Transcript for Dow Surges For Third Straight Day
You have at the opening bell -- -- Tuesday August 7 hello everyone I'm -- -- in New York. Dow futures were up again this morning following two days of healthy gains. Joining me now to discuss all the business headlines at this hour is Matt -- -- co host of break out. And our partner Yahoo! finance good morning -- you. Yeah good to see you so some markets and -- hot streak the Dow is -- Three month high as as a result of last Friday's jobs report or something else in the water. Yeah I mean that that didn't hurt you know there's that you that we didn't do we do this thing on Wall Street -- climbing the wall of worry. And markets need fear to go higher as weird as that might sound -- but that's sort of what we're seeing here people are nervous we're seeing the market test -- of the year were less than no one and a half percent away from the highs that we set an April so there will be some resistance there of the market can break through that. Then we go back to levels that we have -- scenes in probably. Five years or so the truth of the matter is that. You know if you look at the alternatives out there we talk a lot about the -- the low yield. On treasuries and other corporate. Bonds right now and the case for stocks. Looks attractive on an alternative -- you look around the world and -- US stocks -- in some performance and while money starts moving into it. But not you say there's fear out there so does not mean it won't take just the slightest little thing to make everything come crashing down. And as has happened and you look at the low in the market in June the recent low in the market in June. Where this recent rally began we've had no less than four peak to trough reversals but each one. The uptrend has stayed intact. The language is higher highs and higher -- meaning that the selloffs. Aren't quite as deep as the previous one and that allows that uptrend to sort of built. -- right well that sounds like good news to me. I want language where you have the right that's right now talking about another big scandal this morning involving a good bank. London based standard chartered is accused of laundering money -- -- since 2001. Through their New York office how this go unnoticed until now this is pretty -- He had an -- -- is a little fishy right now it's kind of press release wars we have this big -- -- David coming out. From the regulators -- have standard -- coming out and you know saying this is all this is not true 99.9. Percent. The wrong. As you said -- the answer you know it's another big scandal there is a clearly. A lot of regulatory investigation going on in the aftermath of the financial crisis. A week or so -- we are talking about -- And in that case were look at Barkley is facing huge fines HSBC and other foreign bank is recently. Been kicked around so you know it it happens. But you know why it took so longer ten -- transactions that go back a decade to suddenly come to light seems a little a little suspicious but you know that doesn't matter. If you have to defend yourself we have no choice. Any case like this -- the banks face huge fines if it turns out to be true or. Could there even be criminal prosecute. Well you know I I guess you know we saw somebody that potentially -- -- -- -- could be criminal prosecutions is almost always fines involved in and the real penalty would be a loss of a license. The US license for foreign domicile bank to do business here -- a pretty important thing it also has ramifications for its peers and partners rivals were in -- column the other foreign banks because. You know -- -- typically don't see these investigations happening in isolation. For comparative reasons though the Libor scandal the previous big -- scandal. Didn't seem to have much traction mention HSBC had its -- find their stock has been doing very very well this year so this sort of a disconnect. Between what the regulators are doing and what the market is -- to the backs. It we'll -- what happens there all right let's let's move onto the Fed seems to be growing more. Vocal in its fight over how to handle the economy -- we -- -- a QE3. Well the market is it is ease back a little bit on that we need to wait until the September meeting. Probably not gonna happen it might happen in the Jackson Hole -- at the end of the month but people looking more towards the September meeting. When the Fed meets for a couple of reasons one it comes after the jobs report into -- also -- ruling from a German court. And whether or not the ECB's bond buying program can go forward so that would give the Fed to key events. To that sort of watch which likes to do and more economic data. We've heard some more chatter from. This morning from Boston the Boston reserve bank's president -- Rosen -- saying that the Fed should be doing more should be buying some mortgage backed bonds. Which is no secret which is -- news some would say it's a trial balloon. You know if they do act again in the odds are still more likely than not that they will. The money that they would put into the market would be some portion number would most certainly. Head towards the mortgage backed market rather than just -- -- traditional treasury market. Again another want to wait and see there but I want to do really well and as always. Why -- -- really quickly about the new iPhone apple now says that unlike the prior versions this device is not commit come preloaded. With -- why that change. What -- it -- -- areas probably never -- -- remember that game of you broke up with me -- I dropped you first that some kids used to play in high school. Well this is. You heard about it right. Hopefully you're on the good end of that -- so here's the deal people are saying that you know what it seems like apple right kicked YouTube the YouTube -- off -- the new iPhone. But other -- are saying you know what Google and apple. Kind of went their own ways they both got what they want it was a five year old deal which in. Technology circles -- kind of a long time to have -- deal. And global supposedly. And understandably wanted to have ads. On there YouTube product right that's how they make money. The existing -- did not have that apple wants to control its own -- kind of mutual sesame she can see where these two companies may be both got what they -- so it's not as. You know -- combative as the headline might initially suggest. We're gonna have to wait and -- Homeless -- -- it was and someone amicable parting ways -- Let's take one more look at the Dow right now -- pretty good start up about sixty points or -- Matt NASA thanks so much for joining us this morning. It was a pleasure.
This transcript has been automatically generated and may not be 100% accurate.