European equities on that historic day for the uk. We were just talking about this, the ftse 100 almost 6700. This index has recaptured its prebrexit highs and then some. The german dax still lagging. Italys might s mib is lower. Spains i bex is higher. There has been so much action lately. The euro hanging in there about 1. 10. The yen has been weakening again of course after the elections and bernankes trip and whether or not theres going to be helicopter money. Finally a check on crude oil. Yesterday the rally did the traders on the floor contribute to the rally we saw in stocks broadly. Energy one of the best performers. Today its moving the other way. Wti and brent lower. Which is by the way the best performer of the year. Up nearly 1 again at 2. 75. Todays economic agenda. Followed by the monthly federal budget and beige book. Kaplan and harker are speaking today as well. Young brands report earnings. Two prominent members of the fed making comments. Neel kashkari saying it isnt urgent to hike rates and the fed has time to allow the healing process before making any moves. Separately cleveland fed lor ret that mester spoke. The timing will depend on economic performance. Both officials mngss inflation as a topic of concern. Big money to be made if stocks fail to stay near current highs. In a web cast says hes beeni selectively. G gold is the better alternative against the backdrop of a european Banking System thats in a state of heading to insolvency. Yes. Yen didnt go above 100. Didnt weaken to where it was. I think it got up to 106 yesterday. But yesterday at one point it liked d looked like 95. People were saying 95 even. Yes. Where are christines economist who is all agreed. The ftse is probably wrong about all of this. Its going to come to its senses i think. I know. The 250. Where do you hide from brexit. The ftse is so national. Its been getting a bit of its mow joe back. Where do you hide from brexit . How about everywhere. Record high. Thats what you call that. Not new, fresh, alltime. Record high in territory thats never been reached before. New is redundant. Alltime is redundant. Its a record high. Do you ever call a fresh alltime new record high. I think one point i said new record high. Thats it. Stocks to watch today. Give me the stocks to watch today. You dont like that . No. Why. It doesnt seem important enough to me. Its not macro enough. Youre offended kelly got the opening thing. Let me give you stocks to watch. Ive got a lot prepared for both of them. Just so you can tell them apart, weve got the bow tie and the regular tie. See. Theyll be on in a second. Dressed up for the occasion. He did. Hes been working out or something or eating out. Fast food. Just kidding. Juneau therapeutics says the fda has removed a clinical hold on a cancer trial. Halted tests last week that followed the desclafaeath of ch patient. Its hard to tell with someone gravely ill and trying treatment whether its a cause of coincide coincidental. The treatment removes white blood drel cells from the body. The se kwoi away fund meanwhile has exited the. Sold the share over the last quarter. This stock, this company once accounted for nearly a third of its portfolio. That was really a huge deal when se quoia doubled down and then it caused this big upheaval inside the fund. People left over it. Exactly. Led to the departure of some pretty notable folks over there. Look at disney. Theres a Company Whose pension were affected. Not a math major, but a third of its value yeeanvaleant. Probably down overall unless theyre in i dont know. What could they have to be in to offset that . Its impossible. Burr borrowerberry sells fell. Offering a mixed outlook for the year. Now british prime Minster David cameron will officially resign today. Clearing the way for theresa may to take over. Wilfred frost joins us from london. I liked the discussion earlier about the cat, too. Absolutely. Larry the cat. It will resident cat and staying, not going with the prime minster. Stays at downing street, but let me set the scene on some of the other slightly more important points of the day. The front page of the telegraph going with David Camerons farewell message. As i leave today, i hope people will see a stronger country. Where as the front page focusing on the first items on theresa mays agenda which will be appointing her cabinet. Not only britains second female prime minster, but expectations of a heavy female cabinet as we well. Mays women on the march the headline there. Going to parliament for final appearance. That will take place in under one hour. Hell then return here to downing street. The final photo with his entire family. His wife, children and then make it away around 12 eastern time to buckling ham palace. Then see theresa may go to the palace and return here as the new prime minster. Very quickly shell get to appointing her new cabinet. Who exactly is theresa may. Shes been a member of Parliament Since 1997. She was home secretary since 2010 up until today when she will become britains second female prime minster. On a more personal level. Shes 59. Shes married. Doesnt have any children. And someone who has not been obsessed with being liked. She has not been obsessed with reaching the top. Has always got on with the political job shes been given. Has to be quite endeeringly embraced the limelight thats been thrust upon her. Shes not been the polished politician some other members might have been. Driven by morality as opposed to ideology. The last female was defined as the iron lady. Many people rfl dubbing theresa may as the steel lady. Just as much drive as getting things done. The first people to experience that will be leaders across europe as she attacks the first and main item on her intro, which will be withdrawing britain from the European Union. By tonight we will have a new prime minster. All very confusing sitting over here. Theres mps. Theres pms. Mps turn into pms. Nobody is elected. People get selected. Not elected. A lot of people around that want to be, but someone said something about someone and someone gave an interview then they have to leave then lets settle on its all very i think the queen is still in charge. Is what i think. Thats the way it should be. I love it. Its like a its like a rap you got going. No one gets elected, they get selected. People get elected to be members of parliament and the leader gets picked by the queen. The queen still has a ceremonial role in this. Only ceremonial. That sound like the democrats here select. They dont really vote for their nominee. I feel bad for David Cameron. Last thing he was saying like trump was stupid and stupid and wrong. I think youre not invited to london. I think he was stupid and wrong for ever leaving the acting profession and i dont know if he can go back and be in this brijt jones, latest movie, but let take a look. He is in it. Thats not him . Which one of those two is he supposed to be . Colin firth. How dare you. You dont like David Cameron . Kelly,thats not nice. There he is. No, no. In is no. Youve gone too far, joe. Youve gone too far. Scott, can you tell the difference if we dont put them side by side. That last picture looks more like David Cameron than the other one, i think. Its the same guy. How can it look more like it. Their two different roles, what do you mean. I dont know, wilfred. You cant go from like schwartz neigher did, acting, politics, back to acting. Wasnt he in the kings speech too. That was colin. You think of David Cameron, dont you . I do. Will he be remembered for the referendum . Is that it . It was good for the country and bad for him, i think, right . Not many old people think it was good for the country. Hes got the con servetives back in power. Labor was under power for some 13 years. Hes leaving the conservative party in power. He also saw an economic recovery. Youre absolutely right. His legacy will be the referendum. Something rereally delivered in the first place to protect his on political skin and its backfired on two levels. Hes lost his job and britain will be leaving the European Union. The other thing he will hope wont become his legacy would be the wider breakup of the uk. Sadly that will be his overarching legacy. Something he wouldnt have wanted to be on his achievements. Okay. He is a millennial. They like a they like a little bit of edge to the news. Most millennials got their news from the internet. From john stuart. And you get your comedy from cnn, really or one of the major networks. So thats what you discover on snapchat. I stole that from a guy we had on yesterday. The rock, said that. He said it about fox news. I switched it. Conveniently. Thank you wilfred. We will see you later this morning. Perfect for where do we get that guy . Isnt he great . And then all the stuff happens. Good timing. The dow s p trading at record hies. Where to hide with brexit. The nasdaq turning positive. Joining us now, olson,. You speak minnesota. Chief in factment strategist. Im going to kind of bust on you a little bit. Awesome. So you a couple years ago were probably one of the most bullish guys around in terms of this is going the be a longterm goal that were here. We finally get back to new highs and youre sitting here with an s p target of 2100. I dont want to mess you up here, but were at 21. R50 now. Its a math thing. Youre negative . Should i sell . Youre negative on stocks right now. Were finally break out to new highs and you dont want to celebrate and jump on with this. I dont mean to be johnny rain cloud. You are. Thank you its not december 31 right now, is it . If were going to 2400, youre going to need to raise your target from 2100. First of all, i dont think were going to 2400. Its a technician. Technical is not fundamental. Is that why its called technical. Heres what we said. Three things. Our 2100 target was probably too low at certain times in 2016. Change it then. No. At the end of the day we think there was downside to 1800 which cu occurred in january. Its summertime. The volume has not been great. We think what your year old joke what do we do with brexit. Its just a day. I also know technical is different than fundamental. We also know that theres going be a tremendous amount of uncertainty and volatility surrounding the election, shounding the fed and still with International Growth. Nothing to do with brexit. Has to do with the unknown of how the eu looks and International Growth properties. That is why we remain in the 20 year bull camp. We remain in the camp that 2016 is a transition year. Well see whether that plays out or not what was i dwoik to say . In your view. Rates stay low, earnings come back in the second half. Whats not to like, but you just say mid to low Single Digits for the year. Thats kind of bearish too. You just think flat. We could turn for the rest of the year for sure. Bullish. I think part of the problem is i dont think anybody expected we would be where we are today a few weeks ago. That doesnt mean targets for the year have to change relative to the surprise. Unless were wrong. Unless we really are starting to break out after two years of sideways rolling corrections. This is the time when things do happen. Were back at the principle right. Yes. What if there were an alternative. I would love one. The volumes have indicated and the sentiments to your point that nobody is actually really in stocks so why do we keep saying there is no alternative. Its not forced people into the market. If anything, theyre piling into corporate bonds. Its not only that. Its collectibles. Its art. Its reality. The money money is like water. You put it under pressure. It finds a new level. The pressure that is pushing it out into the system. Its not just stocks. Im saying it might no be stocks at all. Sure there are record highs. Corporations buying their own stock. Pensions have been moving out of them. People who are young r never got in in the first place. Is there any evidence people have been piling in into this market. Trading at 19 times trailing. Thats just a different price. For what you paid for the earnings you received, youve paid 19 times that. When you get 20 or above, that typically is a place that you cant sustain for long. At 5 Interest Rates normally. Never been at zero. Its inflation. And in a previous macro bull, it can get to 22 and next year were only at 17. Stocks always go up and down more than you think. Brian im going to let you go in a second. Im going to let you finish that thought. Uncertainty is the new normal. Were not certain brexit is going to occur. Its either going to be Hillary Clinton or donald trump at this point. I mean you can factor in your worst kcase scenario, but i dot think things are anymore uncertain than theyve been. At the end of the day, assets left america in 2013. Equity assets left. Are you talking about Going Forward too. Go ahead. Now were starting to see an unwiepd of that. The key thing for u. S. Stocks is you have a Portfolio Managers in country who have huge tracking. They unwind the positions as the economy continues to improve. They have to go back to what we believe are the hallmark sectors of america. Thats going to take time because Technology Companies have been used for redejss over the last six months. That needs to improve and we believe were going to see better Revenue Growth and better Earnings Growth and the key i think over the next five years is going to be Inflation Expectations are way too low. Everybody thinks were never going to have inflammatition ag thats going be the big surprise to drive stock prices. Youre not telling people so sell. Youre not telling people to be cautious. 50 points on the s p. If you think 17 and 18 are going to be that great, why try to cut it so fine by the tend of the year. We have a accomplished target of 2100. Youre not going to change the price target. Youre going to change when it goes down. So thats you accomplish something and its like sort of accomplished. Its too hard to change it. Theres certain compliance things. You dont want to sit and talk about changing things. You raised a really god point. Say in this country people have 1 inflation over the next five years and all of a sudden its going to be 2 or 3 . Who does that hurt the most . It would clearly hurt the bond market the most. Its an argument for stocks. Think about why people have been buying bonds. They are not buying because of fixed income. Capital gains. As that inwinds, its going to help stocks. Do you think it unwinds. Yes, do i. When. Thats been the question for three years. Nobody talks about the great rotation anymore. Three years ago it happened. We led our show with it at noon yesterday. Thanks for watching. 10year treasury right now. We work. I think at the gym where he frequents apparently you just have the mutebutton on. Were asking if the last couple of days are the beginning of the great rotation. You cant count it in days. When we have these bondholders start to feel pain skpm see negative signs, thats when the rotation happens. This is a product of qe. Bond buying and various sorts. When you have a 10year treasury at 10 . You have real inflation running at 3. Is that a good buy . Is that a capital enhancing purchase . We forgot about oil prices recovered. C pi is going to be bouncing here in a bit. People are not repaired for that. Thats going be the most important data by far. When you have the regular tie on, youre negative. Watch out. What happens if the bow tie starts spinning . Does that mean anything. That means im really excited. Okay. Thats tmi. Coming up, amazon second prime day sales event generating buzz, but did it live up to the hype. More importantly, will it boost sales in prime subscriptions. Y you recommend syhetic ov cedar . Super food . Is that a real thing . Its a great school, but is it the right the one for her . Is this really any better than the one you golast year . If we nsolide suppliers whats the savin there . So should go wi the 467 horsepower . Or is a 423 enough . Good questio you ask a lot of good questions. I think we should move u to ourew fund. Ok. Sure. But are yoasking enough wealth management, at charles swab. Out how your wea managed . Great time for a shiny floor wax, no . Not if you just put the finishing touches on your latest masterpiece. Timings important. Comcast business knows that. Thats why you can schedule an installation at a time that works for you. Even late at night, or on the weekend, if thats what you need. Because you have enough to worry about. I did not see that coming. Dont deal with disruptions. Get Better Internet installed on your schedule. Comcast business. Built for business. Welcome back. Amazon prime day yesterday. Longer terms of the ecommerce giant have soured about 250 in the past five years. Its good to see you this morning. Some interesting price action in amazon yesterday, but whats the bigger take away for you here . We dont really have a take away yet. Whats missing are the disclosure from the company as what the sales amounts were yesterday. Well probably get a press release sometime during the day today. And get more call around the earnings call. Last year they generated about 400 million on prim day. We are estimated theyre going to do 500 million. Were not going to get confirmation until we get to earning season. Maybe some of the rivals benefitted to the attention that was paid to the only ecommerce space. Et si was up 5 yesterday. Is there a hallow effect. Probably not. The story about amazon has been they have been taking share overtime for offline retailers and online retailers. Amazon is growing two times the rate of overall retail sells. Companies like ebay are barely growing. We know Additional Details they probably ran 100,000 deals. Whats key to the event is not just the sales they generate, but the number of new prime subs they build up they acquire on that day. We think we estimate globally about 75 million prime subs. Why this matter ss for most Loyalty Programs spend more than those who dont and they spend more and more and from a broader range of categories. Thats the big win for amazon. We think it will not start accelerating in international markets. That was probably the big prime win yesterday, but were not going to find out for a while. Are they going to tell us about those prime subs. Are we going to have to wait for earnings. How much disclosure are we going to expect here. We are doing t