What's Up on Wall Street - Matt Nesto, Yahoo! Finance
Jan 11, 2013|
What's Up on Wall Street - Matt Nesto, Yahoo! Finance
Transcript - will not be 100% accurate
Welcome -- to the 10 o'clock hour at the financial exchanged -- not a filling in for burial Armstrong alongside it June night and doing a quick check of the markets are right now. Dow Jones Industrial Average down in nineteen point six points at thirteen 100451. NASDAQ down three and a word at 3118. S&P 500. Down three points to 1469. So. Again a pretty quiet day in the markets right now so far. Not a whole lot of movement and coming on with us right now to talk a little bit more about what's going on in the markets today we are joined. By Matt Nesta -- from Yahoo! finance Matt how large this morning. My brother are all about the -- it's all there we go we are very we can get on board it hurt him big time. I have nothing -- from 4:30 until Monday morning at nine so it's -- -- -- time for -- let's talk a little bit about some of the big news from yesterday. We did have President Obama come out and officially nominate Jack -- for the secretary of the treasury what is your take on this pick. As a relates to the economy and also do you think there's a chance that they could actually have him confirmed before this big debt ceiling debate since obviously. That that position does play a critical role in these negotiations. So let's just -- the last question -- yeah there is a possibility that he could get fast track confirmed. Whether he should be that to totally different issue but Geithner said that he wants to be out there. By the point that his office is basically packed up boxed copies. British hit the road so should he be the Treasury Secretary. Actually working on a piece right now a post. -- for the shortly where -- two. Treasury's own web site that looked up their mission statement of the duties and functions. Of the treasury. As the first line says the -- mission highlights its role as the Steward of US. Economic and financial systems. -- -- -- Influential participant in the world economy this goes on to say that the agency responsible for promoting economic prosperity ensuring the financial security. I talked with guest this morning so the world to be the guy is that years. On the financial markets to the president to interpret. We've got a budget guys nominated to do that clearly and qualified not the first person who's a qualified. Jim Baker 1985 did the same lead. From chief of staff of Ronald Reagan. To the treasury. So it's been done before but given what is going on right now in the tentative nature of the financial markets. It is definitely an appointment that speaks a lot of politics. And certainly. Unsettling in certain quarters. Absolutely now. Turning to look at some news from this morning. Wells Fargo came out reported earnings early this morning. How did they looked and what they really show coming for the financial sector as they continue to report over the next few weeks. -- the -- you know there are good that -- profits were up. Like all banks are struggling with their interest margins low interest rates in general. Make it very narrow terms and the spread between. What they pay depositors and what state charge borrowers so that's birdie bomb. All banks right now but still compared to a year ago the numbers well because the stock down a little bit this morning 11 and a half percent. But you know the numbers were the source banks are concerned Wells Fargo always in the league of itself with the cleanest. Numbers compared to some of the other banks and a lot to write downs charges and when challenged. All kinds of little acronyms differently in there that would. A lot sort or what all the part they they tend to stick to more that traditional retail banking as opposed all of the derivatives they got a lot of the other banks into trouble. Over the last five years or so but some other news that came out late last night. Japan came out and said that they were going to be pursuing this essentially equates to about a 116 billion dollars stimulus program. That is backed by the new prime minister object. What exactly does this do for their economy. Well you know we'll say it's certainly -- gonna hurt you know it's it's ultimately inspect your way -- through the economy but the fact is that terrorism that you have to. It's hard to stimulate demand to -- that we do their own. Spending expiry etc. but. -- to get people to go -- spent money to get people businesses to hire. It's a totally different thing so the thing to watch in Japan and I understood it right now as we achieve them. You know stimulated. And prime the pump to try to weaken their currency. Because service export based economy. Before but they've had really you know. During the -- doing so. There -- a nation of savers sensitive that would have been a different schools announced that they -- have a lot of national law a lot of debt right now the federal. Level where the Treasury's security quote traders GGP Japanese government bond yields. Are you know we'll probably blow compared to ours there have to. The rate of about eight tenths of a percent or ten year Japanese government bond vs what point -- US centers so. You know will work will move things I don't know -- I'd have to do some topic. Iowa to left to see exactly how that plays out then some other news on on the domestic front looking at some corporations here. American Express announced yesterday that they're gonna be cutting an additional 5400. Jobs this year so. Is this something that we could see more of as employers try to make cuts with with top line revenue really stagnating. Are -- actually it's always there are being. It's really what's separated. The comeback -- why. The profits on Wall Street record levels whereas the economy itself and hiring are still struggling to come back. In that. You know. Companies public companies private ones make tough decisions. In advance spacing problems. There. Where received the government we see different responses there. But. And then there -- a lot more squishy sort of seek. But yeah American expresses to a fine today and indeed there is about the country this big company with a lot of employees. So. It it would seem that a lot of people but in the realm of their old employee base that. An enormous issue I think. All right -- -- I appreciate you coming on with us this morning. And certainly all touched base -- next week hopefully the pats have a a good weekend and why have a very. Positive start of the week. All right that was manifesto from Yahoo! finance coming up in a little bit we are going to be joined by Michael brush. From tennis and money talking about some of the stock picks again our text lines out or opened today text -- at 68680. Let us know. What are your plans are for the game this weekend. How much you going to be spending on food what are you buying any unique items that you might want Dave and I to potentially sample. Starting at 430 on Sunday. We'll be back right after a quick break right here. On the financial exchange.