'Fast Money' traders talk S&P 500 hitting record high

Melissa Lee (Fast Money Host) 00:00.230

so does today set the stage for more records as we look to closeout twenty twenty five guy nice to have a record close here

Guy Adami (Director of Advisor Advocacy) 00:09.070

in the final days

Melissa Lee (Fast Money Host) 00:10.110

you said ho ho i did yeah

Guy Adami (Director of Advisor Advocacy) 00:12.190

well it appears that certain listen so today we have no more half day tomorrow right we have a full day i think on friday next week is the same type of week it's hard pressed unless some piece of news comes out where the market 's just not going to continue to levitate the old

Guy Adami (Director of Advisor Advocacy) 00:26.030

saying is don't short a dull market and that's what we're seeing so i think you're going to continue to see that it's all asset classes and quite frankly it's a soft in the bond market as well which also makes sense we'll talk about GDP yeah

Melissa Lee (Fast Money Host) 00:38.230

well

Tim Seymour (Founder and Chief Investment Officer) 00:38.830

nominal growth is is probably north of five percent here and it there's an element on the inflation side that has to have you a little bit concerned especially in a world where we had this kind of growth and we have an accommodative fed equities should love this and and i think

Tim Seymour (Founder and Chief Investment Officer) 00:53.070

in the short run the fed is your friend but i i i looked at twenty six and i think it may not be as easy as it appears now with the fed on on this side and the view that the fed is going to change become a more dovish fed i think the dynamic here around corporate profit margins

Tim Seymour (Founder and Chief Investment Officer) 01:06.630

is also extraordinary i think this is what we've seen over the last couple quarters and i think we generally believe that the tailwinds are with us outside of trade tariff dynamics which are are certainly eating into some corporates but others not so much so i continue to be

Tim Seymour (Founder and Chief Investment Officer) 01:21.550

impressed by the fact that for all the negativity or so it seems in terms of the headlines on the indices that semis continue to outperform i think they will make a new relative high to the market before the end of the year and i think there are opportunities in some of those

Tim Seymour (Founder and Chief Investment Officer) 01:35.470

beaten up names broadcom is one where i just think a lot of that was was overdone but what's been impressive again i get back to banks i get back to the cyclical part of the economy that should reflect the kind of numbers we had today that that really have been extraordinary

Tim Seymour (Founder and Chief Investment Officer) 01:50.110

citibank i mean these are no longer value plays actually these are actually ones that are expensive yeah i

Melissa Lee (Fast Money Host) 01:55.750

mean on top of semiconductors industrials financials they are at or close to all time highs at this point

Steve Grasso (Chief Executive Officer) 02:01.350

and wall street is trying to change the narrative if you look at them all the upgrades have been outside of tech so i should say forty of the last fifty have been outside of tech if you think that tech is going to lead again it could lead again but you need to see that coming

Steve Grasso (Chief Executive Officer) 02:17.030

back in if micron had a bad print we wouldn't have the christmas rally micron i don't want to say it was the cause of it but without it we wouldn't have had it if that makes sense i do think you're gonna see an easier fed i think the narrative changes once the year changes and i

Steve Grasso (Chief Executive Officer) 02:33.670

think we can go higher in the overall market it did

Melissa Lee (Fast Money Host) 02:35.550

seem that micron enabled the bulls to see the bull case right to believe in it yeah

Courtney Garcia (Senior Wealth Advisor) 02:40.670

i mean i think the bull case is still there i mean i think when you're getting this GDP of print clearly the economy is running hot and that's what people are looking for in twenty twenty six we're also looking at we are likely going to see some high refund checks next year

Courtney Garcia (Senior Wealth Advisor) 02:52.390

we're expecting fifty to fifty five billion dollars it's injected into the economy after those refunds come in next year i think was really interesting to see was how strong the consumer was and that's what we saw with the GDP report and i think something people don't give

Courtney Garcia (Senior Wealth Advisor) 03:04.470

enough credit to is how much baby boomers affect the economy they like they control like eighty four trillion dollars of net worth or something along those lines they're a lot less affected by the labor market even though people are concerned the labor market 's soft a lot of

Courtney Garcia (Senior Wealth Advisor) 03:16.550

that is being controlled by older generations who affected by that and i think you're going to see a lot of this continue into twenty twenty six and continue to see the economy do well how long

Melissa Lee (Fast Money Host) 03:24.150

though can the consumer feel bad fifth straight month of declines for consumer confidence and continue to spend i mean at some i mean yes you'll get a two thousand dollar checks on households will but that only lasts for so long some

Guy Adami (Director of Advisor Advocacy) 03:35.430

of the things they're spending on they have no choice i mean healthcare is a big component of this i mean you know i think we all agree that you know some things you have to do and obviously food costs and energy costs although subsiding a little bit i mean there's still

Guy Adami (Director of Advisor Advocacy) 03:48.630

diplomatic so they will continue to spend because they have no choice the question is should they be spending and that's a conversation we have seemingly all the time

Tim Seymour (Founder and Chief Investment Officer) 03:56.710

i i i think we get back to this really difficult to analyze K shaped economy and the different pieces of the consumer that we talk about and the different places where spending is actually really holding up and and i would point to airlines that would point to certain parts of

Tim Seymour (Founder and Chief Investment Officer) 04:10.430

the travel experience that would certainly you know we've talked to you know kind of top line service businesses and and they continue to do better but it's it's it's a case where this has been very perplexing for the street for the investor community to really say i mean it's

Tim Seymour (Founder and Chief Investment Officer) 04:23.270

not green light for the consumer but it is a place where this kind of growth and those people that are employed are doing quite well here

Steve Grasso (Chief Executive Officer) 04:30.870

and twenty percent of the highest income earners are doing fifty percent of the spend and sentiment indicators are what people say they feel but you have to see where they actually spend the money so i think people actually feel better with a job and they spend versus the

Steve Grasso (Chief Executive Officer) 04:46.480

sentiment