And right now we are two minutes away
from the end of the trading day. Roma
Bostic here with Scarlet Food taking you
through to that closing bell with a
global simalcast. It starts now. Tim
Stanic in the radio booth. Emily Grafo
by a side in for Carol Masser today.
Welcome to our audiences across all of
our Bloomberg platforms. A second day of
declines for the broader market. Really
a fourth day for the S&P to be clear.
Two days down for the NASDAQ, but the
losses on the day Tim CVC not as severe
as where they were just a couple hours
ago. Yeah, it is technically two days in
a row down, but on Monday, Roma, it
closed only up oneth of 1% after falling
half a percentage point last Friday and
then about onetenth of 1% last Thursday.
>> You're one of those truthers.
>> Yeah. Yeah. I mean, if you look at the
trend line,
>> 19.99% draw down. That's not necessarily
a fair amount.
>> Yeah, that's Yeah, you don't round that
up, right? But but you do look at the
trend line and it's certainly been going
in one direction for the last five
trading days. And we're definitely
seeing that the more
>> that one day
>> the more speculative areas of the market
here getting hit the hardest. The Dow is
definitely it's still in the red uh set
to end the day in the red, but at least
it fared the best out of all the major
indexes.
>> Yeah, and it's worth pointing out
yesterday uh we talked about how the S&P
500 actually uh the number of gainers
and decliners were roughly equal. Today
you have more gainers than decliners in
the S&P 500 uh 257 to 246. Yet the S&P
down 310 of 1%.
>> Similar story for the Dow with about 19
names higher on the day. Your cats, your
McDonald's and Coca-Cas. And of course,
we've been spending a lot of time today
talking about the health of the consumer
with a lot of those retail earnings.
We're going to get Cody earnings after
the bell. Of course, the cosmetics
retailer, which comes on the heels of a
somewhat der report earlier this morning
from Estee Lauder. Let's walk you
through these numbers here because it
has been uh an interesting day to say
the least. It takes a while for these
numbers to settle, but we're just going
to call it right now. Now, the Dow Jones
Industrial Average is going to finish
the day unchanged, right around that
44,938
level here, despite actually being
significantly lower earlier in the
session. The S&P 500, which at one point
in the day had dropped all the way down
to 6343 and change, closes down at
around 6395 and change, down 16 points
or a quarter of a percent. The Nasdaq
Composite down 7/10en of 1% and the
Russell 2000 down 3/10en of 1%. Though,
I should point out uh Tim, uh the Dow
Transports had an awful day. of course
after leading the charge over the last
few weeks down almost 2%.
>> Well, as far as stocks, the mix of
stocks that moved higher and lower,
Scarlet giving you a preview. 261 to the
upside at the close, 238 to the downside
in the S&P 500. So, even though Scarlet
as the S&P 500 fell, more stocks in the
index did move higher
>> and that shows up in the IMAP as well.
Seven out of four se uh out of the 11
sectors finished in the green, four
finishing down. But the ones that did
finish down, consumer discretionary,
tech and communication services, they
house the mag seven names and they are
of course uh the bigger sectors, more
heavily weighted sectors. Energy was the
best performer in gaining 8/10en of 1%
moving higher along with oil prices.
>> All right, taking a look at the stocks
that performed the best in the S&P 500
and in the US today. Well, at the top of
the S&P 500, analog devices to the
upside of three 6.3%
best performer in a percentage basis in
the S&P 500. The company did report
results earlier today, adjusted earnings
per share. The forecast for the fourth
quarter came in above estimates. The
guidance beat the average analyst
estimate. The CEO and chair Vincent Ro
said that quote, "While tariffs and
trade fluctuations are creating market
uncertainty, demand for analog devices
products remains robust." And Herz also
in the green today. shares climbing
after the company after reports that the
company will start selling used cars on
Amazon Autos up close to 6% on the day
today. This is Amazon Auto's first fleet
dealer. Here are some details. Customers
can browse Hertz Car Sales listing on
Amazon Autos and finish their purchase
online and then pick up their car at
Hertz Car Sales locations. The roll out
not all over the US. It'll start in
Dallas, Houston, LA, and Seattle. The
company plans to expand to Herz car
sales 45 locations nationwide. A
reminder that some of these rental car
companies are the largest sellers of
used cars out there. And guest shares
absolutely surging today. The company
going private in a $ 1.4 billion deal
with Authentic Brands Group. It's in
partnership with the co-founders Maurice
and Paul Marciano and CEO Carlos
Alberini. Shares up more than 26% today.
Authentic Brands is going to acquire a
majority stake in Guess's intellectual
property while guest management will
continue to run the business and own the
operating company. Once again, Guest
shares up more than 26%.
>> All right. And for the decliners, Target
was one of those maybe surprising
decliners of the day, falling 6%. They
had a hotly anticipated earnings report
that actually was pretty good. They
maintained their guidance, most of the
results, beating estimates. But the
retailer's pick for an internal CEO
appointment did seem to offset those
better thanex expected results. So we
did see that stock falling over 10% on
an intraday basis and then closing the
day down over 6%. I'm also watching
Estee Lauder. This is the third day of
declines for the makeup cosmetics
company. Uh closed the day down about
4%. The company said that it has hired
external adviserss to conduct a review
of the brands it owns. La Mer being one
of those in a bid to accelerate a
turnaround after years of sales
declines. The CEO said
>> that's a that's like the little facial
serum that cost like $1,000 a bottle.
>> Yes, it costs a couple hundred for like
a little thing of moisturizer.
>> I was like, you know what? Maybe there's
something I'm missing out on. I didn't
notice a difference.
>> They never give out samples ever.
>> Yeah, you must have purchased
>> Well, you know what you can do? You
know, you go to Bloomingdales across the
street and use their samples there.
>> Okay. That's gross.
>> Yeah. Everyone's sticking their fingers.
If you want to save money, you got to
think outside the box.
>> Anyway, for Estee Lauder, the CEO said
the company is rethinking its portfolio.
Now, I'm thinking about moisturizer in
order to focus on our highest return
opportunities over the medium to
long-term. Uh, we'll share updates in
due course. That's from Estee Lauder.
So, check back in on that company. And
then finally, James Hardy. This was a
really big drop, worst drop since 2001.
The building materials maker falling
34%. Um they reported net sales that
missed analyst expectations and they
also warned of weak demand for repairs
and new construction in North America.
Really a downbeat outlook here on the US
housing market.
>> Yeah, I was that was a phenomenal uh
well not phenomenal in a bad way report
here, but I mean we paid a lot of
attention to that and that kind of leads
us to this idea of macroeconomic
conditions and whether the Fed might
actually potentially come to the rescue
or whether they even need to. Uh we did
get the FOMC minutes a little bit
earlier uh today and maybe it kind of
ratified the idea that well rates might
not actually go anywhere. In fact, the
curve uh the Treasury curve today pretty
much steady right around where it's
been. You did see just modest movements
to the downside here, but this has been
a Treasury market that's been in a bit
of a holding pattern. Of course, waiting
for JPAL's speech on Friday and the
official FOMC meeting which concludes uh
on September 17th.
>> Okay. You guys were talking about the La
Mer, what is it?
>> Moisturizer. La Mer moisturizer.
>> A cream.
>> Okay. It's the luxury high-end
>> Yeah.
>> moisturizer,
>> but it works. So, you know, it deserves
the price tag.
>> What about a $160 lipstick from the
makers of Louis Vuitton? There's a story
in the Wall Street Journal.
>> I love this question. I have no idea
what lipstick is supposed to cost.
>> I don't either, but this one.
>> How much is a lipstick anyway? I'm
guessing it's less than $160.
>> A shock to you.
>> Yeah. Not $160. That's the answer.
>> No. I mean, you go to a drugstore, you
can get it 10, 15, 20.
>> Okay. Well, the folks at over at Louis
Vuitton actually think that
>> scented. They they think that it's that
there is a market at the highest end to
create essentially the Louis Vuitton
trunk of lipstick. At least that's the
question that the Wall Street Journal
asks.
>> But there okay, the case that the
lipstick is in is also beautiful, right?
I mean, it's leather and it's
monogrammed and you know, it looks like
one of those mini trunks. So, I think
that's part of the selling point, too.
>> Oh, no, no, no, Scarlet. The mini trunk
costs extra.
>> Do you want to know how much that costs?
No.
>> $2,900.
>> But you could get you could get a canvas
one and an eyehadow pouch for $530.
Okay.
>> Okay. Tim, I mean, yeah,
>> this is really turning the lipstick
indicator on its head. Like, it's
supposed to be a recession indicator
because it's an inexpensive luxury.
>> Just call it the CVS lipstick indicator
because that's the one that's, you know,
going to tell you whether consumers are
willing to spend. I mean, so Emily, you
brought up earlier about how Estee
Lauder is hiring advisers to help it
perhaps winnow down his brands. Um, how
do they position themselves when you've
got Louis Vuitton entering the makeup
market now? I mean, what is their
highest end brand at at Estee Lauder La
Mer, but they don't make lipsticks or
anything like that or regular cosmetics,
right? I mean, they're they're a skin
cream company.
>> Yeah, they just have I think that that
moisturizer that smells really good. But
it gets to this idea too of like what
the brand power and we've been talking
about this all day today. We had Mickey
Drexler of course famous for uh helping
to sort of build gap and turn around J
Crew and this idea of you know why would
you pay $160 for lipstick? Well because
you know it's attached to Louis Vuitton.
At the same time Estee Lauder is dealing
with the idea that maybe some people
don't see his brand as having that same
premium. And that's why when you got
their earnings report they talked a lot
about maybe potentially actually scaling
back prices or at least offering some
sort of discounts. Why are you guys just
looking at me right now? We don't. Isn't
there a toolbox or something? I'm
confused. It's like I'm talking to
myself. There.
>> Yeah. I'm just getting all the
information about the luxury skincare.
>> I'm just looking at the brand. I mean,
Estee Lauder owns an incredible number
of brands, right? And uh the makeup
sales that fell 5% during the quarter uh
were due mainly to declines in MAC, Too
Faced, and Bobbi Brown. Ava also saw
sales declines. Give another skinare.
>> My prerogative, you know.
>> No, different Bobby Brown. Yeah,
different one. Yeah. Not Mr. uh Whitney
Houston, the ex Mr. Whitney Houston.
>> Oh,
>> Bobby with an I. Well, now I'm less
interested.
>> Oh, okay.
>> Bobby with
>> Thank you, Scarlet.
>> Yep.
>> For the information. Appreciate it. Uh,
we are going to if you listen to '8s pop
music. Sadly, we're going to have to
leave it