jpmorgan, talk about a best in class bank jpmorgan is killing it bank of america, talk about fintech. one of the best fintech players around citigroup is still our favorite because it's so inexpensive and buying back so much stock. citigroup is still under appreciated for the risk reduction. the sustainability all of these times we go on your shows and people have concerns about recessions and rate risk and regulation and spotty growth and look what the banks did. look what those three big banks did this year, especially in the third quarter. grew revenues greater than expected and when you do that great things happen. >> what about goldman sachs, it's up, outperforming the market up 37% still down from the 2018 highs consensus has 10% earnings growth, 5% sales growth. trades one times book. why is this thing stuck in the mud? jpmorgan has highs and you have a bank that has head winds. >> needs to start growing again, right? >> look at trading for the decade >> yeah. >> trading for the big investment banks for the decade declined by 1/4 to 1/3 depending on your starting point capital

as for jpmorgan, the same thing. here's the thing money managers don't have any insight in politics. that month in september, that was now looking like the apex of warren's campaign, at least for now. it was her nadir, apex, i have no idea who will be the nominee. trading has been unluck and misfigured ever since that moment jpmorgan has become unoppressable nothing damages them although this selloff will, in the end, i suspect take these two stocks down too the federal reserve no longer cutting interest rates a stock like jpmorgan will be under pressure as for united health, this is the kind of stock people flock to when the economy is weak. if you think people have recovered, you want to sell something like unh tonight it preempted better than expected earnings. this selloff could get more ferocious and it would include the stock of united health some will say it didn't raise guidance enough. not true but when stocks go down people make up reasons what does this tell us i think the action here is very little to do

do you think that's jpmorgan's secret sauce >> i think so.ey have a deep management ben bench. it has proven leadership that has fanned out and gone on to become great things. >> the other bank with a lot of continuity, great management is bank one, merrill lynch, i don't know how long he's been there but many years what are your thoughts on bank of america >> i think that's an absolutely terrific point as well they've done a fantastic job they've come a long way from the throes of the credit crisis. they're working up solid mortgage loans losses are at just absolutely near skill levels. 34 basis points in the third quarter for portfolio losses and their capital levels are great while they're returning money to shareholders good story for bond holders and shareholders alike. >> john, final question for you. consolidation in 2020. is it possible will regulators allow it what do we look for? >> another great question. we saw sun trust and bb&t. we'll see maybe some more regional bank consolidation, but for the larger banks with their large depo

they're going to have the jpmorgan health care conference. >> we love them. we love them we love. i wish nestle's had a health thing. >> when is that conference >> the 14th of january they're buying january calls i'm glad you let me into that, scott. thank you. >> give me a phone book, will you? >> they bought a ton of these calls. i am in these and i will be through that jpmorgan health care conference. >> i asked that question because you're betting on news coming out of the conference. >> yep also got another issue, i think just a week or so from now, scott. a capital markets conference, but the big one, the granddaddy is the health care conference. the first one every year and it's a big one >> this one's going to be fabulous that's going to be great, too. >> yep going b to be great, too >> the risk is you u better get the news out of either conference to make that move continue >> by in january >> 48 calls. not that far out of the money as you saw stocks 46. >> buy smile direct club >> might be. didn't see anything in there >> i'm going to jump in real quick. jet blue, we tal

what are the odds that jpmorgan and other big banks will allow these companies to refinance their debt or extend the maturities not much they are sick and tired of not making money or losing money and if the banks close up all of a sudden the oil story is a giant debt and banking story i'll pass it back to you with that >> i can give you a short answer the bottom line is a lot of refinancing has been going on because rates have been low and as long as oil prices aren't collapsing the cash flow isn't too bad to meet it stephanie i'll pivot to you. where do you stand on the energy space at the moment? great dividend yields particularly in europe they underperformed even more than the giants here >> most don't have the to invest in energy because it's less than 5% weighted in the s&p 500 i'm doing a little bit of a barbell, the quality chevron where their dividend is safe at 4% they are doing a fairly good job. so they will have a better growth rate versus exxon diamond back energy, emp play company. more beta. it's a great management team so i do think these are quality names, i don't th

meeting the c.e.o. of jpmorgan. lemonis: so you want to meet jamie dimon at jpmorgan? cory: yeah. mm-hmm. lemonis: okay. most kids that are 13 would be like, "i want to go to the world series or win a trophy at my soccer tournament." cory's list is "i want to meet the chairman of the world's largest bank." he's got a better plan than i do. i'll see you at the commercial kitchen. i'll see you at the commercial kitchen. cory: perfect. nick: welcome. nick prastos. lemonis: nick, how are you? i'm marcus. nick: nice to meet you. lemonis: nice to meet you. is this an event space? nick: it's an event space, and then next door we have our commercial kitchen where mr. cory does his cooking. cory: hello. lemonis: is this where the magic happens? cory: yes, and i actually have a gift for you. it's a shirt. lemonis: okay. cory: oh! now, that looks nice. lemonis: so you know that i'm people, process, product guy, right? cory: mm-hmm. lemonis: so the people, we're square. cory: yeah. yep. lemonis: we got good people. i need to understand the process and how the product works. cory: okay. lisa:

amazing. >> i think this move in jpmorgan is the one that is least covered.t is pure multiple expansion. we're paying the exact -- exact earnings power but we're paying more and more for it as jamie dimon told us we would, ceo, eventually, but now we're in this situation with what drives it further? >> just what is the multiple now? what are we talking about here >> 14 for jpmorgan but what -- she still, yeah, 13 1/2 nothing worries me in the sense that looking for big sell-off in december i'm looking for more reasons to it to go higher. and other than constant reiterations of analysts, which we keep getting. because, wow, i mean, november is supposed to be a bad month, david and it wasn't. >> no, it was far from it as we just said. >> a great month >> greenchutes in europe, whic from auto sales. >> are you seeing green chutes in europe? i haven't heard you say that in years. >> auto sales are up we saw brexit, a big matter. i do see -- take a stock like ge david, ge is at 11 they have a healthcare conference it is pretty -- investor day in a lot of good thin

the other momentum to single out is jpmorgan. price target raise to 150. and wells fargo reiterating weight a name you u talk about a lot. >> i mean i've been beating this drum for years selling ten times, big divide s dividends, probably the best, with all due respect, probably the best leadership in large -- so it's close. not saying the it's a run away train anymore, but so for me, it was just like okay, why is the stock here because nobody thinks rates can go higher. nobody thinks there will be a net interest spread. for banks to earn. and nobody thinks business will get better internationally that's why all of the money center banks are where they were trading. so you say what if one was wrong? what if just one was right what if capital markets keep doing well and it doesn't even matter that some of the other things will never get better that was the bet on jpmorgan didn't have to have a lot go right and not a lot has goning right. we're at a 2% gdp world. it's not like you got this huge economic uplift. people were too negative op all these names. th

if that's the case, i have been in jpmorgan. why? i want the u.s. oriented exposure so, citi is 80% international exposure and 20% in the u.s. jpmorgan is 77% in the united states so, tell me in 2020 which is going to begin to perform better i think that is really important in the conversation moving forward. so, better outside the u.s. and west rock is going to work >> so, let's kick around a name not on this list, but a name in the news and then get to the note that i'm talking about to finish this. bring it full circle boeing what do we do with boeing on the news today of, you know, "wall street journal" reporting they're weighing, halting or cutting production of the max. >> we had owned it earlier this year we had owned it and sold calls against it and we bought it earlier in the summer and then when gary kelly came out and said we don't know -- >> their options or taking a look around. >> gary kelly said we thought this was going to be nine weeks not nine months and that was months ago when he said that we exited the position around 350 becaus

joining us this morning, jpmorgan's chair of global research joyce chang and brian bellski.e two of you. good morning. >> great to be here. >> if right at jpmorgan, the max is half a point, what sort of offset the benefit we thought we were going to get from usmca and phase one? >> i think you will see some of the u.s. exceptionalism fading and we have u.s. growth next year at 1.7%, compared to 2.3% this year. that fiscal support is coming off. the question we have is, is there really better value in some of the international markets as we look into 2020. >> you did say you advised favoring em, europe and japan? >> yeah. over the united states i mean we're still pretty constructive on u.s. equities, at 3400 at the end of the year, but emerging markets was really the laggard this year and with more stability in china, we think the valuations are more attractive and we're still watching some of the technical factors in the market as well. >> brian from your view, how are we set up here it's going to be a great calendar year in terms of returns on a flat earnings base coming af

a bullish call on the market from jpmorgan.wn shah gilani says we're going up in the next year, 2020. the bulls are running. are you with them? >> i'm with them. i have been with them. we have talked about this all year. the backdrop, the economy in the united states is doing great, as good as we could expect at this point in the cycle, so you want to be invested. stay invested. there will be ups and downs. instead of trying to time those, stuart, stay long the u.s. stuart: everybody thinks the rates are not going up, they are not going down. >> they have cut a quarter point for the last three meetings, and people are expecting them to hold steady. what's important is their forecast for the next year and what they plan to do with monetary policy. most people expect them to not do much, but there is no inflation. i think that was proved this morning once again with the latest inflation numbers and the dollar is holding steady. stuart: i missed that. on your screen boeing and home depot both dow stocks i believe that's why the do

don't sleep on jpmorgan and goldman moving forward. the wall street banks are good at taking in money. interesting year. end of the year might be of 20 2017 with everyone feeling bullish. scarlet: everyone is breathing a sigh of relief it is not like the end of 2018. savant.not our only etf james, let me start with you. eric shared his tale of two years, mentioned fixed income. it was a record year for fixed income. this is the biggest year fixed income etf's have ever seen. goldman moving forward. muni etf's have taken a record number at $10 billion. this is more a story about investors and institutions getting more comfortable with fixed income etf's. eric: you did a summary of the decade. talk about the winners and losers performance wide of the decade. decades,look at the it's been all progrowth, pro-america. semiconductors, medical devices, defensive names. if you look at the decade before, it was all energy, any country that was tied to energy. mexico, canada, australia. scarlet: very commodity driven in the previous decade. spri

what are the numbers that jpmorgan will have to deliver to make jpmorgan feel good about that. >> its big premium, it is kind of just, you know, my money is safer in jpmorgan shares, you know, than anywhere -- that kind of psychology that surrounds it i don't think it is about -- they have to make the numbers. it reflects the fact that the bank does tend to make its numbers. and usually aren't any nasty surprises. but i think that it is really the revaluation of the also rands really interesting, cheap stuff like citi and b of a. >> amazing run and citi as well, up over 50% this year. again, a lot of that has taken place over the last three months. >> right >> in terms of outperforming the s&p. >> interesting to hear about head count bloomberg has this piece about job cuts at the banks. 77,000 -- almost 78,000 job cuts this year. the most since 2015. and about half a million in the last six years, europe accounts for 80% as negative rates over there sort of did in their model. and technology too. >> exactly negative rates and this kind of permanent mode of kind of retreating from the

let's bring in jpmorgan economist sally auld. where do you see the rba headed?here is mixed news on whether we will reach the threshold for qe in australia. them to takeect the cash rate to 25 basis points. we have a formal forecast set by fourth quarter of 2020, the bank will be implementing a qe policy. paul: the rba typically has optimistic growth forecasts. it has been revised down. has been -- has the approach been -- sally: they are caught between two worlds where they have a preventative forecast that shows conviction they will get back to better growth and inflation and the unemployment rate will come down. the underlying story is that achieving those targets is givenult, particularly the structural headwinds the economy is facing. i feel we are in a pattern where every quarter or six months, we see the rba push back the return to trend growth and a higher inflation rate or downgrade forecasts. we will wait to see what happens in february but we need to see the activity data start to lift for the rba to be comfortable that the current set of forecasts ar

ubs, jpmorgan, or go with a majority stake.verybody is sizing up the opportunity and the risk differently. shery: it's a huge market but the risk, the chinese government is pulling the strings. peter coy, thank you. our economics editor for bloomberg businessweek. goldman has been shopping for bankers from competitors in recent months. what they are trying to achieve next. this is bloomberg. ♪ shery: this is bloomberg markets. i'm shery ahn. goldman sachs is making a push to provide banking for middle-market companies and getting talent from rivals to do so. they have hired more than a dozen managers from competitors in the past few months. to break it all done for us is sonali basak. why do they even need to do this? a rowis a third year in that they are number one in mergers and acquisitions, well over 30% market share. last year, the average deal volume was 2.6 billion dollars. the reason they were number one is because they didn't just work on the big deals. they also worked on small deals. you can also get higher up in the

financials, i asked all of you if you thought financials will going to go up jpmorgan, citi, mastercard, visa all liked on this desk >> yes jpmorgan to me is indicative of the market it's almost a proxy for what the market is going to do. i think positioning is incredibly important to cite this time of the the year. what was the position in the market, the mentality in the market you've mentioned apple before. think about the performance year to day for apple it is exactly what the s&p is when you look at earnings. was there anything in the earnings of apple that was so spectacular a that should have been the catalyst for the performance? both revenue and eps for it, it comes down to positioning. for financials the positioning didn't gain momentum until recently i think that's incredibly powerful and important if you're able to get follow through and continued steepening of the curve. >> i would add schwab to this. i like the deal. it's not just a macro call it also them getting this deal together and really seeing the synergies and at the valuation it's at. it's a the a two-year discou

this is a big deal yesterday jpmorgan had an overweight rating, meaning a buy. price target they're betting this will handily beat expectations next year it was a very compelling piece they made a strong argument for it even though global blood therapeutics has run, i like it. i like it more than a pull back. it's already been approved, which means you don't have to worry about the fda yanking the rug out from underneath us i wouldn't be surprised if the stock market is underestimating the scale of a demand for a real sickle-cell anemia treatment i grew up and never thought this was possible, maybe they got it. the fda says yes ideally maybe you wait for a pull back. maybe put it on a small position right here like jpmorgan would argue. great concept. great product. but we hate to chase your "mad money" so proceed with caution if you're planning to buy it, but i think it's the real deal stick with cramer. (second man) virtualize their operations. (woman) and build ai customer experiences. (second woman) we also keep them ready for the next big opportunity. like

we have jpmorgan, bank of america each of 3%. this is the intraday basis. a longer-term chart will show you where looking at levels not seen since october 2007. precrisis levels for this index. the expectation for the value group is that we could be seeing investors drawn to it in an increase in weight. shery: let's dive deeper. trump signaling that a u.s. china trade deal is within striking distance. bloomberg has learned that the president plans to meet with trade advisers this afternoon. this comes just three days before a new round of tariffs against china are set to take effect. for more on this let's bring in our guests. we are close to a trade deal sending the markets all over the place. it is trade news that is moving the markets. >> absolutely. veryis is been a [indiscernible] equities have come up behind bond yields. if you look up the 10 year u.s. treasury yields, it shows you there has been a lot of pent-up uncertainty regarding a trade deal. as soon as we got some news on the positive front, markets have rallied. let's talk about what might get

, citigroup, jpmorgan, goldman sachs. if you need confirmation, look no further than the price of oil which finally got some lift. granted, oil is probably climbing but if the price of crude can rally, that means the oil stocks can rally and the positive pin action from an oil stock that rally immediately extends to the drillers. you want crazy found myself saying am i nuts? union pacific. the railroad >> all aboard! >> they came out with some grim tiedings fourth quarter volumes down at least 10% and another market this stock might have fallen 10% on that news nah, mine are much higher. the fashionistas drooled over the 7 billion plus dollars that union pacific returned to shareholders including 5 dividend boosts in the past nine quarters industrial volumes flat, energy down 20. call, secular decline. that didn't matter at all to buyers because expenses are being slashed left and right trains running much more efficiently, fabulously low. operating ratio. that's the real driver of performance to the rails you layer on th

in a new note, jpmorgan says despite halting production, boeing will still burn more than $1 billion on the max due to remaining labor costs and plans to support its suppliers and on the heels of boeing's announcement, southwest saying it will now extend its 737 flight cancellations until april 14th southwest's move comes less than a week after american airlines extended its cancellations through april 7. we discussed this a bit earlier, mike clearly, it's been suffering in the short-term over the last couple of days as well as year-to-date remarkable sort of resilience in analysts' kind of sentiment on it, that this is just a delay, not a long-term shift in the company's market share >> the long-term order book and the sort of free cash flow model when they are in full production mode has still a lot of analysts, you know, in their camp i guess the stock here, it's really trying to make a stand. it was in a precarious spot. the very low end of the range for the year and it didn't come back during the day. i don't know if that's consequential or wishful thinking >> steve liesman did

jpmorgan, goldman sachs, jay powell, pretty bullish on the market and the economy.e you bullish for next year? >> i am. not as bullish as i was coming into this year. however, when you look at what we are heading into, the fed is off the table. here's the other thing. this has probably been the most hated bull market in history. there's a lot of pessimism, a lot of money on the sidelines. people were predicting a recession this year. stuart: the democrats hated this bull market. that's for sure. you're right, they wanted a recession. >> the consumer report that came out last week, the job number supports it. we are not going to be going into a recession next year. i think it's bullish heading into next year. if these tariffs do go into effect, which i hope they do, i think it's going to be a great buying opportunity for people to jump in because i think we will see a short-term drop. could be 5% to 7%, but i would jump all over that. then the china cloud will be behind us. stuart: that's if the tariffs are imposed on sunday. correct? there would be a market dropoff?

it is more than citi, jpmorgan,back jpmorgan, bank of america, walmart, and another combined in the topf that index so it's apple and ship stocks that have had these dramatic moves. now apple has moved into growth. it's no longer in value. if you -- >> you think it's portfolio shifting going on? some of the biggest stock moves up everybody has to buy or index is up -- have to adjust >> i think the move apple had this year, 80% has been so dramatic it's really hard to shift positioning that fast if you're a portfolio manager on the other side of the trade. i worry that, again, it's owned. it's widely owned in. >> too owned >> maybe >> well -- >> hard to get it going another 80 % >> with 5g coming, i talked about it with the focus and apple is not at consumer electrics show because they don't need to be they do their own shows but nonetheless, 5g is why everybody if they are getting hahead of themselves, that's why when that comes out in september, that's lights out for apple. totally lights out >> you've been on this ces trade. every say you're like -- >> i'm trying to get cnbc to pay fo

all those have an overweight rating by jpmorgan analysts. you know, lofty targets in some cases. >> lofty targets in some cases facebook and amazon in a year where a class size really seemed to matter, large cap and megacap in 2019. you asked before where is the opportunity going to be for those middle round potential pro bowl players i think you have to look in the small cap world, in the technology names and some of the emerging software names. docusi. amer price, amb, globe life, life insurance, aon, that's where you find the opportunity if i look at these five names obviously i say to myself facebook and amazon that's where i'm going to get more sustainability and earnings growth and more reliability in terms of performance but then when i think about it in terms of size class, i would look towards peloton, lyft, snap i believe in 2020 the environment will be conducive for performance -- >> you don't think we're late cycle, then. late cycle there is a gravitational pull that's pow powerful to large growth if the cycle continues small cap

you got jpmorgan and texas instruments.t ships have done so well this decade >> following up on that, storage plays is simple and it's vast. in my opinion texas instruments and its current multiple is a wonderful way to play that trend and watch it to continue because it's a cycle that i think is still there. more interesting are names like conoco and jpmorgan that haven't been part of this last ten years by any stretch conoco management strategy is out buying 100% of their capital over the next ten years. jpmorgan is as cheap as you've ever seen a big financial name like this that has a huge tail wind with the fed and global liquidity coming out it's an example of how this overwhelming market is poised here to be part of this cyclical run. in my opinion you don't have to go that far. >> all right two veteran money managers licking their chops getting ready for 2020 thank you both see you later. >> thank you >>> major league baseball reporting record revenue this year and with streaming and sports gambling getting bigger, t

now some, jpmorgan, we love it, but it trades at its book value. so it's not like some of the others where they're trading in a different level. so i still think there's upside in some of these names, the bank of americas, citigroup, then there's a slower growth group like the u.s. banks and wells fargos and those types of names, but back to tech, another name we didn't mention was microsoft. they continue to show us growth. e we talk u about microsoft and apple. we holook at these name, are thy overvalued, not when you've got the growth the ones that are still in my opinion are those like i love sales force. but at this point in time, it's tough buy it because you look at that multiple. >> is there an asset class, which is one of those crazy years when you threw almost anything against the wall and it stuck. is there a class you wouldn't be in next year >> cash would be one of those classes. >> the other one is long-term bonds. had a phenomenal year this year. but they're up 13, 15% and there was the time to add your ratio that was the beginning o

jpmorgan, 135. >> it is incredible 2 billion is something that gets the market excited.rves for that >> i think expectations are well above that >> a positive for the stock. >> even though it is a large one. they certainly want to put one mdb behind them entirely >> absolutely. at this point, couple billion to put it behind them may seem like a pretty good deal. >> keb, best day in five or six weeks, back to first week of november for a better day for banks than today on top, best day since november 1 for the dow and s&p. small caps putting in a 52 week high need another 6% for a fresh all-time high. >> treasury yields are spiking to some of the best levels in a month. that also could be a net positive for some indications surrounding the banks as well, especially after we have seen that sub 2% level on the ten year for quite some time now >> we are up 307 hard to find victims in the current take. utilities and others compete with rates obviously not faring as well. >>> coming back, elon musk on trial. jurors are expected to begin isorngheting the defamation case th mni

if you are in business school student looking at goldman, jpmorgan, morgan stanley, and you see the'sse job cuts coming, do you want to go there? vonnie: it would play into your consideration, as would declining bonuses. a lot of this is happening in europe. do some european banks need to go away? seems like we never solved the banking crisis in germany. sonali: a lot of people blame it on the regulation. the reaction to prices was also different. these banks never really recovered. hsbc did add jobs, and now they are on the verge of cutting thousands. sonali: a lot of people blame it on the regulation. the reaction to prices was also should there be less banks? investors believe so. how would that happen? through consolidation. is that an easy answer? absolutely not. vonnie: you will be on the case in 2020. that is sonali bassett, thank you. amazon has been disrupting businesses from grocery to health care. the cigna ceo tells us why he views the e-commerce giant as a big competitor in the insurance space. this is bloomberg. ♪ vonnie: this is bloomberg markets. i'm vonnie quinn in ne

. >> united health and bank of america and jpmorgan, when these four stocks some of the biggest stocks in the s&p are up like this it's no surprise value outperform growth. >> they have gains already, why take any risk going into the end of the year. >> not value over growth over three years but the three year, one year and one month favor growth. >> profit taking we've seen it in consumer staples, the defensive groups, is that going to continue into december. >> just portfolio riyal case i think it's adjustments going into 2020 and some likely gains. >> we've seen big trades in the sectors, that will be them switching from i shares or select sector to ma i can that trade happen. >> gold has lost a little luster, only up 14% for the year gld seeing outflows, the costs associated with them what's going to happen with gold >> i think gold is back in play once the year starts theres no reason not to position yourself with equities, i don't think anyone will take a risk in the last three weeks of the year. >> with the election on the table you can't take gold off. >> thanks very much for j

i agree with what you said in the jpmorgan note. stocks probably going to drift a little higher but you have to owe some volatility. volatility is really muted. hedges are cheap. liz: 14.19 for the vix, down about 5.33. sarge, go ahead. >> got to understand capx is going to come back in. capital expenditures from corporations across the realm. 12% of the u.s. economy that's already in recession is going to come out of recession. >> you're right. margin has to increase. margin has to increase. >> they have to know what the deal is first. liz: they do. that's what scott just said. is it phase 38.5? which is it? >> we have to have the deal first. i get that. algorithms go one way. liz: we have a report of a deal in principle, folks. great to have all of you. great stuff. thanks our traders. they bring us that real on the floor granularity to the big story. is it any surprise that cisco is leading the way on the blue chips? up 3% for the moment for the network equipment company. this is arguably a competitor to huawei. there may be anot

. >> davide leib wits with jpmorgan bill lee with the ut milliken inst >> time to look at upgrades andowngrades. from buy at citi.d to neutral pr citing net knicks lack of srprising leverage and s the stock isover valued. the price target $325. the stock fell 1% to 306.16. boston beer was upgraded to buy from neutral at ubs. the analyst expects double-digit sales and earnings i growth 20 and 2021. the price tthget is $440. stock rose more than 2.5% to 383.91. >> fischer given an yoegt wave are weight rating in new coverage at piper jaffray. the company saying the company is well positioned after turbulent ythrs. price target now $230. but despite the overweightng rahe stock fell to 198.82 today. lets. >>> androku price target raised to the call roku the winning aggregator of tv and films. the firm has a buy rating on it. stock rose 6% a after the big decline yesterday. now at 144.63. >> still ahead, the other college debt crisis. >>> small private liberal arts colleges, a staple of american kaemia for centuries are an endangeredpecies. i'm scott cohen in hiram, ohio where one school th

. >> look at the candle on jpmorgan, how quickly that stock was bought up.gave out. and when you see that in one of the biggest, most important leading stocks in a sector you can't dismiss it the accumulation was so hard and fast in this name and you're seeing echos of that in the big leading stocks of almost every sector i can rattle off all 11 s&p sectors. the big stuff that mattered most and how quickly that candle was fixed from the technical damage yesterday. so i think it's a positive sign and i continue to look at names like jpmorgan and nike and mcdonald's and disney. these are the stocks that got it done for you this year they continue to even after a tough day and i think that's noteworthy. >> the fact that up until a couple of days ago, we were seeing really significant swings in the markets volatility, is it back, here to stay >> it's not clear to me that we're on an uptrend on volatility, but i think you have these very long periods when the market just keeps ticking higher quietly, gets above the trend and then once you break that pattern, you

they rival jpmorgan in some places.y have cut back on their rates operation, some attrition around the world, but it is not that investment bank does not exist. they have been leaning on it in terms of low interest rates in other parts of the world. obviously, a story of needing to shore up the bank. is this going to satisfy not only the employees, but investors? sonali: obviously, a story of needing to shore up the bank. investors know the turnaround story will take a long time, it will be a costly restructuring. what is heart about this restructuring, after it's been announced, there has been parts of the some business, but also had when selecting negative interest rates in europe and also competitive natures moving in. u.s. investment banks moving into germany in full force, including in corporate banking, where they really want to grow. great to have you with us for this. appreciate it. a quick reminder, bloomberg users can interact with the charts that you see on the network. on your terminal is gtv . from toro

banc of america, wells fargo, jpmorgan. jpmorgan expanded this strategy in europe as well.ey are really going throughout the world now. goldman is known for the big deal. which tend to be very different. the idea here is these bankers they are hiring have the relationships they want. we'll see if it works out. david: looks like they are looking more like the other banks. talk about the boutique advisory firms. we have seen them coming on and challenging the banks for some time. now looks like they are going to pay for the talent to get that done. >> we were talking about goldman sachs, a lot of talent have gone to either form their own boutique firms or gone to boutique firms. evercore is the most notable. there is a lot of talent there. the pay is rising. if you look at the lead tables this year it's amazing how many firms are in the top 20. dial was very early in the year worked on bristol myers. tiffany's. big deals this year. even deutsche bank is above the tables. david: if it's advisory work is that a place where paying for talent is good sense. isn't a lot a personal

. >> reporter: for "nightly business report,jane wells, >>> jpmorgan upgrades . that's where we begin tonight's market focus. thepost-it's note maker was upgraded from neutral to ig over. they pduce fluids and a brace sifs used in the manufture of computer chips. price target $150. deares up nearly 2% to $178.47. jd.com is conng an ipo overseas for the logistics unit. reuters reports the chinese ecommerce company is talking with banks and targeting a vaation of at least $30 billion overall. shares rose more than 2.5 to $36.26. >>> brookfield is buying cincinnati bell for more than cincinnati bell's network serves more than 1.3 millionth homes. deal is expected to close by the end of nexpiyear. sharesd by more than 10% to $10.45. serepta hherapeutics struck a deal in a deal worth more than $1 billion. roche will have mor rigs to the gene therapy outside of the united states. serept rose to $135.58. >>> all week we were getting you ready for the new year by bringing back market monitor guests. tonight's guest likes defense stocks. last time she was on recommended v

the interstate environment is a bit more encouraging >> i think jpmorgan, everybody loves, jamie dimon is a wonderful banker, citi, everyone hates. i think the price disparity is too much there citi trading well below book the name we love in the middle is goldman sachs very cheap, great positioning, but not loved the way jpmorgan is >> thank you very much, charlie. well, it's time now for a cnbc news update with sue herrera >> hello, courtney hello, everyone. here's what's happening at this hour prrp has accepted an invitation from house speaker nancy pelosi to visit the chamber that impeached him just two days ago. the president will deliver his state of the union address on february 4th >>> an early morning shooting at public works building in wins n winston-salem north carolina has left two people dead witnesses say the shooting stemmed from an argument between two workers. police have yet to identify the gunman, but say there is no further threat >>> facebook says it has remove separate pages that were posing as news organizations and public figures. it's all part of facebook's ef

jpmorgan, i'm sticking with, they got the best brand name citi is next apple, of course, we all know.hat's yesterday yesterday's business the rest of the companies are largely 5g or internet of things with big stakes in china easy ones, caterpillar, honeywell, by the way, comments yesterday, mattel is about -- mattel and hasbro are the ones that have this weekend on the line toy tariffs. i say buy mattel, mattel is further along in getting out of china than hasbro. and then people still think home depot is levered i'm not as much. target, quite levered, not as much they have something at stake walmart does too dollar tree got hurt dollar tree got hurt by tariffs. that can bounce back fedex, union pacific, met with the president yesterday. >> that's quite a list we'll get an answer, maybe, in terms of getting a much better sense as to where things stand a few minutes from now let's take a quick break on "squawk on the street. we're back with an opening bell and important press conference we made usaa insurance for members like martin. an air force veteran made of doing what's right, no

for more on the market impact let's bring in global market strategist with jpmorgan asset management what do you make of the moments here on the market certainly not the highs of the session, so some disbelief this is actually going to be put to paper as kayla tausche was saying >> we've been waiting for this for two months, since september 11th we aldo. we've been waiting for this for a while. there was already a consensus that the december 15th tariffs would indeed get pushed back we got the market a little bit excited in the middle of the day was the possibility for upside surprise the removal of existing tariffs. so let's see we'll have to wait and see that would be a significant upside surprise. >> stephanie have you been surprised how well we've dealt with the tariffs in place. for most part many companies found mitigation strategies to work their way through it. >> the consumers have held in quite well the consumer is quite strong manufacturing they had a hard time of it in the last year. however, that said last year and beginning of this year was their time to take pain, to r

been a good year for jpmorgan and other names. surprising given the fact that yields started totic up better feeling about the global economy, maybe trough, better growth, rates higher >> that was actually your kind of green light to a degree and the yield curve going positive and they were always kind of acclaimed as cheap and were cheap, but only if in fact you weren't at the end of an expansion. if you were going to have to worry about recessionary type conditions and credit costs going up, cheapness turns into a value trap that didn't happen they have a unified way revalued higher so see how that -- if it can continue the yield curve by the way has gone positive, but it is still relatively narrow in a positive slope. >> it is an important group. it is not as big as it once was. other sectors have eclipsed it by a large margin in terms of the s&p. it is still an important group in terms of sentiment, where we are globally from an economic standpoint and, you know, where the prospectses are for those stocks. >> and for a way of

jpmorgan says defensive trades get hurt like in 1995, 19 99, 2012 and 2016. question is, are you still in a midcycle thinking? if we are coming off a midcycle moved by the fed, defensive trades get hurt next year. what does that mean in the currency space as a currency dynamic? elias: if the fed starts to or is behind the curve and catch up with more aggressive rate cuts, i would expect, at least this would be supportive for global economic activity and i would expect the commodity sensitive currencies to do particularly well against the u.s. dollar in this type of environment. nejra: you seem hopeful about global economic activity in 2020, but see the fed cutting rates. that makes me a little confused about where you would see 10 year treasury yields next year. we highlighted the discrepancy, the difference between socgen seeing a 10 year yield at 1.2% next year, bluebay says get the shorts on. where is the yielding 2020? elias: 10 year will probably be around -- below 2% and the reason is you have the inflation expectations component of 10-year gilts that c

citi is presenting at the moment back to jpmorgan and the earnings specifics they reiterated guidance on net interest income for next year, 58 to $60 billion, despite moves in the yield curve they also said that investment banking revenue for q4 should be flat previously, people had thought it would be slightly lower and that trading revenue should be meaningfully higher year over year all three of those things, slight incremental positives to where expectations were. the stock, therefore, holding on to the gains, huge gains they've seen so far this quarter flat today, but up 14% since the start of q4. guys >> wilf, it's like an early christmas present for you. i mean, being at a banking conference, getting to really dig into the sector and these names even more aggressively today. what have some of the big trends so far >> it certainly is and this conference comes every year this time it is always an early christmas present. and it's very well attended, as you've said. and tomorrow we've got a couple more interviews from the likes of brian moynihan, kusung lee and howard marcus aks a

that's why you can get an app with jpmorgan and move your stuff around, because they adopted a lot ofch radical ideas a few years ago, wilf >> yeah, although i'm not sure they've made that many significant acquisitions but anyway, we'll leave it there. bob, thank you very much, and happy new year frank collins is at the nasdaq with the leaders for the year there. frank? >> you know, not surprising. tech names led the nasdaq this year chipmaker amd, it gained 147% in 2019 the biggest improvement on the nasdaq 100 chip makers and tech dominating the top 20 of the tech-heavy index. seattle genetics, the only biotech in the top 20 and improving more than 100% itself. you've got to remember, the nasdaq composite finished just under 9,000. f.a.a.n.g. stocks and microsoft accounting for more than 80% of the gains. and outside of the nasdaq 100, drug maker acxiom therapeutics, gaining more than 3 thour,000% n 2019 that's about a $3 billion cap stock. >> frank, thanks so much more that mike, as we sit and look ahead for a longer term for the next decade, what are the key factors? is it going t

jpmorgan has the conference coming up in the middle of january.iotech tends to perform pretty well into that conference. >> don't you think the range of possible policy outcomes is wider going into this election than in prior cyclings and doesn't that mean more tail risk for sectors like this >> absolutely it does. we have a lot of candidates proposing a lot of different things however, if you looked at the performance of health care, you know, first around the april time frame of this year, you had a big debate around the medicare for all. and because of that, the manage care company valuations have suffered tremendously. that to an extent is already in the price, the worst case scenario you know, the other leg down for health care happened around pharmaceuticals. around august triem or so. we think a lot of that is already reflected. the actual ability to get something done, something like medicare for all, we think is a low probability event. >> even if elizabeth warren gets elected. because goldman sachs had a look at this chart of her rise in

procter has been great jpmorgan has been great. caterpillar has been great johnson & johnson has had a pretty decent run. they're all down about 1% or a little bit less than that. tax loss selling, maybe in some of the energy stocks, but look at some of the big drilling names, they're absolutely right, all up on the day. back to you. >> thank you, bob. the nasdaq is on pace for its second straight session in the red after notching 11 wins in a row. frank holland has more on today's action >> wilf mentioned the record closes last week the nasdaq is now down back below 9,000, on pace for its second consecutive down day. tesla taking the sharpest fall after a cowen underperform and some concerns about its ability to meet delivery estimates when it comes to f.a.a.n.g. stocks, apple is the on one in the green. the other f.a.a.n.g. stocks is what's bringing this index down. amazon down more than a percent. and today it's those retail names that are moving the index higher we're seeing ross up more than a percent. also, dollar tree and co

because jpmorgan is a company doing inconsiderably well.d more for the bank stocks and we paid more than all the others. but i just don't know you get back in, who do you get back into a company that is doing very well, and if you think that 2020 is going to be a great year, great stock. don't know it is too -- too in out, in out for me. >> yes it has been hitting a series of record highs lately in the 145 range. currently the dow's worst component on a day where we're opening in a range bound fashion. oil, though, leading to the upside, exxon and chevron. >> we find that we buy these stocks when we think there is a china deal as if somehow that means the worldwide economy is going to accelerate. yesterday was a downgrade of chevron saying, it is -- don't believe it is safe got a bunch of oil upgrades today. i don't think the group is safe if there is no deal. because the numbers are all too high >> all too high. >> so you are counting on global growth really being reliant on at least phase one >> exactly >> otherwise, what happens is you b

. >> on the topic of next year, jpmorgan came out with predictions for 2020, saying u.s. and global business cycles are showing early signs of recovery and the s&p will deliver high single-digit returns next year. the note recommends investors head into next year overrate communications, health care, industrials, energy, and materials and underweight staples, utilities, and real estate jpmorgan also lists their analyst's favorite individual stocks heading into next year. some notable names, bank of america, conocophillips, disney, and facebook mike, lots to dig into there in terms of the sector performance, what stands out for you? >> that they're basically looking for the markets to continue to play offense, as they indicated in the last couple of months some cyclical sectors. it feels somewhat like the way the consensus is starting to garth up about 2020. i don't think it's wrong i think the upside that most firms are looking for is relatively modest, topping out around 9 or 10%. that's generally low if you look at history but it's all in the context of cyclicals doing

now an update we did earlier this week on jpmorgan facing charges of racism at a branch in arizona.k, "the new york times" published an investigation that alleged one of the banks' african-american clients was told he wouldn't be offered certain services because of his race. today, ceo jamie dimon is taking the opportunity to respond on an internal memo that i have obtained it says, quote, i'm disgusted by racism and hate in any form. any such behavior explicit or vail israeli veiled, deliberate or unconscious is unacceptable and does not reflect who we are as a country and how we serve our clients and community every day. we have done some great work on diversity and inclusion, but it's not enough. i've instructed my management team to continually look into our policies, procedures, management practices and culture to set and achieve the highest possible standards there is always more that we can do guys, we discussed this earlier in the week and said how this -- "the new york times" had brought this to them and there was a sense of huge discomfort and how terrible it was and this

jpmorgan is among strategists forecast a recovery for asian stocks next year.imism pushed taiwanese stocks to anand it climbed above 12,000 points. south korean companies are expected to register the most profit growth in the region because of the tech turnaround which helped the kospi rally 15%. citi turned bullish. japan's rally is expected to along next -- hum year. morgan stanley also bullish. she valuations in malaysia might not be appealing enough for some. daiwa included but ubs expects the worst to be over. investors setting a low bar in light of political risks and weak profit forecasts. people can be enticed with the hang seng trading around 11 times estimated earnings. that is compared to the 20 times. shery: our next guest says asian equities are well-positioned for solid performance in 2020. joining us now, the asia macro strategist. great to have you with us. let's start in hong kong. valuations are attractive. i wonder if it is enough top so what is happening in the economy with the protests continuing. the businesswing outlook looks dimmer and d

jpmorgan, best in class.ally in the short term, goldman sachs is having its first investor day in its 150 year history, january 29 that's the first time they show what's happening behind the scenes you get to see management. you get to see talent. by the way, one of the greatest off balance sheet assets at goldman sachs is their culture we get to see their culture up front and center. >> where does wells fargo, in your situation, land we had bill daily on the 6:00 hour who's now the vice chairman, head of public policy. >> that's the one bank i don't cover. if you want to see what i think about the ceo, you can look at cnbc.com, hugh thone did a huge piece two years ago about what made jpmorgan successful >> you wanted to comment on that. >> mike, let me ask you about in terms of organic growth, the velocity of money has continued to decline do you see much in the way of lowering credit standards to spur more loan growth? because it seems to me credit standards are still pretty high obviously because of some

jpmorgan is estimating that boeing will still burn more than $1 billion a month during the productionays layoffs will remain the same as they are now. we'll get an update later this hour. >>> shares of drug maker eli lilly is rising in the pre-market trading it points to growing demand for treatments like its diabetes drugs true llicity >>> a leadership shakeup at bed, bath&beyond. they're saying that the move would streamline the company's decision-making process. take a look at shares of bed, bath & beyond. the stock is down by half a percentage point. >>> a few stocks on the move to talk about this morning. check out shares of streaming device maker roku now. steve loudon, cfo, will step down loudon will remain until a successor is named that stock up close to 3% this morning. >>> also, take a look at shares of spark therapeutics. roche's acquisition expected to be completed today the ftc approved a $4.3 billion purchase british regulators gave their okay earlier yesterday and that stock up just about 1% joe? >> the house is moving closer to impeaching president trump we're expecti