chains such as dave investors. that company, i believe, has been in and out of bankruptcy. >> it has. you know, i reested this one i think you arglad you don't have to spend a lot of brain es i'vbe goingo and i kn why they're setting up for a sale. >> thanks for watching power lunch. closing bell starts right now. >> thank you so much welcome to closing bell. i'm scott walker live from pos nine here at the new york stoc exchange this make-or-break hour begins with how to play at the rall in stocks. the question is no longer abou whether stocks can continue to rise but how to maximize thi incredible move in your favor, especially if a sizabl rotation is just getting started. we will ask our experts. that question is coming in thi final stretch. in the meantime, take a look a the scorecard with 60 minute to go in regulation. stocks are having a good day trying to build on that seve straight weeks of gains. alphabet, amazon, meta are leading tech cards today the s&p is doing quite well.

interest rates are holding steady the tenure is still under 4% it does take us to our top o the tape, the broadening bounc and how so many laggg sector have ripped over the past si weeks. so much moreials, industrials, is the better breadth just beginning? that is the key question let's ask adam parker, founder and ceo of - he is here welcome back >> good to see you >> let's take stock of where w are at we have come a long way over the last visits that we have had. lit what is the message of all of this? >> to get that broadening rall you teed up, i think you nee to believe profit margins ca expand for the average company that's what you need t believe. most of our work is been focused on gross margins and the costs around materials labor, pricing, all of those things can profit margins expand? >> can >> they have trough here recently i think they can

i think there are many companies, logistics costs better productivity, less wage pressure - they can maintain the price. i think they can it's not a slam dunk but i think a lot of them will b able to. if the average company can maybe that is the balance for surprisingly good market nex year you are starting to see guys who did their here and outlook in november already raisin their price targets a mont later. >> highly respected strategist over goldman sachs, like a month ago, it was at 4700 fo 2024 for the s&p target. better macro backdrop, economy doing well you can actually support highe multiples for stocks do you agree it sounds like you do. >> i think the distribution of outcomes is probably skewed to the positive for next year versus what the big firms ar saying i think it really comes down t belief that margins can expand and it comes down to what th fed does it looked to me like the big

firms got more bullish already they were responding to the fe pivot a little bit more than the earnings outlook it is hard for me to parse exactly what people are saying my own personal view is th case for - you are just starting to believe that is going to go fo the next few years in a row. it looks cheap in 26 or 27 it looks expensive in 24 i think that is what happens it worked out well i think we could be setting up with earnings doing well for 5 to 7 years >> do you think the market skews in any way in how it reactsntext of the market largely getting i right as it relates to the fed the market is sort of guidin f d necessarily guiding the market the market came to - >> yeah. >> now it is a question of whe

they are going to cut. it's not even that we have been raising the question on this pgram or th idea that, who cares as long a they caught for the righ reason, not the wrg reason they are right because the can. they are wrong because the have to. >> right whatever, things got worse tha expected i don't think it will be smoot sailing for that ifhey do two or three time in the second half of next year, i think that is the right risk reward for equities. if they have to, you get muc worse -- >> all bets are off. >> i don think that is wha we are talking about i think we are talking about thstamp out the worst part o inflation. if i look at equities which focus on, things like home builders and select retailer and semiconductors wrapped.ication, it's al we wrote about that in our no >> home builders are at an

all-time hh. semi trades has been one of th hottest of t year. it's not better than most give your prior careers as semiconductor analyst. >> i look at it all. you know what? most people i'm talking to i my meetings think we're goin to have a big rotation i january. it happened last year. it seems like ten years ago. meta and tesla in a video were awful stocks in 2022 they troughs on the firs trading day of this year and they had great training basi you. what is hated that could benefit? is it health care whic everyone just thinks automatically is a payment is it, maybe it is - >> you are on that bandwagon >> i am tethered to a view tha demand will exceed supply fo oil in the medium to long term it's very hard in the six mont view to get the offer right as we have seen over and over again. no one knows nothing

i don't see how we can produce what we need given demand. i like that. will it benefit a rotation share? we will see. what i can tell you is that recession is more into the prices of energy or material than it is in a lululemon or mercado libre or otheronsume facing entities where th stocks are top left to botto right. >> what do you think about things like small caps that's kind of the place t predict. that's where a lot of th sentiment is going tom lee thinks small caps ca do 50%, 50% next year. is that overly ambitious what do you think of the space in general >> free to go up that much, yo need a big risk on trade i think it's unlikely. it not going on a limit to say left a 50% returns o unlikely for that to happen, look, th reason why small caps starts november 1st is because the te year yields came down. that makes sense at the initia

part of the trade because thos are going to have financia problems they have a high interes expense. if they had to refinance a higher res, it hurts their piano. financial conditns are easin as stocks go up. >> for you to get another like there, i don't thi the nex leg of going from 4% to 3% i going to be agreeing with th same risk on trade if i happen, it's becaus things get worsend you are year because it's risky.te i think that's unlikely. need big economic expansion an don't think that is the base case the base case is a slow erosio in the company that's not a big risk on trade >> one of the areas that maybe the most hotly debated contested, and will likely remain so for a while, financials >> yeah. >> ripped over the last months 7% or something. they haven't done well befor that >> right >> you are kind of conflicte on that area you would like to be a littl more warm to it. >> right for the first time, i guess

spent most of the last 15 year not really ling the banks. i look at them now and i think you know, the choices people were giving a year ago, it was like they were only given tw choices, hard landing or sof landing? you decide you don't want to own bank right before you get into severe economic slowdown that got priced in since novemberave participated they he outperformed am getting the mos shareholder return of an industry post dividend what is in the price is some kind of economic slowdown whic is probably more severe than what happens if we get any kind of upck i activity, the risks look prett good they don't look that expensive to me. i think the more harry parts were the whole whole maturit thing that happens with yields coming in, that' going to be less of an issue than in january. i kind of look at it like -- i haveompelling valuation. sentiment is n that great. it feels like a candidate rotation in january as opposed

to buying lulu or something. >> the regional banks, you don't love theall. you sort of break out of the long ideas versus the shor ideas. based on what? >> our quantitative model that we used to predict returns, we have different models fo different parts of the marke it has it on a valuation sentiment, accounting, ownershi it works really well in banks. it's up 50% year to date jus shortening the bad >> your basket is up 50% >> just within banks our ability to pick winner from losers is prettgood we continue to offer those ideas. almost all of our notes an with long short ideas to embod the principle. >> you like things like m& bank, combia banking, yo you short first financial,res. first hawaiian, community bank system you ally break it out. >> yeah. the reason we do that is because, historically, banks

that the - massively under perform. stocks that are controllin their provisions, controllin their expenses, they tend to outperform we have eight or nine factor that we use. we add them up the ones that the model liked, i think it's a sector you ca pick winrs from losers you didn't want to have a bi -- he just wanted to stop select. i think you could set up for a little bit more. the big rally in everything, i kind of believe e banks have more leg to with another parts of the market. >> interesting let's bring on cnbc -- hey. give us your view here we've come a long way. what do you think lies ahead as i laid out at the ver beginning of the show, how can we all maximize what looks t be a more broadening rally >> i think we are clearl seeing that evidence that is

compounding what we had starte talking about movie five or si weeks ago. we felt like there was going t be this potential broadening out of the rally i think there has been a lot o benefit in some of the fed speak that we got last week. it is really more than that. it's really thinking about wha the other 400 companies or s in the s&p 500 are likely to d next year. adam makes a lot of good point here we could see that rotation i january. is that rotation going to be out of the ten names or so tha it performed really well i 2023 and into other places are we going to see a rotation from areas like cash and short duration fixed income into the operating market that's the big question. four or five months ago, w were talking about the risk of the reinvestment risk in cash. we are certainly feeling tha and hearing that now we are anticipating those shor term rates to start moving lower. timing is up by a couple o rate cuts next year.

the question is, do you se people pushing out on duration given the ones we had on the long end of the curve? do you see the money comin back into some of these area of the equity market which hav underperformed that is a different type o rotation which might be settin up for the first quarter >> how would you answer th question you posed i mean, do you see money comin out of shore duration and cash into stocks, into everything o lagging areas? why don't you answer your ow question >> i think you do. you've been ing paid to be patient for a long time. at this point, there is no someing that theoretically i going to increase your potential return on cash unless you think that we are headed for a significant economic contraction, to adam' point, we are kind of seeing expectations of slower growt next yr but not significantl lower growth nexyear i think you have to think about, okay, i actually am going to have an opportunity cost b

keeping my money in cash and very short duration fixe income therefore, wre should i pu that i am getting paid from a yield persctive, particularly an investme grade, but there ar opportunities in areas lik small cap. i would caution -- i think everyone is focused on small cow, which makes sense giving the performance there is also a number o places within the large ca spe that are also fairly attractively valued. i think there will be rotation of some of this cas from money market funds to the equity market. i just don't know the strength pace of that, whether that' all kind of first quarte loaded >> gone lock after jay powel finied the news conference he scoffed at the idea that al of this cash is all of a sudde going to flow into equities. he thinkit's going tbe int bonds. i can understand, the bond kin would suest that money i going to bonds nonetheless. , should we believe that all o

this cash is all of a sudden going to fly into the equity market >> shannon said both i agree with her it's probablboth underweight uities, warned about rates rising everyone had down inhe first half kind of call. within the equy market, they were exposed to the magnificen 7 and growth not surprising there is a bi chase when they massively do well i think people think, well maybe we will set up for a rotation next year and see wha happens. that is e consensus view we will see. the consensus is often not correct. >> you say the rotation. i want to be clear, i thin this is going to - >> i mean within equities. people sell these -- >> mega caps this ithe most important conversation that is going t take place over the next month >> i think people are going to sell if it is not the mega caps, think it will be some of the other names which participated recently like the non profitable growth, a littl biof that. anything non profitable that i up a ton, it could just be -

i look at all the stocks i every sector and i am like, wow, mercado libre, wow, lulu these charts are discounting massive perfmance. you can look at some of thos winners, seldom and say, i can buy a bank or two that looks like it -- i can buy energy company i can buy health carservices where they have brainpower the tation could be sharp in january. when i come back in nuary, w will probably be already derway i wouldn't be surprised to see big movements. your seconquestion, rotation between bonds and equities, is a little trickier. to a knucklehead like me, in terms of fixed income, the two year looks a lot mor attractive tmy persona account and the tenure does. no equity person would ever by the ten year under the - if i can't beat 4%, i have t beorried about what i'm goin to spend the last 25 years doing. >> shannon, is this going to b one of the great misnomers o 24 where people get offsid expecting -- you know, once you start

getting a heard expecting that mega cap is going to sell off bit and the money is going t go elsewhere, you turn aroun and you realize that maka ca continues to outperform. very few people saw him make a cap to and what it did thi year there was a lot of offsides to it given the performance o 2022 are we setting up for anothe surprise >> well, adamade a great point earlier about margins, right? perhaps more importantly margin recapture if you think about quality balance sheets, free cash flow pricing power, and you don't get a meaningful economi contraction, is hard to se these names that have done wel not still being afforded som premium in the market. perhaps there is mor differentiation, scott maybe you don't get all seve of them are all ten of them. we have seen some pressure, fo instance, uncertain of those names more recently. if you are making th assumpti that all of thi

movement into other sectors in the s&p in particular, areas like health care, is going t come directly straight out o the magnificent 7 or the super seven and into those sectors that is probably not going t be the case. there is not a lot o compression ich is going o in terms of margins an earnings for these companies they historically have bee afforded a premium into th market i think it's much mo important that it is a broadening out cominfrom places which have mayb underperformed or maybe that investors are trying to look for the broader diversificatio rather than expecting a one fo one binary move out of big cap tech into other names. that is probably going to be more nuanced than that >> i totally agree i don't think directly come out of them. i think thchallenge is a lot of the weight money is wro with risk controls, people can't own the biggest five positions more than 25%, the 5:25 rule. from some larger diversification requirements the stocks have gotten so when they don't own enough noatte

what even if they have an individua thing th is done well, the can no longer sell it. they can't buy a back to where it is. there's all sorts of money management and risk reasons wh the situations are uerway. i think it will be some of the other four letter names or other things whatever libertie abated i will take some money off the table on some home builders or some beneficiaries which are maybe at record high inventories or multiples and rotate it is something that is discnting more of recession. >> to your point, what about materials? if you don think there i going to be a recessioand, look, china has been a hug disappointment, right? >> right >> what happens if there i big china come back in 2024 fo atever reason? stimulus, whatever they do that leads to china' performance being a lot better what are the stocks which ar going to do -- what would you want to be? industrials, semisrials, selec >> would you play fothat o no >> - >> are you going to be dow forever? >> that is part of the reaso why of more pro cyclical til

to make sense. when you are trying to be th s&p 500, y have to own two thirds of high quality growt and one third some kind of vae which can benefit from a recovery it doesn't look quality today. you buy your little dream toda and you sell it to a sucke with a bigger dream later. that sucker with a bigger drea later will be when stuff get positive i think you are going to onl the max seven, oer hig quality growth that's two thirds you performance. the rest is the lance of the cyclical alex shoot. i think it's ergy and select banks and materials. i think that will be at the s& next year. >> shannon, i will give you th last word to agree or disagree with adam on those three areas >> if you are thinking about china recovery, it's not jus in materials or industrials. it's outside of the u.s. it's in europe, for instance you want to find value you can find it in europe. they certainly would be beneficiary. you might actually see china recovery potentially a weake dollar youmight see som international develo interests. i would not just look here i the u.s. if we do sethat

china story improve. >> got a bounce. >> i think europe is great for vacation but not scks. that's my view whatever [laughter] shannon, good to see you happy new year >> all right, guys we will see you soon thanks as well for being here. let's hand it over to cristina for a look at the bigges names. she's watching as we hea toward the close >> let's look at etsy. it's rebounding today after -- the merchandise platform i cutting roughly 11% of its workforce as the company looks to restructure its busines amid a competitive environment fc shares are up around almost 5% in today session bu relatively flat compared t next week. let's talk about vf corp shares those are sharing after th apparel company, which own vans and northeast, disclosed cyber incident in a filing they say the incident happened earlier this month and would likely have a, quote, material effect on its business just in time for the busy holida

shopping season. that is why you are seeing shares down nearly 7%. scott? >> all right, kristina, we wil be back to you we're just getting started here up next, tech is hitting harde today. tony pastoral low is seein strength ahead he breaks down tha oprtunity. we are live from the new yor stock exchange you're watching closing bell o cnbc

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i'm a little anxious, i'm a little excited. i'm gonna be emotional, she's gonna be emotional, but it's gonna be so worth it. i love that i can give back to one of our customers. i hope you enjoy these amazing gifts. oh my goodness. oh, you guys. i know you like wrestling, so we got you some vip tickets. you have made an impact. so have you. for you guys to be out here doing something like this, major averages are highe it restores a lot of faith in humanity. today,uilding on the momentu from the seven week winnin streak my next guest says tha investors are starting to look at other parts of the market it's not time to give up yet o

megacap tech into next year. let's bring in ton pasquariello from ldma sachs. ahead of headphos clients, o course our last note said that ther was still some juice left in this rally ishat how you feel >> tre's some gas left i that tank. and for a cole of reasons. on the fundamental side, it' between where we have landed o e fed, and growth itself it's in a very favorable position and then the market technicals the funds are still on the side, it is the seasonal is workin like a charm every year. that's still on the si of th bulls. we've had a scorching move since the end of oober and so it is for sure a more defending set up, as opposed t having that evaluation om, here it is kind of a grind, less of a gap probably less upside convex-ing >> i am looking some of th notes that you gave to our producers, where you say tha u.s. equities are still th best name in town. do you ever think that a

another time of the year, yo would be writing that toda given what the fed was doing where many suggested that th economy had to go? are you surprised the writin that today >> if we're sitting here i january coming off of bruising here for the market when the kind of consensus cal was very much in the landing camp, not the call, but th consensus call scott, here's what's going t happen the fed is going to blast away for more times they will take 800 billion off of the balance sheet we have a regional bank crisis the issue of political backdro is going to be even worse. >> and in mid december, i will write that u.s. equities are still the best game in town. >> that would've felt like ver long odds. the u.s. economy proved to b much more durable than expected overall two and a half percent this year, creating 2.7 millio jobs and then revealing in the form of a.i. and gop one. u.s. resilience, america innovation, that was the story they carried the year. >> props to chief economist, he's been on the right side of

the economy trade for a while. taking the s&p target of nex year from so 1:47. are people getting too bullish is there too much euphoria developing over a six-week run that is one of the most -- >> it's never a roadmap to kin of tacticay trade the market it's about side post forweeks. return here we are the better part of 20 times in the past 50 years, always sustaining multiple tha that higher than that once that was the tech bubble in the outside, it's - if they are right and they'v been magnificentn 2023 the feds are going to star cutting next year, five times, march, may, junebang, bang bang then kd of again in septembe five times the u.s. gdp growth

2.3% next year we take that interplay between the growth excessive, and th fed in a very accommodated place. >> enough to justify tha higher evaluation that you say >> a little bit. david, he said, look it's no 4700 anymore it's 5100. it's not - were just calling earnings a 5% last year given what we've learned about the fed, innovation backdrop real rates have allowed that for multiples. it's really about supporting the market and truncating th downside that is opening u some wild upside tale from the starting point >> rotation. in two different places fo questions. number one, we discussed earlier in the earlier segment is money gng to come out o cash and come into the stock market >> the casual go around, suc

as that the households will no need to hit the bag on the bes companies of the world what do i mean by that unemployment, real household exposure - disposable income gettin better and better going on then you have the cash piece six trillion dollars in mone market funds they showed their hand a littl bit last week, 16 billion of outflows first outflow in two months. a couple of chips came forward then you have 150 trillion dollars of net household worth i guess the idea that people kind of go out on the coach, find that update in the market i've got no problem with that. i think the idea that this i going to be a wholesale exit i from cash is a bridge too far. >> but you're also making case that for all of those factors, you don't see meg caps used as an atm to pul money. and then that will rotate, which is the second part of my question it rotates to the other areas. >> it's the mix of the market.

i think that we understand why it has played out in the pas couple of months, huge performance, underperforming parts of the market. that's kind of exhibit a we understand that the fundamental backdrop improved in a way that was mor friendly for those parts of th market we have had very serious short coverings of those kinds o underrepresented parts of th market the seasonal is on the side of rotation typically happen in december, typically favors a small cap for december through february period. one in three small cap companies is probably going to be on their next year. i look at tech, it shoul generate 10% earnings growth which is two times any other part of the market if we have a steep inner in th rates market, which is our expectation, the best sector i that contest historically is tech again, you're going to have th best companies in the world fo the new theme to buy every par of the underrepresented part o the market that doesn't make sense to me. >> what is the one area of the

market that you've got your ey on, this is the one that could likely surprised investors thi year we are going to sit on my desk who saw that coming? i did. >> and i'll give you a new economy, old economy barbell old economy industrials, it' the onshoring, the unite states focusing on the green theme. it new company, biotech. the feds frying pan, th laundering frying pan. a huge amount of innovation, you get that from big pharma that's the primary beneficiary >> tony pasquariello, thank yo so much. >> tha you, scott. >> up next, a couple of th charts, top technician chris for n is mapping out his forecast as we head into the new year and of course, the key level that we all need to. what we are live from new york stock exchange, closing bell right now.

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longest winning streak of six, years some sectors gaining new highs today. next guest seeing some short term trouble in the tr heading into the new year. let's bring in chris ferrone welcome back >> thank you >> technically speaking, are w looking a little bit dicey what's the story >> we've had a momentum surg over the last six or seven weeks. when you look at the long term track record behind that whether it is getting 90 stock above the 50 day moving average, the surge in one month, high o marking it out that tends to shatter thos >> looking at the next few months, it's more random >> you just have to be mindful that you have the momentum search, you uld get into consolidation, a pause as yo go into the presidential election year. seasonality have been there, starting in january, jus something to keep your eye on.

>> that's fair i think that we have t separate the wet from the y. the what is like, oh my god, w the numbers, look at the small caps that are out. th sector is a, that the y is more important than the what in my estimation. why did we get here? we got here because the econom is holding better than mos people tught the feds, we anticipated thi pivot. the pivot that the fed ultimately seems to have made. >> and when you look at th hard questions for 2024, a what level for example d tenure yields no longer affect the pivot? at what level do they -- i think the using that is goin to be key. looking at consumer discretion it continu to work as long is discretionary i better than staples, transport better than utilities. in terms of the longer ter call, it's still very much intact

look at the sentiment work here, in late december, early january, which the immediate rule o wall street? as prices change, so d attitudes. attides of the last four o five weeks rightfully so i hav certainly anged. i want you to be a little bi aware of that the first par of 2024. >> i feel like you are mor positive on the market that yo have been in a while it does und like you are fairly bullish in 2024, dare i say. just a couple of littl caveats. >> the reality, the trend of the mark, it is not like the had this very impressive momentum surge i think the change rlly came in the last six weeks. we went through this ten month period where the first ten months of last year's low look nothing like the markets we ar accustomed to. then you finally see the confirmation, the surge in new highs, the expansion, breath all the things that you woul want to see, new in advanced we have gotten that here i think we are absolutel

right. -- >> what happens with mega cap? how do you do that sector? >> it is not as monolithic a it was supposed to be. that's probably the subtle change of the margin, and it shouldn't be we are seeing the rest of th market participate i think it was notable last, week we had the four month relative price lows for the s&p, a slight change, new highs today, and so it is just not quite as monolithic. the bigger question is, is there anything on the macr front that could introduce a new piece of information which could choose the whole game. the whole move in th magnificent 7 has strongly bee associated with -- >> are you suggesting that dollar weekends that come out little bit we start talking about risin oil and gas prices again inflatnary things? what do u mean >> it's interesting to me. as the dollar weakens, we're

not asking why is it because inflatio expectations are actuall re-accelerating at some poin in 2024? >> t fed has pivoted, right? >> but wn you think about it from a growth differential perspective, if the dollar that is an important clue. when you talk about some of th changes in leadership, look at these dollarstarting to turn up copper, all of thesehing that we haven't seen in tw years. it might be startingo reflec here the leaders of this market hav been the discretionary names it's been open to a subtle you're seeing it with thes results oriented groups. >> we appreciated, thank you >> joining us from strategic above next, the biggest movers heading into the close christine barton hello is with us againristin >> wve got sious doubt about whether something ca-- and netflix isaining i popularity again more stock movers, next.

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$475 to $550 per share these sales are trading in a about 40 6:50 right now. citing renewed confidence in the streaming giants return to content spending shares are currently hired b about 3% at the moment sun power is plunging lowe after delay in the 10-q form for the third quarter. a liquidity concerns substantial doubt about th company's ability to continue. that's what you're seein shares lose a third of their value after goldman sach downloaded the saga of the weekend, seeing prices down by 32% right now, scott >> kristina, thank you kristina parts anello, up next -- we will weigh down on that nam today. especially with another mega kept going in the opposite direction. many are in the green. we'll see what it means fo apple in the new year. closing bell, right back closing bell, right back

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next level moments need the next level network. [speaker continues in the background] the network with 24/7 built-in security. chip? at&t business. a day for u. steel rocketing higher today a japan's set to acquire the company for roughly seve billion dollars in all cas transition meanwhile, cleveland cliff also higher today. thatompany also bidding fo u.s. steel back in august 7.3 billion dollars. the company, now saying it would pivot its capita allocation to quote, aggressiv share buybacks on that note, a programmin

note don't miss the ceo of clevelan cliffs lourenco gonzalez coming up athe top of th hour and also, a couple of really good bookings there all around this steel today up next, adobe shares ar popping. we'll show you what iseh th move when we take you behind the market zone ♪ ♪ ♪ all right, shea, are you throwing a dress like a dad party, a birthday brunch, or a vow renewal for your dogs? yes! the right drinks delivered for any party. drizly. when you think of investment risk, do you consider climate risk? changing weather patterns are impacting the way we live

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day. steve kovach, the new holida hurdle apple vestors are watching today, we will see that, and ade calling off his plan t buy the software company good to see, you welcome back. >> thank you for having me scott. >> give me your market view as we head into the new year. >> it's, as we approach thes all-time highs ithe market here, we are a lite bit wary as we approach january things td to reverse a littl bit. all of the reasons why the market is at the levels that it's currently at ou substantiated. the reason why the fed i looking to cut rates in 2024 i that it potentially has won th battle against inflation that is going to be a positive for markets. >> do you believe in thi broadening viously you have bee tremendouslytrong. do you think it can continue >> i think that if we do threa

this here, we are going to b continuing to see a broadening evaluation, really favorin some of these stocks lef behind 2022, a lot of stocks they wer down does were the ones they di really well in 2023. you can see that happening i 2024 >> how do you assess mega caps will you have moy coming out or ijust the trade you wan to continue to stay in >> i don't think you want to completely abandoned them al together i think there are greate opportunities to perform the overall market because of th broadening we talk about you see that in other areas, a lot of the guests talking abou that you can play some defense by having some of that, reall just get those higher rates.tom, >> why is 2024 going tbe the year for energy again?

>> we really like energy again, if we're seeing the broadening of the economies. it is really going to continue to grow, just at a slower pace than we saw in023. the energy should be prett good we saw crude oil hit, about fiveonth low recently. it should start to bounce back that dynamic, lower supply higher prices. >> all rht, ayako yoshioka we appreciated, e you on the other side of the new year now to apple, steve kovach's has got every make a cap i front. ending up nicelyoday, apple' stking out like a sore thumb what is happening? >> hopefully you do not want a apple watch for christmas, you'reot going to be able to buy one unless you go out righ now. apple is pausing sales of it apple watch series nine, apple watch ultra to those are the two top models st in september. this is all because, scott

they lost a case called masimo this is over the sensor on the latest ale watches that ca read your blood oxygen levels. massimo went through the whole process of the international trade commission ruling th import ban on these devices, saying that it violates th blood oxygen patents that they own. what that means of course, therefore over seas, you wil be able to import and brin them to the united states. bring them a couple of dates here, december 21st, mix - and then end of day, decembe 20, four that's your las chance to buy one in stores. there could be heavy rescu here from the bide ministration by christmas day, they have to rule whether or not they have that ruling, o to overturn it if that happens, they can star selling the watches again. if the biden ministration does not, then that pause wil

continue there is top tier, mos expensive apple watch -- with the united states, and big dent with those. it will be on the closing bell overtime, just a couple moment talking through it >> not really looking for a bi serial impact. >> it is available until christmas eve. this will be a little bit of the holiday quarter, but it' also the quarter where apple i trying to prove the top revenu growth, they need the wearables, not just the iphone as part of that picture apple does like to say about one quarter of iphone owners have an apple watch. they see a huge room to grow and so the united states, on of the most important market for the apple watch. maybe the most important they can still solve the

lighter versions, called the apple watch as he. some strip down, features little cheaper, doesn't have the blood oxygen sensor. it will still be available as far as the latest watches it is unclear whether they wil be able to sell them in th united states again. >> thank, you steve kovach to fight or not to fight christina, adobe and figma today, it's not worth it >> exactly, not worth it right now. you also have to think about i like 20 billion dollars no could be spent on shar buybacks fordobe that seems to be the positiv consensus there from tha commentary if both adobe and cloud base to design form figma, like you just mentioned, both quote strongly disagree with the recent regulatory finds, thi is aording to an adobe ceo statement right now. why did this happen? mounting regular - starting the reason for th determination. the earnings call, they were quote, excited about -

it's a little t of a surpris from some investors to hav that positivity from last week we know the regulatory hurdles have been going for quite some time -- trying to get much firme footing th when the deal was first in 2022. adobe, demonstrating se gain with generative a.i., and also more specifically with the firefly machine learning model it might not need it as much a it did previously to drive growth this deal failure, i want to say figure, but termination. they would also avoi ditional dilution and mark i earnings per share as well there will be stuck paying about one billion dollars in a break up fee for figma as jeffrey says, it still need adobe in stronfooting, especially given their fre cash flow. >> all, right chstina. thank you as always. we will see you again tomorrow [applause] the clapping has started, as you can clearly hear

the dow is going to ride it ou until the last moment. you can see if it goes positiv on the day the sec is not going to have that problem pretty broad base movement and in the green today all-time highs again we will see you tomorrow [bell ringing] there is your scorecard on wall street. down is -- no, everything is up welcome to the closing bell. winners stay late. i'm john fortt along wit morgan brennan >> we will talk to the - as u.s. steel agrees to sell t japan's nippon steal they closed the bidding back i august for the 7.3 billion dollar offer >> plus, apple says they are pausing sales with some of their smart --