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Lives let's let's focus of the markets despite another day of losses hearing next guest says once -- debt ceiling is taking care out.
The markets could bounce their way.
Back into positive territory and big time -- so it is stocks end rather.
Is it chief investment strategist in managing director at equity research for -- -- -- and He joins us now.
Thanks for joining us today on this very busy Monday.
You bet I write off the -- let's get into this positive pocket that we could jump into went and how will wage cuts that.
But -- into the market looks to me like at least as measured by the standard -- is it always had a date somewhere between 1230 and 1250 on the downside.
And I think -- in the process of trying to sink that low sometime this week and actually.
I don't think the ISM figure -- come as a surprise I don't think the GDP figures.
Should have come as a surprise I think these are one off aberrations I think the economy's gonna -- sell or a by the time you get into the back half of the third quarter and for sure by the time you're into the fourth quarter.
And I think stocks are going to be higher office some kind of low that's made over the next couple weeks.
Jeff -- -- correcting right here would a little bit of a correction mode -- consolidation mode Al well laid down for me affect that in your pay because I think a lot of people out there and you could tell us what you think.
This is a fait accompli are we going to be downgraded regardless of what what happens with this vote today on the debt ceiling.
Yeah I think it is a -- -- simply and I would point to history.
Excuse me if you recall Japan Canada and Australia lost their triple -- rating.
And Canada and Australia gained it back after a couple years of fiscal discipline and I think the US can do the same in there was very minimal economic impact.
From the downgrade from triple -- -- double -- in those three countries.
Yeah -- some -- -- picks that you like I know that you like ELP's.
Energy related companies can you explain what these ELP's aren't which.
Particular names Europe are are find that right now.
Well there actually MLPs -- master limited partnerships.
EV energy partners we have strong buy rating on that from our fundamental energy team -- -- Houston.
They hints -- some property up in the Utica shale.
-- in your neck of the woods which sits underneath the -- solace that they were being described zero value to.
And while the S&P is basically gone nowhere over the past four months EV energy partners as the Utica shale story started to.
Gained traction the stock has rallied about twenty points along with a 7% dividend yield so.
You know it is a market of stocks and not just a stark stock market and have been a number of issues that have traded higher despite the fact the S&P is gone no where.
Have a lot of talk about some your recent travels we had a seal above the Pep Boys.
Here in the last -- talking about automotive and you just came from Detroit what do you see with the car industry right now.
Well what what you see is a great labor arbitrage -- in the rear view mirror.
If you are an American company especially in auto parts company.
May -- products for American distribution because of the rise in labor wages over in China.
It is actually better to build the plant here and higher US workers then it is to build the plant in China right now higher Chinese workers.
Pay the insurance and transportation cost to get the product back over to the US and I think you're gonna see more and more that take place in the manufacturing industry over the next three to five years.
Jeff before we let you go what are you predicting for -- jobs report that we're gonna get out on Friday.
I don't make predictions on that my guess is it's not gonna be real pretty.
But again I think it's backward looking and I think by the time you get into the fourth quarter this year that the job situation is gonna look better.
-- -- Raymond James thanks for your time today.