Closing down by 0. 4 the hang seng was off by 1. 1 . Then the shanghai was down by almost 0. 9 . In europe it looks like, again, a modest decline dax and the cac are relatively flat ftse down by 0. 2 . Italy and spain down by 0. 3 and 0. 4 if you check out the treasury market, you will see the tenyear right now looks to be yielding about 2. 019 . We do have breaking news on Warren Buffett he is denying reports of tensions between him and 3g capital and kraft heinz. Buffett said 3gs cofounder is a good friend and he plans to see lemann next month. He also plans to attend lemanns 80th Birthday Party in august. The report has been out about tensions between them. Buffett also expressed support for the ceo of kraft heinz reports of the tensions may have been sparked by kraft heinz underperformance. That stock down by 50 buffett says right now the biggest problem facing kraft heinz is that heinz overpaid when merging with kraft back in july of 2015 he said he paid too much and it will take
Moving averages. This months worst performer on the dow. Plus activism in the restaurant sector. Outback steakhouses Parent Company down sharply. Lets begin with the markets extending this weeks losses, not a lot going right, and today, mike, a lot of it surrounds china and worries about not just growth but the debt burden as well. You wouldnt say its a new factor bits been on the list o worries. You have one of these situations where once you have this pretty sharp break in momentum to the upside, several weeks ago, some breakdowns in the longer term trend, some concerns about, you know, valuation that were always there that are being exacerbated and why has the yield become unanchored, treasury yields, and even global yields . All that stuff in the mix and then you have the related concern of, oh, what might what stress points might we see emerge out of that . All thats in the mix. I do think, also, yesterday, with the yields making those new kind of 15year highs, you started to see
Speak. Numbers will move around this morning. Dow would open 150 points off. Nasdaq down 60 s p would open off 18 points treasury yields. 10year treasury at 4. 223. It moved up. 2year treasury at 4. 96. As joe mentioned, in the last half hour, fitch warning it may downgrade dozens of banks. The Agency Cutting assessment of the Industry Health in june. Fitch rating stating if the industry is downgraded again, that translates to negative reaction fitch wants to significaal that downgrades not a foregone conclusion he will join us in the next hour to breakdown what with is happening here. Im looking for a trade, courtney i dont see it yet home depot is saying things are crappy in line with the crappiness they talked about you saw it yes fiscal earnings down Single Digits you want to go through the numbers . I dont know if the stock is impacted by the comments exactly we knew they had been looking for the year of moderation fiscal year earnings down it could. Home depot is reporting earnin
Data right now Barclays Says yes, the economist joins us to make the case. We are at historic lows and housing inventory, why thats pushing home prices down and rents down and how that will impact inflation reits and households well get to that. First, lets get a check on the markets. There is differentiation and the outperformance is coming in the blue chip Dow Jones Industrial average. Its been an underperformer with the broader s p and the nasdaq composite, todays trade has a lot of those kind of valueoriented type stocks one in the blue chip index and the dow is up 250 points and 1 higher and four companies are making the bulk of those gains and its United Health and amgen and also mcdonalds and boeing so if you take a look at some of those stocks and thats whats powering the dow and up about 30 points and right near session highs and we were up 32 points and up about 13 at the low and a positive day twothirds of 1 gain so far the nasdaq composite is an underperformer and reversion
Kathleen youre watching daybreak a show coming live from new york and hong kong. Haidi we are counting town to asias major market opens. The top stories, asian stocks to start the week under pressure following mixed signals in fridays jobs report. Inflation pressure from the u. S. And china. Will prices are nearing highs for the year after six straight weeks of that. Saudi arabia extending as his Prime Minister says he will not pursue the judicial overhaul. Annabelle asian stocks are starting the week under pressure and we see futures to a weaker start. We are one hour out from the open in sydney and tokyo. Looking at key events on the horizon the u. S. Rally evaporated at the end of last week. We will have more on that in a moment but in asia key events include Consumer Prices data from china on wednesday. We could see deflation taking hold officially in the country and other factors as well. Japan has got the boj releasing the summary of meeting minutes. Investors will be passing ove