Tip:
Highlight text to annotate it
X
THANK YOU.
>>> THANKS, MELISSA.
FINANCIAL ANALYST LANCE ROBERTS
IS ON THE RADIO THIS MORNING AT
KSEV AND IS TAKING TIME OFF THE
RADIO TO BE WITH US NOW.
LANCE, WE WANT TO ASK YOU ABOUT
THIS BAND-AID THAT'S BEEN PUT ON
THE ISSUE.
IT SOUNDS LIKE WE'LL BE GOING
THROUGH THIS AGAIN BECAUSE THEY
ONLY EXTENDED ACTION THROUGH
JANUARYRY OF NEXT YEAR.
ARE WE GOING TO BE RELIVING THIS
AGAIN IN A COUPLE OF MONTHS?
>> YEAH, UNFORTUNATELY, WE ARE.
I TELL YOU, THE SAD NEWS ABOUT
THIS IS THIS WAS THE MOMENT FOR
THE REPUBLICANS TO REALLY MAKE A
STAND, SO TO SPEAK, AND REALLY
MAKE SOME CHANGES, SOME REFORMS
TO SPENDING AND BUDGET AND
POTENTIALLY TAXES AND THEY
REALLY LET THIS SLIDE THROUGH.
THERE WAS NO THREAT OF A
DEFAULT, EVEN THOUGH THIS WAS
WIDELY ESPOUSED IN THE MEDIA,
EVEN FROM THE WHITE HOUSE
ITSELF.
IF WE CROSS THIS LINE, WE'RE
GOING TO DEFAULT.
BUT THE MARKETS ARE SITTING AT
ALL TIME HIGHS.
THE MARKETS WERE TELLING YOU
THERE WAS NO THREAT OF DEFAULT,
WHICH IS THE CASE.
THEY LET AN OPPORTUNITY TO MAKE
SOME REAL CHANGES FOR THE
ECONOMY SLIP THROUGH THEIR
HANDS.
>> LET'S TALK ABOUT EVERYBODY'S
MONEY.
FIRST YOU MENTIONED THE STOCK
MARKET, WHICH IS SOARING NEAR
ALL TIME HIGHS.
IT IS DOWN THIS MORNING, AND
IT'S INTERESTING BECAUSE IT MAY
NOT NECESSARILY HAVE ANYTHING TO
DO WITH THIS DEBT CEILING DEAL.
THERE ARE CORPORATE EARNINGS
THAT WERE RELEASED?
>> YEAH.
ABSOLUTELY.
AGAIN, YOU KNOW, THE MARKETS
HAVE BEEN ANTICIPATING -- THE
MARKETS KNEW THIS DEAL WOULD GET
RAISED AND WE WOULD MOVE DOWN
THE ROAD.
BECAUSE OF THAT, THE FEDERAL
RESERVE IS STILL IN, PUTTING
MONEY INTO THE MARKETS.
THE LIQUIDITY HAS BEEN DRIVING
STOCKS HIGHER.
RICHARD FISHER SAID THERE'S NO
CHANCE OF TAPERING THIS YEAR
BECAUSE OF THE UPCOMING DEBT
CEILING DEBATE IN JANUARY.
THAT'S GREAT NEWS FOR THE STOCK
MARKET.
WE HAVE TO LOOK AT THE
FUNDAMENTALS.
PRICES RELATIVE TO WHAT'S GOING
ON IN TERMS OF EARNINGS,
CORPORATE EARNINGS, IS GETTING
DEVIATED.
CORPORATE EARNINGS HAVE BEEN
VERY WEAK THIS QUARTER.
THIS MORNING, UNITED HEALTH,
IBM, GOLDMAN SACHS, EARNINGS
WERE VERY WEAK.
THAT DOESN'T BODE WELL FOR A
CONTINUED BULL MARKET.
SO IT'S REALLY DEPENDENT, THE
LIQUIDITY FROM THE FEDERAL
RESERVE CONTINUES TO COME INTO
THE MARKET.
>> WHAT ELSE ARE YOU GOING TO DO
WITH YOUR MARKET?
IF THE MARKET IS TAKING A
TEMPORARY PEAK, INTERESTST RATE
ARE BEING HELD LOW BY THE
STIMULUS FROM THE FEDERAL
RESERVE, WHAT DO YOU DO WITH
YOUR MONEY?
>> WELL, LOOK, YOU HAVE TO SAY
INVESTED I IN THE MARKET -- STA
INVESTED IN THE MARKET.
WE'RE GOING TO SEE IT RISE
HIGHER THROUGH THE END OF THE
YEAR BECAUSE OF THE FED
STIMULUS.
MY POINT IS JUST BE CAREFUL.
BECAUSE AS WE GET INTO THIS DEBT
CEILING DEBATE IN JANUARY,
FEBRUARY, THERE'S GOING TO BE A
POINT WHERE WE DO SEE A
REVERSION IN THE MARKETS AS
THESE PRICES KIND OF RETURN TO
THE UNDERLYINING FUNDAMENTAL
REALITIES OF THE MARKET.
YOU WANT TO BE A LITTLE CAUTIOUS
AND PAY ATTENTION TO YOUR MONEY.
RIGHT NOW THE MARKET IS BIASED
TO THE UPSIDE.
WE'RE INTO THE STRONG PERIOD OF
THE YEAR.
JUST -- IT'S OKAY TO BE
INVESTED.
DO SO WITH AN EYE TOWARDS SOME
RISK MANAGEMENT.
>> WE ONLY HAVE TEN SECONDS.
GOLD UP IS $35.
YOU SAY SELL?
>> YES.
>> ALL RIGHT.
YOU HEARD IT HERE FIRST.
>> BASICALLY GOLD'S BROKEN.
YEAH.
>> ALL RIGHT.