macro ro data. we're at the high end of where the s&p has been, and mike said we'd been chopping around sideways, as we are. >> mixed picture for s&p, i said, but for indices overall. that's going to do it for us here at "overtime." >> “fast money” starts now. live from the nasdaq market site in the heart of new york city's times square, this is "fast money." here's what's on tap tonight. three big trades. from the drop in oil prices and home builders to semi stocks, we're digging into the headlines. and opportunities abroad. elections in yand and mexico sending those two markets in wildly different directions. should you book your ticket into these emerging market trades? plus, coming to terms. paramount and sky dance finally agree to a deal. toyota tumbles. and structure therapeutics

surges on drug trial results. i'm melissa lee, coming to you live from studio b at the nasdaq. on the desk tonight -- courtney garcia, karen finerman, dan nathan, and guy adami. crude crumbling to its lowest price since february. home builders on edge, and a seeming divergence in semis. we start tonight with oil. prices falling almost 4%. worst day since january. the mo coming as eight opec plus members said they would start phasing out production cuts in october. that would bring more than 500,000 barrels per day back to the market by the end of the year and nearly 2 million by next june. guy, what do you make of this? >> and that's coming on the heels on the ism numbers which haven't been particularly good. slowdown in the economy, more crude coming into the market. obviously not a healthy recipe for the underlying commodity, which again, hasn't traded well. i've been bullish, that's been wrong. the stocks now concern me a little bit.

we recently traded up to a high we made back in 2014. either side of sort of $99 or so, and have sold off pretty dramatically. in the form of about 10% or so. that etf is three stocks. exxon, mobile, konno coe, and chevron. i still like all three, but it's very hard to make a compelling argument given what's going on in the underlying commodity and some of the neck any calls around the names. >> i think with some of those companies, the good news is, their break even point is so much lower than where oil prices are right now. oil coming down is good for travelers, so, it's going to be a good thing for consumers with inflation being high. hopefully will be a benefit to our wallets at the end of the day, but i still like these companies and still really like things like pipelines. what's happening is, reguardless of what's happening with opec right now, art fushl intelligence and more electric vehicles, we're seeing this electrify case of the economy, and there's not enough to go

around. if we're going towards clean energy, until you have that, you still need oil. there's a supply/demand dynamic that's not going away. >> karen? >> yeah, no, i agree with you. until we get to that point, which, who knows exactly when that is. and you do have the whole sector just getting cheaper and cheaper and, yeah, you have the top three, and further down, the services companies also. i mean -- we've seen the space be very out of favor. i don't know if it's been quite this long without there being some -- it's not like the economy is doing terribly and that would be the reason. so, i still like the space. the x is the e in my helm trade and it hasn't been a good one of late. i like value, there is value here. >> yeah, you mentioned the economy's not doing that badly and we can say that for the u.s., but if you think about china and demand there, that's probably one of the reasons why we just haven't seen crude much over $80 for the better part of this year or so.

and then, you know, to your point, courtney, listen, the average tank of gas -- gallon, is $3.50 or something like that. down considerably, i think year over year, and going into the driving season, that sort of thing. so, there's lots of push and pulls on this inflation data, but i think guy's point about some of this economic data we're seeing, manufacturing or -- it is kind of weakening a little bit. >> let's move to our second trade here, home builders heading lower, despite the move down in yields today. we talked about this on the call, about the under performance in a names like home depot, despite this pull-back in rates. >> yeah, normally, there's just an a knee-jerk reaction. i don't know if there's this trapped inventory, that rates aren't going to change the calculus there. i don't know why today they were particularly underperformers.

>> yeah, and i'll go sort of the retail route, and home depot made its all-time high three years ago and not traded particularly well since. and recently it sold off pretty considerably given the fact the broader market has done so well. lowe's, on the other hand, that's outperformed. the problem is, if you pull up a long-term chart, you'll see now, talking about a two-year double top, that's it in spades in sterls ofs terms of lowe's. we're in an environment where you would think they'd do well. it's actually going the wrong way, which is somewhat concerning. the home builders are their own animals. i don't think it's a rate thing. but that's me. i think it's anemployment or unemployment thing. if you start to see a meaningful uptick in the unemployment rate, we're at 3.9 now, to 4.5, that's when home builders feel it. >> they won't break until we see that. you think that? >> i think they're somewhat a

rate story. people that own homes right now aren't wanting to sell them. you have will have inventory wh rates come down. i think regardless, there's not enough homes to go around, so, the housing market is going to look good either way. that's why you'll see some of the moves in the short-term. >> you think the trade is safe until we drop on the ten-year to, like, 3%. it would have to drop significantly. >> correct. >> in order for anybody to consider moving at all. >> correct, yeah. >> okay. and finally, let's -- unless you have something to add -- >> no. >> look at that face. no. >> this one you will. the chip race. the a.i. chip race. nvidia and amd moving in different directions after unveiling their latest chips in taiwan over the weekend. the latest products coming just months after their last launch. nvidia jumped nearly 5%, to a record close. amd, though, dropped 2%.

first, there's the puzzling aspect of the divergence, but nvidia keeps going higher and higher. >> every time jensen huang gets in front of a large audience, the stock goes up $100 billion at least. that's just a fact. so, that sort of behavior, to me, got antennas up. have a ball, people, keep buying it, because you're getting rich doing it. i'll just say this. if youare not paying attention to what's going on in the enterprise software space. we had big examples over the last couple of weeks, workday, salesforce, these were really big moves. and you can extrapolate it out. the supermicro went into the s&p 500 on march 18th, it's down 30%, down40% from its all-time highs. dell, this was a darling, supposedly, you know, making the servers and going to the data centers. the guidance they gave just wasn't good enough and the stock was down 20% like that. so, some of the stuff that's adjacent to this a.i. trade is kind of coming undone a little

bit, other than nvidia. >> right. >> so, to me, that is a cause for alarm here. you could have said that every step of the way -- i just -- we know how this ends. it's not going to be pretty. and i know, every time i say that, you get massive push-back, but there's going to come a day where it's also down 20%, but that's going to be off a $3 trillion market cap and what else does it draw down with it? >> so, dell, i think, you know, a couple of things. the expectation of margins on some of the business was light. that was part of it. i think also just the enormous runup that it had going into that, right, on the heels of the nvidia release, the stock was up, i don't nope, maybe 20 bucks, give or take, so, i actually like dell. i would like to buy more. this is a sort of three-day rule, want to give it a little bit more time. i think that the valuation for a hardware company is definitely not what it was a few months ago, but i think we're still in the early phases here, and i

think that we're going to see -- we talked about it before, the a.i. part of their business, the enterprise, which, okay, i understand that might be weaker. and the pc part and all the things that go along with a new pc. microsoft ending and a new windows coming up this year, that's always been a good harbinger of a new cycle for pcs, which i think it will be this time. all of that benefits dell. >> all of the chip companies have very bullish things to say about a.i. offerings. qualcomm saying snapdragon is going to have a major effect. nobody had the same reaction, or even close to the reaction that nvidia had. which makes it difficult, if you are a long a stock, to either sell it or to say, you know what, i'm going to look for the a.i. adjacent, because i want to look for the quote unquote value

in this trade, when all i see is nvidia going up, up, and up. >> it's secretariat in the belmont takes. that's nvidia and that's the rest of the field. everybody else is an afterran right now. and that's a great place to be. even the greatest horses of all time get put out to pasture. i'm not suggesting that's going to happen with nvidia, but the bloom is off the rose at a certain point. and my concern, again, unfounded up until now, and maybe up until the next few months, has been, they're outearning their revenue stream. and effectively, that has to reconcile somehow. on a price to earnings, nvidia is fair, if not cheap. on a price to sales, not so much. when that starts to turn, is when things get a little dicey. clearly wasn't this quarter. but i'll say again, when you see a dell, to dan's point, that moved 23% over the course of a couple hours, that's concerning. karen's right to identify, looking to buy more. the march prior all-time high was about $122.50, it sold off into april. that's the level. path of resistance becomes

support. >> and i think some of the trouble that's happening with the a.i. adjacent companies, they are buying $50 billion worth of nvidia chips, only $3 billion worth of revenue from companies right now. at what point in time are you going to see that? investors are going to realize, this is years out in the future. customers want to see it on these devices. they want companies to have artificial intelligence, but right now, it's nothing more than an expense to them. so, when we see that is the big question and that's the next thing that really needs to happen. >> just one last point, dell versus hewlett. they're talking about an upgrade cycle. these are low gross margin companies, they compete on price. these a.i.-enabled pcs are only going to be on the high end. we know that corporates are very slow to upgrade on this stuff. so, to me, they're going to be competing and price, and microsoft just introduced a bunch of new pcs. everyone is expected this hardware cycle, super cycle, whatever, i'm just not so sure

it's going to happen. especially if they start competing on price. >> one hedge fund manager sees indicators of an unhealthy market. he managed $1.5 billion min assets. >> hey, melissa. >> what do you make of that action, with nvidia, if it signifies anything with this market? >> you guys summed it up really well. i'm young enough, or old enough, to remember when intel when up 20 fold, not 20%, 20 fold, in little over a year, in 2000, because their chip was going to revolutionize a.i. right? a.i. is an 80-year overnight success story, and we're seeing it again. so, today, intel's 40% lower than it was 24 years ago. i don't know. >> so, in no accounts you own nvidia? >> no, we own it. >> okay. >> and we have owned it, but we

trim into strength. we've owned it for a long time, and, look, i think right now, the most important thing, melissa, in all of investing, is discipline. disciplined rebalancing, taking your profits on things that are running, rotating into other things. now, look. the passive industry is exacerbating the momentum effect. every single day, the massive indices, the 401(k) money goes in every two weeks, they don't get a choice to say, is nvidia expensive or cheap? doesn't matter, they have to buy it. the bigger it gets, the more they have to buy. that works until it doesn't. >> yeah, mark, i'm with you on that. we talk a lot about that. part and parcel with that is the dampening of volatility to what i think is -- extraordinary's a little maybe hyperbolic, but interesting levels, given everything that's going on in the world. what are your thoughts on that? >> i think that's a really, really insightful point.

that dampening of volatility is normal when everyone's doing the same thing. and everyone's doing the same thing because the capitalization waiting mechanism forces it. so, as the percentage of passive money -- and remember, it's not passive. it's slow active. over the last 30 years, 85% of the s&p has rolled over. it takes awhile, but it does roll over. so, i think volatility is interesting, in that people fear it, yet volatility is your friend. what you want to do is own volatile assets that are uncorrelated with one another, because all volatility is is disagreement about the future prospects for a company. >> so, one of those assets for you is -- digital assets, mark? you think digital assets, cash, and gold are the way to go for the next 12 months? what does that say about your outlook for the markets? >> so, look, you guys have done

a great job breaking this down, i was in the waiting room last week before the trump news broke, so, they kind of moved me toe to today, i was listening to the breakdown of valuation across the markets. i mean, 27 times trailing earnings, we haven't seen very many times in history, so, that's why i think discipline's really important, and cash is a choice, right? it's an asset that today yields about 5% while you wait. it gives you the buying power to buy things when they go on sale. human beings do two things really, really well. we buy what we wish we would have bought and we sell what we're about to need. commodities, broadly, despite the fact that they're making new highs every day, are at the cheapest price to paper assets they've ever been. and in the kids game, right, paper beats rock. but in real life, rock beats paper, so, we favor commodities, and, you know how i feel about

digital assets. digital assets, to me, everyone needs to have some in their portfolio. they add diversify case ben benefits. they don't derive their value from the same thing as traditional financial assets. >> one last question, mark, do you think that the volatility in digital assets will be dampened as more and more etfs are approved? >> again, really, really great point. absolutely. if you think about $58 billion of, you know, mostly retail and advisory money coming into this space, and as they call it, the boomer wrapper, right? so, you don't have to deal with hardware, you don't have to deal with soft ware, you don't have to deal with self-custody, you just buy an etf. i think that number goes to $300 billion over the next couple of years, from the 58 today. i think that will dampen volatility, i think it will lead to much higher prices. >> mark, great to speak with you. thank you for being patient with

us. >> always a pleasure. >> mark yusko. i always thought rock should beat paper. never made sense to me. >> paper covers rock. >> doesn't make any sense. rock can destroy paper. >> you remember the bounty commercial we used to see. that hung in there. >> a rock -- anyway. we'll take this offline. obviously. >> please. >> but in terms of what he -- cash, digital assets, and gold. next 12 months. >> yeah, he mentioned our conversation about valuations and the like. and going back to the conservation thing. there was a note at from ubs, from a performance standpoint, nvidia's contributed 34% of the s&p's gaines, and 26% comes from google, microsoft, meta, and amazon. those companies are contributing to the earnings growth in the s&p 500, and you go back to the

490, and they are just not contributing fred a performance standpoint and an earnings growth standpoint, i think that's really important. reports -- this is an interesting one, e-trade is considering kicking keith gill, aka roaring kitty, off igts platform. kate rooney has the details. kate? >> hey, mel. "the wall street journal" reporting that e-trade has been considering kicking keith gill off the platform due to concerns of market manipulation. executives at e-trade have w worried about the purchase of call options in particular. it started around when his social media accounts started posting again in mid-may. a screenshot posted to reddit by roaring kitty had gone viral over the weekend. the account shows that he owns a stake worth roughly $116 million, and a set of options that expire this month. we could not verify that screen shot, but after "the journal"

report, another screen shot was posted that shows he hasn't sold. the s.e.c. has been reviewing those call options. there have been internal s.e.c. discussions about whether those moves could be considered market manipulation, and morgan stanley and e-trade spokesperson said essentially no comment, we don't discuss the individual activity of our clients, and the s.e.c. saying it does not comment on the existence or nonexistence of a possible investigation, mel. back over to you. >> kate, is there any sense as to whether or not e-trade tipped off the s.e.c. or are these parallel things going on? >> it's not clear. you'd think this is something that would have gotten the s.e.c.'s attention regardless of what was happening at e-trade and something i've been talking to with former s.e.c. commissioners about sort of the liability here for keith gill and totally unchartered territory, that they have been

paying attention to this, according to this reporting, and former regulators are having a hard time wrapping their head around it. a lot of the posts keith gill has done don't have anything to go with gamestop. but if he was posting at the same time, buying options, the s.e.c. would be paying attention to that. >> kate, thank you. kate rooney. i mean, i don't know, can you interpret, you know, that cartoon of him leaning forward as market manipulation, or -- anybody else who has tweeted a picture, which is on the face, meaningless, but then leads to unusual trading activity, is that manipulation? >> it's hard to -- >> hard to prove. >> extraordinarily hard to prove. i don't think there's anything illegal going on. i think it's extraordinarily unsavory and makes a mockery of the market, i think, and it goes back to some of the things that david einhorn said in terms of the market, with the market being broken. this is one of them.

so, they're going to investigate it, but quite frankly, i don't see anything illegal about what's going on. unless there's something more to the story than i know. >> well, so, i think the question you asked kate was an interesting one, was it the s.e.c. or e-trade? i wonder, this is just -- i'm asking a question, was there trading in the e-trade account that they felt they had a duty to report that trading to the s.e.c.? >> right. >> right. so -- so he's then showing, okay, i haven't sold any. we don't know what other accounts there might be elsewhere, what activity that was. i'm intrigued by this idea of, can this -- justthis image of him leaning forward, if you know it's going to have that reaction. >> right. >> and you trade, the other part -- >> how can you prove that you know that that's going to be the reaction? >> really quickly, i went to perplexity. >> the a.i. >> i just asked if this illegal to collude in the stock market and it says the united states collusion in the stock market is

illegal. and it actually quotes the sherman anti-trust act, which says it prohibits conspiracies that restrain trade the so, maybe there are laws against it. and, you know, i mean, if you are so good and going tocommit so much capital, you are probably talking to your friends about it. i think it's interesting. coming up, the latest on a media merger. shares of paramount jumping as the company strikes an agreement with sky dance. all the details next. plus, a playlist pop. shares of spotify getting a boost after another round of price increases. the new toll for your tunes, ahead. don't go anywhere. more "fast money" in two. i'm just here for the internets. at&t it's super-fast. reliable. you locked us out?! arrggghh! ahhhh! solution-oriented.

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test welcome back to "fast money." we've got some breaking news here. new york is set to restrict social media algorithms for teens. we want to go straight to julia boorstin for more on what this all means. julia? >> this is part of a broader trend we're seeing where a number of states are looking to really crack down on social media and specifically its

impact on kids. we've seen legislation from florida, also from california. and this is all about sort of preventing social media companies from serving up content to kids that's either manipulative or dangerous or particularly in the case of this new york legislation, addictive. and so, one of the factors in this bill, which is still being finalized, but is expected to be voted on this week, this would prohibit notifications during overnight hours. we do have to note, there have been questions by various industry groups about the constitutionality of this proposal, and i do have to point out, and people with kids know this, 13 years old is the minimum age for most social media sites, and this is because of the bill -- the children's online privacy protection action. and that basically said that websites are prohibited from collecting information on children younger than age 13. so, there are already restrictions in place, of course, parents can consent to

having their kids use social media younger than age 13, but i think it's really interesting here that we are seeing this widespread interest and maybe more regulation of how social media companies interact with kids. >> so, you mentioned julia, that this legislation could restrict content that's addictive. who deems -- that seems like a very subjective measure. >> the intention is to crack down on that, but i pointed out this thing here about sending notifications overnight, right? i have kids, i don't want them to hear a ping on their phone overnight, and i guess the question here is, what are the different factors that could mitigate that addictive quality of social media, which is really the interest in picking up your phone and checking it, or relate to the algorithm and showing kids content they're going to want to see more of. going to be interesting to see if these laws are challenged and if they can be enacted, considering the questions around

free speech. >> if new york does manage to enact it, is it like a domino effect? california, new york, and then everybody else will follow? >> well, i think others could certainly follow, and new york seems to be wanting to take the lead here, but everyone's watching to see what these laws actually look like. we don't have the full bill, because it's still being finalized. but i for one, as someone who closely watches the social media space, thinks that we're going to have to see how the social media companies respond, and i would point out, i reached out to meta for comment. i have not heard back, and i anticipate what they would say is that they have all sorts of parental controls, and they don't want anyone under the age of 13 to use their platforms without parental controls, so, they have been working on these parental controls and that's how they're going to counter this push for more of a crackdown on what they can do with kids. >> all right, julia, thank you. julia boorstin bringing us that breaking news from "the wall street journal." you think this impacts some of the social media sites? >> obviously it will, because

the advertising revenue you're going to get towards the younger generations are going to be effected if you can't target to them the way you have in the path. socially is probably a good thing. but what it means for the bottom line is something different. it's something we'll have to watch and see where it goes. >> these are just headlines that -- >> the look-through and the devil's in the details and what are the details here? you don't want your phone to ping, well, you can turn your phone off. >> put it in another room. a teenager, that's difficult. >> yeah. there's a lot of things. >> the good news about this, as parents, we can all agree on this, creates a permission structure, where, or, nonpermission structure where we say, it's against the law, kids. that's a good thing. "fast money" will be right back. (traffic noises)

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because you know what it's always been. inevitable. ♪♪ ♪♪ welcome back to "fast money." stocks closing mixed on the first trading day of june. the dow falling 100 points. the s&p with a small gain. the nasdaq snapping a three-day losing streak. check out shares of apple, up almost a percent today. the move puts it in positive territory for the year, the first time since anuary. and shares of spotify getting a boost. the music streamer announcing it is increasing its prescription

plans. the second time in a year. in july, u.s. subscribers will pay a dollar more, bringing the cost to $11.99 a month. that's risen 20% over the past two years. courtney, this caught your interest. >> yeah, and i think it's interesting they are raising their prices, it's a good thing for their stock, but we're at a time right now where inflation is high and there are companies that are chasing fewer and fewer discretionary dollars. and guy you pointed out, you have a playlist you've been working on, and you're not going to transfer, like, to an apple music or something like that. i feel the same, i have spotify, i'm probably not going to switch. i don't want to pay the increase, i will probably, because you get that sticky consumer, which is an interesting platform. >> it's not that he's sticky, it's just that he doesn't know how to switch. >> why would i? wait a second. all those things being true, it's 59 hours and 24 minutes. >> i know, which is way too long. >> and if you want -- if you can

follow guy's first play list on the spotify. i encourage everybody to do so. >> it's a lot of time, 59 hours. anyway, coming up, we're going abroad to check on india and mexico. election results sending the stocks of those countries in opposite directions. toyota dropping as the car maker halts shipments due to japan's auto safety scandal. what that could mean for the auto industry. "fast money" back in two. missed a moment of "fast?" catch us any time on the go. follow the "fast money" podcast. we're back right after this. is ! with rates from $199 per person per night. visit sandals.com or call 1-800-sandals - "best thing i've ever done." that's what freddie told me. - it was the best thing i've ever done, and- - really? - yes, without a doubt! - i don't have any anxiety about money anymore. - great people.

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welcome back to "fast money." a pair of major elections sparking two very different responses in the markets today. in india, stocks hitting record highs as exit polls predict a big win and third term for incumbent prime minister narendra mowdi. meanwhile, mexican stocks lower. claudia sheinbaum will become the country's first female president, after winning 60% of the vote. sheinbaum was previously the mayor of mexico city. and is a major ally of the current president, protege, if you will.

he's been a harsh critic of big business and favored the nationalization of certain industries, particularly energy. for a closer look at the market reactions, let's bring in michelle caruso cabrera. the mexican news crossed, i thought, got to get mcc on, because we're seeing a huge retreat. people are just worried this is going to mean a super majority in congress. >> she's going to be able to do a lot more than they originally suspected. it could happen before then, because there's a month overlap between the new legislature and the current president so, you could see stuff start to happen as soon as september, when it comes to deciding that instead they're going to elect judges to their supreme court, slim down the size of the congress, and then perhaps a lot more intervention into the economy, which has been amlo's track record thus far and she's promised continuity. so, we're going to see even more of that. >> there are a bunch of proposals proposed in, i think, february, that are now seen as

having life. >> right. when they didn't before. >> so, what's the scariest stuff at this point? >> the scariest stuff is definitely, if they want to get much more involved in the economy. so, he started to take over sections of the railway, remember what he did to the airports, et cetera. there's a lot of arguments that should have been done because the margins were too high inthe about ports, but it was the manner in which he did it. she's probably going to be a little bit more predictable. the one thing that protects the american investor, all investors in mexico, the central bank. they have a mandate they must maintain the purchasing power of the mexican peso. and they've been extremely good at doing that. and she hasn't said and they've never talked about, getting rid of central bank independence the way they have in brazil. so, there's a wall there that's protected. the move in the peso was interesting, a lot of people saw

it as a big decline, but remember, when amlo came to power that first time, it went to 24, 25. so, 17 looks bad compared to where it's been, a big move, but it was much weaker before. >> although a different era. not a great day for the peso. and if i sound bitter, it's because i'm long ew. i've been longer. i sold a little more than half this morning. >> i'm sorry to hear that. >> well, thank you, thank you for condolences. i -- you know, a lot of the mexican story has been near-shoring. and to the extent that you have an administration, amlo talked a lot, some of the things ended up not happening and people got comfortable. this resounding win makes it -- a lot more uncertain, and so, what do you think about the idea of mexico is a near-shoring partner? >> so, when it comes to near-shoring, one thing to keep

in mind is that both amlo and claudia sheinbaum have both said they want very good relationships with the united states. she's been asked very directly about whether or not donald trump becomes president, what is that going to be like? she said,ly have a good relationship with him, the same way amlo did. i don't see them going against what would be the wishes of the united states government when it comes to various issues, when it comes to migrmigration, et cete. they want more jobs in monterey. the issue they're going to face is, a lot of chinese companies have started to invest in monterey in the northern part of mexico, to get around the tariffs that have been posed in china. and so, when you travel to mexico, i was just there a month ago, you talk to industrial ipss there, wau, you are getting tons of fdi. they're like, it's all chinese companies. so, there's going to be issues there, if they start to view this administration. >> are the chinese companies that are investing also securing their own power in water?

because that's a problem. >> huge problem. yes. that's the one thing that really holds back -- one of the things that really holds back growth in mexico. they desperately need to improve their situation with utilities. years ago, i was at a conference where they whr talking about high speed trading, and the head of the mexican stock exchange really wanted high speed trading in mexico and one of the guys said, well, you have no electricity, thelatency is horrendous. nobody is going to trade there, because it's so bad. and when it comes to industrial production, it's the same thing. >> michelle, so good to see you. >> pleasure, always. >> what are you going to do with the rest of your position? >> probably get rid of it and even if it trades up, it's just -- similar to alibaba and some of the other ones, i don't know what to make of this administration, so -- i can't hold it. coming up, a safety scandal hitting shares of toyota. what it means for the global

auto giant and the international competitors, next. plus, a shot in the arm for structure therapeutics, all thanks to a weight loss pill. we'll dive into whether the latest trial results set it up me compete with the biggest nas in the industry. that's next. we're here. (♪♪) surprise!!! the future isn't scary. not investing in it is. car, were you in on this? nothing gets by you james. nasdaq-100 innovators. one etf. before investing, carefully read and consider fund investment objectives, risks, charges, expenses and more in prospectus at invesco.com

welcome back to "fast money." toyota tumbling after the company halted production on three of its models due to inadequate safety tests. the news, the latest in a slew of allegations of falsified safety reports from companies including toyota, honda, and mazda. toyota says it does not plan to issue any recalls. seems kind of problematic, if i were looking to buy a car i would think, hmm, i wonder what kind of safety measures this car went through, court. >> yeah, and that's what we need to see more of. are recalls going to be needed? toyota's put themselves in an interesting position, where they have a lot more hybrid models than their competitors, which i don't think a lot of car companies realized how that was going to be, and they're at the forefront of that. they just have the models customers want, so, how much are the safety concerns already

effecting those models. it is something that obviously people are going to need to weigh. >> the good news for them is, they weren't the only ones. seriously. >> that's true. >> i think that this will be sort of a fleeting thing. all right, coming up, another oversized move in the weight loss space. structure therapeutics surging on strong glp-1 results data. details on potential obesity pills and if the news could spark any m&a tityacvi. spark any m&a tityacvi. and a futures ladder that lets you place, flatten, or reverse orders so you won't miss an opportunity. e*trade from morgan stanley

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her uncle's unhappy. whose resumes on indeed matc i'm sensing aneria. underlying issue. it's t-mobile. it started when we tried to get him under a new plan. but they they unexpectedly unraveled their “price lock” guarantee. which has made him, a bit... unruly. you called yourself the “un-carrier”. you sing about “price lock” on those commercials. “the price lock, the price lock...” so, if you could change the price, change the name! it's not a lock, i know a lock. so how can we undo the damage? we could all unsubscribe and switch to xfinity. their connection is unreal. and we could all un-experience this whole session. okay, that's uncalled for.

welcome back to "fast money." structure therapeutics soaring 50% plus, gaining over $800 million in market cap after releasing better than expected trial results for its experimental oral weight loss drug. a once daily pill helping people lose morethan 6% of their body weight on average after 12 weeks. with side effects found to be generally tolerable. f for more, we're joined by jared holz. great to have you with us. we talked about structure in the past. we said at that point that the data would have to be bretter in terms of the safety profile, and the results, obviously, as a lilly or a novo, but you're

saying that does not have to be the case here, and that the more interesting case, but could potentially be using it as a maintenance solution after you have been on injectable glp-1. >> yeah, thanks for having me. a maintenance setting for something like this, an oral glp makes a ton of sense. we have two massive companies that have dominating on the injectable side, probably going to be the case for awhile. but a maintenance drug that you can take after you've taken one of these injectables for a couple years, you don't need to see the efficacy be that excellent. that's why when i saw the numbers this morning, 6% to 10% was kind of the median, not that bad, if you are just trying to kind of maintain your weight and the company mentioned several times today during their conference call that this was a very scaleable drug from a manufacturing standpoint, i think the demand could be huge for this, obviously it depends on the competitive landscape. that's what i thought first, and i thought structure as a maintenance drug for awhile now. >> so, we're expecting, like, phase three data from the orals

from a novo later this year, so, once that is out, wouldn't those be the maintenance -- you would think that they are thinking about this already, people don't want to inject forever. >> right. >> can't the maintenance be the pill they will have? >> they could be. i think one thing that we kind of don't know is the manufacturability, the scaleability of something that novo is working on. lilly, as well, and how structu data looked competitive to me. stock was actually down at times pre-market, because of the safety events, but i think when they kind of ran through the dosing, it made people feel more comfortable. we know the demand is going to be off the charts for this drug, so, three oral players, even if lilly and novo are successful here, obviously the manufacturing is key. i think this could be a company that gets acquired by a large cap pharma, maybe not in the space yet, just given the fact that the market, we know, is huge, and this price tag is not

going to be. >> that's exactly right, jared. you're talking about a deal, maybe a $4 billion deal at max $5, which is a rounding error for a lot of these. gpcr was a $75 stock in november, not that that matters. but the risk reward here, despite today's move, still seems favorable. more so now maybe. >> i think what we saw today is kind of validating. you can push back on some of the toll rablt issues. what they said to the entire not only to the investment xhu community, they can scale this quickly, and this can be a really big drug. if you are a merck, a large cap pharma player, $5 billion to your point, not very material, they could all do it. >> so, what would you do if you were they? do you go out and do a secondary or sell a strategic stake or something to take advantage of this news right now or do you enter talks, what would you do? >> well, they're raising money tonight. so, they announced a $400 million offering subsequent to

the close. that could be upsize. i think they could find a partner, i think they would be foolish not to sell the company. i mean, obviously, we see you you know, the road map for most of these bio tech companies are perpetual capital raises until, you know, something else takes place in the market. i think they should sell the company. there's a buyer, i don't know why they would not. again, it takes a lot of money to run these companies. we know the commercial organizations have to be big. plus the manufacturing. if there's a $5 billion plus deal on the table, i would take it. they did raise money tonight. >> is there no one else who has a similar drug to gpcr? i mean, in terms of in development, not as good, oral, et cetera? >> we don't know yet. there are small cap companies working on oral therapies, corbis is one of them, tern is one of them. we've talked about these companies before. they are all working on

competitive offerings. we just don't know the data yet. so, it's really tough to say. >> all right, jared, great to get your thoughts. thank you. >> thank you. >> jared holz of mizuho. how do we trade this? >> severe nausea, it's an interesting thing, to your point, it sold off earlier, because i think 62% of the respondents volume milted, which is -- but -- you know, then they sort of got around that, i guess. how do you trade it? i think despite the move, this becomes binary. this is a takeover candidate to jared's point. >> yeah, so, they sold 8 million shares, stock closed at $52.74, in the afterhours, it's at $56. i'm sure they sold it below the close, so, the fact that it's bid up right now is pretty bullish. >> yeah, and i think it's interesting because clearly these drugs are -- there's huge demand for it and just not enough supply to meet it. so, now you have somebody coming in where you're filling that

void, but more so, a lot of people just don't want to do an injection. >> they can't afford it. >> correct. so, i think, yes, there is absolutely a market for this. so, i think there's definitely an opportunity here. up next, final trades. your skeleton can support two times your weight. it's in your nature to stand strong. supplement your bones with high-absorption magnesium. nature's bounty. it's in your nature.

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time for the final trade. courtney? >> vea. i think international looks interesting here. i'd take a look at this. >> karen? >> yeah, been a difficult day on a number of fronts, but xle was one of them. i still like the trade. there's a lot of value here.

xle. >> dan? >> yeah, pfizer looks like it's bottoming. they should buy that company. >> guy? >> gate reat having mcc. mount rush more. every time macy's trades down, it's support. >> all right, thank you for watching "fast." see you back here tomorrow at 5:00. 5:00. meantime, "mad money" with jim cramer starts right now. my mission is simple, to make you money. i'm here to level the playing field for all investors. there's always a bull market somewhere, and i promise to help you find it. "mad money" starts now. hey, i'm cramer. welcome to "mad money." welcome to cramerica. other people make friends. i'm just trying to make you a little money. my job is not just to entertain, but to educate, teach! call me at 1-800-743-cnbc newsom. tweet me @jimcramer. here what's the bulls want to happen in this environment. we want weakness throughout the econom