it is time for insight with abigail doolittle. joining me to discuss today's session in trading action plus his trade for the day, scott, thank you for taking the time. what do you make of this? we have the doubt putting in an all-time high. the nasdaq started at higher, now at session lows. a big divergence, one that we saw for most of the month of june. what is happening? >> a big divergence. i am surprised at the magnitude of the selloff of the nasdaq in the last hour and a half. i did not think the gains this morning were going to hold. i certainly did not expect what we have seen. i think everyone is taking a cautionary approach at the end of the shortened trading day. not much volume. volume is as expected very light. off day tomorrow. we come back wednesday. wednesday and thursday could be volatile days ahead of the important jobs number friday morning which could give us some direction as to what the fed might do, depending on the wage growth number. insightld give us good on the inflation situation. abigail: i have to pre

let's get to abigail doolittle.g at stocks as we kick off the third quarter any second half. abigail: so far, it has been bullish for stocks in the u.s. all three indexes higher on the year. the small cap higher. the dow and s&p on pace for the best year since 2016. the nasdaq up about 14% on pace for its best year since 2013. we have had some tech selling recently. it will be interesting to see whether that lasts. the russell 2000 lacking. small caps are considered to be a leading tell. the fact they are underperforming could be a signal. something to keep an eye on. as for the s&p 500 and technicals on what could be next, this is a one-year chart. we see a beautiful uptrend. the s&p 500. is holding the uptrend in blue. minor resistance in pink. testing the&p 500 50-day moving average in orange. if the s&p 500 stays above that and rises above the minor resistance, we will see it up above 2500. below the moving average it would not be surprising to see the s&p 500 moved down to where yellow.dat averag in keep an eye

let's get a check on markets with abigail doolittle. ands out here the most is the diversions between the dow being down ever so slightly and has julia was noticing, the nasdaq up .6%. the best gain in weeks. we had a lot of selling and technology. this is a reversal of monday. at that time come the dow had been up a little bit. what is happening sector wise that explains the diversions. this is a great way to see what is happening within the s&p 500. we see a pretty even split between green and red here the s&p 500 up slightly and at the bottom, energy is down 2%. let's take a look at some of the winners helping nasdaq today in the technology center. we are looking at take and well-known names including amazon and microsoft. not really the fundamental reason for this, buying the gift motel it -- mentality. macron, of 7%. this had been down sharply last week about 5%. like investors are dipping a toe in the water and coming back to technology. not so much for energy. let's look at what is happening with the energy sector. oil down sharpl

first, the regular markets, halfway into the trading day and abigail doolittle has been taken a look at where the stocks and bonds are trading. abigail: the bulls are trying to take charge. earlier, we had small changes. now we have small tomatoes gains for the s&p 500 and this is after weekly gains last week ahead of earnings season, so investors are having a positive flair before the season kicks off. really helping out the s&p 500 today, tech, facebook, amazon netflix and alphabet. we had a big rally on friday, more action for this sector. it is down from the june 9 all-time high for the nasdaq. but today investors want in ahead of the earnings season and the first to report, netflix on july 17. and materials, lots of big gainers for this space, including southern copper, nucor and u.s. steel. this as a potential strike at chilean mines is helping the shares being cheered on. the ceo meeting with officials to work out a deal around issues they have been having. relative to the still companies, this could be a bullish mention on the price of steel, but the materials are on fire toda

here is abigail doolittle. igail: we are waiting for the data for the nonmanufacturing composite index. pointrvey calls for 56 five. anything above 50 represents economic growth. the prior month was 56.9 and the data is not showing up quite yet. let's take a look at the majors. intoe looking at declines the trend. unless there is a big surprise on ims services, we do not see much of a reaction. it is looking like a bearish start for stocks. vonnie: all right. is, 57.4. better than forecast, so that is the services ism index. let's get to germany, where president trump will meet with leaders. earlier today in poland, trump made this plea to russia -- president trump: we urge russia to cease its destabilizing activities in ukraine and elsewhere, and a support for hostile regimes, including syria and iran, and to instead join the community of responsible nations in our fight against common enemies and a defense of civilization itself. vonnie: joining us for prospective and analysis, we have reporters in two countri

oil inventories now with abigail doolittle. igail: we are looking a bullish activity for this department of inventory energy information. drop thanbigger expected. six .3 million barrels on oil. 1.7 was the drop expected, set a much bigger draw down on crude inventories and a bigger draw down on gasoline. we have seen the effect on crude that it is in fact popping higher. let's take a look at what that pop looks like. we see this hike up on a much better than expected department of energy report, perhaps providing relief for investors on the idea that u.s. inventories are not going to keep building in the way they have. we are seeing a bullish reaction for oil, up 2.5%. let's take a look at what this looks like on the week. this is a great chart we have, although it is an updated but this is a weekly bart chart in terms of the inventories, the bills and drawdowns. we will have a relatively large draw down here, going right below that line. one of the bigger drawdowns we have seen. a bullish report for oil. let's take a look at t

abigail doolittle. ail: before we look at commodities, look at this rally we have for some of the fertilizer stocks. all up more than 4%. mosaic on paper is having its best day since january. put cash and agri-him -- potash and agrium were upgraded. there is suspicion that this ongoing strength reflects weather conditions where these crops are planted, basically drought fears. if we take a look at some of the grains, including wheat, soybeans, and corn, here is that rally. a commodity strategist at bloomberg agrees. we see this big strength today. but on the year, wheat and corn are just -- both having their best year since 2010. that is normal when there are drought fears. if we see a drought that's anything like what happened in 2012, it could suggest these prices could actually double. thisestingly, soybeans -- is the one spot of perhaps weakness on the year, up only 3%. big catch-up potential. that would come on a short squeeze. all these grains had been heavily shorted. we have a great chart that sh

time for "options insight" with abigail doolittle. abigail: kevin, thank you for taking the time.t how we have seen a bit of a return to volatility after a lack of volatility, especially for technology. we have a great chart to show -- g #btv 96. >> technology has led the market returns this year. technology is leading the volatility returns going back. if you go back to much, you can see that the volatility of the nasdaq 100 was below s&p 500, which is telling because all of his constituents in the s&p 500, and the s&p 500 has defensive sectors in it itself. inherently it should be less volatile. now you are seeing a flow out. it is about 17. why is that? volatility, vix, as well as nasdaq 100 volatility, is 30-day forward-looking indicator. technology earnings are going to be here and everyone is going to be focused on those and that should lead volatility going forward. abigail: you have an interesting call on volatility overall. we saw this back in 2015, sense of the vix is dead, -- some said the vix is dead, and then we saw a big spike could kevin: --then we saw a big spike.

it is time for options insight with abigail doolittle. today is dan deming from kkm financial. he joined me from chicago. down once again, worst pullback since last thursday, nearing session lows. i want to bring up the nasdaq. last week we saw that pullback continue into july. the nasdaq had its first down month in eight. is this the beginning of a trend shift? >> i think it definitely is the beginning of a trend check. overseas what led to the catalyst of the selling pressure today was the fact that overseas in europe we had some weakness. you are seeing those mere averages break below their 100-day moving averages. you have the nasdaq also breaking down. we are starting to lose some leadership and that is also a trend check when you look at these major averages. abigail: maybe some more bearish trading ahead. bonds are selling off since the fed raised rates in june. that has some the financial sector but today we have yields trading higher, not helping the financial sector. what is going on with all the rotations you are watching? dan:

we're going to get to get -- abigail doolittle. we have big banks in the spotlight after bank of america and goldman sachs reported earnings for the second quarter before the open of trading today. shares of both of these banks are trading lower. goldman sachs on pace for the worst day since the end of may. despite the fact that both beat on top and bottom. there are gerrish nuances to -- garish index -- nuances to both of those. sachs miss trading revenue estimates in a big way by 21%. weighingues seem to be on those shares and the trading revenue miss for goldman sachs and jpmorgan last friday seems to be weighing on shares of morgan stanley. they report tomorrow before the opening. they receive a lot of their revenue from trading. take a look at this chart in the terminal. it really shows relationship to trading revenue with stock action. .his is g #btv4717 we have morgan trading -- morgan trading revenue. in 2015 stock went higher and as it declined, stock went with it. in recovery, stock went higher as well. the estimate for t

for more, let's go to abigail doolittle. l: the earnings season for the second quarter is gaining speed. 170 of the companies in the s&p 500 have reported. 82% have beat earnings estimates and 76% have beat sales estimates. it is a solid earnings season as we get under way. let's take a look at the big winners and losers. starting with losers, we are looking at the internet company akamai, health services done about 6%. akamai disappointing investors to some degree. united missed in their fiscal year. both of those shares are down. as for earnings winners, we are looking at boeing. not only did they beat and boost, but they recorded free cash flow of $4.1 billion. the stock is up 8%. beat and here is the point that the company is saying that they are back in contact with anthem. that could also help to explain the 4% gain for the shares of express scripts. let's hop over to the bloomberg and take a look at this earnings season and how it could turn out. growth onthe earnings a year-over-year basis. we had that earnings recess

here is abigail doolittle. what is going on? is having its worst the of the year actually -- of the year after they beat earnings. you would think that would be really positive. daily active users up 12% year-over-year, but the big thing investors are focusing on our monthly active users, which are flat quarter over quarter. with paul sweeney, and he said this is a question of what this company is trying to sell, engagement, the idea that the twitter users are not engage in a platform. facebook has 2 billion users. 320 8 million users, so a pretty big difference there. it is a matter whether wall street can get the idea that engagement could come from revenue, from video, and that sort of thing. they are trying to get investors engaged. hopped into the bloomberg and look at a chart. facebook down 50% down from its ipo at 2012 but back in a huge way. twitter initially did after its initial ipo. here we see in white, that facebook has been dipping after its ipo, and then trading higher. twitter has been trading higher, and below t

joining us now for stock of the hour is bloomberg's abigail doolittle. nticipate this from exxon? abigail: other major oil companies missed the street, but they did miss on the bottom line even the earnings to double. cash flow is a big concern. all this is tied to production for expectations may have been high, but if we take a look at g #btv 8129, this is the company's production over the last five years. the down bars represent production declining in the up farce to the upside. we have seen that 17 of the past 20 three quarters have been to the downside. that reflects the oil crash. they had more than 1200 drills on. now less than half of that as oil has really declined. as you can imagine, the price of oil is a huge factor here. this gives us a chance to take a look at our favorite chart and the bloomberg. this is g #btv 299. this comes from mike mcglone, a bloomberg intelligence commodity strategist. look at this -- beta for colors and the moving band. der anded to be a tra it suggesting that we may not see oil rise above $50. if they did not get ab

let's bring in abigail doolittle. sing that the shares are not down more with the potential flood of sellers and supply coming out? abigail: to some degree it is because we have all those insiders who have the ability to sell. it's not known how many shares it is, but it could be 400 million. what this may tell us is the idea that some of those insiders think the stock is worth more than roughly $14 a share or that they do not want to sell under the limelight of this. some are actually kind of bullish. g #btv 8401,t th we see that the stock was down 50%. can you believe that between the ipo and the first locked up in that box? six months later, the stock was actually up 49%, so a big recovery. the auction strategist over at m k m says you want to buy the call on snap. he says he sees something similar here using this president. you may think that snap is not facebook. let's take a look at yelp and he's making a similar case there. 8422.s g #btv in that blue box of yelp, we see the stock was all over the place with lots

abigail doolittle is here. everything in the green.radingsums up the action for the major averages this morning. both the s&p 500 and the nasdaq are on pace for record highs. of a divergence between the dow and the nasdaq. we will be taking a look at the nasdaq in a moment. we have had this tech pullback for the nasdaq but it has now been erased. but put in its first record highs yesterday since early june. the nasdaq 100 is following suit. on june 8 back when the nasdaq 100 last put in a record close. andave the s&p 500 for june july. heading slightly higher. the nasdaq 100 really took a bit of a debt down 4% on that mysterious tech pullback. the month of july has been pretty kind and we have the nasdaq 100 on pace for record highs since june 9. pretty impressive recovery. a look at the stocks helping the nasdaq along with the s&p 500. vertex pharmaceuticals of 25% after combination treatments for cystic fibrosis beat bank estimates. those shares on pace for their best today since june 2014. morgan stanley up 3%. beating estimates and

abigail doolittle is here. we're halfway into the trading day already. >> mixed trading action here. slightly to modestly lower. the nasdaq is fractionally higher. it feels a little bit sleepy on the part of volume. investors are on pause to some degree as earnings get underway once again. there is some drag on the s&p 500 and the dow johnson. microsoft is down for the second day in a row. the stock has been up 19% year to date so perhaps it is a little bit too far, too fast. ge is down 1.7%. jpmorgan is saying that last week's results and the guidance toward the bottom end of the range may suggest that the fundamentals will be disappointing. we have some weakness for canadian-related companies. goldcorp was cut at national bank. to the point of the bearish tone around these stocks, the short interest has climbed to 38%, a huge short interest telling us thatcanadian-related companies. many investors are bearish. they are down, perhaps in sympathy with the greens. maybe less fertilizer will be used. finally they

abigail doolittle, thank you. now a story we are watching.ebook's whatsapp messaging service has been partially blocked in china.it comes after the government began private -- cracking down on virtual private networks which allow users to read data overseas. authorities have been ramping up social media censorship in china as it prepares for its 19th communist party congress. russiand between intelligence and president trump's 2016 campaign continued to be scrutinized, we speak with the former nsa director general peter alexander. the advice he is giving to the commander-in-chief, next. this is bloomberg. ♪ caroline: now the 14 brainstorm tech conference is well underway in aspen, colorado. the event brings together global leaders in the digital world to discuss ways companies are preparing for the future. we will send it out to emily chang, at the event was mark. emily, take it away. we are having a few technical difficulties. it happens on a tech showed sometimes. i know she has been getting some great sound from key topics. a big key topic

here to wrap up the second quarter in the markets we are joined by caroline hyde in london and abigail doolittlen new york. abigail, let's start with you. wrap up a snapshot of the second quarter for us when it comes to tech? abigail: it has been a interesting quarter for tech in the second quarter. we had very nice gains up until about june 9. that is when the nasdaq hit a roadblock. it was up about 7%, close to gaining toward what it gained in the first quarter about 9%. we also have this mysterious tech bailout. while the nasdaq is up nearly 4% on the quarter giving some of those gains back and partially, or mainly this has to do with the weakness we have seen in june. june being the first down month for the nasdaq in 8 -- we have a great chart that exemplifies -- it is g #btv 490. it shows the last time we had a monthly decline for the nasdaq was in october. if you recall, that reflected the election, a lot of tech stocks selling off a little bit. we have seen some uncertainty in june. while streeters are not sure what is behind it. some of it could be the end of the quarter. , taking profit

let's go to abigail doolittle to tell us more. with the major averages trading in very small moves, investors may be on hold as earnings season moves into the heart of earnings season. one high-profile company reporting is netflix. shares had been higher earlier with the nasdaq higher earlier. netflix fluctuating between small gains and losses. investors are looking for $.25 on a little more than $2.7 billion. that represents more than 20% year-over-year growth. the stock does tend to be very volatile after the company reports making a 13% move up or down. this time around only 8%. another big piece of the story is always subscriber growth. these are stocks are putting tomorrow -- bank of america, goldman sachs, charlie schwab, and harley davidson. trading revenue will probably very much be in the spotlight after that miss by jpmorgan. byrles schwab trading down 3/10 of 1%, but it does look like analysts are looking for a fairly strong quarter based on client asset growth after the company did lower online fees earlier this year.

abigail doolittle is here with us. we are halfway into

time now for options insight with abigail doolittle. now is kevin kelly from recon capital. last time we spoke, you were comparing the vix 2015 and and other wall street are has raised you one. vixaring the vix 2017 to 2007. we have a great chart. you seen it and you say you can talk about it until the cows come home. kevin: one of the reasons i was talking about vix is that it tends to come back up a sonically. there's a 30 day indicator of what the markets are anticipating. we are in the heart of earnings season and what really moves its earnings and part of it has to do with the interest rate environment as well as the dollar. if you compare it to 2007, what was the sentiment like? the dollar was significantly higher and interest rates were significantly higher. weakerar, the dollar got and that's why i was trying to compare in that regard. the vix only closed one time below 10. we closed nine times below 10 this year. abigail: you could see a big spike higher. some are positioning for some kind of out of scale event. the skew market,

abigail doolittle is standing by. abigail: the moves may be small, but we are looking at records for the s&p 500, the nasdaq, and even the dow. second on pace for a record closing high in a row. the dow transports on the bottom down at about .8%. clearly, the odd index out about four days in a row. let's take a look at the intraday chart in the bloomberg. compositethe nasdaq index, up about 1.25% over the last four days. dow transport down 2% over that time. on the dow transport, a series of disappointing earnings. yesterday it was ual and csx. today, we have the shares of union pacific weighing on the dow transport. shares are down in a big way. chp robinson put up the biggest etf in history according to steeple. and you will see those shares are lower. here they are, down about 5.4 percent, while union pacific beat. but there are lots of questions about rail shipping costs and competitors. we do see more pressure on the dow transports once again. after the bell, ebay and microsoft, two of the big marquee earnings rep

abigail doolittle, thank you. the chartress. uber is set its side on the business world. chief executive for its new ceo. meg whitman over twitter said that she is not going to be the uber ce. -- ceo. joining us for more is our reporter. anymore clues as to who might want this difficult job? a beleaguered ceo, typically, in this job? >> i think we are starting to see a trend line emerged just from the 2 names that we have heard, we are on the short list before meg was withdrawn. these two executives have long histories, running giant companies, ebay, to you know, from a 30 person company to a 15,000 person business, or amelt, who has run ge for tumultuous 16 years, but that is a conglomerate. it's also a shift to an earlier ainking at uber or they had one point considered, do we want somebody with deep technology industry experience or do we want somebody with experience running a sprawling global corporation? vonnie: they really sort of want somebody in there fast. it's almost another -- what direction they go as long as they put somebody at the helm. >> right. they have

abigail doolittle joins us now for the stock of the hour. ail: this is really a continuation of what we have been seeing over the last year. stop down more than 30% over the last year. i did reach out this afternoon to a bloomberg intelligence analyst. this is coming down to competitive pressures from amazon, alphabet, and apple. a have been pumping of music in a big way. g #btv 8548.k at this is a chart of pandora. see the stock has had a wild ride, at one point, up in a big .ay by more than 40%. and in blue, we have the revenue growth year-over-year. investors simply not investing for that. it tells the story more of a macro standpoint. what are the metrics people want to see at this point? abigail: investors are looking for a loss of $.25 on 367 million. this is a great function on the bloomberg. it is the earnings function. we have the stock price in red. we have the best estimate over the last year and it has been trending down. uphaps setting the company potentiallyt in a big way. we will find out, soon. we lost management and we got in

joe: abigail doolittle is standing by. >> things, joe.e are looking at small declines heading into the close. ,e have the dow, the s&p 500 and the nasdaq all lower on the day. the nasdaq headed toward weekly gains. the dow is headed toward a weekly decline. noting this is the first day in for we do not have a record high for any of the major averages. at oppenheimer, one analyst is encouraged by the number of synchronized runs. he is a technical analyst and he has been very, very right -- in my view at least -- over the last to give years, having a bullish view on near-term pullbacks, but this chart may suggest there could be more of a .ause -- happy 30-year season, but you have the 30-your season, but you see the s&p 500 has had a tendency to pop higher in the first up and then drop. this year we certainly have the pop. permissive says the strong he believes there could be a pairing of gains of the s&p 500 in the second half of july. it as far as what is moving on the s&p 500 today, ladders and leaders, looking at one of the laggards, ge

there is abigail doolittle. abigail: thank you. looking at a rally at this time. take a look at the two-year yields. this is all over the map. bonds trading higher and had been lower and then right around the time of the report they rallied for the short end of the curve as investigators -- investors thought about wage growth being disappointing, wayne on the two-year yield and the rally that we see and stocks to some degree. it will be interesting to see how it plays out. here is a look at the majors. we have a lot of green, a nice rally after yesterday's pullback. bullish assessment on the side of investors. and go into the bloomberg and we have the intraday chart of the s&p 500. basically flat into the report. a big spike, a little bit of a dip. vonnie: we want to go to the meeting so i will break in. the meeting between donald trump and vladimir putin. [indiscernible] [cameras clicking] president trump: think of a much. we appreciate it. we have been discussing various things and i think it is going very well. we have had some very good talks. we will have a t

let's get details from abigail doolittle. l: helping to explain the divergence you outlined with the dow down the most, this is the worst sector for the dow and second-worst for the s&p 500. the nasdaq does not have too much exposure to financials. the weakness for the america, jpmorgan and morgan stanley. they are down out of five of the last seven days on the series of disappointing earnings reports. on top ofchs are bottom line estimates but bank of america missed on interest income, the klein. goldman sachs -- decline. goldman sachs missed trading revenue by 20 1%, which is similar to jpmorgan. trading down by more than 1%, recording tomorrow before the bell, similar to goldman sachs. they derive a lot of revenue from trading action, so investors may think the weakness we see in that segment could bode poorly for them. if we look at the five-day chart of the 10 year yield, a big decline represented in green, telling us bonds are rallying ther janet yellen suggested fed may not be in a hurry to raise rates. that decline in

abigail doolittle joins us. aking a toll on one of the indexes in particular, the dow transports. it's having its worst week, down more than 3% since brexit. the nasdaq and s&p are higher and the dow is down a little bit but the transports are down in a big way, the worst week since brexit. weighing on the transports are some of the disappointing ual.ngs movers includingu ual guidance was disappointing. ch robinson missed by 13%. looking at the earnings movers, capital one is trading sharply higher. financial companies beat. finally, ebay is down about 3% as their third quarter earnings guidance is disappointing investors and though shares are lower. it's a mixed bag today. nejra: thank you. coming up on the european close, the following equities heading for losses in june, the stocks 600 lower and is down to a stronger euro which continues to gain against the dollar. the dax is getting crushed. this is bloomberg. ♪ . vonnie: it is 11:00 a.m. in new york. 13 minutes left in the equity trading today in europe. >>

here is talk about why shares are plunging today, abigail doolittle three abigail: we have the stockutely plunging, nosediving on the session. it appears there's a clause tied into medium and long-term expectations. their cancer study drug failed to meet the primary endpoint of the first endpoint, to drugs tied together that have not reduced tumors more so than chemotherapy. the reason this matter so much, if we pop into the bloomberg at g #btv 764, number seven going in the wrong direction for this company. we've had earnings and revenue declining over the last five years as the stock is gone higher. this expected to be anywhere between eight $3 billion to $7 billion by 2022. here is a chart showing that absolute plunge. offsetug could possibly that. the fact this trial is failed, investors are punishing the stock but what's interesting here is they spend some time, bloomberg intelligence analyst in london, and he said yes, it's a big setback but this is not all the company has. if we hopped back into the bloomberg, this company has a huge pipeline, lots of drugs here, on top those

let's go to abigail doolittle.ne, the index came in at 57.8 versus the survey at 55.3. above the month of may at 54.9. anything above 50 tells us the economy is growing, so this is a pretty good print for the month of june. on the average, not too much of an influence. we were looking at gains ahead of that number. the dow and s&p up half a percent. the nasdaq have been up about .6%. the other averages less. now we have the nasdaq trading lower

let's get details from bloomberg's abigail doolittle. a lot happening for u.s. stock. the surface we have seen risk on sentiment off sentiment. robert mueller said to expand the russia probe to include trump's business transactions. on this, we have the dow down slight. have oil slipping down into the red. trading higher along with bonds. influencing really the sector competition. that means that yields are going lower. top sector.een the what happens bloomberg take a look at the return function, we 500 up tope s&p telecom. we have healthcare up top. this of course, we're seeing a thele bit of a pop for healthcare sector. we take a look at the chart of the s&p 500 health index. a pot going into that news that mitch mcconnell did cutshat the health bill the deficit by $420 billion over according to cbo. little bit of pop for the healthcare sector there. the trumpelative to trade, we did see a reversal risk appetite. trade stand?trump it is out of the election over in. in this white channel in yellow we have the s&p 500 in blue we have the bloomberg dollar index. the tru

abigail doolittle, thank you. heard abigail say that some of the big earnings have come out but we also get some big ones today. facebook, amazon tomorrow and apple is next week. mike regan, senior editor for markets live. michael, characterize earnings season so far. look athing highly to during the earnings season is actually what groups of stocks are doing the best. aton't necessarily just look the numbers, but what's doing the best. one thing that really sticks out to me is stocks with high international exposure, stock split get half or more of their overseasand sales from , or really leading the way in that earnings season trade the high international sales exposure stocks are up more than 4%. the high domestic sales are pretty flat for the moment. that has a lot to do with the currency markets, the weak dollar. aboutlly is as much expectations for future earning seasons as it is for this one, that weaker dollar benefiting these multinational, sort of where the main domestic focus of these, especially small c

over to abigail doolittle with what is happening with stocks. ome major averages how but the nasdaq or big cap technology is slightly lower for the first time in 13 days. gainss 7081 and shows the and he declines, here is the -- and he declines a here is the long winning streak. fractional declines perhaps about to break the winning streak. left.e a few more hours some of the big drag's today , thedes cj technology down hard disk drive maker missed estimates in a huge way, they and a profits by 34% change around us ceo role and they announced job cuts. very big declines. et trading down after they beat estimates but was disappointing was the fact acquiring traffic has risen and this is putting pressure on margins and facebook is trading down in sympathy. a look at the worst sector for the s&p 500 is health care. lots of varieties of habtoor companies trading lower. on top, a few of the hospital companies. down by about 4% after they missed estimates. the second quarter in a row and our bloomberg health team told our team not too long ago it is co

abigail doolittle is here. heart of earnings seasons. 500ail: 127 of the s&p companies report. hadtive to sales, 82% have higher sales. that is a positive earnings season. we are looking at caterpillar, mcdonald's. these companies have beat earnings. caterpillar by 19%. and what theyt, really listed was customer traffic, a milestone for the ceo. rambus beat and boosted. we have some laggards on the day after disappointing earnings reports. 3m down 5% after a huge miss. 19% missed on the bottom by and the full-year midpoint earnings has trailed. traffic acquisition costs are rising. 4%.lilly down macro sense at the for earnings beyond those stats , these white bars represent the earnings growth year-over-year. we had that earnings recession, and now we have earnings growing in a big way. in the first quarter, earnings group 14%. -- grew 14%. now earnings are expected to grow less than 10%. look at valuation on the bottom. the pe ratio is high. even though earnings are expected to slow, stock valuations are still

here for more reaction, let's bring in abigail doolittle. still with us, david kirkpatrick. s through the u.s. moves. abigail: a pretty impressive session. we saw a nice rally for all three major averages. the nasdaq stood out. more than 1%, led by lots of big tech names, plus apple. all of these stocks have big games on the day and did not appear to be driven by anything on a mental outside of a boost in confidence and optimism, probably only better-than-expected jobs report. let's look at the group function return. up 17% safe the --up 17%. up in a big way. a solid day for technology. let's put this in the context of the pullback. we still have the nasdaq down about 3% from the last all-time high on june 9. this is just the best day since last wednesday. investors not sure they want to be buying the dip or still cautious. time will tell. we still have earnings season again. . atope, we saw technology number two. it was up on the week. asia was down for technology stocks. ang.ail mentioned f are you a buyer when we see this dip and volatility? mind, my company is called tech

let's go to abigail doolittle. aigail: we are looking at pretty nice beat for the month of june, the index came in at 57.8 versus the survey at 55.3. above the month of may at 54.9. anything above 50 tells us the economy is growing, so this is a pretty good print for the month of june. on the average, not too much of an influence. we were looking at gains ahead of that number. the dow and s&p up half a percent. the nasdaq have been up about .6%. the other averages less. now we have the nasdaq trading lower but still we have strength after weekly declines are all three major averages last week, especially the nasdaq. had been down 2%, the worst week of the year. let's look at some of the more breaking data coming out. june,les for the month of gm, ford, toyota, nice rallies here for the three big carmakers here in the u.s. outside of gm, we had beats with light vehicle sales. general motors missed but it seems the optimism around the second half are helping shares. tesla higher by 2% after elon musk said the company

abigail doolittle is with us now with the latest. >> pretty clearly the sellers are in control. clearly the nasdaq is down the most. being dragged down the most by the health care sector. top point drags on the nasdaq are in the technology space. another top point dragged as the company fails to receive the eye ihs reward on safety concerns. tesla is having its worst two days since february of last year. let's hop into the bloomberg and look at the technical. the stock has more than doubled and see election. what we have going on here healthy consolidation. we have very solid support here despite the fact that the up print has broken. not blue line represents just near-term support, but longer-term support. the long-term outlook is bullish. one reason that vonnie was mentioning work from bloomberg finance we have a chart that shows electric vehicle expectations. yellow is tesla, oranges gm, blue is vw. in 2018, tesla is expected to take the lead into 2021. and finally let's take a look at the another big story on the day. inetheless a big spike yields are presented in red. areel

let's check on markets with abigail doolittle. small gains for the dow in the s&p 500 up between .1 and .2%. small gains and losses, but look at the nasdaq leading the way on .5%. tech is a top sector today, but not the top sector. the top sector is the material space and we have lots of gainers in the material space including mosaic industries and fmg court. and our bloomberg intelligence analyst earlier told me that he believes this has to do with isengthening the green which rallying on drought concerns in warm weather out west. richard board thinks it has to do with the weather. striken a potential other competitors mine in chile. les, the ceo's meeting with indonesian officials to work out concerns there. another stock popping higher on the day. here is an intraday chart up .75%. despite a bloomberg report saying the f-35 program is to billion, a new pentagon estimate. weapons expensive program out there, but investors seem to be ok with this. a report earnings next week. and speaking of earnings, let's talk to the bloomberg

abigail doolittle joins us with the latest on the rally we are seeing. abigail: we do have a rally.ingly on pace for the ninth day higher in a row, the longest streak

abigail doolittle joins us with the latest on the rally we are seeing. abigail: we do have a rally. we have the nasdaq amazingly on pace for the ninth day higher in a row, the longest streak since 2015. a pretty impressive considering not that long ago we were talking about a tech pullback. now we have the nasdaq at new record highs similar to the s&p 500. for a second day in a row, the dow up the least about 1/10 of 1%. that also means the dow is not putting in a record high. .his is a one-year chart in white we have the nasdaq. in purple we have the s&p 500 and in pink we have the dow. the blue lines represent all the times we had simultaneous record highs for these three major averages. it's pretty remarkable over the last three years have had tons of simultaneous record highs. right now, the dow is. man out. we don't have a blue line today. let's take a look at what is dragging on the dow the most. ibm drags sharply. 4% drop4 -- almost after they missed on sales estimates. they beat eps, but jeffries saying it is the deja vu quarter and the quality of the earnings is very poor,

vonnie: thanks to abigail doolittle. still ahead, geopolitics.is bloomberg. ♪ so we need tablets installed... with the menu app ready to roll. in 12 weeks. yeah. ♪ ♪ the world of fast food is being changed by faster networks. ♪ ♪ data, applications, customer experience. ♪ ♪ which is why comcast business delivers consistent network performance and speed across all your locations. fast connections everywhere. that's how you outmaneuver. so new touch screens... and biometrics. in 574 branches. all done by... yesterday. ♪ ♪ banks aren't just undergoing a face lift. they're undergoing a transformation. a data fueled, security driven shift in applications and customer experience. which is why comcast business delivers consistent network performance and speed across all your locations. hello, mr. deets. every branch running like headquarters. that's how you outmaneuver. vonnie: live from bloomberg world headquarters in new york and london i am vonnie quinn. mark: i am mark barton. this is bloomberg markets. let's check in on first word news. emma chandr

i want to hand it over to abigail doolittle. re with a strategist and we are going to look at a few charts. thank you for taking the time. this is our first chart. we have simultaneous record highs for the s&p 500 and the dow. i believe you think this is bullish? >> as a technical analyst, it is difficult not to be bullish. you have the long-term up for quite some time, many years, depending on how your measuring it. we had a breakout not that long ago that targeted a measured move projection, what you see on 26.40.art here about and now intermediate-term target with the time that has passed. it is bullish. we have intermediate momentum turned positive again recently. after having wavered throughout the space we saw. abigail: that first measured move before was a consult -- consolidation to the moving >> i am mark crumpton, it is time for first word news. as we have been reporting, the senate rejected a simple repeal of obamacare that contained a two-year delay. several republican senators voted against the repeal only plan. lawm

abigail doolittle is here with the latest trading action. >> very small moves in the dow and s&p and makes trading action from the dow and s&p 500, perhaps investors on hold in waking the results of the fed meeting. the tech heavy nasdaq up four tents of 1% and on pace for its best day since last wednesday after quite a bit of selling action. we look at what is happening sector wise for the s&p 500. function, tech is the clear winner, of 9/10 of 1% and more red than green. on bottom, energy down about 1.7%. what is helping tech from a performance standpoint, perhaps the most, looking at the chip sector and the philadelphia semiconductor index up nearly 1.5%. macron trading higher. nothing fundamentally new. we are seeing a bit of a rebound rally after last week's almost 5% pullback. when we look at a chart in the bloomberg, something happening technically, this is a one-year chart, stocks on fire from the lows to this high, up 70%. a huge move. recently, similar to the nasdaq. 50 day moving average in orange. if it can hold, perhaps you see these trade higher but otherwise, a drop-do

abigail doolittle is here. much of a reaction to that fed report by the gains seem to be driven by the better-than-expected june jobs report, 220,000 jobs added, on appointment fell to 4.3%, nearly the lowest since 2001. where we do have a reaction to that report is in the 10 year yield. ,f we look at the intraday look we see a spike up after this report. we can look at this at my bloomberg as well. this is an intraday chart of the 10 year yield. lots of messy action today after that jobs report initially dipping down, investors not liking the fact that wage growth was disappointing. right around the time of the report, a spike up on a relative basis, it looks pretty big, but on an absolute basis, not too big. investors think the fed is on track to stay the course of some sort of tightening policy. to seeook at the s&p 500 the lack of reaction. seeing a little bit of a decline but not much to write home about relative to the report on stocks. investors still bullish on that jobs report after yesterdays pullback

thanks there to abe gale doolittle -- abigail doolittle. u.s.nering around record highs. how long will this s&p rally last? it's the question we keep asking. joining us from indianapolis is legal group's c.i.o. he's also the core investment fund. you turned bullish back just more than a year ago. and you're still bullish. but with a little caution. what are some of the red flags out there for you? >> well, we're not that cautious, quite frankly. within our tactical funds we've got the latitude to shift net equity exposure between 30% and 70%. today we're at 67%. which is pretty remarkable, i think, given how far we've come and how high valuations have gotten. so certainly i guess we are concerned about valuations more than anything. but quite frankly in terms of just market action, we like the, for lack of a better word, the uniformity of this move in the sense that you've got large caps, you've got the russell 2,000, you've got transports, you've got the new york stock exchange financial index. all breaking out to new heights. closing at new hi

let us get a check on where stocks are trading with abigail doolittle. >>

abigail doolittle has more. abigail: we have the dow as the only average that is trading higher.lipping between small gains and losses. the dow all day has been higher. the nasdaq pretty decent divergence there. the bank really helping the dow -- tech dragging on the nasdaq. let's take a look at oil. oil recently moved back above the $50 barrel mark. and right now, above it by $.19. it's not clear what behind it from a fundamentals and point. but it is worth noting -- from a fundamental standpoint. is worth noting it is trading in a range between $45 a barrel and $55 a barrel. backas been climbing higher in that range, psychologically important above $50 a barrel. sector, if we hop into the bloomberg. the divergence between financial zantac, it's a good way to get a snapshot of what is happening in the s&p 500. right below it, energy up about .5%. on the bottom or near the bottom is technology not in that last thought that near the last spot. take a look at some of the bigger drags for the tech space which is causing, again, the divergence for the nasdaq. here is the s&p 500, dow