for the week actually it was an up week and it was the 2nd consecutive positive week here on wall street the fed remains under pressure to cut the key interest rate yes quarter there on wall street for us thank you. and to another front of that trade conflict we mentioned earlier india is planning to impose a retaliatory tariffs on over 20 products imported from the u.s. it's a response to washington's decision to withdraw preferential trade treatment for india earlier this month it's expected extra levies will be placed on american elements walnuts and apples among other things a source within the indian commerce ministry has been quoted as saying the us will take a hit of around 2 $120000000.00 as a result the white house has warned that the emphasis of higher tariffs by india could break world trade organization rules. german drugs and chemicals company buyer has launched a p.r. offensive to counter the growing criticism over its we kill or roundup and the controversial key ingredient cliff is it which is said to cause cancer roundup was a top seller of u.s. agro chemical company monsanto and

our financial correspondent is on wall street. the fed holds wall street steady. was that to be expected? >> it was expected and the road seems to be clear for a rate cut already at the end of july. even if monetary policy is not on autopilot yet. there has been an unprecedented pressure from the u.s. administration especially donald trump to cut interest rates and the same is true for the stock market for two and a half weeks. wall street was expecting a rate cut soon. if we do not get it, we might probably see a harsh reaction over here. there was a big debate going on about whether a rate cut is necessary. as of now, expectations have increased that maybe by the end of july we might see the first rate cut in many years. laila: thank you. facebook's -- plans to introduce a currency is facing backlash. the g7 have given the plans a thumbs down. french finance minister insists that only governments can issue sovereign currencies. a group will be set up to examine the risks of crypto currencies to the global financial system. facebook unveiled its currency called li

35 years of great for wall street and any even little hints that wages are starting to rise or or workers are starting to have some sort of dignity again wall street crashes the fed steps and says go away workers we're going to smash you we're going to save on wall street well we still have something called the business cycle and sometimes you have inflation as expressed by a rise in prices including wages was forced the fed to raise rates in a way that would mitigate the risk of having too much inflation this would usually bring about some equilibrium for a brief period of time before you had the opposite taking effect the prices would get too low and then to stimulate the fed would lower interest rates and this is the quid pro this is the give and take between the fed and the economy the real economy then starting really in the 1980 s. under reagan and thatcher and deregulation you had the fed takeover and their sole purpose at that point was to try to squeeze workers' completely out of the global economy so wages never went up real terms since then but stock markets keep going up and the reason to justify this is that the fed will say we need to try to take ca

35 years of great for wall street and any even little hint that wages are starting to rise or or workers are starting to have some sort of dignity again wall street crashes the fed steps and says go away workers we're going to smash you we're going to save on wall street well we have something called the business cycle and sometimes you'd have inflation as expressed by a rise in prices including wages was forced to.

the thing it will do is nothin for main street until w finall get a double collapsing in this world we are in today, recess were caused by bubble collap wall street the fedt it's going to deliver the very asset >> to that point, do you thin >> maybe >> david and have been debating there are some as tenths that i bound. that t cutting rates by 50 basis points is going to save coming i think that's unrealistic where i disagree a bit, i think yes, it's true they can't generate prosperity, prospe by raising rates. it would harm investment even lousin slowing i think the fed is doing what it needs do, but we should all reorie expectation of how bi of a positive that's going to be >> in relative terms, other bind >> absolutely right. you would rather be in our a litt bit of bigle room, but the financial period is if you >> who is talking has be measured as 16% 11 if we were to normalize interest rates, it would cause the bubble it little to do with the househ borrow. how di it help spending? busine investment in real it replated the bubble we are up 300% from the march that's what it did corner it can't let the bubble collapse like 208 or 201. you are ultimate

and transitory was brought in and wall street hated that. what does the fedave to say to make wall street and investors to know maybe this is not a transitory situation? maybe they need to do something more aggressive to get inflation higher? >> i agree with shah, the fact that the fed come out, said, hey we'll put a floor, i believe they said they will put a floor on the market. no one expects them to cut rates on wednesday. definitely we'll look at a language change that will be key. the market fully expect as cut in july. some think up to three. we think two here at carson and the yield curve is definitely telling us we definitely need to pay attention and the fed needs to get back in sync with the market. charles: on the trade side, ron, no one is expecting any grandiose deal. we're not even sure president trump and xi will even meet. nevertheless if there is a meeting is that enough for wall street to say we to the together, or we need a communique from such a meeting to put this issue not on the backburner but take it down a notch or two? >> we definite

investors looking for any clues as to when the fed might lower interest rates. wall street doesn't expect the fed and chair jerome powell to cut rates this week but it's confident the rates will be lowered by the end of the year. despite the trade war, the u.s. economy has remained strong. the s&p 500 is only 2% from record highs. why did you need to cut rates? you cut rates when the economy is failing. it looks like any rate cut would be an insurance move against a slowing economy in the future. investors are optimistic about a potential trade deal. president trump is expected to meet with chinese president xi jing peng at the end of the month to talk trade. hundreds of countries have warned the president that more tariffs on china will hurt americans. the question is whether their lobbying changes anything. so far it hasn't. >>> senator mitch mcconnell responding to jon stewart's outburst. here's what the comedian said on capitol hill last week. >> they did their jobs. 18 years later, do yours! >> mcconnell seeming to brush off stewart's comments in a new interview with f

the fed and the economy. he's chief investment officer with lvn financial group. welcome back. >> thanks for having me.re good to be >> there is a wide spectrum of forecastses on wall streetbout what the fed's going to with interest rates this year. barclays, for ex three cuts before the end of the year totaling 75 bases points and yesterday goldman sachs said no cuts at all this year. where do you fall on this, bearing in mind what we're seeila about ion right w? >> right. a lot of those targets and predictions are reactionary to what t federal funds future market is saying that there's ao expectation market participants that the fed will cut twice this year. our view is thathile it's certainly possible that they could cut once or twice this year that the likelihood of that happening is fairly low. odds o ithat they continue to ring patie with the economic data. i don't think there's any push to cut rates given the fact that slowing to some degree stillco inues to bounce around for the second part of the economic expansion and the 1.5 to 2%ore and it's certainly possible and if they were to make any move a it's a c more than a hike and we'll see what happens over the nex

the answer to that just yet. >> larry, i want to get your take on what wall street says about whether or not the fed will cut rates it seems like wall street is coming around to the thinking of the administration that the fed should in fact cut rates and that pivot seemed to happen after the most recent weaker than expected jobs report. the odds of a rate cut in june went up. the odds of a rate cut in july went up. wall street seeing at least two cuts by the end of the year, and that's because a weaker economic data you said we're killing it on the economy. the economy remains strong, despite that one weak data point. what is wall street missing here because they are seeing the fed cutting rates but on economic weakness >> are you sure, melissa >> on which point? i'm sure of all of it. but i'm open to criticism here >> oh, good. well, i wouldn't dare criticize. i would just suggest to you, in the spirit of having some fun, that the real issue here is the low virtually no inflation rate, which is what fed people have been talking about the fed sin dependent. we have our point of view. they have their viewpoint. the

millions of shipments every day last week fed ex wrongly return a huawei phone bound for the united states to its british center. all right let's bring in court on wall street here against fed ex is suing the u.s. government tell us more about the market reaction to that well pretty much federal express is saying that they are not to lie a bill of for actually the content of shipments and it is legally and the logistically impossible to basically scan those packages and therefore this you would the stock of federal express traded to the downside here on tuesday by a good jim 3 percent the stock has been under pressure for quite some time and by the way they came all of their earnings report just after hours here on tuesday and looking at 2020 they're expecting that the entire year will be negatively impacted by all the trade issues that are going on at the moment and he ends investors also had their eyes and ears on fed jared jerome powell and he had some disappointing remarks. well disappointing in that respect that he was saying that the monetary policy off the federal reserve should not react to term political aspects so that was a pretty direct them cri

the wall street journal. i thought this is like the fed's sources to "the wall street journal" reporter. here you go.ou know what i mean >> that challenger number was really weak. maybe june on the table. >> was it a plant? >> it feels like it. and it's a matter of public knowledge because it's in my book but they have always had a cozy relationship with "the wall street journal." i'm not saying anything out of hand and i don't think it was koi coincidence it hit when it did >> how about this. do we need a rate cut? >> how about this? what are the markets going to do if they don't get the rate cut we've got three rate cuts priced in >> but do we have to get a cut in june? >> i think so. >> there's many more the meetings this year does the market sell off in. >> thanks be to god we go into fed blackout on monday what if the market prices in a 50%. we're not far. we're at like 33% chance of rate cut in june. while they're in blackout and they can't say anything by june 19th do they defy markets they did that in december. how did that work out for them not very well. they laid the ground work. they did

can see a very positive day in asia, following a similar sense of trade on wall street the night before. it is all about the fedthe press c0 nfe re nce what the us central bank said in the press conference following its rate meeting. no cut in interest rates this month but what will happen in the months ahead? we will talk about that in more detail in a moment, we will hear from that in more detail in a moment, we will hearfrom some that in more detail in a moment, we will hear from some era, who that in more detail in a moment, we will hearfrom some era, who is across the fed meeting, but in terms of what it did, the price of gold is up, afive of what it did, the price of gold is up, a five year high, in fact and you can see in europe, the road is a very similar one. we have some stocks on the move, dixons carphone earlier today down by 25%, currently when i looked last, a full year last and they are worrying of —— warning of more to come. so let's bring us the detail on the federal reserve meeting, over two samir hussein in the us. at the last meeting at the beginning of may, the federal reserve felt that the

on wall street the focus stayed on hopes the fed will cut interest rates.eaning a little bit lower. a record high for the s&p 500 up 1%. interest rates tumbled. 10-year treasury yields dropped under 2% yesterday. mortgage rates are falling fast. so lock it in if your' looking for a wall street. stock jumped 50% on the first day of trading. it's valued at $20 billion especially notable, the last company to do so was spotify. they have faced heavy competition from services like apple music. >>> next, update on two breaking stories this morning. we'll be right back. ♪ ♪ this simple banana peel represents a bold idea: a way to create energy from household trash. it not only saves about 80% in carbon emissions... it helps reduce landfill waste. that's why bp is partnering with a california company: fulcrum bioenergy. to turn garbage into jet fuel. because we can't let any good ideas go to waste. at bp, we see possibilities everywhere. to help the world keep advancing. wgreat tasting, heart-healthys the california walnuts.ever? so simple, so good. get the recipes

the day for at least a while going forward. paul: are there any on wall street that believe the fed's move gives dollar bears a green light? two take analysts are making noise about that. let's go to the bloomberg quickly one more time because dollar strength has been significant going into this as yields have stabilized. hedge widely followed fund manager believes the slump under the 200-day moving average signals a moment of truth. the continental exchange could come down 5% to 10%, so seatbelts are buckled. a wild ride. what that is what makes it interesting. thank you for covering the market action for us today at the close. for a close look at the markets, the global economy, and the risk factors affected, we turn to wall street veteran and decorated economist at hyman, long recognized by institutional investors joining us right here on daybreak australia. welcome. >> thank you very much. nice to be here. kathleen: perfect time to have you on the show. we have had a chance to look at the fed move a little more and it seems something sunk in. it feels like a new message. do you see a new message from the fed, and if so

the next level. only with td ameritrade. >>> welcome back wall street is expecting the fed to ease monetary policy after president trump vowed to slap tariffs on mexican imports opening a new front in the trade war. the biggest call now barclays now that sees 75 points. the bearded michael, his chief u.s. economist michael, welcome it's good to see you again >> good afternoon, kelly. >> 75. that implies three rate cuts are you expecting three cuts of 25 quarter point or all at one type of thing? >> we're just looking across two cuts so 50 in september and then 25 in december. so 75 by year end across two cuts >> explain why, to the economists' mind, takes until september and then a dramatic half point cut what gets us to follow that sequence of events >> there's three reasons, i think, we took this path one is that strength in business spending has been weakening over the course of the year looked like it was a government shutdown story early on, but subsequent data, industrial production, the durables report, the trade report, all suggest much weaker trend. equipment spending we're tracking in negative

the fed to reduce rates and drive the dollar weaker. taylor: rates and currency dynamics always in focus with this administration. facing pressure from wall street to washington, we are awaiting andfomc's latest decision fed chairman jay powell's address. rising expectations that the fed will hold interest rate steady while opening the door to a cut in the future. i want to welcome mark cabana. ist i loved about your notes that you point out the mismatch between the markets, pricing in one to two cuts, and the dot plot, which shows the fed is on the hold. what are the -- mark: the market is focused on downside risk. downside risk from trade uncertainty. downside risk from low-inflation. downside risk from an economy that could be on the precipice of slowing. it is pressing in the fact that other global central banks have taken a more accommodative on terry policy. that has driven interest rates to historically low levels in europe. there is spillover from that back into the u.s. those are the types of things the market is focused on. i am not sure the fed is going to validate a lot of the concerns the market has, at least in the meeting conclusi

market participants are betting on up to 4 rate cuts by december so here's the head by phone wall street here's my prediction if the fed doesn't cut rates 3 or 4 times by december 11th markets are going to. stock market and corporate bond markets are in lala land pricing in an economic boom they're not seeing a rate cut economy so why would the fed because the fed's boller just said this week that the rate cut is coming as well so and yet the stock markets in the corporate bond markets that the junk bond market especially is like booming as if boom times are forever well here's the thing he said the stock market is near its highs and predicting boom times forever more during a downturn of the type that would induce the fed to cut rates corporate earnings collapse revenues fall p. e. ratios go to hack and over leverage companies begin to default on their debts which tends to wipe out shareholders economic downturns can be terrible for stocks that have been inflated like this and priced way beyond perfection but there are no signs yet that the stock market which is supposed to be forward looking is pricing in any of thes

the world is upside down on wall street. this is bad news and it is good news. wall street thinks that the fed, the federal reserve will be forced to come in and undo the damage from the president's trade war with rate cuts, maybe by the end of the summer. >> christine romans breaking down the numbers. with me to share their reporting and insights our guests from "the wall street journal" and "the washington times." is this a slow month and things will be fine or is this another sign that the economy is slowing in a significant way and with the threat of mexican tariffs around the corner on monday a risk for the president to keep going? >> it's a sign the economy is slowing. 75,000 is actually roughly how many jobs we can expect the u.s. economy to create over the long run given that ours is an aging population with low population growth so i think the likeliest interpretation of today's data combined with other information, for example on the number of people filing for uninsurance claims, the economy growing at a very fast rate is the slowing around to a 2% rate. >> the slowing to a 2% rate

the eurozone economy. and our financial correspondent yes court is on a wall street get to see as the fed holds rates steady was that to be expected. it was expected to end the road seems to be clear for a rate cut to possibly already end of july even if monetary policy is not on autopilot yet there has been an unprecedented pressure from the u.s. administration especially from u.s. president to donald trump to cut interest rates and the same is true for the stock market for about 2 and a half weeks wall street is expecting a rate cut soon and if we do not get this rate cut soon then we might probably see a pretty harsh reaction over here there was a big debate going on if a rate cut is even necessary but as off now expectations have increased that maybe already by end of july we might see the 1st rate cut in many years yes question reporting a friend in the new york trading floor thank you. now new figures from the un refugee agency show a record 71000000 people around the world are now displaced by war or persecution or most of the refugees are from syria but conflicts and afghanistan south sudan ian mahe

the notion that they are convinced that the fed is strong enough and that any succession would be enough to tip the central banks. >> facing pressure from wall street, the fmoc's latest decision, rising expectations that the fed will hold interest rate steady. >> the fed doesn't cut rates, but they come close. eight members of and open market committee saw the need for rate cuts this year, one voted to cut today. he majority of the committee sees to rate cuts, 50 basis points as appropriate by the end f next year. > some road town policy cuts -- wrote down policy cuts, and others did not. after deliberations made clear, additional accommodation has strengthened. >>'s message is clearly we are getting more dovish, but at the same time, the fed avoided signaling a july rate cut, so at this point, i don't think it is a done deal. >> the market is priced at 100% for july and the only thing is whether it is a 25 basis for 50 asis point cut for july. for those type of odds, it won't be pretty. >> you wonder what the future jay powell my say. >> i think the law is clear, i have a four-year term. >> jay powell not taking the bait in terms of making the cal

important moments for the market as investors wait to see if the report will signal the fed's next move. with wall street betting on a fed rate cut or two this year will the jobs report give the fed the green light, guy >> welcome back! >> good to be back. >> you are missed when you're not here >> joe kernen does yeoman's work >> who's joe >> that clears it up, because there are a lot of things -- >> welcome back. >> that song is a miserable song, number two >> i knew you would play that. we'll play it the whole entire show anyway, green light? >> the fed does not need the jobs report to have a green light. they told you everything you need to know in terms of targeting inflation and i think they're on the wrong path and it doesn't matter what i think. pete said something yesterday that sticks with me. wh the machines that take the market higher and the market is off to the races and today the word was maybe this thing with mexico pushing off and maybe we'll have further conversations. that works in the opposite, as well and i think you can see that tomorrow. tomorrow could be a day and tim seymour said

the fed's decision. the message from wall street is becoming louder and it plays a role in whether the fed will change itsant in the room remains trade risk. we got a new tweet from president trump saying, can you ,magine crying chuck's schumer saying i am bluffing with respect to putting tariffs on mexico? he gave mexico bad advice, no bluff. how sensitive are the markets to the latest trade headlines? mark: we saw on friday when messagese the first about mexico tariffs, we saw a severe reaction in asia. it came out at the beginning of the asian trading. the selloff continues through today. didn't stop equity markets from falling. it was a big reaction and it continued into this week. the blue forut of a lot of people. it had a disproportionate effect on markets. to have a trade battle on 2 fronts between 2 of your biggest trading partners is significant and there is a chance it would affect economic growth in the united states and other countries. if mr. trump is determined to , it will have repercussions across markets and economies. it is something investors need to be very aware of. it is something t

that because the markets to be very jittery but wall street's big day and what the fed chair said todayad some facts. >> good evening brett. the stock market is enjoying the best day and five months today. telling the markets that we have your back if trade tariff escalates. >> we do not know how or when these, and there is a strong labor market. >> with these words, wall street is now pressing in with near certainty, and it will be cut at least once this year. that was a 97% chance, and microsoft and apple yesterday falling on concerns that they will either be broken up or investigated over antitrust. the economic recovery turns ten this month, and over the next decade, the u.s. economy has created over 20 million jobs with american household wealth increasing by $11 trillion. that has nearly tripled, and it quadrupled. that's something each american would like to see. >> bret: democratic lawmakers are pushing ahead with contempt proceedings with the president's former white house counsel and his current attorney general. those actions may be part of the strategy towards something that

wall street. the market move, much brighter at this hour after fed chair jerome powell pulled open the curtains to let the sunshine in by hinting, in fact it was more of a blunt statement, that rate cuts could be in order. in fact, he said quote, appropriate, if the trump trade wars slow down what is a robust economy. dow jones industrials up 436 points. s&p better by 48. the nasdaq, muscling higher by a full two percentage points or 160 points. as the president awaits the guest of honor which do include prime minister theresa may, earlier he stood side by side with may at a joint news conference. it is most likely the last time the two will share the same stage as the uk prime minister is expected to step down in july. brexit, one big theme of the news conference but trade took center stage. president trump promising a u.s./uk trade deal would be quote, phenomenal, and would double or even triple, he said, the volume of trade between the two countries. but causing a little bit of stir here, the president tested the british stiff upper lip, saying britain's national health service should be part o

tariffs in the months to come >> whether the fed -- whether it has anything to do with the president or not, steve, clearly the view of the market, of wall streets is the fed is closer to making a move to cut interest rates >> yeah. >> how is that going to happen >> july is the odds on bet sara, if you like, we have a calendar that we can go through and talk about what happens here one is you have the president xi, president trump meeting perhaps in japan, right? and then you have -- you have the fed meeting next week, then you the president xi/trump meeting and then a june jobs report, that's early july. then you have a second quarter gdp report and then the fed meets in july, so if all those things point the way and kind of line up, then you probably get that rate cut in july. >> and how big will it be? >> it is a good question i would say a quarter point at this point but there are those out there who say possibility the fed does 50 as more of an insurance cut beyond just doing a quarter. >> you got to -- you got to kind of laugh because while it isly so out front of this story maybe for the wrong reasons, but seems like he's getting his wis

the president pushing back. president trump tweets and vocal about, usually wall street beating the fed up, trying to bully the fed. they usually respond. neil: wouldn't you want at any level, you're a great reader of market, bond, stocks, you name it, wouldn't you worry at some level into this strong recovery, to jim's point, all of a sudden the fed is cutting rate? i think that just simpleton in me says, all right, that alarms me? >> the reason i'm not worried, my theory from everything i'm studying, i'm no expert, i look, read, listen to a lot of this, my theory this is not the traditional fed playbook. neil: you're not worried about wage inflation. >> not me. >> the fed made it clear he is not worried about wage inflation so he has a little more flexibility. >> in january powell said wage inflation is not price inflation. that paved the way. he has been greasing the skids. neil: you say he will do everything to avoid recession on his watch? >> right. neil: not if we retired the concept we could have recession? >> no, we haven't. australia i think in year 27, 28 without recession. it is not inconceivable they c

the protests there. on wall street, stocks closed up slightly yesterday ahead of the fed's meeting. fed not expected to cut rates but the fed chief could signal when. so a lot of headline risk out of this two-day fed meeting here and a protest from jerome powell. >>> facebook is starting a new cryptocurrency. "the wall street journal" says facebook is working with more than a dozen other companies to back a digital coin called libra. the project has been in the works for just over a year. >>> sprint and t-mobile will soon be one step closer to the proposed $26 billion merger. the department of justice is set to approve the deal within days. it will require concessions but it will create the second largest career in the united states. getting states to bless the deal might be tougher. last year several states sued to block the merger saying it would lead to less

they believe the feds may want to see if a meeting between president trump and the chinese president of the g 20 summit late next week may erase some of the trade tensions. >>> on wall streets rose modestly on the fed state with the dow up 38 points, the nasdaq broke rose 33 and the s&p up eight points. it was close to its all-time high. which was set back in april. >>> san francisco is one step closer now to becoming the first u.s. city to be an the sale of e cigarettes. supervisors essay this is meant to prevent young people from vaping. we spoke with supervisor siobhan walton about the timing of this action earlier this morning during the nine. >> we need to act and make sure we do everything we can to keep harmful products away from young people. since the fda has not conducted clinical trials and we do not know the health impacts of e cigarettes it is important that we keep them out of the hands of young people until we hear hear from the fda. >> would it be able to or would it be better to do it with hard evidence in your pocket? >> we have hard evidence in terms of nicotine and what it does to young people and how it can cause delays. we know that nicotine is in tob

the feds going forward. the 180 i saw from asked you to this year, i think it can change on a dime. >> that's the problem. full wall street know what they normally do. you say the fed may cut rates later in the year. the normal response would be the economy will be week. that doesn't necessarily mean they will be week. it will mean inflation is low and there are greater risk and they want to find a way, or trimming dollars and inflation, that's just like punching the other guy in the face. maybe i don't have it anymore. >> they want to use again because last week, where he talked about keeping the sanctions coming, he talked about taking previously unconventional weapons, they will be conventional. fortunately to 8 trillion, i don't know where we are going to go with that but it's clear that he's gotten the memo. it's a stunning reversal. >> trump consistently going after day powell has articulate it that he is now on board and made a de facto agreement agreement that he probably went too far. could he be pushed into doing things he doesn't want to do to make it seemed like he's not being pushed around by the white house?

in memphis which happened in this case the packages went to a fed ex global hub in memphis and apparently as we were going to air in the washington or the wall street journal i should say. citing of person familiar with the matter that seemed to confirm that indeed changes to fed ex corporations internal protocols to comply with this while we've been pursuant to the troubling ministrations crackdown on weiwei this person seem to confirm that that was the cause of these redirected mr directed weiwei packages so there seems to be some smoke there at the very least to the same though nothing seems to be a connection. u.s. aircraft manufacturer boeing has told regulators at the f.a.a. that they have discovered a new problem with the troubled 737 max mega jet the federal aviation administration alerted the public to the problem on sunday saying a total of more than $300.00 aircraft from boeing smacks and next generation lines may be affected by a manufacturing prob. they wing parts the f.a.a. says a failure of the suspect part could not cause a plane to crash but could inflict damage to a plane and flight in the meantime those 2 deadly. crashes seem to

cheryl: let's take a look at the action on wall street this morning, the day after the fed left rates. first, the u.s. futures right now, can see the dow is up 212 in the premarket, s&p up 24 and three quarters, nasdaq up 96, s&p close to an all-time high, by the way. we're watching oil on that news out of iran and the drone. still ahead, hero pilot sully culenbursullenberg blasting boed the faa yesterday. is your google portraying you? the hidden hack that could put your home in danger. you're watching "fbn: a.m.." ♪ i'm going to keep loving you, down, down, down. ♪ as long as you're holding me down, ♪♪ ♪♪ ♪♪ lauren: crude oil prices are rallying 2.8% this morning. a u.s. drone downed one week after a tanker attack, this in the middle east, strait of hormuz and with this rally in oil we're actually seeing a rally in the stock market, up four days in a row and close to record highs. dow is surging 207 points. cheryl: well, we continue to follow all the events out of the paris air show. it was a big blow to boeing. american airlines has just agreed to buy 50 single aisle jets from airb

the week ahead on wall street will likely see investors focus on the fed, latest round of earnings andthere is a view that wti oil prices will fall to $40 and rebound to $60. su keenan, really the focus on the fed and whether they will turn more dovish. goldman sachs says the market may not get what it expects, that the fed could be away from moving bias. thenumbers of the top of hour reduce the need for a cut. notice the red on the screen. semi-conductors remain the most exposed group in tech and in , trade to the u.s. trade dispute and continue to take a hit. let's look at the earnings stories ahead, oracle, a lot of software companies with numbers. carmax, beaten up used car company, interesting to see this. look at the others, kroger, what they have to say about amazon.com. big move into groceries and in focus asl be they try to make the merger work. others lining up. the bloomberg. oil is sliding. this despite mideast tensions it is going lower for a third week down. the right has moved relatively 13 to a 14bed above month high on geopolitical risks but the oil story is continuall