James Paulsen Of Wells Capital Management Shares His Thoughts About Current Market Action

James Paulsen of Wells Capital Management said today in an interview on CNBC that the market is trading lower today because the news that are good for the main street are not good for the Wall Street. He thinks that we have now crossed the line where things on the main are getting too hot for both bond and stock investors on the Wall Street.In his opinion that came to light yesterday with GDP numbers and hot inflation number and today with claim numbers. He added that tomorrow will be an interesting day, because on "payroll Friday" we have two big numbers. Mr. Paulsen thinks that if the unemployment report drops in the fives, the Wall Street will interpret that as a sign that the Fed will have to speed up its exit strategy. People will start calling for the interest rates hikes by the year end, he added. He also thinks that it doesn't matter when the Fed steps in because free market is already showing higher yields and that has historically been negative for the stock market.