payoff over the long-term. there's so many other back there's. lionel messi, his team did not make it to the finals. that was another piece of that equation. thursday night football for amazon, they made that investment in their larger strategy around streaming and they say that has paid off. >> thanks so much and thank you for watching "power lunch." >> the closing bell starts right now with scott walker. >> i'm scott walker here from the new york stock exchange. this make or break our begins with a bull run for stocks. we will watch the market with ed here in a moment. in the meantime, 60 minutes to go in regulation. looks like a new milestone for the s&p today. crosses 4900 for the first time ever. it has peeled back a little bit. why? i will show you what yields have done. they have moved higher as the

day has progressed. bond auction today so yields were moving up. there is the 10 year at 418. stocks like netflix nvidia and microsoft continue to search. microsoft going for $3 trillion in micro cap as a close today. we have to watch it now as it slips a little bit. apple has been in that rare air. that stock as we speak is now read as i look. it is towing the line. keep an eye on apple. modestly negative today. tesla shares have been choppy too. they are negative ahead of overtime. we have a lot to look forward to now. let's euro and on our talk of the tape, they are rally. wondering whether stocks are starting to look too lofty. our next guest perhaps one of them. bullish, no doubt raising some key questions today.

edgar, good to see you in person. >> my pleasure. >> he wrote the other day and it certainly had a lot of people talking and you know it was mentioned many times in this network, exuberant built- up phase may already be underway, you said. expand on that. are you concerned? >> i had bullish outlooks for the market and they still have a target of 5400 for the end of this year and 6000 for the end of next year. the concern is that we will get there too soon. that's what happened to my forecast last year. i thought we would get the 4600 by the end of the year. we got there by july 31st and i had to widdle my thumbs here and say okay, what do we do here? thought it might go sideways. we had a correction. >> a very astute wealth manager with us, cheryl young, so the market is priced for perfection.

howard marks was on the network yesterday and talked about these compounding positives that have led stocks to where they are. the presumption being that they will all fall into place. is that being too presumptuous? >> i don't think it's just a presumption. we saw governor walz over -- waller give a speech titled almost as good as it gets, but how much longer? i think we are looking at the economy and we are very impressed. inflation has come down dramatically. look how much the market has come up from october of last year which i think is roughly whenever one could conclude that the fed was done raising interest rates. then the conversation became about lowering interest rates. imagine what could happen if they actually lower interest rates. that's what i'm concerned about, that it could spark a melt up in the market. >> look what bullard said yesterday. he is retired now but this is a person who is pretty hawkish suggesting we will cat before 2%. not that this is a new thought but it could come as early as

march even as the market started to talk itself out of march and even price that out. >> i don't have a problem as long as i figure out when to get out. that's the problem with melt tops is that they lead to meltdowns. it's not up to me. it's up to the market and the money that's in there. i think they would be making a mistake to lower interest rates. stock market forces, if it keeps going up, it creates a positive wealth effect and it creates the potential for inflation to make a comeback. the middle east is boiling and that could create a 1970s scenario. it seems in the 1970s, the 1990s or in my case, i'm hoping it will be more like the 1920s. except for 1929. >> you are alluding to the roaring 20s. you don't want to have '29 or

2000. >> correct. >> in terms of a melt up that ends very very badly. >> all i can do is just kind of assess the environment. i'm seeing elements that are very reminiscent of what i've lived through the 1990s. >> you think the fed will cut this year at some point, right? >> i've been an optimist usually but i've been in the camp that believes they will not be cutting four or five times at all. i think it is based on the view that the economy will possibly have a recession. i think it will continue to grow. why mess with success? i don't think -- what the fed has done is not just tightening. we are back to interest rates that are normal. it should be left here instead of fooling around with it. they will regret it if they lower it in the market is flying higher. >> we came on the air today and they mentioned these bond auctions and rates have backed

up a bit. are we in a danger zone area of rates continuing to back up even further, which is going to depress things like small caps and value stocks? today it is for certain with the russell 1000 and 3000 negative now. 2000 was positive and now it's in the red. >> now the markets started to broaden out in october of last year as people concluded the fed is done raising rates. we did build and probably a lot of excitement about the fed cutting interest rates. i thought well, maybe not so much. i think what we have here is a situation where the market is focusing on the bond market and the bond market is a concern. >> my next obvious question as well, i don't know, you are kind of concerned about where we are. >> is the speed at which we are going, quite honestly. >> the bulls listen to you and they love what they hear.

this reinforcement that we are all good and the bull market has legs, but what am i supposed to do if i am kind of getting concerned about the speed at which we are going up? what do i do? >> i've never been very good at giving trading advice. >> you said no when to get out here >> if it is a melt up emma we will have no choice but to trade. i do not think now is the time to get out. i think there's still uptight for the market and i do not necessarily think it will lead to a melt up. i'm more concerned about the possibility. the market could go to 5400 by the end of the year and 60,000 -- 6000 by the end of next year. it is like a ridiculous fantasy but it's only 10% away. >> 5100 was your lofty target. excluded was kind of the standard that we got to. a lot of these targets going to 51. seems lofty. now you look at where we are at and it is 4% or 5% higher than where we are now. >> i'm not so lonely anymore.

>> we will see where our cnbc director of physical management has to say. what about the market, where we are and how fast we have gotten here? >> it's definitely gotten here really fast you have to separate the different sectors. if we are talking about different decades. i keep hearing is this 1998? 1999? the reality where this is not 1999 is ctually a few look at take a step back in to your rolling returns, the nasdaq is actually negative for the last two years and the nasdaq 100 over the last two years is up cumulatively about 5%. last year's numbers were gangbusters. if you take us back to median two-year return for the nasdaq is around 25% over a two-year period. i do think there is room to run and it just does not feel like

1999 when you look at those rolling two-year returns. i will say when i look at nvidia at 25%. almost the same. it feels like everyone is trying to bring forward ai in the next year. to me were the market is ignoring right now is the big cap that ask, meta-, amazon and google are spending. the market is rewarding that today because they are building out there infrastructure. i want to know how long is the market going to allow them to spend this without monetizing whereas nvidia is taking all of that right to the bottom line. >> what do we do with this whole ai frenzy? if we look back and try to make parallels to '99, a lot of stocks going up. they had no earnings. they had eyeballs. now we have monetize double

money from nvidia and microsoft. these docs don't go up the way they are going up without being able to monetize ai. this is not some distant look to the end of the rainbow and hope there is a pot of gold. microsoft goes to a 3 trillion market cap today because they are monetizing from and consumer standpoint. they cannot sell these chips fast enough. to give you any comfort? >> absolutely. i'm not comfortable -- uncomfortable here. i am perfectly comfortable. have me on again if the market gets to 5400 by the middle of the year. >> are you comfortable with the valuations of mega cap stocks? >> i am. i think they're quite unique on a global basis. he will not find too many companies of this nature. they kind of feed on each other. nvidia makes money by selling chips to the other mega caps. with regards to the 1999 example, i look at this go back there. remember what cisco did.

from 1997 to 2000, everybody loved it. it was the internet play. now we have a lot of ai plays. i don't think ai is hype. there is maybe way too much excitement about it. i have personally tested some of these programs. have to spend more time proofreading what they wrote then i would have if i just sat down. >> there's got to be a little bit of hype there, to, for every nvidia and microsoft, those are 200 meter yacht, oka ? but those boats don't necessarily lift every other little boat that is out there that has gotten a 30% appreciation in the stocks since the end of october. we need to weed out the winners from the babies. >> the valuation on the mega cap is certainly excessively

high compared to history. if you take them out, you find some values and the rest of the market like financials i think industrials are fine. i still like the small and mid caps. they should outperform. >> the idea that we will have the broadening of small and mid cap stocks and the money we had coming into the market from november 1st until the end of the year. the belief being that this will continue. you have had a move back to quality, back to mega caps. what are we supposed to do with that? >> first of all, it's great. i do disagree on the small cabin. have not bought into the small cap rally since it restarted. small caps are so incredibly cyclical and tied to gdp growth. i think we are in a unique decade and unique environment where we are late stage in some parts but ai is giving us a tailwind. the small-cap value, i still

want to step to the side. i do think rsp, we added that to our port olio late last year, which is equal get right to do well is just too much of a gamble. >> do you want to comment on that? >> i'm optimistic of the outlook for the economy for the rest of the decade we've talked in the past about a lot of analogies with the 1920s particularly technology leading to improvement in the standards of living in the prosperity that resulted. i think that activity is making a comeback. started in 2015, got interrupted by the pandemic. we went from 0.5 annual rate to one point 5% annual rate.

i think we will go to 3% or 4% by the end of the decade that sounds far-fetched, but it is what happened during productivity booms. the gdp, the surprise will be there will be more gdp than anyone anticipated. >> not necessarily a backup further and rates, but a steadiness at this level. 4 1/4 would make the market probably a little bit uncomfortable. does that put more pressure on small and mid caps? >> the move has everybody jittery because nobody is quite sure how high it will go. back to 5%. still that scenario is not that far away if we are not in it already. that's crisis. >> is not the only one talking about that. the cost of funding the deficit and long-term rise yielding as

a result. >> that issue is certainly still a problem. as i said we're not out of the woods with regard to 1970s scenario in the middle east. i don't want to sound like i've covered all the scenarios so nothing can go wrong for me, but i guess what i'm getting at is my base case is 5400 or 6000 by the end of the year. better than expected real gdp growth over the next few years. maybe instead of 2% it is more like 3% or more. >> the important thing will be earnings, obviously. don't have to be a rocket scientist to suggest this will be the driver of stocks outside of whatever fed policy move you make it. how are we feeling about that as we are about to get really heavy in the bigger names and i'm going to ask about one particularly after you answer this question. >> if you look at all 11 sectors, which sector has the

biggest year-over-year growth? general technology. i think syed, mark, and the committing could a mother earnings will be what they are. there will be solid but i feel quite certain that their guidance and vision with what they are doing around ai and monetizing it is just going to continue to feel this narrative in those names because that guidance is going to be strong around ai and the market cannot eat enough of it right now eric >> you are an earnings bowl. you have a big number. >> laster i was at 225. coming in a little bit shy of that maybe 250 this year. 270 and then 300 by 2026. as the market looks at the end of 2025, we could be at 6000 on the s&p 500. >> and read justified the

elevated multiple because of that as rates have come down? economies remain robust? >> the valuation question has been out there forever. of course the chairman made a famous comment, how do we know whether there are rational valuations? they don't have so much to do with interest rates or inflation as with the business cycle that is affected by those. if we are not going to have a recession anytime soon the name still in that camp. i think valuation is in the eyes of the beholder. >> you learn your lesson too late. that's what happened in 2000, right? the phase stocks and things like that. you never learned that valuation was to rich until it blows up and you are like oh, how do i know that? >> continuing to proliferate, look where we are now with that. the same thing with artificial

intelligence. i think we are getting a little bit ahead of ourselves in terms of what it can really deliver in terms of product vividly. i think the market is already discounting the roaring 2020s scenario. started to do that when open ai introduced chat gpt in november 2022. the markets have been going up. i agree. the nasdaq is looking great. it can also look to great. >> we would not be talking about microsoft or $3 trillion in market cap without that open ai thing that happened late last year. speaking of tech, tesla earnings in overtime, you have the stock. this has not traded well after the last three releases. down almost 10% on each occasion. what are your expectations? >> the chart looks terrible to lower highs, lower lows. that's never a good sign. he wants that $200 to hold.

there is decent support there. you want earnings to be going higher. q4 2022, they had $1.19. the expectations were $.72. that needs to start going the other way. to me the most important point is are we going to get mercurial elon or visionary elon? the second part that i am sure will be asked by one of the analyst is he made the commentary of he does not know if he wants to innovate at tesla unless he has more ownership of the stock. that's not going to be worked out in the next few days or weeks. i think that's going to be a headache and a weight on the stock right now. longer term, this year can be one of those transition years. is no better and a veteran no better person with the manufacturing prowess coupled with innovation than elon musk. we just need the sentiment and

earnings in the right directions. >> it will be exciting to watch. great to see you in person here. we will see you soon. let's send it to christina for a look at the biggest names she is watching. >> shares are up about 10% after strong earnings that more than tripled sequentially. what we are seeing from the semiconductor equipment maker is that the 2024 guide was already factored into the stock price. management focused on the 2025 panelists that should drive new ev orders that are expensive and in turn help grow them. amd, advanced micro devices jumped more than 5% in today's trading afternoon research upgraded the stock to buy. a lot of upgrades lately. the best play for data center ai chips especially with their 400 alien dollars market forecast. both amd and snl hit new 52

week highs today. so that five times fast. >> thank you. we are just getting started right here on "closing bell." we are gearing up for the test lot release . gamma knives is standing by with what he will be watching when those numbers hit in overtime. he will join us next after the break. live from the new york stock exchangeyoar, u e watching "closing bell" on cnbc. 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.

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tesla shares lower ahead of their q4 earnings release in overtime. on track for the longest losing streak since 2016 and price

cuts, shrinking margins and slowing demand alongside increased competition joining me now to discuss is dan ives. welcome back. >> great to be here. >> i'm not sure if you're heard a moment ago, a shareholder, big believer in elon and at tesla. she says the morton -- most important things is watching is about elon. not marketshare or this or that but all about elon. >> can't put the issue back in terms of what he talked about with ai. 25% ownership. that definitely causes nervousness out there. i expect him to sort of reiterate that he is committed to tesla, not going anywhere. that is important on the conference call. no doubt the margins, the price cuts i think is front and center. >> are the margins going to be

heard more price cuts? >> we believe coming in that didn't .5% of presidents are done. >> you have told me that like three appearances ago. >> yeah, i know. the problem is as they continue to cut margins, last year it was the right move. this year you have to hold the line. you could have around the edges some price cuts. they need to draw a line in the sand that the vast majority of price cuts are done. you will have a sub $30,000 vehicle over the next 12 to 18 months. that's important. you can't keep giving away the margin advantage. that is the important thing that we believe in this quarter. >> she is in a price ar with the chinese. he is already losing or has lost the lead there. >> this was a record quarter and q4. from a demand perspective, the

poker move has paid off. when it comes to tesla, the focus is 2024, you cannot continue to cut prices. if margins trail off or up to from here, volume is 2.1 or 2.2 million. i think the bottom is in for the stock. >> the new reality is just lower-priced vehicles from tesla going forward, that's the way it's going to be because in an environment of slowing ev uptake, i think it has slowed more than people thought. now he is in this battle in china with the competitors there, that there is no other option. >> i think or this, you seen it come off for ev's globally. what do you want to honor tesla or do you want to on an ev? i believe they continue to on the market, but you really have to hold in terms of what is happening because this is all

in my opinion the reason that we are long-term bullish. just the start of the next phase of that tesla story in terms of autonomous fs he and the rest of the test was very. we are going through tonight. it's a moment of truth. >> again? >> at the moment of truth around margins. i think the frustration has built. >> you use that a lot, moment of truth. maybe investors are getting sick and tired of waiting for this. why has the stock over the last three earnings reports gone down 10 in the occasion? >> then you good conference calls. last conference call we talked about was a disaster. talked about the moment of truth. this is important for the next phase of the tesla growth story. you need adult in the room. i expect must to step up

tonight and i view this as an inflection point rather than the start of a negative cycle. >> you've had to on occasion like anybody else whether it's us in the media or investors or an analyst decide what he says in certain occasions is legitimate. should i take him at face value or is he just thing out there on social media, 25%? what am i supposed to think about that? >> we have talked about it. it is something where it is an issue from an ai perspective. a big heart of the tesla's. right now for investors, you don't want to see musk adding uncertainty on some sort of issue with the board. i think that's why it's a little more talking rather than action. when he talks to investors, he needs to weigh it out in terms of i am here, i am committed. the price cuts was a 2023

story, now 2024, china is strong. if that happens, the stock starts to significantly reverse here. >> the elephant in the room i suppose at this point is the future of twitter. what happens? do you think you will have to sell more shares in tesla? >> i think he will get out side capital to ultimately build x. >> i keep forgetting. you don't think he is done selling tesla stock for debt related issues with x? >> i think for now he is done. if he needs ultimate capital, it would be outside capital. i think the black cloud is in the rearview mirror. >> microsoft we mentioned. over $3 trillion in market cap today for the first time ever. it has slipped a little below that we will watch it here candidate get here? is it all about the chat gpt,

open ai? >> we talked about it on the show for the last year. the open ai, the copilot. really leaving ai. along with the godfather of ai, nvidia. from a monetization perspective, for every hundred thousand dollars spend, this is $35-$40. i could argue that you still have 1 trillion, trillion and a half of value not captured in the microsoft story which is why i think we sit here a year from now and we are only halfway through the monetization. >> let me ask you about apple, too because the stock looked awful. the chart was a mess. here we are on the doorstep of 200 ducks -- box again. some suggestions that he be they sandbagged it and they're going to blow it out of the park this time because they sandbagged it. >> first few weeks of the year. what we have seen with our checks, i think it will be a strong quarter relative to iphone. i think the china demise story

is more of a fictional story. i'm not saying it's champagne and roses but i think better than-expected. the renaissance of growth. and you will see iphone growth, services back to double-digit this is how you get the $250 stock going forward. >> what about regulatory issues, not only with the watch but reports that the doj is looking around. what do we think? >> it's going to be background noise. especially something that's going to be more and more front and center. i don't think for now it's going to impact the stock. bring out investors are focused on renaissance of growth with cupertino next thursday. >> dan ives joining us. next big opportunities in small caps. drilling down on the top reasons that small caps are just getting started. as we do had to break let's get a quick check on shares of not x certain after the strong

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welcome back. small caps again sitting on the rally. lagging today and heading for a negative month. our next guest sees five reasons the group is poised for higher the pair. welcome back. nice to see you. >> thanks for having me. >> it looked like it was going

to be a great trade. now sputtering around a little bit. what are we thinking? >> even though we are starting off with a bad january after the rally, it does not necessarily mean we will have a bad year. there used to be small caps were january was the best month and it was predictive of the year but we have not really seen that. not necessarily a signal of how the year is going to end up anymore and we do think this is going to be the year you want to buy small caps i think a lot of the macro indicators that are most correlated with small caps performance when you think about pmi's, consumer sentiments, small business. a lot of those are turning off troughs. this is an environment where growth is bottoming and picking up. that's an environment for smaller stocks usually attend to outperform larger stocks. i think this is -- go ahead. >> you finish.

my apologies. >> investor sentiment is starting to turn a bit more positively. we have seen some of the mega cap leadership and last year processed with earnings this year. a lot of those growth stocks are the more crowded areas of the market and small caps are an area that even though sentiment is finally starting to turn positive on small caps with let me track with investor flows and surveys, investors are not really all there yet. i think there is still a lot more room to run on positioning and flow relative to the more crowded areas of the market. >> a headwind you have to continue to believe will be yields, though. today is a perfect example. as yields move, small down. >> if we are in a backdrop where fed is cutting rates, which we expect them to start doing in march of this year. looking for these cuts throughout the year, typically

small caps out performing those environments. the biggest risk is if they stay high. you still have small caps with a lot of short-term floating rate debts. refinancing is the biggest risk for small caps with respect to rates. for someone good news is that it seems largely priced into the index when you look at how much multiples for small caps have contracted over the period that rates have gone up, but i do think for some sectors within small caps, real estate, consumer, some others, this is one of the biggest risks to watch. >> it usually comes down to banks whenever you bring up the russell because the regionals are such a large portion of that work in many cases because of the refinancing risk and all of that around commercial real estate. are you concerned about that? >> commercial real estate exposure is still relatively small but certainly a risk we are watching. i think working in tandem with credit conditions, a lot of the

credit signals we are monitoring, it is important. we got more negative on small caps last year with the winter spring after everything happened with the banks. we are seeing and incrementally more optimistic backdrop for banks. i think if an mende picks up, that could be beneficial to some of the bigger parts of small caps. biotech, financials. we've started to see that happen for healthcare. i think some of the biggest parts of small caps look incrementally better than they did last year or the year before. >> we will leave it there. good to see you again. we will see you again soon. next, microsoft's latest milestone. the tech giant doing something for the first time in its 48 year history. we will drill down on it and find out what could be next with that stock when we come back on "closing bell."

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we are watching shares of microsoft very closely after topping $3 trillion in market cap earlier today. we will be penny watching over this finals retched. we are literally pennies away from seeing if we will those at this level. >> it is a huge milestone for microsoft. like you said, the first time hitting 3 trillion. a few days ago, past apple to become the most valuable company in the public market. the reason why is really clear. it is the leader right now. it's unquestionable that it is the one company that has a real product to sell to consumers, to businesses. it's the copilot product. expect a lot of chatter about this next week when microsoft reports earnings on top of that. all of the glow around ai is also adding to the cloud is which they were doing a lot of cost cutting helping their customers spend less, which really damaged the hypergrowth

that they had been experiencing. not only are people buying into microsoft product, the relationship with open ai, anytime people are using open ai indirectly or directly benefits the cloud again. that will be a huge number to watch in addition to any commentary around next week. >> mike seemed totally sitting here, as well. i love your thoughts as you watch what's happening with this over the last 12 months but especially lately with this additional ramp >> everything steve said is true and has been true for some time. an interesting part of the market where it decides to capitalize something in a more aggressive way. good never been the $3 trillion market cap, but it has been based on forward earnings. how the company itself is growing. rolled up other businesses even with the investment in open ai. you can see why it is there.

i still think it will make people uncomfortable that we are talking about these huge numbers. 3 trillion and meadow with a trillium. it's obviously not going to detract from the top heaviness worries but we know why microsoft is there. software really overtaking as the leadership in the tech sector. >> disappointed in terms of where the valuation of the company has been throughout the years. you do have commentary out there now that the mega caps are so expensive now on a forward price earnings ratio. microsoft is one mentioned in the conversation. >> that's exactly right. it does seem expensive. let's charted out a little bit further. beyond the more immediate term of copilot of ai. anything they're planning on the pc side. will be coming this spring. activision. that deal closed last fall.

this earnings report coming up is going to represent activision. i think they said something about $50 million in revenue from the acquisition. and we also know he is not done. he has plans to make this a $500 million per year company. we are not even close to that yet. this is just the very early innings of the plans that they have. like i told you one half time earlier today, he has been laying the groundwork since he started this job a decade ago, which meant putting more emphasis on the cloud, realizing they lost in the mobile world. basically negating the acquisition that his predecessor did and focusing on building the infrastructure needed for this ai moment that they are in now and again building towards the future which in his view will become a $500 million per year company. m onthr earnings set up. ibamg e big names this

hour. we will break that down next.

welcome back. news on forward. the company recalling nearly 1 point four 9 million of its explorer suvs dutoe a trim piece that can fly off the vehicles and potentially be hazardous to other drivers. down about 3% on the day. "closing bell" is coming right back. so you can rise from pain. icy hot.

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we are now in the market zone. mike santilli is here to break down crucial moments of this trading day. plus we looked at two major release earnings and vertime. watching ibm and tesla. we turn to you. bad bond auctions have been a bit of kryptonite for the market at least momentarily. yields crept up today and stocks went down. >> i guess the little bit of grit that the market had a hard time swallowing. we did talk three hours ago starting to look a little bit like a chase. maybe we are looking for something to worry about. that was a handy excuse. all of these landmarks getting hit. $3 trillion on meta-. the snp. 50% in 12 months.

kind of makes it seem as if we have come a long distance. i do ot think it necessarily changes the overall picture. there was certainly a willingness to believe in the old favorites today. even off of a net tax number that had no ripple effect on the other businesses. we will see where it goes, if that was kind of a short-term hiccup. >> we will see what ibm does when they report earnings. >> definitely trying to reposition themselves as a software lead company. this earnings report should shed light on those endeavors. investors are inspecting a bump in consulting business. this could put a cap on software sales. both categories contribute 75% of their total revenues. jpmorgan expect a more favorable foreign exchange environment. ibm hardware. the big question is whether they can hit 10.5 alien in free cash flow for the year. shares with all-time valuation

highs ibm will have to report in line with this quarter and an expansion to the previous 2024 gardens in order to support the stock at these levels and keep the bears at bay. shares are up 23% in just a one year period. >> all right. see you in overtime. >> $.73 per share is what they are expecting that's not going to be the big driver here. automotive margins excluding zero emission vehicle credits. 15.7% is the metric. the number to focus on. one other number. what do they say about delivery guidance for 2024? the expectation is 2.1 million vehicles will be delivered this year. did they give us a number for guidance or did they give us the we are always shooting to increase by 50%. some years we

make it, some years we don't. we will see in a couple of minutes when tesla report the results. >> thank you so much. see you in overtime with those numbers the stock has not traded well. >> the earnings have come down quite a bit. even for this calendar which we will not give out right now. coming down substantially. stock in the same direction. it is hard to call it much of a bellwether of anything except for a certain segment of investors who really do kind of use it as a gauge whether they want to take on more risk or shed it. i don't think we can lead back on the 50% volume growth type of numbers. it's more about what does the market look like right now and how are margins holding up based on how are you are having to price the product. >> we have touched these milestones today. microsoft is over 3 trillion in market cap for the first time. does not look like they will close above that level. goes above 4900 for the first time ever. does not look like we will get

a close above that level. >> this is another one that has been in play for quite some time. can't wait. the bells are ringing. now to morgan and john. >> russell 2000 a little weaker. s&p 500 still at record levels. late earnings. welcome to closing bell overtime. >> communication services, energy and tech sectors fueling what we saw in gains today. the nasdaq 100 also hitting record highs. investors are set for a wave of earnings. tesla, ibm, csx, las vegas sands. just s