Transcripts For FBC Countdown To The Closing Bell With Liz C

FBC Countdown To The Closing Bell With Liz Claman June 10, 2016

That this mornings slow moving funeral precession through the streets of louisville pushed back the start. Again, its one hour late already, but we have champions like mike tyson, luis on hand while alis family, president bill clinton, comedian billie crystal, all eulogize the man known as the louisville lip. Well take you live to kfc in kentucky when that happens. Look at those crowds. We should also tell you its a major news hour on the campaign trail. Both Hillary Clinton and donald trump playing to the base. Hillary today addressing planned parenthood and holding a meet with beth warren. One day after getting support, could this meeting be any indication of the first to a Clinton Warren ticket . The hightech billionaire who says if that happens hillary will neither get his money nor his vote. That to donald trump pitching to evangelicals at the Freedom Coalition conference just minutes ago. Weve got our reporters in the field and the Political Panel on the case ready to role. Plus a News Conference just now wrapping up were told in that dramatic shooting at the airport in dallas, texas. The u. S. Is about to change your internet. And the markets spasming, charlie about to break on which billionaire hedge funders have made the worst wrong way. Were less than an hour away to the closing bell lets start the countdown. Liz breaking news, folks, we need to tell you that if theres one thing to watch right now, its the markets and perhaps your money, its the tenyear treasury yield. This is what youre looking at is a plunge to the 16month lows that we havent seen in four months. Here we go. Weve got the yield at 1. 63 , we should tell you that yesterday was at 1. 67. When yields died, that means theres fear in the market, this is a pure play fear flight as the final hour trade particulars down. Weve got the do you think industrials close to session lows here down 159 points to 17,825. So much for dow 18,000, which we hit just a couple of days ago. I promise you this hour is expected to be fast and furious as the bulls get shoved out of the way by the bears. Lets look at oil, though, were looking at settlement of 49. 07 the biggest drop in ten weeks. Energy is the worst performing sector of the s p 500, taking down with it petroleum, tk offshore partners, bay text energy, look at this. Losses anywhere from about nine and a quarter percent to about ten and a third percent. And it is a friday financial freak out specifically foreign banks. Take a look at banks named warren bank of scotland, all are moving down 6 . So heres what weve got. The markets woke up this morning. Look, decided it was time to panic about three things that have actually been out there, folks, so i just want to be clear about that. The three things. The fed meeting next week, the vote two weeks from now in the uk on whether britain should extricate itself from the European Union trade block and global gdp fairs meaning, oh, are we worried that gdp, output, Gross Domestic Product will start plummeting in a lot of countries . But its bond yields around the world that are cracking. This statement. If this isnt drama rolled into massive superlative, i dont know what it is. Janice capital tweeting out global yields lowest in 500 years of recorded history. Ten trillion dollars of negative rate bonds, this is a supernova that will explode one day. In fact, look, we wanted to put this together for you. You may not own german boons or uk guilts, which is a bond in the united kingdom, but they are dropping precipitatesly. Dropping 42 , about to go negative, the twoyear bond going back to the early 90s and of course the tenyear japanese yields are already negative. Folks, that means people are paying the government to hold their money just for the promise of getting some of it back. Lets bring in somebody who knows all about this. Jennifer, Bank Wealth Management ahead of fixed income on the strategies and dangerous. Low yields weve got traders at the ny se as well. Why today . Why did the markets wake up and decide that they were suddenly worried about things that here on countdown to the closing bell we have warned people about, john . We have not seen this risk off trade in a while. Especially on a friday. You point out those three points. Fomc, and global gdp. Those fears have been in our market. Theyll continue to be here. But it seems like today as we head into this weekend here and as we get into the end of the month, as we get into the end of the quarter, its really starting to pickets head up now. What we have on the calendar next week is really coming to the forefront and investors now, now feel that the marketments of moved up for no strong reason and there is a catalyst thats going to move us to the upside rather than the down sued. Liz so down 157, again, anything could happen in this hour but jennifer, this is your realm of expertise. To see the german remember germany am has been a very solid nation when youre looking at the aggregate of some of the drama that weve seen out of greece and portugal and italy. What should we say to a u. S. Investor who holds none of these bonds . Well, essentially for u. S. Investors that theyre not holding the debt, there isnt a direct risk to u. S. Investors if theyre not holding the debt. The debt is more to or the risk is more to the u. S. Side of the equation and what its doing to our bond market. You mentioned earlier how low the tenyear has gone already. It also puts some pressure on the fed too. The fed was on this path of policy normalization. So when you have these escalated fears of potential risk, that puts some tightening of financial conditions into our marketplace and actually makes the for policy normalization a bit more difficult for the fed. So i think its the accelerated as we move closer to the vote, for the vote, youre seeing higher and higher numbers of those in favor of it. And i think thats a lot of the national for a lot of the larger moves weve seen in the domestic bond market. Liz yeah, i look at this, and i thought i woke up today and i thought now, this is strange. To see the bond in germany, the tenyear start to look like its about to go negative. Jeff grossman to you, oil today has suddenly pulled back. And when we look at whats happened to oil, down about 2. 6 earlier, but we get the rig count, last week it climbed by nine rigs meaning they started them back up thinking things are okay and then we added another three today. Did we not, jeff . So as we look at oil in the aftermarket session, im seeing it fall 3 . Again, this is a bad day. Theres no question about it. Were got an argue that. And then, again, its in line with the stock market centering trouble here too. But now lets look at it from a Bigger Picture here. If you look at it from a technical standpoint, we just retraced. Anything under 48. 5 it starts to get dicey on the downside. Now, with this rig count, i dont look at it as a very big negative yet. What this is showing me is some of the players want to get back in because theyre confident that the market will work its way a little bit higher here. I think this market still has loom on the upside as they said in the past. I dont see huge numbers to the upside. But, again, the mid50s or something that i think were going to see possibly by the end of this month. So dont, you know, get panicky yet. This is a normal technical move that we saw. The rig count, again, i think is a minimal thing and show staff confidence in the market on the upside. Liz okay. So, jennifer, if im looking at these pathetic bond yields, why put money in treasuries . Financials happened to just flipped. Its one of the better performing sectors right now. But some of these actually pay out betteryearolds than the tenyear yield. Shouldnt that be going with stocks federal yield and just wait for the market to find better footing . Well, thats one time of concerns that many Central Banks have about negative about is rate policies. Is it a dry Consumer Behavior into riskier estates seveneighths that may or mate may not be appropriate for them. So thats one of the primary concerns. That and bank earnings. You know, if banks are struggling to charge no deposits, thats going to hurt bank earnings. And if you do that while youre seeing you mentioned earlier some of the european banks having pretty significant drops in price today. That would be one of the rationals behind that is that that pressure on earnings for Financial Institutions in the euro zone. Liz jennifer, john, jeff, thank you on this friday. And it is a busy friday, folks, just a second ago down 160 points, the session down 172. Wall street week tonight 8 00 p. M. Eastern. No doubt they are going to be tackling a lot of the issues that have suddenly brought us to this kind of freaky friday. And then stick around for stossel 9 00 p. M. Eastern. Immediately following wall street week. We need to go back to kentucky right now at this moment. Memorial service is beginning for boxing legend muhammad ali at the kfc center in his hometown of louisville that he passed away a week ago at the age of 74 in scottsdale, arizona. Now, this Memorial Service, we want to prepare you for this. It follows a precession in louisville that was attended by thousands and thousands of fans. Widely known quote as the greatest in the peoples champion muhammad ali listen, a total and utter original. Youve got to really look at him if you didnt like him, if you loved him, one thing for sure, a total original. He retired at the age of 39 with 56 wins, five losses, 37 knockouts. Ali was a three time heavy weight champ. A gold medal winner at the 1960 summer olympics and was inducted into the International Boxing hall of fame. Sports illustrated declared muhammad ali sportsman not of the year, not of the decade, of the century. He was awarded the president ial medal of freedom as well as the president ial citizens medal. At this moment, what were doing is were waiting to hear from actor and friend of ali billie crystal as well as former president bill clinton who will both be speaking about alis life. We will bring you their speeches live as soon as we begin. And just for a little color here, billie crystal became friends with muhammad ali because he was widely known as being able to do the best impression of muhammad ali. So they became friends in that regard. Thats absolutely going to be a great speech. Well get it to you the second billie crystal takes the stage. About 49 minutes away, the dow industrials down 161 points. 17,823. A loss of just under 1 . My goodness, the tax business has been a Good Business for h r block this year. The tax preparer posting better than if we could Quarterly Earnings and guess what . Speaking of dividends, boosting it to 22 cents a share. Hrb jumping nearly 13 right now. Up next, the president ial race down to two. We know that. But donald trump and Hillary Clinton are both in dc right now making appeals to true believers on opposite ends of the political spectrum. Team fox business covering beyond that. 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Switch to Liberty Mutual and you could save up to 509. Call Liberty Mutual for a free quote today at see Car Insurance in a whole new light. Liberty mutual insurance. Liz well, now, this is interesting. Instead of going for undecideds, both donald trump and Hillary Clinton rushing to their base today. Both presumptive nominees speaking at high noon. The billionaire businessman appearing to the evangelical voters at the faith and Freedom Coalition conference while the former secretary of state spoke to crowds at the planned action fund. We have blake burman in washington d. C. And peter barns keeping a close eye on Hillary Clintons movements. But first to you, blake. Arguably evangelicals are a group that definitely mattered during the early primaries. What did donald trump gain by speaking to them again . Well, liz, this was a group the faith and Freedom Coalition led by ralph reed that donald trump has spoken to three different times. Today number three. He was there last year as many of the republican candidates when it was a much larger field and as the presumptive nominee on the republican side, he was back there again today. This is a base as you mentioned that has been very, very good to him. Think the latest fox news poll shows as it relates to white evangelical voters, hes got it locked up at a three to one count, 63 to 21 over Hillary Clinton. It was very interesting, liz, in this speech donald trump used the teleprompter. He wev weaved in and out. But those speech was one time of first public appearances from trump, at least speeches after the whole judge situation for him. And in that speech, trump talked about protecting religious liberty. But went so a step further by also trying to make the case. That he and not Hillary Clinton would be the candidate best suited to take care of the needs of both africanamericans and hispanics. Here was trump from your a little while ago this afternoon on that front. Here we go. Freedom of any kind means no one should be judged by their race or their color and the color of their skin. Her education policies, her economic policies, her immigration policies, and her trade policies will plunge our poor africanamerican hispanic communities into turmoil and even worse, despair. Trump also tried to make the argument, liz, that democrats for the most part as he says run School Boards and city council and mayors and up and down the like and as he thinks relates to inner cities that its time for a change for republican leadership. I should mention before i go while trump was very much in the political arena at that faith and freedom conference, right now he is kind of in the private sector as hes here in the trump hotel, the post office doing a little bit of personal business before he heads out on a week long jaunt really all across the country with several campaign stops. Liz okay. School boards, i think there are many democratic governors. Well see. Again, its an interesting tactic hes taking, blake, thank you. And just as he appeals to that vote, Hillary Clinton since becoming the first democratic nom in any way. Peter barns. Well, liz, Hillary Clinton giving as good as shes got today from donald trump. Shes celebrating three different endorsements now that shes the president ial nominee from president obama, Vice President biden and elizabeth warren, in fact, she met with warren at the clinton home in washington d. C. Today following this endorsement. Warren is one of the most popular politicians in the Progressive Movement and could be especially helpful to clinton and attracting more of the younger liberal voters who have flocked to senator Bernie Sanders campaign. Clinton later took a victory lap at planned parenthood where you mentioned where she was in full trump attack mode. This election isnt about the same ol fight between democrats and republicans. Theyll be there. Dont worry. But this election is profoundlily different. It is about who we are as a nation. And just as donald trump was meeting yesterday with key fundraisers and contributors to his campaign, Hillary Clinton will meet in her Washington Home with her fundraisers and donors tonight. Liz. Liz yeah, again, both sides, i dont know what she gains. But, again, one could argue shes not as strong with women as people might have expected her to be at this point. Peter, thank you very much. And wait until you hear what billionaire mark cuban said on Varney Company with ashley today. This morning regarding both Hillary Clinton and donald trump. Our Political Panel on that and the two big bombshell reports about hillarys emails and lawsuits against donald trump, which only further underscore the unlikability of both o

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