Skip to main content

tv   Fast Money  CNBC  April 20, 2017 5:00pm-6:01pm EDT

5:00 pm
as a news story, it's one that is intense, by the way, you don't hear people complaining about grocery prices going down. they don't notice it quite as much. >> they might stop going to the restaurants. >> very weak in the first quarter. absolutely. >> michael, thank you. see you later. >> that does it for close "closing bell," everybody. "fast money" starts right now. >> "fast money" starts right now overlooking new york city's time's square. i'm mellissa lee. we have guy adami and sam seymour and pete najerian. they say do not buy. the charts look terrible. plus the french election is looming. it could be a black swann event for the market. we got a special force from the ground in paris on why you may not want to trust the latest polls. later, the make or break moment for biotech with some of the group reported earnings. we will tell you about the one trader that could be a big
5:01 pm
winner. first we start off with comments from the trump administration that sparked a nearly 200 point rally in the dow. steve mnuchin and garycoen. >> mellissa, a clear page from two of president trump's top economic advisers, trying to reassure the public they are making progress. here is garycoenspeak at a council here in washington today. >> head and i are spending a lot of time working together on tax policy. so we are going to come out with a unified, united tax proposal from the white house. >> this individual as well as corporate? >> includes individual as well as corporate. >> now, gary cohn did talk about his principle for tax reform, including simplifying the code for those individuals and business and lowering that corporate rate, steve mnuchin says any deal will pay for
5:02 pm
itself when he was asked about the timing of when that bill might be introduced, here's what he said. >> soon. very soon. very soon. >> and just to be clear, we hope this won't take until the end of the year. >> okay. so we're very focused on it. a brigg i big priority for the president. we will get tax reform done. it will be sweeping. it will be significant and it will create a lot of economic growth. >> and gary cohn says he does believe that any tax cuts should be permanent. he was also very clear he does not support a carbon tax. both cohn and mnuchin says she out on the border adjustment tax. we we heard from the omb director nick mulvaney for the potential of a set back. lawmakers are setting a deadline of friday to keep the government running. guys, we will see what happens when lawmakers come back next week. >> anyone from mnuchin's comments sound likes he was okay with the tax plan not being revenue neutral. he said any loss revenues could
5:03 pm
be made up by quicker growth in the economy. >> well, that's right. it depends on how you define revenue neutrality, mellissa. they believe in dynamics scoring. that's what they believe will help them achieve that neutrality in their plans. >> elon, thank you. just like we saw the markets. some of the biggest rallies of the year have been on comments from d.c. about specifically tax reform. check out the chart of the s&p 500. in february, trump promised a phenomenal tax plan. those are his words. >> that sparked a reak week-long rally. then house leader paul ryan put fears about getting a plan, saying, we are quote going to figure out how to get this done. finally this monday steven ma mnuchin saying there were other ways and they were reliant, here we are today, stocks having their best day in nearly two months, all four scoring about 1% t. dow up 200 points. nasdaq at a record close.
5:04 pm
do you continue to buy stuff on talk, even if it's just talk of a tax cut of which we know very little. guy? >> i think we have been pretty uniform in saying, yeah, you have to. we have been given levels we have to watch. which talked about the transports. they've held up really well. to answer your question, yes, what's interesting to me, two days ago, steve mnuchin said tax reform will be delayed because of the failure to pass health care. today he says two years later tax reform will get done. it's very interesting things that matter. there is a market hears and sees what it wants to hear and see. i got to tell you something, everyone is still if place for this market to continue higher. i am not a raging bull. i am watch dock see what's going on. the vix is probably headed down to a 12 hand him t. s&p will probably continue to grind high over the next couple weeks. >> let's look at what happened over the last six weeks. we made lower highs. the s&p 500 held and the pillars
5:05 pm
of the trump trade started to disintegrate. you had health care. deregulation. then you had the tax plan, which was probably going to be pushed until 2018. so the sentiment was so negative here. all you needed was a whip, a hint of something was going to happen. you will see it rebound. i think you do buy a great risk reward here, right? you know s&p back in 2020, that's your stop off point. it will be great below that, but i bought some stocks. >> we were all thinking rational people, correct? how many whips do you smell before you think there is no anything. >> you know what, i think on these comments, i will say when gary cohn speaks, i listen. when steve mnuchin speaks, i listen. these are guys that had so much more credibility to make the claims and hyper bollic terms and also when elon talked about the dynamic scoring, it gives them flexibility to do what they need to do. if you want to talk about 2020 being a line in the sand, i don't think so.
5:06 pm
i think we are getting to reestablish levels on small caps on iyt, transport, industrials. i think right now the market versus a nice one-day reprieve. tomorrow we go into the weekend. we have french elections over the weekend. there is no reason to believe commentary over two guys that matter a lot is enough for this market. >> 2320 has held for six weeks now. now i got good risk rewards. we are at 2355. we got 30 points on the down side. now i can get an upside of maybe 100 points or so. >> 2400 or two 50, which comes first? >> i bought stocks, so i have to go 2400. >> what do you think? >> i think still right. we have the french elections and the 100 day mark. which will be significant. it's marked by that potential budget show down. i agree, nothing goes crazy in france. >> you can move higher. >> maybe you get close to 2390. i don't know, i actually don't
5:07 pm
think it's a great risk reward. i will say the timing by these companies cnbc's larry kudlow, back in the "new york times," i think he said this, he said republicans need to act with some degree of urgency, business leaders. people are starting to get worried nothing will happen here. it doesn't mean there is a key to it. there is an organization or at minstration, they have said that one thing, that's a fact. and they will continue to do that. >> whatever. >> within it gets down to it. i don't expect anything concrete. i do expect, if the environment, he said that, if you listen, he said, we'll get something done by the end of the year? is that an outcome to get them a foundation underneath?
5:08 pm
>> i think things were in shambles, the disaster or health care. they were not getting help from the democrats. they were backed be i the democrats. >> first to get tax reform done. for all intepts and purposes, that's what that was. i don't know why they will get the freedom caucus. ? they may not. this might be enough. because we were at a point where people were saying if he does nothing. it's better. if there is not a single new law put into place, it's better than what we have. that's what the market says. >> how much does the last 10% in the s&p over nothing, nothing has happened. in the last eight years, it was up. >> i'm not betting that will happen. >> there is too much emphasis on it. by buying stocks now, it doesn't necessarily mean you think anything is going to happen. >> i will say, today's reaction is certainly one.
5:09 pm
guy said it's the kind of thing, 11 people. my point is that i think sentiment on a tax cut was so low, so whether we get the cut or not. you are telling me did the market rally? it did. sentiment was so long. >> that's what i'm saying. >> it comes down, i'm not pretending to be some raging pull at all. i've maintained. the things to me matter. tim mentioned the russell, the iwm. which is exactly held where it should have. the transports trade really well off what was a significant level of support. those are the two things that matter to me. can the s&p go higher? i grudgingly say yes. say what you want about mnuchin. getting cohn to bet against him. my sense is something will debt done. >> so you believe there was a tax stunt done by the end of the yea
5:10 pm
year? >> there is some stuff to do. think about it. yes, they will be taking in less tax dollars, but that money has not been coming back and there will be tax dollars going into the koefrs. >> just that they need a win. they know that. that's what they're going for. >> this is why larry kudlow is correct with this. i don't agree with a lot of his assumptions are. he is saying, get some strong wins, he can get that done. >> they stay markets can't continue to make a new high. we're at a new high for the nasdaq right now. on hold. >> this administration davided the fact that the stockmarket is a back waerlds climb. >> so play that. >> but just think about where we are. thanks, and industrials are down. these are trump trades. >> these are bad trade. if you think about it, where was sentiment? and where do we need to muddle along.
5:11 pm
this is an economy reflecting higher. this is an economy getting strong data. >> it doesn't bug you? >> you have ap outlier for the last four years. >> q3 will be a massive year over year. >> i'm not giving you a grasso 4% gdp. i'm telling you, you will have a better gdp. >> that to me is enough. interest rates were going higher. we weren't innexting to the upside anyway. >> we are eight years of it. we've had seven straight years of every month, we're starting to get a little rage inflation. >> i'm not, what i'm saying is i agree with that fact. what i'm saying here about the market is i believe a lost enthusiasm that we've had sin november 8th that had to deal with this pro-growth agenda, we have some issues in europe. which i'm just saying, over the
5:12 pm
next three months, then we will be in for a rockier few months. >> call me up the night before that. >> i want to say this about mike, 2250 to 2400 with b.c. if we go down this year, we're going there. there are things that thinks the markets could correct. by the way not the end of the world to get to 2,200. it will not be a disaster, europe is important. >> coming up, one of the fastest jumping. we'll hear from the ceo and credit card giant and retail stocks soaring this week. a top technician says there is something that should you pressing that sell button. he's here with two charts he is calling horrible. president trump issic nighting a rally in some of the biggest field stocks in year-to-date lows. are they about to make a trump feel comeback? much more "fast money" ahead. n that schwab billboard.
5:13 pm
oh, not so fast, carl. ♪ oh no. schwab, again? index investing for that low? that's three times less than fidelity... ...and four times less than vanguard. what's next, no minimums? minimums. schwab has lowered the cost of investing again. introducing the lowest cost index funds in the industry with no minimums. i bet they're calling about the schwab news. schwab. a modern approach to wealth management. new biwhat are we gonna do?ys... how about we pump more into promotions? ♪ nah. what else? what if we hire more sales reps? ♪ nah. what else? what if we digitize the whole supply chain? so people can customize their bike before they buy it. that worked better than expected. i'll dial it back. yeah, dial it back. just a little. live business, powered by sap. when you run live, you run simple.
5:14 pm
5:15 pm
>> hi, mel liss'. shares of matel tumbling of a
5:16 pm
bigger than expected drop in sales, barbie posted a 13% decline in global sales. american girl dropping 12% matel has been introducing new skin colors. clearly, that hasn't been enough. this comes as more research shows kids shifting away from traditional toys and embracing the digital age, that's left several players with excess inventory. in fact, the company blamed overhang as first quarter scales came in soft. the chief executive who joined from january will have to tackle shares that dumps 24% and a big move down almost to 6%. >> all right. thank you very much. i guess this is the kind of story you hope this guy from google can find a way for traditional toy maker to sell toys.
5:17 pm
>> good luck. you know, we said for a while, i think pretty uniformly that h hasbro is the stock you want to own. you said hasbro is down in the after market, they made comments to that effect. you buy it on the weakness, the trade is at a premium to matel. it deserves that premium. this quarter is a disaster. look at the operating margin, down almost 17%. they missed on almost every metric conceivable. >> that stock matel has to hold 20 bucks. >> i have one word for you, barbie, play doh, plastics. >> i remember the movie. saw it in the studio. >> they don't have plastic toys in there. they are downloading all the stuf stuff. >> as you are saying, i take offense to that. >> there is a lot of plastic. >> i don't know where you are going now.
5:18 pm
i'll keep it in the same place. disney dominates. okay. so to blame this on the fact that people have plastic in the rooms, dan, i'm not buying it or matel is not doing enough with their brand. if you look at the old school toy brands, these brands are wore atmosphere lot breaking 25 bucks was a big disappointment. holding 20 i think it will. >> is stocks having its best day of the year? or is it for real or is the rally fleeting? >> they say do not trust this bounce. what are you looking at? >> to start, let's look at the retail spider. can you see clearly a massive divergence going on in 2016. so there is weakness in this chart already. it could be a couple things. on one, what's interesting, interest rates moving up, bonds
5:19 pm
maybe we will see continuing pressure. if we look at the technic also of xrt, i will do may best job. you can see support has been broken it now servings as resistance in that small little circle there. perhaps we have a little of a creeling to come in. let's go to the next one. the two biggest gainers, xrt, the two biggest gainers right here are express. mid-day today. it was up huge. i can't express how poor of a chart this is. there was nothing great about this there was leaning on the upside. next one is even worse okay. you can't insert your best words here. this was number two in terms of the percent gained. i'm not buying the retail strength today. however, there is a couplestoried stocks. there are a couple strong ones that are looking good. what i really like is whole foods. this chart looks like nice organic growth. a healthy break out here.
5:20 pm
right around this $32 mark here on this little breakout here. volume is not included there. there was a massive spike on whole foods. it looks like as long as that report continues, we should be able to move higher. there is a lot of activism, takeover talk. a lot of volume, technically, there is up with of the higher stocks to look at in detail. >> thank you. what do you think? >> well, i think the retail space is so over explored. steve roth said in his chairman's letter two weeks ago, the u.s. had 24 square foot space of shopping centers versus about six times what they have in japan an seven times in europe. i mean, you can't grow your way out of too much supply. there are too many stores. it's not just the department stores. it's stores like guess and outlet malls. this is a problem. i think you need to reduce the sport space. it's a big deal. >> for me the only retailer i'm
5:21 pm
long is wal-mart they are addressing this structural shift that's going on, wal-mart, if you want a pure play retailer. if you want to play the warehousing space, right, you are no longer in the store. you need warehouses, the largest trust. that's the way to do it. >> whole foods market. we talked about it a couple weeks ago a couple stocks that held that level. now you have activists say, yes, the stock is expensive. not nearly as it has been historically, there is something over the last week. so out of all the names, discuss wfm goes higher from here. >> i agree, it is the worst chart in the entire market. i think you can sell rallies in the xrt. these guys are right. there are decent stories. look at home depot, costco, there are really constructive charts. i put all three of those guys up there with amazon, a wrecking baum for the rest of the industry. when they think about department stores, the special di retailers. to me, it's not just about amazon anymore.
5:22 pm
then you may get target into the game here. they will have to do something like this deal that wal-mart did. >> look 59 sherwin williams. had great earnings. >> it's very small. right? >> if the repvation trade is going on. >> home despoe along the lines of an amazon? >> yes. i'm not sure what dan is saying. they've all missed their business. >> yes, do it. >> what i'm saying ability home depot and lowes and sherwin williams and a restoration hardware, housing and the value of people's housing is going up. we are seeing the correlation and homive provement stores and the floor space is not growing. they're not ubiquitous. >> we got it.
5:23 pm
what i was trying to say. i think most of america understood it is we have four retailers, the amazon, home depot and wal-mart and costco that amount for their annual sale sales,x. they're in a dominant position. it's not jut about what amazon is doing on the retail. let's say what omni is doing and you have this trends in home improveme improvement. >> we rarely agree on something. >> you are following me once aga again. >> coming up, shares of visa at an all time high. how it is backing up against the competition. you are watching "fast money," first in business world wide. in the meantime, here's what else is coming up on fast. >> biotech stocks are surging.
5:24 pm
yes, sort of just luke that. with earnings next week, there is one stock that's poised to break out. we'll give you the name when "fast money" returns.
5:25 pm
5:26 pm
[ music playing ] >> definitely tony tennille.
5:27 pm
5:28 pm
5:29 pm
>> welcome back to "fast money". we are live at the nasdaq markets. stocks rallying. the s&p up nearly 1%. here's what's coming up in the second half of the show. biotech earnings out next week. one stock in particular. we'll give you the name and how to play it. it could have a big impact on the markets. we are live if paris with the surprising take on the latest polls. first, you turn to walk.
5:30 pm
president trump meeting with ceos from the steel industry and signing a memorandum on steel imports. eamon javers is live. >> the president called it a his store day. he signed that presidential memorandum here at the white house. here's what the memorandum would do. the president is ordering the commerce department to expedite a study ongoing since yesterday into whether or not large imparts hurt the u.s. industrial base. the concern is a hostile foreign power could at some point turn off the thicket of steel. >> that is what they will investigate. at some pont they will come back and issue a report. the president will make a decision of what to do about all of that. not focus on any of this was the name of the country china. clearly there are concerns about china here in the white house. the immerse secretary wilbur
5:31 pm
ross talked about the idea of not ending steel imports here. the idea they have is to change steel arithmetic to end dumping while the chinese steel industry here inside the united states. the president during the signing ceremony not talking about china but very much talking about canada, surprising some observers. here's what he said. >> we can't let canada or anybody else take advantage and do what they did to our workers and our farmers and again, i want to also just mention, included in there, so we will have to get to the negotiating table can canada very, very quick quickly. >> i will tell you, i was talking to maria longview. they very much like the attention their industry is getting. it was their turn today, here at the white house, simply bringing industry after industry group
5:32 pm
from to meet with the top leaders and peck their brain. today another day at the white house. >> is it thought perhaps the president did not mention china and instead mentioned canada, because he wanted the connection on north korea? don't press them on this now? we feed their help? >> my sense is the dynamic here the president tweeted out he would not label china a currency manipulator because they are working on negotiating with north korea. he is not willing to hold back on everything china related. so, therefore, moving forward with this one today, even though the chinese won't necessarily appreciate this one. the president is giving them one but not giving them everything here today. i think the canada thing comes largely because the president was in wisconsin this week and he talked about the american dairy industry. the president is focused on the upper mid-west and voters there and what they are telling the president politically. i think that's where they came
5:33 pm
from. eamon javers at the white house this evening. we'll talk about steel in terms of what is your take on the fundamental also of the steel industry and whether or not the president is doing anything right now to substantially change those fundamental also for the better? >> i think a lot depends on china, ppi, their steel production pushed prices down, getting control very important and fiscal trade. but for latter u.s. steel the prices of hrc for the first quarter are much, much better year over year, they are deleveraging the stock. it bounded very nicely off the 200 day around 28 bucks. i think you can stand it straight. >> i was reading about the dynamics, they're saying the fourth consecutive quarter, month, excuse me, in march, imports were higher, right? so imports are coming in. >> that is putting pressure on
5:34 pm
the yen. people here are buying more imports. pause the prices are going up. >> they didn't raise them enough. they really go low. >> that and that all happened basically on the same night. now it's back above 30 bucks. the fundamental also have definitely been better. but the rhetoric to me is looking good. you have wilbur ross backing the steel companies. he knows a lot about the industry. >> he is in the industry. >> if he's behind it. i think it is in place. >> there is a put. >> i think when you had qe, you had a government saying this is an industry we can get behind it. >> speaking of trump draidz trades, general electric before
5:35 pm
the bell tomorrow. our next guest sectors is more room to run. good to have you here. >> thank you. >> u.s. industrials over technology right now. how much of that is a relative performance of your debate it has been. >> i think infrastructure trades we felt would change better. both are returning. >> that gives you a pretty attractive entry point. tech is significantly the preferred track. >> it sounds like you are identifying industrials partly because of a valuation partly because of capex spending. he is going to be greater than tech spending in the next six months or so. in terms of valuations, does that mean you are on board or do
5:36 pm
you identify that as being overvalued? >> they will be the turn up in earnings and multiple back to fair has driven the market up. '19 times and the fiscal policy we are seeing play out in marks is the key full crum for u.s. equities. >> people talk about within that industrial space and think about the airlines and the transports and autos nightly. can you get behind this? some components of this sector that are a no touch? >> i think the ones can you get behind, we saw from csx today is the transport, where you have the benefit from tax upside on lower corporate tax rates and on the capital goods side, i think we will see better performance in the coming quarters and valuations just aren't there. then we're hearing ability the fiscal put if you will and when
5:37 pm
you have investment at 19-and-a-half and the median was 22, there is a pretty long runway. >> keith, obviously, some of the b biggest xhaevenlts apple, at some point they represented s&p 500 s. that part of it? again, they're not about tech spending. those are very economic sentiment. a lot of advertising and e-mail. >> yes. i think we are seeing from the empire state manufacturing survey, capex, tech spending, expectations for the next six months is near a cyclical high. so that would more teportend, w some from ibm earnings this week. can. >> thanks for stopping by.
5:38 pm
you are on the industrial trend. >> i bot if general electric. ge. they have a small position. i think if we're going to play this. ge looks fantastic. you have this long two-year sideways trend. i know where my stop is. i know if we get any type of whiff of fiscal stimulus. we are going, ge will be right in the midlet of it. >> i think playing the game, would you rather. >> would you rather. >> they both sea the same 16 tiles forward earnings. you will see a tremendous out performs. if you ask me which is better? honeywell is better. >> you better run for the hills. i got a little ge today. >> worlds collideling. >> tonight before they report
5:39 pm
earnings tomorrow with jim cramer, it was a really full bear debate on the name i think the stock is cheap. it's a fat yield. if you get that infrastructure. >> i hate to say it. i am long that multiple makes a lot of sense. >> hold on, i need to do some hedgeing today. >> still ahead. >> an all time high, after the earnings report. it's one of the hottest stocks on the dow. what drove the quarter. wilbur ross ahead of the highly anticipated election. what else do you have coming up? >> mellissa, tragic developments with one police officer shot dead t. latest in the shooting. and the reaction from the presidential candidates with
5:40 pm
just two days of campaigning left before france goes to the polls on sunday t. latest from paris when fast.returns. it's over. i've found a permanent escape from monotony. together, we are perfectly balanced, our senses awake, our hearts racing as one. i know this is sudden, but they say: if you love something... set it free. see you around, giulia ♪ approaching medicare eligibility? you may think you can put off checking out your medicare options until you're sixty-five, but now is a good time to get the ball rolling. keep in mind, medicare only covers about eighty percent of part b medical costs. the rest is up to you.
5:41 pm
that's where aarp medicare supplement insurance plans insured by unitedhealthcare insurance company come in. like all standardized medicare supplement insurance plans, they could help pay some of what medicare doesn't, saving you in out-of-pocket medical costs. you've learned that taking informed steps along the way really makes a difference later. that's what it means to go long™. call now and request this free decision guide. it's full of information on medicare and the range of aarp medicare supplement plans to choose from based on your needs and budget. all plans like these let you choose any doctor or hospital that accepts medicare patients, and there are no network restrictions. unitedhealthcare insurance company has over thirty years experience and the commitment to roll along with you, keeping you on course. so call now and discover how an aarp medicare supplement plan could go long™ for you.
5:42 pm
these are the only medicare supplement insurance plans endorsed by aarp, an organization serving the needs of people 50 and over for generations. plus, nine out of ten plan members surveyed say they would recommend their plan to a friend. remember, medicare doesn't cover everything. the rest is up to you. call now, request your free decision guide and start gathering the information you need to help you keep rolling with confidence. go long™. ♪
5:43 pm
>> a shooting in france has one police officer dead ahead of the highly anticipated election. wilbur ross is in paris with more on this developing story. will. >> reporter: hi, melissa, yes, the latest developments moments ago is isis has claimed responsibility for that attack. an attack which as you said claimed the life of one and injured two. the attacker shot there on the scene. president hollande speaking moments ago set he was convinced the leads are terrorist in nature before isis issueder that claim to this attack. terrorism the word has been used in some of the responses from the presidential candidates who, of course, go to the polls seeking votes this sunday. the far left candidate said terrorist acts will never go
5:44 pm
unpunished. the socialist center right candidate cancelled company events tomorrow. the national front marine le penn said emotion and solidarity targeted again all these things coming before isis claimed credit. it's impossible to say if the timing was mixed with the fact that france goes to the polls on sunday, but either way, by french political standards, it's incredibly close, four candidates in and around the 20% level in the polls, very, very hard to predict. we are in the margin of over error. the favorite before tonight's development was the centrist. i should note as well the you're ra had been up around 0.4% against the dollar trading down this evening around flat level at the moment. >> that moved down coming in and around the same time around the
5:45 pm
shooting around about half a kilometer behind me. >> all right. thaumplth as if the situation in france wasn't already complicated to figure out from a market standpoint. are you positioned for this? >> no, i think it's a little unclear. one side is people are over reacting. we had brexit. donald trump here who both were not supposed to win. now what you want to see on sunday night the top two candidates come within 1% or so. the market is buying, then you get a rick on the type of scenario. to me it's unclear on the euro, does that now mean euro is the german mark and it becomes very strong. if they stay in the euro, does that mean we have to have a no talk for me right now. >> it's hard to speculate france versus the uk on this one. you are actually unwinding a
5:46 pm
number of you name it. i think, remember again, may 7th is the second round. it's the more important event. >> that is a 20 percentage point lead. what do the polls mean? almost nothing. my view is, i know there has been massive rotation in europe back in 28 lows. this will rip on monday if you actually get a decided victory for the two centrist parties. i think that's worth owning. i think there is a pleas for market reality. you get to a pleas where i think we with deal with it. >> can we have a victory the two centrist candidates, bullish on u.s. equities? >> european equities. >> the bond markets sell off.
5:47 pm
>> le penn if she does well, she talked about destabilization. if she were to have a goods showing ob sunday. if you look back at that interview sarah did this morning? very common. she runs the imf. she chooses her words extraordinarily careful. she says it could be disruptive to the market. >> in terms of the bopped markets and yields generally going lower, how much of this do you think was positioning because of the french elections? people are selling european debt? >> i think it's hard to isolate it. we have a u.s. stockmarket. you are right. you come in monday morning the world is a better place. you probably want to be out of bonds. >> despite everything happening across the pontdz. one trader is making a big bet on europe. >> it was a bullish bet on the euro stocks. that's the index that attracts stocks across the index.
5:48 pm
the utf tracks the euro stocks 50, today call volume is two times that of puts. total volume was five times average daily. when the stock was trading 26. they'd traders boo i the august 39 calls. >> that is a lever bet to the upside. there is clearly some anxiety about this but there positioning today suggests one trader is trading to the upside. >> for more "options action," check out tomorrow. ahead, an all time high earnings report. >> that conference call wrapping up. we will bring you the headlines. plus a busy week ahead for biotech earnings. you are watching "fast money" on cnbc first in business world wide. hey gary, what'd you got here? this bad boy is a mobile trading desk
5:49 pm
so that i can take my trading platform wherever i go. you know that thinkorswim seamlessly syncs across all your devices, right? oh, so my custom studies will go with me? anywhere you want to go! the market's hot! sync your platform on any device with thinkorswim. only at td ameritrade ray's always been different. last year, he said he was going to dig a hole to china. at&t is working with farmers to improve irrigation techniques. remote moisture sensors use a reliable network to tell them when and where to water. so that farmers like ray can compete in big ways. china. oh ... he got there. that's the power of and.
5:50 pm
5:51 pm
>> welcome back. visa reporting after the bell today. it was another solid quarter from the largest payments processor, announcing a $5 billion purchase share plan to boot t. company continued to see solid growth and payment volume and process transactions up more than 40% year over year. in january, it also finalized its acquisition of europe which continues to gain traction and helped revenue beat the streets expectation. visa results followed amex
5:52 pm
results yesterday. visa shares gained twice as much as amex threatening 17% year-to-date. and it is the second best performance dow component. a rising consumer spending and al kelly told on the earnings call a moment ago, fairly healthy economies. >> thank you both for the latest on visa. do we like year to year? >> it's all time highs, you can probably buy the breakup. you have to be careful of twitter. are you buying it on an ultimate huge breakout. i don't think you get hurt terribly. >> we like visa for a while. operating margins, 67%. it sounds like a big number, like 2% of the market cap. it's not nothing. >> i thought you were reporting a would you rather again? >> here's a stock trading 26 times sales growth.
5:53 pm
mastercard has 26 times. >> we'll get you back to axp yesterday. >> so that's my would you rather. >> so ask. >> would you rather? axp? get you done. >> ha. >> negative earnings. another big group reporting next week, making a comeback. will earnings reflect that momentum? we thought it was time for therapy. >> hi, guy, next week is a big time for earnings. we will check in on how investors are feeling about different sectors in biotech. barclays put out a note looking at what health care members are most interested in. pharma and biotech are the real spaces that health care investors will like right now. whereas large cap biotech really isn't so great t. reason they like pharma is the potential for tax reform and for sector consolidation or mna. in terms of which names might be
5:54 pm
potential buyers and targets. looking at pfizer, merck, gilead and cellgene, on the target side, companies as big as alexion and inside and genetics and tesaro. we seen tesaro stock down as they put out plans to launch their new cancer drug. people take that to mean maybe they won't be a potential target. biotech earnings check in week. they are saying it could be a mixed bag in terms of performance, of folks who could beat, looking at potentially alexion, cellgene where they think amgen comes in. on the positive side. you haven't seen negative pre announcements, for these companies, meaning it could go well. there is seasonal weakness. on the positive sidesh that means from an investment standpoint, drug price increases are still happening, even amid
5:55 pm
this, 40 in this year versus 23 in 2016. they seem like they're accelerating right now. >> maybe they're smaller? maybe they're smaller. however, there was a really interesting no doubt from credit suisse showed it came from drug price increases. >> all were drug price increase? >> their growth 8.7 billion in growth. 100% drug increases. >> staggering. >> meg mentioned tsr. >> tesora. >> down 6%. >> that stock. their success to mech's point means maybe they're not a takeover candidate. i agree with what she is saying. i disagree in terms of the stock t. rick reward is down 125 is the floor t. upside is the stock could be taken out, anywhere from 210 to 225.
5:56 pm
look at that time ceo, where he's been. look at the companies that he's worked for leads me to believe there might be a takeover in the cards. >> for biotech, it's not as smart as guy is, he has to play the bigger trend. mech talked about the fact there will be takeovers here. you look at idb the nasdaq biotech that has the nicest levels in it. my risk reward is here. >> it's interesting, people like the mna notion. they don't want to be investing in buyers on that side. they are invested in the biopharmaceutical companies. >> potentially. part of the issue is they're boring. they are having trouble, hepatitis c, multiple sclerosis is causing problems. >> up next, tim is betting on one emerging market for a breakout. more "fast money" straight
5:57 pm
5:58 pm
5:59 pm
>> final trade time, tim. >> final election, i'm long. >> general electric has earnings tomorrow you get a sell-off, you got to buy it.
6:00 pm
>> i think you zell sell it. >> hockey night. when do you want to buy, hasbro, matel week. >> i'm melissa lee. see you back here tomorrow my mission is simple, to make you money. i'm here to level the playing field for all investors. there's always a bull market somewhere, and i promise to help you find it. "mad money" starts now. hey, i'm cramer. welcome to "mad money." welcome to cramerica. other people want to make friends. i'm just trying to make you some money. my job is not just to entertain but to educate and teach. so call me at 1-800-743-cnbc or tweet me @jimcramer. sometimes, it all comes together and you get a 24 hour news cycle that is


info Stream Only

Uploaded by TV Archive on