good morning, everybody. welcome to "squawk box" here on cnbc. we are live from the nasdaq market site in times square. i'm becky quick along with joe kernen and andrew ross sorkin. as dom mentioned, we are looking at futures that are a little bit weaker this morning. this comes after the down day in the markets yesterday. the dow posted the worst performance in the month of may and getting in on the last trading session today. looking down 1%. the dow is closing in on its worst week in about a year. right now, it is down about 2.5%. this morning, the dow futures are indicated off by 11%. by 11 points. nasdaq indicated off 52. the s&p down 8. if yyou check out treasury

yields, the two-year yield sitting at 4.95%. news out from meta platform with new usage data head of the speaking an event by tom allison. the highest number in three years with a quarter of those using facebook marketplace. the watch time for reels grew from the prior year. facebook saying the improvement in the feed came from updates inspired by the gpt architecture with generative a.i. look at shares of meta this morning. $464. off marginally. i don't know if this news, if you will, will move that. >> small percentage. rjs . now to the fallout of the conviction of the president's

hush money trial. we have brian schwartz reporting that trump is unlikely to lose support of mega donors as a result of the verdict. i was picking brian's brain. he is joining us to see it. you can drive a truck with the numbers you gave me last night. the web site went down. the trump web site. >> what a night for donald trump for a variety of reasons. we had the guilty verdict and then, you know, within hours, he starts raising money at a clip. it got to a point where his fund raising web site crashed. the republicans called win red. it crashed with the amount of money, the trump people say, was going to him post the guilty verdict. i'm hearing the estimates around trump world around how much they

raised. people are saying anywhere from 10 to 20 to maybe $50 million post the verdict. that would be an extraordinary amount of money if, in fact, they announce that's the money they raised. this is a tell from the story we ran yesterday of what is going on here with the republican mega donors and business leaders coming into where they are this morning and the views on this verdict. they are not necessarily criticizing trump for the verdict. they are doubling and tripling down in cases. >> from the mega donors? >> yeah. >> it wasn't the mega donors on the web site? >> i spoke to different consultants who spoke with wealthy people across the country. you can go online and give to the various trump committees. we can get into that another day. it is six figures. this person tells me he received this amount of outreach to get

the money on the web site and process that money toward donald trump. that's really remarkable. this is somebody who has been working the circuit for years. >> you saw elon musk and david -- >> they are coming out to endorse him. >> we're hearing and this is all ironic that we ran that story yesterday. we are hearing into the buildup into the guilty verdict that bill ackman was likely to support donald trump. he was leaning toward it. he hadn't made a final decision. we saw it months ago. >> brian, do you know the totals? there was a big gap between what trump had in the bank and what biden had in the bank. >> we ended up and we wrapped up april and trump and the rnc announced they raised north of $70 million in that month alone. biden and the dncannounced combined with political operation, they raised a bit over $50 million.

you know, up until this point, trump has started to slowly surge back into the fund raising game against biden. this is for a variety of reasons why donors are giving more. small dollar donerors and wealt donors. >> the base is spreading so there is more donors or it is the same group of people doubling down? >> i think it is both. people are slowly coming off the sidelines who may not necessarily not be sold on trump in the republican process or post january of 2021. the seam ame people going around now coming back. now there are people who have always been in his camp doubling down and giving more and more and more. in part, reaction to the verdict that took place yesterday. >> betting sites initially

flipped. not that it matters. >> at the same place. >> now they're back to the same place. they flipped and biden was up four or five. it's been trading. it doesn't necessarily mean anything. a measure to gauge the sentiment. >> the polls are all over the place. the snap polls taken last night on some of these things. >> that's right. it's really unclear how this verdict will change anybody's vote, if anyone at all. this is the question mark now for joe biden and the democrats. how far do they go with using this result in court against donald trump? is that really a tactic they want to use? could it back fire? i don't know how many americans are sitting back and caring what took place. i'm sure there are in the key states of michigan and ohio. >> the independent voter or on the fence voter. do they want to vote for somebody who has been convicted?

>> that's the question now. >> that's the question. i imagine there are some people who say i cannot vote for somebody who is convicted. there may be others who may not like the case if they focus on the case. this is the big thing that we were talking about yesterday. i don't think most people understand what the case is. most people have not been following the case. >> con vvicted of what? that's the thing. falsifying -- >> let's not have a debate about whether the legal system in america -- >> that's all the debate is about. are you proud of the case at this point? do you think there's any issues with this case? >> i do not think we should -- look, i have covered a number of cases in court for years. some people have been convicted who shouldn't have been convicted and other whose have. you cannot believe in the system, otherwise you cannot believe this this country. >> okay, andrew. >> i'm just saying it.

the supreme court of the united states, which i know you love, given even who is on it. >> it was a democrat that was elected. he was elected -- if you are going to convict a president and take a former president, it should be a significant issue. you do understand. don't dismiss it. it's not just me. >> first of all, we don't know if it is half the country. do you think he will win the popular vote? call me. when you think about what has happened here, one of the thing have a president who is hanging out with -- hanging out with a porn star, doing much more than hanging out. that we know. >> everybody knows that. we knew that before he was elected. >> everybody didn't know it 100%. now you know it 100%. >> talk about j ffk or bill

clinton. >> he is asking people to lie about it. it is all imperial evidence. it's in the record. >> do you listen -- >> if you watch fox -- >> this is what we've come to in this country now? your political opponent is set up in an 85% trump lost in manhattan. >> this is the country where we have people -- >> you don't see anyone else saying this? this is a banana republican and they can't beat trump fair and square. >> the next case is whether he is rigging an election in georgia. this is a man who is a professional manipulator. i wasn't in court. >> you tell me you are a man of principle. >> i try. >> you feel good about it?

>> i don't know. i'm not sitting here. >> do you think this is the way the court system should be used? >> i believe it appears he did something illegal and it appears he was convicted of doing something illegal. the facts actually seem to bear that out relatively simply, actually. there wasn't much of a debate about the facts. you arie asking a different question. should somebody who is aprosecu >> you know the statute of limitations had run out or jerry rigged some crazy felony. >> i watched a number of cases where prosecutors have done lots of things. >> that doesn't make it right. this should have been a -- the first time in history a president is convicted of something should have been very serious. >> i think that could happen soon. >> it will not happen --

>> and then is that good for america? is that system good for america? >> which part? >> there are serious allegations against this man. if you don't think this is serious, there is a georgia case and the system is so screwed up. >> he's already guilty? >> the system is so screwed up this guy will go off and become the president of the united states and save himself all over again? is that justice? that's not justice either, my friend. >> he is guilty of these other things? >> so he wasn't guilty of what happened yesterday -- what are you talking about? >> i have no idea if he is guilty of these other things. >> we'll find out. >> he is independenocent until proven guilty. >> you already knew he was guilty of the hush money payment. you said he was guilty before and now not guilty. everybody is all over the place.

that's the point. >> is this good or bad for election? >> i have no idea. i'm watching what brian is saying. >> it was a bad day. anybody gloating. >> i'm not gloating. anybody who is sitting around saying this is fine and this is normal. >> i'm not saying it is fine. >> you sat here and defended the man. >> we will see what happens. >> i know what's going to happen. you can just look at me like that. i don't know what's going to happen. >> as a man -- i was expecting this was not a good way to do things. many people on that side of the issue is looking at what happened and heashaking their hs of what this means for the country and justice system. >> if you watch enough of a certain network, that perspective is told over and over and over again. >> which network are you watching? the one where they were screaming in joy? >> i'm saying there are lots of perspectives on it.

>> they convicted him of being donald trump. if you think that's good enough to let joe biden get rid of the main political opponent and that's the way we do elections here, that's no better than -- >> joe biden accused of rigging elections? i have the not heard becky was with stormy daniels. i have heard he has tried to kill articles and he is paying off. i have not heard about those things. >> democrats at large. this is not the way you want it. it will not go well. it will not look good. it's no way to run a justice system. when we come back, a lot more for three more hours. we wellill get you ready for th pce -- we should thank brian for sitting with us. >> always a pleasure. >> as we head to break, a quick check on two big stock movers.

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welcome back to "squawk box." our next guest sees more risk of stagflation and joining us is ian shepardson. good morning to you. stagflation is in our future? that's what we're talking about? >> i am worried about the stag side of the story because i do think the small businesses or bus business surveys are taking a pounding with the slowdown in payrolls. maybe starting next week with the may numbers with june or july or the not too distant future. the numbers we will get for april will probably be okay. a bit of a corrective after the unpleasant surprise from the first quarter. looking forward, my guess is we will see a run of better numbers coming up ahead.

i'm much more worried about growth. >> if that is the case and you are jay powell -- let's go back for a second. your expectation for calendar year 2024, the fed does anything? >> yes, sooner the better. the more the better. the one thing that has been exercising has been the lags with the change in interest rate and the economy. the change in business rate is about two years. the fed started raising interest rates just over two years ago. the last few months, the case is about the sector i followed have just rolled over. it is about time we should start to see the response. of course, it works in the other direction as well.he fed, it needs to start doing it fairly quickly because it takes a long time to work through on the other side as well. i think if they can be a bit more confidence after the

inflation outlook after today and one or two reports that look like today's, they should start moving quickly. i would be surprised if they go before september, but i would not be astonished if they go in july. i want them to get a move on. i want them to cut aggressively. they need to look at the framework over the next 18 months is transformed from 2021 and 2022. they can afford to take a little bit of risk. a little bit. they have been cautious with the transitory debacle which was a disaster for them. now taking the risk too far in the other direction and potentially waiting too long to start cutting. they need a bit of faith of what they have done so far will bring inflation down. >> ian, if they don't cut until after the election, you really think that is going to make that much of a difference? you are right, the transitory usua

issue is something that concerns them. i think they look back to the idea of allowing inflation to come back in as being a huge risk, especially when the jobs market is still so strong. >> absolutely. there's no question at all that the jobs numbers are critical to this story. if i'm wrong about payroll growth and it continues to trend at the 200 mark, they will feel good about waiting longer before they start cutting rates. that is quite fair. the issue is we had hiring indicators from the pmi and the employment components have rolled over in the last few months. now they're at a point where payroll growth is getting close to zero by mid summer. that changes everything. absolutely everything. nothing moves the markets or the media or the fed faster than seeing the payroll numbers suddenly roll over. to remind people in the last couple of business cycles, you go to ignore the covid and gnc

experience, because it was crazy. if you look at 1990 and 2001, payroll went from fine to zero in four or five months. both times. it is really important to look forward and look at the forward-looking indicators than focus on what has happen. what has happened in payroll has been pretty great. absolutely. what is likely to happen in the next few months is likely to be a great deal vehweaker. that's what the fed needs to focus on >> ian, we have had a spirited conversation about the guilty verdict of the former president and spirited con versation of te fed moving in an election year. >> i will not talk about the verdict. september is the which comes bush/cheney the election and the november meeting, announcement is the day after the election.

by then, it is irrelevant. would they change the direction of the policy between now and the election if the data told them to? i think they would. you know, jay powell says every ti time they are not influenced by poli politics. they're human. i'm sure it is in their minds. if the payroll weakens where the market says we misjudged this and the economy is slowing more quickly than we thought, then you need to get going. provided the inflation numbers are going, they can go before the election. >> ian, thank you. i appreciate it. we'll see. >> thanks. coming up, skydance sweetening the deal for par paramount plus and we will have frank luntz with the latest on the elections. that's coming up next.

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skys dance media submitted a sweetened offer for paramount global. it would be favorable to the share hoerlds. holders. an earlier deal was more beneficial to shari redstone than to other stake holders. when when come back, we will talk about the differences about the way people save for re reti retirement. and we will talk about the big moves in the stocks that reported after the bell yesterday. this is an interesting reporting season. big swings to the up and down. punishment if you miss.

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good morning. welcome back to "squawk box" live in nasdaq market site in times square. nasdaq is off 75 points. a new report finds a sharp generational divide in retirement savers who pay managers for their portfolio and those with advice would help reduce the financial stress. sharon epperson is here now with advice and questions to ask when hiring or firing an adviser. >> becky, older adults are likely to hire an adviser than

younger generations. more than a quarter hire somebody to manage their money. yet, only 7% of gen zand 7% ever gen xhave hired an adviser. many say access to an adviser would help lowers this stress. more than one-third are in favor of working with a financial adviser compared to 28% of gen x and one quarter of working boomers. the usissue may be finding the right adviser is difficult with the choices from the robo looking at the algorithm for the cfp or the financial therapy who combines financial coaching and behavior therapy that may impact their relationship with money. for the right fit, it is

important to know what questions to ask. what are the qualifications? are they a fiduciary? d do they put the best interests of the cliechnt ahead? are they paid a flat fee? how will the adviser help you stick to your goals? communication is key and can help build trust. without that trust, it is unlikely the relationship would work. becky. >> what are the warning signs it is time to break up with the financial adviser? >> it is in the quality of the service or advice they are giving and people are saying it say cookie cutter an pppapproac. they don't understand the risk. they are worried about the relationship with the adviser and communication. do they really trust this person? cost of service is also a factor. not necessarily the main one. they want value for what they are paying for and often they may not realize or understand how the adviser is compensated.

>> how much is a good market and you feel good about the financial adviser and when it i >> exactly. many people stay the course. they don't like him or her right now because this is not going well for me in terms of my returns and they get over it. for those who want to break up and they feel they can do better with another plan or another planner, that's the time to think about it. >> sharon, thank you. >> sure. coming up, fallout from the trump guilty verdict. we will talk about the impact on the november election and the market. shares of trump media are sinking in the pre-market right now. and still almost 50. reminder, follow squawk pod on your favorite podcast app and listen anytime. we'll be right back.

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lots of varied reactions to

the trump verdict on x, formerly known as twitter. elon musk said in part, great damage was done today to the public's faith in the american legal system. a former president can be convicted on such a trivial matter and anyone is at risk of a similar fate. below that, he was re-posting something from geiger capital with the individual saying the first felony conviction wasn't for iraq or the afghanistan wars, illegal cia coups or spying on americans, but because of a mischaracterization of an nda. david sacks posted a sham trial for one purpose. brand donald trump as a felon. watch the dems repeat that word.

andrew, what are they not seeing? you think this is a validation of the justice system? do you think the justice system was weaponized? >> i think some people believe it was weaponweaponized. >> i'm not saying some people. do you believe it was wea weaponized? >> i don't know. i think the system worked to the belief. do you think we should have those laws or whether people should be charged with things that you think are trivial or depending who they are is trivial? david sacks has a different perspective. he has been a trump supporter and outspoken. >> how about elon musk? it just seems any reasonable person, it looks like you are using the justice system to hurt -- if you can stop trump by

any means possible since biden is not able to do it on his own, this is the way you do it. that's not how the justice system should work. let's get to dan clifton. partner and head of policy research. a long way off. it will be five years, i think, five months, will feel like. after what we saw yesterday, how does it change? does it change the calculus? >> absolutely. first, we cannot undo what happened yesterday. wrong or right or whatever, it is now part of the campaign and part of the campaign from now. >> felon? >> you will hear felon and convicted felon. >> 34 times. >> if you pull it back, the message for investors is the election has now started. for five months, joe, we have been in a holding period because investors don't know how to price trump's legal issues and if biden is on the nomination. we are getting clarity on both of those in the next couple

weeks. trump will be sentenced on july 11th. the sentencing may be more important than what happened yesterday, especially if he gets a large prison sentence. on top of that, the democrats will likely nominate joe biden to be president before the democratic national convention. you will get clarity on those. that allows investors to take sides. you have a view. andrew has a view. now investors are looking for a view. that's a big change and it means the election is here today and it will move pretty quickly as we get into the summer. i didn't mean to interrupt you, becky. >> that's fine. i didn't mean to interrupt you. what we are focused more on is the first debate. that tops what we are seeing here because you can see the two of them together. there's a possibility that donald trump will say things that will alienate voters and a

chance that joe biden will flub. we will see what happens when these two square off together. >> absolutely. number one, this election is a referendum on joe biden. biden needs to make it a choice between thhim and donald trump. that is why they accelerated the debate to june. if he cannot land a knockout punch or inflation starts to rise more over the summer, this issue will be less and less important for the voters. to your point, becky, this is not the only event in this election. we have a long way to go in the election. not only do we have the first debate, presidents usually lose the first debate in the election, we will have a second debate. you have the pick and convention and another debate. these are big events to determine. democrats will argue most are not paying attention right now. this is where will begin to get

the read. the most important thing to watch with the numbers is biden's approval rating. it's at 40% today. he needs to be 46% to win. if si if you see the approval rating going up, this issue has now helped him. this is unprecedented territory. we won't know until we hear from average american voters and none of us know what the view is going to be. >> democrats are freaking out and many people say they picked june so they have time in case it becomes obvious during the debate that he doesn't have it any more. some people are convinced. i don't know. is there a zero percent chance? >> i don't think it is zero. i think the biden campaign is locking in with a zoom veirtual

nomination. you can always get that. you can get a health scare. the democratic national committee has a lot of flexibility to replace the presidential candidate than the republicans. after the convention, it takes 100 members. committee. >> who will they replace him with? kamala harris. >> that's correct. that sets up the vice president. you can put the governor of pennsylvania, who is a rising star, or the governor of north carolina as vice president. it creates options. you assume joe biden is the candidate. he believes he is the only one who can beat trump. when you watch the state of the union in march, he had a great cup of coffee. he will have energy going into the debate. biden's a big-time player. he cannot beat trump on the day-to-day trench warfare. on the big events, he is competitive. he always exceeds the bar set for him in these debates. that was true of paul ryan in 2012 and donald trump in 2020. don't underestimate what the

president can do once he steps into the arena. >> he is not the same guy he was five years ago. >> we noticed the president being a lot slower in the last 30 days. there could be events that happened. we just convicted the republican nominee for president. this cycle the is so outside the bounds, anything can happen. >> what does that do to the independent voter? meaning, do you think more independent voters in swing states sit around and say to t themselves as joe believes this is an unfair trial and rigging of the system and others say i can't have a convicted or a convict in office in the white house? >> i think what it does is it solidifies the republican party. you see massive unity among the republican party an. something you have not seen

since trump came down the escalator in 2015. some people look at this and say i'm used to the reality show. i want my prices lower and trump had lower inflation. you see that in nevada. you don't see that in all of the states. nevada. sorry. you see it in some states. you see this with some voters. each voter will take this separately. in 2016, you had 76,000 voters separate trump from hillary. you are talking about .04% of the population. you are talking about 100,000 voters. >> what do you think is the community's switch? in 2016, there were a lot of business folks who supported trump. they liked him. they backed him. they want ed to get on his advisory panels and committees. as the presidency went on, they said i have to get away from

this man. this is a bad movie. >> politics relative. >> all of a sudden, they want to be part of the movie. the question is if he becomes president, we will see if they want to be part of the movie. >> biden is the normalcy candidate. you see a lot of issues that have developed over the last year. on a relative basis, i know with trump, i might get stability on geopolitics or a stronger economy. i think it is really important. it is showing you that you are unifying the republican party. that has not been the case in the last few years. >> do you think the narrative that you said two things. the view of geopolitics is more stable and the economy would be better. do you think both of those things are true? meaning that not that i believe

that's true that i believe that. but do you believe that is actually true? >> i think on the geopolitics, i think after the election, you will have a normalization of israel and saudi arabia. trump knocked out isis in the first month of the presidency. the houthis thing in the red sea, that's over. you will see deals beginning to develop on geopolitics. on the inflation story, the biden campaign will make the argument that trump is worse on inflation. high deficits from the tax cuts, politicizing the fed. tariffs, closing down the border. that's what biden needs to do to make this election a choice. when you go back into 2018, trump was raising tariffs every three months and inflation was actually slowing down during that because it is deflationary and not inflationary. it is not the massive --

>> dan, before the pandemic, that is what you saw. you saw the same type of employment. the wage gains and weage declines. you didn't mention the border. you mention geopolitics and inflation. that issue has not gone away at this point. as far as independent voters, i have seen people who said i would have never voted for trump in my life until yesterday. >> correct. most of those leaned center right before. that's the base coming together. it is important to note, joe. >> there are plenty of never trumpers in the center or to the right that might come back. >> i agree. >> i think it is awash. >> the take away is it will be a close election no matter what happens. inflation is the single greatest threat to the biden presidency. that will determine the election

more than the legal cases. >> dan, thank you. >> thank you for having me. coming up, shares of mongodb are plunging. we will show you what the company eoai sd on the call about cutting its full-year guidance. "squawk box" is coming back after this. daughter: hey, dad. dad: hey, sweetheart. daughter: what are you doing? dad: i'm gonna clean the fence. daughter: it's a lot of fence. dad: you wanna help me? dad: aim at the wall, but get closer. daughter: (gasps) what the?! daughter: alright. dad: side to side. when you work with someone who knows a lot and cares even more... you can do this. ...you're unstoppable. (♪♪)

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matching your job description. visit indeed.com/hire this week's retail earnings shook out with winners but also a few losers. aber comeby and dick's beating expectations while kohl's missed on revenue. shares of gap and youulta up. joining us is dana talsi. this is a really weird retail season. you see winners who are up 10, 20, even more percent,

abercrombie & fitch up 20% and losers got punished by equal amounts to the downside. >> it is amazing. the stock reactions of companies going up 20% plus and downside like kohl's, down 25%. all over the place and think about the journey we've been on. december when powell said rates would be cut consumers took off. they're up over 20%, many of the names and had a year-end year over year increase from many consumer names you wouldn't have known from january through november that this is what happened and then all of a sudden inflation, you have the earning -- the interest rates not being cut at the time frame that everyone expected and we had a very cool easter season where you didn't have any uptick so the expectation was that sales were going to be weaker

because q2 is never a big quarter for retail, expense but not sales quarter. all of a sudden some of them come in. what do you see? newness in the product driving increases and exit rate is better than expected so like you said abercrombie, look what they did, you have hollister and birkenstock, very strong and you had some of the losers basically going up against clearance last year impacted kohl's. you take a look at nordstrom, the full line stores are still flat. it's innovation and newness and give the consumer something they don't have because my word for the consumer these days, they're squishy and very discerning about what they will or won't buy, even the middle to upper income consumer. >> we like to make this sound simplistic that lower end consumers aren't spending. i think this is a situation

where you had such a strong consumer it was covering up flaws at some of these companies and now getting a chance to see who are the good operators and made sure they're lean and things that are luring shoppers back into the stores. mary dillon was here from foot locker and said not only did they see numbers improve every month sequentially, january, february, march, they were able to do it while taking down sales so people were coming in regardless then you hear from kohl's, we couldn't sell the clothes or the shoes so seems like there are the haves and have-nots and comes down to operation. >> 100%. you look at the new things dillon is doing and some of the new brands she has it's differentiated for her core male consumer around 18 to 25 and nike will have new product as we head into calendar 2025 which will be a help for everyone. >> how do you figure out where

people should be buying? >> i want to look at the names overall where you are getting some sales growth where they're investing in their store base and loyalty members are increasing. i like ulta. i think it will still be a winner through the year and ralph lauren where they're continuing to see aur increases up nearly 13%. and it's selling through to a wider audience that they've -- more than they've seen in the past. i think of that as encouraging and other names out there that have improved. urban outfitters, even now the division is showing some signs of improvement. i think there is a case to be made for specialty apparel improving more than we've seen in the past because of the fact of what you've said, operations and merchandising. that's driving demand and, yes, you look at what gap did, the gap brand is becoming more relevant, they still have work to do on old navy to improve it but showing increases across the

board, we haven't seen gap do that in years and hoka matters. just after 7:00 a.m. watching "squawk box." i got news out from meta platforms releasing usage data in the last hour saying more young people using it in the u.s. and canada, more than 40 million, ages 128 to 29 are active users, the highest number they've had in three years saying the watch time for relation is growing 80% in the first quarter from the prior year and facebook saying improvement in its product came from updates inspired by the gpt architecture tore generative a.i. becky. >> futures, as we continue we are looking at futures in the red. modestly, dow futures off by 20 points. the s&p futures down by 12 and nasdaq off by close to 75 after

the worst day of the month for the nasdaq, yesterday. let's get right over to dom chu. >> let's start with the tech heavier nasdaq. on the enterprise technology front first, becky, where shares are dell are down 15% or so right now. just around 650,000 shares of trading volume. so this is the tech solutions enterprise hardware, personal computermaker and had better than expected results in the division that outfits data centers. sales rose by 42%. now, its guidance came in above some analysts' expectations but after a more than doubling of the stock over 2024 and 218% gain over the course of the last 12 months, shares are taking a breather so, again, massive move higher over the longer term, 15% on maybe what's perceived to be not as good of an outlook. next up nordstrom is down 7%.

now 5 1/2%. the high-end department store reported a bigger loss than they were expecting and affirmed full year forecast. results at the nordstrom rack product is their off price chain, it outperformed its nameshake flagship outlet so those shares down 5.5% and paramount, shares are up 1%, the company behind its movie studios, cbs, and up on 15,000 shares of volume following a 1% gain yesterday and skydance media has sweetened its takeover deal for paramount and details are scarce in terms of exact terms but reports say there are improved for voting and n nonvoting shareholders and maybe a bigger cash component. it is the studio company run by

ellison so watch it up 1%. >> all right, dom, thank you. check in with you in a little bit. former president trump found guilty on all counts in his hush money trial. megan joins us with more. good morning. >> good morning, joe. so, that's right, former president trump was found guilty on 34 felony charges related to falsifying business records sentenced on july 11th and faces a maximum sentence of up to four years in prison. it came after a day and a half of deliberations and it makes trump the first former president in u.s. history to be convicted of a crime. in remarks outside the courthouse, trump maintained his innocence and signaled that this verdict would not slow his campaign for the presidency. >> this was a rigged disgraceful trial. the real verdict is going to be november 5th by the people, and

they know what happened here and everybody knows what happened here. now, trump's campaign immediately started its fund-raising push and sent its first email for donations within minutes after the verdict was announced and president biden and his campaign made the same push for donations on x saying the only way to keep trump out of the oval office is at the ballot box in november. both will have fund-raisers in silicon valley. as you noted already we're already seeing some of trump's most vocal vc supporters speak out about the verdict. joe. >> yes, seeing a lot of people speaking out all over the place about this verdict, megan, and eagerly await the polls and the ultimate poll in about five months. what a -- what interesting times we live in, megan. thank you. interesting is one word for it. >> yep. coming up a preview of

today's big data point, the preferred gauge on inflation, pc is coming out shortly. we will bring you that number and futures right now though ahead of it, dow jones off about 11 1/2, 12 point, nasdaq down 73 points, the s&p 500 off about 11 points and we'll talk that alan patricof from primetime partners. "squawk box" comes right back.

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expected in the pce price index which will be most important because it will continue some of the improvement we've seen from march or not continue the backsliding but it's not going to be enough to bring about rate cuts from the fed in and of itself. 0.3 versus 0.3 so the year over year on the headline remains unchanged at 2.7 but core coming down 0.2 and tell you there are estimates of 0.26 out there that would wind up to 0.3. core prices seen coming down a tick to 2.7 to 2.8. john williams yesterday took a pretty benign view and thinks inflation will continue its downward decline in coming months. july almost right off in people's minds for not a cut. september, close to not a cut, november/december, again, we keep pushing this down the road, 61 and 82% for december along with inflation, we'll get personal income and spending

actually more interested this those for april and those will be watched for emerging weakness from the consumer. you can see here yesterday's gdp number knocked down. by half a point but remains relatively strong. 2% is good enough and expect downward revisions and we'll see how the quarter gets started with april numbers expected up 0.3 to 0.4 but most forecasters expect the consumer to hang in there with modest growth because we have low unemployment and decent wage gains. here's the question, whether we can layer lower inflation or declining inflation on top of the scenario, andrew, of decent wage gains and decent spending. >> okay. steve, did you hear our friend ian shepherdson earlier? >> i did not. i'm sorry but i read his stuff all the time. i know he expects gathering weakness in the months ahead. >> that was -- yes, that's where he went with our conversation this morning.

i was just sort of curious, you know, how much of a consensus view or outlier that is. >> well, it's been the consensus view for a long time. people have expected the consumer to kind of give it up as the months have gone by but have been surprised, you know, month after month. i think there is a decent case. you had a step down in employment in april. payrolls were weaker. wage gains were weaker, so there could be some -- i would watch the income numbers. everybody keeps looking at sentiment numbers, the thrust of my report yesterday was people say things and be very negative on the economy, but they're doing something quite different, so i would just watch how much money is in peel's pockets. so here's the thing, andrew. economists have gotten to be very good at predicting this pce inflation number because they're good at takinging ppi and cpi and putting it together to figure out what the pce is.

so there have been not big surprises. the number we'll talk about at 8:30 is the income and spending numbers. watch the money and are people employed and have money in their pockets. how consumers spend tell you how the economy goes. >> see you in a little bit. >> okay. when we come back, donald trump is now the first former american president ever to be convicted in a criminal trial but will it impact voters in november? we'll debate that in just a bit. right now as we head to a break, a look at the premarket winners and losers in the s&p 500. right now, ulta beauty leading the way by up by more than 7 1/3%. "squawk box" will be right back. time now for today's aflac trivia question. as a nod to its pennsylvania roots, the label of what product is shaped like a keystone?

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and now the answer to today's aflac trivia question, as a nod to its pennsylvania roots, the label of what product

is shaped like a keystone? the answer, heinz ketchup. >> welcome back to "squawk box." bill ackman reportedly taking pershing square public. ackman is selling a stake and $10.5 10.5 billion and the journal saying ackman looking to capitalize on his performance record and celebrity on social media. it will be interesting to see how his political take now, if, in fact, he is going to be supporting former president trump publicly helps or hurts this offering and his celebrity in that regard. >> funny, suddenly i'm back. i'm back. i love ackman again. same with -- not just because of that. the dei stuff. >> you asked me if i was -- what did i say a man of whatever.

>> principle. >> principle. >> because he's got the right principles. now he has the right -- >> before you thought he was terrible. >> before i thought he was terrible because he was a leading guy then realizes how armful things like -- >> that's not why you didn't like him. >> i didn't like he said we're going to hell and covered all his shorts during the pandemic. >> you didn't like him for a hundred reason. now you like him because he supports the guy you like. that's not a principled position. >> you loved elon musk, first the flame thrower. >> i've always said i'm a big admirer of elon musk. >> until he -- >> no, i still am. >> until twitter and it no longer became a speaking point for the dnc. >> if you have a chance to read peggy noonan's -- >> everybody is too happy with

hating each other. peggy -- >> more -- >> that's half the problem. if you read peggy today she writes one of the most balanced columns of what happened to america as evidence of what happened at this table. such a fabulous piece about how we have to find a way forward and -- >> you're so good at that. >> i think it's wonderful. i reached out to peggy and asked her to come on. i think she's fantastic. the right and left are doing this terribly and everybody looks down at everybody and doesn't listen to what everybody else has to say. >> bingo. >> physician, heal thyself. we have guests on to discuss this. as we head to break, a check on crypto, crypto exchange, with the ceo tom farley will join us

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welcome back.

futures, things are in the red but not by a big amount. this pce number will be coming out in an hour's time and dow futures off nine points. the nasdaq off by 60. when we come back what the verdict in former president trump's hush money trial means for voters and the presidential election. we've got pollster frank luntz along with jeff horewith joining us. we'll have much more after this break. "squawk box" will be right back.

welcome back to "squawk box." donald trump is now the first former american president ever to be convicted in a criminal trial but it's unclear whether it could impact voters in november. according to the latest polling, three-fourths said a guilty verdict would make no difference. any change may not be enough to

alter the trajectory. frank luntz and jeff horwitt join us both. frank. let's start on the polling side and you saw the verdict yesterday. you saw all of us debating this issue all morning. does it have any impact and not just across the country butdo you think it has an impact on the independent-minded voter to the extent there are any left in some of these so-called swing states? >> yes, it does, and they aren't so-called of there's only seven states that really can move in any direction and roughly 4% of those state voters are truly swing voters. we took a look at them last night. you'll be reading about it in "the new york times," and basically they thought the verdict was correct. they do not want donald trump to go to jail. it did give some doubt to these undecided voters about supporting trump. we saw the tiniest bit of

movement, but this is may. the election is in november. it was not significant, even though 34 counts of guilty, even though he was found guilty in every single one of them, the reaction, the voice of them was, should this have even gone to trial? the fact it went to trial was it a fair discussion of all the issues which most of them thought that it was. i don't believe this case will change the outcome. i don't believe this case is going to be significant on the 6th of november. what i do believe is that donald trump raised so much money off of it and i also believe that we're more divided now, more angry now, more polarized now than we have ever been and i don't know how we're going to come back together after election day. >> jeff? >> yeah, we are hours after this verdict. what we do know is that trump is

found guilty on 34 felonies. that is very significant. that's never happened before in the history of this country. so we don't yet know how it will play out. i do agree with frank there are indications that voters in the mid the, those voters up in the air do care about this. now, it's not a matter of most caring. it's a matter of on the margins who cares about it in a move. in our nbc polling in january it was then a hypothetical question. we did ask voters if they found trump was -- trump is found guilty how that would impact them. the ballot, trump lost by four points. that was in that hypothetical. it doesn't have to be that many voters to move, it's at the margins in a very narrow divided country as frank said, that really does make a difference between winning an election and losing and those voters that move more than others are really

critical voting blocs so younger voters, latinos, independents and republicans and these are the same republicans you're seeing in the primary when the primary is over who are still voting against donald trump because of their dissatisfaction and the 34 felonies just reinforces that. >> jeff -- >> hold on, frank. so, jeff, if it happens that way, swings to four points and joe biden is re-elected are you okay with the process of how that occurred? you're okay with how this happened? it's a way for it to be done. >> i'm okay with our system working and someone -- >> okay. >> you know what i'm saying. and there are varying opinions on it. but, so if trump would have won if this didn't happen and doesn't win because this did happen and people -- you see reasonable people disagree that this -- >> there's some people who

believe he didn't win in 20 -- >> this looks like a banana republic and weaponization. this would not have happened to anybody else and only would have happened in new york with alvin bragg, with the judge that was, you know, obviously contributed to joe biden and with 12 people -- >> okay. >> you're going to teach the honor of 12 independent jurors chosen during voir dire by both sides. >> by 85 -- i am -- not the jury. the judge and your d.a. not the jury. >> guys, guys -- >> they had no choice after the judge's instructions. >> guys, we did two focus groups last night. and actually you're going to be bothered by this by both of you are right. the public does believe the

justice department weaponized its ability to get involved in a problem like this. they do believe that our judicial system has been weaponized but also believe that donald trump was guilty so you can have both of those and no one wants him to go to jail. nobody wants him to be punished. they think that -- there are other challenges that are more serious but i want to -- >> such as what? guilty of what? guilty of what? >> that he did something wrong. they believe -- >> okay. well, that's since 2016 he's done something wrong every day according to most democrats. >> you're going to get a chance to read the entire transcript in sunday's "the new york times." i want to emphasize that it's not just an issue, not just an issue of whether someone went to trump or biden because of what happened, this is also an issue of turnout. what i've tried to emphasize is that the opposite of love isn't hate, it's indifference. what you could have among these

undecided voters is simply a decision, i don't like biden's age, i don't like trump's behavior, i don't believe rfk is an alternative so i'm not going to vote. what i believe will be the final outcome here is that these 4% and it's a tiny sliver, but a whole lot of them are going to stay home and so it's going to be whoever drives their turnout ends up winning. >> frank, based on that, though, if it turns off the independent voters and they say, forget it, does this mobilize trump supporters who wouldn't have turned out otherwise? >> you have no idea how mobilized they are. we started because i've been recruiting people for the next set of focus groups which will be tomorrow night. people don't say yes i'll participate if you're a trump voter. they said, hell yes. they say damn yes and they say words that will get you fined on

air. they're angry. that's why more people donated to donald trump in the last 15 hours than at any point in the campaign. so mobilized and energized even so they're not going to defend him because of his behavior, they're going to defend him because of his policies and we need to draw that distinction as pollsters. it is not that they love donald trump and what he does, it's that they love donald trump in his -- in inflation, in immigration, in these various policies that he's advocating. silence. >> jeff, let me ask you this, clearly it's riling up the base for trump to some degree. there's lots of folks giving them money. the question is, does it in any way rile up the other side or no? >> so, i think this is really

important and i think it speaks to what joe was talking about and what's so concerning about where we are and what turned so many voters off about donald trump, his behavior when he doesn't get what he wants, and this is what we're seeing. a pattern. i know this is cnbc and we're full of legal disclaimers about past performance and so on but when it comes to trump's behavior past performance is totally indicative of future results and we're seeing that in the last hours. this is what he does every time he loses. and what is so alarming and what turned so many voters off when his potential for our democracy, this is what happened when obama was president, he didn't like that result and spread the b birtherism lie. in 00 when he lost he refused to accept he defeated and encouraged those to storm the capitol and promised to pardon them and where we have 12 americans who took seven weeks out of their lives to review evidence to hear a case and they

decided on the facts and, unfortunately, for donald trump they decided against him and instead of accepting that reality, here we are where he and supporters are attacking the process which is our democracy. >> hey, jeff, can you explain this? we've seen a number of very prominent business executives decide to back president trump, former president trump prior to this conviction in the past week or two, some of whom had already moved away from him and are now moving back, some of whom were never with him like bill ackman who have moved towards him. what do you make of that? >> everyone has their personal decisions they need to make. some is driven by what they think a trump administration could mean for their finances, and these are obviously extremely wealthy people with lots of interest with the federal government and, you know, i think they're making calculations based upon that.

>> can i throw this in? >> please. >> if you choose between inflation and this trial, they'll say inflation is more important. if you ask these swing voters, what's more important, immigration or this trial, they'll say immigration. if you ask voters who care about abortion what's more important, abortion or this trial, they will choose abortion. in the end, this trial, not the others, but this trial was the least important and so it's going to have the least impact in the end. voters will vote for the individual who will have an impact on their quality of life even more than whether they like them and whether they feel comfortable with them. and the only way that that's going to change is if one of these other cases comes to trial. >> i mean, jeff, back to the point i was making that if this does swing the election for joe biden, "the journal" makes the

point and you don't have to be a frothing at the mouth crazy right winger to worry this is a bad precedent for elections in the future where the way you try to win has to do with ginning up and that -- you cannot deny to some extent that's what happened. cy vance didn't bring this case. the statute of limitations on the falsifying a document in an nda, that's two years. i mean, this crazy, you know, four, four, four, we'll find another felony. it just wreaks and if this is what swings the election one way or another, no one will ever think it's fair. i just think it's a really bad -- you have to at least acknowledge this could be a -- there's a stench and it's a bad precedent for the country. >> look, donald trump was entitled to his day in court. he had his day in court. if you or i were falsifying business records --

>> it would never happen to even one of us. alvin bragg planned on -- i will get trump and then -- this is an 8-year-old case that wasn't pursued by other d.a.s. >> okay, if we -- if we were charged with these, if we did these things we would have our day in court like donald trump did and we would have a jury of our peers and that's what happened. i think it's dangerous to say only in new york or only in alabama. this is america. this is our country. we have a rule of law. this case happened to be in new york. and there were 12 jurors who heard the case, took seven weeks and found trump guilty on all 34 charges. >> any d.a., any prosecutor in any city or locality in the entire country to go after a political -- a federal, political opponent and this -- now he is a convicted felon. i mean, it's -- there are people that find it's very troubling.

>> but, joe, people are watching this right now, important people, financialally powerful people, and what they see is a country more guided, more polarized. >> it was a bad day for everybody, well, not for everybody, actually not for everybody. there's some -- >> things are more divided than ever before. it's not just about the election. it's also about the next generation. i don't think that pollsters should get involved in the commentary over whether we think something is right or wrong. it's our job to present the facts of voter opinion and how this will have an impact. and the truth is, we only know some of it because it's only been out there for 12 hours. but in the end these other issues have outranked this trial all the way through the trial. i believe it's going to be the same and on election day hold me accountable but do not believe this decision will be one of the

top three in having an impact on how voters choose who they want for president. >> okay, frank, we got to run. guess what, we'll get to have it every day from now until november. i'm sure we'll talk to you guys about it a lot between now and then. thank you. oh, goody. >> can i get you a bloody mary. >> i was going to say a donut. >> sugar. we don't need you on that. when we come back another hiccup in plans to roll out a new ev. this time for as ston martin. is silicon valley turning away from the democratic party? alan patricof will give us his outlook on all things tech. "squawk box" will be right back.

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aston martin's ceo says wealthy sports car owners don't want evs. at least not yet. >> you don't want an ev 911. >> i have what i want. >> delaying plans for an ev due to a lack of customer demand. they had planned to launch its first ev next year but their executive chairman said it's postponed till 2026. >> we don't want to swim upstream. our consumer, at least the aston martin customer is telling us, look, we're not ready for an electric vehicle, at least not from us. >> in fact, the maker of james bond's favorite ride is doubling down on more powerful engines. it's about to launch a new v12 later this year with over 800 horsepower. it also launched its new suv with a turbocharged and stroast

growth of the sport in the u.s. has pushed the average buyer from 55 to 42. so if you look at lamborghini they're saying 2028 at the earliest for an ev. maclaren has no plans and bugatti is coming out with a 16 cylinder hybrid as its next car so the wealthy people that love the roar of the engines, the feel, the thunder, you know, no surprise but what is surprising these companies had plans for it next year and beyond and saying not so fast.

>> it's weird because evs, you're not giving up anything -- they're actually faster, aren't they? 0 to 60. >> >> you drive fast for like 10 minutes. can you imagine james bond having to recharge in the middle of a james bond -- >> the sound of the vibration and, by the way, not a group that is all concerned about their own personal issues affecting climate. most of them have private jets too. >> right are you saying the wealthy don't care about climate >> son-in-law have put in audio for this and -- >> this will be what's interesting. because ferrari is still planning on coming out with an ev at the end of next year and hinted the ferrari experience all about tht engine is going to be in some way replicated in this new ev, so that will be interesting. >> it was an ev and they put in a whole audio system to make you hear it. >> that is embarrassing. is it not?

is it not -- >> they'll have to have the car shake a little bit to give you the feeling -- >> how do you create that vibration. >> it's also hard because when you're going fast those signals, the sound and vibration are what makes you know you're going fast with an ev you get to go really fast and not realize it because all you hear is the wind so, yeah, it's the experience people are buying when they're paying, you know, 300,000 for a car. >> the future is going to be about cars that make no sound but you pipe in the fake sound to make you -- >> you know what this does right here, joe, my camera every time i click on this makes the -- >> the click sound. >> it's a real click. >> no. >> there's no sound in that? >> i do hear that. i never thought -- i thought that's what it took to take -- [ laughter ] that's fake? >> yes >> i don't want -- >> i don't want people faking things

huh? yeah, my whole life maybe. i don't know you never know, thanks, robert let's get out of here. >> yes, let's. when we come back are silicon valley's most prominent investors turning away from president biden? primetime founder alan patricof joining us to talk about thatened a the tech. later much more on former president trump's hush money verdict. axios co-founder mike allen will join us. "squawk box" will be right back. with tailored education. get an expanding library filled with new online videos, webcasts, articles, courses, and more - all crafted just for traders. and with guided learning paths stacked with content curated to fit your unique goals, you can spend less time searching and more time learning. trade brilliantly with schwab. something amazing is happening here.

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welcome back, everybody. silicon valley is starting to align on different sides of the political aisle as the election draws closer our next guest is a long-time tech investor who donated to president biden's campaign in 2020 joining us right now is alan patricof veteran venture capital youist partner of primetime partners. this and rest of the america sitting up taking sides on this too. there have been some who posited silicon valley is not nearly as democratic as it was, say, four, eight years ago. is that the sense you get? >> well, i read what you have read, and frankly, it discourages me it's basically people are so

focused at their pocketbook and self-interest and not really thinking about, you know, the -- the democracy. the total country, and it's totally related to self-interest. i mean, they're worried about the fact that the biden -- trump tax cuts will not be renewed they're worried about competition and lina khan and being tough on antitrust, and those are issues that are really in the best interests of what's coming we haven't had an antitrust law since, was it the clayton act and sherman act and maybe you know, robinson act but haven't had new antitrust legislation and we now have people looking at whether competition, you should stimulate competition there are issues that i think are totally related to self-interests that are affecting silicon valley. >> you've got all kinds of republican friends

i know that you're not saying that every one of them is just thinking about self-interest it is reasonable that certain people can think that reagan-type policies lift the entire ship, and that low taxes, less regulation brings more prosperity, and it's jnot just - my view, democratic policies end up hurting the people they're designed to help and democrats never want to talk about that, and connect the dots, and i think that the people that are -- you're trying to help get hit with inflation i just think that's really a -- a cynical view of all of these people that you know that all their thinking about is their after-tax -- >> i'm sorry joe, i don't want to seen a total alltrueist i see a huge american flag across the street in the window. huge i'm concerned.

i'm concerned about what donald trump stands for i mean, i think he stands for issues that concern me and concern my children and grandchildren, and i worry about it and i worry about the decision that took place yesterday. i mean, 12 people who i don't know voted on 100% consistent basis to bring action against the ex-president of the united states that's pretty significant. >> plenty of americans that, look what's happening on the southern border and think that america's going down the tubes and look at the crime issue and look at what's happening in a myriad of issues inflation and debt and everything else, alan. so that doesn't give you monopoly on -- the american flag and what we think about the flag. >> we need several million more workers in this country that help solve our deficit and -- >> you don't need to do that through illegal immigration. >> well, joe biden -- listen, i'm not a proponent specifically of joe biden just looking at issues and the

different people my area is focused right now on older people and i'm concerned with, you know, what's going to happen to them social security. medicare, issues like that i think under the biden administration, it's going to be much more concerned about those issues than there are under trump. i mean, you know, we're not here to discuss specific politics but i think that the biden -- biden has the interest in the general population more so than trump does and that's what concerns me. >> why don't we talk a little abouta.i.? because we had a venture capitalist here earlier this week who suggested that all of these a.i. plays are overvalued. he hasn't invested in any of them directly, and that he thinks that this is going to be very cyclical, like you saw maybe back with the dotcom era, and like you've seen in other innovations in the past? >> i don't know who you had on but i agree with him 100%.

i'd say 110% we have enormous flood of money going into the a.i. area i saw something, a number something like $250 million just in the last year and i think it's -- it's happened before, and every time we have seen it happen, whether it's, thinking most recently crypto, we have excesses and at the end some people get hurt i'm sure some people will make a lot of money out of it, but when you see companies, you know, coming out of the gate raising money at $ 00 billion valuation or as we saw just a few days ago, elon musk raising $6 billion at an $18 billion valuation, people want to get on the bandwagon and afraid they're missing out. i mean, this is a, fomo is, as you know, fear of missing out, is prevalent today in the a.i.

area every company, young company, has decided that they add a.i. to their name they have a better chance of raising money. i'm interested in a.i. from the standpointlications it has for companies we've invested in and absolutely going to have an enormous impact on productivity in so many different areas. whether it's education or whether it's technology or whether it's biotech, but in our area, we're seeing it in companies that are servicing, we have two companies, for example. a company called -- on the west coast and isaac on the east coast using a.i. in their technology to try to predict people and in one case, depression through remote telecom and the other one to discern possible decline in dementia, and be predictive. i think that's a great use of

a.i. and i think we can see lots of other -- another one called carta, which does that in terms of heart disease and how to prevent or how to slow it down those applications are all over the place, and i think that's going to be the major beneficiary of a.i. >> venture capitalist on earlier was mitchell green from lead edge his point was, you will see nvidia making a lot of money potentially some of the big cloud companies that are using their cloud computing to help with this. do you have any direct a.i. investments? >> no. we don't take any, but we're all focused on prime time partners focused on investing in product services and technologies that are going to help older people live longer and live healthier and that's a very worthy objective, and a.i. is certainly going to be a tool that we're going to use, but i think lots of industries are going to use it, and -- but directly to

platform. >> yeah. >> it would involve funds that are probably ten times the size of the funds we have, but our companies will benefit from it. >> how quickly is this is this a "now" or a "down the road"? >> right as we're sitting here. i mean, every company is looking at how they can introduce work, machine learning, more a.i. tech tools in order to accelerate what they're doing, and shorten time cycles and -- reduce people -- i was talking to one of our companies recently. a company called corecom, which does analysis of coding for senior living providers, and how to reduce their receivables from 60 days down to 20 days by faster processing and reconciling the coding so that they don't get stuck and

have a 60-day receivable they can have a 20-day receivable that's a direct application. and in the process obviously they're going to probably, customers will reduce their number of employees that have been sitting doing this implications. >> thank you for coming in today. alan patricof. >> thank you for having me. >> thank you. it is just amp 8:00 a.m. on the east coast and you are watching "squawk box" right here on cnbc. i'm becky quick along with joe kernen and andrew ross sorkin. among today's top stories -- facebook releasing new users data saying that more than 40 million young adults from the ages of 18 to 29 in the u.s. and canada are daily active users. that's the highest level in three years. meta also says that watch time for facebook reels grew over 80% in the first quarter from the prior year. skydance media submitted a sweetened offer for merger with

paramount global according to a "wall street journal report" saying the offer would be more favorable to voting and non-voting shareholders. we are counting down to a key economicreport the personal consumption expenditures data for april will be released. coming up in less than half an hour from now. 8:30 eastern time. pce considered gauge for inflation and why the market is waiting. andrew >> okay. take a look at futures now we've got, oh. moved up about ten points. see where that lands later nasdaq down 33 points. s&p 500 off 3 points treasurys at this moment show you where things stand. ten year and two year. ten year note sitting just at about 4.554. two year at 4.941. just a hair under 5. straight to dom chu with a look at this morning's pre-market movers dom? >> good morning, andrew, becky and joe. this installment focused on consumer trade

big box retail costco shares down 2% now 5,000 or so shares prooep market trading vog you'll off extended hours lows by the way. membership warehouse reporting better than expected quarterly profits and revenues by better foot traffic in stores and 21% jump in ecommerce sales. thanks in part to online sales of gold and silver bouillon and different cards. 2% pullback not out of the realm of reason. ulta beauty. personal product care products up 7 or 8% thinner volume so far. big reversal from down extended trading. posted better than expected profits and the revenues but cut its full year profit revenue and same-store sales growth guidance shares heading into that printed lost about a third of value since recent highs seen in mid-march. keep an eye on ulta beauty shares, and end with a stock surge right now.

coming via shares of gap roughly higher 23% apparel retail behind its namesake stores, old navy, banana republic and athleta reporting better than expected earnings on a top line revenue beat as well raising full year outlook for revenues and operating margins gap helped by sales growth at established store locations. same-store sales growth at all four major brand lines joe, gap, talk of the pre-market 23% for that retailer. send things back to you, guys. >> dom, that. coming up, the latest prospects for crypto currencies. former president of the nyse now president of crypto exchange bullish. tom farley joins us from the consensus conference that's next. "squawk box" coming right back.

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box. our next guest joins us from a crypto block chain in a

conference later today, here is tom farley ceo of the company that owns this and president of the new york stock exchange, a long-time guest op "squawk." hostses as well. tom, nice to see you, sir. >> nice to see you i've missed you all. woke up a little late. flipped on cnbc and you and joe were fighting and knew i was in the right place. it's a hot set up there. >> so welcome to the show. help us understand what kind of fighting or not is happening down in austin, and what the conversation is? i would have thought crypto but i imagine this morning it might be crypto with a twist of, a twist of guilty? >> there's so much going on. so i'm don here at the consensus conference with 15,000, 20,000 people on our way to a normal conference and the month of may, nuts

a decade of policy in the digital asset space transpired in the month of may, and then i was with rfk jr. yesterday when that news came out and it was surreal standing-room only to hear what he had to say. backstage with him you could tell he wasn't really all that excited to talk about it his comments, you've seen summary of his comments, but his kind of view was, who cares? this isn't an important issue for the american public, and feels like just a -- a continuation of the culture war, let's move past it yeah listen, a nutty day yesterday. >> tom, how much do you think that crypto has -- crypto oddly enough feels like it's become politicized? the guests you just mentioned come out in favor of crypto. said if you vote for me i'm going to be, you know, a proponent of crypto. recently started to hear a similar kind of argument from former president trump i don't know where the

democrats -- i don't think democrats have vociferous about it but a bunch of frankly democrats in crypto who are somewhat prominent people in the business so it's very hard to try to understand how you think politics and crypto relate obviously regulation is in the middle of that. >> i could not have predicted this, andrew rime not sure there's a more politicized issue in american than digital assets. go through back month of may may 8th, administration says we'll vito a bipartisan bill, de9:00, working through congress sees it may 11th trump says a place for crypto in my administration. 89, 90 million that own crypto, seems reasonable democratic party realizes, geez, maybe on the wrong side of politics then say we won't veto and additional bill working through the house ultimately passes the house president trump doubles down

not only a home for crypto i want to support it, develop it here in america. because i want to support interesting new technologies in this country then the administration looks a the it says, we have to do something. the ethereum etf gets approved also in may. if you're keeping score at home, i know it's a dizzying amount of development, many years ago, not a security the last couple of years treating it as a security. last week by approving this etf definitively saying once and for all, not a security. you basically have both parties realizes you have a large electorate mostly male, many non-white disproportionately non-white interested in digital assets, interested in seeing it develop. so both parties are saying, what can we do to be helpful? all certainly started with may 11th at mar-a-lago president trump saying, hey, there's a place here in my administration. >> tom, a different question

i heard the figure that you mentioned, bandied about a lot it's never made sense to me. maybe you can make more sense of it maybe you know the pr-- americas who own crypto think about it there are only about 200 million americans over the age of, i believe, 18 years old in this country. which would mean physically half of them including people much, much older, if you think about the curve, in terms of retirees, that they all own crypto i asked taxi drivers quite regularly, just people on the street whether they own crypto i tell you, it is not typically half of them say they only crypto at all. i never understood where that figure comes from? well, first of all, the estimates are all over the map i've seien 70, 83, people put their names to it.

entire buildup exactly what it is andrew, if it's wrong by 5x, shouldn't we support a great, new technology in this country especially because it's a very motivated group of people who care deeply about digital assets, but just punch in to your, you know, your google machine right there, andrew. you'll see a number that comes up broadly putting the number between 70 and 95 million. in terms of -- >> no. i've seen the studies. by the way, i do -- >> asking me to -- measure the brassiness, and looking at them all, weigh ones with a high number, low number and gave an estimate here on-air without having a big note set at the bottom of my comment. >> right what is your sense we do debate reit, an approved security soon in september etf and the like how do you handicap that situation? obviously the last time we went down this road it required a

lawsuit for the s.e.c. to capitulate co coul do you think they're capitulate on its own this time >> yes. >> one-word answer okay why? >> just, in my mind no ambiguity. it's going to be approved. going to be approved soon. generally very well-received all the signals are there. honestly, i'm handicapping it at 99-1 >> okay. tom farley, good to see you. wish you lots of luck. congratulations on the event and look forward to all the news coming out of it thank you. >> good to see you thanks, andrew. when we come back, former president trump found guilty in his hush money trial we're going to talk to axio co-founder mike allen about the potential impacten 0 the campaign trail, fundraising and the outlook of the country "squawk box" will be right back.

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let's get back to the big news this morning. former president donald trump found guilty on all 34 felony counts in his hush money trial joining us mike allen. co-founder of axios. mike, it's soon to tiery to fige how this will impact the election but you see a real sense of change in the mood of the nation and the fabric of politics in this nation. do you want to explain >> no question, becky. two things first at the top of the show you said, reported, that mega donors weren't going to leave trump i can go further than that becky, based on my conversations this morning, i can tell you the

campaign expects more maga donors to come to trump. from the trump campaign, everything we're hearing last night, this morning, defiance. don jr. is angry, but most of the people around the president are defiant. that's what i would look for when he talks this morning at trump tower at 11:00 a.m from the biden campaign, what we're hearing is, we can't depend on this they know that over many, many years now president trump, former president trump, has been impervious to developments that would kill any other politician, and so, becky, what the biden campaign is saying, we can't depend on this to move even swing voters during the -- biden is continuing to focus on what trump would do as president. what the stakes are for 2025 not yesterday in a manhattan

courtroom. >> your column this morning head lined "the right plots revenge." what does this mean in terms of -- of how politics have potentially changed with this? >> becky, it's a warning no way to sugar coat it. you look at what both sides are saying, and from the republicans, there's no -- the people have spoken the people of new york have spoken the jury ma has spoken none of that it's rigged, jammed he's being hunted and they're going to play that up, because they think it helps them with voters, and donors, and that does nothing to bring down the temperature to the contrary, becky we have reporting from axios capitol hill team. we have members in both parties telling axios they're concerned about political violence and we heard this in the days after the january 6th attack on

the capitol. you've heard it pop up with different legal developments with trump, but it's back. and, becky, you, andrew, joe, you're behind the scenes conversations with officials who have worked with and in u.s. intelligence you're hearing it, too it's one of their biggest concerns about national security it is how the country is going to handle the disruptive months ahead. people always ask about the october surprise becky, i would look for a june surprise a july surprise. august surprise. we have nothing but disruption ahead. >> you said that the defiance and that there's no -- acceptance that the people are new york have spoken, or something. do you not think, and that they're going to use that. do you not think there is some validity to that argument? that you had alvin bragg, who ran on getting donald trump, he's a democrat, only in new

york you've had the jury selection from a county where trump lost by 85 percentage points. you don't think there's anything to that? i'm worried this sets a -- read the "wall street journal." they're not total loons. i know it's rupert murdoch, blah, blah, blah you read the editorial there you don't think a reasonable person to say this sets a bad precedent to knock out your political opponent using the justice system >> for sure legal experts will tell you that the four cases, like this was the least convincing, which given the swiftness of this verdict doesn't bode very well for the trump legal team on some of these other cases. but, yeah. what you just said that's a pretty good forward of what we'll hear our trump tower today. a preview what we'll hear between now and july 11th when former president trump is sentenced and why becky talks at the top about the fabric of the

country. but that's the concern that during these weeks, months, like, the debate at a time when the country has outside threats, threats from inside. not talk about the future. about what's been done in these cases. >> not just hearing it out of trump tower. you're hearing it from -- i read in an elon musk quote, reasonable people that are horrified about how this happened. >> and unreasonable person in the world recently. >> hasn't been recent. mike i don't see -- talking to mike and you're talking about how i feel about elon musk mike, can you -- do you see what i'm saying it's not just elon musk. there's dozens of people well-respected people that are horrified by what happened yesterday. you don't see that or you just think that -- >> no. >> people of new york have

spoken and he had a fair jury trial. >> that's not what i said from the top i said many legal experts will tell you this was not the most, that this was the least convincing of the cases. i'm looking down the road. how the next weeks, months, will unfold for this country. think about what's going to happen in november, december, january. regardless of that outcome that's what you have to worry about. >> yeah, mike. i think one of the things you pounded out in your column today potential attorney general pick mike davis told axios gop prosecutors in georgia, he wants gop prosecutors in georgia and florida to open criminal proeshs into democrats for conspiring to interfere in the election by indicting trump. i think that's the longer-term implications what's the tit-for-tat, the back and forth? how does this play over time and our point now we don't like the two people or three people to choose between for president, how do you get better people to

run when this is the environment that they'll be facing >> that's right. so now we're having retribution argument about something from eight, nine years ago. and -- i can tell you that talking to republicans this morning, they think they didn't lose a single person now, look at the polling a smart column up on the "times" this morning pointing out the real strength of president trump in recent polls and recent swing state polls has been how he's been adding from voters of color, black voters, latino, hispanic voters, and you can tell that the biden campaign believes that by the way that they've been campaigning the way they have been messaging. those are newer vetters to trump. people concerned about prices, who are concerned about the issue of strength. their loyalty has not been

tested the way the maga diehards have been, and so that's why what i'm hearing from the trump team is, to fight tonight, we feel good tonight. we don't think we're losing anyone tonight but we're going to look at the polls in two week. it's going to be very telling. that's why neither side will tell you that they know the answer neither side thinks they can depend on this you're going to still hear former president trump talking about prices and the border. >> thank you got to run got the pce data coming up we'll be back right after this break. thanks for joining us. the award-winning trading platforms. bring your trades into focus on thinkorswim desktop with robust charting and analysis tools, including over 400 technical studies. tailor the platforms to your unique needs with nearly endless customization. and track market trends with up-to-the-minute news and insights. trade brilliantly with schwab.

we are just seconds away from the release of the april consumer expenditures personal consumer expenditures data, pce widely followed by the fed policy makers and as a result very widely followed on wall street as well watching futures now dow futures up by about 35 points s&p up by 1. nasdaq down by 22. the expectations for this for the april number headline number of 0.3%. also the expectations for the core number, 0.2%. looks like futures are turning positive and picking up sharply. dow futures right now indicated

up by about 80 points. you can see treasury yields, down on this news. okay get right to steve liesman he has the numbers steve? >> yeah. it looks like personal income coming in at, on target at 0.3%. versus march,which was not revised down i expected it would be but k5came until 0.5 previously pointed out overall price index 0.3. spot-on with prior month and expectations the core, key one here coming up at 0.2%. again, according to expectations i told you the economists figured how to do this how to come up with a decent number relative to the actual number and they are spot-on march number 0. 3% year over year, price index 2.7 in-line with expectation and 2.7. core looks like a tick higher. not sure if that's due to

rounding, guys the core 2.8%. no improvement in core or year over year. guessing i can't cal lculate on the fly. maybe three month, six month a little better. see how market responds to this. a little down in the the two year note. had been at 494. now 491. looking at ten year. 453. i have here what it was. had been at about, just down one tick look at the fed fund futures for second year. that will tell you, really not much change here still at 12% for july. calm it 51% for september. guys, the story here that the market has really baked out almost, really, two cuts this year now it looks like comfortable with just one and a half, really where it's at for the full year. this is a market that earlier had been forecasting six rate cuts now down, holding on to one and

getting rid of two here. pretty much in-line. this idea i think that we had this spike in january through march, and it seems to have eased off. i think thagt's a story that remains intact. >> steve, wonder how many months of this we need to see kwo would you say one month so far put into a tally fed presidents saying they want to see at least three months, maybe more >> yeah. describing this as, you know, trying to referee in a wrestling match. you go, one, two, the guy gets up again happened in january, february and march. i think this is one. and waller told me three to five which was a little bit hawkish on the five number i think it depends, becky, on the magnitude of decline if you get bigger declines you print 0-1s well, maybe it's 3 0-2. got to see if 0.26 or why year

over year didn't fall by 0.1 i think there's an argument, i don't know how to put this maybe losing the kingdom for a horse, so to speak maybe being a little bit too orthodox about the 2% inflation target in the sense that, if you look at the harmonized consumer price index, which is the same one relative to europe, that they use europe's ready to cut. europe is satisfied with its 2.4% that's exactly what it is in the u.s. so i'm just wondering if the fed is being a little bit orthodox here because of the whole problem whip the housing numbers not filtering into the inflation. i'm going to work on that for next week and talk about that. >> is it bad a sense the economy is much better than europe a sense the job market here is very strong, too >> no, but that's right. i mean, look at some point you say, know

what we are very restrictive. john williams and sayra had a conversation yesterday how restrictive the fed is 0.7 maybe on the real neutral rate, which equates to, i don't know pshgs 2.7, 2.5. fed is at 5.38 very restrictive relative to any measure of the neutral rate. the question becomes do you keep the brakes fully pressed down to the floor there, even while you're very close to your target >> bring in rick santelli in as well rick, had technical difficulties. >> i bet he has some thoughts on this. >> yeah. what do you think about whether the economy is restrictive at this point or not, rick? >> you know, i think there's some very important information here i think the market, of course, is looking at the two numbers on income and spending on a month over month once again playing the annualized basis game. what i see

i see real spending down 0.1 down 0.1 but down 0.3 in january. we've been there, done that. obviously any negative numbers are good ones. real personal spending adjusts for inflation gives a view of the consumption kind of index of the consumer slowly it's deteriorating. year over year's at 2.7, 2.8 that remain. to me a stickiness there, and once again, whether it's, know, the verdict yesterday. the fix is in on this. in my opinion. fix is in. because we continually get these leanings by many officials that, you know, we're close. to we need to wait for the last mile the reality is, we could look towards europe look towards a lot of numbers. their inflation is coming back up again right in front of the meeting for the ecb, contemplating cutting rates. every major economy central banks wants to find any reason to cut rates i know there's some hawkish talk out there, but hawkish talk all

along. these numbers, what the market's doing, my opinion, don't jive. doesn't mean the market is wrong. the market, of course, is looking at every possible permutation of today's data through a lens to keep the party going. i think the fed is conditioned the market to do that, but i think there's going to be a pushback here. if i was a trader, i would look past some of the positives on the month over month and look at some of the stickiness and the real decision here is, as we approach, as we approach $1 trillion to service our debt will we look at current monetary policy as aiding or abetting some of that spending? and some of the sticky issues with regard to stuck inside the economy, are interest rates coming down at all the entire process of this blunt tool is under review but we seem to gloss right over that looking for excuses to ease.

i personally don't see any. >> so you don't see a cut coming or don't think a cut should come, rick >> oh, i think the cuts are probably coming. i don't think at this point -- i was very agnostic about this thought we were making progress and maybe the last 50 miles would give up a little ground and maybe if we're getting close, really flatlining, maybe the fed should start to ease a, even if we weren't right at 2%, but i don't think we're going to end up at 2% as a matter of fact, a lot of these policies and politics, the government taking the people's voice away is more highly inflationary whether it's force fed during covid. taking our november 5th voice away the less voices we have, less input we have, the economy's managed so many aspects of our life and this is just another case in point. >> all right rick, thank you. thank you to steve as well >> bring in our panel. former policy director for the

romney/ryan 2012 presidential campaign now a hoover institution fellow and an nbc news contributor. and former fed economist now a chief economist with new kecentr advisers thank you for joining us, claudia. talk about the last mile progress or no progress? >> a relief today. all right? we've made a lot of progress since middle of last year. started out in a bumpy place it's extremely heartening to see softer numbers this isn't good enough, but continues to put us back in the right direction. >> when do we, and do we need to, but when do we actually get to the fed's target? how many months? >> i don't see us getting to 2% well into next year. i mean, the fed has a case to cut now. they should be cutting with the ecb. they're not going toe do that. i expect cuts probably start

income september, a couple cuts. the fed made clear mayor not waiting for 2% and written down forecasts, their opinion, appropriate policy to be cutting before we get to 2%. >> does that make sense? >> well, i mean, look. i think the reality is the number of levers available to make changes before we get to november, before we get to the election, are dwindling. i they we are -- we are where we are. i don't see a lot of changes with respect to monetary policy. certainly not on the fiscal policy side. congress can't get its act together i don't anticipate seeing a whole lot to alter the playing field before we get to november. i think this is what it is i think we would have had to see a lot more progress by this point in order for there to be some move before november. so i think this is going to be it i think to the extent there are cuts they're going to come much later in the year and this is the playing field it has said. set for november.

>> and lonhee, is it off the table that, that maybe we're too complacent about things coming down, and that we never cut and maybe we actually need to go higher could that ever happen in the, in an election year, probably not. >> probably not. >> yeah. >> no. i think it's politics. there is certainly a case to be made that maybe we should be going a little higher. in an election year, an unlikely intervention because a lot of people will make a lot of complaints about that. i just don't see that happening. you know, this is -- the data are reflective, i think, of where most people feel the economy is i understand this is disconnect between how people feel about the economy and self-reported surveys and what we're being told about the state of the economy i think that disconnect is the single biggest reason we find ourselves in the political

condition we have now. which is a situation an incumbent president with a 39% approval rating. one of the lowest historically that's why because there is a difference between what people are being told the economy is doing and what they feel the economy is doing. >> claudia, we've been in sort of a default position that, you know, we worked very hard to normalize rates, you know, all of those hikes immediately looked for a reason to bring them back down. but why? >> well, to do a mandate right? they have to balance the risks here the labeler market has modderated the consumer spending has moderated. we talk about, and there are fed officials, neel kashkari, no a risk of hiking there is all things are on the table and also a risk of cutting 75, 100 basis points before the end of this year if everything goes south. all risks have to be put on the

table. that's not my baseline but we aren't talking about that. w we're acting like good data is bad. in the economy, that's giving the fed time they're rolling the dice on american workers and consumers by taking that, we're going to wait we're going to wait. more and more inflation data >> claudia, seems like -- i don't see the dual mandate coming into play right now we hear the president say 50 year lows on unemployment all the time where is the fear that you need to start looking at that, at that part of the dual mandate? instead of the one that is still present? lonhee claudia, go ahead. >> just meaners we had our first -- sub200,000 payroll print last month unemployment rate will hit 4% soon, and if we continue to drift up, and above all else chair powell very clear the

risks are balanced what that means looking at potential upside surprises to inflation. they are looking to potential upside surprises to unemployment so the risks are there but the risks, they're not the baseline we should talk about both of them. >> lonhee? yeah i think, look, with all the attention paid to prices and inflation, the rationale for that is i think the political inputs or both of those are more widely felt and more easily felt at this stage of where we are in our economic cycle than with respect to unemployment and with respect to the other side of the mandate. why you don't hear as much conversation in the politics of this, because the reality is what people are feeling, not feeling that side of 9 equation. they're feeling the side of the equation we're talking about this morning that is the more politically impactful point of view. as a result where all the conversation will be and i argue where it should be the next couple months. >>all right. thank you both

lonhee, claudia, happy friday. thank you. >> thank you okay when we come back, what will the fed think of today's pce data? we're going to tell you former foed vice chairman roger ferguson, whose has been quite l ght just about everything with alof this. we get his reaction, right after this. (traffic noises) (♪♪) the road to opportunity. is often the road overlooked. (♪♪) at enterprise mobility, we guide companies to unique solutions, from our team of mobility experts. because we believe the more ways we all have to move forward. the further we'll all go.

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welcome back to "squawk box" this morning a look at nuchers. up now about 107 on the dow. nasdaq up about 60 points. s&p up an 18 points. treasurys as well just on the back of pce data getting into again in a moment. ten year at 4.5. two-year treasury at 4.906 a look how this morning's core pce could impact the fed and bring in former fed vice chairman roger ferguson now vice

chairman of the council and cnbc contradicter i said at the start, right across the border pretty much what the fed would do. ask you the question the fed reads this new data and what will the fed do >> look i think they're looking to say fortunately not bad news, as in inflation didn't tick up again. but on the other side it hasn't really moved down dramatically either i think this is a status quo kind of read they've been saying for a period of time that they want to see, you know, several months some said many months of data moving in the right direction. this is the way they look at it. well, it's not worse but not necessarily going to change the perspective we need to wait to see more data coming in to give us that inflation is coming down closer to 2%. >> what have you thought about comments from neel kashkari in the last week with this idea rate hikes are on the table?

>> i don't think rate hikes are on the table as in, the next couple meeting he's going to be talking about that i think what he's suggesting is appropriate. which is, let's see exactly how restrictive we are if, in fact, inflation stays at 2.7. maybe gets to 2.7%, maybe gets to 2.6%, but doesn't seem to be coming down, maybe it will be time to think about raising rates yet again. this is against a backdrop of economy in which the labor force and market is showing good strength, given how much the fed has done so i don't think it's fair to say it's an active discussion. but i think what he might be indicating is as this unfolds, if we don't see further process, they should be able to make another hike move if need be to really get inflation down toward the 2% >> when you look out for the rest of the year, what do you see happening? >> look, i think inflation

probably moving sideways, maybe if we're lucky, down a little bit. i've been in a position that thinks it's 50/50 as to whether we'll see any cuts at all this year i don't think a hike is likely, but it's not impossible. so, unfortunately, what we have right now may be what we get for a period of time. >> the market, obviously, thinks there's two cuts, i think that's the current view do you understand why they have that view? and the view is partially they think that jay powell is predisposed to cutting, that he's desperate to cut if he could. >> i do think the market has that view. i think the fed has suggested that their next move is likely to be down obviously, also, the market, generally speaking, feels better if inflation is under control, also if interest rates are lower. to some degree, it's a bit of optimism i actually think the market has been wrong relatively

consistently, expecting five or six cuts, then four, three, finally down to two. i think they're reluctantly coming in line with the real data and i think listening to policymakers that say they want to cut, but the data has to give them permission to cut, which it hasn't done thus far. >> i know you're a macro guy, not necessarily an equities person we've watched the equities market move much higher and then in the past week flip that script, in part i think on the basis of the shifting view what do you make of the way the equity markets have managed through this to the extent they have, and sort of this ai piece, which i don't know if it's idiosyncratic or a separate thing happening on one end and just about everything else >> first, you've observed that there are a small handful of companies that have been driving the indices higher and that's driven by ai i think it's a net positive

thing. overall i would say the market is expecting the fact that the economy is actually in pretty good shape, and in fact the fed has been pretty aggressive they haven't tanked the economy. we're still looking at unemployment that is at relatively good levels i think the market is telling us two things, interesting tech move in the world of ai, big names that are moving indices, and secondly, overall given how much the fed has done, the economy is holding up pretty well, and therefore i think equity valuations will drift higher, if any direction at all. >> if it wasn't an election year, would there be any reason at all, given where we are in the economy, to even be talking about rate cuts? >> take off the election year comment. i think in general there's a reason to talk about rate cuts in part, because the fed has been very aggressive they think they're in a tightening mode or restrictive territory, and normally if inflation is coming down, they should be talking about cuts

but i think the issue is pulling the trigger, and that i think is going to be very data dependent. as i said, to me 50/50 that the data will give them permission to do a cut. >> go ahead, sorry >> i do think it's fair to recognize what they're talking about has to do with the macro environment as opposed to sort of the political environment. >> steve liesman was with us a short time ago when pce came out, and his point is europe is looking to cut interest rates, potentially next week. and that could happen under a similar level of inflation, 2.4% but our economy is pretty different. >> i agree, our economy is different. i think things are much more robust here than they are in europe we've got the dynamism so this may be a point of disconnect between us and the

europeans. at the end of the day, our policymakers have to do what they think is right for our economic situation, which is not exactly the same as europe's, becky. >> roger, want to thank you. appreciate it. >> thank you when we come back, a rundown of today's stocks on the move. "squawk box" will be back after a quick break. [crowd chanting] they ignored your potential, and mocked your ambition. but it's not the critic who counts. with every swing and block,

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some of today's movers, maybe we've seen a change since 20 minutes ago, 25 minutes ago >> i think it's about as expected of an inflation report we're going to get marginal moves, but some of the bigger moves are earnings catalysts. let's start with one down big, 16% down right now, shares of dell technologies. tech solutions hardware company reporting better than expected revenues thanks to a 42% jump in server sales driven by data center demand. but its guidance wasn't high enough to power a stock that was up about 120% in the last five or six months or so and 225% over the last 12 months. z scaler has a jump, 125,000

shares of volume they beat quarterly profit and revenue expectations and gave better than expected current quarter forecasts as companies continue to spend more on battling cyber threats up about 16% we'll end with personnel news on the apparel front coming from vf corp., up 7% right now after the parent company of big brands like the north face, timberland, and van's shoes announced that former lululemon product officer has taken over as the global brand president of the product she will start in that role in late july. so some moves there, vf corp., 7% higher. back over to you guys. >> dom, thank you. again, some really big retail movers we've been watching next week we will get more retail earnings as well. let's take a look at what's been happening with the markets quite a turn with the major averages we've been in the red all

morning long and that changed once we got the pce number it did give a little bit of relief to the stock market, at least. you'll see dow futures up by 105 points s&p futures up by about 18 nasdaq is up by 51 treasurys got a little weaker, the lowest we've seen in a few days that does it for us today. have a great weekend we will see you back here on monday right now it's time for "squawk on the street. good friday morning. welcome to "squawk on the street." i'm carl quintanilla with jim cramer and david faber futures are steady as core pce comes in somewhat friendly, the softest annual gain in about three years. ten years, almost back to 4 1/2 as we head into a fed blackout we begin with the fed's favored inflation gauge. tech and ai also in focus,