Latest / Bloomberg Intelligence / Bloomberg's Wilson on Winners, Losers, Stock of the Day (Audio)

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Bloomberg's Wilson on Winners, Losers, Stock of the Day (Audio) · Bloomberg Intelligence

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  Speaker 1: Global business news twenty four hours a day. It's Bloomberg
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  Speaker 1: This is a Bloomberg Business Black from Bloomberg World Headquarters.
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  Speaker 1: I'm Charlie Pellet. There. It is a sound of the
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  Speaker 1: closing pallet the New York Stock Exchange. As we wrap
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  Speaker 1: up trading on this Wednesday, August third, the Dow, the SMP,
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  Speaker 1: NZDAC all advancing, the Dow snapping a seven day losing streak,
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  Speaker 1: SMP five hundred index ending eight two day decline. Stocks
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  Speaker 1: moved higher as investors way weather the latest corporate earnings.
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  Speaker 1: Economic data under rebounding crude prices could spur further gains
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  Speaker 1: as equities trade near records. Financial shares rose, with a
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  Speaker 1: i G American International Group having its biggest jump in
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  Speaker 1: four years after profit beat estimates. A i G surging
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  Speaker 1: seven point three percent to fifty eight eleven, Oil jumping
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  Speaker 1: more than four percent to rise back about forty one
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  Speaker 1: dollars a barrel Following weekly supply data, lifting energy producers
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  Speaker 1: West Texas Intermediate crewed a four point one percent of
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  Speaker 1: a dollar sixte barrel tow. Michael Allison, his portfolio manager
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  Speaker 1: at Eaton vance management. He was our guest today right
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  Speaker 1: here on taking stock number one in terms of just
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  Speaker 1: start the market back drop, and we've been fairly surprised
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  Speaker 1: at how uh steadily the wall of worry has been client.
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  Speaker 1: You know, there's a lot to worry about, Chinese situation, Brexit,
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  Speaker 1: election uncertainty, economic concerning Fed policy, all those sorts of things,
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  Speaker 1: and yet the market has just continued to, you know,
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  Speaker 1: to march upward um in relatively sanguine fashion. And speaking
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  Speaker 1: of Fed policy, Federal Reserve Bank of Chicago President Charles
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  Speaker 1: Evans says an interest rate increase could be warranted this
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  Speaker 1: year as the economy picks up steam, even though he
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  Speaker 1: is still worried that inflation is too low. The tenure
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  Speaker 1: of four thirty seconds yield one point five three gold
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  Speaker 1: downounced thirteen six. You had dropped there of six tenths
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  Speaker 1: of one percent, and the SMP as we recap here,
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  Speaker 1: up six to sixty three, a gain of three tenths
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  Speaker 1: of one percent. Town Industrial is up thirty eight, a
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  Speaker 1: gain of two tenths of one percent, and at four
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  Speaker 1: o two on Wall Street. Now, let's take a look
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  Speaker 1: at the other stories making news. Charlie, thank you from
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  Speaker 1: the Bloomberg news Room. I'm Mark Crumpton. Frances President is
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  Speaker 1: weighing in on Republican presidential nominee Donald Trump. French President France,
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  Speaker 1: while Olan says Donald Trump's excesses in the U s
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  Speaker 1: presidential race are sickening. Lan speaking with journalists over drinks
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  Speaker 1: worn against the authoritarian tone adopted by Trump. Land also
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  Speaker 1: says he was not happy when the Republican presidential nominee
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  Speaker 1: spoke ill of the memory of a soldier. It's a
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  Speaker 1: reference to the war of words between Trump and the
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  Speaker 1: parents of a Muslim American soldier who was killed in
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  Speaker 1: the Rack. Alan says if the American people choose Trump,
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  Speaker 1: it will have consequences worldwide because the US is a
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  Speaker 1: global economy. Michael Barr Bloomberg Radio. The federal emergency declaration
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  Speaker 1: for Flint, Michigan, expires August fourteenth, but city, state, and
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  Speaker 1: federal officials are reassuring residents they're still working to provide
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  Speaker 1: them with safe water. Bob Kaplan is the e p
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  Speaker 1: a's acting regional administrator. How long EPA will be here
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  Speaker 1: will be driven by the facts and the science, by
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  Speaker 1: the water quality, and that by a date on the calendar.
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  Speaker 1: The most decorated athlete in Olympic history will carry the
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  Speaker 1: American flag during the opening ceremony of the Rio Games.
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  Speaker 1: Michael Phelps was selected in a vote by members of
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  Speaker 1: the U S Olympic team. Fire officials are investigating a
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  Speaker 1: massive fire last night that gutted a grocery store in
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  Speaker 1: Queens that had served the neighborhood nearly a century. It
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  Speaker 1: took more than one hundred sixty firefighters several hours to
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  Speaker 1: put out that blaze at the Strawberry Farm supermarket at
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  Speaker 1: one hundred fifty Street and twenty fourth Avenue in white Stone.
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  Speaker 1: Global News twenty four hours a day, powered by more
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  Speaker 1: than twenty hundred journalists and analysts and more than one
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  Speaker 1: hundred twenty countries. I'm more Crumpton. This is Bloomberg, Charlie,
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  Speaker 1: and we thank you. We are on Tesla watch. Tesla
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  Speaker 1: shares down today by six tenths of one percent. Tesla
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  Speaker 1: now at recapping a move higher for equities SMP, snapping
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  Speaker 1: a two day losing streak, up six to sixty three,
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  Speaker 1: a gain of three tenths of one I'm Charlie Pellaton.
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  Speaker 1: That's a Bloomberg business flash move around motion. Creates the
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  Speaker 1: motion a move they do. I've never seen anyone move
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  Speaker 1: that back hard people. Let's move to great a purpose.
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  Speaker 1: That was called movers and shakers. It costs a little more,
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  Speaker 1: and that name cracked me up. Bloomberg taking stock movers
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  Speaker 1: and Shakers with Bim Box and Kathleen As on Bloomberg
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  Speaker 1: Radio Movers and Shakers for this Wednesday, August the third,
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  Speaker 1: twenties sixteen, broadcasting live from Atlantic Wharf in Boston, site
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  Speaker 1: of Smith and Woolenski. Taking a look at the SMP
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  Speaker 1: five hundred, three hundred and twenty two issues are higher,
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  Speaker 1: one hundred eighty two declined, and one remain unchanged. That's
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  Speaker 1: go to Bloomberg's Stocks Commis Dave Wilson to begin our
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  Speaker 1: movers and shakers. But you know a lot of those
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  Speaker 1: SMP five hundred stocks are on the New York Stock Exchange,
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  Speaker 1: and uh one of them is the owner of the exchange,
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  Speaker 1: and that would be Intercontinental Exchange or ICE. That they
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  Speaker 1: reported second quarter results the top to analysts average Asthimus
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  Speaker 1: of Bloomberg Survey I said, they're buying back a billion
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  Speaker 1: dollars of stock. The key thing, though, is that they
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  Speaker 1: plan a five for one stock split. Ice has one
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  Speaker 1: of the most expensive stocks on its own markets, and
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  Speaker 1: so the split will bring down the Ice of a
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  Speaker 1: single share uh Ice with a gain of five point
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  Speaker 1: three percent in today's training closing a two hundred and
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  Speaker 1: seventy eight dollars and two cents h Taking a look
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  Speaker 1: now at handbag maker Kate Spade, which David, of course
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  Speaker 1: you were talking about, is taking stock opened today. I
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  Speaker 1: think at that point it was down about so not
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  Speaker 1: quite as bad, but still an eighteen percent declined today
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  Speaker 1: after Kate Spade said that prop will be sixty three
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  Speaker 1: to seventy three to seventy cents a share. And you're
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  Speaker 1: ending January after priving previously forecasting seventy cents to eighty cents.
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  Speaker 1: Analysts had a projected seven gate cent average for their
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  Speaker 1: profit over that time period. And you know, k It's
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  Speaker 1: been trying to reduce promotions at department stores and then
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  Speaker 1: sell more items at full price, not discounted, not on sale,
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  Speaker 1: because they want to maintain the brands Caher. You know,
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  Speaker 1: it's sending in their way a dearth of foreign tours
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  Speaker 1: to the United States. They've put off visits because of
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  Speaker 1: the strong dollars slowing foot traffic and forcing the company
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  Speaker 1: to mark down e merchandise and a course PM. There's
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  Speaker 1: also competition from you know, increasingly strong rivals like Coach
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  Speaker 1: and Michael Course. I'm gonna tell you about twenty one
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  Speaker 1: century Fox. The company just releasing its fourth quarter results
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  Speaker 1: EPs of fourty five cents to share compared to estimates
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  Speaker 1: of a thirty seven cents a share. The stock is
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  Speaker 1: higher by about three and a half percent, and after
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  Speaker 1: hours of trading, the company also announcing an incremental three
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  Speaker 1: billion dollar share buy backup program. Once again, the stock
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  Speaker 1: of century Fox higher in after hours trading, buy about
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  Speaker 1: three and a half percent. You know, there's a certain
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  Speaker 1: amount of irony. Shares of Twitter are moved by tweets.
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  Speaker 1: That's what happened today. Though there was some speculation out
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  Speaker 1: there that two of Twitter's largest shareholders, former Microsoft chief
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  Speaker 1: executive Steve Bomber and Saudi Prince Ahaid Been Tollal, would
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  Speaker 1: buy the social network shares they don't already own, but
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  Speaker 1: them they have an eight point eight percent steak in Twitter.
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  Speaker 1: Analysts were rather skeptical. We talked to Acting and Capital
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  Speaker 1: Victor Anthony Webb Bushes, Michael Packedor and neither of them
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  Speaker 1: put much credence into speculation. Uh not. In the last
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  Speaker 1: you had Twitter shares with a gain of seven and
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  Speaker 1: a quarter percent in today's trading. Well, hey, David, as
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  Speaker 1: you know A i G American International Group also gaining
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  Speaker 1: about that amount amount seven point three percent today after
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  Speaker 1: it said we'll buy back three billion dollars of stock
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  Speaker 1: after second quarter profit climbed six point three percent, helped
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  Speaker 1: by assets sales. This is something that the CEO, Peter Hancock,
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  Speaker 1: has been doing, along with slashing jobs to boost margins
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  Speaker 1: after posting losses for three straight periods through the first quarter.
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  Speaker 1: A i G also announcing today that it's reduced bets
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  Speaker 1: on event driven and long short strategies, scaling back its
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  Speaker 1: hedge fund investments, KIM and fit pretty fit stock. Today
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  Speaker 1: to share is a fit Fit up more than thirteen percent.
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  Speaker 1: This is the biggest gain in more than three months.
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  Speaker 1: They reported second quarter results that exceeded analysts estimates. The
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  Speaker 1: company reported that revenue group forty six percent in the
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  Speaker 1: second quarter compared to a year earlier revenue, coming in
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  Speaker 1: at five hundred and eighty six million dollars. Fitbits earnings
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  Speaker 1: also excludes some costs, but the shares as I mentioned,
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  Speaker 1: up more than thirteen percent. Time now for the Volatility
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  Speaker 1: Index report brought to you by cbo E VIX options
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  Speaker 1: and futures Volatility can be harnessed with CBOE VIX options
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• 9:38
  Speaker 1: Slash powerful outcomes of VIX well. The VIX down about
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  Speaker 1: a half point at twelve point eight six at the close,
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  Speaker 1: putting this in some perspective. According to a report from
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  Speaker 1: the head drivative strategist at Macro Risk Advisors this week,
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  Speaker 1: he points out at the gap between c b o
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  Speaker 1: E the Volatility Index contracts and the underlying index, the
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  Speaker 1: VIX wide last month to its highest positive readings since
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  Speaker 1: September twelve. He says markets are pricing in greater risk
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  Speaker 1: premium in the next few months. All right, Dave, you're up, Hi,
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  Speaker 1: My name is Dave. Just what do you think you're
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  Speaker 1: doing today? We're going for the floor to Dave Food.
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  Speaker 1: Mr Dave Wilson tell us about Nations Star Mortgage a
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  Speaker 1: certainly well but first quarterly earnings that some companies are
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  Speaker 1: so predictable that analysts estimates are accurate down of the penny.
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  Speaker 1: Others defy any attempt at predictions, and Nation Star Mortgage
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  Speaker 1: Holdings is a good example. UH data compabby Bloomberg shows
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  Speaker 1: the home loan servicing companies earning for share differed from
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  Speaker 1: analyst consensus estimate and Bloomberg survey by an average of
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  Speaker 1: thirty four percent since twelve. That's when nations Star win
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  Speaker 1: public quarterly sales varied from projections by an average of
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  Speaker 1: about twenty percent. Now Nation Star, whose ticker is n
• 11:04
  Speaker 1: s M, reported second quarter results today. There was even
• 11:08
  Speaker 1: more of a disparity than usual. On the one hand,
• 11:11
  Speaker 1: adjusted the EPs PTE estimates by forty two percent. On
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  Speaker 1: the other, revenue trailed by thirty five percent. Now, the
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  Speaker 1: earnings carried the day. City Group anialist Michael k raised
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  Speaker 1: profit projections and lifted his twelve month to share price
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  Speaker 1: estimate by a dollar to fourteen dollars. That he's neutral
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  Speaker 1: in the company, Others were anything but neutral. In fact,
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  Speaker 1: Nation Star actually got to K's twelvemonth estimate in a
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  Speaker 1: single day. The stock jumped almost nineteen per cent. It
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  Speaker 1: was the biggest one day advancedince going public and a
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  Speaker 1: close at fourteen dollars and one cent. Steve Wilson, our
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  Speaker 1: stock sitor, thank you so very much. I'm Kathleen Hayes
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  Speaker 1: along with Pam Fox. We're gonna continue our special broadcast live.
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  Speaker 1: It's Smith and Molsky here in Boston. This is Bloomberg
• 12:02
  Speaker 1: m HM. Coming up on taking stock, will take stock
• 12:08
  Speaker 1: of Tesla Motors. The shares are down about six percent
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  Speaker 1: so far this year. The company reports results later today.
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  Speaker 1: We've got details