>> it now has two catches in the game or two touchdowns. i'm going to but he went to get a third. >> even more, will he complete this past to the touchdown? you can see, what are the odds or what is the chances of this happening? so, there is a lot of engagement around that. >> thank you for watching power lunch. >> closing bell begins right now with scott walker. i'm scott walker live from post nine at the new york stock exchange brick this hour begins with the state of the rally and whether the market is once again too crowded at the very top. ably too much money chasing too few names. whether it is going to have an unhappy ending. we will ask tech investor glenn. in the meantime, your scorecard with 60 minutes to go in regulation and it does look a little bit different than it did a while ago. yes, we are agreed across the board but some of the wind has come out of the averages as the day has progressed. the mat

nasdaq was negative and as easy at the bottom of your screen, barely positive now. there's no debating what tesla is doing today. is having an awful day following its earnings report for that stock no longer one of the so-called magnificent seven because as its market cap continues to shrink, it has dropped out of the top 10. humana, another of the days worst s&p stocks and that after its guidance came in very disappointing today. we are watching yield too following that much better expected gdp report. you see the tenure is that for 13 the we are watching all that. take us to our talk of the take. talk heavy tech. it's time to take some profits in some of the markets biggest winners. let's ask glen . he joins us live. happy new year and it's nice to see you again. >> nice to see you. >> how about that question whether there is simply too much money and too few names in this market, what looked like

broadening out really isn't materializing and we are right back to where we were. what you think? >> i think you have to ask yourself what is driving the market. in our view the most important trend in technology is the move to artificial intelligence and the importance of the gpu, computer infrastructure getting built out over the next 5 to 10 years. that's a really lasting long term push by the big platforms intact and so, there is a lot of opportunity for some of the largest market cap companies. >> the question i guess as people would agree with you, because you are in a lot of these names, nvidia, meta, microsoft, alphabet amd, these are among your top 10 holdings. the key question of course, what multiples you pay for that? how do you respond to those who would say, i agree with everything you said, it's transformational technology but the multiples have gotten too stretched.

>> there are cases where some are stretched when you look at those fundamentals to the growth that these companies are seeing. within the magnificent seven, i would say apple sticks out as a company that whose growth is moderating dramatically and i would say the other would be tesla as we are seeing today in the market. those are two that i think fundamentals have slowed down. the same time, i look at what is happening at microsoft and nvidia and amd and i see faster growth happening. you look at nvidia, it hasn't really been cheaper than this for a long time. there was a lot of skepticism built up by investors worried that, while it can't get any better than this. well, it is getting better. this is the time to invest in these of the companies that are powering the move to ai, which is what all the large platforms want to deliver to their customers.

>> i'm going to get to tesla in a moment because i want to talk to about it, and i mentioned you own it. i want to hone in on this idea of whether it is time to take some profits in some of these names, whether they are overbought. i want you to listen to what josh brown told me earlier today on the halftime report about selling amd. a stock he only got into around halloween, but it has gone crazy since then. he sold it. here's what he said and then i want your take on the other side. >> this is a stock that is up 81%. it hit 78 relative strength index. it is 33% above its 50 day moving average. it is 60% above its 200 day moving average. >> what you do with that? >> specifically on amd, i think you are seeing them move into of pairing were they will take a tremendous amount of market share in the gpu business, specifically at the network level but not for gaming.

that's a big opportunity for the company and i think looking at a stock on what it has done over the past hundred days or 200 days or whatever the timeframe you want to pick is a very limited way of doing stock analysis. if you want to think about the future and where the stock is going to go in the future, you need to look ahead. you need to look ahead to what the future fundamentals are and what you are paying. while amd might look expensive today, they are seeing major growth and i think the company has kept a lid on expectations for the am i 300 chip shipping into customers like microsoft and the other hyperscalers. in the magnificent seven, we have taken profits work we did sell our tesla before the end of the year. we sold our google as well and so we have taken profits in

places we don't own apple and haven't owned it for a while. so, at the same time, i think i still feel great about meta, feel great about microsoft, nvidia, amd. those are a few. people talk about the magnificent seven. maybe it's time, frankly, we move on to something new. and whether that's core four, ai five, whatever you want to call it but microsoft nvidia, amd, tsmc and broad calm would be the key five names in ai so there's your ai five. >> we may take you up on that. we will give you credit. worry if we do. i do want to talk about tesla you just told our viewers that you no longer own it. i believe -- are you out completely? let's make sure i'm with you. >> yes. >> what are we to make today of this dumpster fire around the stock which really it is and

how are we supposed to assess where this company is now and where the stock may go from here? >> we have to have a little perspective. they do make the best selling car in the world in the model why , and it's on a gross margin basis and operating cash flow basis it has been very profitable automaker, which a lot of its competitors, especially traditional oems can't brag about that. so is a company that is still well-positioned for the future. i think the question is, we have seen a slowdown in the overall auto market. that has hit both tvs and traditional ice cars, and so when you see that happen, it's a lot harder when you are coming from a position of having a 50 times pe as opposed to a four or five or six pe for the traditional oem. the opportunity for multiple

compression is really therefore standout company that has been on a tremendous run like tesla has. we are seeing a reset here. i think in the long term, they are still going to be the number one or two, depending on the battle with byd in the future maker of ev's globally. we do believe long-term that the shift to ev's is still occurring and it's occurring on an s-curve trajectory for the overall industry. >> what about alphabet? why did you sell that at the end of last year? >> the cost of them adopting a is significant in the up front. it's not clear to us that the adoption of ai into their search business really enhances the revenue per search in the

near term, and the ability to match ads more efficiently. and so, at this period of time, we just like wanted to have bigger positions in the companies where we see really established business models with high margins and low multiples like nvidia specifically and tsmc. >> palo alto, you are in as well. you mentioned taiwan semite whose own market cap is now elevating high as well. microsoft, $3 trillion in market cap, did you impart as well with parting with alphabe , make the decision that microsoft had essentially won that race? >> i don't know that any race has been won yet. in ai particularly. the race that microsoft has won very clearly over the last 30 years is in productivity applications.

you look at the way the average business uses microsoft and how important it is to them, their email is coming in. they are creating documents whether word, excel, powerpoint and other eckel patients and we look at forward and think ai, every piece of data that comes into your organization is going to go through ai, and that is going to happen at microsoft on their servers as you are using office 365 and to the extent you are sending out information, that will go through ai and it will guide the worker. the knowledge on how to spend their time and what to focus on and the potential value for microsoft is tremendous. i don't think that value has shown up yet in their earnings estimates, and so we think the stock is, while it is not necessarily cheap for the growth , we think the growth in the

coming years is going to be far higher than what people are looking for today. >> let's talk about stocks that are not usually on our radar but are certainly on yours because they are among your top 10 holdings, get lab. gtl be. why do you like it? >> it's been a very important platform for companies building the next generation of applications and so when we are looking at software companies, we want to invest in companies whose buttocks are really critical and necessary and can't be turned off, and if you are a developer of software, whether j frog, these are incredibly pieces of technology for infrastructure and building your core business applications that you are sending to customers and containing. those are the kinds of critical applications that we want the investors. >> you own that j frog company

you just mentioned too, correct? it's frog is the ticker. >> we do. >> let me ask you broadly about your market view, and i want you to react to another sound bite if you would. it's from the very well-known market watcher who is as bullish as anybody. he came on with me the other day and wonders out loud whether there is too much exuberance in that market right now. if we are on the start of something that could get a little dangerous later, listen. >> look how much of that market has come up since october which i think is roughly when everybody concluded that fed was done raising interest rates and then suddenly the conversation became about lowering interest rates imagine what could happen if that actually starts lowering interest rates. that's what i'm concerned abou , that could spark a melt up in the market. >> you share ed's thoughts or no? >> i think we are always

cautious about stocks going up too fast and over representing the current case for their earnings, or for market multiples. i think when we put our macro economic -- we are looking at that. i look at 2024 and i see a marginally improving economy. i see pretty strong government spending that is unlikely to be pulled back in election-year. i feel like things are pretty good and i think the market is responding to that at this point. you have to say, do you want to buy -- load up your portfolio today after a strong end of last year and beginning of this year in certain names? that's for you to decide for the investor to decide for themselves. dollar cost average into opportunities, but when i put on my long-term had in our

sector and i say, what's really happening in technology exceed the investment in ai and infrastructure underneath ai, we are building the bridges, the tunnels, and the railroads for information over the next decade and it's a race. there is a race aspect to it for the big companies that are -- that already have a lot of customers. customers data and capital. they don't want to lose that. they want to provide their customers with solutions, ai solutions. in order to do that, microsoft and google and facebook and oracle, they need spend. you see them spend dramatically on ai infrastructure and you are starting to see real anecdotal information about success with ai investment, whether it be from s.a.p. or service now and i think it

is still early at microsoft but you are going to see real value being added to their customers. >> i'm going to welcome in a couple others in just a second, but just to tie this up, what is your overall exposure looking like so i have an idea of how long you are, where you currently are positioning here in this market? >> i was a we are at the high end of our normal ranges. we do have a hedge fund product that we have the long products. fully invested in the hedge fund products at the higher end of the net exposure category. i think the most important exposure is our exposure to semi's and hyperscalers in the sector. that's where we want to focus our capital. >> let's welcome in joe with burtis investment partners. both cnbc attributes.

staff, i will go to first. i know you listened to the conversation with glen. give me your thoughts of where she is in the market whether you agree. you may not be as overweight in some of these hyperscalers, if you will in ai but he laid out a number of reasons in terms of why he thinks these are the stocks that are going to do best >> we always talk about markets and i think about the discussion about that. you have to be diversified and you know that i am not in the one of the magnificent seven, but i am playing that same themes within technology just with different names that are not as owned. i do own amazon, that was a big purchase. you know i was recently buying broadcom. that was a big purchase but in terms of the other seven, i really own alphabet and i'm subtly underweight. i think there's other ways you could win in technology. with the same theme, as i mentioned, broadcom, certainly is the data center with ai,

networking. and it is cheap. it is not expensive at 24 times given the growth. but i also own other things. we can talk about ibm pick it's really good cash flow. ctw, i'm playing the pc cycle and lamb research, i'm playing that way for equipment to spend and that is increasing and the company raise their for the first time and three quarters. there are places you can be intact but i also like that just given that goldilocks number we saw today in gdp with better growth and lower inflation, that is going to translate into a broadening out of better earnings across different sectors. you know i have been really diversified and spending my time and energy on other parts of the market because i think that's where the value really is. >> glen is in the epicenter of this ai revolution . you are in

many respects, too. what you make of what he said? >> think about where we would be today january of 2024 without the revelation and 2023 of this advancement of innovation from artificial intelligence to generative ai couldn't possibly imagine were capital markets in fact would be i think it's something we need to embrace. i think glen is spot on. you have to think about this innovation with the mind-set of where will we be 3 to 5 years from now? you have to understand that the companies that are spending, they are the world's financially strongest corporation, and that should give you the confidence that innovation is real. it extends the sweet spot of the semi's. we talked about that at length. i agree with stephanie, i think.com is such a fairly valued in an deal way to play the growth of generative ai, but you can also look at cadence design systems, which we don't talk about very much, but think about the software

that is needed to actually develop the semi conductor, and that is in fact what cdn s is doing you have to think about the long-term as it relates to new york times. the market had very powerful breakout that was built upon systematic buying last friday. we went from 4802 903 as i sat here with you yesterday on halftime. very quickly. it appears to me that systematic buying is disappearing. i don't think we can expect that you are going to see that buying present on breakouts anymore. what's critical in the near term for the markets is the by the diff mentality still there? the by the diff mentality to still be in place. >> let's talk cyber because an area that everybody in this conversation is in but me of course the you got palo alto. stuff placed report net. joe has crowd strike. why do you play it the way you do?

>> i don't own palo alto anymore. that sector had a tremendous run last year. crowd strike was up almost 200% and the whole sector was up 80 to 100%. that's one where, that's a sector where we have pulled back from, even though those companies, the leaders are likely to be able to adopt ai and utilize that in their business. that's great. but for now, i prefer to own the core infrastructure names, microsoft, nvidia, and the tsmc and a bongo rather than one of the companies like palo alto that might be able to apply some of that learning. i want to just on those core infrastructure names and ai. >> we are using this word euphoria in the last several days. would you assign the word euphoria to the investment thesis surrounding cybersecurity? i pretty heavily invested there.

scott mentioned crowd strike. i also have palo alto and we have fortnite and etf. i don't know if i would use that word. this is a sector that has been incredibly important. if you do any survey of cios it's in the top three and has been for the last decade. this is not a flash in the pan. this is not a euphoric situation. you have seen over the years the news stories around vulnerability is breaking the company. holding companies hostage over the weekend and having them pay with crypto to free their data so that their businesses don't get interrupted those are all very real threats and risks and companies can't afford to have those situations happen. they are doing everything they can to prevent them from occurring and so i like the

second there. it's just, i like the core semi's better than the application group of network security. >> those are the critical decisions that you all as investors have to make, whether it is josh selling amd. whether it is glen selling palo alto . whether it is you selling meta-. here are a select group of stocks that i guess you all have determined have gone up too much, too fast, but there are many others who are in similar standing. i don't know how you come to the decisions that you do to pick one of those names and decide him a enough is enough. we may be at the point where investors are assessing their own portfolios in their gains and are like, i don't know what to do. >> the hardest thing to do is

selling a stock. it's much easier in my opinion to buy a stock. so, but i think when you have a stock that is up 175, 80%, you have some of these stocks up to hundred percent. you can't be that greedy. it doesn't necessarily mean you have to sell the entire position. but i think you have to right size it. at one point last year, meta was 9% of my portfolio. i'm not comfortable with that. some people are. but i'm not. i think that stock now trades at 27 times forward estimates. that's basically where it traded at its historical average but i was buying it at 13 times. you have seen these multiple the ratings on these stocks and i understand. the adjustable markets are real. but i'm trying to find some lagers or less popular companies . i'm going to stick with something like -- the trillion dollar market and the only have five big players that are going to ultimately be the winners. it was a horrible stock letter.

i'm playing for reversion. have a multiple that to palo alto and it really has lagged again here today. i'm thinking that the trends are going to continue to be powerful. i'm tried to find a lager to the store, a turnaround story. it's differently a show me story but i do think i will make some money and that because i like the market as a whole. >> glen, basecase soft landing, is that where you are at? >> i would say so. re-evaluating the end of the year. we feel strong about the economy and even better about the investment in the semi conductor universe. spoke thank you. we will talk to you soon. >> we have breaking news out of the auto space. scott, take a look at shares of general motors. what are we showing you gm?

remember its subsidiary crews and the accident that happened in early october where a cruise vehicle autonomous driving vehicle without a driver hit a pedestrian in san francisco, ultimately dragging a pedestrian about 20 feet. ultimately, that led to an investigation by regulators in san francisco. they were not happy with the response of the cruise management and executives to their inquiry. so gm has done an outside investigation of what happened? did we get the right information to the regular hitters in california? the outside firm has completed a report saying that the crews officials, executives who were meeting with california regulators , they did not intentionally mislead regulators, but they did not do a good job in terms of being as forthcoming and volunteering what information might help the regulators as they were determining what was happening. bottom line, they have decided

there was no intent to mislead regulators but that could have been done far better. the crews ego was dismissed for another executive was let go. general motors is going to use this report and saying this is not how we intend to do business. they will use this report as they discuss and decide what is the next step in terms of when to return to service with crews autonomous vehicles. that's the store as you take a look at shares of gm. back to you. >> i appreciate that. fill with the latest. we are getting started on closing bell. stomach until reporting results but we will hear from starch up analyst stacy rouse gone with his expectations for the numbers . he says it's a make or break your or that company. live at the new york stock exchange with stacy after this unds incredible. let's check it out. says here plen of light. and this must be the ocean view?

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we are back for a look at the names moving into the close. >> i'm going to start with the world's largest equipment rental company leading the s&p 500 united rentals is up about 13% after upping its 2020 for guidance. management siding broad-based demand. united rentals plans to purchase or repurchase 1.5 billion of common stock this year and up its dividend by 10% a dollar 63 and of course investors love that. right behind united rental in the top gainers club is american airlines. is 2024 profit guidance beat wall street expeditions with the carrier siding strong demand over thanks giving as well as the holiday season. they also sold a big bump in international travel as more americans consider overseas travel. you can see shares of almost

10%. >> we will see what of it. thank you. stomach until reporting earnings sharply underperforming as semites surge this month. our next guest has some key questions for this company that could reveal whether a turnaround is in fact in the cards. let's bring in bernstein senior analyst stacy rasgon. welcome back. you call this a make or break year for this company, so does it begin with a bang or a thud? >> no, i think they are going to miss the guide in q1. i think most people expect them to miss. q4 pcs were not so great and yet you have to remember, they still hold and consolidate mobile light. it had a preannouncement. i had to take millions of hundreds of dollars out of my -- 41. they will miss q1. i don't know that for people -- there is a lot going on with intel this year. i do think it's a make or break. a lot of different events. they will start giving splitting up manufacturing business and the business

separate segment in q1. they have got new data center products coming out especially in the back half with grand rapids but we will see if that starts to reverse share less transparent. we will see if there's anything behind their ai narrative. ai narrative seems to be stronger. the pc trajectory should be better but it's up for debate. they have a lot of cost reductions they are trying to push through. we will see if they can execute on process and foundry. there are a lot going on it's going to be an interesting your. >> the pc thing is still up for debate. i thought we had decided that pcs have bottomed. are you questioning that now? >> they probably have. in year-over-year, they are looking better. they were flushing out inventory in 23, so it should be better year-over-year in 24, but i think and then your term it doesn't look quite as strong. the numbers that came out in q3, they were down a bit sequentially, a little below

season early. on a relative basis and they near, they weren't so great. they get in the second half the people start to look at, i don't know if ai pcs are going to do anything. there is a windows coming up next year that may start to drive demand. we will see how it goes. it should be better this year than last year. >> i'm confused. if you expect a miss, you know this company better than anybody, why is the stock up 50% in three months? >> that's a great question. i don't exactly know what it wanted to 50. i will be honest. i do think that a miss on the guide for q1 is widely anticipated. i think people -- but that could be part of it. clear the deck and if you are positive on these other trends, they have other events happening in q1. they will have a foundry and a bunch of other stuff. maybe people are looking for help. we had the foundry with the omc this morning, they have been talking really good things in

general about the process road map and all of that. they are giving nuggets you can dream about. i look at it, i will be honest, would it upgraded last year. >> somewhat reluctantly. as upgrades go. >> this year, there is a lot going on . they need to execute on it. the stock is 25 six is 26 times earnings. i suspect numbers are going to come down before they start going up. i'm comfortable being on the sidelines with them. >> we will see you soon . don't miss john ford on cnbc interview with pat gelsinger. be a part of that conversation 7:00 eastern time. apple making some key changes to its overseas app store. details and what it could mean for the future of apple services growth just tee break. closing bell is coming right back

apple announcing some major changes to its app store and other services for consumers in europe. steve is here with the details. what is this all about? >> this is some huge changes and anticipated changes coming from apple. this is all in compliance with what is called the digital market the dma for short. that's going into full effect on march 7th in europe and these changes apple is making is basically opening up the iphone for a lot of different things. that includes allowing alternative app stores not operated by apple and it also

means a lowering of fees in its own app store and across the board in general, that 30% fee that we keep talking about, that goes down to 17%. a lot of businesses will also end up paying 10% for smaller apps. there is a lot of actual confusion going on in the app developer community. what is this actually meaning? what bottle -- people need to understand, apple has found a way to continue to collect revenue from their services business despite the fact that they have to kind of tear down this wall garden in some respects and allow different payment processors on their platform, which they wouldn't get as much of a cut from and so forth. they really threaded the needle in order to comply with this dma law and also protect their high services margins. this is just happening in the eu, it's not happening in the united states or other big markets. all those markets at the same time are also considering

similar regulations and of course we have that looming doj antitrust case against apple that plays into all of this. i could impact them as well. >> apple is negative on the day, modestly. we have had some won out of the sails of mega caps. i want to steer you and see if you can give me your insights into these reports about the ftc , that they want to scrutinize a ideals more closely. >> this is the whole idea -- first of all should color fight with the ftc is doing. they are not putting any kind of regulatory impact on any of these companies, but this is looking at microsoft, google, amazon, big investment income is like open ai anthropic in order to render services on their cloud, have a big stake in these ai startups. this is ftc chaired lena con has been talking about this stuff forever. word about nipping these problems in the bud and making sure the incumbents don't necessarily to maintain their

big control over these technologies, but it appears he might be able to do by these big investments they are able to make in these hot startups that are ushering in this next part of ai. its early stages, nothing tangible is going to happen yet, but it is something to watch because it is another example of that heavy-handed ftc looking into just about every tech deal imaginable. >> and others outside of tech, too. that's steve. next we are tracking the biggest movers as we always do heading into the close. investors are not in -- impressed by ai's paypal initiatives. i will explain why after the break.

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about 15 from the close. let's get back to christina for the stocks she is watching. >> humana one of the worst performers shares are down about 11% after the health insurer guided lower than anticipated, many older add-ons

put off procedures are inchoate and are playing catch-up. those higher costs will pressure humana in 2024. you can see united healthcare is down about 5% in sympathy. investors are not impressed by paypal's newly announced ai product, which includes one click check out that should make checkouts 50% faster and new cashback options as well. paypal was downgraded to that because the company has not addressed share loss to apple pay as well as share loss on how to cater to the younger demographics right now. you can see shares are down represents. >> thank you. your earnings, t-mobile among the big names. r will tell you what to watch fowindows numbers a hit the tape. we will take you inside the market on. s with tailored education. get an expanding library filled with new online videos, webcasts, articles, courses, and more - all crafted just for traders.

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we are in the closing bell market zone. mike santilli here to break down these crucial moments. we are watching two earnings releases out. visa and t-mobile. nice little move here. thank you, ibm and goldman and jp m. >> 3 to 1, up versus down stock. it's not all that narrow today. we have a market that got itself price for a very favorable economic backdrop that keeps getting evidence of a very favorable economic --. much of the modest inflation indicators in there, too. it's not enough for anybody to say i'm having to rethink my upbeat view of what the economy can deliver. earnings, very noisy, stuff you can .2 to say, it looks like it is cautious or possibly under promising, but for now, until we get to the real heft of the market cap of the index reporting, we can sort of live with it.

we are overbought and up 20% in the three months but they can stay that way or even get more stretched in the short term. >> mega cap earnings, those are going to be really critical. we have a fed meeting and all that too. in terms of where the money has been flowing, back towards quality, mega cap, that's the test. >> that's how this market protects itself when it has an ounce of uncertainty or clenching up for something. pc inflation does matter because inflation going in the right direction is the thing that is the escape hatch from worrying about the economy getting too strong. we are in a decent spot right now. we will see if it can carry us forward. >> we are watching visa. we know what happened with paypal today but we are still talking payments just from the v. >> this kicks off the credit card cohort in terms of syntactic watch for any commentary around consumer spending and executives have used the word resilience to prior -- we will see if that continues today. this will include holiday shopping season which could bidwell for payment buying and

process transactions. analyst are expected to get u.s. volumes for the first three weeks of january. that could give us a glance into the how current quarter is trending. also watch cross-border volume, that the key higher-margin for visa. it has held up pretty well with travel rebounding. the analyst community has revised their earnings estimate by 10% in the past week or so. expectations are high heading into today's. >> this stock is up 15%. >> is 540 billion market cap. it's not that much smaller than tesla given how tesla has backslid this much. in terms of its valuation, and has been more expensive at times based on earnings and cash flow, but only really during the pandemic read when anything he payment or digital disruption was getting a premium. it's clearly the hurdle is relatively high but if you talk about it being a quality market and people wanting to rely on a

network effect type profitability, that's white visa trades. >> 547 billion, tesla 581. wow, trillion dollar company. >> it was a $1.2 trillion company at one point. markable. >> what are we looking for him and t-mobile? >> after at&t earnings disappointed yesterday and verizon's earnings beat expectations on tuesday, analysts are hoping t-mobile will fall in line with last quarter's earnings beat and guidance raise. analysts are expected revenue to fall 3% from the year ago quarter while earnings are projected to sturridge by 61%, but a key number to watch is postpaid phone net adds. is expected at nearly 900,000 which would make t-mobile the industry leader in that key metric. the mobile carrier is also expected to keep postpaid phone turn below 1%. another key metric there. with this stock up less than 10% analysts are overwhelmingly bullish. 89% have a buy rating on the

stock, 7% have a hold of 4% have a cell. >> i'm looking down and seeing, nice move here into the close. more records falling. doubt is better than 200 to the upside and you have the s&p closing in trying to close at 4900. >> just about. there was a high and low in the s&p 500 entirely inside yesterday's range doesn't mean anything but it can sometimes make as a little bit indecisive. yesterday's and afternoons selloff did not carry through, which i think is in that positive it feels as if people are willing to be aware of upside risk as well when you talk about the big macro numbers and the fact that the tape itself is --. >> rates not up-to-date on the gdp report. mckay cleared the way for stocks to hang in there. it seemed like there was no reason because of what the inflation numbers did within the gdp report for bonds to get worried about the fed changing

its story and 2% core and tomorrow at the december pce inflation but that's the more fresh detailed number of what the feds target is based off of. so far, the rates market has been okay. it is looking like profit- taking after a huge fourth quarter rally in bonds. we have gotten down from 38 on the tenure to for one and it is still in the zone where we have proven, the economy clearly did not have trouble swallowing that brief period of 4 to 5% and 7% mortgage rates. >> cpi was a surprise. we will see what happens you never know, this obviously pce has been trending in the right direction. very fed friendly. >> you have a lot of investor confidence it is going the right way. even if it goes the right way, you may come in one of these day and say, we knew that and we are not going to use it as

an excuse to rally off the ame information multiple times. so far so guard, right around 5000 have to start to say, 20 times really good earnings number and we want to buy -- a lot of green on the screen. s&p 500 closing at a record high for a fifth straight day. that is the scorecard on wall street. the action is just getting started. welcome to closing bell overtime. >> sector was the energy comp services and utility sectors feeling today's rally. consumer discretionary, healthcare, the only sectors in the red. let's get ready for another wild hour of earnings. we will have instant analysis of the numbers from intel,