I think its going to be significant, 46,000 or 48,000 but you have the supply chain for gm, all of the construction around gm, so youve got a lot of ancillary folks that have been out of work and manufacturing isnt necessarily what drives the economy, its the consumer primarily and we are a service economy, and even though the numbers might be good, its the manufacturing thats really going tamp down here. Neil john, one one of the thins that im hearing to daniels point, not just 48 to 50,000gm striking workers impacting this but up to 200,000 more in ancillary business suppliers and the rest. What do you think of that . I think the estimate that roughly 75,000 to 80,000 jobs being temporarily lost because of gm strike. Neil okay, so if thats the case and they factored that in, is this just a oneoff, what do you think . A lot of reasons it can be a oneoff, results of slowdown at boeing, census workers who were temporarily hired and maybe are coming off the rolls, a lot of noise in the n
Nasdaq advancing 6 . But we didnt get what we need, which is another reason to buy stocks here. This morning and last night i went over about 300 different stocks, 300, with an eye to finding new names to introduce to the actionalerts. Com club every month i give a talk where try to offer club members at least one new compelling idea. And you know what . How many did i find out of the 300 . Four yeah, thats right only four stocks only four out of 300 passed my test why am i being so selective . Let me walk you through whats worth buying in this treacherous moment first, i dont need stocks that need a trade deal to go higher as the trade talks with china drag on, the list of casualties grows longer and longer. Earlier this week we spoke to the longtime ceo of Emerson Electric he knows more than all of us i think he might be willing to break up the business, literally split it in half i love breakups. They tend to be fabulous for shareholders but does that mean you can buy the stock of e
Dropping below the s p 500 dividend yield which is crazy. You can make more money on the yield on the s p 500 than on the 30 year. Unfortunately the algorithms are utilizing global yields as the correlation to equities and that seems to happen from time to time. Remember prior to that it was the chinese currency any time that traded above a 7 Point Equities move lower. So youre looking at global yields and youre basically understanding that protectionism doesnt exist in global asset pricing. What do you mean . Thats exactly what is going on right now so the United States is blessed with technology. The United States is blessed with low energy. Zero versus the rest of the world. Correct but why is that becky . Because we are seen as the best economy globally and thats where i see protectionism doesnt exist in asset pricing the rest of the world is just driving capital here. So you can see bond yields coming down precipitously but still see it being something that doesnt drag the stock m
So the market likes that part of it. As i said, were waiting for President Trump. He is speaking with reporters right now. We should have play back of the comments any moment as we start the hour with blake burman on the president. Some of the comments, im looking at headlines around the building where youre standing, comments on taxes interesting. President as usual making a lot of news. Bring us up to speed. Reporter the president you remember yesterday, connell, he gave idea, would endorse the idea of indexing Capital Capital gains that would be a tax cut for the wealthy. Were hearing President Trump might not be supportive of it. On the south lawn as the president is leaving right now, he just told reporters quote im not looking to do indexing. It is perceived as somewhat elitist. He want tax cuts for middle class, people who work so hard. Indexing is better for upper income groups. Connell, tough to figure out where the president and this white house lan on tax cuts. Just yesterda
Moment right now the dow is down by 33 points take a look at what happened to equity markets overnight in asia youll see that the nikkei was flat the hang seng was down by. 8 and the shanghai composite up by. 1 in europe theres active trading taking place in the markets. Youll see its a little bit of a mixed picture. Three major averages are weaker with the ftse down by. 5 . Italy and spain are seeing stocks higher and then finally check out the treasury market here in the United States. This has been the thing we started watching so closely yesterday. You did see an inversion of the yield curve with the ten year yield challenging the 2 year yield. Right nowits slightly above the 2year as it should be at least. That inverted slightly yesterday late in the session. Right now 10year is yielding 1. 581 the two year is yielding 1. 561 . Were getting close on that again. That and maybe this as well investors suffering a bit of whiplash this morning as President Trump changed his messaging o