- 10 minutes ago
Category
🗞
NewsTranscript
00:00And right now we are two minutes away from the end of the trading day.
00:03Romain Bostic here with Jess Minton taking you through to that closing bell.
00:06It's a global simulcast.
00:08Carol Masser and Tim Stenevich join us fresh from their surfing vacation.
00:11Welcome to our audiences across all of our platforms.
00:13We were working. Thank you very much.
00:14Television, radio, our partnership with YouTube.
00:16I can't hear you, Tim, over all the work that I've been doing this week
00:19as we keep our eye on markets set to close down for a second straight week.
00:24You know, it was really windy and the sun was really hot.
00:25I'm just going to put it out.
00:26And like that, the salt was spraying in my face.
00:29It was a little uncomfortable.
00:30It's okay. I brought you a souvenir pen, Romain.
00:32Thank you. I appreciate it.
00:33From one of the asset managers.
00:34You guys are at the Future Proof Festival out there in Huntington Beach, California.
00:38Yeah. Yeah.
00:38Talking about all the things that you guys, that we always talk about here at the closing bell.
00:43I mean, we're talking about AI. We're talking about volatility.
00:46People expect a lot of volatility in the markets.
00:48I expected more on this triple-reaching Friday. What's going on here?
00:51It's still summer. No, it's actually not still summer, in fact.
00:55Even though Charlie Pell would argue it's still summer.
00:57It's still summer, Tim.
00:58It is, technically.
00:58You know, science has actually determined this.
00:59I know. He would argue it's still summer for a few more days.
01:01We did see volume actually higher today, though.
01:03If you compare it to the last 20 days, the S&P 500 volume was 25% higher.
01:07So people are there.
01:08I'm telling everybody to work from home because I'm tired of, like, commuting.
01:12Well, I mean, Carol was just talking about the volatility or lack thereof.
01:15If you look where the VIX is right now, below 15, so that's more than 20% below its one
01:20-year average.
01:20But I wanted to point out, if you look at the last time the S&P 500 actually closed at
01:24least 1% lower, it was that other Fed decision on July 29th.
01:28So it's been 36 consecutive sessions without a 1% drop, and that's the longest streak since October of last
01:33year.
01:33Yeah, and we should keep an eye, though, too, on what's been going on with Treasury yields.
01:37We'll talk a little bit more about this as we close out the day, and more importantly, close out the
01:42week, a very volatile week that, of course, included the Fed meeting in the middle.
01:45Now that the dust settles and investors have a chance to see where things go, the reset begins, triple-witching.
01:52Dow Jones Industrial Average down about 100 points or two-tenths of a percent.
01:55It's going to close lower on the week by about 2% here.
02:00The S&P is going to add about 12 points or about two-tenths of a percent on the day,
02:05still going to finish in the red on the week.
02:08The NASDAQ Composite and NASDAQ 100 higher on the day and higher on the week.
02:12But take a look at the Russell 2000, dropping about 14 points or about a half a percent on the
02:16day, down 1.5% over the last five days.
02:20All right, back to the big cap side, go.
02:22And even though we saw the S&P finishing up just slightly in the green, Jess, you've got most names
02:28in the index lower today, 349 names in the S&P 500 losing ground, 153 to the upside, one unchanged.
02:35Looking at that IMAP function for the sectors within the S&P 500, seeing utilities, the biggest decliner today, down
02:42around 1.4%, followed by materials also down about 1%.
02:46But on the flip side of that, you have technology up about eight-tenths of a percent, followed by industrials
02:51up around a half of a percent, Carol.
02:53All right, guys, let's go to the individual gainers.
02:55And we did see actually a lot of green in that pie.
02:57So let's get to it.
02:59Bitcoin topping $80,000 today.
03:01It's now up about 37% since June 30th.
03:05And so no surprise to see a bunch of cryptocurrency-linked stocks gaining in today's session.
03:09The other fundamental thing at play is the SEC greenlit digital versions of securities to start trading in the United
03:16States, which makes me wonder, do we still need exchanges eventually?
03:19But I'm getting ahead of myself.
03:21Anyway, investors certainly pushing up a lot of names in the crypto space.
03:26Strategy, number one in the NASDAQ 100, up more than 16%.
03:30Coinbase.
03:30When you say we don't need exchanges.
03:32I mean, I just don't wonder, like, if we're going to have digital versions.
03:36Well, where are the stocks actually going to list?
03:39You know a token is not a stock, right?
03:41I mean, on the blockchain.
03:43Oh, gosh.
03:44Keep going.
03:44No, I'm serious.
03:45You're one of those nutjobs, right?
03:46I'm not one of those nutjobs.
03:47This is what happened.
03:48You should have seen what she was doing in Huntington Beach.
03:50What was I doing?
03:51She comes back.
03:52She's ready to say blockchain.
03:55Blockchain.
03:55I'm all in.
03:56All right, so I did strategy.
03:57Number one in the NASDAQ 100, Coinbase.
03:59Number one in the S&P 500.
04:01You saw that one up just shy of 12%.
04:04You had Robinhood, number two in the S&P 500.
04:07It was up about 11 and a half.
04:09No, let me go there.
04:09About 8.30.
04:11Oh, 9%.
04:11Forgive me.
04:12I had to update my numbers.
04:13And then if you go over to Circle Internet Group, that, too, was up 7.8%.
04:17So, yeah, despite the Clarity Act and disappointment earlier in the week, we did see them finishing Friday higher.
04:24And then I'm just going to go over to SanDisk.
04:25Man, this one just keeps pushing higher and higher.
04:27Number two in the S&P and NASDAQ 100, up almost 11%.
04:31Benzinga noting the rise, pointing to how AI infrastructure continues to consume more memory, tightening supply.
04:38Also mentioned recent comments from NVIDIA's CFO, citing extreme pricing conditions and memory.
04:43Stock is up about, I don't know, more than 630% year-to-date.
04:49All right.
04:50Some of the gainers.
04:51Let's go to some of the declineers.
04:53I want to start with shares of Netflix down 4.7% today.
04:58Romain, what was the last big original series you watched on Netflix?
05:02Oh, gosh, man.
05:04You're about to date me right now, man.
05:05I mean, we're going back to House of Cards days or something.
05:08Right.
05:08Yeah.
05:09I mean, they might have invented the category.
05:11But according to a Wells Fargo analyst, Stephen Cajal, they got some explaining to do because they've, quote, lacked big
05:17original series.
05:18And it's showing and that breakout hits are necessary for the stock to work again.
05:22It's actually down.
05:23Gosh, I just had this up on my terminal.
05:25About 47% going back to 2025.
05:28So now downgrade noticeable.
05:30It's the first bearish analyst rating on Netflix in months.
05:33The majority of analysts, though, still recommending to buy the stock.
05:37All right.
05:38Shares of Netflix down on the day today.
05:39Let's look at ADRs of Volkswagen.
05:42They had a rough day today.
05:43The company slashed its profit outlook due to a sharp contraction in China, restructuring costs in a 6 billion euro
05:50write-down tied to Porsche.
05:52Volkswagen shares down, or ADRs of Volkswagen, down more than 6% today.
05:57The company did say its operating margin would be around 4% if special items are stripped out.
06:01It cited challenges, including the growth of EV sales in Europe and planned job cuts.
06:06I mean, you can't ignore what's happening with these Chinese EVs that are all over Europe at this point and
06:11the way that they are being sold and challenging traditional and more longstanding legacy automakers.
06:17And finally, checking in on the IPO today, OIGUS, Orion 180 Insurance Group.
06:24We actually just had the CEO on the program today.
06:27Shares bounced around a little bit when they did start trading, but did fall 2.8%.
06:31They raised $240 million.
06:32The IPO was upsized, but fell ever so slightly in today's trade.
06:37Let's take a quick look at yield because the welder trajectory continues pretty much apace as to what everybody has
06:43been expecting,
06:44and that is effectively this idea of being higher for longer.
06:50Your two-year yield today, if you can believe it, up nine basis points.
06:54In fact, for five straight weeks now, we've seen that two-year yield rise.
06:58We're at 4.75 and change.
07:00Your 10-year yield remains camped out above 5%, up about seven basis points on the day.
07:06The longer the curve also getting sold, your 30-year yield right now at 5.33.
07:11So basically, you're talking from 10 down to 30.
07:14You're basically at 5%, and the two-year now starting to approach that level as well.
07:18Yeah, right, and it just feels like we're still headed higher, at least based on Fed expectations.
07:23Hey, guys, well, speaking of that, as U.S. Treasury rates, we continue to see them climb.
07:27The other thing that's been climbing, and we talk about this a lot, is beef prices.
07:31Restaurants, as a result, are re-engineering their menus due to those surging beef prices.
07:36So what they're doing is either smaller portions or they're doing less expensive, Tim, cuts of meat.
07:41Didn't we have this conversation a few years ago, the whole idea of shrinkflation?
07:45Romain, I know you reported a ton on this.
07:47Oh, yeah, we did a lot on it.
07:48A few years ago.
07:49Yeah, it's very common.
07:50I mean, some companies are more transparent about it than others.
07:55But, you know, this is a way for them to sort of, you know, keep customers in the door, so
07:58to speak, and at the same time manage not only the company's cost, but obviously whatever they charge.
08:03So if somebody asks, where's the beef?
08:05Oh, gosh, you had to go there.
08:06They said, you know, the proper responses got too expensive, so we left them out.
08:11Can I just share one stat in this story?
08:14One-third of operators, we're talking about restaurants, said their business wasn't profitable in the first half of the year.
08:20Yeah.
08:20That's according to the National Restaurant Association, Paul.
08:23We know it's a hard business, but that says a lot to me.
08:25All right, well, rest in peace, Clara Peller, of course, the where's the beef lady.
08:28But speaking of inflation, I just have to get to this.
08:31The New York Knickerbockers about to start their season coming off of, of course, that championship season.
08:36And apparently Jimmy Dolan put up some prices for single seats, and they were significantly higher than what they were
08:43last year, in some cases 30%, 40%.
08:45They actually had to shut down for a while, because apparently they're saying, well, that was an error.
08:50I don't know if it was, but they're saying it was an error, and they're going to reset, and now
08:54saying that when they start reselling tickets again,
08:56the price will be, on average, 12% higher than what it was last year.
09:00Those resell websites, though, like StubHub, over $1,000.
09:04I mean, so many of my friends and I wanted to watch some of these games, but we'd have to
09:07go to places like, ironically, Tacombie.
09:09Well, it wasn't just the resell.
09:11I mean, this was Ticketmaster.
09:12This was first sale, just to be clear.
09:14And it's raising a lot of questions as to, like, you know, I mean, what kind of premium do you
09:18put on a championship,
09:19and how much are the fans willing to take?
09:21This is the world we live in, guys.
09:23Okay, so basically smaller burgers and higher prices for my, you know, nosebleed Knicks tickets.
09:29You know, we had one server at a dinner in Huntington Beach.
09:36This work trip, let me hear it.
09:37You know what he said?
09:38He found out we were from New York.
09:39He's crossing his arms.
09:40We found out we were from New York.
09:41He said, Knicks in five.
09:43Okay, there you go.
09:46Let me guess.
09:46Carol ordered the escargot and champagne.
09:48There was no escargot and no champagne.
09:50But you looked.
09:51I did look.
09:52No, I didn't look.
09:53You know what, though?
09:54It was Carol's anniversary.
09:55Yeah.
09:55So I celebrated a long anniversary with three men that were not my husband.
10:02On that note, bye-bye.
10:04Bye-bye.
Comments