A CNBC reporter since 1990, Bob Pisani has reported on Wall Street and the stock market from the floor of the New York Stock Exchange for more than a decade. Pisani covered the real estate market for CNBC from 1990-1995, then moved on to cover corporate management issues before moving to the New York Stock Exchange in 1997.
He was nominated twice for a "CableACE Award"—in 1993 and 1995.
Prior to joining CNBC, Pisani co-authored "Investing in Land: How to Be a Successful Developer." He and his father taught a course in real estate development at the Wharton School of Business at the University of Pennsylvania from 1987-1992. Pisani learned the real estate business from his father, Ralph Pisani, a retired real estate developer.
Follow Bob Pisani on Twitter @BobPisani.
Exxon came in light on top and bottom line. There are many problems. Here are the highlights: 1) Production share and contract. Exxon has contracts to take oil out of the ground with many countries. When oil prices go up sharply, the host government takes a bigger share of the profits.
The first of May is a day when a lot of people (including traders) are off all over the world (it's also the title of a very fine Bee Gees song, c. 1969). Futures dropped a bit as jobless claims were a bit stronger than expected; nonfarm payroll report is tomorrow.
Stock traders were disappointed with the Fed statement. How disappointed? The Fed statement was excruciatingly bland. Traders looking for signs of a pause seized on this statement: "substantial easing of monetary policy to date, combined with ongoing measures to foster market liquidity, should help to promote moderate growth over time and to mitigate the risks to economic activity."
Futures trading higher first on a better than expected ADP report, then on a better than expected GDP report. The Street has been acting like the long commodities/short dollar trade is coming to an end; the wording of the Fed's statement will determine if that is really the case.
European bourses are lower today as European banks are continuing to report poor earnings--this morning Deutsche Bank reported its first loss in five years, abandoned its 2008 profit targets and wrote down over $4 b in mortgage-related assets. Allianz also said that their profit targets would be harder to attain.
The newspaper industry's twice-yearly circulation report has arrived, and it is not a pretty picture overall. There was expectation that total circulation could drop 2.5 percent, and perhaps as much as 3.5 percent.
What's up with the Fed this week? They will almost certainly cut rates a quarter point and signal that the period of cutting rates is coming to a close. The bond market believes this; look what happened to yields on the 2-year note last week. .
Has S&P improved ability to weather cyclical risks? David Bianco at UBS and others think so. I have remarked many times that with many non-financial S&P companies receiving 50 percent and more from overseas, their earnings have remained relatively strong. Non-financial earnings growth in the first quarter is about 10 percent, a typical performance is up 6-8 percent.
The unofficial odds are rising that the Fed will announce taper plans at its December meeting.
Three Wall Street trade groups sued the Commodities Futures Trading Commission to stop tough overseas trading guidelines they fear.
Paid in the form of assistance programs, the funds are in effect a subsidy to the banking industry, The Washington Post reported.