there was larry mcdonald from suburban atlanta, georgia who was a democrat and a member of the john birch society continued to denounce king as a communist. finally there was jesse helms from north carolina who stayed out of the king holiday battle at least, floor of congress until the end when he stole the headlines by squaring off against ted kennedy and saying the only reason we know king was a communist was because ted kennedy's brothers ordered surveillance on him because that is what they believe that he ended up getting a tobacco deal and backing down which people suggested was his motive all along. .. >> bob dole and others pulled reagan to a pretty strong support and all along the republicans and others who oppose the king holiday mostly did so on the this is a very boring reasons that did not meet good copy. if it would be expensive very and economic crisis to give the whole nation's workforce another day off. they calculated that that would be quite costly. ill advised as well. and they said that not enough time had passed for the nation to get enough distance and i had conserv

there was larry mcdonald from suburban atlanta, georgia who was a democrat and a member of the john birch society continued to denounce king as a communist. finally there was jesse helms from north carolina who stayed out of the king holiday battle at least, floor of congress until the end when he stole the headlines by squaring off against ted kennedy and saying the only reason we know king was a communist was because ted kennedy's brothers ordered surveillance on him because that is what they believe that he ended up getting a tobacco deal and backing down which people suggested was his motive all along. .. took control of the senate in 1980 but what happened is you have republicans brought over to the pro-king holiday site and ultimately ronald reagan who heads sort of nudged and winked that he agreed with the anti-communist line that ashbrook and others had taken without being explicit but don't get me wrong. the republicans were polled around mostly by moderates the party leadership by bob dole howard baker in tennessee pullep reagan and the republicans around to pretty strong suppor

we'll talk to larry mcdonald. scott, don't miss it. >> all right, jackie, thank you so much.e larry mcdonald, top of the hour, in 30 minutes. >>> the first words spoken on the network 25 years ago. we dug through the archives and found the clip you don't want to miss. on the way out, look at the best performing stocks since cnbc began. and enjoy john najarian's favorite tune from 1989. >> fine young cannibals. that's right. we did a 27-point inspection on your chevy,ce, you got new tires and our price match guarantee. who's this little guy? that's birney. oh, i bet that cone gives him supersonic hearing. watch what you say around him. i've been talking a lot about his procedure... (whispering) what? get our everyday price match guarantee plus a $100 rebate on 4 select tires from your tire experts. chevy certified service. i can't wait to get to mattress discounters because the tempur-pedic bonus event is ending soon. choose $300 in free gifts, and, get up to 48 months interest-free financing with any tempur-pedic mattress. ♪ mattress discounters >>> welcome back. history was

let's bring in senior director larry mcdonald. say it isn't so, larry?sounds like what companies do all the time. >> it's fascinating. david pointed this out a couple quarters ago. when i was growing up in the business, if you looked at earnings in the quarter it was always 50/60 and the companies that beat -- excuse me the companies that warn versus beat. now in the most recent data it's versus 15 raises. companies are massive lower earnings expectations into the number. >> how does this selloff play into the phenomenon. the more we sell off maybe just meeting the estimates is going to be good enough. >> we developed a trading strategy around the new edge for our clients n ha normal market with 4 trillion of qe this is a good trading staj whrategy, whey announce the lower you buy that. when they finally report the next quarter, the company massively is up 10% to 17%. in the average these names were up 8%, 9%. i think in this kind of market that we're experiencing in the last week, this really -- you've got to rook at this with a grain of salt. you have

things changed so much by the late '70s and '80s, larry mcdonald from suburban atlanta, georgia, a democrat, and also a member of the john birch society, who continued to denounce king as a communist, et cetera, and then finally there was jesse helms, who actually a senator from north carolina who stayed out of the king holiday battle, at least on the floor of congress, until the very end when he stole the headlines by squaring off against ted kennedy and saying that the only reason we know king was a communist is because ted kennedy's brothers ordered the surveillance on him because that's what they believed, and he ended up getting a tobacco deal and backing down, which people suggested was his motive all along. but ashbrook is interesting because the official position of most republicans in congress initially was against the king holiday, and it was emphatically the position of ronald reagan, who was elected president in 1980. remember, the republicans took control of the senate in 1980 also, but what happened was you have republicans brought over to the pro-king holiday side and ultimat

and back with us as we wrap up our first hour on the floor of the new york stock exchange is larry mcdonaldny surprises in what the fed did today? how do you like the market's reaction to it? >> well, the big surprise is if you think about since march 3rd, the s&p 500 has danced around 1880 or 1884 now, and in the past over the last month we've had eight failures here, eight or nine failures here where the equities have sold off, but in the past over the last month, since march 3rd, when the stock market has been here, treasuries have been up near two spot 80 and two spot 75. today treasuries are at 2.64 so the bottom line is the bond market is not buying this risk on right now. >> larry, do you agree with bill gross who says we're talking structurally lower rates which means structurally higher stock prices? >> well, i think, you know, through the course of the year, that's a different ball game. i think over the next month i'm a seller of stocks unless -- below this level, 1885, 1890. that's where i'd stop myself out, but i'm a seller of stocks short term below those levels >> you know, l

larry mcdonald from new edge. we've got frank braddick. and our own rick santelli. welcome to everybody here. jim lowell, would it matter if we keep trying to set a new high for the dow and we just keep failing? eventually the technicians are going to tell us we're putting in a double topper, something here won't look good. >> well, a double top or not, this is a market that can't be kept down. the reality is we see a lag in the multinational balance sheet blue chip stocks. we think those have real room to run, especially late during the year, especially if not only the u.s. recovery but the global recovery remains at least on par, if not picks up a little bit of steam. we definitely share janet yellen's concern that the jobs being created aren't quite good enough to call us recovered, but we are clearly still in an economy that's recovering well and a market that's going to keep pace with it. >> larry, you've been cautious here, have you not, on u.s. equities. where do you stand today? >> if you look at the s&p, we did some damage on the s&p and the nasdaq over the

larry mcdonald joins us and also brian reynolds. it's great to have you both here on the floor.junk yields have been coming down, people buying high yield as equity investors selling like crazy. >> is that because we've seen the five-year coming down. >> hasn't mattered whether rates have gone up or down in the last five years. our nation's pensions need to make 5.7%. need to bring in more money from the cities and towns that fund them. >> perhaps no coincidence that back stan can go to market and get 7% to 8% rates. >> think about in the last month, greece and preaka raised over $5 billion in the credit markets. >> so i sense that's a tremendous amount of froth. in corporate funds we're hearing 2.0. >> the imf warned about that. the standards giving to investors are even worse than 2011 levels. >> what what does that say to you about the financial markets more broadly. >> take us back to the stock market which is selling off. why. class classic housing stocks bottomed and topped. topped in 2005. they corrected about 20% and the biotechs today made i think a near-term bottom on

larry levin. from miami, shar galani, next to me, lauren sim nety and liz mcdonald. w a rally for the stock market. the market could double if the gop wins this year and in 2016. larry levin, are you buying that? >> well, i don't know about double. i mean double would be a really, really big move, stuart. but i would say that the gop getting in and unceasing this nanny state would be good for the markets, i don't see why corporate america would continue to do good. double might be a bit much. stuart: pulling back on the double idea, how about you, liz? >> i don't think double either. we may not have a president who fights his own bull market like this president has. the president has to take a sprint, victory lap about the bull run on wall street. double may be a stretch, president obama, just to remind you, stuart, he said of mitt romney he's going let wall street run wild again but take a hammer town on sesame street. doubling may be a stretch but certainly a push upward. >> shar, chime in on this one? >> i think it could double, you have to go through the full cycl

there was larry mcdonald from suburban atlanta, georgia who was a democrat and a member of the john birch society continued to denounce king as a communist. finally there was jesse helms from north carolina who stayed out of the king holiday battle at least, floor of congress until the end when he stole the headlines by squaring off against ted kennedy and saying the only reason we know king was a communist was because ted kennedy's brothers ordered surveillance on him because that is what they believe that he ended up getting a tobacco deal and backing down which people suggested was his motive all along. .. >> bob dole and others pulled reagan to a pretty strong support and all along the republicans and others who oppose the king holiday mostly did so on the this is a very boring reasons that did not meet good copy. if it would be expensive very and economic crisis to give the whole nation's workforce another day off. they calculated that that would be quite costly. ill advised as well. and they said that not enough time had passed for the nation to get enough distance and i had conserv