Kelly Evans' afternoon commentary on top market stories
 | MON, JUN 17, 2019 | | | | | | YOUR AFTERNOON NEWS UPDATE AND MARKET ACTION FROM CNBC | | | | Hello everyone… Kelly is out today so senior producer, Maria Boden, is filling in. The markets may be flat lining today but we're setting up for what could be one of the most anticipated - and debated - Fed meetings in quite a while. Wall Street is putting a 20% chance that we'll get a cut this week… a sentiment echoed by Jim Grant this morning on Squawk Box. Why? He says it's quite simple - the market has become conditioned to demand a rate cut when it's weak in the knees (debatable) and the Fed is inclined to grant it one. Bottom line, it's becoming less about Kanes and more about Pavlov. Goldman Sachs however, isn't sold. They argue the hurdles for cuts is likely to be higher than widely believed in part due to high stock prices, unemployment at a 50-year low and Mexico tariffs off the table. When it comes to growth - our latest CNBC Rapid update saw a rise of 0.3% last week to 2%. Who knows, maybe today's very weak Empire State Manufacturing Index (which posted its biggest one-month decline in its history) will have economistS screaming slowdown once again. The debate essentially comes down to will the Fed give us an insurance cut or will they save their ammunition to confront obvious weakness in the economy. They've only got 10 cuts to give. You know who may have an answer - our own Steve Leisman and our big Fed panel at the top of the 1pm hour. While you're there stick around for our interview with the Airbus CEO, a look at how tariffs are finally hitting home for some U.S. companies, and of course, some baby shark. Kelly returns on Wednesday.  |
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