Jul 2, 2018|
Transcript - Not for consumer use. Robot overlords only. Will not be accurate.
Stay on top of breaking financial news by becoming a member of the carries brigades blog until financial exchange dot com and sign up today. Time to start talking now its earnings season coming up right around the corner and the stakes are high for investors. Shiraz DN from Zacks joins us Shiraz thanks for joining us. Are very. Shiraz in two weeks the numbers will start to roll in a bit by bit I guess the good news is that reported results anyway should be very strong right. And that's true yeah we had the pattern you'd be strong I think he's in the last timer. In Q1. And it appears that albeit strain in theory into Putin's and that is taught in the acute learning result has become out. Natural as we know that top line and the bottom line numbers are probably going to be very good spot. Investors at this time of the year are going to be looking at one thing in my opinion. And that is that guidance that CEOs give about what's going on forward. The impact the potential tariffs trade what that means for the future is is that something you're keeping on. Are absolutely. There is the million dollar. That variable. Or anyone in debt and that is investing. Here and you can back off now that the corporate Specter. Our current expectations. That he picked half wolf the user remains varies on. So to be in the expectation me these strands. That we just not about in the first half. Kyrie into the second there and inspect continue into the first product by 2019. As well. But although there is contingent on politics. Frayed and urgent he takes. If they'd if it isn't big or bad. It just been negotiating tactic it'd really not affecting. The be it the supply chain. These companies. I did only impact it in there is that it so. The substantive. Impact. From the treaty should. Will be a water. Estimates going. I was will not be good earnings or the spot. And investors need to understand that you know this CEOs are in the same boat we are. They're watching the news there wondering what the law is going to be there wondering what tariffs or to mystic and what's not so. They're kind of in a blocks trying to give an estimate my guess is they might lower estimates just to be safe. That's truly be one up each one of them major developments there that took place over the last. 1015. Maybe by about twenty years is. Debt. As the global economy. I became more and more insert connect say it prompted companies particularly department there at. Two with two to really refined they are our inventory systems their supply chain. And this nor should not just in time inventories. What the big boost to margins was a big boost to capital. And that benefited the market has ordered an older. If we are moving toward a more restrictive trade Richie. Did data be. I actually the oral or any group or seen. I thought that efficiency and the style over many years and there at data being negative there have been negative to margin node negative. Two to expand it. And we've local policy impacts all. The initial impact he will be it more on the interment site about data showing up in the market are ready. Tell us what sector which sector they still do best. Sole income but there. What what what the market has been doing in the first. Is that that the Odyssey. Even dole it is if it is one of the more it all those factors in terms or hurting. Are the market believe bet that you will be able to withstand even a more restrictive trade between. I believe that the fear our expectation by it would be. I and expect by the. But bit weak lately and that's raised a lot of red flags what what do you make of the weakness in financials with the backdrop of very good news like capital returns. Yes so be the biggest wind up on the side particularly with the pain is bad even bull the said. Is there's well as Heather Graf project for ya I mean. But B if I had the direct impact is by vanity or the fourth and they'll be used car. Yup the bond and it is expecting bull market forces and is so. There much in the bat of direct control of what's happening is these read between the leader. Regularly by and in the failure rate is about as in vanity ring. So in numbers that you're the yield curve is not nearly as steep as one would expect or hope at this point from the perspective of financial. Shiraz a meat and a from Zacks thanks very much for that import really appreciated. Thanks very adventurous. That's gonna open he'd say you financials are gonna do well. I'm a long credentials well again that we we need if you're long financially those longer rates to kind of catch up in create some spread for your institutions to make the money it and that's the challenges and it is it is still our past and much stirred savers. You look at the big banks and they've got all the deposits here and take the top six banks would they control 70% of the deposits and yes CD rates still low and money markets particularly those banks are nowhere near relations.