we welcome back john manley chief equity strategist at wells fargo funds management and senior portfolio management with morgan stanley wealth management. welcome back to both of you. you take the position that this may be a kind of pause year in stocks. why do you say that? >> i think three reasons. number one is the market has compounded at 20% a year for the last three years. and last t s the hottest product? it was the s&p index fund. i know it usually doesn't do well the next year. earnings estimates are coming down. that's a reverse from 2010-2011 when even though the market was dipping, estimates hadn't really revised down. i'm concerned about a decline in earnings. and then three, what did we learn last year about tapering? when the fed began tap erg, the market didn't do anything until the tapering was over. i think that's coming up this year as well. it's been a very strong market. stilts have come down. that worries me. and fed policy. >> you know, john those are some very interesting points but you disagree to a certain extent you're still bullish and you don't think we've ki

betty: as we kick off the trading week, i want to bring in john manley from wells fargo. , john actually, that the recent pullback that we have seen -- and it was kind of getting ugly last week. john: scary. betty: scary is a good word. john: that is not how bear markets start, historically. to go down a lot you have to end with deeply embedded pessimism. starting with deeply embedded optimism. i may be going backwards -- betty: you need deeply embedded optimism at the top. what does that mean? spell out deeply embedded optimism. john: going back to the 66 bear markets, they went down to an average of 66%, to 5% of the high 22 weeks after the peak. four and half months. it takes a while to wind it away. it is not that it goes down and never comes back again, that is extremely unusual. 87 was a fluke. bear markets usually take a while to develop. going back to the last couple of years, these nasty, brutish short, shallow corrections are very typical. it means we are still scared and all it takes is a couple of points to go down. after a while i set i was bullish but i didn'

. >> we're joined by john manley. keith fitzgerald from money morning.com so is kenny polcari and our own rick santelli. kenny p. what was that sell-off sed and it's so quiet today relative to recent days. >> it was -- i think ait caught a lot of people by surprise after we had the bounce back on monday and that vicious kind of move yesterday which was really -- i think it felt like more of a culmination. people were just so tired of talking about what the fed is going to do what the speculation was, raise rates, not raise rates. oil coming under pressure. it gave everyone just some opportunities to say let me just start over again and that's what it kind of felt like. today we bounce right off the 100 day yesterday at 2039. it seems we're bouncing off that again today. it seems to be holding here. there's not a whole lot of volume or is there a sense of nervousness like there was late in the day yesterday. so i think it's going to just kind of churn right here and close tight. >> john manley is this an opportunity fo