MARKETS I WANT TO BRING IN
FRANK LEE WHO IS THE MANAGING
DIRECTOR OF INVESTMENT
STRATEGY GROUP MIRACLE MILE
ADVISORS FRANK GOOD TO HAVE YOU
HERE WITH US THIS MORNING,
THANKS FOR TAKING THE TIME THE
MARKETS ARE POINTING TO A FLAT
OPEN AFTER THE DOW AND THE S P
500
SNAPPED A FIVE-DAY LOSING
STREAK. SO WHAT YOU BELIEVE
DROVE YESTERDAY'S MOMENTUM AND
COULD BE EXPECT TO SEE MORE OF
SOME OF THOSE GAINS ON THE
TABLE POTENTIALLY AND TODAY'S
SESSION.
>> HI GOOD MORNING BRAD.
THANK YOU FOR HAVING CLEARLY I
THINK IT WAS A LITTLE BIT OF
EXHAUSTION AND
ABIDE THAT THE MENTALITY GIVEN
THE FACT THAT WE'RE DOWN
TO 5 SECOND BASE AND YOU
HAVEN'T SEEN THAT FOR QUITE
SOME AND I THINK THAT YOU'RE
GOING LOOKING AHEAD FOR YOU
KNOW THE KIND OF THE NEXT
FEW DAYS. EXPECT A LITTLE BIT
MORE VOLATILITY AND GIVEN THE
FACT THAT WHEN WE DO HAVE TO
KEEP THE IDEA TO COMING OUT
LATER THIS MORNING WHICH WE
EXPECT ANOTHER
HOT NUMBER TO COME AS A RESULT
OF IT AND THAT COULD CAUSE
MARKETS TO BE SOMEWHAT VOLATILE
AND ALSO FRIDAY THIS WEEK TO WE
DO HAVE A
NOW WE TELL CELLS BUT FROM THE
MARKETS TAMPA WE DO HAVE
QUADRUPLE WITCHING SO JUST KIND
OF HISTORICALLY OVER THE PAST
SEVERAL QUARTERS. WE SEE SOME
VOLATILITY
AROUND THOSE SURROUNDING
QUADRUPLE WITCHING OK AND SO
WITH THE INSIGHT THAT
WILL GET.
>> IN SOME OF THE ECONOMIC DATA
COMING OUT THIS WEEK TODAY CPI
OF COURSE LATER ON THIS WEEK,
RETAIL
SALES DATA. WHAT DO YOU EXPECT
IN TERMS OF HOW CONSUMERS
HAVE BEEN NAVIGATING THIS
ENVIRONMENT, BUT THE DELTA
VARIANT SUPPLY CHAIN CONCERNS
AND ALL OF THESE THINGS DRIVING
SOME OF THE
NEAR TERM THAT WE HOPE DON'T
BECOME LONG-TERM RISK FACTORS.
>> EXCELLENT POINT BECAUSE WHAT
WE SAW THE 1ST HALF OF THIS
YEAR. THE CONSUMER WAS REALLY
THERE'S A LOT OF PICK THE MAN
IT WAS VERY STRONG
AND THERE'S A QUITE WILLING TO
SPEND AND GO OUT AND SENTIMENT
WAS QUITE POSITIVE OVER THIS
BACK HALF BUT THIS YEAR DUE TO
THE
DELTA VARIANT YOU KNOW RISING
INFLATION INPUT AND OTHER
PRESSURES WE'RE SEEING A LITTLE
BIT A FLATTENING IN TERMS OF
CONSUMER DEMAND IN CONFIDENCE
AND WE THINK THAT YOU KNOW
THAT BE ECONOMY HERE IS REALLY
MORE DRIVEN BY A BIT TOWARDS
GETTING THE BILL BACK UP TO
PREVIOUS THAT WE
SAW SO. CONSUMERS FIGHTING OUT
OF IT, ALTHOUGH THEY'RE STILL
HEALTHY GIVEN THE HIGH LEVEL
SAVINGS RATE AND WAGES AND
INCREASE
IN WAGES. BUT AT THE END OF THE
DEMAND OR THE SENTIMENT IS
>> HAS THERE BEEN REAL WAGE
GROWTH THEN AS A RESULT OF THIS
I MEAN THE DATA WOULD SUGGEST
THAT REAL WAGE GROWTH IS TAKING
A HIT AS A RESULT OF THE
INFLATION DATA THAT WE'RE
SEEING AS WELL.
>> YEAH THAT THAT THAT THAT THE
EXCELLENT YOU KNOW ANOTHER GOOD
POINT THERE IS WE'RE WE'RE
SEEING WAGES INCREASE WE HAD A
VERY GOOD STELLAR WAGE
INCREASED NUMBER AT THE LATEST
TOP DOG, US
JOBS REPORT. AND THAT WILL
CAUSE INFLATION TO BE LED US TO
CURE, BUT YOU KNOW ON A REAL
WAGE SENSE THAT MIGHT BE A BIT
OF A IT ESPECIALLY GIVEN THE
FACT THAT WE'RE SEEING WHAT
TP GUY IN THE NEIGHBORHOOD OF
45% ON AN ANNUALIZED BASIS AND
YOUR FOR YOUR
PATIENTS ABSOLUTELY.
>> YOU KNOW ONE OF THE OTHER
MAJOR THINGS THAT WE'VE BEEN
TRACKING OVER THE COURSE OF
THIS PAST EARNINGS SEASON IS
JUST WHERE SOME OF THE
COMPANIES ARE BE MOST IMPACTED
BY THE ONGOING CHIP SHORTAGE
RIGHT NOW GLOBALLY AND HOW THAT
PLAYS INTO SOME OF THEIR OWN
FORECASTS. YOU KNOW WHAT DO YOU
EXPECT MORE BROADLY FROM SOME
OF THE BEST PERFORMERS
TO THE POINT IN THIS YEAR THAT
WE FIND HOW THEY MADE FAIR IN
THE BACK HALF OF 2021 WHERE WE
KNOW THAT THERE'S GOING TO BE
DEMAND FOR SOME OF THE MAJOR
TECH PRODUCTS FOR SOME OF THE
AUTOMOBILES PERHAPS EVEN
AND HOW THAT MAY IMPACT WHAT
THEY FORECAST THAT EVEN TO THIS
POINT IN TIME DO YOU EXPECT ANY
REVISIONS TO COME FORWARD.
>> WELL I THINK ALL THESE
COMPANIES ARE DEALING WITH JUST
REAL LIFE, YOU KNOW.
APPLY STRAIGHT
CONSTRAINTS AND THAT'S THE
REALITY THAT WE LIVE IN AND
THIS PROBABLY IS TRUE FOR QUITE
SOME TIME
GOING FORWARD BE THERE FOR THAT
TO HAPPEN HAVE BEEN REVISIONS
EXPECT MORE REVISIONS TO
IT IT COULD BE DUE TO JUST CHIP
SUPPLY SHORTAGES RISING INPUT
YOU KNOW JUST
MAYBE IT DIFFICULTIES IN TERMS
MANAGING AND THE WHOLE AND
CHANGING THE GUESS
MANUFACTURING PROCESS AND A LOT
OF BUT YOU KNOW AT THE END OF
THE DAY LOT OF THESE COMPANIES
ARE PROFITABLE THE STILL
RESILIENT AND THEY'VE BEEN
CREATED SO IN FACT IF YOU
LOOK AT JUST PROFIT MARGINS
NOTING THAT IN THE PREVIOUS
EARNINGS, A QUARTER, YOU KNOW
THEY DID JUST THAT IT INCREASED
SIGNIFICANTLY AND IF RIGHT AT
THE WIDEST MARGIN THAT WAS IN
SOME PART.
>> FRANK JUST LASTLY WHAT WE'VE
GOT 2 SECTORS THAT ARE MOST
BULLISH ON RIGHT NOW AND THOSE
THAT ARE STAYING AWAY FROM.
>> THE 3 SECONDS THAT WE FAVOR
THAT WE HAVE OVERWEIGHT AND OUR
PARTY LAWYERS ARE FINANCIALS
ARE
YOU TOO. THE TRACK TO
EVALUATIONS AND THE RISING YOU
KNOW INTEREST RATE ENVIRONMENT
THAT WE CAN FORESEE IN THE
COMING MONTHS. TECHNOLOGY OF
COURSE DUE TO THE SECULAR
GROWTH TRENDS AS PEOPLE ADJUST
TO LIVING IN THIS NEW PANDEMIC
A TYPE OF LIFESTYLE.
AND WHERE WE RELY ON TECHNOLOGY
TO YOU HAVE A SEAMLESS
TRANSITION FROM WORKING
FROM HOME WORKING IN THE OFFICE
AND AND WERE
WERE ABOUT AND THAT 3RD EVERY
THAT WE DO LIKE IT WITH A VERSE
INDUSTRIALS AND THAT'S JUST
STRICTLY TIED TO JUST RECOVER
A TREE AS IN VACCINATIONS
INCREASE AROUND THE INDUSTRIALS
ARE SET TO BENEFIT THE
DEPARTMENT WON THE PRIMARY THEN
SURE IT'S GOING TO FRANKLY
COMING TO
US FROM.
>> LA MY GOODNESS 04:42AM OUT
THERE. THANK YOU SO MUCH FOR
JOINING US HOPE YOU DIDN'T WAKE