companies to take our tras away >> does that keep protecte lower overall? >> on a relative basis, i thin it does. >> >> did you know this >> i did not. mr. rogers outfit. >> it's like my outfit, guys >> you can tweet me, thumbs up thumbs down to his casual. look he can wear that for 2024 thank, you everybody, by the way, to our whole production team all the crew in here they call for hard work. >> thanks for watching, powe lunch. >> closing bell starts right now. >> all right, thanks, guys happy new year welcome to closing bell, i'm mike santoli in for scott -- this make or break our begin with a quiet close to a boomin year on wall street. the benchmark s&p 500 wavering just below a record high sitting on a near 25% gain wit an hour of trading left in 2023 the index still has a chance a a ninth straight winning week. a rare display of persistent strength for stocks, even as the small cap -- slips giving up about 1% on th

day,, after a gripping 25% surge since november 1st almost everything went right for the markets in the fourt quarter. oil, inflation, and bond yield all falling. unemployment stayed near historic lows. in the fed hinted at polic easing ahead which brings us to a talk of the tape have investors been over serve with bullish news heading into a new year raising the risk of a let down in january or can the rolling celebration of unexpected soft economi landing carry on from here here to help us, into thos questions is charles schwab, kevin gordon, kevin, good to see you. they should come in. >> mike, thanks revenue. >> there is the scene, as we enter 2024 i guess the question is, has the whole economic cycle bee refreshed with what the fed ha done orban yields have done the don't fight, v don't fight the tape rule seems like the should be pretty encouraging right. here you see it? >> i'd probably lean on th latter in terms of the economic cycle being refreshed, parts of it have i think on the labor side is probably too soon to declare that you've seen a total

flushing out of the labo cycle. because in many ways, labor' been really the resilient stor of this year what hasn't been as resilien has been everythin manufacturing, housing, goods, sentiment relate id. and what tipped us into what we've been calling for a while now these rolling sessions now we're looking for them t turn into a recovery the question, as you head into 2024, how much of those ar sustainable. because we had some earlie this year. some sort of hits of recovery, those turned out to be him hea fakes. on the flip side, the labo week this actually comes int play i think the good news abou 2024, you probably get answers either way in terms of how muc monetary policy actually fix the labor market whether it is long in variable legs this time, that are going to hit or if they don't if you get to, i would think past the second quarter and yo don't see material pick up i the unemployment rate. you don't see payrolls wil negative then you could probably star to say and confirm that th cycle is probably the most unique when it comes to th fifth hiking >> so, in that framework o

rolling recessions and perhaps rolling recoveries, where are? we will be waiting for the comeback manufacturing? really not many signs. i m index is still pretty weak housing, i guess it's gonn respond to rates at some point >> that's the rub, wit manufacturing, we've reall been waiting for this revival. it's not as if the awesome manufacturing pmi has been dow in the depths of recession territory. it's been muddling along still an contractions. definitely not in the well off expansion. i think if we're gonna take th queue from some of the regiona pmi's that have come in, i think the only upside surprise from one of them maybe tao. the rest of them, if you wer to combine them in the chicago out this morning, it's not really that good of a sign for i.s. mls to the near term i think the good news for, now you get a little bit o stabilization where you ar right now. if you start to see more hit to services, but a manufacturing eventually begin to turn, maybe in the firs half of next year, that' probably best-case an aerial maybe that keeps you out o

traditional n b e r doesn' define recession look for those singles if you're just looking a something like i am or three just look at something lik leading economic index from th conference board you would say, yeah, definitively innocent in a recession, the unique nature o the cycle is that that's where all the stress will wa concentrated as you came out o the pandemic and all of th excess associated on the goo side and the housing side but you had the offsetting strength of services i will keep that dynamic i mind, sentiment which is hard, that it manufacturing services >> you started to lean on th letter factors which would be don't fight the fed. don't buy the tape the market has had a ver strong response to what the fe did in what yields have done a response oil, inflation, all the rest o it small caps really outperforming not a small, caps but kind o the average stock catching up little bit a lot of the complaint about extremely narrow leadership. of this market have been answered is that something that you would think of has just this little comeback phase? and then we're gonna go back t normal or quality has won this year

it's good anyway you see it is that continue >> in many, ways think it's the market second chance of this quad being. out this is a lot of the signals we're seeing, whethe it's small kept 42, better aqu weight performance cap, wait these were the tides tha started to shift in midsummer. and that proved to be ahead. fake the collection from july, and of july, into october. i think it's been a nice littl refresh. in many ways, maybe a better setup for areas like small caps because they took out thei bare market. low and it's something you never really done before, when you get here off of a bear market low liquid in 2022, breaking through that low. in many ways, not only i evaluation picture may b improved for them. because they sold off again, but now they're getting more clarity on the monetary policy front, the tide seems to b shifting for the fed and wha they're signaling ahead. also i think for the broader economy. if the fed is only cutting rates a few times next year an comfortable with the overall growth backdrop, productivit continues to improve in th labor costs come down.

that's a nirvana scenario fo the real economy but also fo the market it would signal that thi economy can handle a lot mor than maybe a lot of people anticipated. i would look for that signal a you turn into the. here i mean sentiment sure is risk we've been highlighting that for a couple of weeks it was the same risk on the opposit end that we were talking about you and i enter impact conference in late october that sort of set you up for th rally that you had you need a negative catalyst t tip you in that direction. >> it's interesting, as yo alluded to, there's a lot of stuff that seems like sentimen has gotten pretty bold some of the serving, some of the positioning, some of the flows, things like that on the other hand, in a bull market, those things ar on more unremarkable if a coin is a bull market although in a new year, what would you look for to be the thing that tripped up an exposes the bull sentiment >> the easy answer is probably some sort of backup in rates because you had such an extrem negative correlation between b yields in stock prices although that easing a littl bit. but if you did get som

unexpected surge in rate weathers from a hotter inflation report, hotter economic data. i'm pretty sure that would probably be a catalyst at the same time, this trifect of stronger dollar, stronger oil, stronger yields, that helped tip us into the correction earlier this year that's subsided for now. if you expect the dollar t have some sort of resurgence next year, i'm not sure wher that's coming. from i think resilience, probably but a move back up to the rate that we saw earlier this year. probably unlikely. just given where we are with the growth trajectory in the overall inflation trajectory i would definitely look at that, in terms of sentiment becoming more of a risk as you mentioned, look at th breadth set up in th statistics there it's a lot better than where w were in the middle part of thi year if you have a more resilient under the surface of the market, i think that a lot bette fighter. >> sure. let's bring in - bryn talkington of represent - and greg branch a verita financial group. to the conversation. welcome to you both.

greg, let's start with you how are you viewing things right now into 2024. i know you're expecting a very different 2023 how is that inform what your current outlook is >> well, i think kevin hit upo -- what he first said before goin forward. i was wrong about 2023 i expect in the cycle to pla out as normal i expected i credit growth, which would considerably slow both busines and consumer spending. we just didn't see that last part play out. the question, mike, not whethe we are not going to see it, guess that would be one answer the other alternative is w just haven't seen it yet so, i do expect this - that we're going to see yields go back to an area where we sa them about two months ago. i expect that because i do expect the economy to continue to chug along in a much better much more vigorous way than we were expecting based on rate hikes. >> if the economy is been

surprise to the upside of th reaccelerate, -- greg, is that a scenario i which the market in genera struggles in a lasting way >> i do think that the reason i think that, i think the economy will play tw neither of the scenarios tha the bowl narratives ar expecting. there's really two bol narratives right now the narrative that the fed wil cut because they can, and don't feel like we've done the progress with inflation. to see very high service inflation. i think that all the labor numbers definitely will. the other scenario is that - because they have to because the economy is slowing to a degree that it will force them to reinvigorate i don't think that the dat points to that either. and we're getting mid single digits gdp i don't see a scenario where you the federal have to step in with cuts to reinvigorate th economy. i think the key yield will b the fed, much like i said in 2021, i expect that what the

said recently, which is very different than what they wer saying weeks ago, i expect we'll see a departure from wha they said or indicated in that plot when they actually have to do. >> brynn, i know you're focuse on what the market has implicitly taken credit for in terms of what might come nex year with this game we've seen in stocks, which where the yields are i guess without people are projecting the current environment. how do you view it what's priced in and how do yo think it will perhaps be different? >> yeah, i mean, what's priced in is the most important question you never know what multiple for a company, a sector, a index the overall market wil play i do think, within small cap within small cap growth, withi the high beta names, withi biotech, just this huge move you've seen simply because rates on the long have com down that, to me, is no sustainable. because once the rates hav

come down, you actually need t have fundamentals catch-up i do think within that area, that's overblown but i think what's interesting mike, as you're talking to gre about the fed wants the econom to cool, but really the fed wa trying to cool inflation and typically, you get inflation because the econom is overheating because there's too much lending in the system. this has been such a uniqu cycle, that wasn't the case. so, we had all these outside inflationary forces that we've all talked about so, i can see now you can se inflation is coming down it doesn't necessarily mea that because inflation i coming down, because they were for different reasons, the actually have the economy made to cool that much. that, to me, is the bi juxtaposition right now. how much of the economy to actually need to cool, w didn't have those same ingredients. that we have in a traditiona tightening cycle so, i do think that people nee to look at a different playbook we also still have so much fiscal stimulus, that's what i

underestimated last year, in the trillions and trillions of fiscal stimulus that wil continue to make its way through the economy. whether that's inflationary or not it hasn't been so far. we'll see. >> it seems, to me, kevin, par of the reason the market i celebrated, especially since the december 5th meeting, that came right after another encouraging inflation report it seemed to release investors to treat good news as good news if inflation is doing what w wanted to do, growth is okay if the fed is basically saying we no longer feel like we need to get unemployment much highe to do the job of inflation that brings up the nirvana 199 scenario where, hey, guess what we don't need as much labo market slack as we thought we did and we can maybe twix rate lower if not slash them >> that's the, key into the point about when we got th november report for, and w started to get a string of goo inflation reports, whether it' cpi or pce, you start to

analyze that over three or six month period a lot of the core metrics ar hovering around 2%, if not lower. -- made this really clear in th december meeting they want to get to the poin where they're not restrictiv before you break below - there is the risk of under shooting i do think the risk is sitting right in front of us right now thank you need to keep in mind the fact that you get a look a a cycle like the 90s, you ha wage growth that was relativel strong kind of in that five to 6% range. like we have right now productivity growth was really strong labor cost growth and come down. the whole notion, i think, o real gdp growth sort of gettin out of the bag and then at inherently being a negativ thing for the market or th economy, that's just one sid of the story if you have a nice offset of productivity growth that i doing a lot better, which were pretty bullish on for the long term, and the unit labor costs coming down, which the reversed at a pretty quick pace that's a better backdrop you have to get back to zero t 1% instead it sub trend growth

for gdp. in perpetuity. in order for the fed to be happy. powell's mentioned all of. this i think the signaling they're doing now is sort of looking ahead to what is likel to be the case at some point i the middle of the year you stole the better productivity backdrop. you probably still have okay economic growth. assuming you don't get mor breakage in the labor market >> greg, what are the ways tha you would actually implement i an investment term, what you would expect out of the macr here what themes are what part of the market they feel at th over level to what you expect. >> it goes back to what kevi was saying i don't see a identifiable catalyst in the first couple o months to support my bearish view that means i had to increase - as increased by exposure looking for things i haven't participated to some degree things you look at over th last couple of months.

those things that ar benefiting from generational - those of the things that wer the darlings of 2023 but they're going to put up -- over everything else might be microsoft, the amazon there are those in the secon bucket that benefit from those same strong generation then emma participated through the degree that thos magnificent seven or nine when everyone a call them have. cybersecurity,'s many of the 100 up 100 or more that pales in comparison t some of the clear identifiable catalysts in that a.i. in clou ecosystems, even though they participated as well the last category goes to what you're asking about. when you look at financials, for example, playing this both ways i do believe that yields wil return financials haven't reall participated in the way that some of these other things have yes, we've seen a lot of catch up haven't mentioned rest of 2000 around december. the equal weight

i think investors particular masters like me, need to increase exposure or looking for those sectors that have ha participated, financials bette manage the environment fro right. utilities, if i'm wrong, we're in the lower environment those extremes become much mor valuable in a lowering rat environment. >> brynn, you called out the small cap growth, maybe some o the riskier sectors of the market, less profitable that have had a run maybe that's the move to fame. what about stuff that seem like it still has a little bit more juice to it >> i mean, part of it, you hav to stick with your dance party stick with your dance partner. i think that nvidia will continue to dominate amd, which i don't own, bu once again, -- at least two, i think we'l continue to move into that a.i space. i think the area with th strong leadership, especiall like microsoft, nvidia, amd, those will continue to be ou

performers in tech i also like generally, covered calls strategy wasn't a grea strategy this year the market was up so much. you kept getting called away i think 2024 will be a littl bit more subdued a great time to sell calls against the tech stocks. i think also, putting together an overlay to look for companies with high free cas flow yields, that's gonna pu you in health care, gonna pu you in abbvie, gilead, crystal myers energy the, same way you have to be more strategi in picking your spots this year, instead of just generall having, let's, say the s&p 500 i think with the nasdaq, there will be some other ways in som individual names in some strategies that outperform that >> yeah, i, mean nvidia adding 800 billion in market cap this year having its p e go dow because earnings went up b triple it's not a part of a long term bullish productivity story for the economy. that's a pretty bi misallocation of capital, guess. as it is right here. kevin, what about areas of the

market that you still woul actually look to feel as i they're timely to play going into next? here >> i'm not sure it's simple as look at what didn' do well this year, and then ad to it. but if you want to take th optimistic spin on, you have this group of stocks leading the charge this year, although that's kind of faded because stocks that are up a good chunk of stock that are up it's beautiful on the upside a longer term in looking a areas the provided look at small capital lawful optimistic point of th performance wear this, you mov down the calf spectrum, not to the smallest of the small that can't handle higher rate because one of the longer term themes from our perspective is that even if we're not in th higher for longer or nominal fed funds rate scenario, probably higher for longer terms of real rates. that's the goal of the fed and that's really differen from the period that you hav from the financial crisis unti the pandemic so, when you start to settle

out of hopefully what we'v called rolling recessions, int a more normalized economy, maybe the market becomes a little bit more normalized t when you start to see better participation down the cap specter. temperance point, bein strategic and maybe having mor of an active mindset makes a lot of sense even if you saw some of the ai come in on those highflier this year. that puts a little bit mor downward pressure and cap wa next is, makes a little bi harder if you're oriente around that index. and not as much if you are oriented around equal weight way to think about it, i don't think it needs to be thi binary outcome in 2024 where it's the highfliers losing everything at the expense of the -- >> i, agree we've gotten s used to think of it as a zer sum. typically the market doesn't quite act that way for ver long kevin, greg, thanks very much. brynn, we will see you soon in the market zone. happy new year to all. >> let's send it over to pit stephens for a look at the biggest names moving into th close. hi, pippa. >> hey, michael. lyft and uber are on today as downgrades both writer stocks.

uber goes to neutral from buy, though analysts raise thei price targets $3 to 62 bucks per share. the firm is cutting lift t reduce from neutral saying its growth could be limited due to shrinking market share, and lo profitability compared t peers. this score is firmly i positive territory, after th ev makers said it grew deliveries by over 300% from q three to queue for the company cited strong deman for its ocean suv, in says i will announce a plan to keep the momentum going in january. shares up almost 20% today, bu still down 75% on the year mike >> up 80% to $1.80 pep, thanks so much. we are just getting started. coming up, an incredible retai run, one name surging nearly 300% this year outperforming all of the meg caps including nvidia in triple digit gain will reveal the name and fin out how to play the sector i 2024 from our top analysts. we are live on the new yor stock exchange, you're watchin

closing bell on cnbc [ "i'll be seeing you" by the five satins ] the mercedes-benz holiday love celebration is here. come in now for the exceptional offers you're bound to love, now, through january 2nd. remember in school when you learn complicated math stuff like sine and cosine and you think, "will i ever use this in real life?" well, the answer is "no", but a kettlebell squad. well, that's the opposite of whatever cosine is. knowing the proper way to do a dumbbell row is more useful than knowing the atomic weight of magnesium.

36? maybe. and you'll get a lot more out of cardio than you will knowing who ruled after king tut. queen tut? king tut junior? sounds good to me. the first time you connected your godaddy website and your store was also the first time you realized... well, we can do anything. cheesecake cookies? the chookie! manage all your sales from one place with a partner that always puts you first. (we did it) start today at godaddy.com what we told him is when a

clear stand a and abercrombie fitch handily outperforming it peers, shares up nearly 300% the retailer even managing t be the a.i. darling, in video, with its more than 240% gain abercrombie is having its best annual performance since going public in 1996 it's the best performer and s& 1500 index

when shares were down 34% -- for the year abercrombie up about three billion in market cap, but nvidia, of course, of 80 billion. percentage gain. zola abercrombie just on example of the strength we'v seen in retailer, with the x r t, etf about 20% there can the retail industry is resilient carry forward into 2024 joining me now is bernstein's niche a sherman. to help us discuss that. anita, great to see you. how are you viewing, i guess the current state of the consumer and how it is creating winners and losers in the retail sector? >> it's very bifurcated. this year, we saw the kind o stabilization of the low incom consumers who really suffere last year from the rise of inflation and the rising foo prices, from the rollover of some of the covid benefits this year, we've seen more of stabilization there. what we've seen is the middl income consumers more squeezed and trending down. some of the more value retai

names have benefited from that like the off price names some of the more middle income stocks like department store and vertical brands have suffered so, going into 2024, i think we'll continue this in wit some of the trending down. i continue to like value retail i also continue to lik athletic names in sportswear they seem to be more resilient and more durable than fashio going into the next year >> when you refer to value oriented chains, i guess, ar they the standard names that w might expect is that the walmart an costco's or others? >> i think it's those, i think it's also the off price names. dj max, ross, burlington, five below as been another on that's outperformed. any names that kind of focus o that consumer that's squeeze in the middle, offering them a better value proposition for holiday or for gifting and for general purchase tha what they might find out a department store >> you mentioned athletics just to talk about 90 quickly, it had a really minimal bounce

off of that, i guess, sell off after a pretty disappointing quarter and out. look how deep reviewing th story right now? there's been some questionin about whether the growth engin there is intact. is it just mostly china. what else might be happening >> the sentiment has been so volatile for this. when it went from being crowded short in september to very crowded long into resul in december. really, nothing has changed in the story between december 20t and today. yet, the stock is down 11% you know, the h two guidance was -- is kind of half -- a little bit of an overreactio because it was such a crowde long it was a bad setup into th print. i really like 19 to 24 i think the guidance that they set was prudent. they have good chance of beating it there is more upside and som of the innovation pushes tha some of the investments they'r making into areas like running women's, jordan, and there's more upside in any macro improvement in the u.s. in china.

the upside is asymmetrical a this point and i like nike into the nex year >> you mentioned the macro it's always tough to tease out exactly how much as th environment, how much is i about the company. >> lululemon, i guess on their call, they tried to be dow the. even though they weren't seein a lot of real evidence o current weakness what do you think about that name and how it's positioned >> lululemon is interesting. its core segment is maturing it is slowing down which is the north america women's apparel segment. that's going single digits a this point but lulu has done a great jo putting new things on the. mends is growing accessories are going. china business is growing. things like -- hiking boots they've done a good jo continuing to innovate and finding high growth areas to offset the slowdown in their core business. the mets within a better job a that the nike has. in the recent year, we can see that in a delta in the performance. >> right big picture, if you sort o

draw up -- the foundational elements of a retail trend and say unemployment under 3%, wag growth around 4% it seems like you have the makings of a pretty steady spending environment, but then you have the indebtedness in some areas of consumer havin credit delinquencies go up does this feel like this vigil for a recessionary type outcome? or is it just kind of downshift? >> no, i'm more optimistic i think, especially the lo income consumers, they'r spending has really suffered over the last year and a half. they are more stabilizing, and as inflation continues to come down and wage growth, we see another statutory increase coming in january. it's a real wages continue t be positive for low income consumers. i think we'll see more resilience there in the middle income trade down, we'll see a number covered quarters of. it and then we start - will see more stability ther as well. kind of into the summer into the second part of the year. i think it'll be a story o

more resilience. we're not seeing a big downshift in spending. we're seeing more stabilizatio and slight growth at thi point. >> anita, thanks so much appreciate your perspectiv today. thanks up next, major averages stil in the read that and a little bit o come back from the intron lows today's push the s&p 500 for quest for new high slightl farther away one strategist as histor remains on the side of the bulls. he makes his case after this quick break. a force to be reckon with. no, not you saquon. hm? you! your business bank account with quickbooks money, now earns 5% apy. 5% apy? that's new! yup, that's how you business differently. i think i'm ready for this. heck ya! with e*trade you're ready for anything. marriage. kids. college. kids moving back in after college. ♪ finally we can eat. ♪ you know you make me wanna...♪

and then we looked around and said, wait a minute, this isn't even our stroller! (laughing) you live with your parents, but you own a house in the metaverse? mhm. cool...i don't get it. here's to getting financially ready for anything! and here's to being single and ready to mingle. who's ready to cha-cha?! ♪ yeah, yeah ♪ hi, i'm kim, and i lost 67 pounds on golo. when i go out with people, they expect me to eat like a bird. they are shocked by the amount of food i eat while losing weight. with golo, i don't need a cheat day because i get to eat the foods i like any day of the week. ♪ upbeat music ♪ upbeat music

all right. 60 seconds to draw the perfect gift. what's it gonna be? a bottle of don julio, 1942, delivered. >> a global perspective, and delivered with drizly. gifting without the guessing. drizly.

high profile interviews. scan to watch the nbc's crypto world. followed by node akram stocks are covering a bit, hovering near the flat line fo the day, as we head towards th close on this final trading da of the year. joining me now to discuss what is in store for stocks in th year ahead, is ed clissold chief u.s. trade or just head, good to see you. >> nice to see you too >> so, you know, we have all o these, i guess patterns that w

can seize upon we have a market that look like it's run a long way in short period of time you, know since november 1st on the other hand, we're thinking about a two yea round-trip, what is your wor telling you to expect out of stocks in this environment >> so we looked at periods where you've got a long time without making a record high we're about 500 trading days from that january 22 record. it's actually only about six times previously that we'v gone this long without that. what we did, as we looked at cases when there was at leas one year in between record highs, 14 cases for the s& going back to 28 one year later, actually, th market tended to be up a lot more often that it's not 13 to 14 - with an average gain of 13%. so, it is more of a case michael, of the market startin a new a play in its technica breakout, rather than ou markets tired from having to climb all the way back and you, know it's ready t

start a new fair market. >> it doesn't necessarily trie to treat it as a ceiling being hit. and of course, we've had som growth in earnings, the econom is bigger, we're through the tightening cycle since we have the last record high for the s&p 500 almost two years ago what else is working, either i favor of the market, or agains it with regard to the macr backdrop i know we are just talking earlier about the don't figh the fed, don't fight the tap rules, it seems like they're reasonably encouraging >> i think the biggest is ther so much consternation about th --

>> - alternative to the stock market, and a tenure going from 5% t under three 90 in a shor period of time it's probably gonna pull som people off the sidelines and if the fed cuts next year, you could see some peopl putting money in cash, the putting some of that money int the stock market as well >> and in terms of what the fe might do, and certainly, they've hinted that there will be cons, even if the economy remains okay, and the market maybe is overextrapolation tha even deeper cuts what do we know about how th market tends to behave, either leading up to that - or thereafter. because a lot of folks will say, you don't actually want the fe to be cutting because it has t be >> well, it does depend on why they're cutting. if they're cutting because they're going into recession that it does tend to be pretty --

the market does tend, on average, for about five or six months afterwards. but if there is a soft landing you know, like we had a 95 like we had in 2018, actually, the market tends to do prett well we're actually tracking from the last hike, which probabl was in july. since then, if you look at other soft cases, we have some catching up to do. and they support the case from a pretty strong 2024 to catch up to the average sof landing scenario after that -- >> interested to hear that you still don't necessarily thin small caps are poised to lea in an enduring way here. >> no, actually, would you favor small caps over larg caps >> you do right now, okay. >> we do now i would say michael, one of th things we've been talking about, is the best part of the cycl for small caps is actually coming out of a recession. as the economy -

about large cap. the economic cycle isn't great but because smokehouse o underperform for so long, in a really acted like they were -- we were in a recession there is some room for catch u for a while. we've had a nice catch up th last couple of months with small caps so i think there is maybe some room for small caps to run, bu if you're thinking about a really, you know, multi year run in small caps, maybe it' better coming out of nex recession, then in a mid t late economic cycle period >> that doesn't seem the way the script works, usually. great to see you, we appreciat you coming out today >> thanks for having me, happy new year >> happy new year. >> straight ahead, we're tracking the biggest movers as we head into the close with a standing by - pippa. >> longer the stocks droppin today, but popping this year we'll bring you the names, right after the break.

(sfx: stone wheel crafting) ♪ the biggest ideas inspire new ones. 30 years ago, state street created an etf that inspired the world to invest differently. it still does. what can you do with spy? ♪

when you think of investment risk, do you consider climate risk?

changing weather patterns are impacting the way we live and the value of businesses large and small. this can mean disruption to supply chains, changing demand for products and shifting regulation. what does this mean for your business, your clients, and your investments? ice offers data and markets that can provide critical insight. manage your climate risk with ice. >> -

is back. she sizing up the side of, ahead of quarterly deler xteeiviene wk. some ballots back after this break.

oh no, a rash. maybe it'll go away. awww, how am i going to find a doctor i'll actually like? is that a qr code? dr. stafford makes you feel at ease. thanks rash! you've got more options than you know. book now. all right, sheila, 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.

there's challenges, and i love overcoming challenges. ♪ when better money habits® content first started coming out, it expanded what i could do for special olympics athletes with developmental needs. thousands of bank of america employees like scott spend countless hours volunteering to teach people how to reach their financial goals. it felt good. it felt like i could take on the whole world. >> -

stocks soaring more than 400%. the, name in the details behin the big move, when we pull you inside the markezo t ne

loving this pay bump in our allowance. wonder where mom and dad got the extra money? maybe they won the lottery? maybe they inherited a fortune? maybe buried treasure? maybe it fell off a truck? maybe they heard that xfinity customers can save hundreds when they buy one unlimted line and get one free. now i can buy that electric scooter! i'm starting a private-equity fund that specializes in midcap. you do you. visit xfinitymobile.com today. ♪ opportunity is using data to create a competitive advantage. ♪ it's raising capital to help companies change the world. ♪ opportunity is making the dream of home ownership a reality. ♪ ...and driving the world forward to a greener energy future. [applause] sometimes the only thing standing between you and opportunity is someone who can make the connection. at ice, we connect people to opportunity.

power e*trade's easy-to-use tools, like dynamic charting and risk-reward analysis help make trading feel effortless. and its customizable scans with social sentiment help you find and unlock opportunities in the market. e*trade from morgan stanley. with powerful, easy-to-use tools, power e*trade makes complex trading easier. react to fast-moving markets with dynamic charting and a futures ladder that lets you place, flatten, or reverse orders so you won't miss an opportunity. e*trade from morgan stanley >> market zone, -- tesla as we head into 2024 scott -- here to break down the crucial final moments of the trading

day in and year. but, first we get to k rooney, who has some news on blackrock and it's widely anticipated -- decline etf. >> blackrock just filed -- fs1, for its etf it added to authoriz participants first one -- high frequency trading firm. and then you have jpmorgan, an some of his comments -- which has an authorize participant as well. but that again, this has bee seen in crypto markets, an bitcoin especially as one of the big -- --

>> it's another administrative find that we've gone no clear sense of it gets sandy closer, so that they would've had to figure out before getting just to mark it it seen as a january timeline, based on blackrock - images kathy would arc, as somethin in the works there's a variety of different books going etfs application out there. no sense is if this particular news means it's coming any - they're working on if they're getting something going. -- also seen as a potential - there's been a lot priced into

bitcoin based on thi excitement >> as i've said before, remember when the oil etf cable, the gold etf came, it wasn't quite this level o anticipation maybe a slight under a piece o ironic news -- used to work at -- market maker kate, thank you so much. >> thank you >> we appreciate it >> tassel, and now of cours talk has doubled this year, so no cheers for the performance. but it has basically bee flattened in the fourth quarter, as the rest of the market ha run ahead. maybe concerns about overall levels of ev demand out there. how are you viewing the stop right here as it still sits on about 800 billion dollar marke cap? >> well i mean, this year' been a great year. 1000 percent over the last fiv years --

>> obviously the full self driving, there's a bunch o positives and negatives on that to me that's a longer term story, that ultimately, mayb in five, years they can star monetizing right, now it's about, let's see, a new model, and let' talk about margins >> while tesla is always bee good on promising -- we'll see if that plays out. brynn, thanks so much, we'll see you again soon

scott ran of wells fargo here, as we wrap up this year, we're looking at a 24% gain on the s&p 500. sure it's been a bit top heavy but the rest of the market i starting to participate. is it too much too soon? or can we now trust this is th trend? >> well, i think there's a couple of problems going on, a couple of potential problems going on one is, i think -- >> reporter: - priced in in terms of fed cats we're looking for two, maybe three something like that. also, the consensus estimate o earnings is too high it's about 2:45. we hear 2:50 numbers out there we're up to 20 i think now, inflation is goin to continue to come off. i think the market i overestimating how soon the fe is gonna cut, and how much and i think there are also a little overly excited about th earnings growth for next year.

>> now, 2:45, i mean it sounds aggressive, whatever, it's about 10% gain off of what we're gonna do in 2023 but if you look at where it' anticipated to come from, a lo of it is just big pharma las companies that have massiv breakdowns this year probably not have those next year gain it back, then yo have communication services, which is meta and alphabet, an you have tack, which i microsoft. in other words, it's a lot o stuff that doesn't necessarily seem to rely on the macr economy being wonderful. >> i think those, those bi companies that have good earnings growth, clearly they've had a positive effect, not only just on the earning number, but also on the market as a whole there has been some broade participation, as you mentione a little bit but for us, as we look out a gtp, and i looked yesterday, i looks like the consensus for next year's 1.4, something lik that percent gdp, where a 0.7. i think that's part of it as well the economic growth, the

underlying economic growth i not going to allow - in earnings to the magnitude that the street expects so, as we move into the ne year, certainly has been a great year this year only three of -- have outperformed. and they both performe dramatically we don't think that's going to be the case next year. and you know, if we have a modest, single digit gain, something like that, tha wouldn't necessarily be surprise we have a lot of clients calling, asking if next year's gonna be like this year. and i think that's probably pretty low probability of that >> yeah, i mean clearly, you can't pencil in 20 plus percen every year and many years in a row. although if you ar anticipating for gdp, 0.7% you're basically saying th economy is gonna go toward a stall speed. presumably that would mean tha the said has room to be -- is that not gonna be a support

>> i think here's the thing, i you look at the feds t mandates, and that's basically low unemployment which let's face it, anythin below 5% historically is prett low. and so - but also inflation it's moving in the right direction. so i think it's correct to think that the fed is gonn ease a little bit. but if they're two mandates ar really in line as, is the fact gonna care that much of gdp is 0.7, or 1% that helps keep inflation in check. it's part in keeping inflation in check we don't think the fed is goin to and, in a slow growth environment, where they're two mandates are checked off, bu that's gonna give them a lot o enthusiasm, about cutting rate -- basis points >> no doubt. they wouldn't relish the nee to do that scott, i appreciate it, have a

great new year >> we're finishing out the year s&p 500 - [applause] [inaudible [bell ringing] [applause] [inaudible [bell ringing] >> that's gonna do it fo closing bell >> there you have. and 2023 is in the trading box welcome to closing bell: overtime, i morgan brennan - this is your score card. -- all major indices closing th day slightly lower, but stil higher on the week here is your picture for the year it's a breathtaking one. the nasdaq is the big winner more than 40% on the air that is its best performance i three years. --