rishaad: exactly one hour away peter j.p. morgan will be taking center stage as it kicks off the latest pareto financial earnings for american banks. jp morgan and rivals have been earning the pandemic related surge in trading revenue is slowing down. yvonne: let's get to su keenan joining us with more. we have seen the warnings from the banks and we saw the stocks react to that as well. su: they have been retreating over the past week. we saw j.p. morgan chase up 2% on the day, along with the rest of the banking sector which rose with stocks to the record. take a look at j.p. morgan chase year to date. it is up 24% year to date. that actually trails many of its rivals in terms of performance. it was down from its peak in june. that is when jamie dimon put out a warning to investors, shorter to manage down expectations, saying the trading revenue for the second quarter would be less than expected and significantly lower than the first quarter of last year. we had other banks come out and similarly manage expectations. citi and morga

j.p. morgan also very strong. those bode well for morgan stanley who reports on thursday but we are also going to be looking to see if companies like citi and bank of america who want to build up their equities business are gaining share and that is in the week of the arcade goes fallout related to mass -- ok goes -- archagoes fallout. kathleen: this is act one out of two acts. going into act two, what are the indicators to tell us whether the missing pieces, whether the consumer side, whether the loan growth, whether the interest rate environment is going to come in favorably. allison: -- >> the number one thing that banks need in terms of what investors are looking for is a cup in loan growth in the second half. the second half is the key period. for most of the year. however, head of that, we see weaker card balances for j.p. morgan and citigroup so we all expect trading to normalize. we are getting better fees in the pipeline although that is a little bit smaller. the other good thing on trading revenue is that

bloomberg announces that aramco will pick j.p. morganoldman sachs for international developing of pipelines. how's the international strategy of james dimon doing? >> quite well. citigroup is our dominant global bank. almost 60% of their revenues come from overseas. j.p. morgan chase about 25% of their revenues come from overseas. so i would suggest they've done a very good job of expanding under his leadership and that's going to be a continued area of growth because they are unable to buy and depository because of their size. they have over 10% deposit market share. so he needs to grow organically. as you know they are going into london with a consumer product by the end of this year. jonathan: we need to get a better understanding of how willing these consumers are in america to our credit card debt, go out and add loans. are we going to get that read today from this release? >> i think we will and we will get some color about the near-term future as well. federal reserve announced in their consumer loan numbers that consumer debt out

and for j.p. morganhase about we heard jp diamond state just minutes ago at the top of our show that he believes inflation is here to stay. it is not transitory. that underscores the darker lying behind this club let's get to the good stuff we can. fees for advising mergers and underwriting blew away estimates. that blue -- boosted net come. jp morgan released billions in reserves, all that money set aside for bad loans. almost twice what analysts are protecting. analysts latest second quarter. second quarter they benefited from this. goldman revenue is up 36% mainly on these deals that everyone has been going after in this easy money environment. haidi: bank of america city wells -- america, citi, wells, what are we expecting? >> it's a difficult act to follow. we will have bank of america and wells fargo reporting before. bank of america trading revenue estimated to commit at 3.8 billion -- come in at three point in billion. adjusted eps $.77 percent or. citigroup adjusted revenue at 17.3 billion. ups

j.p. morganing center stage on tuesday as it kicks off the latest parade of financial earnings for u.s. banks. j.p. morgan and rivals have warned the pandemic related surge in trading revenue is slowing. su keenan joins us with more, getting us all set up for this. a lot of anticipation. a lot more optimism today than there has been in the last several weeks. su: the market was off to the races. j.p. morgan, 2% on the day. not a bad game but that is trailing all of its peers but one in terms of year two performance. if you look, you can see j.p. morgan like the rest of the banking industry had big gains until june and that is when the ceo, jamie dimon, signaled trading revenue would probably drop in the second quarter by more than previously expected. j.p. morgan, the first to report this week, so a lot of focus will be on that but we also heard from other bank executives from morgan stanley also managing expectations downward on that trading revenue. analysts preparing for weaker showings of com

j.p. morgannd goldman sachs eating mixed signals yesterday, and today it is wells fargo, bank of america, and citigroup. we are joined by our bloomberg finance reporter. let's start with a positive, we had strong m&a investment banking for j.p. morgan and goldman sachs. is this the new thing that will carry these banks three quarters to come? how much of a growth engine is this for the investment banks? >> it is all about deals and deals. goleman sachs posted a 36% jump in revenue from investment banking to $3 billion. they advise on the top deals this year, including the megamerger between time warner and discovery. j.p. morgan also advised on that deal saw their investment banking revenues rise a record to 3.5 billion. it is their best every year, and whether that is sustainable is the big question. manus: absolutely. great to have you back with us. a couple of warning shots for me, we know the rich do not spend, but they borrow. they are borrowing but main street is not a j.p. morgan, and we a

at j.p. morganu see costs arising as they look to pay people competitively, dealing with elevated volumes. but where is that profitability going to come from in the second half of the year? kailey: you mentioned the potentially positive read through for morgan stanley. shares are in the green while others are under pressure. what is the readthrough for other companies we will see tomorrow? >> it will all be about market share, fixed income trading, equity trading revenues. morgan stanley is the number one equities trading shop on wall street. we saw goldman sachs bring in more than morgan stanley before, so can they bring themselves back up? citibank and bank of america, we know the investment numbers are less. can they bring in more money from equity underwriting, debt underwriting and m&a fees, while still struggling with this net interest income environment? there are also the regulatory challenges, reshaping of the bank. kailey: we know that you'll be here to take us through all of it tomorrow.

kathleen: turning to banks now, j.p. morganill take center stage tuesday as it kicks off the latest traded financial earnings. rivals warned the pandemic related surge in trading revenue is slowing. su keenan joining us for more. we saw bank stocks on retreat for a while, thinking that the earnings would not be so good. today, we had quite a move in financials area people seem not nervous exactly but like they are really gearing up for this. su: we did see it moving higher with the rest of the market but you look at the big chair year-to-date, jpm's stock down -- not as much as its peers but down from that first half rally. that has a lot to do with the fact that the ceo, jamie dimon, back in june, really talking about how you should manage expectations and trading revenue. not going to be quite as fast and furious as we saw in the earlier quarters last year. we heard from other banks. sort of tempering expectations, managing expectations down. analysts say the big question is a lot of the good news is already priced in and we

positive words from jamie diamond, the ceo of j.p. morgan or the ten-year yield? >> well, as you know, i don't have a restraining order filed against me by jamie diamond so i'm free to say what i want. as powerful as he is, i think the ten-year yield transcends -- and i think he would agree with that by the way, if and when he comes on the show, we can ask him, but ten-year yield, and listen to what chris said last night, really really thoughtful work carter has been on this, as has dan, to karen's point, the bank is probably set up well in earnings next week. >>> shares of alibaba under pressure, the stock is down for six straight days. is this pull back a buying opportunity, stick around to find out, and later we're speaking exclusively with twitter ceo ned segal, he'll anll us what's next for the compy. stick around for all of that and much more when "fast money" returns. sometimes, you want speedy but reliable. state-of-the-art but dependable. in other words, you want a hybrid. so do telcos. that's why they're going hybrid with ibm. a hybrid cloud approach wit

at j.p. morganrong pipeline for indian tech companies at home and abroad when it comes to listings, raising up to $12 billion through next summer. the shift in consumer behavior to digital is a key catalyst with many inditex firms, as much as three years ahead of schedule it in terms of generating profits according to jp morgan. haidi: we saw that rebound in tech company striving u.s. stocks to the brink of the record. they trading quarter reporting a strong outlook. intel took a slide after giving a lack luster sales forecast. the world's biggest semi maker. let's bring in our guest, bob o'donnell. great to have u.s. always. we have seen -- to have you, as always. it is the forecast that that the market down. bob: yes, and what is interesting about this is not -- the forecast numbers were not so bad but what people were concerned with was the gross margin and there was a lot of focus on that forecasted gross margin not being quite as high because the company did actually raise the revenue target fo

j.p. morgan, this is the note that we saw the last couple of days. downgrading a trio of stocks when it comes to the education sector. the likes of new oriental hong kong scholars. these are the ones we are seeing today. j.p. morgan came out with a note saying this unprecedented uncertainty right now is very difficult to really quantify what this whole change in policy really means right now. and a lot of people are questioning how far is beijing going to do in terms of suppressing this industry, or is it eliminating the private tutoring industry overall? rishaad: if you are going to do anything to get rid of one particular industry, -- but the country -- but the companies have come out with obligatory statements suggesting that they could comply with the government's wishes, but there is this opaqueness here, where it ago. down 70% in the u.s. session on friday. we are talking about it being fully implemented in the privatization. that's the educational response there. again, it's considering ap

delta, pepsi and unitedhealth, you know me i love the banks and there's a bunch reporting next week j.p. morganman sachs and bank of america to name a few. jack: the one thing we might look at in their forward-looking statement as bond yields our interest that margins closing to the point where they are worrying? >> what people had been hoping for ahead of this bond yield that we would've seen a body mean out not sure if we will see that just yet, what investors are going to look for is any sign of loan growth in any volume that can make up for the persistently low yield, investors are going to look to the banks to see how are they navigating the new normal trading revenue help them but will help them as much as year, also referred leases priced in and also share repurchases and dividend that the banks are allowed to do likely also pricing as well. jack: let's pivot to china, that was a big story or a big story last week we saw the right healing act the regulators crackdown on that and the shares plummeted another company pulled it back from a potential ipo, what is happening there. >> i think

there but it's not easy to scale cars like software other folks have mentioned to me nvidia and j.p. morganneed to make a bet i would go with visa they were $500 billion a bit of attack and financial services hybrid the company makes money on every transaction that runs across the payment network, its economic recovery and by the way the stock is returning 30% on average annually for the next decade it wouldn't take it too much longer to get to the trillion dollar. >> that's an extreme regrowth trajectory let's go to actionable idea, we will start with you been. >> i don't want to wait to hit a trillion dollars i'm looking at visa right now people are traveling in their still using it for e-commerce and we see people use their cars generally total consumer credit rose 10% that's the biggest increase since march 2016 the stock is looking really interesting. jack: postcode i'm not using cash much anymore. carlton which are suggested and might be a good time to rebalance if you haven't already this year the market hit all-time highs on friday were getting a ton of data from companies in the fo

new york particularly the ones telling people to get back to work morgan stanley, goldman sachs, j.p. morganome back we want most people back after labor day. are essentially prodding their workforces to get vaccinated i would say 90% is a number that these executives are telling at these firms of the workforce is particular in new york city have been vaccinated the whole notion of a mandate for masking is throwing them a ball into the reopening plan and why is that, the way they explain it to me if you have an office setting something like 15000 people, how many people i think are in j.p. morgan's office in midtown having an office experience where you having meetings and talking to people and constantly doing stuff trying to talk to clients behind the masks is almost impossible it almost defeats the purpose of having everybody together because the communication does not work so well. if we see an indoor mask mandate extend to new york and that's not what we have we have the federal government say places where they are hotspots, we are recommending, the cdc centers of disease control recomm

we don't think so, but if you are looking at bank of america and j.p. morganeir consumer and commercial banks to do a lot better from this point forward. they just need money to be slightly more -- and between the fiscal and monetary side, there's just the world is awash in cash, and that is a problem right now. alix: i appreciate that you told guy he's been around the block for a while. that's funny. guy: i was going to let that one go, but thank you for bringing it back up. [laughter] alix: i feel like we also learned from earnings so far that the really good news may already be in stocks. i wonder if we are seeing that in financials, how does that set us up for tech, and what is going to lead the way in the second half? cole: particularly financials, it looks like in the interim, this is kinda becoming crowded by a bunch of people that are trying to play the reflation trade, trying to play value, etc. the question, do your point, would be the driver of these businesses. to your point, i cannot say much about the stock market, the s&p 500 from this level. th

j.p. morgandman sachs sent mixed signals in yesterday's session. what will the fate of wells fargo, bank and citi b. this is bloomberg. ♪ ♪ anna: welcome back to "bloomberg markets: european open." european equity market futures pointing increasingly to the downside for major markets. one of the things we have been dealing with yesterday in the u.s. and this morning in europe, inflation prints that comment above estimates. that is certainly a feature of this morning. we have the u.k. number. you have been thinking a lot about the reaction we saw to u.s. print yesterday. mark: yes. you might be able to guess that i am getting a little bit excited about this topic. i basically think that those who have dismissed the inflation threat have zero credibility now. for the past four months, whether it is cpi month on month, core cpi month on month, the headline year on year, the core year on year, it has pete consensus -- it has beat consensus estimates. we saw the highest month on month number since 200

the one thing i think j.p. morgannowledges, the likes of square and others, they missed and now they have to spend. tom: they've got to buy. jonathan: i know some all he has done a lot of work on this. i know -- i know sonali has a lot of work on this. when it comes to purchasing an m&a and all of that, morgan stanley, a lot of attention. tom: he has done some strategic things in wealth management. it is a little bit away from the tech part and much more towards his comfort, his wheelhouse. the other thing we have to look at, i will be honest, this have to do with banking as well. we had a transaction yesterday that was done completely outside traditional financial banking. it was done in private equity and the financing for that including blackstone, the aft wrote this up beautifully overnight. what is the future of banking three to five to six years out? i don't know. jonathan: i don't know either and that may be part of the thing that is kept these banks back. these have not been the big performers over the last 10

, the problem with this one in a nutshell is that j.p. morgandent it just reported an a quarter, the big source of strength came from their episodic businesses, while the more consistent ones with asset management weren't as strong i have tremendous confidence that jamie diamond and his team. this is a tough market for the banks, and doesn't help while the best operators stumble i'd still rather buy morgan stanley, and wells and finally there's a one that a lot of people didn't like. i have a thesis, they reported a big earnings beat, driven by a huge reserve you have seen that pattern, sales come in, the worst bank of america's most important business, consumer and business lending, it is too, as it's global markets division. the key metric for the financials came in when we could have expected, too, i think it's going to be a floor. bank of america is the most sensitive interest rating, and the recent collapse in bond yields made it more difficult for them on top concerns about rising expenses, and all of that said, the one hand over fist that

j.p. morganent and others seeing a rally in the bond market that has gone too far and does not reflect the strength of the economic outlook. growth will stay strong and we do not think the market has priced enough rate hikes. a lot of people share that line coming from j.p. morgan. tom: the research out over the weekend with and i towards earnings -- with an eye towards earnings. right now on the lagarde testimony over the weekend in venice, vincent reinhart joins us. he is mellowed investment management cheap economist. far more, he is encyclopedic on the research path we have taken over the many decades reading to research effort at the fit the fit a number of years ago. professor reinhardt, thank you so much for joining us. when you look at the lagarde-powell nexus, how are they attached right now? vincent: they share a love of ambiguity and of talking a lot. they will take every platform they can. right now they are both in the position of wanting to reassure markets they know what they are d

bank of america, j.p. morganthey have faced harder times in their net interest income so revenue related to lending, you do see divergence, and that is when it comes to high net worth loans versus the rest of the consumer book. we are seeing a really large jump at j.p. morgan, goldman sachs, and bank of america when it comes to global wealth management and u.s. wealth management, but not the same story when it comes to the broader consumer portfolios. haidi: our wall street correspondent there. the st. louis fed president thing's is time to taper. jay powell is not ready yet. will have more on those differing views and what investors should be doing with them. this is bloomberg. ♪ >> time for morning calls ahead of the asian trading day. the rbnz has set on two bands of tightening that several economists polled by bloomberg do not expect the cash rate will go beyond 2% this cycle. the prediction is for the rbnz to hike key rates to 2% by early 2023 but a rate strategists said there are risks in either direction t

they start tomorrow with j.p. morgan.his is your cue, the catalyst for everything that happens every single day. we come in about two or three basis points. today i think we get $58 million of three-year notes and 30 billion of 10-year note's. lisa went through those earlier. three or four basis points on 30. it's been a flatter curve. it's been a challenge for bank stocks. look out for cpi. i cannot seem to find a consensus not on what the data will be at how this market will respond to the data. euro-dollar just a little bit weaker. negative about 2/10 of 1%. we have had the guide changed over the ecb in terms of the mandate. below close to 2%. because you've made that change you've got to change the guidance as well. i'm interested to see how that will change. >> i'm watching the german finance minister. that will be a huge deal. we have a terrific set of voices lined up to give you perspective on what clearly was an event from july and august. michelle myers at bank of america. it just became immediately visible in th

you saw the results from j.p. morganan sachs i was speaking with karen finerman over the last couple of days she didn't like the setup. she said the banks were rallying into earnings and part of the reason for the selloff yesterday. do you still feel as though there's a constructive trade for the banks? and how much will b of a, citi and wells fargo tell you about the overall health of the banking sector >> i think in particular of course bank of america is going to tell us a lot about the consumer rather than their trading or the fixed side of this i think, dom, that's centered on wells fargo. most of the other banks we were seeing protective trades, trades that people in the short term like in the next month, 30 days or so let's say, to august expiration, people were looking to protect gains that banks have made rather than betting they go higher one exception was wells fargo. they were still buying up side calls, a speculative call in wells fargo because of that recovery story, not the economic recovery but that bank'

i know that from talking to people at j.p. morgan and morgan stanley. highlyork force.e -- people that get the vaccinations, they're either asymptomatic or they don't get it. that's been borne out by the numbers. >> neil: they don't see the urgency to do what apple did. what happens in l.a. county is different than in new york and areas like that. so what would change it if there were a spike beyond this or if the city and/or state changes their policy? >> the latter, i believe. if they get a mask mandate handed down, i think you see morgan stanley say hey, you don't have to come back at labor day. j.p. morgan, jamie dimon will say let's rethink our reopening plans. that's what i'm hearing. it's not a great work environment if 10,000 people are wearing masks. it defeats the purpose. that's what the they're looking at. not that they want to go that way. back to you. >> neil: day by day. charlie gasparino, thanks very much. this whole idea that things could get pushed back a little bit affects the airlines right now and whether or not you wear masks beyond september. that

early 1900s, president teddy roosevelt saw an economy dominated by giants like standard oil and j.p. morgan and the railroads. he took them on and one. -- he took them on and won. it gave the little guy a fighting chance. decades later, during the great depression, his cousin, franklin roosevelt, saw a wave of corporate mergers that wiped out scores of small businesses, crushing competition and innovation, so he ramped up antitrust enforcement eightfold, and just two years, -- in just two years, saving families billions in today's dollars. helping set the course for sustained economic growth after world war ii. he also called for an economic bill of rights, including the right of every businessman large and small to trade in an atmosphere of freedom, among fair competition and domination from monopolies. between them, they established an american tradition -- and -- an antitrust tradition. it's how we ensure our economy is not people working for capitalism, it's about capitalism working for people. but over time, we've lost the idea that true capitalism depends on fair and open competition.

i've been hearing the call from j.p. morgan that you want to buy the dip in equities, that you want to play the rebound and strong earnings. you agree? if so, where? john: sure, where we are expecting the earnings to come through are those procyclical sectors. it is worth bearing in mind, cyclicals underperformed defensive's over the last six months, at a time when we are seeing economic a cavity pickup. what does that point us to -- economic activity pickup. what does that point is to? materials, industrials, etc. begin to put some decent numbers down. that's be clear, we have gone past the point of peak growth rate. i stress the word rate. we are not past peak growth. we are still growing above trend and will continue to do so, in our view. but we are in a world now where we are looking a little more midcycle. you want to focus a little bit more on quality. this is not purely about cyclicality. it is about looking for ways you can get cyclicality with a decent dose of quality. just a nod to that inflation, you need to look fo

we had record numbers this quarter from j.p. morgan in the investment bank.ofits sometimes just doesn't get it done for this market. lisa: if you look at a pure cash flow basis, they are offering a higher yield than most junk funds are. so it really could potentially broaden out the potential investor. however, it is a faith-based investment that the yield curve is going to steven and that those loans are going to pick up. is there a change that can spur inflation that we are not seeing right now. jonathan: it is hard to have conviction right now. tom: i don't buy it for a minute. i thing it is hugely flexible. one program note, extremely important to understand, i just need to make clear "bloomberg surveillance" is duke free everyday. jonathan: do you want to explain the relevance of that? lisa: no, he doesn't. [laughter] tom: we are duke free each and every day. jonathan: i am familiar with the geography. this is bloomberg. ♪ ritika: with the first word news, i'm ritika gupta. president biden says it is a national imperative for congress to pass voting righ

around 1:00 p.m., j.p. morgan chase kicks off the second quarter earnings season.nsumer price index. these are all u.k. times even for things taking place in the u.s. later today, we will have the bloomberg live presenting a particular event. the sustainable business summit. it brings together leaders and investors globally to scale bast practices -- best practices. and a conversation with the wto governor general. -- director general. a lot to keep our eyes on. and we will keep our eye on the u.s. cpi data. it is forecast to be its highest since 1990 one. expectations were a big jump. that is not the whole story i suppose. >> definitely not. you have had [indiscernible] despite that, we have not seen it kick higher in the u.s. at the moment, it is like -1% in an economy that is forecast to grow like 7%, the fastest in decades. how do you explain real rates that are so anemic lee lowe which is the quandary for traders -- anemically low which is the quandary for traders. it will inform us about this debate as to how [indiscernible] anna: you are focused on real rate

james glassman from j.p. morganmercial banking and has been definitive in this research on the labor economy for years and many help wanted signs coast-to-coast. jim, i was just away, not as romantic as lisa going to greece, i went up to romaine and had a lobster. i would notice it is a different -- note it is a different character to the help-wanted signs. what is the desperation across america to find the next employee? james: it is interesting, isn't it? they are pretty desperate, and i think the problem for them is if you can't find the people as you have been hearing, they just cannot serve as many people. it is loss opportunity. i think it takes, this is really a massive dislocation caused by the pandemic. this will take, my guess is it takes until the fall you get a lot of this ironed out. if you don't have a job and maybe you are on unemployment, you can't really live in the city that long. they might have scattered home to family and now they are coming back. i think by the early fall we will not hear about

the ceo of j.p. morgan chase says inflation is more than people think. it's more than the federal reserves thinks. it will settle back down he thinks that might be the wishful thinking. 47%, neil, of small business owners say they're passing on the costs to you and i. back to you. >> neil: edward lawrence. thanks. if the federal reserve is criticized for dropping the ball, is congress going a step further by spiking it adding more spend something better than 35 million americans are starting to receive child tax credit payments that could total up to $900 a month for many and the president wants to see this continuing not only this year and into next year but in future years. that's a total cost of about $100 billion a year if it goes beyond. hillary vaughn with more right now on all of this. hillary? >> hi, neil. democrats are taking full credit for this extra cash going to over 35 million families, but also reminding people that republicans did not vote for this bigger tax credit that was included in the american rescue plan. chuck schumer today said t

and care know's got a thing for someone over there, and look at that chart on j.p. morgan here is that the forming of a head and shoulders top and maybe a neckline at 146 and man a gap down to the 200 day moving average and maybe the new fangled financial institutions are dealing with the money centers and the rate could be a pressure on this thing and we already saw the bank earnings and despite them being very good and q2 was as good as it gets and i'm still not particularly ready to say they're cheap and pricing in everything that people are expecting in the second half of this year >> coming up, shares of didi heading downhill as china cracks down on the ride hailing giant, but is the worst yet to come we'll discuss that, plus get your pizza domino's serving up big gains and we'll tell you why wall street is so hot on this stock >> miss a mont omef fast follow the fast money podcast. this past year has felt like a long, long norwegian winter. but eventually, with spring comes rebirth. everything begins anew. and many of us realize a fundamental human need to connect wi

>> look, i am loathe to den great the j.p. morgan analyst. this is up verses 400% in the s&p.oth make money. remember, they had plus three comps. peopl pe people were looking for minus one comp no, the numbers were extraordinary. and a lot of that is, by the way, i know until you had me t tastes really good and a lot of technology had a lot of great stock in terms of not being able to. put the tip on the app it is just a technological marvel by the way, they're doing autonomous driving with little jeeps that go around and give you your pizza by the way, the banana peppers without cheese is the best tomato pie in the world. and tomatoes from philly, i know they're calling me the mayor of east town. go to way way for all i care >> i like the thin crust with the pepperoni and banana peppers. >> isn't it good >> it's really good. >> we'll have it together. i'll come over >> you know where i live up next it's "stock trading" with jim into this chip i invested in invesco qqq a fund that invests in the innovators of the nasdaq 100 like you become an agent of innovation with invesco q

to invest crypto currency, to an analyst said investing in square now would be like investing a j.p. morganto currency they like as a new bank especially with a cash out program that has. jack: imagine how well that would do with a full-time ceo, what is your pick beverly? >> more bad news for chinese stocks that trade in the u.s. china is a great long-term play but this is the time for professional management to that i like her fidelity in matthews china. >> much better than individual stocks thank you beverly and carlton and jack, check out this week's editions of barron.com don't forget to follo dr. michael youssef: hello, friends. michael youssef here, and i'm one to tell you that you are in for a treat today of listening to a message by my son, jonathan youssef. and i'm thrilled to tell you that it is about conquering and defeating the three big enemies: the world, the flesh, and the devil. you don't want to miss. stay tuned.

and this came from j.p. morgan"we see little value in spreads here...and nothing to push them wider either." that last one is the tough part. you can say that valuations are full, foot: for wider spreads is difficult. michael: it is a tough call. we were long credit coming into the year, now we are just long. we've taken some off the table. but the fundamentals are so strong. earnings are booming, companies are getting upgraded at a high rate, and some reports estimate as much as 20% of the high-yield market is going to go to investment grade in the next 12 months, that is probably half of the bb market. that is a powerful trend and a technical trend. if the high-yield market shrinks, the bonds there go up in price. so we are still pretty bullish. you cannot look at historical spread levels to give you an indication of what they will look like going forward. people make that mistake with interest rate levels for 30 years now, and i think spreads will go through tightening. jonathan: like what we saw with sovereign

each of these banks, goldman sachs, j.p. morgan stanley have worked on 100 more deals in the first half of the year since the two years prior before covid started. these are many of them smaller deals, and outside of the purview of the bonded administration. whether they conduct -- the biden administration. whether they can touch those deals is another question. alix: let's get more detail with frank aquila, partner at sullivan & cromwell. he advised on deals of more than $20 trillion in value. thanks for joining us. it is really good to see you. when you take a look at the potential executive orders, what makes you the most nervous? frank: i think i am not particularly nervous because first of all, this is a re-price of an exec it of order issued during the end of the obama administration, and we have to remember that this is not new law or regulation. it is really asking the regulatory agencies to consider new regulations. that is a long path, and as sonali was just saying, most of these deals we are seeing are not the huge mega

to invest crypto currency, to an analyst said investing in square now would be like investing a j.p. morganank especially with a cash out program that has. jack: imagine how well that would do with a full-time ceo, what is your pick beverly? >> more bad news for chinese stocks that trade in the u.s. china is a great long-term play but this is the time for professional management to that i like her fidelity in matthews china. >> much better than individual stocks thank you beverly and carlton and jack, check out this week's editions of barron.com don't forget to fol >> it's every parent's worst nightmare. your child is born with a deformity -- a face no one wants to see. in poor countries, over 200,000 children a year are condemned to a life of pain and rejection, hoping for the miracle that will change their lives forever.

chain, the technology behind it, and despite all the there are some very big banks and i think even j.p. morgana lot of banks and indeed some governments are now investing in it because if they are wrong, they cannot afford to be outside, can they? they cannot afford to be outside, can the ? ., ~' they cannot afford to be outside, canthe ? ., ,, , , ., , can they? no, i think his statements were very- -- — can they? no, i think his statements were very... interesting _ can they? no, i think his statements were very... interesting to _ can they? no, i think his statements were very... interesting to me - can they? no, i think his statements were very... interesting to me in - were very... interesting to me in that he was so blunt for the number of people hedge their bets or are sort of caging their language but he was very blunt and very upfront and saying the limits of crypto currency and what it could do for his company. i dojust think in recent years we have really seen that crypto currency is among the most precarious financial tools and its worth and they really seems to fluctuate. so i thi

to invest crypto currency, to an analyst said investing in square now would be like investing a j.p. morganas a new bank especially with a cash out program that has. jack: imagine how well that would do with a full-time ceo, what is your pick beverly? >> more bad news for chinese stocks that trade in the u.s. china is a great long-term play but this is the time for professional management to that i like her fidelity in matthews china. >> much better than individual stocks thank you beverly and carlton and jack, check out this week's editions of barron.com don't forget to follo ♪ ♪ ♪. larry: hello everyone welcome back to "kudlow" i am larry kudlow it turns out by the way donald trump was right if big tech concerns sensor him i said to you to the biden administration is colluding with facebook to do just that. fox news correspondent peter doocy question madame psaki today earlier, what you got. >> we have a lot of questions about the briefing from yesterday where the surgeon general came