quarter of declining sales the company those saying it has made substantial progress toward toward hiring a new chief executive and expects to make an announcement soon remember. Stephen Tomorrow's resigned from the top job in May and was succeeded by interim CEO Mary Winston Winston stressing on the earnings call that the firm has made good progress in its reorganization as it works to stabilize sales. The company is evaluating offers. I for some of its core divisions as it works to improve the in store shopping experience by adding higher-margin products to its shelves over the past few months companies made additional changes ages amid pressure from activist investor groups like overhauling its board cutting its corporate staff by seven percent and eliminating the c o o role bed bath and beyond also plans to cut inventory by thirty five percent by the end of the year keeping the after hours moving perspective. The stock has fallen nearly fifteen percent since the beginning of the year. It's down over fifty percent from its most recent highs early in April back to you eliminating inventory that sounds like a great opportunities or twenty twenty percents given deals Eric. Thank you Eric Chemmy. higher-than-expected severance costs seemed to stand out to me. It seemed kind of strange to not be able to have a handle on that going into a quarter. Although maybe they decided we'll cut further and so this figure will be higher. I don't I know this one. I I'm concerned for them. Looking at the balance sheet is not they have time. They do have some time but I'm concerned about this long this. Are you shocked that from April. I think it was announced that there were three activists in the I I don t thereabouts. The stock is down fifty percent from April. You shocked that you're not getting any stock that has right now. Over fifty percent short interest. There's there's a litany of things that they're supposed to be doing. Sony zones is one of them right so it sounds like they're overhauling. The loosener claims yeah. I don't know you know the Warren Baffoon when a good bad company and a good management team team up. It's the company's reputation that remains intact. Maybe that might be. I don't know it's a company with almost twelve billion in sales and but their sales are down almost seven percent quarter year every year for the quarter so it's it's. There's a structural structural secular thing that we talk about all the time for these guys. Karen talks about it and they have a billion dollars cash on their balance sheet but but it's hard to know how quick the burn is here and where here's some of this changes pretty quickly so It's hard to get excited about this. In fact when we saw this number announced right after the market close I was surprised it was holding in the fact that it starting to give ground because the revenue Mrs not what people want to see I think the they they dealt with that dollar twelve loss but they wanted to see them hit revenue numbers another big consumer name on-deck Cosco reporting earnings tomorrow after the bell that stock is sitting at the intersection of retail and consumer staples options traders hoping for signs of life and the results cross. Dan Is GonNa break down the action and well yeah. Here's the thing I mean obviously. The stock has been massive forty percent on the year. The options market is implying about a five percent move in direction which is basically the average over the last reporters how much the stock has moved post earnings today. Not Not anything particularly that exciting a Lotta short dated calls trading calls were two times that of puts you know it's interesting because here's a company that is obviously the stock has outperformed companies doing really well expected to post fourteen percent of your earnings growth this year but set set to decelerate next year trading thirty three times that there's the one year chart. It's obviously held that uptrend from the December lows very very nicely but interestingly enough. It's come back to that uptrend trend and it's also come back to the level where it broke out in August. Remember we spent maybe two days in a row talking about that opening in China in the stock literally would beserk and kept on going so it's it's come back to that trend a little bit just to give you a sense of how much this stock has. Has You know just outperformed look at that and the five year basis look it when it broke out at at that two fifty level about a year ago went up twenty percent or earlier this year at about straight lines so to me this one. We're seeing the big box guys. There's a lot of concentration tracy in them. Walmart Costco target this one you know you'd better not miss because if it breaks that downside and with where it's training thirty three times decelerating PPI number for next year. There's considerable downside so this this should fit right into that category of what we talked about the consumer. The consumer weakens who's in trouble and I think if you look the big box stores they've been the biggest beneficiary of a stronger consumer in the job market that really has has benefited that part of the labor force has been higher wages for people deserve them but it's also been more jobs there and if you look at the multiples that all these stocks costco as a more evaluation than some of the others but relative to themselves the valuation in this big box group is is targets fine but they've had such a big run based on the strength of back consume all of the big box 'cause. I would say that this is as defensive in the consumer consumer group as a Walmart and a target as people look for savings right right when the economy should spend less right even though this may be the sorry to interrupt the go-to place it is it is the most expensive I mean look at Walmart is even at twenty two twenty three times and target target. Probably I duNno sixteen times. Yeah I mean it. Just seems like whenever you get this out of discount regardless of the valuation it's Rinse and repeat. They seem the grind it and they seem to have membership really continue to come back out. That's how I do it on a pullback in the International Angle of growth. They're they're doing a little under forty billion in revenue. I think that's where you're going to get the growth out of Costco for the next leg higher. You Outline the action. You don't like this one. Though I I it is is what is I'm just telling you. This is that you talk about membership. That's been a big part of the story. When you see earnings decelerate. They were analysts expect them to year every year in fiscal two thousand and twenty me when sales growth is basically set to the same high single digits. It's telling me that the membership is less and that's the thing that makes the stock trade lower if Amazon prime one day shipping is really eating into what these guys have done so well for so long from options action tune into the full show Friday five thirty PM eastern time up next home sweet home. Alan are nailing it on earnings today heading fresh fifty two week high. Should you trust this rally. We'll discuss that plus transport tanking alongside the market today will lay out some of the worst performers and how to trade much more money right after this welcome to fast one and we found a rare green Arrow in today's lesnar topping the tape on earnings beat hitting its highest level in over a year the homebuilder builder sadza volume of new orders increase so is it time to pile into Lesnar and the home builder's Karen. What do you say I liked. The home builder's Steve's long time. I think everything everything sets up nicely. Which is you know? People are employed wages have been going up and interest rates are really low and the US seems to be doing fine that sets up nicely for me. AM in Home Depot hasn't worked this week but generally it's been a good place to be but I like to trade it. All of the home builder's actually pretty inexpensive still even with this run Piping Leonardo's one of your church yesterday to watch a lot in there. I ask honesty's Day anywhere before the earnings listen. I think that's fantastic. I just don't think this is a sentiment that is being echoed across a lot of other sectors so I think you really. I think Steve Said early in this show. It's been very correlated to rates. It seems to be a very specific story because you could say wouldn't low rates be good for the auto. Guys were literally stuck at SARS seventeen seventeen million for five years. We don't see that grow so you know I mean. People are using the opportunity with low rates to buy homes it doesn't seem carrying over to others agreed and if you look just for for the folks on the charts somewhere fifty five dollars people in waiting for the stock to break out of a range and it certainly has done that on today's numbers one day does not give you the coast is all clear. The valuation certainly makes sense also relative to itself but this could also be another one of these stocks. If the consumer starts to weaken we all know the poster children for what went on in in two thousand and eight to nine so we're not. They're not close to their These are better on businesses. They're better balance sheets but in the end the housing housing sector was so depressed for so many years that it did bounce back you had household formation bounce back then a headwind were were lumber costs that subsided so I have an idea of where I wanted again the straight and what I wanted to get out of it seventy dollars where I wanted to get out of it straighten a fifty seven and change. I'm going to hang out for a little while longer all right coming up airlines hitting some major headwinds. Today's sell off will find out what is next for the space and take a look at our Kramer Cam. Jim is talking about today's big markets live. That's coming up top of the hour on mad money. We're live at the Nasdaq in Times Square much more still ahead. Welcome back to fast one. Either transports falling hard in today's sell off the tee up tracks group dropping more than two percent post war. Stay since August and check out shares of the airline's hitting hitting some major turbulence American United Delta in Alaska Eric can't give how did you how to do that all right the worst performers in the group is this a sign kind of more headwinds ahead and we attacked we had talked about Delta before because Delta Lords Q. Three lowered its full year didn't have any of the 737 max exposure that the others had and yet here they are in this position where they're having to take down guidance so this this guy. This guy was fine. As far as I'm concerned it was there was nothing thing terrible about this. Maybe there was some slightly higher cost or chasm as we get into two thousand and twenty people always concerned about overcapacity for airlines so so as we get on a day to day move which was based upon cyclicality and the broader economy and airlines would certainly be a place you'd see sensitivity dealt to a a nine percent move at least peak trump probably closed in about seven percent down to this. I I. I think that's an opportunity I don't know if the by tomorrow but it's traded between fifty and sixty like clockwork for the last whatever so as you get down near the bottom of that range I think it's worth owning it that valuation the bigger though signal from the transports as a whole I'll be doing here is a dow theorists then yes. They would be quite dour. What are the worst charts and I knew the sports shoe on fifteen percents died ever seen worse charts in the market retail L. Transport Sports. I really just ninety. Five hundred support level is massive. We lose that there goes your Dow. We're getting getting old timey with the doubt there all right L. T. H. Y. Emmy or whatever I mean it's worth noting. UPS has outperformed a you. COMPARE IT TO FEDEX FEDEX is down twelve percent. UPS Yes is up eighteen percent year today but going back to May ups was in. I was holding an uptrend and just broke the uptrend in the last couple the days so that's something to keep an eye on wait till it gets back above that level but it seems like ups is doing all the right efficiencies and procedures and everything they need to do to combat ah Fedex and possibly a slowing consumer. Can we bring up this chart stalking audience chart rallies the Dow but if we if we show that can I get a jar on this because it's written to see that actually the around one seventy five multiple times times over the last two years is found very good support and yes. It's absolutely do about it and it's been worse chart you've ever seen. I think that's as bad as it gets. GimMe some of that. You're missing. It's one of the worst charts in the market right now. You understand the difference in other words trying to ever overseen sorry man who though it acts so badly up against a really interesting support level underperforms. I think I think it's important when we make hyperbolic statements that we have chocolate and there it is their dance standpoint. It's been a very extreme move in the last three days. After sure up next final trades the final trades and a two-day Chart Google doesn't look all that good down almost five percent evaluation to me despite the regulatory headwinds. I like it Karen. Yes delta. We might see it down tomorrow on this e U News but I think that's an opportunity I think overdone today on earnings at actually I think are going to be fine. Dan that you mentioned earlier. I see similar sorts of behavior in other teams in the group that did you sell the X. L. P. Ulta beauty. We had a director by a vote of stock about sixty billion dollars worth of stock yesterday doc pop. I sold out do what you want with yours. That doesn't ask Becca five more fast money meantime mad money with Jim Cramer starts right now at Matthews Asia we uncover unique companies across across Asia prime to benefit from consumer trends that brought her international funds myths find out what a dedicated allocation to Asia cannot to your portfolio at Matthews Asia. Dot Com slash opportunity.

US Fed Tim Seymour Karen Feinerman Da president Steve China Tesla Delta Home Depot Eric Melissa Costco New York City starbucks Chris Harvey tim Jim Cramer
Fast Money 06/24/19

CNBC's Fast Money

45:23 min | 1 year ago

Fast Money 06/24/19

"Since eighteen ninety six s and p Dow Jones indices has been leading source for index innovation, we've always been committed to leveling the playing field with solutions for all investors as well as the cutting edge research, and real time information, investors. Need to navigate the markets confidently. Our solution span all major asset classes in developed and emerging markets globally. We leverage leading trends like ES G and factor strategies to anticipate these changing modern day dynamics. Get our latest insights by searching index allergy on the web. Thank you guys fast money starts right now. Live from the NASDAQ market site. Overlooking New York's Times Square, I'm Scott wapner in four Melissa lead tonight and the traders on the desk are Tim Seymour. Brian Kelly, Dan, Nathan and guy dummy ahead on fast transports seeing red driving deeper into correction today and a key event this week could point to more pain for that group plus the SNP on track for its best June in more than six decades and a handful of trade war. Stocks are leading the fact we'll tell you how to play them into the G twenty summit later this week. Let's start where else. The markets closing lower today, still hovering at an all time high even as risk off trades. Roar check it out yesterday up. Seventeen percent this year. Meanwhile, gold and bonds or booming. So ten these assets continue to rally together, what should you be by take that guy? Thought it was the loving the turtles turtles, get a little ding, ding nice job by. Welcome. Thank you. We'd love to when you hear thanks for being here not too long day. So it's a question know I know what the question was listen. I am a skeptic of the market, I bid, a skeptic and the s&p goes up every day right in my face. But with that said and you can rage against the machine, but in a market, where utilities continue to make all time highs names like Proctor and gamble. Now twenty four times four and he's continued to make all time highs, you have to ask yourself is this a sign of a healthy broader market? I say no, the answer your question where can you still be I'll say it again? And this we haven't just said this vacuum. Over the last week, we've been saying it for a while something is happening in the gold market without question. It's, it's a function of what's going on with central banks globally. And these gold mining stocks are breaking out to the upside they continue to have room Scott's a healthy market. I'm not even sure. So it's a great question because I think there's a lot of things that should be flashing caution out there. Like, we had a Dallas fed report that followed a Philly, fed in New York fed that were horrendous numbers through your lows on these volatile. But. Important manufacturing regional fed indices. Look at Dalian another sign of risk, which is blinking basically frac- down. Other word Jen is outperforming the safe haven trade being unwound or carry trade. Look at where yields are. Look at gold is gold fill dealt performance of silver is, is a function of really people running for not just precious metals, but running for risk, aversion last time you saw this was in the ninety. So there's all kinds of things you can point to, but, but what is a healthy market is really the question. Because frankly, you know, if you Coca Cola and Pepsi, if you own Proctor and gamble, and if you McDonald's and Starbucks, these are defensive stocks that are probably going higher the valuation almost doesn't but, but Danny, what does it say when you have Staples hitting new highs bonds, going up gold going up bitcoin going up stocks going up. What's the message? It's really simple. I mean, the warning signs are screaming in. Silence. The right out there. And if you're just looking at the S and P five hundred that just made a new all-time, high, you're looking at the wrong thing, if the feds telling you, they're going to lower rates because they want to get flation going ten years of. Of Zirkin QE and all that stuff tells us, there's no way to get any real low rates or no inflation. And the only thing that inflated is. Yes. A five hundred that chart there that's a little fun here. The last two times we saw the fed godown these rate, cutting cycles. We saw where the S and P five hundred topped out around sixteen hundreds, it got cut in half both times, you take the average strategists on the street, what their targets are about three thousand thirty fifty or something like that. And you take a fifty percent hit to that. You get right back to that support at sixteen hundred I'm not saying that's going to happen, but it looks nice on the charts on people I well a little bit because you know what Tim we got. Everyone coming out saying how great the economy is the only thing that's actually doing well is the S and P five hundred and the stock market is not the economy. Well, if you if you look at the underlying figures, we Tim mentioned a couple of the Federal Reserve indices, you look at what's going on. With transports will talk about this later, but the, the economy and the global economy, more importantly, is not looked at great. There are signs of weakening. We have a lottery ports coming out late. This week. I m PM is those will likely turn lower. And here's the thing, take the playbook from Japan in the mid two thousand this was after they already tried multiple cuts, QE QE, then they cut near to the lows, and the Japanese stock market, did not respond. At some point in time you hit the law of diminishing returns. And that's what we are you saying that's what's going to happen. I think that's rates. I ours is not going to respond the way people. I think there's I think there's a very good chance. A non trivial chance, something you need to prepare for that the fed cuts rates in July in the market goes down. So all these leading indicators are telling you as they should be careful that the economy is not where it was a year and a half ago. And but how bad is it? So really the question is, you know, you're getting some concern out of Europe that actually, their their, their employment numbers are going to start to break down for an economy. That's really an export economy. The consumers held them up, what's happening with peak labor here. You know, it's hard to argue we can get a lot better payroll. So the consumer is going to be. Resilient the economy for whatever you want to say about a rear looking measure in GDP. The economy has been growing, you know, two to three percent for the last four four quarters. It doesn't shows if it's about to fall off the cliff the question is if the fed is getting out of your way and you have trend or slightly below trend growth shouldn't market, be able to get in its own way here and continue to do what it's doing I kind of be well should know? Well is are we going to have trend growth things going to stall? That's the biggest question. Mark is trying to answer. If you look at some of these kind of leading indicators things are starting to roll over. So the only caveat, I would say if we get some movement, and it have to be significant at the g twenty towards some kind of truce in this trade war, then you could actually see the market hit new highs. It may be irrational. But that's the one thing that were set up for right now. So big breaks, it out, though. You know, you talk about what's been acting. Well, and it's all these defensive names. Utilities reads Staples. Well, I know but let's just look at maga- you know, you got your FANG I got my maga- that's Microsoft, apple Google, Amazon. When you think about it, you know, Microsoft is making do is all what the heck is that almost every day, I've never even seen. That's a brand new grads. That's how you. Yeah. Well see that blue hat. Listen Microsoft is acting like a defensive Dame people are crowding into it. But then, when you think about what did we see out of jail? What did we see? We see out of work. In the last couple of weeks and adobe. That's telling you that enterprise spending on some of the stuff is still pretty good. Right. So we know that we talk about the US consumer. That's great. But here's the thing back to the market, if the market's gonna break out to and flies. You're going to need apple. You're gonna need Google and unity Amazon getting back towards their prior highs. And I'm not certain that you can get two and a half trillion dollars market cap that has plenty of headwinds, X trade related to them to be that tort to get the market to break out. You know what else you're going to need Scott, in my opinion in need the small caps as measures, but the WM and in September of last year this item is one seventy five when the S and P five hundred was making its all time high. But guess what with the s&p five hundred affectively at all time highs, again, we're nowhere near the Russell. So if things were gangbusters, I think if the market were strong. Everybody wants to believe I think the Russell would be higher. Nancy, original question of what is it to tell you that we add the half minutes, any finally going to get incident? First question, but then US another question which I'm answering now because coming to me again. What does it tell you all these assets going? It says to me that the fed is looking at inflation, and all the wrong places inflation is right in front of your face, and it's manifesting itself, and all these let me throw another question out there to be K. Let's. Seven minutes to answer. Are you negative or are you just afraid to be positive because of all of the risk factors that around I would say that I am? I'm cautious. Because we've had such a run. We have been in a trading range for a year. It's been a big trading range. We're at the top of the trading range. There are signs out there that things are not as great as maybe and one percent away from the higher at all time, highs suggest. So what I'm saying is I'm cautious. I don't have a lot of equity exposure at this point in time. I don't think you need to I think you can buy puts if you wanna hold onto your stocks. But I think you need there certain times, and in this market, what we've had for the last year, there's certain times, you just need to be a little bit cautious. That's, that's what I would answer the question. Conscious like eight tugs. I'll feel about this. How about structurally cautious but tactically optimistic and this now we're like three times in the last week, and I'm gonna keep saying. The bottom line. Here's you have a handful of dynamics for market which which is at all time highs. Okay. And I realize that people don't like the quality of what's at all time highs. But there are some of the greatest companies in the world that right now are at all time highs. And these are companies that when markets were also at a low growth standard. We're not we're not doing I mean coca underperform for years when we in twenty fourteen twenty fifteen and we were kind of going through this fed induced, NRP environment, and people are wondering what happened to these great companies, these great companies are now actually chugging along at all cylinders. They look very healthy three casual generation, etc. Etc. So I mean, I think you just have to take the market, that is with you and not get carried away, say, everything is perfect, because there are a lot of issues out there. But, but the reality is right from perfect. I think what it's consumer spending. I think it's closer to bed than perfect. But that's what makes markets, but you could probably answer that, question, a lot more succinctly and we go. Guy, Chris Harvey, who might as well, one of the four the forth manning, brother. Do you want to do you want to enjoy them? I mean, welcome Chris Harvey. I won't even read that Wells Fargo securities what he's strategy is he good or is he good. He's great. He's outstanding. All right. You heard it. I mean I feel more negatively than than positive feelings about the market on the desk. What about you? All right. So there's a couple things a couple of litmus test. We looked at. So what has low volatility Dunston September low volatility outperformed by thirteen fourteen percent. Would it do in two thousand eight it outperformed by fourteen percent. Second litmus test. Let's go back to the summer two thousand seven. Let's compare that to fourth quarter of eighteen what happens six points out from the summer two thousand seven equity market was down three percent. The fed made emergency cut in. Oh, by the way, Bear Stearns was about to go belly up. Now what are we looking at? We're looking at the SNP up twenty five percent. We're looking at the fed, perhaps, cutting and, oh, by the way, the Bank stress tests, just came through and Bank balance sheets are quite quite strong. Right. But we're not trying to acquire whether the banking system is stronger today than it wasn't. Oh, seven. What, what, what are we going to have to do with being is a lot of people were in a better? We're in a better situation than we were seven and a lot of people are saying, recession, recession recession, we've not seen those telltale signs now does the banks are better capitalized. I mean there are other songs that you could. So banks are better. Capitalize credit spreads tightening. And yes is is rolling over new orders rolling over payrolls, don't look great. But all that's telling us what I think it's telling us is we've just picked. It doesn't mean things are terrible it, repeat. So we've just peaked. And now we're starting to have scratches cut their earnings estimates for the two thousand nine hundred ninety two thousand twenty and this goes back to the conversation we were having before. So you have an SAP if you have one hundred sixty six bucks earnings for ten thousand nineteen you have an SAP that's almost pushing eighteen ten and that's expensive, because all the crowding in names like Procter trading at twenty three times co trading at twenty four times or Microsoft trae at twenty six that's kind of the problem. We'll back and say, oh, that was kind of obvious those stocks should have never been trading at those levels. So if the ten years going to be a two percent for a long time. If credit spreads are going to be one hundred hundred twenty-five baseball Euler longtime. We're should multiples be at this point in time, they should be relatively high seventeen seventeen eighteen times. Not particularly high roll it back to the late nineties. Where we had things that twenty five thirty times that's expensive here on a relative basis, things aren't all that expensive fed cuts rates. What does the market do be says go down potentially? So I I don't think it goes down. What even getting before? Then what happens with the g twenty what I think is Trump wants things to go. Okay, but not great because he does want uncertainty in the marketplace, that's going to cause the fed to cut, right? If the fed does cut. I think it's better the yield curve tents has has gone up. It will continue to go. That's good for the banks. What can get the market higher is if the financial start to work. Now, if the fed cuts, we have breed, slower Trump can start saying, okay, maybe possibly, we have daytime in. Oh, by the way, I'm going into election cycle. I can't start turning up the heat into an election cycle because I can't have the global economy and definitely not the US economy rolling over in that type of situation. So you could have the sun. The moon SARS start to align the bars low don't you think going into the? Twenty the meeting between Trump and she, I don't think there's any, I think all they need to come out and say, is that it was cordial. We had a great dinner. We're gonna keep talking. Are we expecting something more Taryn some point, you have to have some movement beyond just, hey, we're talking again? I don't know if that's this g twenty I do know that there's a lot priced into this a lot of expectations. But at some point, you're going to have this os really nice. We had a nice Cup of coffee and a huge piece of cake, and the market goes down that could be next week. That's all I'm saying. It just seems to me that after the may six tweets or whenever those were that we're kind of the fresh kind of volley on trade. We had this case, where the fed then went extra the extra yard. And so you have this case, where really the fed once again, really trumps anything, and, you know, maybe, maybe not intended, but really will outdo, anything that goes on at the G twenty and right now, the fed is your friend. There's nothing that's going to change the feds ways and means right here. Now we've seen that, for the last eight years, every time you've tried to fight this dynamic in the markets has been painful. Right. Isn't that the bottom line? Why would it be any different this time? So what what's different this time is that we actually had crises brewing back in two thousand and two thousand and one and then again in two thousand and seven and eight we don't have one here except for the fact that is self adduced, Chris made a lot of great points that we can get through here here anymore. Well, we can get I didn't thank him yet. He's still here. We, we can get through this period, unless we still have these own goals, and that's kind of what's going on. And when you hear an equity strategist talk about how the president is trying to thread needle into an election year. That makes me a little nervous because when you have all of this negative yielding rates globally, you have our rate, cutting cycle starting from two and a quarter percent. We are that far away from some big, big this half that we do not have the ammo to combat if we do end up having a crate, which is why goals going what it's doing. That's right. I'll let you sum it up. What's your last workforce? We're going to thank you. Be careful. Don't let your hair on fire, but there is up side opportunity. All right. Good stuff, Chris. Thanks this. Chris Harvey, as Wall Street awaits, the big G twenty summit later this week, a handful of trade war. Stocks are soaring traders will tell you which stocks to trade or fade into the event, and that is next. Plus bitcoin coming off another wild weekend crossing back above eleven thousand so how much hotter can is bitcoin rally, get top analysts will be here to weigh in along with bitcoin PK the bitcoin, boss. We're live from Times Square in New York City, there's much more fast money right after this. Brought to you by fidelity, where decisions are clear and costs are lower than ever. Learn more about our industry leading value and open an account today at fidelity dot com slash trading. Fidelity brokerage services, LLC member. NYSE SIPC. Go back and fast money. Home Depot falling two percent today as CEO, Greg manure tells CNBC in an exclusive interview how the company plans to tackle potential tariffs. We'll do everything we can try to take other cost out of the business, working with our suppliers, whether that's opportunities and supply chain other other elements of the business. And then we'll try to protect the customer on the project. Some of it at that at twenty eight percents. Threw up some of it has to. But we'll try to minimize that impact on the customer. Happy despite today's move Home Depot shares are up more than twenty percent. This year is the HP homebuilder ETF is up nearly thirty percent. So how should you trade, this group TIMMY, well Home Depot to me is probably gonna trade. I on interest rate sensitivity, then it's going to trade on the margins in their multiple, they deserve a premium to the rest of the group. It's largely lows. But I think Home Depot in this environment, their professional services business, as a major margin component that can offset what's going on in on the tariff fraught. So I tell you, it's heady very good. Run off the bottom again that probably peaked when we peaked at around three twenty five on rates. I stay in the trade. I there's nothing to me that tells you refi cycles only going to increase here every tick lower. You're going to see more people jumping in and actually spending more money on the house. They have not the house. They want housing's a little dicey though. I'm not sure that that's actually true. I mean, in the past, it's been data, just horrid. Reach. It's a key point, just did the verbal equivalent of that it's a key point, though, that we have another set of terrorist coming up so far. A lot of companies have absorbed. The prices these new terrorists. They're not going to be able to absorb the prices. Then look at the national associated homebuilders index. They put out a future remodeling index that is rolling over near lows of the last three years. So all these things combined, I'm not sure if that happens again, just because rates go down by a quarter point. I don't know if people by the bark lunch. What's the other side of that? Well, no, I, I understand what both Brian and Tim are saying, but I'm inclined to favour became and we have been steadfast bowls in this. But Tim's right. They deserve a premium multiple. They get it. But go back Scott to January of two thousand eighteen the stock teddy parabolic moved to, to ten with precipitous sell off, then in the fall, another parabolic moved to, to ten and a precipitous selloff. Guess where we just topped out at I think, you know where I'm going here. So, maybe if the broader market has rollover could chew. Took you a few seconds that out my point is I think it's time to take profits now than tend to lever up the trade I'd rather buy an abrasion above, sort of two fifteen right here. Thank you, you this. I think it's really interesting that we have the CEO of that company at the Newark, stocking stone chains talking to David Faber days before the g twenty when we were just talking about the expectations were really low for this g twenty. What's really important is that we already have two hundred billion dollars of tariffs in place. There's three hundred twenty five billion that are in limbo right now. And so, I leave that those two hundred billion are going to be in place for the balance of this year two we have a substantive trade deal in look at how that is already wearing on US corporate earnings, how strategists are thinking about it. They're already cutting their estimates for the back half of the year. So if this doesn't go well, I don't believe that's priced in, because I think you're going to have companies in July when they start reporting, we know that, you know. Home Depot and Lowe's are on a different cycle here. You're going to see some really murky guidance that's going to weigh on the stock market's going to weigh on stocks like this. All right. For more on Home Depot, and to watch the full interview with the of depot the NBC dot com. I'm Scott wapner, you're watching fast money on CNBC first in business worldwide scares what else is coming up on fast. We go back to nineteen fifty five. I don't believe that's right. Because the SNP is having its best June in more than sixty years, and you won't believe which docs are leading the pack plus. Then coin is going full moon. And one top strategist says the sky is the limit for the crypto currency. He will be here to weigh in much more fast money right after the break. Technology today has never been smarter but smart only matters when you put it to good use. Together, we can build a smarter future for all of us. Let's put smart to work. Find out how it IBM dot com slash smart. We're back in fast money, the SNP up over seven percent, this month tracking for its best June since nineteen fifty five. Bob is on at the new York Stock Exchange breaking down some of this month's big winners, Bobby at Lok. Scotty, good to see, you know, art cash in famously said two months ago that the market was one tweet away from a new high and also one tweet away from a ten percent correction, you know, he was right on both counts. Look at what happened in may. We were down about eight percent in may on trade worries. And now we're up about eight percent in June, since the bottom on euphoria over central banks, but particularly on renewed hopes for a positive outcome on trade and tariff talks with China now you can see this with the best performers most our trade Relator. So if you look at industrials in metal names, consumer names, US steel world pool. Dear freeport-macmoran Textron, all up double digits in June, and tech trade related names semiconductors in particular. They're the most trade sensitive group, many of them getting the largest chunk of the revenues from China on apple also had a big rally in June overall finally casino operator. Wind also fourteen percent no surprise there. Seventy five percent of their revenues come from Macau in China. But we need now is a little more participation from some other groups to transport, for example, the railroads like Union Pacific Norfolk Southern they kind of set out, most of the rally in June at is some of the big healthcare names like Bristol-Myers, lily, basically flat back to us. Bob, thanks. That's Botha's on the stock exchange. So given all these moves. We thought it was a perfect time to play our favourite game trade it or faded others. We're gonna kick it off with you guy. We have the traded or fit, we usually run those you normally do well, animation graphic that was very animated spend all that time dance graph. I just wanted to know what they say. Maga- will come up. Not. At least I would never do that again. Have graphic envy. Rapper? We should make a bumper sticker. My and. And the point I'm gonna answer right off the bat. Faded now I'm gonna here comes the hate tweets because say anything bad about God forbid, what's your Email but get to the website, NBC website. Come on. But, you know, apple wrote a letter to mister lighthizer saying, you know what these tariffs are not good for us. And now they're talking about maybe moving fifteen to thirty percent of their production at China. I don't think the market's taking seriously enough. The potential ramifications for this US China trade deal or non deal on the back of apple. So at one ninety eight or so I would say faded, here's it's funny, I would trade it because I think the Mark that's all they're doing. I think the market is looking at they're saying they are the poster child for trade war, as being June. Something like that. Well, it sure. Because you've had this environment where all the trade war dynamics of lights up, look, the, the casino stocks, look at all those stocks up talked about, but apple to me is a stock that if this is an environment, where coke and Pepsi McDonald's and Starbucks and all these names can go higher apple with a capital market. Dynamic Aiden a large dividend, yielding massive buy back program, blended, multiple on the services side, that no one really knows, frankly, what to do with this. This is a safe bet in a difficult, what to do with it because they sold it down forty five percent from the highest services with a big part of the story last year, the bigger problem right now is not concerned about what they can do or not do with capital markets, because rates and the buy back their stock. It's the fact that iphones, not growing anymore, and that's two thirds of their sales, and that we, we've known that for year and I understand. But if you're telling me that services, though, is this great growth, engine. If you have the underlying aspect, the hardware, not growing that will impact it overall, and we don't have growth rates on this higher margin business. That's the sort of thing that you're going to sign a massive multiple like we do in other parts of the service. We're in the SAS, Mark your question growth is a company where people already know what's going on in terms of the growth of their core. Product, we know that there's a blended, multiple, you could put a twenty five multiple in this company by being around fourteen fifteen times on hardware, and be at thirty five times on. Services and you have a company that would the capital markets dynamic. What should scare you about this? Doc, in the short to medium term, when all this other stuff could be hanging overhead if you think the China's priced in and I do you have. Well, let's go. I think I think the rally this month is China positively about China being priced in. That's what concerns me about it. So on the fate it because I think a lot of things have been priced in the long run. I'm more with dense I will double fate. It failed. What is the prize, we I can probably guess the rest of this based upon these three guys on the desk? I could probably tell you exactly what it's going to borrow and g c we'll see Tim. You're up US steel, I'm eight or faded. I'm going to trade it. And again, this is a company that's had a lot of pressure or trade war dynamics for tariff dynamics for hot rolled price flat rolled prices. They gave a second quarter guide on EBay, da, which wasn't terribly. Good. What he thinks in the price in this company? This the biggest issue for this company, they're balancing, and in terms of how they're going to be cap backs if they could show some moderation there, I actually think the stock can do fine, an environment where everything we've just said is manufacturing's not integrate place. Everybody knows that this stock knows that so you he thinks he knows what I'm gonna say. But I'm going to also say, Scott traded run the graphic. Thank you. And the reason why is this inflation this coming chemo Sabi? It's right around the corner, and it's going to manifest itself, not only in precious metal prices, but in base metal prices specifically steel. It at twelve and a half thirteen dollars Tracy like it's going out of business, which it's not, by the way, this was a forty three dollar stock March of last year. When President Trump started talking about these things now steal supposed to be the best environment ever. P S looks like it's going out of business. They printed north of five dollars last year. They're expected to do a little over a dollar this year. This. It's. They're not going out of business. Steel companies are cyclical, but we're only fifty two. Harris that he actually plays on our allies for steel. Okay. So this is the sort of thing, that's actually slow idiotic. Don't get me wrong. I mean, look at George Bush dude I mean and it went down forty three percent. It went down sixty five percent on these tariffs, did nothing for steel companies. But ruin them all right. Next up. Bear suit PK. Yeah. You know, some rated or Shia. I think yeah, just a bit. But you know what I'm going to stick with it and faded, and it's not much that deer. In fact, I think it's probably a chance to buy this on a dip look at the run this thing is had. I mean it is just been like a skull, the dog taking off here. That's not something that PK wants to buy the highs can wants to sell it there for you fade. It. You know, in January of two thousand eighteen where John Deere, the stock was trading Scott maybe should look at the price up there you say it was probably about one seventy guy and you'd be right. And now where's the now probably about one seventy valuations concern? But you have aim here, major be K, double top, and John Deere. I'm with. I tell you at the risk of jumping on the bear guys. There's also thing, one bull in the does it look, it's my back is breaking right now from the burden I'm carrying for the rest of America right now. But here's the problem. My John Deere lawn. Tractor broke down two weeks on happy with John Deere, just to be clear. It's in the shop. My lawn is now two weeks without getting cut. The neighbors are complaining. Wh what can I tell you? So I'm fading last one Danny. Faded for fade it. I think traits. Let me tell you why laugh. Well, hold on. I treat this one and let me tell you why. Okay. This glass year trading about two hundred bucks got cut in half when there was serious worries about Asia flowing about Chinese economy, slowing here. So the stock is actually was up, what it was trading almost one hundred fifty bucks, just about six months ago or something like that. It went all the way back down to one hundred. I think it's finding a floor here when they reported in early may Macau revenues were down fifteen percent. Bob Bassani already told us about two thirds of their sales come from cow. I think the cows trying to find a little bit of a bottom here. Chinese equities in general have acted. Okay. I think they're getting some support here. And I think this is a way that U S investors might try to play some sort of reflation trade in China. Yeah. He's a traitor. No one has just say, I think to me, this is the same trait. I catch you midst. Meant to come over and give them a hug. Hug it out. We usually wait till the break to go full while we do. That's how we that's how are you? How he said, I was trading show cold on, we'll we'll, we'll hug it out. All right, please all right. All day tomorrow and CNBC. Don't miss Karl Antony special report made in Vietnam. He's profiling that country's manufacturing. Boom it all starts at six AM eastern time still ahead. Fedex tumbling today. Now down nearly forty percent its September high one traders betting the stock it continue to break down on earnings this week. We've got the details plus going crazy. Crypto after Facebook unveiled its libra coin last week. But one top analyst says there is something investors are getting very wrong. He's here to explain when fast money returns in finishes candy bar. Welcome back to pass money. The transports tumbling today. Posting the worst session in a month is excellent ups are under pressure. Fedex, also cutting express rates to try and lower more customers from UPS as their contract with Amazon winds down. Well, UPS is in the midst of a huge revamp to adapt to the demands of online, retail both of these companies struggling for the first African nineteenth. So who if anyone can come out on top God, I don't think either one of them. I mean this FedEx made an all time, high eighteen months ago, the stock market's at an all time, high spending consumer spending is through the roof ethic should be through the roof and here we are some thirty five forty percent lower makes no sense, except when you realize maybe things aren't as rosy. So I'm not bullshitting FedEx at all. I think this thing rolls over any strength has been a cell for the last eighteen months. And I don't see any reason why it's going to change tomorrow. I mean, look at look at some of the other things outside of FedEx Norfolk Southern the rails. Don't look good look at Old Dominion. Afraid, J B hunt, all of those just look horrible again. If we were in a really great cyclical economy, those things should be screaming. They ain't we're not in a recession. I didn't say we were Sally. We are because we're on all time highs, and you might get disappointed. In earnings doesn't mean you can go down ten percent. Sure have another session, if you what the bears are talking about makes sense. In terms of Brian's, probably for into truckload spot rates, which are down about twenty five percent year over year. If you look at export covy I just saw some quotes this week down about twenty six percent year over year. So, so the numbers for shipping and freight don't look pretty and on a transport side, if anything the place where I think you actually should not be listening to any of that noise is on the airlines airlines to me are priced for recessionary economy. And I've said that actually feel very comfortable in the airlines, I feel comfortable owning FedEx Dan has pointed out, and he's right. Some of the time. And he's wrong some of the time as of I FedEx. Is it look and FedEx at a trough multiple means zero? Away a way and I was like, oh, so five thirty. I watch it and five thirty and what he pointed out, is it look at ten times. Yeah, it's a trough multiple. But it during trough moments, this is the stock that actually goes well through that I feel very comfortable thread Smith very comfortable with the management team there. And this is a stock long-term term earnings tomorrow after the bell options traders are betting on another downturn. You're going to go to the plasma, and yes. So they report like you said, it's got after the bell the options market is implying about five percent move in either direction between now in Friday's close on average. A stock has moved about six percent over the last four quarters, all four times over the last year, the stock has declined the next day guys point the stock had been a sale on rallies. But it does find buyers because of that fine management and that cheap valuation. The one trade that was kind of stuck out today, and it looked like maybe it was maybe a couple of traders accumulating this position today with the stock above one sixty one they were buying the June twenty eight this Friday, expiration one sixty one fifty puts bread paying about three dollars for those looking for a move down to one fifty which would essentially be in line with that implied movement. Let's just go to the charts. And let's talk about why one fifty could be a very important level. This is that one year chart here. This is the December low just above one fifty last month. It kind of bottomed out just about one fifty now. It's kinda turning lower. As we head into earnings tomorrow night. And then here's the tenure, this is really interesting here. Obviously, this stock had this huge ramp off that uptrend from the two thousand nine financial crisis lows here, and it's down forty percent or so in the last year it's right at that trend line. I would say one fifty is a very, very important level. I just make one point you know, I think expectations are very low. So this company does not have to put up a big number for it to find support down in the fifties. All right stuff, Dan. Nice. All right. As always for more options action. Check out the full show every Friday at five thirty PM eastern time next up. Bitcoin is surging to its highest level since twenty seventeen over the weekend. RBC's. Mitch Steve says Wall Street is getting one thing wrong about the crypto grace. We'll tell you what it is right after the break. Welcome back to fast money. We have a bitcoin alert crypto ripping through eleven thousand over the weekend. For the first time since two thousand seventeen bitcoin just under that key level. Now there it is ten thousand nine hundred sixteen and seventy five cents. It's been on a wild ride this year up nearly two hundred percent as investors jumped back in to the crypto craze who else, but the coin boss, who could that be? Yeah. It's, it's interesting. We've talked about this. All you, you're actually starting to see real buyers. Come in. We talked about it when it was closer to five or six thousand and actually, even in the four thousand that what you're seeing is, we have a supply cut that's coming in two thousand twenty you generally see a rally one year before, and one year after so right on cue. Here comes bitcoin rallying the one thing I would say everybody we are now up like you said, almost two hundred percent for the year one hundred seventy some odd percent. Remember this extremely risky asset class even in two thousand seventeen when bitcoin was up a thousand percent you had months where it was down thirty forty percent. So if you're buying. Highs recognize you're buying it. The highs, have you might be able to miss you question. You said the magic where it's it's a risky asset class. Okay. I've heard some people say that bitcoin is a safe haven, how can they save and be a risky. How can a risky asset class be a safe investment thesis that it's going to be digital gold. Right. And that's an as people need to buy into it. That's going to be the investment case. It is not a quote unquote safe. Haven it is a hundred percent volatility. That's the most volatile asset class out there. So you have to exercise a little bit of caution with it. But there is an investment thesis that this could disrupt goal. And if this disrupts gold, you're talking about prices that will exceed the last bull market. Okay. Thank you for doing that actually knows great. All right. The crypto craze has been fueled in part by Facebook's unveiling of its own cryptocurrency libra. But our next guest says Wall Street is getting something wrong about the new coin launch let's bring in Mitch Steve's. He's equity research analysts RBC joins us from San Francisco. Steve, good to have you on. Hey, thanks for having me. What are we getting wrong? Well, I think one of the interesting things is we at the start defining what a crypto currency is. Right. So people believe that crypto currency can be centralized in it can be decentralized. I think that, that is incorrect. So we have to separate the two items, one of these, centralized cryptocurrency, like a libra, and then one of the decentralized, cryptocurrency like bitcoin, so I'm going to put it in layman's terms or really three key item so where they centralized cryptocurrency, they can shut down your transaction. So let's say wanted to send you five dollars of libra right now, Facebook very easily. Just stop that transaction if I wanted to send you five dollars with bitcoin right now there's literally nothing you could do about it. Another one is the on boarding to go onto the libra system. You have to actually be approved. Right. So to get on the bitcoin system, you don't have to do anything. So if you're in India, where they've already come out negative on libra. You actually cannot get any libra, right? But if you're an Indian, I want to send you money with bitcoin, I can do that today. It doesn't really matter. Right. And then the last one is actually, the consensus protocol, and it'd be a little more complicated on the tech front. But basically, the consensus protocol for libra uses. So they call Byzantine full tolerance with that means is they chose the validates to confirm each transaction, whereas in bitcoin, if you want to download the code yourself and make sure everything's legitimate. You could do yourself. So in the other one, you're trusting Facebook, and you're trusting everybody else who they essentially charge, ten million dollars to be part of the protocol with your with each transaction. Let me that was really the big three different. Let me ask you this question. How many bitcoin dollars do you think the libra announcement was worth? In other words, if they did announce it at all. Where would bitcoin trading today? I'm not sure if they're really related to be honest because. Because the problem is that the one thing that is related is. I think it's making people read now. Right. So before I would get a lot of questions that said like you can separate blockchain and crypto currency. I think that the average institutional investors, I should be reading about this now. They actually understand you can't separate blockchain and crypto currency now after the Lieber now. It's people realizing wait a minute. You can't really have a centralized crypto currency and decentralize cryptocurrency. So that is what I think is happening. I can't really put a dollar value to it unfortunately, but I think that it's helping educate everybody on what the differences between all of these different cryptocurrencies out there. Sure I get and I didn't mean maybe so literally, but you gotta get my point that if Facebook didn't announce this, I wonder if bitcoin would've had the crazy weekend that it did. But be K Brian Kelly has a question for you. Hey, I speak as I have a question. You've been the past talk about this asset class being ten trillion dollar asset class. Get me there is that all bitcoins because of so then bitcoins got. Huge run. Or are we talking about multiple different assets that are going to emerge? So to me, there's really two different asset. Classes within cryptocurrencies Thursday store, value slash medium of exchange which would be a bitcoin minero the cash effectively light coin, etc. Then there would be the decentralised application side, which would be theory, E, O's car Donna, and we've written about all these these two different sub segments. So the first way to get there is just look at gold right goals about seventy trillions and not. Everybody gets you to one use case getting you to ten right? Over fifteen years. The second one is significantly more complicated, essentially what you're looking at is a decentralized internet in this decentralized, internet, essentially all the privacy goes to the users. So what that means is in the future when you were using the internet. You will no longer be forced to see ads. You'll be paid to see ads. You will no longer be forced to give out your your financial information. You'll be you'll be allowed to choose who sees your financial information. And so that environment when that went scales on, I think that's going to be worth significantly more than just the store value side. But I think still people are trying to understand the store value side. And so that's still has, as you guys are. No, that's kind of the digital gold argument that people make sure Mitch we appreciate it very much. Thanks. If we think about that take on libra, so listen. He's, he's one hundred percent right? Lever is not a quote unquote. Crypto currency to your point, though. We were trading at about nine thousand dollars before this announcement came out, when that announcement came out, I saw miners who were selling say, you know what I'm going to stop selling for a bit. So I think it's probably worth fifteen hundred thousand points bitcoin, when that news came out. Interesting, it seems though, that if nothing else they've reignited a fire, I realized that, bitcoin, it already had a pretty nice run year to date. But it certainly ignited a fire under under this by the same people that were trading this currency before. So everyone said it was left for dead. It's it tells you people want highly vowed, first of all they want to speculate Brian, and they don't want the store value, and that institutions are nibbling around the corner. I think that's clear. Coming up, Amazon threatening to take down one of the best performing stocks of the last decade. We're gonna tell you what it is. And how to play that space. We're live at the NASDAQ time square and much more. Fast money is still ahead. We're back. It's time for little was killed. It was an ugly day for shares of beauty retailer Ulta falling nearly three percent after Amazon announced the launch of its own beauty store, allowing makeup artists and stylist to shot from a list of professional products, beauty stocks. Dazzling investors this year with shares of Cody up nearly one hundred percent. Estee Lauder alter and ELF all up more than forty percent. But is Amazon's break into beauty a bad thing for this group guy in the short term? Yes. Remember when they started they seven, they go into sort of home depot's lane at Home Depot. Extra took a bit of a beating for a period of time until it got its footing. I think the same thing that's going to happen here. Listen ultra, for example, was two hundred and fifty dollar stock beginning this year. Three fifty now the move has been fantastic and somewhat justified. It's not expensive at twenty three times forward earnings, but with Amazon radar screen. You gotta take profits here. I think you take money off the table. You see what they do, when they report owners, I believe in August. Ulta gets it from both sides of Emma's. John set their sights on him bolt is, basically, this is me. I'm the beauty. Correspondent I got two teenage daughters here. The big box retailer daughters, right? Big box retailer makeup. And then you have glossy on the other side, which got the direct to consumer kind of cool factor here. This is not a good thing for all, but Amazon's been in their lane from the beginning of time. I mean this if anything that should be more for hitting target, and WalMart and the people were buying it. I think the brands themselves are actually pretty good place, such high margin to, but Estee Lauder to me, and Lori aller to places I think you stay March is a great. Well, I think that's probably why they did so Well I- for alter, though, ultras traded kind of, like one of those restaurants stocks, but they keep opening all these stores and they get this huge earnings growth. Same thing with alter. They've opened a whole bunch of stores. Now the sudden Amazon's coming in, you do not want to compete against Amazon, so well, I'm with guy. I'm a is that bread? Speaks easily tidy. Book end fater and a hater. All right up next. We'll do final traits. All right. Let's go around the horn final trades to me bursts. Lot of good shot about transports everything around that space. I actually think FedEx game pointed out. I think there's a lot of bad news in the stock. I think he's seen actually guidance cut. And I think this is a company that margin and on valuation thinking on it here, right became so we talked a lot about warning signs, one of which is being gold. You're seeing bitcoin golf. We are seeing some people actually buying big point because they think that there's going to be a currency war out there. If gold keeps going higher, you're going to get an emanate poop, the way you play that is the junior miners, GTS, Jack. Okay, Danny boy, I think this crowding into these staple. Stocks is getting a little overdone Kramer said it Friday morning on the air. You said, Proctor and gamble is not the sort of stock that goes up when the market, and they concert on five or sell the Staples XL people to Spencer. Okay. Clinton pays attention. By the way, it's great, you know, you don't you programs. Joy you to enjoy this. You have fun. I know you're tired when you get it, but they didn't take you ramp up like man. This is fun. It's Diane right in my house. Right. This is a friend of yours know, Terry Duffy watches your show, Terry fence Mercantile Exchange. Otherwise. Nineteen percent your rear that sucker going higher. Great nice being with all of you for us. Us again, five AM eastern tomorrow that Kramer begins right now. We live in a world. That's creating a enabled everything a world with more devices than people today. Technology has never been smarter. But smart only matters when you put it to work where it matters when we put smart to work, we can help save species increase crop yields and make progress, but not just for a few of us for all of us. So let's get to it. Let's put smart to work. Find out how it IBM dot com slash smart.

fed US Brian Kelly Scott wapner China Amazon Tim Seymour Home Depot SNP Fedex John Deere apple CNBC Chris Harvey Danny boy Trump Mitch Steve Microsoft
Fast Money 06/11/20

CNBC's Fast Money

47:28 min | 6 months ago

Fast Money 06/11/20

"Fractional shares trading is now available for all fidelity customers on the fidelity mobile APP by us. Stocks Ats Commission free based on how much you want to spend. Instead of by the share, fractional share quantities can be entered up to three decimal places as long as the value of the order is at least one cent dollar, as traits can be entered out to two decimal places sell orders are subject to an activity assessment fee from one cent to three cents per thousand dollars of principal fidelity brokerage services member NYSE SIPC. They live from the Nasdaq market site in New York City's Times Square. This is fast money. I'm Joe Kernan in for Melissa Leo. Let's get right to it a major off on Wall Street today. The Dow plunged nearly seven percent the worst day since March sixteenth, every single SNP sector interesting, the day in the red with energies in finance was the hardest hit. We have full team coverage standing by to tackle today. Sell up! Let's kick things off with someone who watches watches the minutia and Bob Passante. Bob Hard to find anything anything positive in the day, but seeing you is positive for mates. Thank you good to see you as always much overdue. Look at the cyclical rally and the reopening story in general I. Just want to show you a few things here. Because V, rally that a lot of people have been hoping for has been inverted. There's there's an inverted V that's actually happened in a lot of the cyclical names in the last few days punctuated by today. Today. Let me just start with some of the energy stocks marathon mroe marathon was six dollars at the start of the month that goes to nine dollars, and then back to six. This essentially an inverted V as you can see a lot of Hess. Devon they're all. Look the same way same thing with other big industrials. If you look at General Electric General Electric goes from. Six to nine I believe and goes back down again as you can see right here to essentially six dollars and change same situation of the Caterpillar looks essentially the same way other industrials same here at the airlines United Airlines we watched. With our mouth open, it goes from thirty to fifty dollars, and now essentially back into the thirty dollar range. All of this in a few weeks think about that same with the banks, and this is even more remarkable, considering the market half of city group, which was forty dollars middle of the month. The Star of the month goes to sixty dollars goes back essentially to forty eight. That's what I'm talking about these inverted vs that you're seeing Goldman. Goldman. Morgan Stanley same thing with that as well travel and leisure United Airlines. We mentioned that thirty dollars to fifty dollars, and he goes see what's going on their city group as well utilities. Curiously you think bond proxies would do well in this environment, but not today. Interestingly they had a modest rise about ten percent in the last few weeks, but even they weren't safe. So what's moving stocks today? I think it's safe to say the valuation. Valuation Story was the main one. The market has voted. It's frothy reopening story. It's not a V., but what exactly is it? We don't quite know right now here. The stimulus story is still there the Fed still supportive. That's still a good story and treatment and vaccine progress, but we heard a lot of stories today that certainly there, so joe? I two of the four, definitely under some attack today Joe back to you definitely Bob all right, thank. Thank you let's bring in tonight's trade or lineup guy odometer Tim, Seymour Karen Fineman and coming to us live from the New York stock. Exchange Steve Brazos Steve is following nyse safety guidelines in is required to wear a mask while on the trading floor. We're going to start it off. I, always like seeing. Everybody's House and where people live Karen coming to us from field of dreams looks I see a baseball diamond I believe in in radio. I can barely make him out. Actually. It's a very serious day. No time for Levity Guy. Tell us about today CELAC. Thanks Joe. Thanks I mean. It's a long day for your being here. Joe Today off three thousand, the S&P or some people say may twenty ninth so. We've been here before, and we were here very recently so. I was thinking this something like this would happen a few hundred. points ago so here we are, and in my world being early as being wrong, but for context you know you I think if you're bullish, you want to see a day like today now. Some of the things that are somewhat disconcerting is the fact that the vix has now a forty handle, which is remarkable given where we were just a few days ago and what really worries me? Me Is something that few people talk about Tim brings it up. From time to time is volatility. We're seeing in the bond market. I mean ten year. Yields are back to where we were seemingly terms of volatility back in March you go from sixty basis points almost to one percent back down to sixty five basis points and percentage point moves. That is extreme in anybody's camp, so that's. That's a little worrisome. What I think you need to do here? It's funny. You had a guest on the other day on your morning. Show I think Boeing was trading on or about two hundred thirty dollars have the time. Yeah, and one hundred seventy five dollar price target here we are right, I mean here. We are seemingly two days later, so I think you're looking for opportunities to. To buy the same specifically Boeing just put it in context, you take the march low, which was eighty nine dollars a recent high, and if you could buy the stock at one, hundred, sixty, one or thereabouts, which isn't that far from where we are now, that's sort of a fifty percent retracement so I think you have to be looking at things through that Lens. It was it was. Ron Epstein of Bank of America, I remember, and it was one hundred sixty guy, and I was needling him a little bit about you got a one sixty price starter well above two hundred before you came on today. Why didn't you up? Your price target is not looking too bad. At one seventy guy guy been around a long time. Although you don't, you would never know but short sharp scary corrections. Normally aren't the kind of thing that it is quite as I mean. This was awful today watching it is sort of sickening, but it gets us back to still above three thousand on the S. and P., and suddenly we've engendered a lot of fear again and wrung out some complacency that I mean here. We are above three thousand, but we're scared to death again. That could get out of hand with the second wave or something. No I think you've pointed the point I made earlier may we may twenty ninth? I don't think it's A. It's a scary thing. I don't think it's a bad thing. Because the way, the market was moving unabated over the last couple of weeks with scary and something. We've talked a few days ago Joe. What gave us pause was the fact that back in March? We saw indiscriminate selling. Going lower well couple days ago. We saw that in reverse, and we also mentioned that on a pretty big update. The vix was also higher, and that gave us some concern, so maybe it's all sort of coming out in the wash your point. I don't think this is necessarily a bad thing. It was not not fun to watch and gave you know all that that week. That was so amazing like seven percents gone. Anyway I'm going counterclockwise going down going down to Karen Karen what do you? What do you think? Is it a? Short sharp correction and an ongoing trend, or is it the beginning of of reckoning for the disconnect between you know all this scary stuff happening in the world and the market which was soaring. Well I. Say thanks for Pitch Pinchitting. You can come out to field of dreams here anytime. You want a wet today, but so two guys point I agree this sharp down. I'm always logged so I like this chart down lately. Avid finding it's harder to find things to buy lately. Being like last Tuesday and the reversal, since then is really kind of extraordinary, but we're only factor where the beginning of last week so. I kind of like days like this as as painful as they are, and as much money, as I lose a day like today I find it sort of. A nice wash up to start to look for things to buy again. This move in the guy pointed out. That was a fifty percent move today from twenty seven to forty. That's really that's an interesting indicator. Right? You talk about people really getting scared. I think they are I think it's worth noting that this morning Steve Mnuchin said. We're not feeling too close the economy again even if there is a second wave that was interesting to me and worth noting so I'm looking for things to buy. Not The airlines, even though they've come down a lot. They were up at a ridiculous level I'm looking to buy things that I already own some like a Fedex something like that I'm looking at by some banks. I don't love to go into. Friday wouldn't be surprised. Margaret Trades down again and then I'll probably look to buy over the weekend, but I think this was good. This was healthy and this was. Overdue. Going over to you Steve and you would think the discussion would be that. We can't really see that well, but it was all about the sweater. With, the people in my ear, and the very very preppy looks like you're back in Tampa, K., brew. That was your fraternity. Was it anyway? What do you think of the of the sell off today so? First let's let's address the sweater I. Only because this is about twenty percent of the people that are normally on the floor of the exchange. It's freezing on the floor is so I'm going to get a pass on the sweater at this boy helmets? Right now it's about fifty eight degrees on the floor. Come on! Turtle. These Him For this thing. So now when you look at their overall market, I think this is constructive from where we came from when I look at the chart. Twenty, two hundred is where we came from Joe. You know better than anybody up to have that rally of forty seven percent off the bottom. Yep, this is a win. You have the Fed the Fed buying. Corporate junk bonds this so I. Don't think we can get back to twenty one hundred again. Having said that we're back to the two hundred eight moving average, so if you want to be constructive, that's where you start from. Ten to one a look at the overall marketplace, the Powell yesterday a Owens Powell Powell yesterday said that interest rates are going to be stuck here. So, you understand why value how to back up again. You understand why the economy not starting up. That quickly is negative for the overall market. But I think this is just a backpedal. Maybe a little bit longer, but I would think that you just to Karen's point. Get Your shopping list ready. We're now going back down to twenty thousand one hundred SMP. This looks to me like a little bit of a backup in a buying opportunity in the macro sense, certainly get your attention, tim seven percent and the day. I mean you don't WanNA, string four or five of those together obviously. Now now you don't and this got my attention to, but think about where we are apple. Still up eight percent over the last five days, Boeing, still up eighteen percent over the last five days, and I think Steve Rightly pointed out the move that the market had before yesterday the the previous two weeks we'd had the market then ten percent nine days, so so we're reminded through jobless claims and continuing claims morning effectively twenty one million people continue to file for claims. Claims we know that there's been some resurgence in Kobe. And we know that the market and that gives me. The economy is not opening quite as quickly but I think you have to take this all in the context of where we came from in the same way, remember the violence of the move on the way down. Some of that was because of the unabashed kind of blow off top. We'd had going into this so I think. We need to scary day. But I don't think we things have really changed that much day over day. I think we've digested the Fed. And I think if anything. The Fed reminded the market sometimes that bad news can be bad news. We have a gentleman who actually. All you guys do this for a living, but he's gotta live by what he says because he's head of Equity Strategy for Wells Fargo Securities Chris Harvey. You Echo what you're hearing from From us here are or what do you? Do Echo a fair amount of what I'm here so I think it is a healthy correction. I think it was long overdue. There's a lot of talk about a second wave I. really don't think that's what it was I think it was very much bed related. Going to tell you that we're going to keep rates lower for longer and longer and longer to things are going to happen and what we're beginning to see both one that negative interest rate narrative commentary is going to come back, and that's not good for rich product. That's not good for sentiment. That's not good for the economy, and the second thing is going to do what you began to do. It's going to flattening yield. Yield curve and the same thing they're bad for risk product bad for the combat or sentiment, but but I really do think this is more of a ten percent pullback than anything else because the underlying fundamentals are slowly improving the credit markets are wide open. Credit is widely valuable, and we just went too far too fast I think things probably trade poppy up until fed, stress, test, or maybe the to to earnings. But eventually they'll start to to work themselves out because I think the commentary, though the numbers will be very difficult in two, you will be rather constructive where the C. Suite says. Hey may was better than April June was better than May and July not so bad and I think we can rally on that and I think that's what we need to look forward to that Chris interesting you ascribe more of it to the Fed into the worries about about the pandemic I asked Jim Grant this morning whether. Ever comes the day where the Fed is actually part of the problem for what's happening instead of the solution. We all think the feds done a great job. We love the liquidity, but guys like Jim Grant think we're never getting out of this that the the size of the balance sheet at this point and the central banks around the world and negative rates, and beggar, thy neighbor and everything else that he actually thinks that the Fed is part of the problem with what's happening in the market, not the solution. Do you think that? So the did a great job back in March, and they did a great job with the facilities, especially the credit facilities, but I will point out that to the best of my knowledge that the Fed hasn't purchased a single corporate bonds, but getting back to the point. The issue was yesterday you have with the Fed is big. Keep saying or thinking that lower rates are the solution, and that's not the solution anymore. And to your point. There's a lot of things are fed into right I. think what the Fed did for many years is provided too much liquidity. They kept the creative destructive process from happening too much capacity, so we never have pricing power and didn't have inflation, and they were part of the problem so i. take the good with the bad. They've done some really great things, but some of the things that they're doing I think they. They need to work on some of their communication and I think they need to really understand better. What they're communicating to the bond market to the yield curve and to investors, because lower rates are not always pollution and I don't think the solution. Right here right now because there is a vocal group of people that you see it on the Internet and elsewhere about you know about central banks, and the Fed and everything else, and I'm just wondering you know everybody's saying. Yeah, the Fed did it today, but they did it just because. Of their economic take on on what's happening not because of what the Exit Anyway Chris Thank you. Guy, what do you think what what? What Chris said and just on the notion that there could be i. don't know when I mean. Inflation doesn't seem bad, but there could be a day of reckoning some day for the Fed. Yeah. It's interesting I mean. I'm sort of come down on the other side of that. I'm on sort of Jim Grant side where I think the Fed is more part of the problem but I can understand if you're just looking through the prism of the market, immune been unbelievable for the market and I get the wealth effect that creates I mean I can understand that argument, but you know broader looking I think the Fed has gone down a rabbit hole to your point that they're never going to be able to extricate themselves from which is problematic, I don't know when that's problematic. I think again to Chris's point. They've put in a bit of a buffer where the credit markets are not going to have that Event like we saw in March I think that's positive. And I do think you have to start looking for levels where you want to get back into some of these names, they've moved so quickly. The banks for example I think Dan. Nathan has done a really good job with these. I mean J. P. Morgan, for example got to one fifteen. We talked about one fifteen as a level just in terms of the metric of at sixty two dollar tangible book, a one point eight mult bond that gets you one fifteen, and it did exactly that now I think again and I think Karen would agree with this. You're looking for levels to get back in to these names. We'll talk more about that I think, we're Karen I, would have maybe gone to you or Tim received just I'm just reading, and it said Guy Asks Guy what he thinks. I don't know who made guy. Who May die king, although that's that's why that's a beautiful back. He's got. He is king. He is King King Guy All right. We're just we're just getting started here Fast money up next collapsing crude oil tanking in self today. We're drilling. Drilling down on the big move lower and then later the ultimate safety play. We're going to tell you where option traders are taking cover as stocks. That could mean we're going to. That's money is back in two and two. Fractional shares trading is now available for all fidelity customers on the FIDELITY MOBILE APP by US stocks ATF's commission free based on how much you want to spend. Instead of by the share, fractional share quantities can be entered up to three decimal places as long as the value of the order is at least one cent, dollar-based trades can be entered at to two decimal places sell orders are subject to an activity assessment from one cent to three cents per thousand dollars of principal fidelity brokerage services member NYSE, SIPC. Welcome back fast money, crude oil, getting crushed in today's sell selloff WTI falling nearly nine percent energy, a worst performing sector today names like Halliburton slumber, j., Chevron and Exxon all falling deep into the red. That's no small feat to be the worst sector today Tim with some of those extended airlines and travel related stocks. Are you trading these names or what happened? Well, I, you know. I'm trading at least one or two of them from the long side and trading them in the context of someone something slumber J. which is down twenty two percent three days. Boy I wish. I had taken some profits three days ago. but what would they gave you? Coming out of their first quarter earnings was not only a dividend. Cut a look into their liquidity profile. Business reliant strategy that indicate some divestments, but this is arguably I- I I, still think it's one of the most important companies in our country. I think oil technology. I think the oil sector I think energy independence, and I think these guys have been very fruit, and and how they've looked the balance sheet, so the the energy sector has the highest Beta. Beta effectively address sector in the SNP right now, because of where it's come from, so you can make an argument that the fundamentals are still very poor, but as we like to say you make the most money when things go from terrible to just bad some of the headwinds for energy and for oil in particular over the last few days. We're. We're getting some sense that actually drilling activity in the Permian Basin, and the other major basis is actually increased significantly. We've also got some sense. There's more of a backstop on the debt of a lot of these these less stable companies and that's that's great for the companies. It's great for those investors, but it's not necessarily good for the sector to be overproducing and keeping four companies alive, so I think this is kind of the crosshairs. Now slimbridge to me is a longer term holding, and certainly one that I think when we see well, prices normalized, which is not at at thirty dollars on Brent. More like forty five it's a name. I'm going to be very happy owning. Do you have position in any any energy related issues. No not really, but the thing is interesting to me. You know I it could have been any sector. That was sort of you. Know game on you, so you know airlines banks. We'll get to some others. I think they all just sort of went down by not wildly different amount, so it was sort of just a cross, the board risk off other things that were down equally as much as if they were in oil name. Anybody in the market probably had that experience today. Anyway all right we will. We're going to another break, and then we'll be back coming up much more on today's big selloff. How do you manage your winning trades? Born so well right, and then you get caught up in today's slide. We're headed to trade school next as we head as we head out, look at today's biggest Dow losers. Low list, a full market coverage continues on fast money returns. Was In fast motion. Welcome back to fast money I'm Joe Kernan in from Melissa Leo if you're just joining us or a major sell off on Wall Street Dow dropping nearly seven percent, and when you're up in the high twenties that. Can be a big number. Almost almost one thousand nine hundred points at its worst day since March sixteenth today's big slide, the first real test for a flood of new investors who've recently piled into the market in the some. I guess questionable speculative names. At least let's get to Leslie Picker with. Hey Joe that's right. Welcome to the stock market, knots of increased interest from retail investors have been partially responsible for some of those wild swings and bankrupt or near bankrupt companies over the last week that we've seen, and it's left the so called smart money kind of dumbfounded. The Laws of finance say that equity holders rarely recover money in bankruptcy, because bondholders in order of seniority get paid out first so when shares of companies in chapter eleven proceedings like hurts and whiting petroleum began soaring over the last week. It kind of defied all logic, and that was at the expense of some sophisticated hedge funds that were on the other side. Side of that trade the Hedge Fund strategy is called capital Structure Arbitrage colloquially me. Industry Cap Structure Are oftentimes when it comes to a distress company. This involves shorting the equity while going long. The bonds capture MIS pricings up and down the capital structure, but over the last week when day traders started bidding up shares of bankrupt companies in actually caused a short squeeze, sending those stocks, even higher as hedge funds were were forced to cover. So when you look at the number of share shortage in names like hurts JC, Penney and whiting petroleum, those are way down over the last month. That's according to data by s three partners Joe. All right, well, thank you Karen. What's your take on this? This is this isn't the first time in speculative somewhat speculative times that you see stocks like this. Behave in ways that it may not make a lot of sense when it's all said and done. Yeah it makes no sense and I mean if you look at the bond. As Leslie pointed out, you look at the capital structure of the bonds trading in the thirties, the high thirties for some of the mid level bond so the equity. Now it's ridiculous. This is I think it's it's worse than the Internet bubble in in that I think the Internet bubble you could buy the story of a dream I guess here. It seemed to me so much. The volume has no idea how bankruptcy works and is sort of just choosing to ignore it. Hoping that you know the greater fool is out there, so I wouldn't touch any of this stuff. Let's let's talk more about the day trading boom and one stock newbie investors have been betting on Newbie investors been betting on his carnival cruise lines, one of the most actively traded stocks on the Robin Hood eappen. It fell fifteen percent today. So you're you're in this name. And you're wondering how to get out. You are in luck. It's time for trade, school classes and sessions. Steve Grasso take it away. So usually when you trade a stock like this show, you get it if you're lucky enough to pick it at the bottom, so you came in today, but it's up over two hundred percent off the low. You're lucky enough to buy it off that low. You have to have an idea where the resistance is so that resistance could be a moving average. It could be a bounce level could be retracement. For me, I look at the FIBS so when you look at a resistance level, look at where it starts to roll over on a chart. You see where it hits that wall. Almost down to the time when you look at your bounce levels or your retracement at that point. As a traitor. You need to sell either all of it. Some of it a partial. My rule of thumb is sell twenty-five percent. This way if it trades back down and then trades right back up the resistance. It's GonNa pop to that resistance, and you still have upside potential. If it does not return, you look between that level of resistance and a momentum indicator. I use the twenty day moving average. It's referred to as the momentum indicator. You divide up. In segments of twenty five percent from that initial resistance down to the momentum indicator every time it breaks down equal parts for parts. You sell another twenty five percent. Once you get down to that momentum indicator, which is the twenty day moving average, which it was basically not even there yet today you should be out of the stock. If it breaks that level, you should only be holding twenty five percent. Of the position. If you have that position left, and it bounces like these technicals and these volatile markets. Do you still have some upside potential and the name? If it breaks through your only left, holding the bag on twenty five percent of the position, that's the way to be disciplined. That's the way to trade these highly volatile names in a retail market. Make sense, thank you. Steve Makes Sense to me anyway guy. I have to ask you for your take on St St strategy whether you'd ever wear that sweater. A couple of things I can't see a sweater because I'm speaking into a blank screen number one and you don't really have the only two things you have to do in life for pay taxes and die, so you don't have to come to me. You're choosing to which is fine. I. Hear what Steve and Steve would also add is all this has to be in place before you do anything, so you have to have a plan before you even enter in in these traits for example I mean if you were lucky enough to by. Bucks look went to twenty dollars in a heartbeat. You sell your position your in the rest of it for free, so you have to be thinking that way you have to have if you if you fail to plan as Warren Buffett says you plan to fail, so this thing should be on autopilot once you buy it and I think certain extent. That's what Steve was so craftily alluding to. About the whole idea of. I guess you can't fault people for for taking a flyer. It doesn't really sound like a way to build wealth over time. Right, a Stephen or anybody comment on that these names well. Here's the here's the problem Joe went. When you look you're looking at these names of profit is the profit is a profit so when you're talking about building wealth the when you're investing, and you're looking for daily incremental hourly increments if you can clip ten percent in these markets which see this on a daily basis, stocks are moving five in ten percents weightings. They are building real real wealth. They're not investing their trading and that's the huge difference. It certainly makes fast money much more important part of their lives, too, so they. They should be watching that, so it's. It's good for fast. Okay, thank you we're going to. Out Thirty five, thirty one coming up investors rolling the dice. Got A lot of this scripted rolling the dice on casino stocks got burned a day why there could be more pain ahead for the sector, but now i. we have some after hours action on this busy Thursday Lululemon. Those fans and adobe. You're both on the move after reporting results will break down the accident when fast money recurred. Welcome back fast money. We have an earnings alert shares of Lululemon, an adobe are both on the move after reporting results, full team coverage standing by now to break down both names. Josh Lipton is digging in on Adobe, but let's start with Gordon Greg and more on Lulus quarter Courtney. Joseph Louisville, actually missing consensus for earnings and revenue for the first time in more than three years, shares diving after hours about seven and a half percent, but after they've gone on a pretty big run. They've run up about fifty one percent in just the last three months. No stores of close. Of course we're closed for much of the quarter. Online sales grew sixty eight percent means they made up fifty four percent of total revenue. That's double what they made up the. The same quarter last year now Lou did not report any comparable sales or give guidance margins did fall more than two and a half percentage points to hit the lowest level in three years about sixty percent of loose doors are now open globally early trends in North America are quote exceeding expectations according to executives on the call Lulu does it have sufficient liquidity at one point? Two billion dollars now like many retailers Lululemon of sold these various and very distinct phases. Phases with in the quarter as cove nineteen spread throughout the world so on the conference call CEO Kevin McDonald talked about phase one. He called that pre-crisis part of the quarter were comps increased nearly twenty percent. Things were looking pretty normal then in face to as the virus spread in the US and Europe. Lululemon, to close the majority of the stores in those regions ECOMMERCE, though then started to accelerate at the same time China was reopening and total China comps were actually. Actually positive in March, in April ECOMMERCE comes up one hundred twenty five percent that momentum they say, continuing into the current quarter here online now comps were up in the low teens and China in April with momentum continuing into this quarter, so they're looking at the trends in China where things are normalizing hoping. Perhaps we'll see some of that in North America and Europe Becker View. You okay, Courtney, thank you, Karen, you are long Lululemon. What's your take on the quarter? I! Well. It was disappointing, clearly overstayed my welcome with it did not just down the after hours also had a pretty bad day down fifteen bucks in the regular training session so I thought the margins actually hung in there really well, I thought the revenue line would beat in fact, it missed. I think they're I mean it's an extraordinary business. I think. This evaluation of I've a little bit stock I have three hundred of puts. So you know where it's trading right now? The position will be taken away from me or I'll put it up to. Be Optional older, but I. I liked the name I was clearly wrong in how they would do this quarter. There was some impressive things, but when you're stock runs up as much as it has. I should have listened to Steve's last piece. Yesterday maybe it would have taken some money off the table, but. I I wouldn't I let it settle out before I would buy. Adult. Obviously we can't on stocks, but so many of those pants and a honestly guys. I don't know whether you guys have the ABC pants, but I have not worn another. You've worn. More fast money. Another pants in. It's got to be well over a year or maybe even longer than that. You're a buyer. They feel like they feel like jeans and they don't look like gene, so you can get by with A. Guy Or. Anyone else long or or comments on this team? Look era fashion show so literally when saw you wearing them I had to go out and get get a few pairs myself about. What about the stock seriously? I what a move! It's made in it I. Think I'm not kidding. Part of it is because of these these crazy pants that so many men sorkin well the pair now. Oh, yeah, yeah, the the the addressable market growth from from the male population is a big part of the upgrades, and we're almost have been chiming in, but also this this. Story, of which is now fifty four percent sales, and was up almost seventy percent year over year. I mean that that's part of the excitement, but as Karen pointed out a lot of this great stuff is in people I can't have been a part of rallying this doc. It's been extraordinary, so taking profits even now is has been very beneficial to a lot of people that have been long all right. We'll move on to adobe the stocks moving higher in the after hours Josh. Lipton has details on this report hey josh. So you know Joe Heading into this report stock hidden in today's trade, but it was still surging rallying fifty percent from its march low as if you look at the report, just digging into the segments digital media that was up eighteen percent to two point three billion dollars, the other big segment, their digital experience, eight hundred twenty six lane guy in security guidance was light relative to expectations I did check. Kirkman turnover at ever core ISI covers the name. Kurt liked what he saw this report, so listen digital media, a our annualize recurring revenue, four, hundred, forty, three million. That was above expectations that signal. Kirk says at the core business is healthy here. Operating margin noted expanding so this is a company. He's arguing that delivering higher levels of profitability, even during a downturn juicery guides in his in his words close enough to the streets estimates. Guidance we read. He's arguing to us as conservative on the call company's CEO Shuttering, Orion, saying the company's to did coincide with what we hope. He says was the peak of the pandemic, nevertheless adobe drove strong performance across creative cloud, document, cloud, and experience in times of uncertainty. He was arguing the call. People are turning to adobe products to learn and work in the digital experience. Yes, the economic challenges he said enterprise customers are facing weakness and small and medium-sized businesses did impact bookings, and the as did. He noted the decline AD spending, but he called those short term challenges for more from the CEO certainly turned into. Tonight to mad money where he jones our own Jim Cramer guys back to you all right justice. Aggressor. You got this one. Yeah so the way I would trade. This one is first of all. Adobe is up seventeen percent year to date so to mute your exposure to any one software name. I shares has an ETF. Is the ticker symbol, the top two positions are Microsoft and adobe, and then, and then you get your salesforce in your service now below that this fund this ETF is up nineteen percent year to date. So this is definitely benefited from the stay at home shelter in place. Software needs that everyone in this world has needed. Think that for me. I bought this for my kids. I would buy this for myself. I've us a better way to play it. You don't have to be tied to one stock like adobe although I love Adobe. I think you have to mute your risk and own them all I own Microsoft as well, but I think that you need a fund like this that helps you blanket that exposure because this is where the growth is. The growth is not an energy stocks. Growth is not in value going forward. It's going to be right here at the center of Tech. Very good all right thanks Dave. Coming up by looking for bright spot option traders are betting on a double digit rally in this next name. Stick around for the details on that trade plus the casino stocks. Hit hard in today's selloff. Should you take a gamble on any of these names. That debate is ahead as we as we head out. At the biggest losers in the Nasdaq one hundred day fast money is back. A couple of minutes. Welcome back to fast money stocks getting slammed across the board today, the S&P five hundred, falling nearly six percent for its worst day, three months today selloff, sending investors into gold, the yellow metal, finishing in the green today Tim, my Menton Jim Grant earlier I. Know You make comments on gold as well when I asked him the harbinger, the Canary in the coalmine for when the Fed is overdone it. He said you'll see two things, gold and silver. Those were his that was his answer to things, gold and silver. You think it's time to be buying gold do. I do I think precious metals as an asset class are going to continue to run, but I think they had taken a breath, and that's actually very good for investors here, because obviously have been very hot trade. Really since the Fed came into play, Goldsman a very hot trade for now a good year I do think the dynamics of the Fed pretty. Pretty much admitting yesterday that they they are nowhere near their inflation target, and they can't get to. It so if anything I you know people talk about all these scenarios where you can buy gold and white gold would be a good hedge and this and that Karen talks about this, you could flip a coin, but deflation to me is more important than. Than inflation, and in fact, I think that's where we're going to see issues, or at least what we have right now. I will say about gold when we've seen massive liquidation in markets in other words days like today. Maybe a couple of them strung together. Not suggesting we're going to necessarily get that, but we have seen gold. Be a place where. Where margin calls and profit taking have stalled the gold rally in the first couple days this volatility, but then you really WanNa grab it and I. Think you WanNa. You WanNa. Move so again I. I expect to get to all time highs on the back of what the Fed told you for the next two years. They're going to be effectively at zero. Well. So through two thousand. Two thousand twenty two. The precious metal itself will will finally eclipse that those those level. I'm sorry. Look I. It's not going to happen tomorrow and I think that's major major resistance, but I think you've got a case here. Where you know, we've set the stage for gold to nick. Make the next move and it's rally. Okay all right sticking with gold. The miners didn't track with gold move higher today the. ATF. That tracks the space tumbling five percent, but option traders are starting to take a shine to one name in the group. Let's get the Mike Co with the action. I don't want to trigger anyone by referencing Seinfeld Takeaway Kibo. You Joe Yeah so their stock that I was taking a look at barrick gold ticker symbol up go. L. D. and we did see calls. Outpace puts more than two to one on above average volume where a lot of that activity was concentrated in the June twenty-sixth weekly twenty-six strike put so those are calls. Excuse me, those are the calls that are going to expire two weeks from tomorrow, and the buyers were paying just dollar for those calls, so they're making a bet that barrick is going to accede that twenty six dollars strike price by at least the dollar that they paid that would. Would take over twenty seven in the next two weeks in the stock closed just below twenty five now people who are watching the options markets may have observed that there was a big block of the twenty-five strike puts also traded, but that wasn't the bearish bet. The bears was actually made in early May and they were taking that off today, so when we were taking a look at the what we're seeing. Some people were taking advantage of today's weakness to get bullish and others were taking advantage of today's weakness to get less barish so in both cases they were making basically more bullish bets. All right good. Almost Friday. Mike Cocoa See t-bone better than they told me your name was cocoa. I like like Bomba for more options accent there. It's going to be tomorrow. It's almost Friday almost this few hours five thirty tomorrow by thirty. Eastern options action sponsored by thinker swim by TD ameritrade coming up the casino collapse. Gambling stocks crap out. Wanted to say that they offer to find out what's next for these names, and as we head out a look at all the only stock, the S&P five hundred able to eke out a gain today. Programme Cincinnati. Bass money back in, Scotland Welcome back, says money casino stocks getting rocked in today's market selloff. Let's CONTESSA brewer for the breakdown high contessa. Either Joe Yeah Wind gave investors some intra quarter color, and it was pretty dark. Though neighbouring Guangdong Province anticipates allowing students and teachers to begin traveling to Macau tourists have not been allowed back so here we are three months after casinos reopened over there corona virus closures and wins losing about two million dollars per day in Macau alone. It just reopened Las Vegas one week ago and Massachusetts is still closed now. Las Vegas Sands to would be experiencing a failure to launch in Macau because of a lack of visitation and its most profitable single property Marina Bay, Sands Singapore is not allowed to reopen. Reopen yet LAS VEGAS SANDS MAKES UP only about ten percent of its revenues. In the US rising Kobe, cases, following states reopening worries about recession and unemployment, maybe tampering down some of that enthusiasm that we saw driving shares higher over the last month. Triple digit gains in some cases the laggards of this day are MGM Resorts Down Thirteen Percent Penn Eldorado CEO told me yesterday. He's feeling a lot of phone calls regarding the merger with Caesar's following the implosion of that Simon Taubman deal. He told me quote. We are still one hundred percent moving forward and expect late June early July Close Melissa. Out Take it. I know who you are. What you call me, just call me. Contessa thank you. I'm going to get Tim's Tim Seymour. Take on casino. I'm going to preface it with one thing. If you got like a betting online sting, it's it's big. You gotTa have that because I have now bet on golf I have done it. It's all I got and I. Bet on Golf for today's Tournament. So that's what it's come to. I'm not going to tell you who or how I did it, but I have some money and draft kings on golf. So, what's your take? Okay why when I set up my online gaming business I'm going to you for a for a big account and I, think if you look at the casinos, Contessa did a great job of laying out some of the issues, both especially those that have a lot of exposure to Asia but McConnell specifically Singapore lvs, said they're actually saying goodbye to Japan. I think the the the story win. Was this was a stock that like it's? It has the volatility in the momentum of some of the other Cruise Lines Airlines Boeing transports. It was up twenty six percent three days going into the preceding three days, which was down eighteen percent. The uptrend is still alive I'm not saying there isn't a little bit more caution about how quickly we're going to rebound in. Remember we. We played a video here about a week and a half ago, showing how? How as casinos reopened, there was really very little concern around social distancing and some level. While that's concerning from a social perspective, it gave a little bit more of a boost to the casinos. Then maybe should have been I think we still need to wait and see what the impact is from social distancing on the domestic market, but the international markets are coming back slowly. They've had a huge run. I think eighty dollars pretty decent support for win here at least to watch it for now. Great. Karen you. Play, plan, this this arena. I don't I. Mean I understand I've heard that that actually golf bedding today was I mean voluble bats was enormous I guess it's a good outlet. Guys made the point that that's what's going on. In some of these bankrupt stocks that there's no sports to bet on, and so this is where the gamblers are going. Neither are for me. Neither Golf nor bankruptcy own boring. Oh all right. The Golf Channel Event so the sister network not for nothing anyway up next your final trade. Well. No way on one show. Welcome back the fast money. Here's a look ahead of what's coming up tomorrow on squawk box. We'll be joined by David Rubenstein Sandy. Weill Mick Mulvaney and Thomas Petrified. I will see you there. At Six am eastern. It's time for the final trade. Let's go around the horn, Karen with you. Yes well. Thanks for being here Joe tomorrow. I'll be looking to buy. Some Fedex gets to one twenty five, which, if the Barker were opened about another twenty minutes, today would have gotten there, but one twenty five. Tim. Joe Sweet ABC Pats? starbucks down thirteen percent over two days is a massive Mu Company that I, think ultimately is getting some also some of these painful signals from reopening slowly. It will be there even if commuter activity is slower in the next few months. It's all about comfort and Steve. So yesterday, Joe There was a headline on spotify. That said June nineteen to thirty calls trade five times the normal average I bought some yesterday added to some today. Maybe going into next Friday I get a chance to see spot run. Joe Yeah all right guy. You got three seconds. You used to that goal. Barrick gold cold all right very good. Thanks for watching. Fractional. Shares trading is now available for all fidelity customers on the FIDELITY MOBILE APP by US stocks and ATS Commission. Free based on how much you WANNA spend instead of by the share, fractional share quantities can be entered up to three decimal places as long as the value of the order is at least one cent, dollar-based trades can be entered at to two decimal places sell orders are subject to an activity assessment fee from one cent to three cents per thousand dollars, principal fidelity brokerage services member NYSE PC.

joe Karen Karen Fed Steve Brazos Steve Tim Seymour Boeing US principal adobe Fedex Joe Kernan Chris Harvey barrick gold ATF Melissa Leo Josh Lipton Jim Grant
Fast Money 04/23/19

CNBC's Fast Money

45:49 min | 1 year ago

Fast Money 04/23/19

"What if there's a smarter way to write out volatility smart beta strategies from Franklin Templeton reach for better. All investments involve risks Franklin Templeton distributors, inC. Fast money started the right now from the NASDAQ market side. Overlooking New York City's Times Square Melissa Leo traders on the desk or Dan, Nathan, Brian Kelly, Karen, feinerman and guy Dhabi checkout. Shares snap Bassac was up double digits after earnings report moments ago, but giving up those gains a conference call kicking off right now, we'll bring you the very latest plus the market closing record highs today. But Wall Street's biggest bear says the games are in for the year while Fargo's Chris Harvey will be here to explain. And that's where we start with the market rally that no one could seem to touch not the fad not trade wars. Now. Fears have been earning session are being washed away, the S and P five hundred closing at its highest level since September twentieth. The NASDAQ joining in on the action also closing at a record high and the market has been on what it seemed like an unstoppable run off the December lows. So is the party just beginning. Well, can you still by guy? First of all I love that song. So really? It makes me want. You have apparently MC hammer pants. Yeah. It's fantastic. It's like it's like ninety is that right? I think it is what can you stop by? You can't go to blockbuster or tower record. And by that outmuscle, though, I hit back in the day. But would you cancel by in? My opinion is healthcare. You look at lilies from one thirty to down to one seventeen they report on April thirtieth five from forty four to thirty nine Merck. Same way you've seen a bounce in UNH. I think healthcare has been taken to the woodshed on the back of a lot of rhetoric that I think will go away. Some of these tech names crazy Xilin supports tomorrow. They better crush because this stock is gone from basically ninety to one thirty seven and a straight line. So I'd be a little leery there. However, I do think healthcare has been beaten up for the wrong reasons, you guys so much say that this market is to legit too quick. Oh. Hey, you can't touch this with late meetings thing. Okay. This is going to go back to these mega caps. Obviously. There's been some great rotation. There's been some of these groups that we did not expect to kind of power back to the prior highs had done it. I gotta tell you though, you gotta go look at the apple Google and the Amazon, and I'm just forget the ammo maga-, okay because Microsoft's that's already baked those highs. You know, you have these stocks had already come back forty forty five percent. I think Amazon and apple and you have to ask yourself after twenty four percent reversal V reversal and the s&p five hundred what is the thing that catapults us above those prior highs in a meaningful manner. And and I'm just telling you when you look at Amazon Apple they still have some room to get back to their prior highs. So I just don't think see that is the thing the catalyst to take us further. We're going to get Google on Monday. We're going to apple on Tuesday. I think those are going to be really important dates for this market, how well if you get if you get decent earnings, and you get sentiment in general. You look at something like the city economic surprise index that is at all time low. Oh, so sentiment. What people are expecting out of this market are very low. I can come up with a bunch of scenarios oil dollar all these things that are headwinds. But the bottom line is the market just doesn't care. It just keeps going up. So maybe this is a blow off top. Maybe this is a melt up whatever term you want to use. But I'd much rather be selling into the strength and trying to initiate a new position. I agree. I mean, you know, my long bias that's always going to be positioned. But I feel like some of these names have run-up loud. Alphabet. My biggest position I actually sold them. Upside calls today. I just it's run a lot. It actually did touch an all time high today, and then fell off if he went to close two points below that. You know, I probably would look to sell some other calls and other things even something like J P Morgan. Although the upside calls don't really have a lot of juice in them. But I just I feel like I'm not surprised that the first quarter was decent for companies, you know, but I feel like any sort of expectation that earnings would would disappoint is kind of out of the market now. And in fact, so as the bar gets higher, even if you report good earnings, it's hard to beat. So I'm inclined to sort of be selling some upside calls against things. I have a question. When we talk about the run, you know, overdone, it's come a long way. Are we talking about since December lows because some could argue that we should have never gone down to the December lows from January one we're up seventeen percent. That's a good year January when wasn't a much off the destroyed. I mean, we're twenty three percent off the December lows. I don't know. I just think up seventeen percent for a year is a good year in anybody's book. So I I think maybe it goes by good point. When you think about the start of January in two thousand eighteen we had this market that was just on a runaway. Remember we were talking about in the third week of January two thousand eighteen up seven eight percent. Can this continue to go? Here. We had a twelve percent correction than we had a twenty percent correction. Now, we're back at those levels here. And you say to yourself is this where we were supposed to be with those tax cuts with all this sort of stuff. And are we set for a nother leg of this bull market? I think that's really a question. If that is your belief that you do want to rotate into some things like Bank stocks, and you guys have been all over that. I think some of them did pretty well after their Q one results summer kind of stuck in the mud, but if you think that Larry Larry black rocks at lastly melt-up, then these banks will start to participate, obviously the yield curve is pretty important here. It's still flattish. It doesn't really move from this mid fifth. Eighteen sixteen basis points sorta level, and that could become a headwind, but that would be the one area where I'd say if you're in that campaign. That's where you go. I mean, I asked this because if you take a look at what brought us to the December lows or a lot of concerns that seem to have been resolved. Right. We had the fed pivot. We have now growth evidence in China and around the world, we thought everything was going to grind to a halt at has not. So if we back to those levels in we're just above that. We are we now said so Europe is less bad than it was. But it still miserable. Chinese have thrown a ridiculous amount of money at their. I think their stock markets up thirty four percent or so from that low that they made Titian quickly January second was very fascination. We did a two hour show. And Dan, Nathan, everybody bear always bear. He's not always bears. I actually on that day. He said if you recall this sets up really well for the bulls into earnings because of the huge selloff. We've had and we've lowered the bar and he's been exactly right. So he talks about the bar being raised. Now. I think you should listen to them number one number two. You're right. We are back where we were basically in September the move from March to September and the S and P with some twenty six hundred twenty nine hundred a straight line. We're right back there now. So effectively we were where we were in the fall. I still think you know, earnings are great earnings aren't great earnings fine. Right. I think that's really the people are looking for reason to get long this market. And they think the fed has their back. I'm not confident of that. But what I will say in terms of what you can still buy defense stocks specific. Weekly look at Lockheed Martin today. Huge move the upside have I missed it. No. You haven't missed it. This probably still another ten to fifteen percent to get us back to where we were in the aforementioned fall. Why don't we wanna buy technology the market leader? At this point. I mean at this don't you wanna buy your growth? What do you mean? I mean. S and P five hundred technology sector. Let's start with that. Because there are a lot of people out there who were exposed through ATF or anywhere else. You wanna go anywhere that has sort of this notion of idiosyncratic growth in those are the names that I would stick stick stay away for right because if we're starting to see grow throughout the world, come back, you don't necessarily need that and credit growth anymore. You need you need companies that are going to be exposed to global growth companies that are exposed to the cyclical upturn. So you might see a rotation. That's what we've seen a lot of this even near the lows, and when the economy every thought the economy's is going to recession you saw a bid in apple and some of these names because they had that idiosyncratic. Oh, so I think here you sell those. And if you really wanna be long, maybe do by some of the banks something like that. But now this goes back to January second what happened that day. Apple told us that earnings were to be down that this is going to be the first year in many that their earnings and sales. We're going to be flat to down year over year. We know that it's the third consecutive. Year that their unit to their iphone that they get sales. My point was that coming into the year after the sell off that we've had with expectations in November and December coming down massively for the first half of two thousand nineteen that sets up really well as it relative to expectations. But it's also really important. Remember as we're focused now onto earnings guidance going forward that apple told us that China was I mean, this was in the throat of this kind of recession airy period. So maybe we were way too negative back then or maybe we're way too positive right now. Let's talk about let's think about the earnings that we have so far in granted it's early in the earning season. But what are we learning about the US consumer so far in companies, we're learning that companies are able to raise prices, right? Proctor and gamble raising. Prices. Coca Cola raising prices CSX, raising prices, aren't these all good things. There may be growth. Maybe challenge you may perceive goes to be challenged. But companies are better equipped to handle this. Yeah. I I like today there was broad beats in different sectors. That was interesting. How? However at some point that's priced in. And I'm starting to think it's getting to that point where it is priced it, which is a wholesale seller of the whole portfolio just means a probably not initiating new positions and taking some money off the table in terms of the syncretic ones. Those are priced so expensively some of the huge growthy stories. I mean, something like zoom. You know? I just could never get my arms around that kind of valuation. I'd much rather be in something. We've value-oriented don't you think there's a little quits that though that we're literally on the heels or the cost of a hundred billion dollar market cap of Uber coming to market, you just mentioned zoom, we have Pinterest. We have we've all these deals that are coming out of time. Now, we're back to these prior highs where valley we should will become a concert. So some of those names that we just talked about those old mega caps on a on a relative basis. They look at traffic. You know what I mean? So so to me, I actually think Uber deal when this thing comes in the next few weeks is going to be a very important test of this market, especially when you consider how many tens of billions of. New issues have just come. How many are expected to come after Uber at a time where investors are all the sudden really really can place it to me. I think is in what way a test of how how what sort of hands are holding these sorts of things, right? We saw apple go from two thirty down to what one or something. Like that in three months. I mean, so if you don't think that Uber lose fifty percent of its market value at some point two thousand nineteen. Let me ask you to like lift what does it tell you about a real problem? I just do you know, and those are losses that people have to kind of digest here. Now. Well, despite what has been an epic rally for stocks Wall Street's biggest bear says the games are in for the year. Let's brand Chris Harvey head of equity strategy at Wells Fargo securities. Welcome back Chris could to see. So what do you do you sell? And you go away said thank you see here. No, no. You don't do that. And we we don't think the gains are in for the what we think is we came in a little bit too cautious. We think fair values about twenty nine hundred. We could go a little bit higher from here. But you do have to what you were saying before I think, that's right? There has to be a rotation. What we're beginning to see is this Rian flation trait. You want to start to shift back tonight to things that haven't worked the financial upgraded. The financials a couple of days ago, we think that works going forward. If you look at Germany rates have gone from negative deposit. That's something they haven't done in a while. And China's coming back online trading tariff is going to happen shortly. So you want that cyclical expose you want? Those those industrials you want those cap good names as far as technology. We we were positive on semi's. Now, we're saying, hey, they're up fifteen percents since we upgraded it's time to take a breather. Time to shift around time to move the portfolio, but we still think there's opportunity in the marketplace. If you think that things are not as bad in China turning around or not as bad in Europe and turning around would you allocate to those countries as opposed to the US, and that's. Why we're we've been very positive on the cap good space. We want exposure to that international trade we're in China a couple of weeks ago. And what what clients, and what investors are saying to us is the economy's a lot stronger than you think. And we started to see those economic numbers come out. And again, if we get trading tariff done in another couple of months, China's really back online, I'm skating and BK's lane here, but US dollar you have this stealth throw in a dollar every time I turn around, you know, headwind, US dollar strength. Edwin doesn't seem to be a headwind now when does it become one? That's a good question. I don't know the answer to that. But we've been able to mitigate through you know, getting back to earning season. What are we seeing? We're seeing that costs are now being mitigated. We are getting price. The economy is okay. As we get priced the man's not going away. And so we're able to mitigate a lot of these things I can't tell you when the dollar starts to come back in. But if if global economy start to firm up you should start to see the dollar weaken at some point. So in your analysis of we're in this is the top issue for the year. Do you include the? Head being back in the picture at all do you know, I don't think the fed gets back in the picture. I think the next move for the fed is I don't think the fed does anything for the rest of the year. I think they're done at this point in time. They've done enough. It's time for them to move this aside lines. I think they're okay being there. The economy's in good shape monetary policy, while I'm not happy the way we got here. He's okay. We've reset things. And as we go forward, there's not that much speculation. What we heard from earning season is we haven't re-released investors, really haven't really at this point in time. So Chris to Dan said people are complacent. What what is what worries you out there? What can do rail this thing? I mean, are we just in the melt-up up? I think Well, I I won't say people are complacent people are still very concerned and people just haven't regressed as I talked clients. They don't have enough risk in their portfolio. What I would say is what worries me what what has word me. What continues the war? Worry me is the front end of the ochre three deal has flattened right? We all know that if the curve continues to flatten than we have a problem because the. The issue is perception can become reality. I don't think that occurs. But that's the thing that worries me more than anything else. We need say rearrest, you just mean equity allocation equity allocation, risk in the portfolio, right Accrai leverage. We're not seeing a whole lot of leverage in the system at this point in time. And so really right across the board. We have not seen this big your sound like the highs or near highs are not in for the. I mean, if you're saying twenty nine hundred or maybe a little more work twenty nine thirty three. So are other risk is said before you could see a melt up, right? So rates are low credit spreads are tight. People haven't rewritten. China's coming back online and sentiment has reset. That's a risk as well. So I'm not trying to play both sides of the fence, but we see issues, and I think you can see some upside things are things aren't bad out there. You sound more volition you sound more bullish than neutral right now. Really seriously. It sounds like you're on the cusp of raising your price target, and you have an. And then. All right. So just let to button up your number one sector right now that you think people should be financial. So we just upgraded diversified financials broker dealers asset managers some of the credit card makers assume some of the credit card companies not makers. Okay. Great to have you. Thank you. Thank you press Harvey. All right. Where do we go from here dancing? It's still important. Remember that that whole laundry list of surnames in Q, four of other than the fed not many of them have really abated, and we still have seven eight nine ten trillion dollars of sovereign debt have negative us. What does that tell you about the health of the global economy we've had numerous global organizations lower growth expectations for two thousand nineteen? So to me, I feel like we're back at these highs. How the party people? It's amazing. We've done this now three times in eighteen months. It's a great thing. But just remember the last two times we were here. We had some very sharp selloff and people make bad decisions after bad decision. Buying highs and selling list so that and that's exactly the point. It doesn't have to be a binary event. Right. It doesn't mean that you have to go all in at the highs or sell your entire portfolio. There's nothing wrong with Dumas candidate sell. Some upside calls take off a third or a quarter position. Take off some of the names that actually have gone up. Fifteen twenty thirty percent like the semi's. There's nothing wrong with taking a little off the table. Maybe rotate any healthcare. I think that's the better move here to me what everybody's saying. Is that this is just a tricky market than it was when we were at the lows in the sentiment was horrible. It's just the deep end of the pool here coming up checkout shares the snack. After hours giving gains, the CEO speaking on the conference, call right now, we will bring you the very latest plus Amazon making you deal with Kohl's sending the retailer soaring today online behemoth returning twelfth lifeline for department stores. We will explain later it's the five Jeep a non networks race to get up to speed. And it could be about to send one Sewri top analysts. Tell you who the big winners are for life in Times Square, New York City, much more fast money right after this. Fidelity you get value. You won't find anywhere else decisions. They're clear costs they're lower than ever and account fees. There's zero so you can invest with zero trade offs open an account today at fidelity dot com slash trading zero account minimums in zero account fees apply to retail brokerage accounts. Only expenses charged by investments such as funds managed accounts in HSA's commissions interest charges or other expenses for transactions may still apply. See fidelity dot com slash commissions for details. Padilla brokers overseas LLC member NYSE. Welcome back to fast money. We've gone earnings alert on EBay that stock up nearly four percent after beating the street's expectations. The company also saying global active users rose four percents to one hundred and eighty million dollars during the first quarter. Dan, I mean, listen, this is actually a growth story earnings per share rose fifteen percent year over year trading at less than fourteen time good balance sheet. We know there's a couple of activists there to me as Amazon flexes its muscles in ecommerce. I think the whole marketplace thing is something that's kind of being left for dead. And that's something that I think that EBay is obviously pretty well. Tuned to deal with. Yeah. I like EBay actually followed the activists in there happened to coincidentally be too. But it was really it was really Elliott and actually there on the board. Now, I think it's great that that things are earnings are good. It's really about. What are we going to see from asset either sales or span or something I'm still in it here hanging on real quick quickly operating margins almost thirty percents. She was looking for. I think twenty and a half twenty nine percent. That's a really good number. And I think that dance point evaluation plates. It stock is stock is cheap and you've had a huge selloff. It's at a nice bounce back. But I still think this further room to the upside. So I think he based despite the move in the aftermarket, I think it's okay here. All right. Speaking of Amazon, check shares of coal soaring. Almost twelve percent today after announcing will start accepting returns right items purchased on Amazon at all of its US stores in July calls, I started testing this. And it's Los Angeles in Chicago stores back in two thousand seventeen since then sales growth in Chicago doubled the rest of the country while new customers of blue the rest of the country's stores out of the water, Jefferies analyst Randall conic weighed in on the news writing growth in this partnership illustrates to us that stores are needed even as online shopping becomes increasingly pervasive. Which begs the question of online giants like Amazon or realizing that they need traditional bricks and mortar for their businesses that mean that retailers could be more valuable in the marketplace. Bricks and mortar retailers. If Amazon's converging to WalMart valley does valuation of WalMart come up. I mean, we talked about the whole foods still couple years ago. Now, it seemed like what are they doing there? Now starts to make a lot of sense. You look at calls. I mean, twelve and a half thirteen times ordering say I guess it's not that cheap. It's not that expensive either probably right in the middle. But twenty percent shortage. Everybody's been betting against this. Stocks up eleven percent today. So your point this probably has room to the upside as well. So you probably going to re-test levels you last saw last summer, which I think is north of eighty bucks from October seven two thousand seventeen to July twenty seventeen at Kohl's traffic at those experimental stores where they were taking Amazon returns was up thirteen and a half percent, thirteen and a half. And they had they had great sales. Yeah. Absolutely. It's a brilliant idea at incredibly creative idea for Kohl's to do this. But also, it's a great idea for Amazon. They get a bricks and mortar store without having to buy it. I mean, we know that when they bought whole foods. Part of it was like to have a distribution center will now they've got a return center that they didn't have to buy. So I think it helps Amazon to your point about the earnings though, it's hard to compare Amazon's rating PE ratio with anything else because remember Amazon has Amazon web services. There's a lot of peace. Imagine an even core. Amazon retail. It's valuation would be higher than a lot of the other bricks and mortar retailers. No matter. What it ain't? No matter. What it is. Yeah. I don't know what. Yes, these troops. So is this a way for bricks and mortar retail? I mean, everybody's saying this is or has said in the past that it's a retail play. Right. So in Kohl's for instance, they didn't have to build out a new area they use their existing structure there just further leveraging what they have to increase sale were you brought up. Walmart target is doing it as well. And their stores be not just a store but also distribution center as well. I mean Mace trying to do the same thing it's not working as well. I I like target of the bunch of them. I it also makes me wonder God J W in Nordstrom is just trading terribly a different shopper. But that's trading at a ridiculous law. Maybe they can. Ship. But that's a really good point. I think the problem is and we've been saying this for a long time. There's too many department stores we're over stored here. So some of these brands make sense it made sense for Amazon targeting certain customer who wants to buy online and return things to partner with a a cold. It may not make sense to partner with somebody like Macy's just go back to think about some of the deals we've seen WalMart jet for three point two billion dollars to kind of build out there online sales channel and kind of do all these sorts of things that are going to go on here. We've seen target do that deal with casper. You just have to see you all on last week. They're putting beds in stock. You can return them. All these things are all going to happen. Worby Parker all these new models. I think you're gonna see a lot of MA for a lot of these rectal consumer brands over the next few years because I think you need on Omni channel strategy. That's why Macy's spent years and multiple restructuring trying to do it. I don't know if they're doing it. Well, but they may be left holding the bag because they think that they have the proper Omni channel strategy, Amazon's new partnership with Kohl's couldn't for the rest of the space over to CNBC dot com. Still add check share. Here's a snack giving up a big after hours rally. We'll tell you what the CEO said on the call that sent shareholders running. I'm Melissa you're watching on CNBC person. Businessworld live much more money coming up now. Hey, I'm John Harwood host of CNBC's Speakeasy podcast. Listen into my in-depth conversations with political decision-makers, folks. Like, John Delaney, the first declared democratic presidential candidate for election twenty twenty along with Senator Sherrod Brown. Senator Elizabeth Warren and Stephanie shrieks of Emily's list. Those interviews and more on the Speakeasy podcast. Subscribe today. Welcome back to pass money. We've got an earnings alert on snap. The stock giving up an after hours rally. Let's get to. Julia Borsen in Los Angeles for the details. Julia Melissa the earnings calls underway right now. See oven Spiegel talking about snaps changes, including more content lenses in a self service and platform saying that these changes not only helped this quarter. But also lay the groundwork for more growth. While these early results are promising improvements in performance and you use a retention. We'll take time to compound and meaningfully impact our top line metrics. There are billions of Android devices in the world that now have access to improve Snapchat experience. And we look forward to being able to grow our Snapchat community in new markets. Spiegel stressing snaps unusual reach among valuable demographics things snap ads can now. Reach more thirteen to thirty four year olds than Instagram can in the US with growing engagement across content and discover and also it's reality filters saying that that translates into Adolph Coors. We have also seen that are growing reach and engagement among millennials jen's e is an important differentiator in the marketplace. These generations are unprecedented in size and spending power or still in the process of developing their brand loyalties in are difficult to engage on other platforms or with traditional advertising formats. Speeco also mentioning the potential opportunities to use admitted reality in new ways, including for shopping that sounds like it could be valuable for advertisers. Now. Of course, there's another social stock soaring today also on better than expected results. Twitter shares gaining over fifteen percent of her fifteen and a half percent after this morning's earnings, which beat expectations also reporting stronger-than-expected daily user growth like snap Twitter showing that changes to its platform are working, including making Twitter more user-friendly all of that paying off. Now, it was a busy day for Twitter. Ceo Jack Dorsey, he met with the president of the United States Twitter releasing a statement saying that Jack had a constructive meeting with the president at his invitation. And they discussed Twitter's commitment to protecting the health of the public conversation ahead of the twenty twenty US elections and efforts underway to respond to the opioid crisis. So certainly a busy day for Twitter. All right. Juliette? Thank you, Julie Borsen in Los Angeles. Where do I mean snap up one hundred twenty percent or so so far this year alone versus a Twitter? I think you go Twitter. I mean, I don't think you have to by tomorrow. But if you look at what they're doing what they're doing is working, and it's all about network effect. We're seeing their daily average users increase. That's what these entire things are valued often. So given the two I would I would sell my snap. And by some Puerto. I think what. Julia said it's really important. Well, whatever Spiegel said about that demographic. And you know, when you think about it snap is only expected to have one and a half billion dollars in sales that a rounding error on Facebook seventy billion which is largely advertising. So to me, I still think snap down thirty percent from its IPO price two years ago. I think we're gonna look back at some day and say, yes, this was a very unique social property, and it's going to be valued at much more. But up one hundred twenty percent, you know, I think the stock is lucky to be unchanged right here. Because there was a lot of high expectations had Brit. Yeah. I mean, the Android reboot was very. It was just full new. This is a stealth. Would you rather? Right. I mean because Twitter snap, and I'll tell the other side you've been all over Twitter. We got to give you a lot of credit you've been steadfast in you have pre shape that. It's it's nice. We've actually one thing we said was when Twitter took their medicine. Couple quarters no-one said, hey, this daily, active user, stuff's not for us anymore. They finally bit the bullet. And we said, you know, the move down to thirty three and a half that's going to be you're gonna regret not buying it. Here that proves to be correct. In terms of snap though. It's a North America story without question. You just look at the numbers are PU average revenue per user u in North America crushed two dollars and eighty one cents a street was to fifty but the rest of the world. Not so good twos. Not good revenues, not good. If they can ever figure out how to get Europe, which is they break out and rest of world which break out. This thing is a monster. Because quite frankly, this was a really good quarter. So I think you could stay with snap you Android, Android is going to be very key in terms of the international. That's why I brought it up. What is the? Facebook tomorrow that was I I was going to ask Dan that actually so tiny bit in the aftermarket. Do you think? Even his comments regarding Instagram's, listen, I I think he's fine. I think we had Roger McNamee unless that we're discussing this. I think Facebook a great example for a company where earnings expectations year every year in two thousand nineteen or supposed to be flat. Okay, flat. While sales are supposed to be up twenty four percent. I think you're gonna probably see a rerating in their EPS for two thousand nineteen in the stock probably moves higher worrying about Instagram based on what snap said, no, not really I feel like the pies growing not that this shares shifting so I am long a little nervous about tomorrow. I always am. Okay. Let's get a check on another earnings movie. Here's he had to break Texas Instruments, seeing a huge reversal after hours and tell you what is behind that move. Here's her down two percent now, plus the S and P five hundred back at record highs despite the rally a handful of stocks are still seeing the bear market blues. Should you play any of them for catch up the traders away in return? Welcome back to stocks closing at a record high today. But despite the rally, a number big names are still stuck in bear market down more than twenty percent from their highs. Bob Bassani is at the NYSE to break this all down. Bob, Hello below. You know, you can't have all winters ninety percent of the S and P five hundred is up this year. But about ten percent fifty names are still down even with this big rally. But a surprisingly large number are actually significantly off their fifty two week highs. So take a look here. Gamemaker activision blizzard has seen sharp declines in some of its key games while it's blockbuster game, call of duty seed flattish sales. So that's a big problem, though, it is expanding across mobile platforms and in China Biogen's down forty percent from its old hides the stock plunged late last month following the decision to end late stage study of an Alzheimer's treatment. That did not produce the desired results, by the way. They report tomorrow General Electric, you know, this story gave weaker-than-expected twenty. Nineteen guides that was back in March. They mentioned a challenging year ahead. American Airlines has been dealing with extended cancellation of flights involving Boeing's seven thirty seven max Chet and Federal Express will you know, what happened there they've dropped thirty percent in December. They got killed on concerns of global growth slowdowns, and then they proceeded to Missouri's when it reported last month. So there's a lot of fundamental reasons. These stocks are are weak individual stocks stories. Elsewhere other names that are off more than thirty percent for their fifty two week high. Look, the big energy, names, Haliburton and slumber shea. They still haven't recovered and even big retail names like Macy's and Nordstrom and L brands. There's definitely some damage though out there Melissa back to you found. Thank you. Bob Bassani at the NYSE. So are any of these names fi at this point Bob gave you a plethora of names from Bob's lists. So it means I had to be paying attention to Bob, and I want. I look at this, and Sarah, Biogen is Biogen. Just it's a non entity now. No Biogen's more than just that outsiders project. I get it Alzheimer's the holy grail. No bit is figure that out there. And clearly Biogen has an item they report tomorrow after the bell. But ever forward looking guy this is going to be critical, but there's emanate in their future. I absolutely believe that and I think two hundred thirty dollars the stock non valuation is just shoot cheap. Now that being said, not only did they do it to themselves with the Alzheimer's project, obviously healthcare in general, it's been getting bludgeoned. So the stock is not bounced, but I think bio genetic all the names he picked the most interesting Karen when he gets fed ex for me is the most attractive on that list. I mean, I think that they twice announced disappointing earnings. And yet the last time they announced his pointing earning. This talk is actually much higher from there. I think if they were to fix TNT express, which has really been a disastrous acquisition for them if they get any traction. They're this goes back to a prior multiple that it had that is well above multiple that it's trading it now. So fed ex is to me. The most track with the bucks, we'll carry on valuation of all the names. I think it's probably the most attractive, and it's obviously, you know, this is an example of a company it's not just I mean, they're facing some kind of headwinds here that dollar situation is is an issue to the fact that stocks up fifteen percent since it reported in March disappointing earnings tells you that there's risk to the downside here. Because there's probably one more guy down in my opinion. When you think about it, so yes, it's cheap. And they're they're trying to deal with some of these internal things and the external headwinds, but I don't know why why you buy this thing given the guidance that they've just try. Only ninety trait, but this was really value traitor value sort of game racing. Doc flies one. But now. But it's also about her kid is much higher. Right. So it's not just, but my point is it's a matter of time rise, it, I really do believe that I think this could come back, you know, a little bit before that next report, which one see is value here. You know what? You know, what I don't know if you're gonna call it a value, but activision blizzard ATP I that one I liked the best because you look you look at what's going on in this industry. We know that it is a it's like a movie studio now, right? You're only as good as your last product, your your last movie that you put out there the last game that you put out, but I don't I think that's all into the stock here. I don't think Bobby took the CEO's gonna take this laying down. So that's coming up instruments a huge reversal after hours. If the company gets a grim outlook for the chip space. We've got the details next plus Tassell spiraling hasn't years up to report earnings this week in one trader bet the stock is about the plunge more than fifty percents. We'll tell you what hasn't so Barish when fast money returned. Well, the maximum fast money, we've got an earnings alert on Texas Instruments seeing big reversal after hours. Josh lipton's. Got the details. Josh Melissa in on that. Call executives really talked about weakness in demand across almost all markets that analog revenue declined two percent embedded processing revenue that was under pressure as well. So when could it turn come the company's CFO here offering history as a potential guy? Take a listen. We believe that after ten quarters of year on year, growth weakness, we are seeing is primarily due to semiconductor cycle. We have just completed our second quarter of year-on-year decline for TI. If you look at him during cycled are always different. But typically the industry would have four to five quarters of year on year declines before year on year growth resumes. We're not trying to fork the cycle, but simply offer some historical perspective. So the CFO there Melissa trying to offer potential timetable when it turned comes. We should mention communications equipment group about thirty percent benefitting from five G the company said so is TI a smart way to play a five G rollout. I caught up with Hans Mosesmann from Rosenblatt. He says he caught maybe a reasonable way. There is not a tuna air for the company he says, but remember the focus for TI. It's autos. It's industrials net. Five G under that communication is equipment on rela really not at least right now a strategic area focus for the company Melissa back to you Josh management talked about the demand weakness that even mentioned that demand weakness start in the second half last year continued into the first quarter of this year. Did they comment on how that's progress since then? No, they did say the weakness continued, and as you heard the CFO there, obviously analysts on the call trying to get some gauge about when it turned comes. And you heard the CFO us maybe history as a potential timetable. They are saying two quarters four by histories guide. We'll see how that works out. Josh. Thanks, Josh Lipton in San Francisco, Dan. Yeah. So the CFO said four to five is the typical revenue declined consecutive quarters down. I think street estimates. If you look at the Q four is up one percent year every year. So if the street has to come down a little bit, here's a stock trading. Twenty three times this year. It's probably a little expensive relative to some of his peers in the SP. Here you go operating profits analog down seven percent year over year. That's their big one. Right. And he mentioned judgment embedded processing down twenty four percent year over year. That's pretty significant numbers. And at twenty one times forward earnings, it's not cheap. And when you do the show for a long time. I looked at ten I said, Dan, did you see what I see? In texan. He goes a massive double top from last June. I'm like spot on. So you've armchair technicians out there. Take a look at that sucker as well. You looked across the desk into Dan is. That's not what I said. I'd say about ten do you see what I see in Texan? I wanna dance. Decide. Knows a lot. I looked it doesn't anyway, speaking of the five G rollout. Josh mentioned that has been one area. It's strength for TI. One analyst says chip socks navy the best way to play the growing phenomenon. Mitch Steve's of arby's. See capital markets joins us. Now. Mitch great to have you with us here thinks Redman as Josh should mention, you know, a lot of companies have some exposure to five G like Texas Instruments, but may not be very concentrated very strong in those areas, the hash how should we think about the space in terms of chip company exposure to five G? So I'd break down the five G exposure to two segments. The first side it'd be like the broad-based five g it's not Zeilinger, which is probably the most well known. They probably have about twenty percent of the revenues. You mean exposed to five G. The second one is probably the least well known of the group is probably a analog devices about twelve the twelve and a half percent of of their business that can be five G and effectively got a near monopoly on it, essentially, they are going to be in the top five players DT hallway Samsung, Nokia Ericsson, and all of that you're going to see the radio content. Go up by something like four ax. And then Secondly, the other group out called the smartphone side, you would essentially have broadcom sky works and Cuervo. But the problem there is you don't really know who's gonna win. So right now, you're pretty much looking at more of the data center side, which again be Zeilinger, and I perhaps a more Val as well because there are starting to win some share. And then the last one, which is probably the least will known would be keys that is a test and instrumentation company for five G without. That's again, not it's focus on the data center side. So data centers designing side smartphones. We proud calm, and then the test and instrumentation side keys Zeilinger right now Mitch so I don't wanna put you in a bad spot. But I mean, you take a look at the stock and it's up more than sixty percent so far this year. So how much of that is intimidation that it's exposed to five G? This is gonna be the next big play. We wanna be in Zeilinger. I think a lot of it's actually and there so actually I think the better players to find the five G items that people are not aware of. So I think that it might coverage universe synopsis in cadence or two stocks that are rarely talked about. But you quite literally cannot make a five G chip without them. And those talks are also going up forty fifty percent this year. I think there's a lot more upside for both of them the second one would be eighty I because as I mentioned in what TI said they're seeing better growth at a five G, but who has the most exposure and five G within the analog group, and it's eighty I by by wide margin. So I think those are two or three interesting stocks, and then Zeilinger is just the best pure play. But it's hard to figure out how much in their considering his trading somewhere around thirty five times earnings. AD? I cadence those make the parts go into the chips needed for five G in terms of the other players where you say, we don't know who's gonna win yet CISCO's syrup, all com, etc. Win will we know? When weight is the time to say, you know, what we're on the cusp of knowing and it's time to get in. So you'll know when the phone are coming out, right? So that's why they're those are the Hanson exposed ones, Queiroz and sky works very heavily exposed apple, for example. So once you start to get the I fix it build out of the apple iphone or the Samsung phones, you'll know which which tools they're using. And at that point, you'll probably see one of the stocks move pretty dramatically. The problem though, again on that side is you're really making a bet today on who's gonna win versus if you go to something like eighty I or cadence and synopsis, you know, you're buying effectively part of the winner. No matter. What happens? It's great to have you. Thank you. Mitch Steve's fee. Guy. You've been a fan of silence for a long time. Mitch says it's already in the stock. What do you say rich might be right? But I don't think listen, I mean at thirty six it's a very expensive sock. It's been an expensive stock where are we going to be on Thursday, by the way, we're going to be at the CNBC stock draft. Why do you mention that? Because you're Zeile. I said I sat next to you Jim criminal somebody should take Xilai. Nobody lists. Nobody listens to me. And then our pitches soccer at back in November and said next year meeting two thousand nine thousand nine hundred and he said, we got Tony Braxton. We're talking about five G. Now, everybody's talking about five G. And now it's in the stock. I dunno. They report tomorrow, I still think the Sako sire. I mean, the problem with these is not Lewis and Clark and not the scarves discovering anything new year. I think most of it's in the stocks on a seller of all of them coming up at below tesla. Shares down twenty percent this year. But one traders betting this off could plunge. Another fifty percent over the next few months. We've got the details. Plus, it's gotta check on Kramer Cam. And there's jam. Talking to the Hasbro CEO after that stocks soared today catch that in at the top of the hour. We're live with the NASDAQ in New York City, much more money still ahead. Welcome back to pass one eight tesla share spinning out as a company barrels towards its earnings report tomorrow traders are betting that the results could have some slamming the brakes Dan is over at the plaza to break down the options action, Dan, obviously, the stock has been atrocious over the last couple months here, but put volume was one and a half times that of calls today before they report their earnings the options market is implying about an eight and a half percent move in either direction or about twenty two twenty three bucks here on average over the last four quarters of stock has moved about eight percent last quarter. Actually, did not have much of a big move. But there was one trade in this name that doesn't see usually large block trades it really caught my eye today. Looking at to August expiration when the stock was trading at two sixty three sixty there was a buyer of twenty two hundred of the August two hundred and twenty one ten put spreads paying thirteen dollars for that that breaks down at two oh, seven and the trader can make up to ninety seven dollars between two. Oh, seven and one ten that is a three million dollar bearish bet to possibly make. Twenty one. Million dollars. If the stock is down at one ten down almost sixty percent on August expiration. Let's go to the charts here real quickly. I know that we've been talking about this one a lot. It's been bouncing off of this support a couple times over the last year and a half. Or so the thing is obviously getting a lot of tension here down at that to sixty level. So obviously, a very important support level. Here's the chart since its IPO in two thousand and ten here. We know that that's the support here. But we also know that this was long-term support down in that one fifty area for years and years. So obviously this trader making a bet that there's an air pocket down to those priors support levels. Braxton worth was on this yesterday and talked about tesla and breaking the previous low, which is around two forty two forty nine five or whatever it is. I guess that would clear the way to that one fifty support level Dan clears the way, but one seventy I'm not suggesting it goes there tomorrow, but the next real level of support through that to forty. Nine level is about one seventy five and Carter Carter was very confident his assessment that this time it's not gonna hold so kudos to CBW and kudos to Dan. Nathan from the risk reversal traded. Pretty well today. If you ask me, I mean, I think it holds this time. I don't know if I want. Well, what do you mean by that? Because I mean, it's benchmark then as I composite was up one and a third percent in the now in this is a point four percent. Yeah. But it's been down all year. Right. So now all of a sudden, I mean, I wouldn't compare this to the market whatsoever. It's been done all year markets up seventeen percent bounced off those levels today's close near the high of the day. I doesn't look that bears to me. It seems like it's gonna hold case sounds like he's long. No, no. In fact, I'm not, but I, but I think it's probably not a bad risks right here. Right. I mean, you know, what your stop point is. I guess you have a gap reasoning. Yeah. The two forty nine levels. So a lot of Ristori ward basis, we know that this is traded between two fifty and three hundred fifty three fifty for the last several years. I don't know. I don't know if it breaks this time, I think it's a good risk to buy it here. All right for more options action full show Friday, five thirty PM eastern time up next final trades. Final. Trae time, Dan snap. Lots of I didn't want to chase it. But if it's down too much, I think it by tomorrow. I think you take a little bit often the seventies here. SMH you sell that one. Karen? Yes. Fedex I can even here. One thing when earnings come out and don't feel the need to buy before the call. There's often a lot of interesting worthwhile information, wait for that's more the more. You know, rain by. One nine points, spinal friend. Yeah. But I think it has room to go even higher. All right back here. Tomorrow for more fast money. Meantime, mad money, which you've Kramer starts right now. What if when interest rates rose, you are portfolio rose to the occasion active income investing from Franklin Templeton reach for better. All investments involve risks Franklin Templeton distributors, inC.

Dan Amazon apple US Twitter China CEO Chris Harvey fed New York City Europe Los Angeles Nathan Bob Bassani Alzheimer Franklin Templeton CFO TI
ShakeDown Radio - Episode #344 - EDM Music

ShakeDown Radio Podcast

2:09:29 hr | 3 months ago

ShakeDown Radio - Episode #344 - EDM Music

"Shakedown radio recruits gags on. June. One digital. Every Sunday. Night. Ten PM wisdom strenuous time on Monday morning Sydney Australia time. Health Adm at www dot tune one, dot com today you that's June, the number one dot com that aid you. Catch shakedown radio with Chris Tags on if. Every Wednesday night at seven pm Sydney Australia time playing. Adm In house at www dot dot com. You. SHAKEDOWN right. Now on the radio bringing you. The, House and club Weinstein is eight PM. Take from Sunshine Coast. At. WWW duckling. Dot Online. Form Play Jonathan is Australia's number one. Dance music founded in compiled by Jimmy suicide ww Dodd Ford Played FM. Four played SM compiled by GD of oil. Nova FM and closed fee at www dot four play dot nfl. Robbers. Media Group. Are G Web Radio Medium House. RND. Streaming at www orangey web radio dot. com. This is. SHAKEDOWN Radio Chris. So it will supplement for. Jack. Del, Rey. Shaped. EDM now streaming live at shades down radio. Dot Com she down. 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We revealed two months prior to the event tickets. Online at www dot com booking dot com slash speech I in. See you freeze the made. Several Tiber twenty twenty long way came makes is a strategy is to stage a conference held on the Gold Coast eight year. In August, over the course of today's, you can check out the latest gear and equipment on display network the day Jay's namesakes from across the Leah and Improve Your skills and knowledge by patchy. tollefson Semis Heist by out the day Jason. Mc's we diverse range of topics including music, mixing social media, sales, and marketing, and how to more events. There is something for everyday j. m. say anyone can attend bakes. Sorry if you WANNA learn growing to be Julie and take your business to the next level he needed to attend Knicks for more information follow Bait Knicks on facebook and instagram. To learn more visit www dot eight makes dot com dot AU fatigue. Roberts Media Group presents RMT. Web Radio along with DJ FM SMOOTH JAZZ FM and SHAKEDOWN radio strained we're on the hunt for announces stage and music hot is simply a mile say or RMC WAVE RADIO DOT COM and head to www dot ram mg web radio dot com R. M. G., Web Radio, your novel on sauce for me. Have you heard of Mr Perfect grassroots charity also known as Mental Health Night? They encourage connection community in a supportive and inclusive environment predominantly through monthly made up bobby keys across. Australia. FIND OUT MORE AT WWW DOT MR pepys DONALD Or Email Hiller at Mr Perfect. Donald. Outcome. SHAKEDOWN radio with Chris Kegs. So for Sydney Turner. From, the Atlas tour. Star search diner and had to. Ww Dot. Sydney. DINER DOT COM dot AU robbers media group race. G Web. Radio. Him House RND Hav. Streaming at WWW orangey web radio DOT com. Four foreplay DOT FM as Australia's number one. Dance music founded in compiled by. To. WWW. DOT FOREPLAY DOT FM. Four played. Compiled by Death. Down Nova FM closed. At www dot play dot. SHAKEDOWN radio. On onto digital every Sunday night. Ten PM Pitch Wisdom strenuous time on Monday morning Sydney Australia time. Adm At www dot tune one, dot com today you that's June the number one, dot com that eight. Catch shakedown radio weeks crease tags on static. Every Wednesday. Night at seven PM Sydney Australia time playing ADM, house at. WWW DOT dot. Dot Cow. SHAKEDOWN. Cruise, jags. Liquid Radio Bringing you. House and club chains Wayne State is eight PM. From Sunshine Coast Queensland trailing at www dot. Online. was awesome awesome yards. Sponsored advertisement Chris. SHAKEDOWN. Shit radio, DOT COM or. Zero four zero. Seven, eight, seven, one, six, three, and email Chris, gags shakedown radio, DOT com. David. This is Martin Solvay. Radio. Dot. com she down Radio Chris. Harvey everybody's listening to everywhere by all the songs I love to listen Joe Load D- Edsa www, dot Chris hanks died pod, dot com. State. Two. took. Live without. com. took. Some. Time an elaborate. K. Live without show. A. A. Thanks. Again. Okay live without show. mean. Game. Play is. Such a day. To start to. Think about. Scared. Scared. Scared. include. Talk. ooh. Lou. Pink. was. Advertised Advertisement Chris can. Over to. Be She radio DOT COM or phone zero, four, zero, nine, seven, seven, one, six, three, and Chris Kegs. Radio DOT, com. Catch us on social media like on facebook accrues tags, radio and twitter and Instagram at cruise. Thank. Can You Don't be. Silly Kolding you. The Mola. Dates. Do. Snoop. Kiss. Right You Still Nice, deal this. Eight me just believe in. Just. Crazy. Why Talk. Talk. I still. Think. You. Just. SHAKEDOWN radio. Chris. Available on Pie, bean, everybody's listening to an everywhere by all the songs by listening Delo the head to www dot Chris, kegs, Dot pod, bean dot com. down. This is Ryan from one republic. Crap. With Chris Tags. Try. Try. TRY TO Thank you. saw. Show. Pattern. BEEN TRY Try. Try. Try. Try. Do. French. Try. Try. OFF Thank. You. Try, not go. Thank you. Try. Thank you. Turn. Chris. Harvey everybody's listening to everywhere guys play all the songs I. Love to listen in Jolo. Chris Gags Jive Podpinka. Awful Zuhdi. Nazi Holiday Getting Without you. A. Tax. Action. Pain. Can we go? Through. Woke Up. Neither my space time recovery. Now, my quick summary, new discoveries using way posing. Winning weight with it I'm taking short an equipment poetry. went up with a chicken. down. Crown. Verified Stay Scheming Did Go. The US. In A SEE DONATE took. Old. Ore. I'm paying. Called upon this world. Compound pay. But as time goes by these. Spin. Yoma Krypton. You. Say So. He's No? Song. This man be. This. Bad. Time that's the. John. P. An odd. Thing. Trent trips on. Your. Goals. Radio. With. The Jonas brothers. SHAKEDOWN radio's. Chris Tags. Shake. Down video shakedown radio tagged. On cloud available www dot the clouds dot com slash. City. It. It. Crap. That is. Correct. Cold. Take. Just. Accord. On. I'll come to my facebook. facebook and like the shakedown radio page, www dot facebook dot com slash Chris Cakes radio. The Lake Buffalo share with your friend everywhere. You. In hashtag follow on twitter at Chris. Gangs. Hashtag Chris Cag-, whatever he are everywhere. and. Life. Kid. and. WHO Okay. Indeed. Plus.

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Episode #349 House & EDM

ShakeDown Radio Podcast

2:06:28 hr | 2 months ago

Episode #349 House & EDM

"Can you ready? SHAKEDOWN radio with Chris Kegs is coming to rich from Chatswood, Sydney Australia, www dot shakedown radio dot com. Threes Chris. US play guys I'm drew. Alex here we are the chain smokers young Gerald. Reporting, live. To boyfriend you up early societies at Gemini. Ex, well, she radio's Chris gags now streaming live on iheartradio. She. Chris cash. Everybody's listening to an everywhere guys play all the songs I love to listen in. You Dot Chris Kegs Die pod bean dunker. Hard on his Kunal you pay Tim every time I get into every. August. The Girls Age China. Gabby. Mind the same ones who be hit in my line. They're not your friends I need to know that. We? Go This time next. Trodden. Say. Oh. Research. took. Me To. Go. This Guy May. Say. Don't get. Wild. Lean. Muscle. Move. Like we believe in the older. Me Feel I. The Dance Mall for the bean. The living. Every day. The. The most. Back out now. Gone. Only. Does every day. Nobody. This is Ryan from one, Republican. Crap. Japan. Here with Chris Tag. Only listening to shakedown radio SHAKEDOWN RADIO COM. A I don't know what to say. Something not. Music Ma. either. Wanted to say. Something not talk. Shit. CHICAGO. Move. Clearly. Long. A fair. Shot. I. Phone. was also. Sponsored? Advertisement. Chris. SHAKEDOWN. Head? Over. To www dot. Radio DOT COM or. Zero four, zero, nine, seven, seven, one, six, three, and email Chris gags hat shakedown radio DOT. com. The. The. You. Off. Come over. Here calling. You. Kamala. Talk. From. Connects, with Chris, cats on social media. Shit at. FACEBOOK DOT com slash. Chris Cox. Radio on twitter at. Ask Chris Gags. SHAKEDOWN radio and Chris Gags. Now streaming live on iheartradio search shamed dare radio podcast listed online at download the iheartradio APP. Who? On. Ball. Through Radio. Jonas brothers. Pig. Soon. SHAKEDOWN radio. Chris. Sorry you're listening to take down radio. SHAKEDOWN. Radio Comb. Acting. Same. Game. Is. Zero. Difference. Doc. Do. East. act. Young to get in. From. Them. Talk. Again. Well. S. pounds. Well it's. Everyone? saw. Pill. Stride and download shake Radio Chris Kegs on apple podcasts simply search keywords shaved radio podcast. Chris. She down own Chris. Harvey everybody's listening to it everywhere guys play all the dialogue to listen in. To www dot. Chris gags die POD BEING DOT COM. WHOA. Non. Long. Save was. Pretending then. Kim. took. Shaving Jr.. May Be. Proudly only F-. tweet. On, a striking community radio as well as in Sydney improvement to DJ. Side radio. DJ ICS radio mix it up radio. Straight out radio. Radio. Radio. Chris Hayes or Radio Talk. Shake down video shakedown radio. Tags. Cloud. WWW dot. com slash. No we. Learn learn? The. Learning. Shake. Shake. Down Radio with Chris. Drake. SHAKEDOWN radio recruits kegs on tune on digital. Every. Sunday night. Ten PM wisdom strenuous time on Monday morning Sydney Australia time. Health and ADM at www dot tune one, dot com today you that's Chin the number one dot com that age you. Catch shakedown Radio Chris. Tags. On Staten FM every Wednesday night at seven PM Sydney Australia time playing eighty houses www dot star dot com. pooped. SHAKEDOWN. Now, good radio and bringing you. And Club Chains Weinstein is eight PM at ast from Sunshine last trailing at www dot when right here dot online. Dot. COM COMPILED BY JEEZ OF OIL FM. Nova. And clothes. And you don four play dot. FM One. Idiom lives. For. Play. Down Radio is live on air twenty four seven with Chris gags courtesy of the. Group Joe Your. Dog Are Angie. Web Radio. Australia. Ward heavily. Piano Half Northern Irish singer Songwriter Cat Thomson delivers her new single leap phased out now. Having worked with hip hop artists, Eve, American be senior Lloyd and new sealants. Savage legal faith is available to download on bed camp and dream on spotify. For More Info, do www dot thomson dot com. In the music videos. Joy. Jeans Dean's online. Classes Find out more on James Dean dance. Dot Com. On calling wintertime representatives. Set You for you the main od said of October twenty twenty long weekend covid nineteen recovery Reunion Party with a twist like heison thirty, one December, three options. Sorry, he'll Australia non PM disarray am page as the. Stay play techniques and groups Grocery Cayenne Dj Semi Classic Ninety Teeth Stains Housing Oil Energy own ruby revealed two months parts of the event tickets. Online, at www dot. com slash. Breach. I in. Your free, the made old. Center Oct Twenty, twenty long weekend date makes to stay conference held on the Gold Coast eight year in August. Over the course of two days, you can check out the latest gear and equipment on display network without the day Jason. MC's from across the area and improve. You'll skills the knowledge by patchy succeeding in Tollefson seminars by out the day. With a diverse range of topics, including music, mixing social media, sales, and marketing, and how to book more events. There is something for everyday J. Say anyone can attend eight meeks. Sorry. If you WANNA learn growing to be Julie and take your business to the next level in NATO attend Bayton aches for more information follow. Knicks on facebook and instagram learn mall all visit www. Dot Eight makes dot com dot AU fatigue. Roberts Media Group presents our web radio along with DJ FM SMOOTH JAZZ FM and shakedown radio strain. We're on the hunt for announces deejays music hot is simply a male CEOS at RMT wave radio, DOT COM, and head to www dot R. MG, web radio DOT, com R. MG web radio novel, and Amisi Shakedown. It's Chris Patten presents. That Spelled D. L. U. S. eighteen dot com for more INFO email TV deluxe dot com, and deluxe they dot com. Fashion Lifestyle Shadow. Have you heard of Mr Pepys a grassroots charity also known as Mental Health? Night? They encourage connection and community in a supportive and inclusive environment predominantly three monthly made up barbecues across Australia. FIND OUT MORE AT WWW dot Mr pepys donald got you'd or email at least a perfect Donald Donald. Joining tonight anyway. I use Sydney restaurants, DOT com. It makes my dining, a pleasure that simple as AC to us, and it has all the restaurants that you can dream off. All you do is get on the site, choose the race strong folk, the restaurant, and eat at the restaurant. How cool is that? It's even if you download the free dining at. So for great night out Click and dine with Sydney race drums, DOT com. So where are you dining tonight? SHAKEDOWN radio with Chris Kegs. So Sydney diner down on the from the. Tour. Place tar search diner and head to. WB SYDNEY DOT. com. Dot E you Roberts Media Group. Are G WEB RADIO VESTED EM. House horrid. Streaming at www dot orangey web radio. Dot Com. Four play Jonathan is Australia's number one for training dance music founded in compiled by Jimmy See. WWW dot four play, dot FM and plus. Sponsored. With Chris John Down. Head over to. Shake down. Radio DOT. COM OR Zero four, zero, nine, seven, seven, one, six, three and Chris Gags shakedown radio DOT com. Music. People this is shutdown radio with Chris Kegs is coming to reach from Chatswood Sydney Australia www dot shakedown radio dot com. And everything I wanNA hear courtesy. Cast the latest episode of shape generate high cast on iheartradio. On the store and Google play store search for Jerry, radio podcast listen, and follow shakedown radio. She Down Chris Gags, available heartbe everybody's listening to an everywhere guys play all the thongs I. Love to listen in Jolo D- heads www dot. Chris Gags, Die Bean Dot Com. Talk. Okay. You. The South. The. South. I. Want. I. Out. The. Big. Staked. COM ON. Only. Still. Joins. Control it. You. Don't. Think. Precision. Star. Brandon. Think. were. Eighteen. You. What? Both. A. Doubt. and. Rush. Somtimes love you way too much. And live without show. And Way To. Again Stretching. Stuck. You. Only live without show. Game. Play isn't I mo such a high. Chunky coup stuck in my head. Thinking about you. Just, can't. Scare. Only. Live without. The ducks? SHAKEDOWN. Radio. With. Available. Now on the I am radio. Search shakedown radio PODCAST. SHAKEDOWN. Radio Road Chris Cagle from Chatswood Sydney Australia www dot shakedown radio dot com. This Scale. Going nowhere. Both. Journal. We. Zoo you remember. Paint. On. Now, we got this. Guy. First. Zone No. com. Gets you. Sight you. Store for us. Off. To. Love. Fun. So. Weeks. A. Is. Tomorrow. Now. Twist Off. Do took. Only. We. Given. Connects with Chris cats on social media like. FACEBOOK DOT com slash Chris Gags, radio, and twitter. As. Chris. gags. Chasing. Feed. Bed. took. Seven next. But I wish. You. Know he said. Make. Some sounds even the good things. Along the way we opened up saying. Different Page Shaughnessy loyalties, insecurities, and priorities. HOMINY IT'S THE ONLY Always good to. That you. Just have to see who Sometimes even the good things. Long Way. To. Go. I wanted you to stay 'cause honesty loyalties, insecurities, and priorities and. The hominy gets the only thing. uh-huh. Dow. Wins. Now. Go to Google play it apple APP store and search on the. Dow shakedown radio with Chris cash is available. Toby Toby. Dot Com. I'm coming. Out that. Long. To. The. You. Front. Love Six. The. I'm blazin known. But. Decision. Reflect. Radio. Burnt. GSA. SHAKEDOWN radio we've tack. On social media like on facebook at Chris Tags Radii and twitter and Instagram at cruise. Ladies. Is. comes. To single ladies out there. and. Autism. Late. From From Party. took. took. Kim. Yup. Awesome yards. Sponsored. Chris. SHAKEDOWN radio head over to. Shake Down Radio DOT. com or food zero, four, zero. Eight seven one six, three and email Chris Kegs Shaked radio DOT COM connects with Chris. On social media. Share. FACEBOOK DOT com slash Chris gags radio. Twitter at it's to grab ass Chris Gags. Folks. Your mom. Don't let me get golf hopefully to why. A big. Japan. But agenda. Bring amount. Let me press. Too I gotTA. Get. down. There so many. Don't. Don't. From Let me press. Own Way Too Get. Out. Don't. Know. Mom. Don't. Bring. 'EM UP. Don't. They. Awake. Don't. Don't make. Anything away. Mom. Aw. Eight. This Uh Show. Who? Grow. Album. uh-huh.

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Catch Me Zeitin Dirty 2/24: Katherine Johnson, Kobe and Gianna, New Order x Pet Shop Boys, Chicago Weather

The Daily Zeitgeist

11:52 min | 10 months ago

Catch Me Zeitin Dirty 2/24: Katherine Johnson, Kobe and Gianna, New Order x Pet Shop Boys, Chicago Weather

"Today's episode is brought to you by Mazda. The joy of being alive comes we discover on our journey and with the first ever Mazda C X thirty. There's inspiration with an every mile traveled. It spirited performance and available predictive. All wheel drive heightened your senses like no vehicle you've ever experienced with ample cargo space and available off road traction assist the X. Thirty s perfect for weekend getaway destination wherever engineered like nothing else to feel like nothing before experienced the premium Mazda C X thirty at your local dealership Mazda. Feel alive I guys my name. Is Sammy j? I've been working as a correspondent and interviewer. Since I was thirteen and now at seventeen I am so honored to be the youngest person to have her own. Podcast on iheartradio. It's called. Let's be Real Sammy. J well in depth and unfiltered conversations with celebrities. Activists Athletes and influences will cover topics. We're curious about the topics. My guests are passionate about and topics. Many of us are just too afraid to talk about. I get past the fluff to what we go there. And it's fun pretty crazy and very revealing listen to let's be real with Sammy. J on the iheartradio APP apple podcasts. Or wherever you get your podcast. Hello the Internet and welcome to this episode of Kashmiris dirty means I net you ever been Zeidan dirty always okay. I'm always you see how short that's what that's what. I call it when you spend three hours of Jack. Today every day. He goes on Wikipedia and edit articles in the weirdest ways and he's changed his case. Change dirty was right. That is Chris. Harvey and Mile Day. Let's let's tell the people what is trending today at the moment that we're recording so Katherine Johnson is trending. She is the mathematician that most people might be familiar from or familiar with from hidden figures. who worked for NASA. She passed away recently. Wrote so her name is trending. I'm wondering on say her age was one hundred and one hundred one amazing like that wasn't amazing story. I mean that's just one like the thing she had a fight against in terms of discrimination Pretty Wild Yeah just ended up doing amazing work that Put America on the moon before Buddy L. One resonates in so many other ways technologically also. Yeah yeah a hundred and one years old is they. Don't make them like that anymore. Shout out to her one hundred and one without medicine. No with was like a g just cheer tyranny of will. Yeah exactly The Kobe Bryant and Jonah Bryant memorial is happening right now. That is trending Jesus and this is is brutal but very beautiful. Yeah brutal full. I can't really. I don't know if I'll be able to watch it. I mean I've watched. I've barely been able to watch much stuff in general because I don't get emotional. Yeah but Yeah the whole city is. I saw three read cars where people just painted their cars like would their own paint to make him purple and gold. Oh really yeah man Yeah it's the whole city is kind of the it's been in a perpetual state of mourning since The accident and this feels like it's kind of a culmination and celebration but also culmination of the morning. And I can't believe Vanessa Bryant like she's there and speaking I think and that is that is strength right there anyway. What about some other news? No New Order Okay and pet shop. Boys Yeah our CO HEADLINING. A tour okay. they did blue Monday right. How does it fail to Trae by like Yeah I I think that's good great. Don't know Well I think they are. They used to be joy division right and that's a bit that's all. I know that's your working this out in a one way street pet shop boys uh-huh no really. I mean I've I've heard the man. What about those West End Girls I know I know that Song. All right wes then girls them. I remember very specifically the year that I became like cognizant of popular culture and music and it I think it was like eighty seven or eighty eight like that song Got My mind set on you or Jerry and the Kokomo. Don't worry be happy. Which by the way I played for my I had the boys by myself this weekend. Bobby mcferrin your blessing. Bobby mcferrin blast and Bobby era and They they were feeling. Oh really and the. The one year old was even sing. Don't worry be happy. You really should learn his name eventually. Yeah the little one a little guy number two. It's got the cheeks. Aj Give you a kiss. I really there is something about bobby. Mcferrin don't worry be happy that I feel like you. Didn't they send like a record? A gold record into space. That was supposed to be like you know like our humanity on one disc thing. I feel like Bobby mcferrin song. Don't we like it? Might be universal like it. It's timeless I'll hear it now but like I don't know man this shit. Is this dish it goes. Yeah Oh yeah and babies and babies get it and yet Also trending is wait. So are you excited about this? New Order. Pet Shop Boys I just know it as like two bands that I know are big and I know there's probably a generation of people who are like. Oh Fuck Yeah Yeah I think or it might be one of those things where people are like honestly at this point is a little late. I wish they may be done this fifteen years ago but I'll take it. I'm a big Fan. You know what I mean I do know what you mean. Miles thank you. Hey speaking of joy We're about to be in Chicago spreading the joy. Yeah and As we were looking at the transferred at what do I see number seven? Google trending subjects right now Chicago weather oh which is something. I was already aware that I should be you know worried about as Chicago. Get bad weather. Wise heard it's paradise. Yeah it is. During the summer the light goes during the summer but wolf Yeah they say heavy snow. Yeah might be up to nine inches which Us people who are accustomed to the Balmy You know where cold is fifty five degrees Los Angeles Weather? Scape are probably not ready. I mean we're not ready for whatever it's going to be ready for wind certainly not number seven trending subject the days ago weather again. I've been begging for earth to just swallow me whole withhold the breath and embrace cold breath hold a cold the cold And so him I get my wish. Yes so if you see me out there frozen please remember me as I lived Yeah a warm fellow. Yeah but First Minneapolis. Tomorrow night. Tickets still available. Come on Minneapolis. Come through come through say hi unless he s yeah. It's going to be our guest. Jan Van Kirk in Chicago. If he makes it if we make it yes if not look. We will literally bike across the plains. The hills to get to you. Yeah I plan on either way. I plan on biking to the show. I know you keep saying that. Yeah and I got worried because when I saw your suitcase it was a bike. Broken up and a bunch of parts of my all my all. The clothes I've packed are biking outfits. Just those shorts a single body Leotard short. Midlife crisis costs play man stuff. Yeah that's like the new. I will never get there. What you if I ever get their miles. Just take me out. What's our what's our generations Lance Armstrong outfit. GonNa be who you know what I mean. Because that's a specific thing like yeah. They thought I was down and now I'm on this bike brand. I got a cool. It looks like I have sponsors. Yeah exactly like let's pretending we're on like like wearing the full basketball uniforms. Maybe but I mean like we regret so hard. I'm like I'm Cedric Savalas. That's still one of the funniest things I've ever pictured is. One of my friends was like Chris who you've met Was pointing out that we should have. Nba coaches have to wear the uniforms of the their team as well just like baseball managers just picturing like Jeff and Stan Van Gundy. The Vans Gundy wearing their basketball. I really just blew my mind dad. Honestly Steve Kerr would I would. I would look fine. He's still be like I'd be like Steve. Kerr still planner Steve Bartlestein longevity but yeah I mean the fact that the baseball managers of of all the sports probably the worst uniform for a outta shape person to wear They'll rocket ahead chefs shoutout to them. Maybe that'll be the thing baseball uniforms. I don't know there's GonNa be. I feel like I had articulated this at some point but I I know it's something I know. There's going to be something that like Gen Z. People look at us and be like there is yeah it happened okay millennial. You're now dressed like Tom. Lebron do yeah. Maybe it'll be just all the do do Zuma's get tattoos at the same rate as Millennials I don't know Dallas dial in Zimmer's let us now on your rotary phone. Yeah All right that's going to do it for this afternoon. We'll be back tomorrow with another whole podcast and we will talk to you then by type. Marr is the newest resort in the Bahamas short flight from the US in fifteen minutes from the airport for an easy family vacation kids will be entertained at the explorers kids club while parents explore the casino golf course spa and over forty restaurants bars. And Lounges. Kids under five. Eat Free at select restaurants to book winter specials including up to thirty five percent savings on your stay visit. Baja Mar DOT com. That's B. A. H. A. M. A. R. Dot com votes d like big boats. Do you like poor people in the rich people. They serve on big boats. Are you always like look on below? Deck? Hi This Santa. Hosting and Mick Turner the hosted deck heads and we want to take you on a fun and goofy adventure in this style. Podcast we will watch and recap every episode of Bravo's below decks and all of its spinoffs. And we're going to release an episode of Day so you can watch long with us and listen to our silly daily recaps. Listen the decades on the iheartradio APP apple podcasts over every year. Get Your podcasts.

Bobby mcferrin Mazda Chicago Sammy j apple US Steve Kerr Chris baseball Vanessa Bryant basketball Katherine Johnson NASA Minneapolis C Mick Turner Jonah Bryant memorial Kobe Bryant Zeidan America
Episode #346 EDM & House - Featured Artist: Jack Wins

ShakeDown Radio Podcast

2:06:15 hr | 3 months ago

Episode #346 EDM & House - Featured Artist: Jack Wins

"SHAKEDOWN. Radio Recruits gags on. June one digital every Sunday night. Ten PM wisdom strenuous time on Monday morning Sydney Australia time. Health Adm at www dot tune one, dot com today you that's June the number one dot com that aid you. Catch shakedown Radio Heath Chris, tags on. Every Wednesday night at seven. PM Sydney Australia time playing eighty house at www dot. Dot Com. com. SHAKEDOWN right. Now good radio. Bringing you. And Club. Winston is eight PM. Take from. Sunshine Coast Queensland trailer at www dot right here. Don Online. Down Radio is live on air twenty, four, seven with Chris Gags, courtesy of the robbers Media Group W.. RMC Web Radio DOT COM. Forward, played. Compiled by GTC OF OIL DEL Sound Nova. And closed. At www dot foreplay dot NFL. Wear, EDM lives four played. Proudly only F-. tweet in on a striking community radio as well as if Him Sydney To DJ at the new radio DJ. ICS radio. Setup radio. Straight out radio. Radio and. Radio says Chris Gangs or shakedown radio. Talk. Talk Chris. Harvey everybody's listening to it. Everywhere. Guys play all the songs I love to listen in. Jolo D- heads, www dot Chris kegs, dot pod dot com. Don't we all just love. To sail was relate sir. pretended. Don't. Think. Because we can. Question. Stop Change. Shit. Kim. You guys check into alive. SHAKEDOWN radio. Hello, and welcome to another episode. I'm your host who's cakes through me. Chris Cakes Pumping Com shakedown ready dot com, and via broadcasting partners him Sydney Truman radio impose. Likud radio on the Sunshine Coast. Foreplay Johnny faming coin signed and now I'm Jay Way Brady Sydney it's good to every company some own music. From. Jon. Cho's aim Kayhan callum monroe in the two along with Jessie Blind British kickoff the show here is Lou Casablanca. We moved to the base. Old. This feeling I get when? Owen. Is Juice Laxa so play in baby. Kelsey. Song. Yup Free. have. The. I get when Megna. is, juice, laxa. Did in the. Scale. The. Magic. Symphony. Slow. Walk. A make. With you. Our The This is Ryan from one Republican. To. Japan Japan. With. Chris Tag. shakedown radio recruits cogs from. Chatswood. Sydney Australia www dot shakedown radio. Dot. com. Does. Do. Love. You. Head coach. Song. You. Is. Go. Lane. WHO Radio. You. Golly you. got. Awesome yards good sponsored advertises Chris, Cairns on shake. Your head over to. Do Shit Radio DOT COM or food zero, four, zero. Seven seven one, six, three, and email Chris gags Shaked radio DOT com. Downright. SHAKEDOWN radio. Dot Com. Off. The ladies out there. Is. Home. Out Day. E. Other. Do. This Did. Out. Album. College. But. I'm blazing. Now. Want. SHAKEDOWN radio with. Chris. And House music from Australia. WWW dot, shakedown radio call. She. Chris gags. Everybody's listening to it everywhere guys all the I love to listen and. W W. Dot. Chris gags die, BE DOT COM. Auto. May. You touch me. Go crazy when you watch. Mojave. Graze. All what you? But every time? And Do. Any do. I need you. Early podcast stormy online at www don't Chris cakes dot. com or shakedown radio. Dot. com. And if you wanted to reach out to me on social media head I to my facebook advice moo.com dot com slash. Radio and twitter and Instagram at cruise. Using the HASHTAG. Bacteria just a more hassle music now. and. Ball. Connects with Chris cats on social media. and. facebook. Dot Com Slash Chris Cox. Radio. Twitter at it's to grab as Christ's gags. Breakdown shakedown radio with Chris is available on the cloud career www. Dot. COM Slash Chris. Do. and. Lean. The. Need. Data. Any. And Did. Ready. You. Own. Way You. Know. This situation is to explain you. Show had told me. Kim Street. Your love to shakedown radio. Chris. Kegs streaming online at www shakin radio dot com, and we'll also moved over to our new podcast house may show you check it out Chris Kegs pumping dot calm and if you wanted subscribe Cheney of these episodes or you have to do is jump average apple podcast google focused in spotify seemingly. So shutdown radio PODCAST and also check out Al Mixed Cloud Page, which is mixed cloud dot com slash cakes, and grabbed the three hundred thirty episodes on the as we get back to more house. Thought. Recovering the last. I nearly lost my soul Ma. Wall. When you held me tight and told. Part. Go Up. You cable. Change. Now. Living in a real bad. nope. Post. The Bud. Baking. Conclusion. took. Can Oh Shake. Shake Down Radio with Chris. Completing. Down Radio is live on air twenty, four, seven with Chris cash courtesy of the roar speedy group Jelly your. Dog Are Energy Web, radio DOT COM. Four played. Compiled by. Avoid FM Nova. And close not at www dot four play. Dot FM. Wear EDM lives four play. Australia board Filipino has Northern Irish singer. Songwriter. Cat Tom steyer delivers her new single leap phased out now. Having worked with artists Eve American rb singer Lloyd and new. Zealand's seven legal faith is available to download band camp and stream on spotify. For more INFO to www dot cat thompson dot. com. Do the music videos. Yeah Joy James Dean's online dance classes. Effort to find out more on jeans Dean Japan's Junko. Only, wintertime representative. For the made OTC said, of October, Twenty Tony Long Way cover non tain recovery reunion poly with the twist like Sean said, he wanted to say these three options salary he'll Sydney shy non pm disarray M Dj's. Could ill stay play techniques and crews scretary. Dj Semi Classic Noughties Dame's Housing Energy. All Ruby revealed two months prior to the event tickets online at www dot chart booking dot com slash breach I in high. Set You free the Made Days Federal Tiber twenty twenty blown way came. Is A stylus. Largest Hi. Conference held on the Gold Coast eight year in August over the course of days, you can check out the latest gear and equipment on display network without the DJ's name. Say's from across the Stralia and improve your skills. The knowledge by participating in Thompson seminars by day Jason Stays with a diverse range of topics including music, mixing social media, sales, and marketing. And how to book more events there is something for every day Jay or say anyone can attend bait meeks. Sorry. If you want to lead growing to be Julie and take your business to the next level in NATO attend Bait Niks for more information follow Bait Knicks on facebook Instagram to learn more visit www dot noattacks dot com do fatigue Roberts media, group presents are Mj web radio. Dj FM SMOOTH JAZZ FM and SHAKEDOWN radio. Strange. We're on the hunt for announces stage and music hot is simply a mile. Cer. At our MG Web radio, DOT COM, and head to www dot m. mg web radio, Dot Com R. M. G. Web Radio, your number one source for music shakedown radio. Tags presents TV that. Spells de L. U. S. eighteen dot com mooring for email TV deluxe dot com deluxe dot com. Fashionable lifestyle of you heard of Mr pedic's grassroots charity also known as mental. Health night. They encourage connection and community in a supportive and inclusive environment. Predominantly three monthly made up bobby keys across Australia find out more at www. Dot Mr Pepys Donald. Or email lawyer at Mr Perfect Donald Joining tonight anyway. I use Sydney restaurants, DOT com. It makes my dining a pleasure that simple as easy to use, and it has all the restaurants that you can dream off. All you do is get on the site, choose the race strong book, the race drawn and eat at the restaurant. How cool is that? It's even acs if you download the free dining. So for great night out click and dine with Sydney restaurants, Dot Com. So where are you dining? coast. SHAKEDOWN radio. With. Chris. Or Sydney tyner. From the Atlas. Star search diner and had to. Be Dot Sydney Dot Com. Dot Au. Share. Official. Simply search reaching FM Eighty, seven, th six. Station. Hashtag. shakedown ready I recruits Cag- on June one digital every Sunday night. Ten PM wisdom strategy at time on Monday morning? Sydney Australia time playing house and adm. At www dot tune one com today you that's June. The number one dot com today you. Catch shakedown radio. Chris Tags on. Every Wednesday night at seven PM Sydney Australia Time Play Adm and house at www. Dot. com. SHAKEDOWN. Cruise to hikes could radio bringing you. House and club chains. Wayne. State eight PM? From. Sunshine Coast Queensland trailing at www dot liquid. Online. Your worst. Sponsored Advertising Chris. Shake down. Down Radio DOT COM or phones zero, four, zero, nine, seven, seven, one, six, three, and email Chris gags. RADIO DOT COM. Proudly only at. tweet. On Australian community radio as well as gloomily Sydney Improvement Dj you'll side radio DJ pompey fit. Radio mix it up radio straight out radio makes radio urban. Radio. Chris case or shakedown radio. Talk Com. Chris Kegs. Harvey everyone listening to it everywhere guys play all the by love to listen in Jolo D- EDSA WWW dot Chris. POD BEAN DOT COM. Over. On. WHO Fade. Off The road. But. Awesome. I. It. CAST on a car. Pro. Life. Home. I. Love. Breath. Five K. Get. Back. To. Data. Trying to get back to. Get back. Montana. From. Wayne. Out Now Trying to get back to. Trying to get back. Ponte. Back Trying to get back. Do. Don't wait. Don't wait. They're. Trying to get back up. there. Tell me why left trying to get back up with In. Trying to. Get. Back. Only. Don't. were. Took From. SHAKEDOWN radio. Chris Tag. Listening to stake. Downright. SHAKEDOWN RADIO DOT COM. Old. I'm paying. Oh. Socorro in this world view. Must. Take. Time goes by he's been. You'd say. Anti Song. Custodial me Away Oni. The. The. Phone. An calm income cocoa. Trademark trips. Scott. Name. Goals. Saying. ARGH. took. Your? Chris. To Showdown Radio Chris Kegs and if you WANNA sponsor the show or whatever on any of the radio stations are broadcast on Saturdays. Styrofoam Sydney, we could already on the Sunshine Coast Foreplay faming coin sign an armed Jay, web radio or you have to do is send me an email. Chris. Kegs Shade Radio Com find me on I four, nine, seven nights one, six, three, zero, four, nine, seven. One t three as we get more house music. Fact. Kim. Japan. Crowd. Think Doc. Take the. Brunch. Just. A. OFF took. Catch on social media like on facebook at Chris Tags Radio and twitter and Instagram at cruise. Let's shakedown radio recruit skaggs from Chatswood Sydney Australia www dot shakedown radio dot com. Son. You know the. We were land. The men the. Remember. You Still But You Myth. Heff. But. uh-huh. Does. Oh. A. Way. That's You. Town. uh-huh. took. Doc. SHAKEDOWN radio tags is available on. Download. The spotify at the epilepsy. Place Dole just said shakedown radio PODCAST. down. This is Ryan from republic. WanNa stop. Radio Weeks Chris Tag. Take Down Radio. SHAKEDOWN radio. Dot Com. The past. mean. Trouble. uh-huh. report. Over. This is Chris Getting Tony on podcast put an hold trek listing and detail and stream the show. Once again, hit to Chris Kegs BEAN COM OS SHAKEDOWN RADIO DOT COM wars on mixed club was three, hundred and seventy episode at. Low Com- such case and subscribe on Apple podcast Google podcast and spotify seemingly. So shutdown radio CAST. Originally podcasts out for my show times on June one Perth starter of him, Sydney Likud very on the sunshine coast and grabbed the links to story MOS WORL- for. Him and Jay Web. Radio until next scuba. Buso. Zuhdi. Fron. Government. Could? Be. Without. You. Thank. The. Good the. Bank. Through walk. Up. Neither. My Space Time recovery now age Quinn. Summary New discovery way both of the. Winning, don't wait with it. I'm taking. Equipment Poetry. Still, went. Maybe. Yes. Down toward. Crown. Stay scheme. Golf. Breathe. was. Only. In the. Move. Data. Still Joins the traffic control? It. was. Few. resulting. Do. Priscilla. A. Thing is. Nine. New Brandon. You. Return. Can't live without. Live without your. Mine does hours in. Times I love you way too much deal. Okay live without show. This. Way To. At the. Stock. Thank. A. Kid. Okay live without show. Is a strange game. Play isn't the MO- such a Chunky coup stuck in my head. Thank you. Just. Can't. Stop. Kid. Okay. Do. Way Two.

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ShakeDown Radio - Episode #348 - House & EDM

ShakeDown Radio Podcast

2:09:10 hr | 2 months ago

ShakeDown Radio - Episode #348 - House & EDM

"Shakedown radio recruits gags on. June one digital every Sunday night. Ten PM wisdom strenuous time on Monday morning Sydney. Australia time. Health Adm at www dot tune one, dot com today you that's June the number one dot com that age you. Catch shakedown radio with Chris Tags on static. Every Wednesday night at seven. PM. Sydney Australia time play ADM in house at www dot dot. Dot Com. SHAKEDOWN. Cruise. Liquid radio. Bringing you. House and club Shades Wayne State is eight PM. From Sunshine Coast Wasteland. At www dot. Online. Foreign played. Compiled by. Nova FM and club. V At www. Four play dot. FM. Wear Edm lives four play downtown. Exclusive Down Radio is live on air twenty, four, seven with Chris Gags, courtesy of the rubber speedy group www dot R., edgy web radio, DOT COM. SHAKEDOWN. Radio. With Chris. is coming to reach from Chatswood Sydney Australia was. Drake. Selena Gomez. Is. Yours. Truly might pose. WWW DOT shakedown radio. Yoyo. Ready. SHAKEDOWN radio with Chris Kegs is available on my heart radio. Go to the Google play athletic store and search shakedown radio PODCAST. SHAKEDOWN writing I with training available now on the. Shape down. Radio PODCAST. Proudly only over tweet years I straighten community radio as well as gloomy Vincent de and I want to Dj thin. Radio DJ PUPPY ICS radio mix it up radio. Straight out radio. Radio. Radio says Chris Gangs or. Down Radio Talk. Show. Chris. Harvey everybody's listening to it everywhere guys play all the songs I love to listen in Joe. Ww Dot. Chris Cox Dot. Dot Com. added. Don't. Think. When you touch me. Crazy when you watch. Mojave Grayson? But be tournament. And I need you to. Do. I, need to. Do. To me. Crazy. New. York. level. Crazy. Hello, and welcome to another episode of Shape Damn Radio. I'm your host kegs. We see for another wake with the BASTING ADM and house music broadcasting from our partners from Sydney to one in Perth Likud radio in the sunshine coast four early Queensland, an Hour J. Web Radio in Sydney Welcome abode. We've Beckham music excuse me in Ibis polly more music on the wife from the magician. Henry. Hacking to and marked on. But to kick things off, he's nice and Dole with. On New IPHONE Zuhdi. The Nazi. innovator. Get it. Be Without you. Combine. Can we go? Through up. Neither my space time recovery now. Quinn summary New discovery way both of the. Conscious. Joan went with it. I'm taking. A. Quick. MINUTE POETRY Still. Chicken. Maybe just. A crown. Fog Stay Scheming. Baby. Golf. Did. God. Pill. was was also. would. Advertise. Chris. SHAKEDOWN. Radio. Dot Com or Zero. Four zero. Seven, seven, one, six, three, and email Chris, gags shakedown radio, DOT com. was scared. Trouble. Off. Point Own. I'm paying. This World View By Oma. Way. com. UTAH. Song. Off. This man. Bomb. This. Bad. The. Concern. Me also. A. COM-. Trend Look. Say. Who? Around. Up Everything I wanNA hear. The latest episode of. Radio high cast on iheartradio download. The APP on the epilepsy store and Google play store sturge forshing John Radio podcasts. Follow shakedown radio. This is Ryan from. Skill. Japan. We've Chris Tag. TAP. Convert. Took care. Montana gauge back to. TRYING TO GET BACK Much back. Now. You're. Trying to get back to. Trying to get back. To. Trying to get back. On and Trying. To get back. Only. Way. took. Tell me why the hell are trying to get back of. fucking. My trying to get back with. Wyoming Montana. They're. Book. Queen only. Way. uh-huh. Way. CARE. Through. Do. took. Okay. Back. Slow. Do. Writing. Catch us on social media like on facebook at cruise tags RADII and twitter and instagram cruise. took. Pizza. By. Your. Can? You. Call they. Use Your shakedown radio with Chris kegs broadcasting for male studios. Of chatswood Sydney. Sharia to the globe broadcasting from Saturday fame Sydney to impose Likud radio on the Sunshine Coast Four played early filming coin sign and our web radio in Sydney, and if you wanted to get my facebook page may show you invite your friendly Mike Show you send you shared ask some requests and keep up tonight at www dot facebook, dot com slash Chris Cakes radio and twitter and instagram using the Hashtag Chris Kegs. Getting back into some old music now. Flow. Our Ourselves Radio. SHAKEDOWN. Radio. crease. She, down radio and Chris Cagle. Everybody's listening to it everywhere guys play all the songs I love listening download exit. Don Chris. Die pod. Bean. Donka. uh-huh. Exactly. Wait. Breath. IS A. Taxing Skunk. Thank. Skin away. Do to. Play isn't nine. Go stuck in my head think about. Gang in what? Table. saw. Thanks. Chris. US play what's up guys I'm drew Alex here we are the chain smokers young Jeremy Easy report in. A. Series of Germany. Next, well, Sheikhdom radio with Chris Cox now streaming live on iheartradio. The. saw. Blind. Sharp. Increase. Through the went. Of course. The. Proxy. Talk. Doc. Anti. Cold. Tape. Take. Take. Off. SKIP. Shake. down. Radio went. To shake shakedown ready, radio, Chris. Kegs, and if you to get involved with some of the radio station and telling me involved we've. All sponsor then to. Fame at www Saturday fame dot com. Oh email contact steroid fame, dot com, and the big shut out to Darren Lauren Fatuma radio hit to www dot chain wanda conduct. An email governate to dot com you beat shutout together. Carsley for Likud Radio head over to www dot Likud ready added online and they email studio Likud radio dot on the line. Oh finds you our full five to one three. One non one one a big out to Andrew Steele for our Angie Web Brady head over to www iron jiwei, brian dot, com, or email. At Armed J. Web radiator COM BE. And finally full played FM is relaunch listen to it. It's compiled by Zia Walter Fame Nova and club. Foxtail too early J. FM Stereo Group, and if you can check it out, it's available at www dot full I don't fame or we can find Chris Kegs for a nine, seven, nine, eight, seven, one, six, zero, four, nine, seven, hundred, seventy, one, six, three, or email. Chris. Is it shakedown radio DOT com back some small music. down. Radio is live on air twenty, four seven with Chris Gags, courtesy. Aurora Media Group. R. G. WEB RADIO DOT COM. Four played. Compiled by KITTIES E OIL FM Nova. And closed. At www dot four dot. Wear EDM lives four played. Australian board heff Filipino half Northern Irish singer Songwriter Ken Thomson Delivers her new single leap buffets now. Having worked with artists eve of would be sooner Lloyd and new sealants. Savage legal faith is available to download on band camp and stream on spotify. For more INFO pen to www dot cat, thomson dot com wanted chance like doing the music videos. Joy Jeans Teens online dance classes. Find out more on jeans dean. Janse junk come. On calling wintertime representatives. You for you at the main. Set of October twenty, twenty long weekend covid nineteen recovery Reunion Party with a twist like said, he wanted to save three oxen sorry. Sydney Australia Non PM AM DJ's. Could Hill stay plight techniques and crews? Teary. Dj City my classic not stains. Over we revealed two months parts of the event tickets available online at www dot charm booking com slash breach I. in k. c., you free the old days central. Tiber twenty twenty long caned date makes is Australia's largest stage conference held on the Gold Coast eight year in August. Over the course of two days, you can check out the latest gear and equipment on display network without the day. Jason. MC's from across the Stralia and improve he'll. Skills and knowledge by patchy painting and Tollefson seminars by the day Jason Am say's with a diverse range of topics including music, mixing social media, sales, and marketing, and how to book. Marvin's there is something for everyday J. or say anyone can attend bakes. Sorry. If you WANNA learn growing to Julie and take your business to the next level, he may to attend makes for more information follow Bait Knicks on facebook and Instagram to learn more visit www. Dot Com dot a U Fatigue Roberts Media Group presents RMC. Web Radio along with DJ FM. Smooth Jazz. FM AND SHAKEDOWN radio strain. We're on the hunt for announces stage as and music hottest simply a mile. At our MG WAVE RADIO DOT COM and head to www dot r. m. g. web radio DOT, com R. MG Web Radio, your number one source for music shakedown. pags presents still TV that. Spells de L. U. S. Dot Com for more INFO email TV at deluxe. Dot Com. DOT, com. Fashion and lifestyle channel. Have you heard of? A grassroots charity also known as Mental Health May. Encourage connection and community in a supportive and inclusive environment predominantly through monthly made up barbecues across Australia. Find out more at www dot needs to pethick dot eared or email hello at Mr Perfects Donald. Friends. SHAKEDOWN radio with Chris cash for Sydney diner download the APP from the Atlas Tore. Play store. Diner and had to. Be Sydney. Dot Com night. Dining tonight anyway especially. Sydney race. Dot Com it makes my dining a pleasure that simple as easy to use, and it has all the restaurants that you can dream off. All you do is get on the site, choose the race strong book the restaurant and eat at the restaurant. How cool is that? It's even if you download the free riding it. So for great night out click and dine with Sydney restaurants, Dot Com. So where are you dining tonight? Catch shakedown radio crease tags on. Every Wednesday night at seven PM sickness Riley Timeline. Play Adm House at www dot dot. Dot Com. SHAKEDOWN Radio Chris Kegs on June one detail playing all the latest ADM and how check local schedule showtimes www dot on com. Scoop. Shake down right. Now on the radio. Bringing you. House and club chains Wayne State is eight PM. From Sunshine Sweetland. Stralia at. WWW dot. com. Online. SHAKEDOWN radio with Chris, kegs is coming to rick from Chatswood Sydney. Australia. WWW DOT shakedown radio, dot com we are going onto. Hey. WHAT'S UP BRIANNA? SHAKEDOWN radio with Chris Kegs. It's available on iheartradio go to the Google play at ambulance store and search shakedown radio podcast. proudly. On Australian community radio as well as gloomy. Improvement to DJ. FM northside. Radio DJ FM. Radio. MIX IT UP RADIO STRAIGHT OUT RADIO MAKES RADIO AND. Radio. Kris K.. War. Down Radio. Dot Com. Chris Kegs of and. Everybody's listening to it. Everywhere guys play all the songs I. Love to listen download heads at www Chris gags, dot pod bean dot com. is still fought to, get. Make From compass stolen. says. Taylor. Husky. Con. You Have you. Know. Soil. Research. Watching. Talk. To Nick you. To make you. Thank you. Never. Okay Thank you. Thank you. The. Future. took. Sponsored. Advertisement Chris. Shake down. Head over to you do. Shit Radio, DOT COM or phone zero, four, zero, nine, seven, seven, one, six, three and email Chris gags. SHAKEDOWN RADIO DOT COM. Both Book. Book. Walk. The. David. Buck. Bucket, gave me. Davey. Davey David. David. David. David. David. David. David. David. David. Br. Table. Get to. David. Pick. took. Will SHAKEDOWN radio with cream available now on the iheartradio. SHAKEDOWN, radio? PODCAST. Catch us on social media like on facebook. And twitter and Instagram at crews. Up. Up. Nothing. Away from. Away from. Can't. Over? Over. Of. A. Of. A Of. Attendance. Know. A. Stolen. Cab. SHAKEDOWN radio skaggs prime the best medium in house, and then forget to in daylight to three hundred thirty episodes of shutdown radio at www dot Chris kegs, dot com shake damn radio, DOT com. We also have the episodes, uploaded it on weeks cloud. So make sure you hit day and tell you FRAYN's meek silo com slash cakes and. To every episode of the SHAKEDOWN radio cast on apple podcast, Google podcast, and iheartradio. Look shutdown radio back to some more idiom and has easy. and. SHAKEDOWN radio, Chris Kegs from Chatswood Sydney Australia www dot shakedown radio dot com. Is shakedown radio with Chris Kegs pop? And House music from Australia www dot shakedown radio dot com. took. Thanks. Wanted. Ohio. All around. owns. Them. report. Song. Burn. Poll. Only. PRESTO. and. EARN. I. This is Ryan from one republic. Baked. Ham Radio. This. Radio with Chris Gags, streaming live on iheartradio search, share radio podcast listed online at Jolie iheartradio. APP. Thank. Taste. Is You. Thanks. I don't. Out. Don't. Out Think. Think. Tank. Tony for another addition shakedown radio for national full track listing and today line and stream the show once again hey to Chris cakes, dot com check them ready dot com also a meeks cloud at makes kind of. Screws cakes, and carbone apple podcast Google podcast and Lisa. Radio Australia. So shutdown radio head over to the PODCAST for my show times for two months. Worth Starter Him Sydney liquid radio on the Sunshine Coast Full Fuming Coins Line and arm g web radio in Sydney until next time it's goodbye. Ball. SHAKEDOWN radio. Chris. Available, by being everybody's listening to it everywhere, guys play all the songs by. Dell head to www dot Chris gags, dot pod bean dot com. Tardy Downright. Down Radio? Home. Home.

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Wall Street Breakfast June 13: What Moved Markets This Week

Wall Street Breakfast

22:58 min | 6 months ago

Wall Street Breakfast June 13: What Moved Markets This Week

"I. Welcome to health as Wall Street breakfast, your daily source of Market News Analysis. Subscribe to this podcast on Apple, podcasts, Gulag casts spotify stitcher. Welcome to Alpha talks editor's roundtable. What moved the markets this week for Friday June twelfth. Two Thousand Twenty I. AM joined once again by my panel of seeking Alpha Editors. Aaron task BP contributor of content and Co host of the Alpha traders, podcast. Bradley Olsen BP news and Steven Alpher managing editor of breaking news and the other co host of the Alpha trader podcast. I'm your host Nathaniel Baker contributing editor here at seeking Haussa. It was an eventful week. Quite a of volatility. And, first of all I hate to break this to many of our central retail traders, but stock markets do not always go up. We learn that this week with a critique dramatic sell off on Thursday. The Dow Innocent P. dropping more th six percent in one day. Mickey for one of the worst trading days of the year. Not The worst I believe is about the fourth worst. But true to form the market has bounced back today on Friday. Let's start once as we always do. With Aaron S- Aaron. What's your take of this is this? Was this a secular? Or just some healthy profit taking as you it to last week. Right? Yeah I. Mean I think you know in hindsight is was so obviously coming right I mean last week. You've coined the term pomo Hanukkah missing out I mean it should have been obvious all of it that things were getting. I'll just a little bit to prophecy. I mean you had David Portnoy ICKY DVD DVD TRAITOR GUY runs barstool sports calling Warren Buffett. Idiot lots of stories about Robert Traders and all the money that they were making treating so easy, and you know it's just repeated often. Ryan is reminded me of Mekki. Ninety nine when there are a lot of stories that dentists were making so much money trading dot. Com saw that they were shutting down the practice. So. Yeah the more I mean. The market headed phenomenal historic rally often march lows, and so it's not a surprise that there was some setbacks. It was a pretty big down day. Re three days in a row five hundred. For total of about seven percent I guess in this world we live in accelerated trends. That's that's normal. But as we're seeing your Friday, there's still a lot of interest in the market on the by the talapity prevails and I. I don't think that was it. I don't think that was the end of the. The Post Code Rally. Just that one day sell off I still to more upside, but it's going to get. You're probably a good thing. If you WANNA be long. Bradley, you have a pretty good beat on the trends were and it comes to the numbers. What were you saying this week? Though obviously, before we had the choppiness, just mentioning we were. Not We were getting up. The nosebleeds here Nasdaq had ten thousand, and just looking at some of the. The big movers this week, just wanting a quick screen of stocks with one hundred million dollars market cap. I think accountant of US traded stocks than hundred fifty that were outpacing the SNP's Best Gainer, which was global carrier global itself a spin off the United Technologies Ninety five percent year to date. which itself was an extraordinary number in light of all counter these past few months, but you know with a hundred and fifty names were one hundred hundred million dollars were help pacing that you also had the Russell. Two thousand kind of gets to these ROBIN HOOD NAMES E small caps was up sixteen percent, just the middle of May. Through to the early part of June where the he was only up ten percent, so obviously a lot of froth, but I do Wanna point back to what we mentioned ear last week which? I think in passing was that the cases were on the rise. You know listeners may have been prepared for some of this. Some of these scary headlines that were circulating Texas. Florida, Arizona cases were starting to pick up a little bit. Most of the financial media was pointing to the worsening situation. There is reason to sell off that we saw in the middle of this week, so we're seeing some of that in Dana also some of the better performers I'm this week were the CO Gates Right? The household staples the Amazons of the World Knicks. You know these are the only benefit from the state whole environment than you WanNa. Take a look at some of the names that. Were suffering in you had the the going out names. Right? The NORDSTROMS, these weaklings. NORDSTROM GAP Even Airlines hit this week. Delta, Alaska Aaron Curiously, even though Vegas you know got a lot of press, you know in last week with some the opening mgm was one of the second worst performers in the tweet so definitely a little slow slow rotation. That we saw, but Definitely, you saw some of the. And you know it's still helping to take. Here doesn't are shore and the immediate catalyst appears to have been this second wave that you mentioned which by the way I am. A short is not actually a second wave, but I wave. Is still part of the first way that's according to some of these experts that have been. Speaking about this subject. And because the previous day, the the big news was the Fed saying that they would keep interest rates at their current levels through twenty twenty two, so that's another two and a half years of these at or near zero percent interest rates. which would one would think would be bullish for the market. But you know we have a big SELLOFF, but anyway there was also quite a bit of corporate news and Steven. What was the or some of the highlights there? I'm looking at I'm looking at the her news is kind of a indicator kind of speculative fervor that that that remains despite yesterday, six percent saw hurts which is declared bankruptcy, which which were less means it's it's common equities where zero kind of went through the roof, speaking on Monday along with along with the markets. Since sold off quite a bit, but as it's up again. Thirty forty percent today on a plan to. To Dilute. Shareholders even more with the issuance of even more shares. So you have you have common equity that the sensibly were zero and other restoring war sock on top of that which salutes stock. That's already were zero yet. The sock is going through the roof, so they're stole their slow kind of plenty of A. Second I'm not saying it's I. Don't WanNa. Be Debbie Downer here young. Maybe maybe there's a an acting like GDP workout here. That's GONNA make. Those folks who remind the buying the soccer pennies you know making very wealthy I know but. Companies declare bankruptcy means. The bond owners are going to get paid. Everything and Sokoll is going to be worth worth zero yet. STOCKS IS GONNA. Go through the roof. How does the negative dilution work crime? is is that even lost. The market gasoline for hundred, million, four, hundred, five, hundred, million, their issuing a billion dollars in stock. That's quite a bet on the future you'd have to say. We have negative rates. Why not negative? I mean, let's let's. All these countries should do this and. Your? Head. Hurts is the most. Egregious example and I guess you gotta get their hat to them. The you're saying like how there's people speculating on our stock. Let's they'll it You know this kind of action in a number of stocks like what truly Chesapeake energy just under rumor. They were going bankrupt the stocks. It was from union in the seventies and back to the team again just as we, some rumors of potential bankruptcy filing so again more evidence than the kind of the frostiness that we're talking about and it it does seem like. Some of those Robinson type traders were actually looking for bankruptcy backup stocks news bankruptcies as a as a reason to get law and again even a world negative rates. It's like Superman bizarro world. You know what up down down is up, but. history success that that's not going to be winning strategy in a long term. And I saw a Jackie had had it just the funniest tweet yesterday along those lines. it, said macy's down eleven percent on news that it's not going bankrupt. Exactly there, you go, you know the thing for me is is that this is Robin Hood traders that we talk about would think Mitt still make up a pretty small proportion. Of the investing community, you look at sovereign wealth pensions. Dow monds all these massive. Companies all these massive buyer's of equities, and what is what are robinhood traders in the whole in that whole thing even in the retail retail as a whole. I think they're kind of smaller. How are they able to move stocks MASTERS OUT MISSISSIPPI A. Drop in the bucket. In terms of their overall firepower, you know tiny drop in the bucket of who will quickly in the best explanation I've seen, was it? Essentially a lot of these teams are heavily shorted, so if you get you know one hundred or a couple of thousand treaters need. You'll have a couple of thousand dollars each, but together there's an a firepower start driving stock higher than the shortstop cover, and it starts this. You didn't solve more detroiters pile into these names Yeah, these are not fundamental. Actors offer shore these. Yeah, these are not the big drivers of of you know. Asset blows around the world for short, but on the edge is that they have the some of these smaller caps. Tidings. Point, yeah I guess the solution is just not short anything so there you go. Don't forget about I, mean you? You have? The lobbies names are in precarious credit circumstances, right and one of the more interesting observations in this wasn't this week. I think it was the week prior where you had that. She shot just Wells Fargo Chris. Harvey was describing how this has kind of taken. Hold and how you know ultimately. Equities are following the VIX. Fixes following credit and creditors following the Fed so witness increase liquidity you lower the risk profile for a lot of these names which otherwise scare people you know into oblivion, but when you lower those little risk, vote Paul sudden you. You're encouraging able to get involved in all these High Beta hyperspace Barclays study out this week. Basically sort of pouring some cold water idea that property customers are are moving the market and also. You know the all every problem with. Their analysis show that he just many people are losing money at our meeting. My, we've just hearing the stories again. About the one trader who made I think it was fifteen hundred dollars in our trading options on American Airlines so get like the. And Obviously rare for journalists, so not the point fingers that are on our colleagues, but like some of the media picking up on the frenzied, probably giving it more credit news indeed. Yeah, good point. Okay this is the part of segment of our of the show where we discussed some of our favorite articles and stories that we saw, and in some cases, even edited on seeking Alpha and elsewhere, so Steven, what do you? What do you think here? What were some of your favorite pieces? I saw an item from from an author name. Pluto's on Seeking Alpha P. L. O. U. T. O. ASS. Who I've always always enjoy reading his or her stuff. and this was before the selloff and the title of the magnitude of the recent rally in which. Withrow exactly. You're kind of historic. Move that we've seen from late. March and by any measure by any timeframe it's it's pretty crazy and Of course it was a sore saw prior to that and then he followed it up this morning with with a note. How bad was Thursday? It's a reminder to me as as kind of spent the last segment talking about kind of. The speculative fervor. That's out there. You could have said the same thing. In nineteen, ninety, five and nineteen, ninety six in one, thousand, nine, hundred, seventy, nine, thousand, nine, hundred, and the bull market went on for a heck of a long time, longer there were a lot of nasty. Ugly selloffs during those periods as well and a lot of stories about whatever folks are pros making a lot of money. You could have said the same thing. In two thousand, nine, hundred, thousand twenty thousand eleven, so sell offs or nothing. Not necessarily reason to to bail on stocks and. Occasional kind of anecdotal story about. So called amateurs. Make you know making some Monnier? Getting they saw is also not a reason. Necessarily that that were I. don't like an all time top. All Right Brandy! What about you so hated this point? Some of our regular listeners and I don't have any celebrity news talk. Next. and. There's there's no cody or any others Jenner family news this week, although you could argue the the firepower or the name recognition is just as strong. Means Tesla Elon Musk you know. Tesla reached a key level thousand dollars a share in this week. you know he's all of this has a whole lot of. People a lot of the investment community and that happened in conjunction with Nikola. Which is this new IPO last week which? Double. You know right after when public it's Niccolo. Listeners familiar is heavy truck maker operating off a pint, power and just this week. They announced that they are moving forward to take orders on their badger line is actually supposed to convene with. You know as as a light heavy. Truck more into F, one fifty and Between going public and announcing this. The stalkers has has just gone crazy, so you know I saw an interesting reference on twitter the other day. How someone wants to come up with Nico Tesla's Middle Name and take now. It seems like you can do no wrong with with with anything associated with with adventure. You know, Anyone Musk's just knowing you know gasoline on the fire, but now with tussles move. Thousand dollar levels come did and suffered with a High Beta selloff earlier this week. It's bigger than GM Fiat Chrysler. In Mind, and now is only about ten percent short of the world's largest highest valued on maker Toyota so Y- ten percent. You know bounce for ear in mind. You'll shortly season the headlines. You know if they cross that level. You know there is a rock band called Tesla from the NHS. Wondering if there's some way to buy the merchandise profit. But. Anyway Aaron! What about you stories articles that you saw? I'm just I'm just GONNA hang around cornering the market on Tesla's merchandise communist bastion. Of course, there's probably dairy market I mean they're definitely is on the they're there. Sure is the Yeah probably not much about Tesla to go on, but Their cover of size amounts. So, okay. turns an individual articles one Dan Dicker He's a well known energy analyst. He's impending Jesse. Bankruptcy of bullish message to oil investors, really a longer term view of this idea that. You know the US shell producers in his. You have just opened overproducing for years and years, and been able to sort of keep the party going by their ability to continue to borrow cheaply but that their activities actually negative. For the energy sector in general so of taking a and that. If instill, it has a big like Chesapeake. Workshop back to actually be a sign that some rationality is returning to that. That space now of course. You know there's a lot of concerns about the financial sector exposure to the US energy patch, and some of the fought to be from there, but again you know Dan's. You know really sharp guy and energy, and that was a very interesting kind of contrarian. He also business quant had a piece titled an Andy Ready for takeoff basically talking about you know that there's theirselves amd cells, or are still going strong, despite what's going on in the global economy again a bit of a contrarian outpost, and you know I think I've done a couple of times here. Again sentiment wise there still is a low popularity among seeking site for stories with a negative slant among the most popular articles. The past few days he warned market momentum, stating the next stock market crash have just started. Cut The dividend stocks before they cut the. Dire warning the stock market so again to Stevens earlier point or maybe play on that a little bit like there's still a lot of disbelief that the market could go. Higher from here. You can anecdotally and historically speaking the markets. Don't everybody thinks. Of course. The market's going to go up and you. You can't lose with the stock market I don't think we've got. Anywhere near there yet not quite yeah, and the interesting thing I also actually picked up on on the same sentiment here at article by all to trade, partners, Alta Trade Partners Insurance announced that but. Just published this morning. Economic Reality Sets in this could be the end of the ever popular by strategy, which is a pretty bold statement. If you consider how well the by the strategy as done. Here, nevertheless I think that he raises some really good points and. Again, going back to fed. Chairman Powell statement that the stock market or the economy rather is. You know is is going to be stuck in Malays for a while longer than people register-ping. and. Again this v-shaped scenario, which is now all not all, but since since priced in is priced in. And he's saying well. You know not so fast. There are sold reasons there there could be A. Again the second way call the second part of the first wave whatever it is, but there are many reasons for new look at the economy for people to be concerned and. Timing is everything, but it's possible markets nevertheless. One looks at an article like this and there are errands. Point once thinks that you know at certain times. Those may come home to wrist, but we'll. See. I think it's important to you know to talk just briefly now that by the shot in Iran, if you find the market itself sure, but you have to take a look at the internals, not all sectors created equal. The financials are still down twenty one percent this year. Energy is now you know in the order. You know I believe thirty six percent this year. So sure by you know. The SNP wholesale would would be fun, but that's the seem. You know portions are are not evenly distributed wells. Fargo, this week dropped eleven percent. Compounded by the Fed decision, banks broadly destroyed on the back of of interest rates, being encierro into perpetuity, so I think it's a careful distinction ear, the yes, by the depth Shannon does work. You know it doesn't matter what you would you haven't were full of. Yes, sure an glad. You brought up the point about the financial. Since last week we were talking about this yields starting to rise and yield curve expanding and that pretty much since we. you know that was? That was a huge development of the. Reminded me of you know. The internals of the market L. P. L. Financial. Put out a post earlier today on Friday. More than ninety percent of the stocks, yes, and P five hundred or trading above their fifty day moving average right so again. You know there's been this perception. It's all about the mega cap stocks obviously. Stocks plus Microsoft for such a huge disproportionate amount of the stock market, but there has been a broadening out of the game from the since the march lows, they also point out so in the short term that suggests the markets overbought and maybe. Yesterday Thursdays decline. Took some that overbought away, but that historically speaking market is higher three months six months and twelve months after you get to a point, where more than ninety percent of the stocks are above fifty average and he's. So Again I think maybe we. You know the one way market that we saw you know. In April May, and the first part of June clearly, that's over, but again I still there are some positive happy, but grads point absolutely you know it's a market of stock. It's not a stock market. Index investor it very much. Matt buying. AND NOWADAYS WHO ISN'T INDEX INVESTOR? There's all this volatility in stocks able can compact and Free Commissions forget that three commissions, and there's no sports to gamble on, and so you definitely have got that. You know that crowd is out there and they're gonNA. Have a lot of fun least. Until yesterday and I don't think it's a coincidence or that. at the market sold off six percent on the day that the PGA tour began playing again. There, you go. That's the very shortly outings I guess we'll leave it there. Thank you all for listening and we look forward to speaking to you again next week. That includes today request. Thank you for listening for the best investment analysis and news on the web. Dot Com. Subscribe to this podcast on apple podcast Google podcasts spotify stitcher. You can sign up for other podcast. Essay recipes. Let's hope ups cannabis investing podcast and marketplace. Roundtable almost owns as well. Date,

Aaron Tesla Fed US Apple Bradley Olsen SNP Chesapeake Stevens Nathaniel Baker spotify Robert Traders Alpha Warren Buffett Mickey Alpha trader
Episode #350 Hip-Hop & RnB

ShakeDown Radio Podcast

1:03:07 hr | 2 months ago

Episode #350 Hip-Hop & RnB

"They. Can't shakedown radio recruits tags on June one digital every Sunday night. Ten PM wisdom strenuous time on Monday morning, Sydney Australia time playing house and adm at www dot tune one, dot com today you that's the number one dot com that you. Catch shakedown Radio Chris Tags on. Every Wednesday night at seven. PM. Sydney. Australia time. Play. Adm In house at www dot. Dot Com. SHAKEDOWN. Right. Now. Good, radio. Bringing you. House and club. Wayne State is eight PM es from Sunshine Coast Queensland Australia at www dot. Online. Foreign played am compiled by. Nova down, AND CLOTHES EP. At www dot four play dot f. l.. Down Radio is live on air twenty, four, seven with Chris Gags, courtesy of the. Group. Are Edgy Web radio DOT COM Proudly only F-. tweet. On a striking and community radio as well as Vincent de Improvement to Dj new side Radio Dj. ICS radio mix it up radio straight. Out. Radio. Radio. Radio says, Kris K.. Or? Radio, DOT COM. Chris. Harvey everybody's listening to everywhere all the found dialogue to listen. In Jolo D- heads, www dot Chris dodd bean dot com. SHAKEDOWN radio. With Chris. Is available on Iheartradio go to Google play and Says shakedown radio POLITICA OFF. into. A couple of my. Kids. My. Shit. Alisa. We. Wish like. Let me talk. Chafee. Is The F.. R.. E.. Key wags, he's three McAfee bath dates. He he wanted to new body you can me because I came from the. Scene being puree. But when I hit it. With is the. Twenty. Second. Job. She. Put it up on the feared. Wipe down. Don't like. Them. because. I don't want me. About the Tone the maybe. Reagan came with a pillow I came from the payment somebody said I made it. What? Say. Saying don't trip to the fans come running know running. Say I thought. I'd go one on talking. Cut Off because she spoke on. Go. Nine. Cents. Because He. Out On these black. Swish the sheet. We Richard? Yes. Risks by the trump my curie seat. Monja pink damage got around the money. They know meet former was dominant theory real Perry. I must. With. Big. Military we killing me. and. Nobody can get sense. Is it true that he posted another minded product or put their past or maybe I thought maybe speaking of meat will be. Sansom this whole overlooked. The whole loaf of bread crumbs. Experience. Arrhythmia. Let me know what time it is. Bay Water runs. It got it on your puzzle piece may approve. Eating Little Childish Fisher Price Comfort in them not caucus Okita. She'd been in Nova, but I want I only want to know what the likes to close to follow us on. It's crazy. My guest shopping ain't called psych. Slow. GO PUT A. Stay on my channel Muslim me on t be it took me six hours the counter meal exactly accurate with cheese. Bay What I. Say Some. Saying saying, don't traffic out to the fast running. I thought serious I'm talking listen cut off because she spoke on the fitness. For Money Baggio featuring goes and said some the remakes hello and a very good evening to you all. This is your house who's skaggs. Nextel was. A. Music criticized the record companies who are playing dot com. It's quite time you company you Miami mentioned in some shows that are acquired triple bypass operation. Well, I'm still on the waiting list had pre admission taste and not looking forward to the procedure I'll we living your own? Guy. throughout, episodes coming up, we are broadcasting from Chances City Astara. Studios to the globe my show you Dan Allies Dean ties three hundred and fifty episodes or shutdown radio on Pug Bain at www dot. Kris. K.. So DOT, com. Shutdown radio, DOT COM, and thank you very much to everyone subscribing to shakedown radio podcast on apple focused and thank you for all of us may show you to your Francis Sculptors podcast. We all Song Google podcast. Castro android uses and Auto Radio Sharia seemingly search. 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Ex. Well, she radio. Chris. Now, streaming live on iheartradio. SHAKEDOWN ready. Available now on the iheartradio APP? Said shakedown radio PODCAST. Is. Don't think. Obvious. My God down to the. Goes away that the Scott opens up I mean touch you. Again me say the way you. Only only only Holy, Holy. Holy Holy Move Away, homeo- meal. Only feels so holy. I don't do with the drummer. I can't. Stand. Being. Nano Nano don't. But the way that we love in the night gaming life baby I can't explain the way you. Know meal. Feel. Old. The. Second Homeo- me Oh me Oh he feels so how? They say what's young? To, then the players they don't go. Wise Man say Fools Rush Don. Young in the. Play say don't go corruption wise men say goes Arash. The ramp? Authorised pleases, farther. Is. Life is short would at Temple Tropez they always? Praises name as catchy, but they don't see you how. Land Desi Cross between Esi the. 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Coming in from the bottom. Better learn how to dance. which made of Alright. Yeah it's so. Yeah. You Miss. Your The. Ron. Hola. Wanted. Was a CD and some keys run run through St Now? All right. This. Day. Needs. Oh Oh. Soho, can we talk for a minute? Just stop on many? Connects with Chris cats on social media all fly Chad follow facebook, dot com slash Chris ads radio. Ads To grab ass Chris gags. Another one. Charlie Comey. Things. We can stop a good step Louis. Me Fly out to. Full speed Savoldelli. Meet divine. Is. Only. Full. Speed both. Ways in my talk. Sand. Cousin. What are? We. I did. You just go. Looking for. Power Divine seen just. taught. Tony. Rolls Royce. Follow. Bill. Impression she. Sat. On. A digital. All. Divine team just. Divine. Never, fall in why are you making follow on asylum WAILUA MAKING Inches. Now my phone you decide who you'd think. Cry. Fly On k. goes you can stay in my can stay in my Roman it I am I. I was trying to play right I was trying to treat Shuna. 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We also have the episodes, uploaded it on weeks cloud. So make sure your heyday until you frayn's. Meek. Silo. Cakes and scarves jv episode of the shakedown ready podcast on apple podcast, Google podcast and. Radio CB look shutdown radio bacterium will he? Music. Shop? In, the ocean. The dough nobody notice. Maybe, it such as. In your. Skin. Enough. When you're? Listening. To pray. Get. Along. Okay. Link Can't. Secluded. Forget chance. I get. Just. Is. Don't get. Owen. Food. Okay. Emotion. Focussed field. So it's Pray. Don't. Give. Close. Store. It's OK. SHAKEDOWN radio recruits kegs on June one digital every Sunday. Night. Ten PM. Stra time on Monday morning Sydney Australia Time Finding House and adm at www dot tune one, dot com today you that's. The number one, dot com that eight you. Catch. SHAKEDOWN. Radio. Tags on static. Every Wednesday night at seven PM Sydney Australia. Playing Adm and house at www dot static dot com. SHAKEDOWN right. Now, we good radio bringing you. The House and club chains. Eight PM. From Sunshine Coast Queensland Australia at www dot. Online. Form, played. Compiled by Gd Z. of. Nova down and closed. At www dot. Dot F. L.. Wear EDM lives for played down. Down Radio is live on air twenty, four seven with Chris Gags, courtesy of the Media Group W. Are. Edgy web radio. Dot Com Australian Ward heavily. Philipino has Northern Irish singer Songwriter Ken Thomson Delivers her new single leap of phased out now. Having worked with hip hop artists, Eve America releasing. Lloyd. And New Zealand's savage legal fade these available to download on bed camp and stream on spotify. More Info to www dot cat thomson dot com. Dance like. Music videos. Yeah. Joy Jeans Dean's online dance classes. Find out more on James Dean Dance Club. On coins and present. For you the made old. 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Encourage connection and community in a supportive and inclusive environment. Predominantly three monthly made up barbecues across Australia find out more at www dot Mr pethick donald got a year or email. Hello at Mr Perfect Dot. Crazy pags presents still unstable. D. Allieu X. Dot Com for lowering for eight mile TV DELUXE DOT COM deluxe. Dot. com. Fashionable lifestyle. Where are you dining tonight? Anyway. Special. US SYDNEY RESTRAINTS DOT COM. It makes my dining pleasure that some poke as easy to use and it has all the restaurants that you can dream off. All you do is get on the site, choose the race strong book, the restaurant and eight the restaurant. How cool is that? It's even if you download the free dining APP. For Great Night Out Click and dine with Sydney restaurants Dot Com. So where are you dining tonight? SHAKEDOWN radio with. Chris. Sydney Diner Gel Nadia from the storm. Surge, Sydney Diner and head to. Toe youtubecom Sydney. COM DOT EDU. Rubbers Media Group. Are G, Web, radio vested EDM HOUSE RND hop. Streaming at www dot are angie web radio. Four play Jonathan is Australia's number one. Dance music founded in compiled by Jimmy. Suicide www dodd foreign played FM. Yeah. Santa's we. And so. It's. When It's not. You can't even pay me in. Doing. That don't even know. He's obeyed it thousands Pontiac can't even listen. Anytime at Somebody must be. Shoddy Cassette. Base Andrews. He just met this between assistant. I see some. Condoning. Crib on crazy down. Would they had? Baby such as. You. Baby. Those two. When they said they. Re in. Which one day? Even. And? I never been embraced and the money's hard to make. So I bet on phase right Decrypt on crazy down. Day ahead. Baby. Sometimes we cry. But I guess you know no. Baby. Baby. Now. Now with North Carolina. Governor. Tommy. Don't WanNA credit was made. One regret regretted mutated in. Philly. Spending NC in his. Main. CRIB. Gone crazy down. Day. Time. Baby. We. Guess you. Baby. Alley Elliott? When they say? Town. SHAKEDOWN Radio Chris case, and if you to get involved with some of the radio stations telling me involved. In all sponsor then he? Came at www dot. com Oh email contact steroid fame dot com in the big shed after Darren Lauren, Fatuma one radio hit to www dot. com delay you an email governate, Schumann dot com. Today, you be together seven Carsley for Likud radio head over to www Likud reading added online, and they email studio Likud radio on line finds you our full five to one three, one on one. A Big Shit asked Andrew Steele for our Angie. Web Radio head over to www dot g web radio DOT COM. Oh email CEO at our I'm Jay Web Radio Com B.. And finally full play during their famous relaunch. Sit Listen to it. It's compiled by jubilees, Ahah Waldorf Fame Nova and club. On foxtail to Arnie giant. Austria group and if you can check it out, it's available at www dot full. All we can find Chris Gags, four, nine, seven, seventy, seven, one, six. Four nine seven, seven, one, six, three, oh email. Chris Cakes SHAKEDOWN RADIO DOT COM begs a small music. I win your love just to lose. A few. Viewer. Stuff. For a motive excuse. Don going up your A. Good easy choice. Everyone. Toe The party. Show got this week and this. Is What? Used side. Of the club. Not, time. Star Star. Star thrust. Does does. Time. We online. For free. overstressed never sleep. Discussion the. True. Got The sweet. Just able to serve. This time he noticed the spur. Dot Com. Johnson. Does. Voice. To Detach Russian. Post Shulamit. Initiative. Be News. Post. Take. Brothers. As Long. Time. SHAKEDOWN radio. Chris Tags we are going to. Pay What's up Brianna. SHAKEDOWN radio with Chris Kegs is available on iheartradio. Go to the Google play an ample. Let's store and search shakedown radio PODCAST. Foot grab. Almost. Three legend. Deep reference. Birthed in a C section helicopter. Got Up so we keep weapons black ate breakfast. Shots street wrecks. Reflexes watching out shape vectis that we slot at the East exit every time we get. To him see catching. STILL STREET LESSON I you running. Catch. Thomas. Foot of money. Credit. Doctors the, Street. Senate. Legend. I'm Dr. Madonna. Got Fresh. Seven days a week game seven. No meat. Test Yeah do that testimony given him help? Blesses on me most girls I know addicted to social media audits on put. A cyclopes Momma said, it only takes one time to your whole wikipedia. Siemian after what happened in. The cancer. Issues that begin with lack of communication wrong information for people feel about ego misplace diesel energy crazy I. realize that is its way street was coming is going if they don't give you more drains to be a billionaire based on its I'm off I'm not taking proudly they. Get crazy and we lost the baby and everybody Megan who? was. Walking out to create. Asked me where I'm going i. told him on another. Banging over box on can s home what you think that's where you from Yovany know where you're from how was which has head God bless all it assessment daughters. Take a father and automobiles that stuck with me like clear Barbara looking them life story guys at good author never was a of center role. Cost peace of mind and might be expensive. So I can give you everything you want from me for a Fredo gets one life you might not be able to realo. So events I need all my advances Brahimi off a cast like we didn't have the same chance as my dad me up like why don't live in trying to focus by baby girl keep hold on my mouth for ransom. To be, it's got to be and it's. Almost like it was meet Samya realize all my sex sodomy high school chemistry biology, not how to cope weddings. Could feel like by my cellphone island with depression on North. would black seventeen right on the side and the guy got a daughter suicide. Show me all these different size me too many times I thought the REBA was outside for me and how people that never met me that hey, I wonder if Dan Dan. Dandy and feel my life purpose is to give this Berezin despite his saw there's no escaping that I take care of my family and be that were deadly. You Digest Flex Your lack of success. Bless them if it ain't nipsy Louis Detroit. Detroit school I'm bringing it. Sort of collaboration help. Man I'll probably say payroll or t griffey me big shot talking about. So. All. Of member Matab. Being. Detroit. Again. Turn. You. ooh. ooh. Goes. And Dallas. Burn. Your. Does do is. To. Take it to the husband they WANNA save. Some Alone. Thursday. Only George. owner. Do Dallas. Burn and burn. Give me. Your. Doors. Above. Your. Still This is Ryan from one republic. Crap. Dake down. With Chris, tag. Chess on social media like on facebook at Chris. Tags. RADII and twitter and instagram. At Chris Castle. Another one. Caught him phone come locked nonstop plane to. La Carte Polling let them giving judge on popstars not a doctor? Stop. giving. More plows. Hey Shoddy. Text. Date. Was the. Kit didn't own a tough. Twenty twenty I came. I want a long life, a legendary one I want quit death in easy way. And honest one I won't drink and another one of trump's. Stop. A Team. Manager. Minutes twenty, the Buddha. A. Visa. Charges as it needs to my. Plan. Them. Just. Like Gaza. Trump. Pieces my I'm a sexy. My please don't take despite that. Again and I'm not dropping. Keys in. Got Swag got caught him on the phone come of non stop playing. Card Spelling. Let him giving drugs are non now? I'M GONNA pop star not a doctor Com. Start. Pulling giving. I'M A POPSTAR NOT A. Watcher says she a whole different blocks so I, blocked. We talk enjoy is just David Pasta body. Kevin Costner you. Just pulled up the Whitney Houston Texas evening they tell the same story so much they saw believe it. was. But we even man how Two four, six, eight watches, Fadul Reese O'Day appreciate Crown Mighty and then really. Don't. Get. This big way out of faced. Piece of. Cake. Don't depressed we can sneak away. Keep. I keep the faith wonder Gosh. Wait The. Phone the. Stop going to the. Hospital in let them giving drugs non I'm? Not a doctor caught him. A. Colin. Turning for another edition of the shakedown writing podcast for tonight's full trek listing and today the show head over to Chris Cag-. So Paul Bain Dot Com shakedown radio, dot com Warsaw mix cloud, and MEEKS CLARITA Comsat truce, Craig's and make sure this is very important. Subscribe to the podcast on apple podcast Google podcast and Radio Australia simply search shakedown radio podcast labor she comments and you can also contact me on facebook twitter and instagram usually gonNA. Hashtag Chris. Kegs will be back on chain one digital every Sunday night at ten pm to midnight playing idiom in house also. Fame Sydney at www Saturday him dot com, and you can catch me they serum pm Winston ought and also Likud area IPM on Wednesday nights at www Likud radio online and until then it's goodbye. I think about. But I never WANNA fall. Better. QUESTROM But. You know you know commeet-. Regret. But it's thanks. Thing. And you. Know. And A billion how? Nighy. Thank. going. Send phone. Number. T know. Zach. Your Body. Does style. They were. In how often failing And Could. Be McClellan new. You. On on on. the guy. To. Buy. Your Love. How Come. Man. You'll. A Bit. Dan You'll love your. Mama Mama.

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Episode #350 Hip-Hop & RnB

ShakeDown Radio Podcast

1:03:07 hr | 2 months ago

Episode #350 Hip-Hop & RnB

"They. Can't shakedown radio recruits tags on. June. One digital every Sunday night. Ten PM wisdom strenuous time on Monday morning Sydney, Australia, time playing house, and adm at www dot tune one, dot com today you that's the number one dot com that you. Catch shakedown Radio Chris Tags on. Every Wednesday night at seven PM Sydney Australia Time Play Adm in house at www dot. Dot Com. SHAKEDOWN right. Now good radio. Bringing you. House and club. Wayne State. Is Eight PM es from Sunshine Coast Queensland Australia at www dot. Online. Foreign played am compiled by. NOVA DOWN AND CLOTHES EP AT WWW dot four play dot f. l.. Down Radio is live on air twenty, four, seven with Chris Gags, courtesy of the media. Group. Are Edgy Web radio DOT COM. Proudly only F-. tweet. On a striking and community radio as well as Vincent de improvement, to Dj new side radio. Dj. ICS radio mix it up radio straight out radio. Radio. Radio Says Kris K.. Or? Radio DOT. com. Chris. Harvey everybody's listening to everywhere all the found dialogue to listen in Jolo D- heads at www dot Chris dodd being dot. com. SHAKEDOWN radio with Chris. Is, available on iheartradio. Go to Google, play and still. SHAKEDOWN radio POLITICA off. into. A couple of my. Kids. My. Shit. Alisa We. Wish like. Let me talk. Chafee NATO is the F. R. E.. Key wigs, he's three McAfee bath dates. He he wanted to new body you can me because I came from the. Scene. Being puree. But when I hit it. With is the. Twenty second. Job. She. Put it up on the feared. Wipe. down. Don't like. Them because. Down I don't want me. About the. Tone the maybe. Reagan. Came with a pillow I came from the payment somebody said I made it. What? Say. Saying, don't trip to the fans come running know running. Say. I. Thought. I'd go one on talking. Cut Off because she spoke on. Go. Nine. Cents. Because he Out On these black. Swish the sheet. We Richard? Yes Risks by the trump, my curie seat Monja pink damage got around the money. They know meet former was dominant theory. Real Perry. I must. With big. Military we killing me. and. Nobody can get make sense. Is it true that he posted another minded product or put their past or maybe I thought maybe speaking of will be. Sansom this whole overlooked. The whole loaf of bread crumbs. Experience. Arrhythmia let me know what time it is. Bay Water runs. It got it on your puzzle piece may approve. Eating little. Childish Fisher Price, comfort in them not caucus Okita she'd been in Nova but I want I only want to know what the likes to close to follow us on. It's crazy. My guest shopping ain't called psych slow. GO PUT A. Stay on my channel. Muslim me on. T be it took me six hours the counter meal exactly accurate with cheese. Bay what. I. Say Some. Saying saying, don't traffic out to the FAST RUNNING I thought serious. Talking listen cut off because she spoke on the fitness. For Money Baggio featuring goes and said some the remakes hello and a very good evening to you all. This is your house who's skaggs. Sale was. A music criticized the record companies who are playing dot com. It's quite time you company you Miami mentioned in some shows that are acquired triple bypass operation. Well, I'm still on the waiting list had pre admission taste and not looking forward to the procedure I'll we living your own? Guy. Out episodes coming up, we are broadcasting from chances, city Astara Studios to the globe my show you Dan Allies Dean ties three hundred and fifty episodes or shutdown radio on Pug Bain at www dot kris k.. So Dot Com shutdown radio DOT. com, and thank you very much to everyone subscribing to shakedown radio podcast on apple focused and thank you for all of us may show you to your Francis Sculptors podcast we all song Google Poke Castro android uses and Auto Radio Sharia seemingly search. Here cast but tequilla office show he's a rework the. Fire with September the area, Kappa? Radio. Mix. Didn't. Jason. Cute Dr. Star. An. Stride Download Jake Dow Radio Chris KS on Apple podcasts, simply servers keywords, shakedown radio podcast. Chris. Turn to talk to Puskas for take on more breath. We might use ooh. So. ME. Again. It. Maybe, it just don't care. Jude. Day To. Talk. The. Audis talk for Jumping into the. Sponsors deep me. Over. These. Large. Maybe. It just don't you. and. Burglary. Catoon. A. Bird. Maybe. Gone. and. that. Can date through. Only. Kick for tears down his Hyun. Fits him every time I, know you get into her every. Girls Asia China Gabby. The same ones who be Nama. They're not your friend. Chudinov. We. Go. This time next cut. Baseball this past. Day To. Dry. Off. Blue. The money. Go. This. Got So bad. Because we and. Chris. I'm China's play guys I'm drew Alex here we are the chain smokers young Gerald easy reporting live up to boyfriend. Jim. Ex Well, she radio Chris. Now streaming live on iheartradio. SHAKEDOWN ready. Available now on the iheartradio APP. Said shakedown radio PODCAST. Is. Don't think. Obvious. My God down to the. Goes. Away that the Scott opens up I mean touch you. Again, me say the way you. Only only only. Holy Holy. Holy Holy Move Away homeo- meal. Only feels so holy. I don't do with the drummer. I can't stand being. Nano Nano don't. But the way that we love in the night gaming life baby, I can't explain the way you. Know meal. Feel. Old. The. Second Homeo- me, Oh, me Oh he feels so how? They say, what's young? To then the players they don't go. Wise Man say fools rush. Don. King in the Play say don't go corruption wise men say goes Arash. Ramp Authorised pleases far the. Is. Life is short would at Temple Tropez? Tropez they always. Praises name as catchy, but they don't see you how. Land Desi Cross between Esi the. When they get messy goal left like Lionel Messi let's take a trip and get the best buzz printed. Notice Facet got the best showing next week. My father's. Takes the. First step. If you make it to the water here. I know made through a snack like Oscar proud. To be so now got to clean it up, formalize the Union and communion he could trust. Leaving you like, I, know he ain't leaving us. We even got in on Obama these. Homey Homey Homey. homey whole. Few, so holy Holy Holy Holy Holy. Killing. Home home home so Justin Bieber and. EPA with highly does this shutdown Radio Chris gagged and you WanNa hate on my facebook page make sure you give us a lot in. Tell. You find subscribe to the facebook page at WWW facebook, dot com slash Chris Kegs Radio, and he can also on twitter and instagram at cruise cakes using the Hashtag cruise kegs giving back to some more music now with Aleisha K. and love looks better. All I ever wanted. Was An chance. Fan. What I'm made of. All right. Coming in from the bottom. Better learn how to dance. which made of Alright. Yeah it's so. Yeah You Miss. Your. The. Wrong. uh-huh. Hola. Wanted? Was a CD and some keys run run through St Now? All right. Now. With. Day. Did. Oh Soho, can we talk for a minute? Just stop on many? Connects with Chris cats on social media all fly share follow facebook dot com slash Chris ads, radio. Ads To grab ass Chris gags. Another one? Charlie Comey. Things. A good step Louis. Me Fly out to. Full speed Savoldelli. Meet divine. Is. Only. Full. Speed both. Ways. My Talk. Sand. Cousin. What are they don't be? Nicely. You just go. Looking for. Power. Gene just. taught. Tony. that. Follow. Bill. Impression she. Sat. On. A digital. All. Divine team just. Divine. Never Fall in why are you making follow on asylum WAILUA MAKING Inches. Now, my phone you decide who you'd think. Cry. Fly On k. goes you can stay in my can stay in my Roman minute I am I. I was trying to play right. I was trying to treat Shuna. Style. Seeming Omarosa. Winging Brown. Dan and foul on. Are you gonNA get a bad. She can't help with. Me On side. I could tell you side. She didn't WANNA learn. WanNa. Everybody's talking. Everybody's DOT com. Like. No one really wants to find genuine connect before the even look at you they move onto the next and. Then, they say don't. Be Onboard one. Day. And Jews. The Jews by. Place everyone's cool. Everyone's. Charles. Dodig station but again. I'm about to get Nuba because you. fucking. I wanted. To. Jump In. Paper. Tanks, find. These. Three minutes possessions. Everyday collection. Three bodies. Ads Mall. GonNa the Party. Dress everyone's to. Everyone's depressing. Conversation, but I should've stadium. Ll on my gosh seriously. Store. Zola Soul fucking. Talk. To shake damn radio crease kegs prime the based in idiom in house and designate streaming daylight to three hundred and thirty percents shutdown radio at WWW dot. Chris Kegs Dot. COM SHAPE DAMN RADIO COM. We also have the episodes, uploaded it on weeks cloud. So make sure your heyday until you FRAYN's meek silo. Cakes and scarves jv episode of the shakedown ready podcast on apple podcast, Google podcast and. Radio. Look shutdown radio bacterium will he Music. Shop in the, Ocean. The dough. Nobody notice. Maybe it such as. In your. Skin. Enough. When you're? Listening. To pray. Get. Along. Okay Link. Can't. Secluded. Get chance. I. Get. Desert Is. Don't get. Owen. Food. Okay. Emotion. Focussed field. So it's. Pray. Don't. Give. Close store. It's OK. SHAKEDOWN radio recruits kegs on June one digital every Sunday night. Ten PM. Stra time on Monday morning Sydney Australia. Time Finding House and adm at www dot tune one dot com today you that's. The number one dot com that eight you. Catch shakedown radio tags on static. Every Wednesday night at seven PM Sydney Australia time playing ADM and house at www dot static dot com. SHAKEDOWN right. Now. We could radio bringing you. The House and club chains. Eight, pm. From Sunshine. Coast Queensland Australia at www dot. Online Form. Played. Compiled by Gd Z. of. Nova down and closed. At www dot dot f. l.. Wear EDM lives for played down. Down Radio is live on air twenty, four, seven with Chris Gags. Courtesy of the Media Group www are edgy web radio DOT COM Australian Ward Heff Philipino has northern. Irish. Singer Songwriter Ken Thomson Delivers her new single leap of phased out now. Having worked with hip hop artists. Eve, America no releasing Lloyd and New Zealand's savage legal fade these available to download on bed camp and stream on spotify. For more INFO to www dot cat thomson dot. com. Dance like the music videos. Yeah. Joy Jeans. Dean's online dance classes. Find out more on. James Dean Dance Club. On coins and present. For you the made old. October twenty twenty long way caned Kevin Non tain recovery uranium polly with a twist like Heison said, he wanted to say the three oxes straight salary needles, Sydney Australia Dom PM disarray M D Jays on could ill stay play techniques and groups. I. See My classic noughties Dame's housing oil energy over we reveal two months prior to the event tickets of online at www dot chara booking dot com slash I in. See what you're free. The made Oldie say Federal Oct Twenty Twenty Long. Way, kings date makes is Australia's largest HA conference held on the Gulf Coast eight year in August over the course of two days, you can check out the latest gear and equipment on display network without the day Jason Saves from across Australia and improve your skills knowledge. Patchy. tollefson seminars, heist biathlon Jason Mc's with a diverse range of topics, including music, mixing social media, sales, and marketing, and how to book Marvin's there is something for everyday j. m. say anyone can attend bait mix. Sorry. If you WANNA learn growing to be Julie and take your business to the next level in NATO to attend bakes for more information follow Bait Knicks on facebook and Instagram to. Learn more visit www dot eight makes dot com dot AU Fatigue Roberts Media Group presents RMC MG Web Radio along with DJ FM smooth, Jazz FM, and SHAKEDOWN radio strange. We're on the hunt for announces stage as and music hottest. Simply male CEOS at our MG WEB RADIO DOT COM, and head to www dot R. G. Web radio DOT COM are mg web radio, y'all novel on sauce. You heard of Mr Pepys a grassroots charity also known as mental. Health May. Encourage connection and community in a supportive and inclusive environment. Predominantly three monthly made up barbecues across Australia, find out more at www dot Mr pethick donald got a year or email hello at Mr Perfect dot. Crazy pags presents still unstable. De Allieu eighteen dot com for lowering for eight mile. TV Deluxe. Deluxe. Dot. com. Fashionable lifestyle where are you dining tonight? Anyway. Especial. US Sydney. Restraints. Dot. COM It makes my dining pleasure that some poke as easy to use and it has all the restaurants that you can dream off. All you do is get on the site, choose the race strong book, the restaurant and eight the restaurant. How cool is that? It's even if you download the free dining APP. For Great, night out click and dine with Sydney restaurants Dot Com. So where are you dining tonight? SHAKEDOWN radio. With Chris. Sydney Diner Gel Nadia from the storm. Surge Sydney Diner and head to. Toe. youtubecom SYDNEY DOT COM dot. Edu Rubbers Media Group. Are G Web Radio Vested Adm House. RND. Hop. Streaming at www dot are angie web radio. Four play Jonathan is Australia's number one. Dance music founded in compiled by. Jimmy. Suicide www dodd foreign played FM. Sanchez we. And so. It's When they it's not. You can't even pay me in. Doing crews don't even know. He's obeyed it. Pontiac can't even listen. Anytime at. Somebody must be. Shoddy. Cassette. Base Andrews, he just met this between between assistant. I see some. Condoning. CRIB. Gone crazy down. Would they had? Baby such as. You. Baby. Those two. weighed. When they said they. Re in. Which only one day? And I never been embraced and the money's hard to make. So I bet on phase right Decrypt on. Crazy. down. Day ahead. Time Baby Son's. Sometimes we cry but I guess you know no. Baby. Baby. Now. Now with North Carolina. Governor. Tommy. Don't WanNA credit was made. One regret regretted mutated in. Philly. Spending NC in his. Main. Crib gone crazy down. Day. Time Baby. We. I guess. Baby. Alley Elliott. When they say. Town. SHAKEDOWN radio a case, and if you to get involved with some of the radio stations me involved. In all sponsor then he Came at www dot. com Oh, email contact steroid fame dot com in the big shed after Darren Lauren Fatuma one radio hit to www dot. com delay you an email governate, Schumann dot com. Today you be together seven Carsley for Likud radio head over to www Likud ready added online and they email studio Likud radio on line finds you our full five to one three, one on one. A Big Shit asked Andrew Steele for our Angie Web Radio head over to www dot iron g web radio DOT COM. Oh, email CEO at our I'm Jay Web Radio Com B.. and. Finally, full play during their famous relaunch. Sit Listen to it. It's compiled by jubilees, Ahah Waldorf Fame Nova and club. On foxtail to Arnie giant. Austria group, and if you can check it out, it's available at www dot full. All we can find. Chris. gags live four, nine, seven, seventy, seven, one, six. Four nine seven seven, one, six, three, oh email Chris Cakes shakedown radio. Dot Com begs a small music. I win your love just to lose. A few. Viewer in. For a motive excuse. Don going up your A. Good easy choice. Everyone. Toe The party. Show got this week and this. Is. What Used side. Of, the club. Not Time. Star Star. Star. Thrust. Does does. Time. We online. For free. overstressed never sleep. Discussion the. True. Got The sweet. Just. To serve. This time he noticed the spur. Dot Com. Johnson. Does. Voice. To. Detach Russian. Post. Shulamit. Initiative. Be News. Post. Take. Brothers. As Long. Time. SHAKEDOWN radio. Chris. Tags we are going to. Pay What's up Brianna. SHAKEDOWN radio with Chris Kegs is available on iheartradio. Go to the Google play an ample. Let's store and search shakedown radio PODCAST. Foot grab almost three legend. Deep reference. Birthed in a C section helicopter. got. Up So we keep weapons black ate breakfast. Shots street wrecks. Reflexes watching out shape vectis that we slot at the East exit every time we get. To him see catching. STILL STREET LESSON I you running. Catch. Thomas Foot of money. Credit. Doctors the street Senate. Legend. I'm Dr. Madonna. Got Fresh. Seven days a week. Game Seven. No meat. Test Yeah do that as testimony given him help. Blesses on me most girls I know addicted to social media audits on put. A cyclopes Momma said, it only takes one time to go your whole wikipedia. After what happened in? The cancer. Issues that begin with lack of communication wrong information for people feel about ego misplace diesel energy crazy I. realize that is its way street was coming is going if they don't give you more drains to be a billionaire based on its I'm off I'm not taking proudly they. Get crazy and we lost the baby and everybody Megan who? Was Walking out to create. Asked me where I'm going I told him on another. Banging over box on can s home what you think that's where you from Yovany know where you're from how was which has head God, bless all it assessment daughter's. Take a father and automobiles that stuck with me like clear. Barbara looking them life story guys at good author never was a lot of center role. Cost peace of mind and might be expensive. So I can give you everything you want from me for a Fredo gets one life you might not be able to realo. Events I need all my advances Brahimi off a cast like we didn't have the same chance as my dad me up like why don't live in trying to focus by baby girl keep hold on my mouth for ransom. Be It's got to be and it's. Almost, like it was meet, Samya realize all my sex sodomy. Alert Chemistry Biology, not how to cope weddings. Could feel like by my cellphone island with depression on North. would black seventeen right on the side and the guy got a daughter suicide. Show. Me All these different size me too many times I thought the REBA was outside for me and how people that never met me that hey, I, wonder if Dan Dan. Dandy and feel my life purpose is to give this Berezin despite his saw. There's no escaping that I'd take care of my family and be that were deadly. You Digest Flex Your lack of success. Bless them if it ain't nipsy Louis Detroit. Detroit school I'm bringing it. Sort of collaboration. Help. Man I'll probably say payroll or t griffey me in big shot talking about. So. All of member MATAB BEING DETROIT. Get. Turn. You. ooh. ooh. Goes. and. Dallas. burning. Your? US Do is. To. Take it to the husband they WANNA save. Some. Alone. Thursday only, George. Do. The burning. Give me. Your. Doors. Above. Your. Still. This is Ryan from one republic. Crap. Dake down. With Chris Tag. Catch us on social media like on facebook at Chris Tags Radii and twitter, and Instagram at Chris Castle. Another one. Caught him phone come locked nonstop plane to. La Carte Polling. let them giving judge on popstars not a doctor? Cut Him. Stop. giving. More plows. Hey. Shut. Off. The. Kit didn't own a tough. Twenty twenty I came. I want a long life a legendary one. I want quit death in easy way. And honest one I. Won't drink and another one of trump's. Stop. What Gun, you will probably say manager. Minutes twenty, the Buddha. A. Visa. Charges as it needs to my. PLAN THEM JUST LIKE GAZA Trump. Pieces my I'm a sexy. These my please. Don't take despite that. Again and I'm not dropping. Keys in. Got Swag got caught him on phone come of non stop playing. Card Spelling let him giving drugs are non now I'm GonNa pop star not a doctor Com. Start. Pulling. giving. I'M A POPSTAR NOT A. Watcher says she a whole different blocks so I blocked. Lobster we talk enjoy is just. David Pasta Body. Kevin. Costner you. Just. Pulled up the Whitney Houston Texas evening they tell the same story so much they saw believe it. was. But we even man how Two four, six, eight watches, Fadul. Reese O'Day appreciate Crown Mighty and then really. Don't. Get this big way out of faced. Piece of. Cake. Don't depress we can sneak away. Keep. I keep the faith wonder gosh wait. The. Phone the. Stop going to the. Hospital in let them giving drugs non I'm. Not a doctor caught him. A Colin. Turning for another edition of the shakedown writing podcast for tonight's full trek listing and today the show head over to Chris Cag-. So Paul Bain. Dot Com shakedown radio DOT COM Warsaw Meeks cloud and MEEKS CLARITA COMSAT. Truce Craig's and make sure this is very important. Subscribe to the podcast on apple podcast Google podcast and Radio Australia simply search shakedown radio podcast labor she comments and you can also contact me on facebook twitter and instagram. Usually GonNa Hashtag Chris Kegs will be back on chain one digital every Sunday night at ten pm to midnight playing idiom in house also. Fame Sydney at www Saturday him dot com and you can catch me they serum pm Winston ought and also Likud area IPM on Wednesday nights at www Likud radio online, and until then it's goodbye. I think about. But I never WANNA fall. Better. QUESTROM But You know you know commeet-. Regret. But it's thanks. Thing. And you. Know. and. A billion how? Thank. going. Send phone. Number. T. Know. then. Your Body. Style They were. In how often failing? and. Could. Be McClellan. York. Nantong. the guy. To. Buy. Your. Mark. Love. How Come. Man. A. Pity. Dan You'll love your. Mama Mama.

Radio Chris dodd Sydney Chris Kegs Google Dot facebook Australia Dan Dan apple Chris Gags twitter Jason Mc McAfee Nova GAZA Trump Don Kevin Non Louis Detroit
Fast Money 02/05/20

CNBC's Fast Money

44:52 min | 10 months ago

Fast Money 02/05/20

"At IBM problems inspire us to push the world forward. That's why so many people work with us on everything from city traffic to ocean plastic smart loves problems. Ibm Ibm let's put smart to work visit. IBM DOT COM slash smart to learn more. Indeed it does it live from the Nasdaq tag market site. Overlooking New York's Times Square. This is fast money. I'm Tyler Mathisen tonight for Melissa. Your traders on the desk Steve. Bradfo Karen fineman Dan Nathan Guy Adani tonight talk fast. You'll hear from the biggest Tesla Bull on Wall Street Arc Invest Kathy would will be with US why she says this stock could be headed to fifteen fifteen thousand dollars share their ucla today at seven thirty four plus we are all over. Tonight's big after our movers. Peleton qualcomm young on Kyw China all on our radar after reporting results earlier today later we will reveal. Tonight's mystery chart. The stock has been on a roller coaster over the past year. But Dan thinks it is prime to pop and we will bring you that name and more but we begin with the biggest story of the day of the week the months year so far just has worst day in eight years after a company executive warned the corona virus outbreak in China could delay delivery tesla slumping seventeen percent. Today's pullback follows a nearly forty percent surge on Monday and Tuesday. So as Tesla's record run guy finally run out of juice. Well I'm not gonNA pretend to answer that question because obviously now let's just take the last two days in context when you had a stock to typically traits twelve million shares a day has traded over one hundred million shares from Monday and Tuesday and obviously we had some vitamin today so a lot of people been blown out on the short side a lot of new people in so for the short term. I think that that says close to a Kapitula Tori top or blow off. Top is you're going to see doesn't mean the move is over by any stretch lab somebody on. It's going to speak to that. But in the short term I think he he saw everything you need to see in terms of stock maybe retracing levels. We last saw a month ago. The only problem is is that this stock Burns off a relative strength index. DAX overbought really quickly so this whole move started in three hundred. It took about six days to burn off our SL of a reading of seventy or or greater so this was the most over by. It's ever been obviously on a chart and right now. It's a reading reading of sixty six so it's no longer overbought. So which means that it can unwind. The selloff. Today was enough that it's unwinded on technical basis the overbought status which means that it potentially can move higher from here again. Karen how do you take apart. Today's sell off is it. Is it partly that is. Is it partly the idea that corona virus is going to catch up with them in China. Is it partly a story in the Wall Street Journal this morning. That Lichen Tesla to some of the high flyers stocks. The two thousand two thousand one. I well yesterday afternoon. There was some very bizarre activity. rided hit nine hundred sixty eight and then closed down about. I don't know how it from there and so we're close. Today is two hundred thirty dollars lower than where it is at three forty five yesterday. That is just absurd. That is I think. Also we had a little bit of negative news but it can't I mean you know on model. Three delays in China because corona virus. That doesn't matter relative to this this story. I think it's so dangerous on either side. I don't know how I mean. It seems like they hit escape. Velocity and are no longer you know subject subject to gravity or evaluation or anything like that. I know we'll have Kathy. We're done in. She's she's been right she's been right so well. It's obviously in a very controversial name and it kind of leads right into the CEO and the government and a lot of things that have been debated. I think on twitter for the last few years and kind of in a fairly violent way and I would just say that that. Move that we've seen over. The last couple of weeks was kind of equally violent and it feels like the fever did break a little bit. You mentioned tyler. You know going back twenty years you know some of. Let's remember this sort of activity. It didn't end well for most of these names and then when you think about evaluation situation there fewer long-term bull. I'm not certain aside I'd from the mark to market prophets that you have this week or last week you feel great about this activity because if history shows anything this activity like I said has not ended did well and this is a company that obviously they're just expected to grow sales thirty percent year. Some balls may have a much more kind of bullsh- assumptions about that sort of thing. But we have to see this sort of profitability. We haven't seen profitability until just this last couple of quarters and that's really going to be the story so I guess my take is that history has not been kind to the sort of stock stock market activity. That being said. This could be different this time. How does that how people to say it's different this time? Oh you got that. That's a fortune cookie. Talking about Tesla Bulls. Or we're going to meet one in just a moment fact one of the biggest ones on the street but preface that Tesla's wild ride has left many of the analyst community and the dust checkout analysts stood just a year ago on the Stock Average price. Draw a target was roughly three hundred dollars a share just above where shares were trading at the the time today the average price target is closer to five hundred a share and that's more than thirty percent below where the stock closed today after that distinct selloff selloff next guest thinks Tesla has room to run in fact she thinks Tesla could hit fifteen thousand dollars a share within the next four years. Let's bring in Arc. Mark Invest CEO and founder. Kathy would kathy welcome. I know fifteen thousand share is not your base case. It's your issue reach case. What is your base okay? Seven hundred dollar stock is in four years. Yes the base case It's a five year targets at the end of two thousand four. It's seven thousand dollars and we. We've arrived at that price by waiting the probabilities of ten different scenarios including bankruptcy. To be on. So we've been tried to be as fair and balanced as we possibly could be but our confidence level that this is. This stock is heading for seven thousand dollars over the next five years is very hot so you take out out your lowest probability scenarios you take out the ones that you think are just aren't going to work or the highly outlandish ones where everything has to click exactly right. On what bricks is this seven thousand dollar foundation founded. Is it improving margins. Is it the lowering the cost of production of the vehicles as they get up to scale or what yes. There are three sources for the increase in our estimate are estimated price target One is as Tesla Hustler. Killers entered the market last year. We expected Tesla's market share to go down from seventeen percent globally that includes China to something lower. Instead it went up to eighteen percent and the reason it shouldn't be percent in electric vehicles are in all vehicles no electric electric vehicle. After this is global there there are many electric vehicle manufacturers in China very low quality. But they're so what we're learning is tesla is just so far ahead of the pack and I'm talking about the BMW's who's the Mercedes As far as range and other important metrics when it comes to electric vehicles Their battery cost is is three years ahead. Three to four years of head of any other auto manufacturer in terms of the cost climbs and so every other auto manufacturer factor will if they want to be competitive with Tesla Will and I'm including BMW and dime learn if they want to be competitive like for like they will have to sell their cars at a loss at the same time. They're losing their internal combustion engine business. So they're they have a big problem. So are you confident. Enough in their ability to overcome what I would call sort of manufacturing hairballs that have have struck them in the past and caused them to miss or delay production targets so nothing is in a straight line. You can't promise but What they did in Shanghai was unbelievable? you know breaking ground and producing within a year And I think they're taking those learnings elsewhere In Germany outside of Berlin. We've been thinking thinking. Okay that to setup for bureaucracy They have been welcomed with open arms because Germany doesn't want to lose the auto industry right and they don't WanNa lose the jobs so And now we're hearing potentially about Texas so we think they're going to surprise On the production side now it took a lot of trial. The era just like with their Falcon rockets when they were trying to land them. It was failure failure failure failure than success and now they've been successful pretty much every time since so. I think they've gotten the manufactory. When you take tyler question to the next level is do you dig in and get granular on the opportunities opportunities? When you look at the some of the parts is going to be panels autonomous drive or batteries? That are the new breakout because when we look to Taylor's point when we look at the cars and production everyone thinks they're an expert on what they can and can't do with Tesla but is there going to be shockers going going forward where there's going to be a breakout valuation on batteries because their technology is so far advanced. Yeah I think they acquired a company called Maxwell Technologies and they've been very secretive about what that is going to do for their battery technology. So what I just said to. You does not even incorporate Maxwell So yes we do think there are surprises on the battery Battery Front. They have their own a chip for autonomous. The only auto manufacturer to have one and James Wang who worked at a our analyst who worked at Invidia For eight nine years Took a look at those specs and said four years ahead of anything. That Nvidia is going to be able to produce because a single purpose it's not general purpose So we think they're going to be way ahead of the game on autonomous and that's where the real surprises are going to be because autonomous and misses a recurring revenue very high margin almost software as a service like opportunity autonomous taxi networks. And what would you have baked. The cake from the street primarily are low margin gross margins more like auto you know in the twenty five thirty percent range we actually think gross margins agents because of their debt battery technology head for forty percent on the EV itself and then the incremental revenues from autonomous would be in the eighty percent plus range and we think that's what people are missing in our seven thousand dollar target so the scenario testing. We assume only twenty five percent chance that they're are going to be up and running with autonomous within two to three years. Yeah so Kudos to you. I mean you had what I thought was an outlandish Target two two years ago or one half years ago and here we are and so you have another one maybe outlandish maybe spot on but let me ask you when you get to this seven thousand to pick your more moderate the case. What's it trading at as a multiple of earnings or as a by how what would that? What would that valuation then be so in five years again we? We don't really operate like that. We're just trying to figure out the cash flows and do and then discount them but one of the things that I'd like to focus on is the reason this is such a is going to be such a big upside. Surprise is because Tesla is writing the convergence of three major innovation platforms. Convergence is very hard to analyze this in the traditional world right. Auto analysts are not robotics experts. They are not artificial intelligence expert. BIRT's or battery experts We have three analysts working on this model together all of them are characterized by exponential growth during the we are ready for primetime sometime. The sowed the seeds for what we're about to witness now not just with Tesla but with Geno mix with three D. printing with everything we do do the seeds were sown during the tech and telecom bubble. The costs back then were way too high to play out for for those. Those platforms formed to play out. The costs have been coming down for twenty years. We're ready for Primetime. These are three exponential growth trends that are converging and that is why this is so difficult for traditional analysts to value. This is all we do. We do nothing but disruptive innovation because we have never seen as much disruptive innovation evolving at the same time ever. You have to go back to telephone electricity internal combustion engine. That's the last time we saw exponential growth on the on on the order that we're going to get in one question from Dan. One quick answer quickly and this is near term you expect volatility around earnings was in the last couple of years but like for instance they sold all cars that have four hundred and fifty thousand annualized rate last quarter right and when you look at their net income it all came from selling tax credits. Do you expect that to be a big component of it. It does it look like that at other places around the world we're expecting Really a lot of growth to come clean subsidies. They're going to get a lot of credits from companies like Fiat. Yeah Chrysler who's paying them. Five hundred dollars to offset so we think that. But that's not in our models we never include. Subsidies are models. We're talking about right now. Is Tesla Tesla is ready for. Primetime as an AV AN E. An AV manufacturer already got to leave it there. Cathy thank you very much. Done your homework on this one. Appreciate Ed thank you. At earning season rolls on with reports from Peleton Qualcomm Yum China. And more of this afternoon crack team is here to break down all those numbers plus they can look at you as the biogen's soil more than seventeen percent. Today we will tell you. What's behind the big move and where the stock could go from here? Just a reminder you can always watch or listen to us live on the sea. NBC The APP. It's a lot better than that. They used out in Iowa a couple of days you would also. I'm telling you they did not count this APP. I we're live from Times Square New York City much. It's more fast money right after this at. IBM problems inspire us to push the world forward. That's why so many people work with us on everything from city. Traffic to ocean. Plastic smart loves problems IBM. Let's put smart to work. Visit IBKR DOT com slash smart to learn more Welcome back a fast money. Type earnings whip shares of welcome Yum China. Peleton all the move in this. After our session we got full team coverage anybody to break down the names and we're gonNA kick things off with the big mover right now and that is Peleton then Oleg is in DC with the latest just on it. Hi Dan Hi tie solid beat for Peleton in its second quarter since going public but the stock is falling sharply after hours as its revenue guidance. For q three came came in lighter-than-expected. Still Cue to the streaming fitness company reported revenue up seventy seven percent annually driven by quote robust holiday sales period and increase. He's conversion from the home. Trial launched in September that allows potential buyers to try the bike at home for thirty days. Free it drove higher sales on the website as well as in showrooms did did not have a meaningful impact on Peleton's return rate and also apparently the controversial commercial with the Peleton wife. Getting the bike for Christmas did not hurt. In fact like the Stock Bounceback following that twenty two percent drop in December and some analysts said the increased attention from the commercial may have actually helped subscribers grew ninety six percent every year the company lowered the price of its digital only subscription and ended the quarter with over one hundred nine thousand subscribers also added Amazon Fire TV and Apple Watch APPS and with the launch in Germany at the end of November peleton expanded its potential audience dramatically back to you guys. Don't WanNa thank you very much. Wants to take a shot at Peleton. A lot of US sold them. I like it. I think it has a very nice businessmen. They say a very high price bike. Have you ridden just. Yes not this morning yet today. But they've also got the subscription model which is where they make four hundred bucks a year. I mean that's the Jesus but you know I think the Stocks Doc Sam because they pretty much said growth at any price is their current business model and to the extent that you miss growth which is revenue or the St isn't anyway disappointed appointed. That's GonNa really painful. They did say on the call. It looks like that there. They should be closer to guidance. Moving forward well. Yeah that would be. That would be helpful. But I love the product digital subscription lowering prices. That probably was on the mind of a lot of different analysts. Where at this point in the life cycle they should have some pricing power and have to move it down from Nineteen fifty basically to twelve ninety? Nine doesn't seem like a tremendously bullish Call I think they could have added a little more elasticity in that price going forward. They don't have competition. I mean the the buried entry here whether it's Nordic track or some other manufacturer manufacturer or cycle widened soul cycle. Get in here. I mean they're going to be they are I mean I obviously work out a lot to taste funny. I would just tell you those interesting because I was doing a class on the The tread this morning and the instructor actually said if you're not on a peleton bikes cheer point this recurring. There's the streaming thing is really interesting except for the fact that all those guys are going to get into it. So cycle is going to have an APP. I suspect very soon so all that competition is coming in so at the end of the day if this is the printer you know INC MODEL it may be a tough one here. Let's move onto qualcomm. The stock is in the red after the hour. After hours and CONTESSA brewer is following it for us. I contest has been the real driver behind development and investment on the call there is an intense focus on the build up of five G. inventory three and anticipated demand. Analysts want to know. Are The high expectations realistic. But of course corona virus is dominating top of mind I because qualcomm all com relies heavily on China for its supply chain and the CFO says look. There's significant uncertainty around what this outbreak will do to the supply chain and what it will do for demand mant for headsets. They're spending a lot of time on this. CEO Steve MOLLENKOPF says qualcomm has considered the impact of Corona virus. And it's forward guidance the range it has been widened and lowered the mid range of the EPS guidance coming in just below analysts expectations now seeing aid and ninety five cents a share versus estimates of eighty eighty six cents a share. But of course all of this is based on limited information because no one at this point can say how long this threat lingers what it could do demand if people are not out and about as you can see that stock now off in extended trading by three point seven five three point eight five percent so thank you very much this trade qualcomm. It's always is the afford guidance that gets you scared. People I mean the stock went from fifty to wear wherever traded up to recently north and ninety in a pretty pretty much a straight line chips have been doing really. The guide scares people I think valuation is reasonable. I don't think it's a terrible quarter at all. I mean you're going to get a chance to probably buy the stock closer to maybe eighty two dollars and I think you load up again. It's been a great story and this quarter doesn't necessarily scare me from that guy just mentioned where this stock has come from. Obviously try to make acquisitions. There was activists involved. They had a lot of stock toback. That sort of thing. Listen with one hundred market cap and that's the thing goes lower given their positioning in five G.. In Mobile in particular this company could be on the block. I mean this could be an an acquisition target for like an Intel which is not in mobile to five G.. So I think once the corona virus starts to dissipate. I think you're going to get the five G.. Tailwind win kickback. In if he gets a buying opportunity or let's move on a young China that stuck also moving lower on its results and kate. Rogers is back at headquarters with more on those numbers. I hey there tyler fairly strong fourth quarter for young China the company reporting EPS being expectations. Revenues were right in line. Same store sales increased two percent led by growth in KFC. While Pizza Hut sales were flat. Now this is the company's thirteenth consecutive quarter of growth since its spinoff from yum brands but corona virus may impacted sales going forward in a major way one third of its stores have been temporarily closed in China. It also said same store. Sales were down between forty and fifty percent since the Chinese New Your holiday among its stores that remain open in a statement. The company said that since the start of the year the novel Corona Virus outbreak in China has significantly impacted. The company's operations and the situation is complex and rapidly evolving and the company can not yet fully ascertained the expected impact however based on information currently available. The company believes that the outbreak is likely to have materially adverse impact on the company's operating and financial results for results for the first quarter of twenty twenty and full year. Twenty twenty any CEO. Joey want added that the spite this challenge and disruption to our business we remain confident in the long term market potential in China's about ninety two hundred locations. They're about a third of them or temporarily close really big numbers. Here guys. What happens moving? Our thank you very much Karen. I'm told you have been buying young China recently. What are you? What do you make of this well despite the challenges and disruption? I'm I'm optimistic on the long term potential just like this. CEO Just said. I think the revenue in line was maybe a tad disappointing even with the beat. But I think they're going to get someone of a free pass for the next quarter or two on weakness firm Corona virus still You know expect to expand the store account meaningfully. So I like it was fifty two weeks ago and so it's three percent forty three. I think it's is a long term. Play your by more of an is soon comfortable not delighted but yet but for the longer term. Let's go to a design who's got news on Casper that company has the price is I feel. Bob Reportedly Dow Jones is reporting. The Casper is pricing. It's IPO at twelve dollars. Shares that citing a source here. That's really the bottom of the range. They already announced the haircut this morning for it's expected. Price Range eight point. Four million shares seventeenth nineteen initially. Then it was cut to twelve to thirteen so so it looks like it's pricing at the bottom of that greatly reduced range. There's a number of issues here. I think most importantly the days of growth at any cost look like they're over investors. I have been pushing back against money. Losing companies you either have to be profitable or this case you take a haircut. Another issue selling direct to consumer is a problem them. These firms spend a lot of money to get market share and investors are concerned about the cost of acquiring new customers. What will happen when all the spending eventually elite stops finally? There's plenty of competition out there from well known old school firms like Tempur sealy which is publicly train which is profitable the old school and then there's lesser known direct direct consumer competitors like Purple Innovations. You can't blame Casper's troubles on a poor. IPO market not this time or a poor equities market the renaissance capital rely pet if this is a basket of the most recent sixty or so large. IPO's it hit an historic high today. Former laggards like lift an uber and zoom. Some of all done really well in twenty twenty and tyler glass few days. One medical went public last week. It's trading well reynolds consumer went public last week. It's trading trading well on top of that so the IPO market is doing very well right now back to you Robert Thank you very much. We have much too much personal information on this desk regarding including the idea that you have a casper math you damn tuten. I do see you should have gone off to them. Look we're GONNA go to the mattresses with BOP assigning Johny thing but look at me with my casper thing that I look at that and I will tell you this not only a human mattress outstanding. The dog mattresses out of this world. Don't ask me how I know what I'll tell you is. I'll find my three dogs on that Casper mattress every single night night with that. said that making mattresses tile they're making mattresses I know they have brick and mortar places where you can go see them. But don't you want to try out a mattress before you buy it. Yeah you do. The problem is with a lot of these things they give you one hundred nights free. Yeah or they give you nine or whatever it is magazine and then people said them back and then people try to rotate through all the ones ones that. You're not sure you want to buy so you take one hundred nights on this one send it back one hundred nights on this one. Send it back so I think it's a problem for the whole industry and the cost of Acquisition Bob Opposite and the fact that they don't make money so there's too much competition they don't make money and everyone's sending these mattresses back after one hundred hundred anyway when you look at what's happened to the valuation of this this company or what the CEO thought the valuation would or should be. I can't help. I don't mean to be a jerk and saying this that that that this is the work of sleep. I mean this company was supposed to yeah. That's that's exactly fair. What you think about Governor Anson this that whatever I mean you know you know what I'm saying but I mean listen at the end of the day these were we're funded businesses out there to acquire customers have growth? They make a great product. There's a lot of great products. I love lift. I Love Uber. Uber Eats I love you l.. Look I love my you know the Peleton. But but they've all been subsidies and public investors are getting a slightly different view Right earnings potential in the competition. Fair to say listen you know these air but he just wanted to say the we work of this because of VC bid up the price over a year. That's one thing. I think that had some other very mad before we go to the commercial break which we need to go to quickly yes we. We've been doing this show now for north of thirteen years tower as you know. Thirteen and a lot of absurd things have been said in those thirteen years but Dan Rathan saying. It's obvious that I work out. A lot is now reached Zenith Peleton Challenge. We should we should have class on Calton challenge. I'm in we're all eh you we go right now. We can get a rap of all of today's earnings on our website at CBC DOT Com. Here's what else we got coming up on fast. Corona virus peers seemed lost their grip on the markets with major indexes climbing back toward record highs investors now fully turn their attention back to fundamentals rentals. We dig in and later our options traders rolling the dice on win before reports earnings tomorrow but the markets are saying about that stock. We've got that and a lot more when fast money returns. Welcome back to the fast money. Everybody's a great day for the Bulls on Wall Street. The S&P NASDAQ posting record. Closes and the Dow jumping more than four hundred eighty points with stocks touching fresh record highs. Our next guest says. Don't chase the rally. He's Chris Harvey Head of Equity Strategy at Wells Fargo Securities. Why do you say such a crazy thing? Ah I duNno stocks going one hundred percent in the month that might be a little bit of Froth China throwing a ton of money at the situation the Fed throwing a ton of money at the situation. What we've been saying is you should put cyclicality? You should've put risk on now what you WANNA do. You WanNa start harvesting you WANNA save that risk for a rainy day but at some point we're going to have a repricing of risk so take these opportunities to start re positioning the portfolio. And just. There's a lot of things opportunity. We see out there but more so on the Laura side of the equation. What are those opportunities? So we're starting we didn't like the bond proxies for a long time. We're starting to pick up some of the bond proxies late last year. We downgraded the semi. We're not going back to the semi's but at the same time we take some profit on back when you say bond prices. You don't have to reach your utilities. What exactly what we're talking about reads? We're talking talking about utilities. We're talking about low ball LAVAR products Anything that has a yield anything that works or has interest rate sensitivity so as rates. Go down they work. The other thing that we're doing is we're looking at banks. We started to pound a table and banks in September back in December. He said it might be time to lighten up a little bit. I think it's time to get back in there and so we're slowly starting to add a little bit more risk or actually what we're trying to do is we're trying to add some conferring opportunities out of this stuff. That's awful like energy. I I got that question today. And Energy's a tough one for us because we do see a lot of value. We're just not sure how you extracted at this point in time so for us. What we're what we're doing is we're looking for that best record award? So we did upgrade banks back in the fall but we couldn't get behind energy and we're still looking at it but we just can't get there you talk about harvesting you told me what you you're looking looking at adding some of the different. What would you harvest here? So we've been harvesting a lot of the high risk stuff and that's been in the semi space that's been in the technology space and and really that's where we want to take some money off the table because it's performed so well if you look at the semi space if you look at the software space really big numbers last year this year here they can continue to go further but we think you want to be a little bit more conservative. You want to be patient because at some point we are going to have a five to ten percent. Pullback what what could trip it. What could trip the market? I mean corona virus did for days so I think the biggest fear and I think the biggest misunderstanding has everyone thinks thanks for the Fed. The Fed being really comedy if they're buying sixty billion dollars t-bills every month that's true but what's happening repos rolling off at the same time so believe it or not. The Fed's it's balancing didn't grow in January it actually contract it and so when people realize that the heavy lifting by the Fed is done. I think we're going to see pricing of risk. You mentioned that China's obviously throwing a lot the money to get a stem the tide in their stock market. But that doesn't really mean a whole heck of a lot about their economy. Do you think that what we're seeing here. Just a bunch of window dressing. We know that the Fed has obviously missile accommodated. We know that we had those very now. You've China the rest of the world is in on this game but at some point no matter. Let's just say we stop getting that. SORTA increases in the deaths and the cases of corona but economic activity is just slowed. And maybe it doesn't come back at the pace. Do you think there's a chance that the stock market right now is kind kind of just kind of shading over what could be you know. Slower economic growth. I don't know if you'd shading over with the stock market is saying if you're going to throw that kind of liquidity if you're gonna I gotTa tell me you're going to provide that kind of backed up. I'm going to have to go out on the risk irving down the capital structure in the short term. But I think you're right longer term what's going to happen is if you were raging bull if you were Jake Lamotta what you're saying is Hey China's going to be really strong China's going to spill over to Europe Europe Europe's going to spill over into the US and that's all going to happen as soon as we turn the calendar under these one's going to be great. Wait a minute phase one. We're starting to hear pushback on phase one and by the way China. I don't know what's happening. Exactly what's happening with Colonel Virus but what we do know is that prevention is slowing down economic activity. It's starting to seep into people's thoughts and what I believe is you're going to have a delay of any sort of economic economic activity and so as a consequence you have to take a little bit off the top and so you'll grow. Your upside is not going to be all that great Chris Harvey. Thanks very much. We appreciate your being here. Now we're GonNa talk about him Chris. Trade well he's gone so I'm not going to bring them back but I think people are underestimating. You know. If the if the Fed's balance sheet has stopped growing rowing and if it starts to contract an April may when I think is when they said they're going to sort of stop this lunacy I don't think the market's at all looking at that or they should be looking at and in a fifteen vixen environment. I think the pricing risk the wrong way right now. The market wants a reason to sell off in. The market's GonNa get a reason to sell off and eventually where to hit that three K.. Mark Mark Because that's where people want to get back in the market already coming up. A biotech breakout checkout shares of biogen bursting after winning a long thought. Patent Case we'll get details tells the first dance got a fast. Pitch key. Says is prime to REV UP. We're not talking about Tesla about baseball. We'll see if others by his idea. Fast fast money is back after this. Maybe it's rolling blueback fast money. Everybody get breaking news on the corona virus new numbers out of China and make Terrell has the details meg. Hey Tyler case numbers now above twenty seven thousand coming in at twenty twenty seven thousand six hundred twenty six. That's almost three thousand. More cases they are confirming five hundred sixty four total debts. That seventy more than we had yesterday today Now the World Hal Organization saying today that the case counts we got last. Night was the biggest single day increase other. They've had since the outbreak began. That was three thousand one hundred fifty fifty six so today's Twenty nine hundred eighty seven. New cases is slightly slower than that tyler but still a big increase by. Can you draw any conclusions about the speed of transmission based based on these these daily updates People have said broadly speed of transmission does look like I it is potentially accelerating tyler compared compared with yesterday and today not quite as big of a jump as we saw a two yesterday so that is encouraging potentially but these numbers do keep climbing pretty fast. Thank you very much agenda for more tune into CNBC. Special outbreak corona virus tonight at seven. PM Eastern time move on from that. Tesla has been on the tip of everyone's tongue lately lately but our Dan Nathan season other auto stop. That is ready to read higher. He's over the plasma for a fast pitch. Dan It's all yours let's talk about. Gm a little bit like as we were just talking about the other other one the The Tesla here. The fever might have broken a little bit. There's obviously a lot of excitement. I mean Kathy would just laid it out excitement about the opportunity Thomas. Obviously Electric vehicles is a big one. But I think to not think about this as it relates to. GM would be a big mistake. The company reported there and they got it for twenty twenty today and miraculously Scott Stock was not down. Its competitor is down nearly ten percent on its outlook here. So after that strike last year the Q.. Four was a bit of a disappointment. I think investors are okay with the Stock Valuation here trading at mid point of the five year range here and they possibly see some upcoming catalysts for this thing. You Obviously Watch Super Bowl. You saw that King. Jane's the goat in the NBA is going to be hocking their Electric vehicle they're Hummer. That's going to be out in May or at least released in May and that that might be a catalyst for the stock going forward and then today the head of their crews unit. That is the autonomous driving unit was talking. We're not some big big numbers about the opportunity. There maybe eight trillion dollar market. For ride hailing autonomous. They have a big stake in crews. That could be a catalyst for this stock going forward and then lastly let's just look at the technicals here. You know to me this thing might set up as a really good trait into the spring especially if we have a stable market. Let's go to the charts. This is the one year charts obviously been in a pretty well defined down trend. It's down about sixteen percent from its fifty two week highs but look at this low last week you can just draw a line make a nice little double bottom there. It's really got a hold that thirty three level level but to my eye you might be able to see a breakout of that downtrend on any decent news going forward and then the last one I just WanNa look at. This is the TRAE This is the chart since it's two thousand and ten re IPO after the financial crisis here. There's the line that's the uptrend you see that. It held it to a tee as my main man Carter would say to the petty to the the Penny. So that's really weird. You WanNa stop this thing out and I'll just mention another thing. If you want to do this you want to look out to the spring. And you want to say that that e- launch could be a big catalyst catalyst for this company. And then maybe some enthusiasm about Tesla flows into some of these competitors are coming into the market. One Way to play this is you could look out to June expiration. The June thirty five calls with the stock at thirty five dollar eighty. That's five percent of the stock price. That is your stop in this thing. So I like this as a define risk trade right here and the stock sets up up pretty nicely. It's fairly cheap. There's some catalysts obviously if we have an economic downturn globally. They're going to sell less cars. This is going to break. That's why I think you defined your risk in this one quickly ask I stand about the option so volatility low enough where it makes sense and GM specifically where it makes sense to play this through. I think that when you can get an at the money call. That's giving abuse exposure to the upside out to June expiration. We are in February now so about four months and pay five percent that seems pretty fair to me especially for a company that has been volatile and has underperformed. I would say any good news and you'll see this thing back towards forty pretty quickly. Let's pull out our tablets and reveal only feel die. I love starting with me. You know. What's the guy that you spent? TV Regis Philbin. Yeah well he used to say. Dan knows a lot. We probably have the sound bite. Dead does know a lot. Yeah I'm with. I'm with them in with Dan. Karen yes I mean with. Dan also go. GM drawing abilities. But yeah. I loved Mary. Barra loved evaluation Eh. I'm going to say not just yet. Still on a declining trend line from August of two thousand nineteen. You don't always down to the petty to the fifty eight moving averages thirty I five forty six. The stock topped out a thirty five forty five wait till it trades above the one hundred day which is thirty six eleven all right. The desk is spoken. Now it's your return to you by Dan's pitch. GM vote in our twitter poll at CNBC. Fast money we will. I promise. Reveal the results later in the show plus checkup. biogen's big big breakout. What is behind that move? We'll have those details ahead when fast money returns in two short minutes. Welcome back to fast money. Shares a biogen surging into the close today on news regarding it gets top-selling. Ms Drug Terrell is at headquarters with the details May O'Hagan Tyler Biden one and highly anticipated pan decision to down its biggest drug tech Saderah era from multiple sclerosis. It's patent had been challenged by generics company mylan investors put about fifty fifty chance on buying and winning doesn't take all IP risk off. The table for the drug though Biden still faces another decision expected by late summer or fall analysts say the wind today could increase. Its chances there as well at the drug which to four point. Four Billion Dollars in twenty nineteen revenue has market exclusivity until twenty twenty eight unless of course forthcoming decision doesn't go its way. biogen investor attention now turns to the Alzheimer's space where the company is expected back to file for FDA approval of its drug any day and not of course is the reason for the massive fallen that rise of its stock in the last year and analysts. Expect that roller coaster could continue this this year. That drug makes its way through the regulatory process. Tyler who has a photo budget toucher. Not No. It's not too hot to touch when we talk about this in the spring the the market was completely discounting. Everything biogen had going for it. When this training down to twenty I was shocked? It traded that low and it's so shocked that a traded there as long as it did but I think biogen's just getting going. This was a plus absolutely but the Alzheimer's news could be potentially huge. You can talk about a stock and I don't like to speak speak in hyperbole but I will here I mean Nigga favorable rulings there. This stock could go up to for from where it is currently so three sixty s huge level the upside. And then we're going there so the issue with that as it's binary right so big did her spot. She said it was fifty. Fifty on the mile end. Outcome is going to appeal the case to guys point. Yes on the Alzheimer's drug it comes back and it's great then. The stock could go up the sky's the limit. But if it doesn't the stock craters you buy the IBB you don't have that binary the issues there and you get Gilead Amgen get vertex and you get biogen in there as well I would stick with an ETF to buy the space all right there. You see the biotech. ETF up two and a half percent today alone coming up casino stocks feeling the heat as the corona virus spreads. How can you trade? These names that when fascinating our first priority is a company is unequivocally to tend to the safety. The health of our teammates in China the employees of our partners and to consumers now consistent with. What's going on right now? Roughly half of our stores in China are Nike owned stores in our partner stores temporarily closed and those that are open are operating under reduced ours and so there's slower traffic and that's why we announced yesterday. They'll be a reduction in our China results. This quarter that was Nike's new. CEO John Donahoe Donohoe speaking exclusively to Sara Eisen on the impact of the Corona Virus Karen. Any thoughts here about Nike or more. Broadly well I I love Nike. It's a fantastic fantastic company. I don't own it for me. Multiple at north of thirty three is why I mean it's an extraordinary company. They deserve a premium multiple. I don't know if it should be this this much. It's only come in just a few bucks off the off the high even with Corona virus. So I've been looking for stuff. That is either bounce back a lot to sell or come in a lot to the by. It's sort of a no-man's-land great company. We're GONNA move from there to casinos. They are also under pressure as the corona virus spreads the major players all lower this this year due to the Macau exposure but when WYNN resorts reports earnings Tamar. One option straighter bets stock could be due for a wins Options play chief. Strategist Zang is here to break down the action. Where are the chips falling Tony? So Tyler wind reports earnings tomorrow after the close and if we look at options it's implying a six point two percent move which is significantly larger than what we've seen over the last four quarters of about two point seven percent I think this reflects the markets fear on on the corona virus and their exposure in China. Down Today. What we saw earlier was a fairly large eight hundred and six contract risk reversal traded now to break down? This trade did the seller sold March twenty one ten puts which are fairly out of the money for a dollar seventy three and use that premium to pay for March one fifty call which also is fairly far out of the money for a dollar. Seventy eight net net. This trader paid about five cents for this particular spread and if we to understand this particular strategy gratitude we have to look at the risk profile expiration which requires about a fourteen percent. Move to the upside to break even and about a nine percent move move to the downside debris even to the the downside but to understand this particular trade that before expiration the trade actually acts pretty much like a stock so this trader has a notional stock the value of about three point five million dollars while putting just the small amount of capital at risk could take this long stock exposure going into earnings any quick thoughts on a trade here on Tony. Tony is crushing it. But I'll say quickly at one. Thirty five win is in absolute no-man's-land in terms of the range. It's been over the last six months. I think you wait for earnings to see how it shakes out. Tony thanks very much for more options action. Be sure to tune into the full show this Friday at five thirty. PM Eastern time. I'll be here you. You should be too up next. Are you buying dance pitch on GM. It's your last chance to vote on our twitter poll. CNBC fast money. We'll reveal the results. Plus the final trade stick with us right back to the fast money time to find out. Find out if you bought into Dan's fast pitch on GM. Let's take a look you say yes or no sorry to say then but it looks like your pitch stalled out. No it was a no. You'll get get over it. It'll be alright. I'm for our final trades. Let's go around the horn. Mr Grasso. You've I is the name that I've been long it has not performed. I'm suffering but I'm still not T. S. E.. I think upside is eventually coming. I'm turning blue waiting all right Karen yes I have one that also is not performed. But I I'm waiting with it as well. UPS Yes. I'm looking through Corona Virus Corona Virus Dan acting GM. I think that you star in on threes can also do it with calls calls which also stop you out all right tyler. You did stud briefly united health. You gotta go united the health. Thanks for watching Fast Money Kramer Right now at. IBM problems inspire us to push the world forward. That's why so many people work with us on everything from city traffic to ocean. Plastic smart loves problems I._B._M.. Let's put smart to work visit I._B._M.. Dot Com slash smart to learn more.

China tesla tyler Dan Karen fineman CEO Ibm biogen Gm twitter Peleton Kathy analyst qualcomm Fed CNBC Tesla CEO Steve MOLLENKOPF Germany
Fast Money 02/26/19

CNBC's Fast Money

44:14 min | 1 year ago

Fast Money 02/26/19

"It's fast money starts right now live on the NASDAQ market site. Overlooking New York City's Times Square, I'm Melissa Lear traders on the desk, Tim Seymour, Brian Kelly, Karen fighter men and guide Dommie tonight on fast, the Powell pause continues in now stocks are pausing along with him. But we will tell you the one thing the fed chair said that had all of Wall Street talking plus to Dowd down or Home Depot. Caterpillar getting crushed today. But her very different reasons, we'll tell you what it can be for the markets. But first we start off with Tesla's Twitter trauma. Stop me if you've heard this before you Lon mosque in hot water as one of his most recent tweet has warning warring with the SEC yet. Again, the stocktake you hit early in the day, but recovery, including just below three hundred bucks a share. Let's get three to fill a Jacobo with all the details. Hey, fill 'em. Let's let's bring you up to speed in terms of where things stand right now today, a judge in New York issued a ruling saying that Elon Musk has until March eleventh that's a week from Monday to explain to the court why he should not be held in content. Court. What is tesla the company or the board of directors have to say about what's happened over the last twenty four to forty eight hours? It's been crickets, we haven't heard a thing officially, but we have heard from Elon Musk. Somebody on Twitter said look the stock move lower on the SEC contempt of court filing than it did on your tweet on February nineteenth. And he wrote back on Twitter. Exactly. This is now happened several times something is broken with SEC oversight as for the SEC. It stands by its filing last night. No further comment today that filing saying that Elon Musk should be held in contempt of court because he violated the agreement that he signed back in October which said that all of his financial communications anything regarding anything material or could be material to investors would be preapproved. Oh, and by the way in their filing. They also made note of the fact that Elon Musk when he was talking with sixty minutes back in December issued this kind of commentary about whether or not his tweets are approved. Have you had any of your tweets censored? Since the settlement though, none does someone have to read them before they go out though. So your tweets are not supervised. The only tweets that would have to be saved reviewed would be if a tweet had a probability of causing a movement in the stock, and that's it. Yeah. I mean, otherwise, it's Hello first amendment premium speeches fundamental, but but how do they know if it's going to move the market if they're not reading all of them before you send them, I guess, we might make some mistakes. Did you take a look at shares of tesla? Keep in mind that in the filing last night, the SEC says that tesla told them. Yeah. The initial tweet on the evening of February nineteenth about whether production would hit five hundred thousand vehicles that was not pre approved. However, they later huddled with Elon Musk, and they issued a corrective tweet or tweet with a correction saying really what I meant to say was four hundred thousand would be the production for two thousand and nine thousand nine hundred one last thing will this. I get a lot of people asking me this question. Why isn't there somebody and executive somebody with the board of directors somebody at Tesla's standing up and saying, you know, what we're going to take control of the situation that has not happened since Elon Musk has been running this company. And I'm not sure why people would expect it to happen in this case. This is Elon Musk's company, and he has shown since he started this company that it moves to his drumbeat. In other words. You will hear people say well in executive should stand up and say, this is outrageous. We're gonna take control of the situation or I'm going to be in charge of the situation. Name one time with that has happened. I it just has not happened over the history of tesla with Elon Musk L when Elon Musk came back onto Twitter. I think it was today or maybe last night. And he's he said, hey, the SEC apparently didn't read the earnings call transcript in which case, you know, he had said three hundred five hundred thousand could it be construed that. Maybe this wasn't material information in so much that it had been released to the public in another format at some other point. Sure. And that would that is likely the argument that you will hear from a legal counsel at tesla that look this came out in the conference call, and let's be honest here. He corrected this within a couple of hours to say, look, I misspoke saying five hundred thousand is really going to be closer to four hundred thousand as we reported in the earning skull, and and that's Blissett. That's what you hear a lot of people right now in social media saying the SEC is overreacting the fact of the matter is this is because the SEC and the reason that they're trying to hold them in contempt of court is because he. He violated the terms of the agreement the agreement that he signed that all of his financial communications would be preapproved that is at the heart of the SEC complaint now, whether or not it's an egregious statement that he made on Twitter, but whether or not the process was violated question. Karen? Yeah. So fill on the on the spectrum of what contempt could mean, what is the range of penalties that they could be facing. I've I've talked to a few people today and all those at the same thing. Look the SEC if they really really wanted to throw the book at Elon Musk, and tesla could go to the judge and say, look we had an agreement. He clearly violated it. He thumbs his nose at us on sixty minutes. He does it on social media says I don't need to listen to the SEC throw the book at him kick him out of the CEO. Sweet nobody thinks that's going to happen. More likely is that the SEC is going to look to work with tesla to say, look, we gave you a chance and in our opinion, he violated it. So now. We've got to come up with some way of ensuring that this doesn't happen again. How that is worked out that remains to be seen. Hell thank you know, LeBow covering a very thorny story today. So the question is why did the stock basically finished flat guy? That's what investors care at this point. Is it all in the stock? This whole sort of wild card of Elon Musk going rogue interesting. So a couple of things I think he views thirty figures in thirty groups with with utter contempt. I think he thinks he's so much smarter than any probably is there's a part of me that thinks he's doing this because as a wannabe CEO anymore. He finds some Manusha of the job probably boring and below his pig rate as crazy as that might sound. Maybe the best thing to happen to tesla is he does get bounced from the CEO spot, and he remains with the company in some capacity that could be the best of both worlds, but the answer your question. Yeah. The stock traded pretty well today. I think I thought it had every opportunity trade on a two eighty and stay there. It didn't do it. So again, you find yourself in the. Bottom quarter of a range that it's been in now for the last couple of years and maybe for the first time in a while. It's taken fire on the low side makes sense. Well, I mean part of the reason why you're an investor in Tesla's Elon Musk is going rogue. He's going rogue on electric vehicles. He's going rogue on the carbon decarbonisation of the electric grid. You're in it because this guy is a change maker. And that's why you're in the stock that being said, I think if you take them out of the CEO role, you make them chairman executive chairman, he still going to tweet this is going to happen. He's proven permanent. He doesn't care about those rules. So investors in this number one need to know that this is going to happen. And number two need to understand that you're betting on somebody who doesn't wanna follow the rules, and it's going to break the rules. That is to me why tesla is valuable and why the stock didn't go down today because if you lose demo- musk, I think you you don't have much of an investment hold on a second. I mean, first of all since when does this stop price reflected reality? Okay. So if you guys actually think that the stock price should be trading on fundamentals, then the stock should be very different level. And you know. Where I think it's going to be remember the reaction to the funding secure the reaction to the initial SEC investigation mean that was a pronoun snuff. Right. And so I agree with you in some respects. But in in terms of the reaction to Elon Musk going rogue on Twitter. The stock has certainly reacted in the past has and and I'm not going to try to tell you give you a psychoanalysis of stock price movements. But I'm telling you stock price does not reflect liquidity. And that's exactly the most important thing doesn't reflect liquidity in the underlying stock. But more importantly, it doesn't reflect solvency in the company does not reflect fundamentals in terms of production is going it doesn't affect the valuation. And it never has. And think about what's happened over the last couple months you've seen two of the biggest investors actually three of the biggest investors cut their positions in half the Saudi sovereign wealth fund. Basically hedge out their position you've got a short interest. That's that's massive that obviously on some level is going to keep the stock afloat. I am of the view that if the stock has major problems they will happen with the stock price at a very inflated number not any much lower number. I don't think the stock price means anything. Well, I think that clearly they've come to the public markets. They used. The public markets. Right. They have debt they have equity, and so they like all the benefits of public markets. But clearly on musk doesn't wanna live by the rules, the public markets. Therefore, this should not be a public company. I really believe that he is a change maker. He is he is a genius in many ways. He's clearly not a guy who likes to play by the rules. We don't know that the board hasn't tried to rein him in. We don't know that. Right. I think they might you know, why haven't they resigned? Then. I mean in other words, if I'm a board member this guy's really dangerous for me, the board should be embarrassed. The SEC should be barest. In other words. This guy is running roughshod on everybody. I the I look I think that, you know, the, it's probably a pretty cool thing actually to be on the tesla Laborde seriously. I think it is. This is difficult for sure I'm surprised we haven't seen some resigned because it can't be that cool in that. The board would be as high as any company in the world that may be I don't think it should be public. I really don't. I think his first amendment argument is ridiculous. When you have a public company public securities that you can tweet whatever you want because it's a first amendment thing. That's absurd, but maybe this valuation there there isn't if there isn't a private market deal to be done. But I think they should do it. They can if they can. Say that, you know, obviously, whatever goes on with you on this point. I I don't know if it's going it's just another reason for the bears to not like the stock. But if you're a bull on tesla is this reason for concern in your view guy. Is this a reason why the stock should maybe maybe trade in a range? Be discounted be rated because there should be some sort of discount embedded in the stock because of the wild card that Elon Musk may present a fewer you absolutely should be concerned. If you're Boba, maybe then make my point clear at the top of the show, like the price action say was encouraging again, given the news that we've seen given the news we've seen over the last couple of months, the market had every opportunity to take this stock to the woodshed it tried earlier, and it was unsuccessful. So the fact that it did close unchanged. I understand. It's just a day. That's encouraging and the both thesis. You're right. But that's been the case. Now since you bought the stock any feared, right? Okay. I think it's not is it going to tweet crazy stuff because he is getting to treat crazy shop. We know that we've seen it multiple times the. Question is is his CEO this ever going to really be at stake? It doesn't seem like it from this. But that's that. Because we have sketched worth he leaves. I think the stock falls a lot. How far is he gonna push it? Right. How far is he willing to go? And how far is the SEC willing to push back and say, you know, what if there is a ruling that says Elon Musk has to leave as CEO, I think that would be negative for the stock. So I you know, I would buy the stock because I think Ilan musk is going to be there. But as the top if he's not there to Tim's point, the valuations are great, the prospects aren't great. They've got a raise by so many problems with this. You're in it for Ilan mosque while the stop is flat. I notice another stock on the move, and that would be shares of Twitter closing the day down three percent. Now. What did Jack Dorsey tell our friend over at Recode CARA. Swisher twitter. He go- he said basically that Elon Musk is one of the most exciting Twitter users out there. So. If Alon Musk's gets a muzzle. If people start feeling that they need to be muzzled in some way with Twitter. If Twitter could be a weapon of self-destruction what happens to Twitter because I I don't know. What was behind this move today? It was it was a clear judgment. But I mean, you know, again, this sounds to me like now, we're giving Nealon musk a lot more credit Nanning, you know. He's the reason why Twitter's valuations what is that's almost this absurd to me. Switch value. I mean as Tesla's valuation. So I hear you. And I do think his tweets are the the the the subject of enormous speculation laughter horror. You tell me. But when I think about it Twitter responding because I think Twitter, we'd have a much bigger issue. If the president stop tweeting rather than Nealon mosque. And by the way, I don't think in either case the reason why Twitter is such a great platform is because this is happening in real time. And while there's a lot of fake news. There's a lot of really smart people who are doing a lot more work on tesla than I think a lot of the people out there who owned the stock. In fact, I bet most of the retail investors on the stock haven't even read the ten k and yet the people out there on Twitter follow the stock really closely. And I think that's pretty interesting. I think that's fair. I think Tim makes listen the people that have done probably the most worker probably the people that are playing it for from the short side that have been frustrated now for the last couple of years because it's not at the price that they think it should be trading. It that's probably typically true with a lot of stocks. With that said, I think that the sell off in Twitter today, if that's in fact, whereas on the back of is overdone and when they went in a couple of weeks. So when they said, we're changing the metrics. I think they took their medicine Twitter. I think going forward that's gonna help them a great deal. So if you're asking to sum up this conversation, I think tesla trated well, and I would buy Twitter on this weakness. Kind of Wall Street's biggest bears sounding a lot like a all Wells Fargo's. Chris Harvey will be here to explain why he is changing his tune and saying this market rally is going to roll on. Plus, it's a big a big cat. Call UBS with a double downgrade on the stocked with celery. Are we really witnessing key cat? The traders away in later. It's raining buybacks homedepot just the latest company to announce a major by backward could about five back bubble be brewing. We've got all the details. Rely from Times Square New York City much more fast money right after this. Hey, I'm John Harwood host of CNBC's Speakeasy podcast listening to my in depth conversations with political decision-makers, folks, like John Delaney, the first declared democratic presidential candidate for election twenty twenty along with Senator Sherrod Brown. Senator Elizabeth Warren and Stephanie shrieks of Emily's list. Those interviews and more on the Speakeasy podcast. Subscribe today. Welcome back to pass. Honey, we've got a news alert on General Electric lift at the wargin. Brennan at the new York Stock Exchange for all the details Morgan. Hey, Melissa will General Electric digits drop. It's a ten k filing with the SEC also Larry CEO and chairman of GE his first annual letter to GE shareholders were still combing through all of the materials here. But some of the tidbits that do stand out right now, especially in that letter saying that the company intends to maintain a disciplined financial policy targeting a sustainable credit rating in the single a range GE industrial leverage of less than two and a half times net debt EBA a GE capital debt to equity ratio of less than four to one and ultimately a dividend level in line with our peers, you'll recall the company has slashed the dividend two times. It's now down to a quarterly dividend of of a penny. So just to hear those comments. No details on one that could potentially happen. But just to hear comments like. That marks a shift from what we've seen for this company in the last couple of years as it tries to turn around. Also, call talking about the fact that they're looking to change and revise and streamline their reporting process going through the ten k I haven't seen any more updates or details in terms of some of those investigations with regulators either. But for now looking at the materials the fact that they are ultimately targeting a dividend in line with peers is the thing that really stands out also worth noting next week. We're going to be getting a so-called teach-in on the insurance business within GE capital and the following week on the fourteenth of March is when we expect an updated outlook for this company for twenty nineteen and beyond. We're not getting any of those types of numbers in this release right now either Melissa all right Morgan. Thank you Morgan Brennan, another headline coming out here is that they completed twenty eighteen review of the legacy insurance business, which dovetails with what Morgan said in terms of the dividend. They just cut that in October. There's only been one payout of that dividend at a penny. That is one of the fast. I mean for for them to cut it. And then turn around basically later and say, hey, we're gonna think think about great timeframe about restoring it in line with peers get that really. They got a lot of this stuff to do. Also, I questioned in line with peers, what are there who are your what are they going to be in? I don't we. I mean, we kind of have the big idea of it. But maybe that's not what ends up happening. It seems like it's sort of free for the CEO to just leave the dividend. Etta penny work on the other stuff work on the balance sheet. You could always revisit that later. That's all right. I don't I don't really get it. We'll restoring confidence at GE takes many different forms in one of the forms is certainly the balance sheet and some sense of solvency and certainty, and that's what she always had for people. So if you think about that that's why he talks about a dividend someday. In the meantime, the also just filed a shelf offering registration for potential mix shelf, which we don't know what it is. We don't want the size, by the way. Good news. Not bad news. Good news because I think the market wants these guys to have some flexibility to have some. Dancing in the tech. If they need it at the same time, he's talking about very sane things. He's talking about four clear business line. So there was nothing extraordinary here either way, but it plays on the same themes of predictability of company that leases getting back to a conservative approach to running their core businesses. And that sounds outside of panga. Did I agree right now? You don't need to do that. I I don't think there's anything wrong with telling people we want to be that company again. And I'm taking us there now. But does that give you predictability I mean to me all of a sudden says the taking the eye of the ball? They're saying someday we wanna do this dividend. It doesn't give me any more predictability. In fact, it gives me a little bit of Ajit of frankly, like wait a second. They just sold a unit. Maybe this all of a sudden now they're going to go back to their old ways. I agree with Caroline. Why do this now just wait until you can actually pay it? And then do it interesting. I think Tim Briggs because that's what I saw four fifty eight G files mixed security shelf indeterminate amount. So the stock closed at ten sixty five if they had done the same thing same announcement two and a half months ago ish, I think the market would have treated this much differently. So Tim's point I think maybe they feel they're on much firmer ground at that. They're able to do something like that play in from strength instead of weakness. So I look at that as a good sign getting back to the conversation. We had yesterday though, you know, what is now it's a power company, and they have still major issues to address. Those businesses clearly they're trying to but selling that healthcare unit for twenty one billion dollars, which was great, by the way, probably a lot more than they thought. That's fantastic. But what are you left with? And that's what they have to come to grips with. So are you more certain about buying? Gee, if you were to buy your your loneliness, I have twenty right? You feel better about the stock today at ten sixty six versus six sixty six it's low versus six sixty six. Yes. I do. I think some good things happen and and the markets. Remember g debt is really a concern in the debt markets were seizing up. So if they needed to access them that would have been real trouble for GE. It's much better now. Yeah. I can't talk about the concept of fallen angels. By the way, it's something we were all talking about in December. And GE was one of those names we weren't talking about right? He was kind of like, so I think it's a much better time in terms of the credit profile, the company with enormous issues that everyone here is talking about still ahead of them. But I think a hard focus on returning to austerity in a way that's not going to choke it off. I know they can't have it both ways. But I like what I hear still ahead. Ahead cat getting scratched today. Rare dumping from UBS the pandas cat bounce back. The trainers will weigh in. I'm Melissa Leo. You're watching fast money on CNBC. In the meantime, here's what else has come up on fast. This is a good time to be patient. And those are the words Wall Street loves to hear from Federal Reserve charge Arom Paul, but there's something else he said that caught the attention of our traders. Plus, it's a Munster Masha monster barbeques, Home Depot, just the latest in a line of companies doubling down on its own stop. But we'll tell you why. There could be a buyback bubble brewing. Much more fast money. Still ahead. Welcome back to fast, money patient, Powell strikes. Again, the Federal Reserve chair reiterates his plan to pause this year. Our senior economics reporter Steve lease ministannyu. Buying the newsroom with all the details. Steve Fred chairman's your own pal day, one of his congressional testimony offering a generally dovish album policy, close the door entirely on another rate hike this year. But emphasize, the fed is in a wait and see mode. Committee has decided that with with our policy rate in the range of neutral with muted inflation pressures, and with some of the downside risks that we've talked about this is a good time to be patient and watch and wait and see how the situation evolves. So if it sounds like you said that before it's because he has Powell stuck very closely the words from his January fed meeting and the press conference when the fed pivoted from a policy of gradually increases to a policy a patience Powell offered an optimistic view on the US economy, but the headwinds he was talking about we'll foreign and domestic saying they've clouded the allegation just if he didn't see any threat from the economy running out of workers the economy is drawing in workers from the sidelines. Lessening any inflation threat from an overheated job market date. Do a palace testimony is tomorrow in front of the house that could be more contentious with several new committee members, especially on the house side who have their own agenda that may not be the same as the. Fed's Melissa, you know, Steve, you you emphasize patient when it comes to describing Powell in what came to my mind initially was political. I read this article on CNBC dot com about how many times Powell went to Capitol Hill and visited lawmakers a total of ninety eight times which was four times as many as Yellen did in her first year in office. And I just sort of wonder if he's got the message in terms of the pivot in terms of the pause and terms of being patient from listening to these politicians. Well, how many peace can you get into? Who was a pretty impressive. Well, first of all that's great work that Alon MUI out of our DC bureau. Right. They're looking at the agenda and the calendar of of chairman Powell, look, this is something that actually Powell thought he need to take care of when he first took office. He thought both Yellen and Brunetti had not done as good a job of taking care of congress as as they should have. And I think he saw the writing on the wall with this particular president because I think he expected the president might one of these days, criticized Powell, and what the fed knows what the fed thanks is that they're beholden to congress. The congress is the one that writes, the checks creates the Federal Reserve act, and that's what they have to take care of it taking care of the president doesn't matter as much as if he has trouble than congress. So that was from day one, and we'll see Melissa by the way tomorrow when he when he sits in front of the house how much some of that politicking may or may not have helped him. Steve. Thank you police and Becca headquarters. All right. So this is exactly what the markets wanted. Right. Right. Yes. Pause. Well, let's be clear arguably the most important thing that's happened to markets in the last six months, and that is obviously a head of the trade war. So yes, I think the fact that the fed also is allowing it facing to be defined differently which allows them when they have to respond. Let's be clear I think they still tilt to a hawkish snus. I mean, we could still get a height this year. Let's see where we go. I'm not saying it's going to happen right away. But this allows the reaction affect for them to be perfect because they can say inflation's. Yeah. We wanted higher. I think they've left the building. I think they are gone until somewhere else around the world. I mean, right. They can't just keep hiking now in edges have the dollar get stronger, and I think until somebody else's out there to help. I don't think they're going to do anything. And I think they're getting in the market sort of like it. And you know, the president likes did not they care about that. But I think they are gone unless something extremely dramatic. Happens. Unfortunately, that's probably true. But you know, if you think about it as citizens of this country, we should want a stronger US dollar, and when I say the fed was doing the right thing in October yet. Maybe it wasn't the right thing for the markets. But it was certainly in my opinion, the right thing for the economy going forward at some point you have to take your medicine, and I think this was a fed chair that realize that and was trying to go down that road until the market called him on it so effectively in my world. Now, the fed can never move because the markets always going to call the fed on it. And the Fed's going to have to back down that to me is a real problem. But is that good for the market is that good for the market? Yeah. I mean, whether you agree with it or not it's good for the market. Look at what's going on real estate. I y are one of the better performing ETF's out there why? Because the Fed's going to be lower for longer now. Again, it could all go sideways in the end. But for the Federal Reserve right now, it's good for the market. Our next guest says with the fed on pause the market rally will roll on. So why is Wall Street's biggest bear sounding so bullish? Let's welcome back. Chris Harvey Wells Fargo securities head of equity strategy now when we say biggest bear urine target is twenty six sixty five. That is correct. So so why you keep saying the market's going to go higher? So we set that price target in December. We set that price started quiz. We thought the fed made a mistake. The fed came out and admitted they made a mistake. And so as we go forward, we pushed up our risk premium, very very high to our high end of our historic reach, the fed has said, okay, we're we're on hold and similar Karen is they may be they may hall. Right. This. We might might not see another hike again or anytime soon that said we have to bring that down. In addition to that what's happened. We were going into. I would say sentiment recession that all change the beginning of the year when the fed did a one eighty why they did one eighty it's not clear me, but they did a one eighty and that's the most important thing. Then what happened is credit spreads started to come in the fear of the yield curve and birdie ended and now if you listen to corporation CEO's, they're all saying that things are good. Lastly, Donald Trump is slow walking trade and tariff into the back half of the year because that in theory is going to help him get reelected that in theory is going to help global economies. And so what you're sitting looking at what you're seeing is much more prudent and underlying fundamentals that are relatively strong would lower interest rates. Okay. You came out with the note today also going overweight semiconductors, which is maybe one of the most cyclical parts of the US stock market. So all in all you sound a lot more. Bullish than what twenty six sixty five would seem to indicate. It's just it's just a matter of time before you ratchet that higher ultimately thing that we end the year higher here. So our our price is very formulaic. So we're going to put an interest rates we're going to put in credit spreads. We're going to put under the risk premium. And if you think that interesting, well, we know that interest rates have come down. We know that Credit Suisse have come down. We know the risperidone can't cannot go any higher, and we're one sixty six on the SNP earnings were at the low end of the range. We're not gonna lower that. So we put that all together, we're reviewing it likely. We'll go higher. But really our biggest call has been the biggest change for us has been moving from quality into value. And that's part of why we're we're upgrading semi's. At this point in time. We find a lot of value in the semi space. We've been overweight software. That's worked out very, well, we're bringing that back down. And we think what you want to do is by the things as we said less than we're on the show, you want to buy the things that have a lot of value where expectations have come down where people aren't there? Just yet. So Chris, let's talk about semi's because you're not alone. Very good company in terms of your whole view in. How stuff has changed but semi's have just rallied twenty five percent. And there's nobody out there that saying earnings are about to grow. And there's nobody out there that saying we're we're going to see an excel ration- the global economy twenty nine nineteen. Okay. So what we've seen? So we've been underway semi's for last year and a half almost two years. And if you look at somebody's over the last year, they have underperformed software and underperformed significantly. If you look at expectations expectations have come down. And if you look at positioning most long, only are ovoid, the consensus, overweight is software. It's not semi's. Yes, they've bounced but a lot of other things have bounce to. And Furthermore, we've been we've been positive on cyclicals coming into this year. We've liked the capital goods space. That's ratchet back up. We're just getting a little bit more cyclical exposure. And what we're trying to do is play that value trait. So Chris, I'm curious. The fed spots has spoken a lot of a price level Tarek. Maybe getting inflation above two percent. How does that factor into your analysis of the market? So a lot of our clients they're afraid that the Fed's going to hike again. And what we tell them if they're going to hike again, what's the environment look like expectations or if you look at inflation expectations. They have to be higher. If you look at the economy that has to be higher, and to a certain degree, you might have to have trade and tariff resolved, maybe not resolved but much further along, and so when they raise it's likely the SNP will be at a higher level, Chris. Thank you. Good to see Harvey Wells Fargo dig him. Chris. I don't dig the fact that he thinks the fed was making a mistake. I think the mistake makings now. Again, that's another conversation. Short estimates. Chimps made the point the SMH has gone from eighty ish to one hundred and four and a half which word close today. I mean, that's a pretty big move in a short period of time it topped out this time last year around one fourteen. So I wonder how much room is left to the upside think there's a chance you get there. But I think you know, a lot of these stocks have had tremendous moves in a short period of time. So I would wonder worry about that coming up the by that boom showing no signs of slowing homedepot announcers up fifteen billion dollar share repurchase. But are these monster buybacks, creating massive bubble? We will explain plus UBS out with a major cat- call today and that stocks thinking, but one of the traitor says fear, not because cat could have another life. Find out why wouldn't fast money, Richard. Welcome back to bass money the by backroom continuing. Home Depot announces a fifteen billion dollar share repurchase Botha's on these at the NYSE with more on that. Hey, bub, low motza fishermen, Jay pal sidestepped. A verbal hand grenade in his congressional testimony today when asked where he stood on the recent trial balloons to restrict the ability of corporations to buy back stock pal reflected for a moment. And then said, the allocation of capital has always been left to the private sector, and quote, I would want to understand the consequences of changing that it was a perfect answer to a politically divisive question after buying back. More than nine hundred billion dollars in two thousand eighteen a record year. Corporations have shown no signs of slowing down with the buybacks twenty nine thousand nine already we've seen one hundred ninety billion dollars in announced buybacks today. Homedepot announce a massive fifteen billion dollar stock buy back, which we do the show. Shares outstanding by about seven percent if fully implemented after the bell gap announce a new one billion dollar buy back program as well. They follow on Cisco AIG footlocker CSX and many other corporations that have announced by backs in two thousand nineteen the Home Depot buy back is a very large one. But it's part of a pattern that goes back many years really eighty companies in the s&p five hundred have reduce their share count by at least twenty five percent since two thousand ten this is a class of corporations, I call buyback monsters, including well, no names, like Lowe's, and gap and IBM an apple it's a bubble. That's about to burst. Will it's unlikely as long as two conditions are prevalent. I that corporations continue to generate excess cash flow that is used to buy back stock and second that interest rates remain low, which would enable an alternative way to buy back stock. And that's by borrowing this is the Hornets nest that Powell stepped into so the fed entity. The congress should understand the consequence of changing that as Powell said before stepping in and dictating the corporate America, how it should be spending its profits. This is going to be a big issue in the next two years. Melissa victim. Bob. Thank you bought this on the new York Stock Exchange. I'm glad the fed chairman actually said we have to understand the consequences of doing this before we actually do this. I think that's very important in terms of the dangers in this environment. Why would we be worried? Low. I think also well by that if you lever up to buy back, that's one thing. Right. We have anything service your debt, though. Right. But we have companies that have very modest amounts of debt where where the back is really not not in any way, you know, hurting the balance sheet. I I don't know to me. That's a discipline thing to do. It doesn't seem to be a crazy thing to do. Right. You've seen you've seen empire builders who are like no way, I'm going to give that money back to shareholders. I'm going to go buy some stuff. Even if it doesn't make any sense, right? I think it's a disciplined thing. I like when I have companies have five backstop. I don't think it was definitely not the case with Home Depot. But the criticism is that there's companies that are out there buying back stock McCain even fund their own pension, and that's an issue, and I'm not I don't wanna get into the politics of this because I think it debt that's not funny. But it yet I was gonna say ultimately, this is a liability for the company, and you have to look at their balance sheet, and you have to understand the funded, you know, pension or not. But ultimately who bears the brunt? I mean, the taxpayers bear the brunt of all this and and the. Argument is that the buybacks are enhanced because guys took tax cuts, and especially during a trade war got really scared and decided to just throw it onto their balance sheet or you take a look at an IBM. Right by backer of stock. I need I think. They could have done something with their money. I mean, listen most most companies to do it. Well, I mean, you either its really simple India believed that the private sector can allocate capital the best or you believe that the public sector cat at this point in time. We live in a semi capitalist economy where it means that private sector allocates best. We've grew a massive economy off of that. And to change that. I think is outrageous that doesn't mean that that pensions shouldn't be funded. Doesn't mean that we don't have problems with it. But in terms of having the government tell you how to allocate capital, it's a recipe for disaster. Anybody would be advocating that, but when you take a look at an IBM, and you see them buying back stock and they've done this for all this time and their stock has gone south. Anyway, that's you buybacks don't solve all no problem. I know we're out of time. But this one of the many unintended consequences my opinion of fed being overly accomodative. Now for a decade is the fact that it's made many corporations that governance lazy? We're all they have to do bar money cheap by. Back their stock game over and not focus on their its stock specific. But it's a problem back stock, please. From by vacs. Two beds, and baths and beyond. This sock has rallied. A whopping forty six percent this year, but one traders betting more than one million dollars at the linen sellers about to get put through the wash Mico is with us from San Francisco with the options action. Hey, mike. There. Yes. So we did see a big unusual trade in bed bath and beyond. Today. We saw someone by nineteen thousand of the may fourteen puts they spent sixty seven cents per contract times one hundred that sixty seven dollars per contract times nineteen thousand that represents just under two million shares, and they're making potentially bearish bet here that the stock could fall as much as twenty percent by may expiration, and I think they're probably targeting earnings, which are gonna nounce on April tenth. It has moved an average of over thirteen percent over the last eight quarters when they report. All right, Mike, thanks for that might go from where actions action check out the full show. That's Friday, five thirty PM eastern time and for more on big box and Home Depot, you can tune into mad money tonight. Jim is breaking down. Why the worst may be behind the big box retailer catch that at the top of the hour still ahead on fast checkout. GW pharma soaring after that company saw triple digit revenue growth last quarter, better than expected sales of EPA dialects will bring you the very latest on that stock went back money returns. Welcome back to pass money cat gets scratched. Here's a Caterpillar falling today after a double downgrade from by to a cell over at UBS day. The firm cutting the stock's price target down to one hundred twenty five dollars a share saying it expects more than half of cats end markets to peak this year. So are we witnessing peak cat, Tim? Well, I would make an argument that cat was declawed and twenty eighteen when we knew that those markets were peaking in twenty nine hundred. So to come out and tell me right now that by the way, those markets are gonna peak in twenty nineteen no real surprise for a company whose trading at around eleven times multiple when two years ago, it was trading. Fifteen sixteen times, I think you've gotten a lot of this. You know cat scratch fever by may out out of the way. So no, I don't I'm not going to jump in and bias, doc, that's essentially trading in the bottom third of the valuation for the last fifty two weeks. I actually think a lot of bad news is priced in gay. You have you know, you would think that UBS the down grader is privy to the same information that we all are and what we may be more even more information. What are we talking about almost every seemingly this that China deal? And we say that if there's a China child host, Charlotte, they note UBS knows that. So the fact that they come out with this double downgrade they go from by the cell. They skip the whole whole thing. Good for them, by the way, they had to take that into consideration. So you have to ask yourself. This is do they think deal is not happening. And if there is a deal they saying it's all priced in already and to Tim's point. Maybe the growth is as robust as we hope it is. It's a fascinating that make you think if it's priced into cats stock the western child of the trade war, then how about the rest of the market. I mean, they priced it exactly that they're talking about effectively the rest of the world slowing down. Right. So we actually. Around the world every UVA. You actually buy into that thesis. Then you really shouldn't be locked stocks at all, right? I mean, unless you think the feds gonna come to your rescue, which they probably will at some point, but they're not going to here. So this is a bigger call than just cat in my view. They're making a call on the global economy here. And if you think it slowing down that is not great for stocks. Karen, totally agree right idea is very much a macro, call would seem to be there's other banks for your buck. There's a good one Boeing you. Gotta think there's downside there. If I think there will be a deal. So I'm long like trying to herd cats. GW Mara story after earnings report that sock is now more than seventy percent this year. We'll tell you what Scott investor so excited, we're live at the NASDAQ in Times Square, much more money still ahead. Welcome back to fast money. We've got an earnings alert on GW farmer that sock jumping after hours hit the Seema Mody for all the details. Hasty my, hey, Melissa. That's right. GW farmer. Shares soaring despite reporting a quarterly loss. It's EPA dialects product aimed at patients with epilepsy. Which is the first FDA approved drug that contains a purified drug substance derived from marijuana it launched in the US in November it seeing high level of physician and patient demand. And in addition to the US launch is looking forward to a positive regulatory decision in Europe in the next few months. So international is expansion is part of the story here. GW shares up about thirty percent in the past year and up nine percent in extended trade Melissa back to you. All right Seema. Thank you Seema Mody Becca headquarters guy, you actually as you like to call it power. Oh when you go over to the smart board, and you talk about Japan pitches. This shows called fashion. Yeah. So it'd be how. Yeah, we did. I know it's actually trying to win the G Swizzle power-pitch that sucker. And I think it was probably around this time last year or so and look this the the the stock has gone from one hundred to one seventy back to one hundred and here, we are one sixty five or so it's been a tremendous move in a short period of time. But and Tim those forgotten more about this. And I'll know, but the tailwinds in this space are real this is a real company. Yes, valuation clearly ridiculous concern. However, when you have the kind of tell when say have and now all of a sudden, you have the the science behind it that proves it. And we had a conversation similar last night. And Dan Nathan who would poop UIs all the time. He pooh-poohed me on that. I'm sure he's watching right now, you can't argue with the science and in the end science wins, which is why still thinking goes from here. Yeah. And so it's up seventy percent year today, which tells you what that tell wind is for the entire sector. But you know, the good news. Here's our street point four million. Sheltering from epilepsy globally, excuse me in this country. And this is something where you're starting to see the the insurance market be able to actually cover this drug, and you're actually seeing that. So ten percent is Medicare forty five is Medicaid. And then the other forty five percent is all commercial Express Scripts for example, is allowing people to get paid through this formularies. And that's great news for the company. Clearly, there's some FDA catalysts in the year ahead. And I think this company right now on the science side remained so far ahead of everybody because of their ability to work with the FDA terms that when you said what's the number on epilepsy? That's a total point four million shit. Yeah. For particular, rare form of epilepsy up physically and children's. So the market is much smaller. Do you feel like because there's sort of a there's there's not many stocks. You can express view that cannabis is going to be a major player in pharma that this may be the only way and therefore the higher bid to it. No doubt about it. And this is also when people wanna play medical they? Play this. And and you're right. I mean, a third of the patients with epilepsy or the ones that really would be benefiting from from this. But the point is that people are looking for the science, and these guys continue to show that science and research applied diligently with the FDA gets approvals, and that's going to happen with many companies to come reported these things in our ears for the this is well, it's the I know what it stands for. I can't say it on live TV. But it allows us to hear what the people back in Englewood cliffs are saying and the crack staff just informed Kristen and Amanda that we power pitches sucker back in August two thousand seventeen that's quite a long time ago. I the stock is seventeen looking. Looking. Significantly lower than it is now up some fifty ish percent. But great job by the staff in Englewood cliffs, just getting it done like that. With the fast pitch power-pitch in great job explaining an have. Not so great final trade. The final trade. Tim run Karen says if you go home long stock it's the same thing as buying it. So GW farmer. Those are great numbers. I stay law speakers. Well, I think the feds gonna make a steep he'll curl good for the banks by KRA. Caroline. Yes. Okay. Home Depot today. I guess the bar was pretty high. I actually thought those earnings were good a little disappointment from the street. But I think the company still great the outlooks great. I like evaluation year and afraid to low. I think it's good Home Depot guy down spirited spirited show. The. Well, anchored by you this one win resorts, yet, some probably bad news stocks trading. Well, I think that is in my world again, a tell Mel right back here tomorrow and five for more money. Meantime, don't go anywhere mad money, which Kramer starts right now.

Federal Reserve Twitter Elon Musk SEC Tesla Melissa CEO chairman Powell Home Depot Tim UBS US Karen General Electric Elon Musk Caterpillar
Fast Money 01/28/19

CNBC's Fast Money

45:46 min | 2 years ago

Fast Money 01/28/19

"Do you love? Bravo. So do I I'm Megan cigarroa, host of the daily dish Bravo's official podcast in each episode. I'm breaking down the biggest moments of the show. Plus, I interview the Bravo leads at the center of the drama. Subscribe and listen free on your favorite podcast app. Starts right now. Live from the NASDAQ market fight over looking New York City's Times Square. I'm Melissa Leo traders on the desk partic-, Karen, vitamin Steve Grasso and guide Dom tonight on fast a major moment for the market with earnings the fed trade all weighing on Wall Street this week. Meanwhile, stocks are stuck in the danger zone. Wall Street's biggest bear will plane. Why key thinks there's more trouble ahead. Plus it's been a rocky start to the busiest week for earnings, but the chart Massar says there is one unexpected sock. Second see a major rally and we start right there with earnings Armageddon. Caterpillar out with a major miss as global down his latest victims down ten percent and the other imploded in video out with a major warning ahead of its report the stock getting crushed down fifteen percent. The two earnings disasters wasting more than twenty billion dollars. Mark cap off the table wing on the broader markets and roll into the thick of earning season, always seem more pain. And who might be the next victims to watch by. Yes, you see more pain and. Absolutely gonna see more pain. But the one that I'm watching is McDonald's and McDonald's reports before the bell on Wednesday. Now as you saying a lot of people say apple triple M'S, obviously in that. But I'm gonna look at McDonald's why? Because last quote, it was a great quarter US cops were in line where they really beat. We're international commerce. I think about four point two percent students looking for about two point six percent question is this quarter continue that growth overseas? You've obviously seeing slowdown in Europe. See what's going on in China? So for me, I think McDonald's is a huge tell this coming Wednesday before the bell. And you think McDonald's will be tell on like a Caterpillar or invade? 'cause I feel Donald falls in the category of a Starbucks and a Nike right which had seen good reports in the face of Chinese economy. Yeah. And I would put Starbucks McDonald's in a place where you know, defense is how people have played this market for the last three to six months and Actually Defense comes at a price and guy certainly could be right. If these guys guide headwinds labor costs, which are right there for them and terms of global expansion, which CHAI. China is also a big part of their story. It's not as much as China. I think Donald also if you look at the charts, you know, you can make an argument is double top at one ninety. I think the issues with companies like these are the they have been the ones investors felt the most competent about for the last six to nine months. I think if we look at what happened today something like caterpillars is just another indictment on global cyclicality. I actually think that these numbers from Caterpillar were not that bad and when they guide somewhere on twelve and a quarter for next year. This is a stock trading at about eleven times earnings maybe inside of that. And if you put a fourteen multiple on this, which many people in the street had no problem doing in the past in less growth environment. You got a hundred and seventy dollars stock. I think it'd be very careful right now with some these stocks that are getting thrown out the window. It was the biggest quarterly miss. I agree with you. I don't think the number is bad when you when you read through it. And you see that headline of it was the biggest quarterly missed since eight. It gets everyone panicky. But when you read through the numbers, I don't think they were terrible on cap. It makes it impossible to wanna buy that space that sector. It's now. The tenth company or so that's word. I mean, the question is evaluation reflect what is going to be roughly flat growth for China for the rest of the year. Yeah. I think it wasn't that bad for a company that doesn't have a super high multiple to miss by what was fifty cents or so and yet it was down that much. I thought that was a bit of an overreaction on the flipside Invidia. I thought that was really bad that was disconcerting to me. I mean, you know, another growth engine. There's we also had an oversupply issue originally when we look backwards, and they were trying to burn off whatever oversupply they had with bitcoin bubble that you saw a play through. But the gaming the data centers. Never the else's is a little data centers extremist earning. And it's still even down this much was today. I wouldn't be surprised if there's more downside to come. There's not cheat. I mean, I think one of the big issues here within video is the CEO gave guidance on this quarter, which renounced just in the middle of November the lack of visibility that happened somehow unfolded in the past month. Absolutely. So it'll be interesting to hear on the conference call when they do actually report the results in February what the degree of of deterioration. They saw was in the quarter. What happened? I mean to mention within sixty days, the story changed at apple in his significant way and within thirty five or forty days, the same thing, and in video, I think they have quite frankly, I would think they would have more clarity. But I guess I'm mistaken, and they seem to paint a much different picture back in than they are. Now to Karen's point though, stock is still not cheap. And now you have to sort of question going forward. You know, they've been given the benefit of the doubt. Now for the last two years. Do you still give them the benefit of dot going? How much did they know about? And the were expecting it either. I'm not saying that they were doing anything in various way. But what happens if they did know about, and we're just waiting for it to turn and sort of sat on it. And it's not turning it's actually turning down. And we're looking at the worst growth numbers at a China for just under thirty years. So this is real the problem with video. I don't think people know how to value this company. This is a company that at times was in the most go spots, whatever you wanna call Momo. Whether it was bitcoin, whether it was gaming places where they thought there was unveiled growth at whatever price you wanted to pay and now at twenty times twenty two times trailing it's half of where it was. But I still think at these levels if you know artifacts and gaming still problem for them. I, you know, I don't think we know. I think we ask the question of the beginning because we want to know if there is an extrapolation to be made with Invidia, and or cat on their sectors for Invidia is extrapolation to be made to rewrite the semiconductor sector, which is basically up until the open to today of twenty percent from December twenty fourth lows situating that you see the company's doing well into the semi said are doing well companies like Lamm research liling like this Aisling really focused on five G now Invidia focus on other things along with Intel makes you wonder has the baton been passed. I still think those high flyers exiling lamb research. Go. Higher from here. But think the counts point and video still has some downside. I think that December twenty four it shouldn't have been there never should've been there. But I mean, we had a very sharp bounceback. I still think there's doubts. I the stock is not I don't it's part. Gogo right. So there's underlie there's fundamentals and the gogo of it. How much sort of you know, short-term momentum money was in. Is it all gone now? I doubt it that. There's at how much of that was positioning on both sides where people just had to get rid of it by year end. And then they had a buy back because it was the most damage so a lot of these large cap tech names are a lot of these initiate little spaces really directed. The overall market on a bounce back into probably running out. Guess I just think that semi's were the first ones to lead us lower in terms of growth headwinds all the way back in June of last year. They got over done. I think the good news. And I think you know, we have Carter on a little bit. I mean, the charts are very important for some of these extreme momentum names. And I I would make an argument that semi's bottomed and broke that downtrend at least last week. And there's a lot of shorts. We can go. Through and many charts gonna have alerts Nutley. But again, I think that the semi's right now have priced in an enormous amount of data for the industrials Appalachian to be made for Caterpillar. Well, I mean if we look at URI that's industrial tire lead north Moore, non tiredly ninety. Plus pretend you North America focus that was a very that was a different story. I don't think cat North America. Well, actually, I'm not sure I think those are tale of potentially a tale of two cities different end markets in some way to I think when you do look at the industrials they've had an incredible bounceback. And specifically when you look at Boeing Boeing got it on the chin today as a peripheral from cat, but I think there's still more when you look at the bounces that these charts more downside that that is possible depending on what what guidance they're going to give as I'd say this about earnings the SNP overall for this quarter, so far as you've had Arnie's come in about three percent industrials have been the steadies in terms of the. APS if you look at where they were six months ago, and I would just say that industrials priced in where they are. Now a lot earlier, and I think there's still a lot of pain for the economy. We have right now that's an economy where the two and a half percent. And we know that the rest of the world is slowdown substantially Europe is probably flat to one percent. And we don't know where China is. But industrials have that in them. Now that changes very different story. I think Boeing on Wednesday again before the bell along with McDonald's is going to be fascinating. I happen to think Boeing soon be fine. I think it's a much different story. It's a cashflow story valuation is not ridiculous Gary PS growth rate. So I think Boeing's going to be fine. But I think Boeing Boeing specific. So I wouldn't have Boeing beats wouldn't take that as for the rest of the space. What should you buy and sell them? The busiest week of earning season master carnivores earnings heroes and zeros than I do you have a record setting number of charts to share with. Let's go quickly. Then I the SNP everyone knows this chart, but. Sometimes the most obvious things the things to stare at. We know the peak because exactly two nine four zero spot nine one on September twenty first we have a three month decline ended on Christmas Eve at twenty three Fourty six spot five eight now if I move this forward what we also know is that we've had a perfect recovery of exactly fifty percent of the climbing move. You can call it a retracement call fib Naci. But the point is we've climbed back exactly one half of the preceding move there. It is that's the fifty percent level and it's been here for week. And it's been stuck the bull says, can you believe this? We've already climbed back fifty percent the process. Can you believe this we've already con back fifty percents so quickly? It's way too steep. It's impetuous not sustainable either. As a fair interpretation. I'm in the latter camp. I think it struggles here, and ultimately fails, and we do test those lows in terms of few big stocks on his look at will be the two most steady SNP stocks, meaning Apple's big, but it's got credit issues. So does Facebook sodas Amazon these two stocks are. Literally trading in unison, and they have nothing to do with one. Another these in Microsoft, two year chart almost one hundred percent correlation. Here's a five year chart. Exactly. The same thing the issues they're being treated the same. There are always different. They're knitting comes different everything about them. And yet this is the behavior of money these two stocks, I will tell us whether the market's going higher lower. It drops nineteen percent and rallies fourteen Microsoft, take a look at visa, it's virtually identical. It drops twenty rallies fourteen and each stock is up against its declining hundred fifty million average in principle that is not a good position to be in more often that it's the beginning of a top take a look at visa, it's the exact same circumstance and my bed is both of these are headed lower Microsoft number one contributor to the down move in the SNP today. Now, it's not all bad, right? There's always something to do. But I forget the charts look at the fundamentals there forty analysts covering both of these companies and the twelve month price target of the forty annals covering Microsoft. And the four to analyst covering visa their twelve month. Projected return is identical. Are they doing any work or they just saying these are great companies, and this is what they should grow the points. It's the behavior of money, they're in unison, their identity now a stock that I think is okay. Boeing guy was just talking about it. I think you can draw the lines this way if you'd like it's a lot of consolidation, but what's important about this setup is now if I changed to relative as it's been consolidating and doing this what it's been doing here is it's broken out and already made new highs relative to the SNP, that's an important circumstance stocks. Well, I like bowling long earnings, Microsoft visa the other side so on over Carter. Carrying epic Carter work. And I welcome Carter told that it was on dummy, warm heart. That's rapper set. He's don't do it. Yeah. Are you really going to eat that it's quite large? Carter. I do not want this to happen. And yet here here about to happen. The Boeing chart when you when you do the consolidation. The lines. It looked like it could it could go down limited. Doc consolidates for two three years at a high. You can look at it as multiple contraction. The stock is getting cheaper keeps growing and growing. Ultimately breaks out. The bear would say topping out the relative strength about so good. I think this is setting up for something important to them side. So when you came up with Microsoft and visa, did you just randomly search for which to big companies the most tightly correlated or how is it became just going eight z when I got to the ams. I notice a Microsoft, look when I was in the vs that looks a lot like mice off, then I stuck together and said, I'll be darned they are very similar. They're being treated the same. Right. I mean, the the are we in in visa is almost double that of Microsoft, the grows Mearns different. And yet it's safety. They're considered very safe reliable business. Whereas other stocks have issues these stocks, I think very important for the market. So I share your pessimism in the SNP. And I'm looking for it to break down as well. So you spoke about the Fibonacci levels or retracement levels. So this becomes that sell sewn sells on people that are. Looking at home fifty percent six that's your cell phone. So I believe that there will be a re-test, and I believe that it will fail. How deep do you think the re-test if you want your mouth, you think we're going to retest or tesla? Right. If you reach us that'd be a triple bottom. So do we tesla we have allow do we test a law? I think we do test the low and then good technique argues for buying at that low making the bet that it will hold and if as it doesn't have the dexterity to flip it around and pressure short for a break Carter. Thank you. Thanks, guys. Shoe shoe in taking with patients touch them. So Microsoft, you agree with Carter on his assessment of the charts about look for them Microsoft well in visa, no and Microsoft. No. I happen grew them on Boeing offices set up before I think Microsoft is fine. I they were able to turn the ship around three or four years ago. So I think they're still riding that wave. And I think they're going to be finding earnings visa if you bet against visa for last five years, it's been difficult with that said, I mean Carter's work is pretty magnificent. I would say one thing about Caterpillar magnificent, very magnificent magnificent, pretty magnets doesn't make sense to me magnificent. Thank you. But this is what I took away from Caterpillar. You know, we could we argue about the quarter was great quarter. Wasn't great guidance was great. But was that bad that we saw today in terms of its maybe the market is telling us that deal with China isn't as close as many of us wanna believe maybe that's what the cell today was telling cutting at the storm of negative earnings through the market in one of Wall Street's biggest bear says it is about to get even worse. She will explain he's given up on this twenty nineteen rally plus as the orange. Warnings pile up. What do you do if you one of the company sounding the alarm, don't worry guy there? We'll break it down for you. And speaking of earnings trouble checkout world pool getting slammed down about seven percent right now after reporting moments ago, we'll give you Wall Street's first reaction to the numbers were lifetimes, New York City, much more winning right after this. Welcome back to pass one. And we have a news alert out of Washington. Aiming jobbers is at the White House. But the latest ain't the most this one's intriguing the acting attorney general Matthew Whitaker unrelated news conference. Just a few moments ago told reporters that the Muller investigation is close to being completed. Now, we don't know exactly what he means by that. And we don't know what format the end of the molar investigation will take, but it is striking that somebody in the administration, including the acting attorney general would suggest that it's getting close to completion. That's the first time we've been given that kind of high level guidance about where the molar investigation is in its process. Now the end game here is unclear what we know is that Moehler will write a private report for the attorney general and then beyond that, it's not clear exactly what the attorney general will do with. That report. Much depends on what it is that Robert Mueller has found, but the acting attorney general now suggesting that Muller is close to finishing up his investigation. This. On the Monday after the Friday arrest of Roger stone. One of the president's longtime associates arrest and indictment for lies related to his interactions with WikiLeaks the organization, which of course, put out those stolen DNC Email. So some indication that we might be coming to the end here. But not at all clear where we go from here. Melissa clear they'll aim in. It is up to the acting attorney general as to whether or not he would release the report to the public. That's long been the assumption that the acting attorney general the attorney general if there is one in place by that point would make that decision whether to release it to the public whether to send it to congress or any congressional action that might he might feel as required. But we just don't know how that's all going to be handled. And of course, the possibility is that if Muller indicts further officials for any other misconduct related to the twenty sixteen elections. He's been doing a long he can use. What are called? These. Speaking indictments indictments that have. A lot of detail in them a lot of narrative about what happened. We learned a lot in the Roger stone indictments about what happened presumably Muller could put nearly all of his findings indictments of other figures who would be indicted and possibly arrested relating Danny misconduct that he's discovered. But no indication that's coming yet. We'll just have to wait. And see I understand there's some developments as well. Regarding Michael Cohen. Yeah. We're told that Michael Cohen going to testify. Remember, he the presence. Former attorney was scheduled to testify and then backed out of it and cited pressure from the president of the United States saying that that's why he was not going to testify up on Capitol Hill. Now, we're getting word Michael cone is going to testify closed hearing on February eighth at the house intelligence committee. So we were expecting a big visible public testimony from Michael Cohen, one of the key figures and all of this. Now, we're being told it's going to be on February eighth, but it will be closed. And so there will not be the opportunity for the public to learn. A lot about what happened with Michael Cohen and the president of the United States, presumably congress being what it is some of it might leak, but it's the house intelligence committee which likes to keep rap on things. All right. Aiming thank you ain't divers reporting live from the White House for us. What? How do you? How do you regard this in terms of this? So I I would think they go right right off the bat you go with closure. So if you can get any type of closure on some level that's going to be good for the overall markets, and we have sold down in the overall markets based on these negative headlines. These tape bombs that they're call right coming across the tape. You've seen the market sell off. And I think without those the market should be able to move higher specifically to this case. I think that we sold off on tape bombs to say that I think the market doesn't really care. You don't want private data day granular when you see these negative headlines come across the tape regarding Trump, and the mother case the market has reacted to it to me. It's all the markets all about the trade issue. Yeah. And I wonder if we don't know what's going to come out of this. Right. If this really if very high up to the president even in snared in this, right? What does that where does that leave us with trade? Can I mean, I guess they go forward? Right continue to go forward percents that there are some jeopardy involved with whatever's going to happen with either the mullahs report or or this close testimony by Michael Cohen than perhaps a trade deal. Get I mean, this conspiracy theory, of course, we're talking, but maybe a trade deal is more imminence well likely to get done because to get the win because you need what we're saying is that we think the market is more focused. This is a huge week. If you think about we've got a fed statement. We know they're not going to go, but we're gonna have bed statement. We got the press conference. We've got the Chinese apparently coming to the US to start talking on Wednesday. Got a payroll number on Friday. We've got a ton of macaroni that actually will be a real Telnet global economy. I I don't think that this is moving the needle sorry. I just don't obviously will continue if this investigation is coming to a close, which I I don't think any of us have any idea. But what's in the investigation? I think that's to your point. I have I have no idea if we're the guilt lies with anybody. But let's just play it out and say the mirror guy. I'm just kidding. Platfo quickly. So maybe there is something there does that force President Trump to make deal to your point. But if you're the Chinese why would you make a deal knowing that there's something interesting? That's how that's how you have to game this shifting gears. Here we earnings alert on world pool that stock is down sharply after during his let's get the Contessa brewer is following this for all the details contests, Melissa whirlpool, lowered its guidance for full year earnings per share by nearly a dollar to fourteen fifteen bucks per share. It expects to generate between eight hundred million to nine hundred million dollars in free cash flow. This year, a primary focus here is on cost inflation, it's dealing with these raw materials like steel, aluminum, plastics resin in the like much of which has been affected by tariffs. And other cost increases customers in North America have seen prices for laundry laundry. Equipment rise and sales have softened still world says it delivered strong earnings and growth of about five percent in North America. In. In Europe, the Middle East and Africa sales dropped six point three percent. The company has really refocused efforts on technical innovations. It's launching internet connected machines. It's improved ways to communicate with those machines. It is working to expand margin through improved efficiencies. But there's a real concern here that a slowing global economy is going to drive away any appetite for new appliances in the United States, the housing markets, really create the worries those are two reason CF are a downgraded whirlpool from hold too. Strong sell with a price target of one. Oh, five rural pool close today at one twenty four Forty-six it dropped more than six percent after hours as you can see down almost seven percent and extended trading, Melissa. All right Contessa. Thank you Contessa. Brewer back and headquarters that downgrade was very well time that was just last week ahead of the earnings. But I mean do match this up with what we heard from Sherwin Williams Stanley decker even go longer ago, and they say housing here is threaten your in housing sauce. You don't you don't have the global international exposure, you have domestic. So if there's a slowdown. I think that's a ready factored in that's already priced in with a lot of these names. You don't get that emerging market exposure that what you do with with a whirlpool world pool. A lot of the tariff game was the what hit them originally with steel, right? Yeah. It's interesting. I mean, they added the dollar first of all I don't think was a factor in the fourth quarter. And I don't think it's going to be a factor in the first quarter of anything that might be a friend, but again slower sales again that's emerging Europe Middle East Africa didn't really talk and blame it on China big story for these guys as Latin America remember this stock is now down forty five percent is near six year lows and tells you a little bit about the cyclicality of really where the global economy and their core markets have been which is nowhere. I think frankly, I think slapping short on this dock at these levels down here is not all that brave, and I don't I wouldn't be sure at this morning's and what to expect from the biggest names head on over to trading nation that CNBC dot com. I'm Melissa your. Watching CNBC person business will live. Here's what else is coming up on fast. Stocks are trapped in the danger zone during what could be the most important week for the market yet. But one top strategist will explain why he sees a light at the end of the tunnel. I am seriously thinking of running for president. Okay. Not exactly, but as the former Starbucks EEO considers jumping into the ring the traders tell you the they think would make the best president much more fast money right after this. Welcome back to pass on five hundred stuck in the dangers trop. Twenty six hundred twenty six fifty which is the range the market broke below as spiraled towards new lows and despite the runoff, those Lowe's, stocks still might not be in the clear Papa Sahni's at the NYSE with more. Hey, Bob, low Melissa the markets come a long way since bottoming on December twenty four th the S and P five hundred hits covered all those three quarters of the losses. We saw in December. But in the last two weeks, it's had a hard time getting decisively over twenty six fifty and regaining that last one hundred or so points to get us back to those early December highs now those three things that have shown to be consistently moving markets in earnings perceptions. The first is perceptions that the fed at other central banks are becoming more dovish that not only will they not raise rates, but they may also return to stimulus mode, if they have to the second is, of course, hopes for a positive trait outcome and finally slower global growth and today. Video and Caterpillar sent the message to the markets that even with the decline in December earnings estimates the numbers twenty nineteenth earnings estimates are still too high. Now, remember more than forty percent of earnings in the p five hundred occur outside of the United States. Twin both of these companies talk about slower global growth. It's a big issue, particularly for industrials and for technology. But how much slower is global growth that's hard to figure out. First quarter, earnings estimates have already come down dramatically from eight percent at the start of Tober to below two percent today. This is the first quarter of the battleground is now between those who believe earnings will stay low but positive for the full year. And those who believe that earnings recession is likely that is two consecutive quarters of negative earnings growth now one positive development, even as most sectors grouped banks open week, and they quickly rallied the big names JP Morgan Bank America, a lot of the regionals Comerica all ending in the green today. The Bank ATM. The KB has rallied even as other sectors have moved sideways in the last week. It is the biggest sector gainer for the month. KB's fifteen percent. It's now sitting at its highest level since this ember, so Melissa maybe a little rotation going on here into the banks, and maybe a little bit out of industrials back to you. All right. Thanks bye. Bye Sahni at the NYSE. Our next guest has Wall Street's biggest bear he says get used to life in the danger zone. Let's welcome back. Chris Harvey Wells Fargo securities head of equity strategy. Chris great to have you back to be nice to see you. Bob made a number of good points. But I think one of the most salient points that he made in this earnings context is the fact that even if you don't extrapolate Caterpillar in Invidia to the rest of their sectors of the rest of the markets. The earnings report in the guidance really just underscores this notion that perhaps estimates are just too high across the board. I agree with that. I think estimates are too high we expect mid single digit returns for the S and P five hundred more on the lower. We wanna see we want to see companies lower guidance. What we wanna see for the first time while we're really seeing value in a lot of stocks. Karen, I think you're probably like it Kim. This candy store for last couple of weeks 'cause value companies are really looking interesting to us and companies with really bad guidance that that are reacting to the market, we think as we move forward you can start to step over, and that's the real opportunity, but we don't want you to rush into it. It's a walk not run type situation lower the guidance have the market react. And then we think you can get involved in those names. How do you view what a good buying opportunity entry point be in this market? I mean, are you looking at what are you looking at a p looking like peas, we're looking at is a company buying back stock. We're looking at for multiples. We're looking at book value. We're looking mirror of issues. But really what we wanna see we wanna see where sentiments Ariffin we wanna see the company lower guidance. We wanna see the stock down on that guidance. And then we think with all that bad news, you can make money going forward because. For two reasons. One again, you're either going to step over lower guidance as we move forward. And if things get worse you've already beaten, the rush, and so every on a relative basis, you're going to look a lot better than other companies. So looking at some things that really gotten beaten up that have lowered guns stocks got killed like a FedEx or some others in the space is that an area. So we have a model portfolio. What we did last week as we add it to some of the industrials we add it to some of the tobacco names. And that's we're starting to find value at the margin. That's we're rotating we've been up in quality data and risk. But slowly. But surely, we're adding some value, we're adding some some risk of the portfolio. We wanna do it again after the news is out. And we think that's a pretty good risk reward. Chris side effects any potential deal with China on the trade front. That's all great. If you get something positive a lot of beaten up stocks are going to react, what we've seen most of the pain is on the suit, not on the consumer side. But on the cyclical side, if you get any positive news out of China again the economics won't move, but the stocks will move. And so you're sitting. On a situation where you have that to the upside, and that's not even baked into to argue in terms of adding to industrials in other sectors, where you taking away from what do you lightening up on? So we've been taking away from so industrials we haven't liked transportation, but we have like cap goods again, we're doing this rotation. And then when you look at some of the technology space we've liked software. We haven't like semi's now, we're starting to see more and more value and semi's, but we're not ready to step. We're starting to line that up, and so we're doing a lot of intra industry traits, and we're doing a lot of one off type trays because some of these situations are very issues and critic, and so we think it's more of a stock pickers market this year than it was active that you've been in in this model portfolio. I mean, it sounds like a Constance we're we're starting to wrote to the beginning of this year. We had nine vise we had three cells we were pretty active this year. And we're starting to rotate we're seeing the opportunities begin to rotate again you have two years of value underperforming. You had a horrific fourth. We've been saying that value companies have really been a proxy for wrist. Now, you're seeing value as an opportunity you have to tread lightly. We want that those expectations come down. But as we go forward. That's where the value is. And that's where the opportunities Chris ca- disease. Chris harvey. All right, Tim, your value investor where do you guys egos writing checks body can't? That's why I think that value in the industrial space. I've said this over the last two weeks to months possibly six months is more than flag and global environment where we have priced in essentially negative PM is around the world. This really comes down to is the fed truly on hold. And can we actually get a trade deal soon enough that we can actually still experience some of this late cycle stuff? I feel very comfortable with FedEx he's very comfortable with other names that are trading trough multiples here. Because in fact, they've giving us fresh numbers and those companies I can, you know, it's really counter to to to me is that if we get this deal done with China, we all thought that it's going to be a positive, but by its nature the US wants to take something from China. Right. That's the whole idea of the of the trade deal. So at the end of the trade deal, it's gotta be more of a negative for China. So counter-intuitively, I think that you're going to see China growth, actually impeded once we get the trade deal done. They'll let me just push back on that one of the things I think weighing most. Early on this market is the uncertainty of China deal. Right that we won't get one. And I think that if we are able to have some clarity, even if it's punishing China causes some pain there, which ultimately we cause some pain here taking away that uncertainty. I think would be such a big positive for the park. Pop. Sylla had Invidia just the latest company in the street today with a dire warning. But if you're caught in the trade, relax because guy will give you his guide to bad guidance. Former Starbucks CEO Howard Shelton ounce. He is seriously considering a run for president in twenty twenty is CO two candidate the new normal. And if so who to the traders think would fit the ticket they will reveal their top choices their top vote bath money returns. Welcome back to pass money four Starbucks. You'll Howard Schultz the first big business heavyweight to consider jumping into the twenty twenty election. So we've got a new segment for you. And we're calling this the fast take where the traders weighing on some of the biggest news of the day. So let's take a listen to Schultz said about his potential presidential run last night on CBS, sixty minutes. I am seriously thinking of running for president I will run as a centrist independent outside of the two party system or living at a most fragile time. Not only the fact that this president is not qualified to be the president. But the fact that both parties are consistently not doing what's necessary on behalf of the American people and argon gauged every single day in revenge politics. So should Howard Schultz? Go from the Starbucks corner office to the White House Oval office, and the reaction so far is very interesting because there seems to be some backlash on both sides of the aisle. We'll my backlashes the independent of it. That's terrible. I think that you know, just a terrible dynamic that really potentially be counterproductive. Right. I think that he needs to right. He is a democrat. I think he needs to run as a democrat. Otherwise, if he really doesn't want Trump to be president. I think that this could enable him to become president leading that Trump terrible. If you wanna Democrats win, it's fantastic. If you want President Trump to be reelected, and if you look at President Trump, President Trump's tweet today, basically during our to get into that's he's bathing him to come in. Not smart enough doesn't have the guts those types of thing. It would be it would be a windfall for President Trump. If Mr. Scholtz ran. And independent if I am a shareholder. Should I be concerned? Should I be concerned that there could be cots from both Republicans and Democrats, and should I be worried that perhaps Howard Schultz could sell some of his stock during this presidential run. I'd be less worried about the capital markets dynamics. I'd be very concerned about a sense that the company's going to do things that are politically correct or politically expedient at the expense of earnings. And there's, you know, Starbucks said plenty of opportunities to digest this posture for the last two years. This is no surprise anybody that Howard Schultz is doing this. So as a Starbucks shareholder who remains long through. What's been very good run? I I'm not too worried about it. I don't think they'll be political though. I just think it's a backlash among their customers. Yeah. Yeah. What about here selling his stock either put it in? Question in terms of you know, boycotts will do any real damage though. Rarely do boycotts ever get that long in the tooth in ever really have a resounding effect on the stocks. So I don't think that's the major issue. I think carrying is. It has the biggest issue you wanted to run as a democrat. So who would be the best yo to run for president? We want to ask the traders each have their own picks guy. What yours we're talking about the company all the time Lockheed Martin, but Maryland Houston's been there since nineteen eighty three university of Alabama went to Columbia business school Harvard Business School, she's been CEO of the company. I think the last six years if you think about it if anybody were understand government in her in that capacity. It will be somebody aerospace defense industry, look at what she's done for that company could some of the deals she's done and sort of look at her background. I think she'd be perfect choice for president states. I like Mary Barra and again the way she's handled GM first of all that's arguably boys clubs. She's been in the middle of one of the the most, you know, important industries. The world. She's I think been dominant player she's been a free thinker. She's incredibly well educated. She knows how to run a big business eight global reach. She knows to operate and regulatory environment. She's got an industry that she's had to make some tough decisions about how that decision to go for that are contrary to how they've been successful. Karen, I love both of those two picks mine, of course, would be Jamie diamond, not just because I love Jamie Dimon. But I actually think Jamie Dimon is a proven leader in the depths of the absolute worst crisis. We've seen he was so far above everyone else. And I think he can work together. When you hear what he does his annual letter. He lays out a lot of things beside just banking, right? And the economy, it's a lot broader than that. It's about what does America need to move forward. And how do we work together to get that to happen? Obviously. I think that the stigma of being a Bank CEO is still there is still something to that. Right. I believe he's democrat would run his democrat. I think he would be great that banks and. Saying I'm not going to do it. But you never know. Never. That would be my choice, General Dynamics Phoebe Novakovic. The biggest headwind would be pronouncing the last name, but the other the you look at the resume. She has a background with the the Pentagon office of management management and budget. This is a woman who is steeped in experience. I don't think she likes the limelight. I don't think she would do it. But I think she would make an excellent president. All right. Do you not miss former Starbucks you'll Howard Shelton squawk box tomorrow? That's six AM eastern time right here on CNBC coming up apple down more than thirty percent from recent highs years for earnings tomorrow. But after the company's iphone warning earlier this month, at least one trader thinks the worst is behind it. We've got all the details and speaking earning shockers as more companies spooked the street guy here has three ways to whether the warnings. He will break them down, right? Ever. Welcome back to us money. Take shares of apple in free fall since the Tober highs after series of disappointing iphone sales numbers and gloomy revenue forecast. Kickoff twenty nineteen the tech giant reports tomorrow after the bell and some traders the worst could be behind it. My cousin San Francisco with the options action. Hey, mike. There. So apple typically moves a little over four percent on earnings, or at least that's been the average over the course of the last eight quarters that's pretty much what the options market is implying now about four and a half percent and bullish bets. Outpaced bearish wants today by about twenty percent. So modest optimism going into earnings, and where we saw some of the opening activity within the February first weekly one fifty seven and a half calls as expire this. Coming Friday, they were spending about three bucks for those. So those are bullish bets that it's going to be above one sixty and a half or thereabouts by the end of the week. Now, they started trading when the stock was lower today than closing on its highs. Although it was lower on the day overall. So that represents a boost of about three percent from today's closing price. Really agree with this particular option traitor the worst behind apple I think set up works Rapple. There were the first when this whole slide started. So I think that the the counter the setup works for them. So I would think that this should bounce in theory it with I in they should be the first out underperform the s&p by six hundred basis points today and probably ten percent since the lows, it would be speak the obvious these guys if they have another died for us. It's going to be a disaster. It's going to be a company that first of all was taken as gospel, everything that they said they knew their business forecast their business. So they might again, right? Clarity. Then risen is. This announcement is never been greater in my view. Thank you Mike for that options action. Check out the full show Friday five thirty PM eastern time and apple is far from the only company to sound the alarm earnings take some of the names of lowered guidance this quarter Ford FedEx Macy's constellation American Airlines. And of course in video today. But do not worry because died on me is about to tell you how you should whether an earnings warning for segment we like to call the more, you know, commit a little piano learning that actually do. Actually play it live on stage here CNBC's fast money at the NASDAQ. Here you go folks guys guide to bed guidance number one percentage off the fifty two we or low. What does that mean? So how is the stock been trading? They warning as it makes a new fifty two we or is it warning as it's just made a new fifty two week low. Why is that interesting because maybe if we've seen a trough maybe that warning puts in a short term bottom. Conversely, if we're on the top, maybe there's more room to fall we've seen that number of times, by the way, at least of which was apple recently, number two past warning outcomes. How often is this company done this? They prone to give pre announcement to the negative side of the prone to negative pre-announcements. Or is this the first time I'd go back and look at the companies you're interested in to find out. And the last one is is it a trade or an investment? Why do I mention that because of its trade in my opinion, if it pronounces? Stock goes lower. The first thing you do with the pad bad position is take some off. You don't add to it. Whereas an investment, maybe it's giving an opportunity to buy some more at lower prices. But you can't be both you either a traitor or an investor you can't wear both caps. And I think I do have an example, if the crack staff back in can put this up, but if you go back to Tober, Steve Grasso pointed this out to me, you saw p p g pre-announced and the stock cratered down to this level. But this is a stock that have been going down for the prior six months as it turned out that pre announcement gave you a good entry point on the long side. And you saw the subsequent bounce. Now. We have seen the stock trade back down. But for a trade that was a great opportunity. So that's what I'm talking about in terms of trade and investment. And that's what I'm talking about. In terms of where the stock is in terms of a fifty two week high and fifty two week low so guy when you say that it could be a good setup are a bad setup depending on whether it's decline. Or or ascending in stock price. How do you know when you just cut bait period? And you say, you know, what this is the second time because use PG as an example that was Toby Keith what do you do with now when it's repetitive. Yeah. That's I think that's a great point. This is what I tell people. And hopefully, this doesn't come off glib. It's not meant to be you trust your instinct, if your instinct says to get out get out, we get ourselves in trouble in life when we fight against our instincts in every facet, especially trading. All right. Thanks to that guy. Still ahead p up seventy percent seventy in the last week and conflicting reports companies considering bankruptcy. But if you're thinking of fine stock, you might wanna listen to what the chairwoman has to say, I laugh at the NASDAQ in Times Square much more money right after this. Welcome back to fast money, PG and E is up almost seventy percent of the last week and its bankruptcy battle as deals with the fallout from California wildfires the company receiving a four billion dollar rescue plan. Investors behind it included Elliott management. They're also reports of a second group including Ken Griffin citadel. They're working out a competing bid this just days after the company was also deemed not responsible for a deadly wildfires in California in twenty seventeen. But was shares a PG still down over seventy percent from their fifty two week highs. Karen, here's issuing her own fire aware on the stock. So why the no touch it's not because first of all it's extremely complicated situation. Right. This is a potential bankruptcy that it's unlike a normal, bankruptcy, like toys R us or something where there's just too much debt, but you could make some reasonable guess about what the business would be worth without all that debt. You've no idea here. Nobody has any idea yet. What it's worth just because they said, they weren't liable for fire. Wildfires two years ago doesn't mean there isn't huge liability still out there. And it's. Very uncertain size. So that's one you read the headlines. Oh, okay. This is interesting Elliott and citadel it's a four billion dollar convert. So they're going in debt they're going a head of the equity. Right. So if you're the equity right there, they're probably going to be a lot smarter than. Yeah. Probably I've certainly they're going to be a lot smarter than I the third thing is when you look at the capital, do you look at the debt markets. They're always the head of the equity markets. They always understand better. So let's look it's very near maturity twenty twenty debt of PGA. What's that showing this utility? We should have chart there. It is. Okay. So it's one hundred hundred hundred right? And now, look it's in the eighties. This is telling you be very afraid don't touch all right up next onnell traits. Tim. Never leave your wing man, Alibaba, wait for the picture. Dr Phil forget JD you stay long out ya. MO ahead of earnings this week canes walking back here tomorrow and five more fast money. Jim Cramer starts right now.

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