sonali: our thanks to david bahnsen of the bahnsen group.ng more to say of the magnificent seven invulnerable. coming up, higher for longer. interest rates are crushing global real estate. we are going to discuss the state of the market, next. this is bloomberg. ♪ (adventurous music) ♪ ♪ ♪ be ready for any market with a liquid etf. get in and out with dia. jon: this is "bloomberg markets" . i am jon erlichman with sonali basak. time for today's what it's worth. 3.1%. that was canada's inflation rate in october. a slower pace of growth compared to what we saw in the previous month's data. economists expecting the bank of canada to hold firm and its third straight meeting scheduled for next month. like in the u.s., we are seeing increasing price pressures open the door towards possible rate cuts moving into next year. i imagine we will continue to hear conversation around that. sonali: people are hoping for those rate cuts. it might be wishful thinking but time will tell. high inflation and higher for longer interest rates means less money in

have you been listening to david bahnsen who seems to agree with you. >> no i have not.ll you what if you put this in terms everybody can understand why do you have a fire alarm in your house at the dang thing does not go off until after it's burned to the ground that's at the rating agencies are doing that's not forget they gave everybody aaa coming into the credit crisis in 2008 and nine. stuart: it is irrelevant your investment guy, you pay no attention at all. >> i really don't, all joshing aside these guys are trying to remain relevant there filled with a lot of smart people who do great analysis but there stating the obvious, interest-rate the everybody talks about our assessment of risk the market is taking care of that function the rates have been going up. stuart: what about a government shutdown that doesn't bother you at all. >> it does bother me because i think it's an absolute disgrace but as an investor i've got to see through that i don't the luxury of taking sides i have to believe cooler heads are going to prevail and how things are going to survive whet

group founder and managing partner david bahnsen.emen, thank you so much for being here. let me kick it off with you, steve forbes. give us your assessment of that jobs report on friday, and did the fed make the right move by taking another pause? >> it certainly took the pause, and they're, i think the end of the fed doing that is now at hand. no more interest rate rises. as a matter of fact, they should be taking their foot off the neck of the economy. that jobs report, as you anticipated, was a disappointment. not only the downward revision, but the growing gap between the so-called household survey and the survey in terms of establishments. the establishment survey has always been higher, i think, than the real economy. household gets to what's happening really more to small businesses. last month that household survey was very disappointing. this month it went negative. so that's a sign the labor market is turning, and so the federal reserve, back off. you're already too late as usual. maria: yeah. i mean, the household survey w

bahnsen group managing director, david bahnsen. this is from the journal of corporate finance.ast week i thought it was fascinating for a couple of reasons. they say it is okay to hibernate dividends, not pay, two, three, four years, several quarters in a row, you can actually take money because paying, some of these companies would help them reducing underinvestment. money you would put into a dividend maybe you could put back into the business? >> the problem with that, and there are plenty of studies bear this out, this is what i dedicate the my career too, companies that hold on to money that belong to shareholders end up blowing it up. bad decisions are made when companies do not properly reward shareholders. there is a counter to thats. you need enough money to run your business. you need cap-ex, you need r&d, you need marketing. that is why companies don't pay out 100% in profits and dividends. charles: right. >> there needs to act dual objective for corporate america to reward shareholders for the risk they're taking to invest in the business. charles: companies that le

. >> now we have david bahnsen to cover the market.efore we get to that i want your comment on the poll and empower. >> at the kabbalah people are talking that the vulnerabilities are brand-new when they have been there for a while the polling is validating it and it's getting worse i've had a theory that they wanted to avoid a food fight primary and for biden to say he's running freezes everyone else and goes to the whole process and at the end once they feel confident that president trump will be the nominee then they can come in fighting can step downhill have every health and age reason to do so and gavin newsom or someone steps in. david axelrod is a respected guy in the smart guy and biden is in a lot of trouble right now. let's get to the financial side of things. you think investors should move on from tech fads. are you talking about microsoft. >> arabic microsoft is a tech fad. i think the largest software company used on every computer ever is more than a fad. i think paying 50 times earnings for a.i. is a fad. buying into n

david bahnsen joining us.ive surging in the premarket, reports rockstar unit is planning to announce the next grand theft auto. this is the grand auto six-game as early as this week the videogame company reportedly earnings "after the bell" the stock is up 31% year to date look at it this morning another eight a half% road now pretty quick break, new investigation into the budget investigation or an action at the border. whether they have the authority to cut texas razor wire. we are checking that out. transportation secretary pete buttigieg better say petty's. we'll tell you why, stay with us. ♪ meet the jennifers. each planning their future through the chase mobile app. hellooo new apartment. one bank for now. for later. for life. chase. make more of what's yours. why choose a sleep number smart bed? because no two people sleep the same. only sleep number smart beds let you each choose your individual firmness and comfort. your sleep number settings. it's so smart, it actively cools and warms up to 13 degree

david bahnsen joining us now. good morning to you, david. are we going to have a santa claus rally? you say? if. >> well, i think you know how i feel about these short-term predictions. i can't lie to our viewers and say that i know. there is plenty of reason the believe that we have it, that the last few weeks were, bond yields dropping significantly, stock prices moving higher a lot. could we run in place for the next month? if i think that's very possible. ultimately, really, ash, what the markets are -- have to do now is price in the fact that the fed will be cutting rates in 2024 but not for a great reason. the economy will be slowing down. ashley: right, that's the paradox, as you pointed out. but i want to get to nvidia, if we can, reporting after the bell. we had a guest on maria's show that said basically, hey, if they beat, rally continues. if they miss unexpectedly, expect a selloff. i mean, is there that much riding on nvidia's earnings? >> i want to come on with those bold predictions that if the earnings are good, it'll rally and if they're bad, it'll sell off. [laught