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tv   Street Signs  CNBC  October 21, 2014 2:00pm-3:01pm EDT

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what a difference one week makes. stocks soaring again as talk of europe printing money heats up. is it time to put your money into france? >> maybe but for the moment we are seeing money being put into the usa. we are witnessing the strongest four day winning streak since february. it is the second best day of the year for the s&p.
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since hitting the low wednesday the index is up 6%. let's get to the floor of the stock exchange and join our friend. i believe art cashin said the light is turned on and the ghosts have disappeared and wonders if this is too celebratory. >> we talked about how intense the deleveraging was. i think they are going the other way. look at the leveraged etfs. look at the qld, twice the daily performance of a nasdaq 100. very active trading in that. pro shares, ultrafinancial twice the active amount you get in the dow jones industrial. pretty active trade. the other opposite of what we saw last week. humans have bad memories. we were so concerned about the ebola last week, the airlines have been flying, and most of the travel stocks doing great today.
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look at the bounce backs in the airline stocks. we were concerned about oil dropping below 80. it stabilized around 81. it is weaker in the afternoon. eog was 100 to 80 and now back to close to 100 again. nobody remembers last week and what was going on. shipping companies, the concern of the global economy was slowing down, tanking companies all moved. they are back again. so i think people are quite happy. remember the three things, fed not as hawkish. we have less ebola concerns and oil stabilizing. those are the important ones. guys, back to you. >> all good reasons. you might recall that a few years ago we started talking about the concept of hopium, our tongue and cheek term to describe hope that things are getting better. the dow up about 35% since then. since the fed announced the first qe program in 2008 the s&p
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500 has more than doubled. also leaving a lowly french and spanish stock markets way behind. now talk is heating up that european bankers may start their own form of printing. dare we call this lopium? yes, we dare. joining us now michelle. is there any indication that europe will do it and if they do it the returns will come? >> let me answer b first. a huge part of the under performance you demonstrated, a lot came in the last few months when investors in europe realized maybe mario draghi isn't going to print. we have gotten indications that they aren't going to be allowed to do so. we saw the markets get pommelled
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for fear that printing wasn't going to come. the argument was that printing money doesn't fix what is wrong with the economy of which is very long. i think what happens now and what you are seeing today reuters had an exclusive sources saying ecb was considering buying corporate bonds that would be a kind of quantitative easing light, a new front for them. if it is true it would be one step towards printing money. so far the ecb says the governing council hasn't made such a decision. when you look at the market reaction they think the governing council hasn't made that decision yet. i think what you are going to see with european stocks there will be the push and constant pull based on whether or not they think the ecb will do something big or not. when they think it is not going to happen you see the stocks fall. when you see a rally you think the cavalry is coming. >> i am wondering how wise is it
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that they may do corporate bond purchases as opposed to government bond purchases which could be a little more controversial? >> i think corporate bonds could be more likely because to the germans buying government bonds is the equivalent of monetizing debt. they think it sends the wrong signals. corporate bonds if they do it the questions are from which countries are they going to buy, what kind of quality would they buy? a lot of people have been hungry for high quality bonds. would the ecb be willing to buy low quality bonds which is where the extension of credit needs to occur. all of these things are controversial even tiny things which many think are not enough. the germans have said we are going to sue. we don't think this is appropriate. they have a really tough haul compared to the unilateral action that the u.s. central bank can take. >> how do we say hopium in
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spanish? >> sounds great. >> thank you so much. in the last two days coming back to home now we have seen disappointing earnings from big household names like coca-cola, mcdonald's and ibm. if consumers are changing their tastes away from these old established companies towards newer names. we have assembled an all star panel to try to answer that question. sarahizen, julia borsen in l.a., john fortt here on set and retail reporter courtney reagan. sarah, let's kick it off with you. what have you seen? >> i am watching mcdonald's and coca-cola. you are seeing similar themes. there are so many numbers at mcdonald's to show the weakness. how about same store sales. stores open at least 13 months falling in the united states in the quarter 3.3%. that is pretty bad especially if you put it next to faster
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growing chipotle which its comparable measure of same store sales are growing 20%. on the coca-cola side a big disappointment was the volume. global volume and that is sort of how you look at beverages only up 1%. analysts were looking if more than 2%. the commonalities we are eating and drinking differently. people want healthy. they want fresh. they want good for you. both of those companies are struggling to shift and to adapt to meet consumer needs. they are also struggling on the currency side of things. weakness overseas which is just bad timing. that is weakness in europe in china and a stronger dollar, both mcdonald's and coke earn more abroad than at home. >> we are certainly seeing the stronger dollar come home to roost. even though chipotle is growing faster than mcdonald's will it ever become the size of mcdonald's? >> that is obviously the big point.
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it is a smaller, faster growing company. but it is gaining share. and definitely doesn't have the global foot print. mcdonald's not just struggling with the stronger dollar but struggling with the chinese supplier. 9.9% was how much same store sales dropped in asia. they are struggling in russia where some franchises are under investigation. clearly problems plaguing big multinational companies. you look to the united states when you talk about whether these companies are losing their core customer and not chasing the millennials with this idea of good for you food. that really tells the story. you see that in the strength of chipotle versus the weakness in mcdonald's in the united states. >> maybe they are bored with it. let's move to the netflix side. are people spending so much money on media that they literally have no money for anything else? >> they are spending a lot of money on different kinds of media. part of that is to their teleco provider. we heard from verizon which
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reported earnings. earnings per share came in lighter than expected. verizon added more than 1.5 million of the most lucrative subscribers, long term subscribers largely because of the growth of tablets. this is a company that is benefitting from the shift to tablets as a whole new device where people are spending a lot of time. a lot of it is about the rise of streaming video. you mentioned netflix. there are a host of new over the top options. you heard of new ones from cbs and hbo next week. these are trends which verizon is leaning into. on the conference call there is talk about the benefit of all of the new trends and how with all new streaming options and rise of connected devices in the home this is something that verizon can cash in on. john fortt, what say of you? >> ibm. let's talk about what is wrong there. probably the best way to look at what is wrong is to look at what
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they are trying to do to fix it. too many people, too much hardware, too little cloud. they said they are going to open up more enterprise app stores and make it easier to get what you want. they want to have vertically integrated units, security, retail. they want to make services organization more efficient which is hard because at one point they said we laid off a bunch of people in services and then figured out we couldn't get the work done. so part of what is happening with cloud in the enterprise is competitors are coming in saying we have the services and you can go online and get them from us. we will turn them on for you. it is doing the basic stuff that ibm is used to using people to do what they call back office services but the cloud folks can do it for cheaper. ibm making money on higher end services where they add value but in the lower end stuff they are losing. in hardware they are losing. >> what was your prediction about cloud companies? >> by the way, i am four for
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four with my predictions. one of them was the cloud computing companies would sink, the stocks would sink and the average cloud computing stock is down about 30%. >> and work day is among those. sales force hasn't been doing too great. they did pretty well last year. the traditional names like your intels and microsofts have done particularly well. microsoft one of the cloud names along with google and amazon that are arguably eating ibm's lunch. >> courtney reagan, let's get -- i want to point one thing out other than that you are fantastic. number two, i looked at the six best performing retailers this year and the one thing they have in common is they have nothing in common. big lots, kroger, barns and noble and ulta salon. is there a trend? >> i think consumers want
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something that feels special and personal and want it for a really good price. that is a really big challenge for retailers that have to give you something personal and special and i don't want to spend a lot of money for it. that is why we are seeing fashion retailers like h&m eat the lunch of others like american eagle or abercrombie. h&m up 6%. gap flat. the teen retailers sharply negative. folks want something special but don't care if it lasts for a long time particularly the millennials. they want something that feels trendy now and they don't have a lot to spend on it. we are spending a lot on our devices. >> can i pick up on the one point by the millennials don't care whether it lasts whether electronic devices or fridge or
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oven. >> millennials are into sharing. look at air b&b and zip car. we don't need to own it forever. we are okay sharing it. >> are they made or made poorly. dish washers five years. what did neil young sing? try to save the trees, bought a plastic bag, the bottom fell out. it was a piece of crap. >> these days everything is disposable and for sharing. >> iphone 6 is selling well and samsung is on its way down. >> just don't put it on the pocket with those hipster genes. >> bend it like beckham. >> thank you very much. kate kelly has another stock update. people asking for more of you. so we are delivering to them. >> well, that's flattering. i have more details on dan loeb. he just got off the stage a couple of minutes ago at robin hood talking about amgen a position he initiated in the
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second quarter added to during the past quarter and one of his largest positions. he feels it has several things going for it and traded at a discount to peers and has a compelling mix of products. he believes it is an attractive investment opportunity and he also is agitating for a split up of the company into two units, mature growth and a faster growth company. it doesn't look at this point like he is going to go active and sort of negative on management. he appears to be working with management. the other thing i should add on the long side is that he has initiated apparently a position in ebay. at the same time he has either reduced or paired back positions in a number of stocks including aig, hertz, lng and sony. more details about all of those in this letter. just to point out commentary on the market turmoil of last week.
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he says while some fear was warranted some was exaggerated so we took steps to mitigate volatility. he then essentially says he is a buyer. he says during the past week after initially reducing our exposures we realigned our portfolio by lifting hedges, taking on new positions and reestablishing in companies we previously exited. a lot of interesting commentary here from dan loeb. >> it is interesting the stock is rising today on that mention by loeb. one thing our viewers should understand is that there is some insider selling the company. one guy selling 12,000 shares and another guy selling 25,000 shares. there are insider sales on lng just pointing that out. kate kelly thank you. >> thank you. home sales, that number
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quieting some skeptics. the ceo of zillow says he has concerns and he is here to explain why next. that's him. @p
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bullish signals for housing today, existing home sales rising 2.4% in september reaching the highest level of the year and the fdic easing mortgage bond rules for banks to
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boost home lending. zill zillow joins us now. real estate people tend to be extremely bullish and say everything is wonderful even when things aren't necessarily. go against your dna here. we have given bullish headlines. is the market cooling down? >> those are bullish headlines. i agree with what they say about the market. the housing market is cooling. to give you more data earlier in the year home values were increasing about 8% year over year and now 6.5%. we think over the next 12 months they increase about 3%. the rate of appreciation is slowing. what is driving this is very counter intuitive. as home values have increased homeowners in negative equity have decreased. now around 17% of all homeowners with a mortgage have no equity in their home which is terrible but better than it used to be.
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if you are upside down on your loan you can't sell your home and that leaves to constrained inventory. parts of the country like las vegas or florida which had huge declines during the housing bust have high rates of negative equity. the home values are appreciating quickly. a lot of the rest of the country where there is more inventory coming online home values are appreciating more slowly. >> and there spencer is the paradox. as home prices go up people who have not been able to sell their homes for years suddenly say maybe we can make money now. everybody dumps their home on the market at the same time and prices fall. are we smarter than that? >> no. we're not. housing is a cyclical market. the good news is everyone has much more information during this part of the cycle than five years ago because the internet has allowed us to have access to this great data. there bad news is there is a lot
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of psychology and homeowners are prone -- so if you are lucky enough to live in manhattan home values are increasing 17% year over year. if you live there and you don't own a home it is hard to afford to buy in. the bay area is impervee s because of the strength of technology environment. >> since we don't have a whole pile of time i will move off the topic of housing and move to what you specifically are doing. you bought -- any other acquisitions on the horizon. are you interested in still acquiring? >> it will make our ninth acquisition. we hope to close in the first quarter. i am excited about that next stage of the company.
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we think operating multiple brands, street easy in new york, zillow. we think as a real estate media company much like nbc universal operates multiple brands we think operating multiple real estate media brands makes a lot of sense and allows advertisers to reach a much broader audience. >> great to have you on the show. marissa mayer is one of the most scrutinized ceos in the world. she is to present another new plan for yahoo. we will preview earnings and other big names coming out. shares of ocwen financial. the state of new york basically accusing them of having a software problem that caused struggling homeowners to get back dated letters basically messing with their home payments and possibly their foreclosures. the company says it has
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apologized but apparently the problems continued after an employee pointed out the problems internally. sorry here may not be enough. time will have to wait and see. ocwen financial down 60% year to date. we are back after this. opportunities aren't always obvious. sometimes they just drop in. cme group can help you navigate risks and capture opportunities.
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i'm melissa lee here for another round of earnings squad. joining me today john fortt and allen valdez. let's get to our score card. so far 21% of the s&p 500 reporting, 67% beat estimates. 8% have met estimates. 25% of earnings have come in below forecast. i will be kicking things off. we are expecting numbers after the close. it will be interesting to hear what they have to say about their guidance. they lowered their revenue outlook. the question that analysts have
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at this point is that since august the dollar has had quite a move. will they see currency head winds that impact the forecasts further? will it be looking for the growth areas? that is the private cloud area as well as software defined data centers. >> i think in particular with the private cloud hybrid cloud has become a real growth area. we see ibm impacted particularly in storage on the cloud line. could vm ware be getting that business. >> they will be pressed by the effort from elliot management. they said they have met several times and listening to each other. this is going to be yet another time opportunity for analysts to actually ask ceo as to whether or not that has moved forward. we are better off as a federation operating together as opposed to apart. the main highlight, though, this
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afternoon will be, of course, yahoo especially now that marissa mayer, the count down clock is on. >> we are expectingeps of 30 cents down 11% from a year ago. revenue just over $1 billion. when you look more closely the core business of display advertising looking to be down perhaps as much as 17%. search doing a little bit better up 7%. yahoo doesn't have that much control over the search destiny because of the partnership with microsoft that they have been trying to get out of. there are rumblings that marissa mayer is trying to get ways to reassert control. we are hearing not only strategy to move the turn around from here but is she moving forward with a search strategy that would provide upside from here? is she being pragmatic and what does she want to do with the cash from absolutely? >> what are they going to do with the rest of the stake in
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alibaba or will they try to spin it out in a reverse trust sort of style thing when they spin it out and that would become yahoo, the short of shell game of financial engineering. >> steve jobs had armed holding stock which sky rocketed to help fund the turn around. yahoo has alibaba. does she have the patience of investors to let her do this? >> let's hit on boeing. this is important especially on a day when we are seeing a lot of dow components drag down the dow. >> they are looking for $1.97. the whisper number is $2.20. so that whisper number looks stronger. boeing looks stronger. they delivered 186 commercial jets this last quarter. they are making a bigger push into china. asia has 500 jets. they have big growth over there. and they are still the world's largest.
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>> you like boeing. >> allen, thaupg. that's it for us here on earnings squad. tonight catch this interview dr. charles link signed agreement yesterday they also have an ebola vaccine which will be put to trial testing in west africa. so that will be a hot interview you won't want to miss. back to you. >> thank you all very much. forget old school. why new school is in at least when it comes to schools. >> one old school company that is getting it done we have talking numbers, street talk on deck. do stay with us here on cnbc. hey matt, what's up?
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i'm just looking over the company bills. is that what we pay for internet? yup. dsl is about 90 bucks a month. that's funny, for that price with comcast business, i think you get like 50 megabits. wow that's fast.
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personally, i prefer a slow internet. there is something about the sweet meditative glow of a loading website. don't listen to the naysayer. switch to comcast business today and get 50 megabits per second for $89.95. comcast business. built for business. welcome back to "street signs." i am mary thompson with breaking news concerning insurance industry and ebola. ace announces restrictions on business liability insurance. according to the headlines the company will apply this to new and renewable policies and the restrictions could apply to firms with employers or employees traveling to certain african countries among those expected to be impacted by this
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energies and commodity firms, religious groups, as well. business liability insurance would protect a company in the event one of their employees contracted ebola on the job. it appears that ace is putting ebola related restrictions around these new and renewable policies. >> mary thompson thank you for that breaking news. before we get to "street talk" i want to bring up a chart of what the nasdaq is doing. best day of 2014, gain of 93 points. there is one particular stock after its earnings that is helping this index which is apple giving outsized gains to the nasdaq. we had texas instruments helping the tech sentiment. let's do "street talk" hitting five analyst calls on stocks you need to know about. textron. >> so wells likes the story
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because they own the cessna business jet business. they like the valueuation. price target range 43 to 45. stock up. they are bullish on business jets. phil lebeau has been showing us hot metal and steel. >> halliburton shares up 4%. better than the market. unless the wheels fall off the u.s. oil rig market halliburton is good. they have a $75 target about 30% upside. >> goldman sachs trying to help the cereal maker post holdings. >> they up post holdings from buy to neutral and boost the target. stock is at $36.5.
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>> big money in barges. >> they do need stinking barges. up to outperform from neutral. the stock has fallen too much lately. the target -- i know, the target on kex $125, about 13% upside. >> last but certainly not least is our under the radar name belden. >> they make cables, wires, connectivity. >> not very sexy but necessary. >> the fun companies i like. st. louis based, part of america. sorry about the cardinals. upping it to a buy from hold. the target on belden $78. the stock is at 64. 20% upside. the average price target on belden is $84. almost all analysts are very bullish on belden. >> currently at $64. now to talking numbers.
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we also do this every day, a daily look at a stock from a fundamental and technical perspective. today's topic is the old school company united technologies. mark newton on the technicals, nick hamen on the fundamentals. mark, i am always going to start you because you are a fellow hokey. >> you are starting to see increasing signs of stabilization but you need to see evidence that suggests lows are in. this is what we technicians call intermediate term down trend. this is part of a longer term uptrend. one is a daily chart that shes august lows that were breached. we see the level near 106. that guides the entire down trend that guided this stock down since june. we have fallen about 17% or so since june. key level to exceed will be 106. getting above that shifts the entire structure a lot more
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positive. for now it is early to make the call. second chart is weekly. it is interesting because it shows the uptrend since 2009. the stock is falling off and we are getting close to a level that will be important and bullish to suggest it is a great level of support. initially for me it is premature. if you see further pullback in the stock over the next few weeks potentially into elections that would be a great area to take a look at buying. for me it is tentative. you want to see movement over 106 for long term investors. >> so maybe just still a little premature but watching on the sidelines. nick do you like utx? >> utx is a transition here. it certainly is facing greater head winds with regards to the global economy and it is making two transitions with regards to its engine business, new engines, as well as a new model
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for its after market service fleet management program and it has an older installed base of engines that is gradually winding down. that is one transition. the second is it has a wrap that is install base of otis elevateers in china. it is working on that right now. but those are well under represented versus the global fleet of elevatoelevators. >> thank you very much for joining us on united technologies. you can check out the online edition of "talking numbers" in partnership with yahoo finance and with our friend here, brian sullivan. if you were smart or lucky enough to buy last week when everybody was selling you made 6% in just five days including today on the s&p 500. >> if we look further offshore one global stock market doing well when all the news around the world would make you maybe think the opposite. we are going to be talking to the head of that exchange next. tdd# 1-800-345-2550 [ male announcer ] your love for trading never stops,
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welcome back to "street signs." linked in shares moving higher today at the conference for recruiters unveiling product upgrades to improve searches. linked in shares trading up over 4%. back over to you. thank you. emerging markets like argentina, venezuela, india, vietnam have done great this year. can you name the best performing developed stock market in the world over the past 12 months? i can't hear you if you did. it is israel. the main stock there over 10%. the ceo of the tel aviv exchange. why have you guys done so well?
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what are israeli companies offering that apparently world investors want? >> i think the most important aspect is the israeli economy and the stock market interested in world economic events than local security concerns. as you may have seen in thealist summer when we had turmoil in the middle east and israel in particular the economy continued to work although there was missiles from time to time in tel aviv. we are going to grow about 2% this year. over the last year and over the last 12 years we are probably the best performing market other than maybe the nasdaq 100. >> often when we hear about these fantastic new tech startups they come from israel. tel aviv is known for a lot of tech companies. what are other sectors that are starting to stand out and maybe growing that perhaps investors around the world should start taking notice of?
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>> if you look at the tel aviv index you will see a number of high tech stocks and the banking sector is very, very active. so are real estate and natural gas and energy. israel was 100% dependent on foreign oil up to a few years ago. in the last four or five years our energy dependence has gone down. this has also been very good for us and it has also allowed us to start selling water and reduce our water dependency. the eastern middle east does not have a water shortage anymore. the combination of energy and high tech has made it possible for us to be self-sufficient. >> you have arab spring and isis and what is going on with isis. how do you reassure that you guys are off the headlines as
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far as investing risk? >> if you look back in the last 30 years and look at the performance of the economy and the stock market you will see the influence was the world economy and not the security situation. when there are small or large scale wars what they have not made a huge difference on the economy. obviously could have been a slow down but at the end of the day what matters most is the economy of the world. we are an external based economy. 38% of the economy is export. >> it was a real pleasure to have you on "street signs." i was informed you are in new york. it is across a river. the hudson has a strong tide. you never know what can happen. thank you. >> thank you for having me. >> the nasdaq is long distance. >> i thought he looked awake. we mentioned tel aviv as a
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market standout. some european markets have been hammered this year. maybe now is the time to buy european stocks. let's bring in jim mcdonald and especially in light of the news bringing viewers about maybe the ecb getting a little more serious about simulating the stagnating eurozone economy, jim, is now the time to get bullish on europe again? >> i think it is premature. what the ecb is doing is necessary but not sufficient. they are the only policy maker really doing anything but not sufficient because they are not being able to create credit across the economy. until we have confidence that what the ecb is doing is going to lead to credit expansion it is probably preliminary to overweight european stocks. >> i am not advocating buying european accouequities. that disclaimer aside, don't you
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want to buy in any situation when things look the bleakest? isn't that the point? >> that is a great point. you have a $3.3 trillion stimulus. 2.6 trillion euro. this region is dancing in recessionary territory and he is vocal about the fact that he is not trying to improve the balance sheet but credit conditions for companies on the household side. anything is good. this stock market domestically is going to love it. globally everybody else will love it. it is obvious when central banks are involved it is a bullish signal. >> any companies or countries in particular, todd? >> in the u.s. i look at any multinational, anybody with strong presence in europe. take a look at companies that are a little bit weaker. you have a mcdonald's that comes out with not a great or bullish forecast for the long term. coca-cola is the same way. when you look at companies in the u.s. and you have the strong
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european presence that is the place to focus on especially if the ecb can come through and keep europe out of the recession. >> is that going to happen? >> we think europe will avoid a recession. we don't think they will grow strong until we start to see better credit creation. we think the u.s. stock market is better positioned to outperform what we see outside the u.s. because of stronger growth and a pretty clear monetary policy picture. people have ratcheted back their expectation. >> let's ratchet back that a second. if our stock prices soared in part because the fed was pumping up asset prices, right in addition to doing other stuff that is ending. europe is starting. reportedly. why wouldn't there be some similarity of asset returns? >> primarily there has been much more restructuring in the united states. we reduced our cost structure
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dramatically. we are more resilient economy. >> do you want to have the final word on that? >> if you look at how qe rounds have started here in the u.s. you go to 2010 when the markets were down 10% down 16% and then qe rounds. we may see the same thing of the u.s. in europe. it was a great buying opportunity. any type of a slowdown a green light for investors. >> okay. >> the only thing to add is it took u.s. multiple years for credit creation and just started this year. it could take europe several years, also. >> all right. two differs views. thank you for joining us. >> thank you. the world series of baseball starts tonight and they're going nuts in kansas city because the royals are in it for the first time since 1985. means big business for local business owners. one of them particularly in line for a win fall and why this song, your favorite, mandy, ever will never, ever be played in
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san francisco again. there's a difference when you trade with fidelity. one you won't find anywhere else. one-second trade execution. guaranteed. did you see it? in one second, he made a trade, we looked for the best price, and the trade went through. do the other guys guarantee that? didn't think so. open an account and find more of the expertise you need to be a better investor. this guy could take down your entire company.h? stay with me. on thursday a hamster video goes online.
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by the way, that song, mandy's favorite "royals" banned
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in san francisco this week and possibly forever. that's because game one of the world series is tonight. giants for the third time in five years. the royals third time ever and the first time since moonlighting and macgyver were tv shows. zach porter, one of the best friends of my world lives in kansas city. i expect a beer for him, zach. it has to be bonkers. you are on a roll. it is ridiculous. >> first of all, he's got it if he comes in. secondly, it is crazy here in kansas city. very exciting and entire city embraced the team. and good mood's ever where. >> how will you harness it and keep the momentum going well after the event? >> double prices. >> well, you know, we hope that the royals can take this and four games and if it goes longer than that, that's fine as long as they can win the championship. you know, this -- for our
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business, the world series is just a -- well, the playoffs in general have done great things for us and we are a new -- we're a new bar in kansas city. we opened in march so it's given us an opportunity to show our customers, you know, what we can do and we provide a lot of entertainment for our guests when they come in. a ton of tvs and we hope that there is some after effects of this world series. >> does sports matter to you from a -- we always hear, it's good for businesses. is it? have you noticed an uptick in receipts in. >> yes. it is just when the sporting event is. weekdays are great for us. if there's a royals game on a weeknight, it's absolutely great. if it's on a friday or a saturday night, it helps a little bit. but it doesn't help that much if you have a -- if you have a great crowd on friday and saturday to begin with but generally my attitude is they help.
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>> brian said 1985 the last time they won and great shows like "moonlighting" was hot. you were a 6-year-old. do you remember it? >> i was 6 years old. i remember them winning the world series. there are some highlightings of 1985 that i remember. but i don't remember it that well. i was a little young. >> we'll give you a pass on that one, zach. >> okay. >> don't worry. >> before you go here, zach, outside of the royals, because we love to have an actual real people on the show. shocking thing. how's business otherwise? how's kansas city? we don't hear from kc. you never call anymore. >> well, i appreciate you having me on to represent kansas city here because kansas city is a great place. you know, we have a lot of stuff going on here and business and the economy here is good. we didn't feel the hurt like a lot of bigger cities did a couple years in the past. you know, we have some good things going on here. we have mls soccer champions
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here. chiefs are doing well and like i said we're proud of the royals. strong backing. >> fantastic. best of luck. thanks so much for speaking with us. >> thank you very much for having me. >> that is not my favorite song. >> second favorite behind "billie jean." >> you have me there. the nasdaq having the best year of the year. the s&p 500 with a gain of 1.7% and i think gained 6%. stick with us on cnbc. opportunities aren't always obvious. sometimes they just drop in. cme group can help you navigate risks and capture opportunities. we enable you to reach global markets
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and drive forward with broader possibilities. cme group: how the world advances. ok, if you're up there, i coulsmart sarah.elp. seeking guidance. just like with your investments. that sets you apart. it does? it does. you're type e*. and seeking another perspective is what type e*s do.
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okay. the nasdaq on pace for the best day of the year. only one stock in the nasdaq 100 down right now. 99 are up. starbucks is down. >> thanks for ending on a down note, brian. thanks, everyone, for watching. "closing bell" is coming up next. yes, welcome to "the closing bell." i'm kelly evans on this tuesday at new york stock exchange seeing a bill griffith rally here on wall street. >> i hear i missed a few things while i was gone. >> we missed you. >> we missed it. >> people still don't know what happened last wednesday morning. >> i love that kind of a week. i'm on vacation watching it from afar. and we have the rally going today. although as one trader bemoaned to us, the

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