great roster. the quarterback position is going to look different than it has in the past, but i think the addition of chip kelly, their offensive coordinator, the rm toer coach at ucla, will bring a run game that is powerful. i like their chances of possibly winning a national championship this year. >> got to leave it all. eddie george, thanks. happy father's day, everybody. see you monday. all right. ty, thanks. welcome to "closing bell." i'm scott wapner, this make-or-break hour, the fed meeting behind us, apple shares surging this week, earnings are still a few weeks away. so what's the most important catalyst to drive stocks? we'll ask our experts that very question over this final stretch. in the mean team, let's show you the scorecard with 60 minutes to go in regulation. the nasdaq has gone positive actually trying to get there, as you see, it's back and forth. industrial names, though, they are dragging the dow lower and have been all day long, and

that's even as yields fall. consumer confidence was weak today. you have fresh concerns about the economy. that's probably why small caps are underperforming the rest of the market. there's the russell down 1.75%. as for tech, adobe is the standout after its earnings. we have to talk about apple. how can you not? what a week, an amazing week it has been for those shares. we're watching over the final stretch going for a milestone of its own. and we will watch those numbers closely. nvidia has turned positive, up by near 2%. it does take us to our "talk of the tape." the state of stocks and this rally, let's ask josh brown where he thinks the markets are heading. he is with us live on this friday. josh, good to have you. welcome. take stock, if you will, in the week that was. we had a fed meeting, apple reach an all-time high, and we're talking about the tech trade on full steam. what do you think? >> so if this week were a character on "game of thrones,"

its name would be breaker of narratives because a lot of things were shattered this week that had started to become this kind of consensus feeling arp the marketplace amongst investors. and one of those things is apple can't grow/innovate. that narrative clearly has been broken because what apple did and what set the stock on fire once the sell side started to actually explain this the following morning, was they basically said, okay, the first round of a.i. tools and excitement were based on functionality. the next round will be based on personalization. that's why the stock went nuts this week because apple does privacy and personalization better than anyone else. they do it at scale and they do it profitably. that is what i think gave us a new leg higher for the a.i.-related names. nvidia and apple. this is the most important thing to the market right now.

i'd rather it be the economy but this is truly what moves the chains. it's the expectations of earnings from a.i. and the multiples weigh we want to way from a.i. stocks. this week a lot of good news. stick with the secular winners because they are the weapon of choice in the market, lopping t long the convictions and highest quality names. what would you prefer? if you want to go against the secular winners and you want to do this value industrial rotation, you're welcome to. it's not bad data.

things are different now and the stocks are not reacting positively to that. they are reacting to data poimts a points and they're to the down side. i think what tony is getting at, you can make your life harder for yourself if you want to, but you don't have to. >> i feel like in some respects the market this week is, i don't know, i don't know if i want to go as far as to suggest it's on fed mistake watch, but i do think there's a fear that's going to creep into the market as the data comes in squirrely like the confidence number did today. that was ugly and it was a down right miss, that we're going to start worrying the fed will stay too high for too long, and that it's going to wreck the story, so to speak, that has gotten us here in the first place. >> so i think there's a spectrum

of fed mistakes. i don't think it's just the big mistake and then they got everything right. they've been pretty clear they'ring going to be data dependent. by definition that means making a mistake. they don't want to anticipate. they want to be late. they've told us this time and time and time again. they would rather be late. they were late to fight inflation. they're going to be late to fight disinflation or whatever is to come next, and they want you to know that that's the way they're thinking about it. they would rather be late than early, so, by definition, they'll make a mistake. it's not necessarily a fatal mistake for the market. it doesn't have to be that way. could have a correction if it becomes apparent that stocks are figuring something out before the fed is. that's certainly possible. we have two of them in calendar 2018. two of them.

two 20% -- a 17 and a 20% correction inside of one year because of a fed mistake. that's certainly in the realm of possibility, but they can reverse themselves from the mistake as well. this is not the thing that keeps me up at night right now is the timing of the first cut or whether or not they get to the second cut fast enough. i think there are other issues that we ought to be concerned with more so than timing. >> does nvidia up 166% year to date keep you up at night? i ask that in the context of, if you talk about a correction and you look to the places where a correction would be more acute potentially, you've got the nasdaq 100 up 17% on the year, nvidia is up 166%. a lot of the names have done pretty well. people question their valuations now, whether the earnings are really going to do the job for all of those stocks, and if you have a correction, why wouldn't it start with those kinds of

names? >> yeah, no, i think -- look, i'm on record saying the biggest risk to this market is a hiccup in the a.i. story. i opened up the a block by telling you the big driving force behind the entire stock market right now at an index level is the a.i. story, and, frankly, people need to understand that will work in reverse as well. and it doesn't matter what you're invested in. you'll be affected by it. so if there is a hiccup in the a.i. story, if there is some sort of massive product flop or a cfo somewhere who says, hey guys, there's no roi in any of this stuff, we're going to slow down, if and when that happens, it will be a negative shock to the market. you'll see semis get smacked. you'll see the whole a.i. buildout story come under the magnifying glass, but that hasn't happened yet, number one, and, number two, i think the market understands that, but it's willing to look past that risk because of what it heard from the most important company

in the world this week, apple. and apple is tough here. i would not be racing out to buy it. it's a 79 rsi. this is the most overbought we've seen apple in a long time. the problem is that doesn't make it an easy sell because overbought -- overbought statistically doesn't mean, oh, this is definitely reversing lower. stocks can be overbought for a long time and keep their up trend. apple is earning 47% on a gross margin basis. that is the highest gross margins for this company going back 12 quarters, so they're actually getting better on the earnings front and the gross margin front. meanwhile, you've got a golden cross here, a 50 day that just broke above the 200 day. the last time that happened was end of may 2023. the stock rallied 25% from there. so technically it's not a sell. fundamentally it's not a sell. it's a 25 multiple.

it's the lowest forward multiple since christmas 2022. apple right now you're looking at a shareholder yield of 4.1%. so i'm taking the dividend and i'm taking the buyback. so you have that support as well. so that's what makes it tough to be out of this market. you've got the best, biggest company in the world set up beautifully fund amountally and technically and the story is intact. yes, should you worry about risk? of course. but the big risk that i think we should be thinking about, it just hasn't materialized yet, and i don't know definitively that it will. >> you know it's going for its best week since 2021. josh is going to stay with us and then we'll talk to more folks on the other side of this. steve, it has to be above 213.27 to notch the best week. after we were together at wdcc and the stock had a fire lit

under itself the next day, i had a couple people ask me, did anything really significant happen at wwdc to cause a stock move like that? i'm sure you heard some of the same questions. how would you address that? >> yeah, i'll tell you exactly what happened here. investors got the a.i. story they were thirsting for this week. and the big reason, it's because they're betting it's going to drive more hardware upgrades because you need last year's iphone 15 pro or presumably the next iphone coming in a couple months to use apple's a.i. to put the moves into context, apple shares, like we've been saying, lagged behind big tech peers and despite today's dip, it saw its best week since may 3rd. but that's when it jumped more than 8%. now today's slip is causing some back and forth with microsoft this week for the most valuable company in the world. and today nvidia briefly surpassed apple in market value, and they've been trading back

and forth as well there. basically the three companies are all neck and neck for the most valuable spot. to note, this is another thing that has not been appreciated, scott, not all of those artificial intelligence features are going to be available on day one, even if you have that new hardware. that includes the chatgpt integration and likely others are going to be pushed into 2025. and still going to have to wait for that next iphone model in a few months to see what it has exclusively there. and, by the way, scott, microsoft k is launching its artificial intelligence hardware calling them the copilot pcs before we see apple's take in the wild. a hardware battle is going on between microsoft and apple. >> it's interesting, too, steve, it's not like you have universal praise all over the street about the stock. forget about wwdc, but the stock. you still have nearly a third of the analysts who cover this name

with holds. through the anthology of apple, you haven't really had that scenario. it's been two-thirds buys, almost a third at holds. that's interesting of itself. the analyst community still needs to warm to the shares. >> not just warm to the shares, we still haven't seen it prove itself out, so we have the idea behind it. everything that we saw, no one outside of apple has been able to test it and try it or work with it, so there's no way to evaluate if these features and everything they showed us are as good as they say they're going to be and, until then, we're not going to get a grasp whether or not that's going to drive the hardware like i was talking about. so there's still a lot of questions around the nature of this artificial intelligence push that they're making and again, like i said, some of the stuff will be pushed out until next year. if you're really excited about the features and you go and buy the new iphone in september or

whenever it ends up launching, you might have to wait another four or five months to get everything apple already promised you. that could factor in as well. some folks are waiting to see if the money follows the announcement basically, scott. >> not to mention some of the regulatory overhang, too, we're still talking about. steve, i appreciate you. steve kovach joining us. let's add to the conversation and bring in dan greenhaus and shannon saccocia, a cnbc contributor. it's good to see you. welcome. great to have you with us. how meaningful is it, do you think, dan, that apple has woken up, that the stock is participating in the manner it is and yet again today in somewhat unsettled market, the nasdaq is fighting for that positive territory. >> it's one of the largest names, one of the most important in the market. and so seeing it break oumt of its trading range is positive. what steve had to say about -- i don't think this is a particularly difficult question to have. it's going to generate an

upgrade cycle since you need a new phone. if you don't have the 15, let's say, you're going to have to start upgrading your phone, and it's important for investors to know and many do. you've gone from obviously replacing your phone every two years to now call it four to five years. if you can shrink that down a little bit, that's going to be meaningful for the hardware portion of the business, which explains much of the move if not all of it. >> shannon, do you want to do what people like tony pasquariello have urged investors to do for months now? keep your eye on the ball, stay with the secular winners, the mega caps, for the reasons articulated, buybacks, dividends, capex. you get to play the sword, offense, the shield, protect yourself in an unsettled market. you kind of get everything, and that was underscored this week. and you go where the action is in a.i. and apple told you what it's going to do. >> there's really these two themes, scott, that i think investors are trying to play this year. one has been the secular a.i. theme and one has been this idea

of manufacturing, reshoring and, frankly, continued strong economic growth. and josh pointed out very astutely earlier that we are seeing a little bit of weaker economic data and maybe you're getting perhaps a breather or a sigh that this re-acceleration from a manufacturing and industrial perspective is slower to move than maybe what we're seeing from an a.i. standpoint. i think with a.i. the challenge here is that you're looking for this next leg of growth for the economy at large. and if you're banking on a.i., right now you're expecting there to be increased capex, there will be some cannibalization. i do think there will be some have and have-nots in terms of technology over the next couple of months. look at what we see in health care with glp-1s. health care is struggling with that bifurcation. what is important, if we do think there is going to continue

to be fairly on trend economic growth through the back half of the year, a portfolio that has some of the secular exposure along with some cyclical exposure is probably where you need to be. what outperforms over the next eight or nine weeks? maybe it is some of the secular trends. i do think the cyclicals in the back hatch of the year are a place that you want to be allocating to if you do not have -- if you just have this concen concentration, if you will, in the a.i. play. >> dan, how do we assess this week and what it will mean in terms of the fed's statement and the outlook was undeniably hawkish, maybe the fed chair less so, but the market was focusing pretty heavily on the so-called dot plot, the idea we're not going to have, they don't think at this moment, at least what you glean from it three cuts down to one. now we are with this meeting down to one. does it matter? >> well, i mean, listen, in a larger sense, no. and let's look at the performance of the market this

year. we came into the year 14% lower than we are now, the ten year was lower than it is now, and we were pricing in six to seven cuts. and the market has gone up 14%. and all that stuff reversed and we're forecasting one to two cuts. on the one hand, no, it doesn't matter. on the other hand, listen, there's a lot of money to be made and has been made playing this theme in the futures market and more esoteric markets than the equity investor usually plays in. i think we came into the year knowing they were not cutting six or seven times. that was a gimme. one or two times now? i don't know. i think gun to the head the answer is probably one, maybe two, but either way, it doesn't really matter. all they're doing is taking the one cut they may or may not do this year and from a secular sense the economy is doing fine right now. profits are doing fine right now and that is why it is higher.

that's true for nontech names as well. we pay attention to the technology sector. plenty of other sectors and industries are doing well in addition. >> so, josh, i'm thinking about catalysts for the market. euro you're not going to get earnings for a few weeks. just had a fed meeting, so you can check that off. you don't get more reads on that for a month. i guess you'll get pce june 28th. you still have to wait a couple of weeks for that. what kind of catalyst do you see to take stocks higher? >> i actually think what will support stocks will be this continuance of economic data finally surprising to the down side. and when i use that term, as dan will tell you, i don't mean that it's bad data or that we're in some sort of, like, economic trouble. i just mean that we spent a lot of the winter being like, oh, my god, another beat on jobs. what now? you're going to have headline unemployment hopefully north of

4% -- not hope flip because i want to see high continuing claims or jobless spikes, but because it tells the fed that they don't have to come back with the hawkish rhetoric, or they don't have to hold back from getting back to a more neutral rate. so i think you don't need a catalyst. i think you just have this steady drip of inflation-related data that's cool enough. that's number one. then, number two, let's not pretend that the market is being run by logic or some sort of a formula. you have a catch-up trade already going on. in the first half of the year, you had to be in the a.i. names. you had to have at least an equal weight to them relative to the market. if not an overweight. if you want to keep your job, this will continue, unfortunately. people say, oh, is apple worth 25 times worth forward earnings?

is the sneaker worth $1,050 retail? no, it's not. it's terrible. but it's situational, because if you live in the hamptons you have to have at least one pair. otherwise, don't even bother showing up anywhere. to those people it is worth $1,050 at retail. think of apple, nvidia, the same way. they have premium multiples because they must be owned. if you're a growth manager, you don't want to be singing for your supper come thanksgiving, why wasn't i in these names? no catalyst necessary, judge. i think we can stay the course of balance with secular growth on the a.i. side and cool enough economic data. that confluence shade make for a nice summer. >> shannon, your thoughts on what josh just said? >> from a shorter term perspective, i agree with josh. there's a catch-up trade here, and i think the question if you

sit in the seats where many of us are in talking to clients, did i miss it? and i think what is an important point is that really making sure you understand where you want to be positioned come the end of this year, and if you know where you want to be positioned end of this year, this summer with the lack of volatility -- scott, we've had a 5.5% max drawdown. we've had one day over 2% move on the s&p 500. that's low volatility. this summer will give you the opportunity if you feel you've missed it, did i miss it, did i miss it? there might be that opportunity. think about where you want to be in equities in an environment where you're seeing decelerating inflation but still reasonable growth and the fact that earnings are continuing to grow if you look at the s&p 500. you want to make sure that wherever you think you want to end up at the end of the year, you focus on that and worry less on this path and what happens on a day-to-day basis because it could be a little bumpy as we wait for more micro data.

>> josh makes the point that -- >> josh lost me beyond the shoes. i have not been able to think clearly since then. >> he puts forth that the fed is going to cut one way or the other for either the right or the wrong reasons, you know, their hands may be forced to cut if you start to have the unemployment rate go up, a much softer economy and they will preemptively cut before it gets really messy, or they're able to cut because the inflation data is enough. you say we don't need cuts, but you think we're going to get cuts. >> sure. >> as long as the market believes we're going to get cuts this year, then it's hard to be negative. i feel like that's summing up what josh was saying more or less. >> i would pivot off that and say as long as the economy continues to grow and expand and profits are growing, that's more important than the level of interest rates. as we've seen, the fed has left interest rates north of 5% now for several quarters and the stock market has continued to grind higher even if you look at

the equal weight index that will flatten out, so to speak, large tech heavyweight. you're having an average year this year with interest rates at these elevated levels. i don't think it's the interest rate itself that matters so much as the economy. but, to that point, to build on what josh said and you summarized, if you start getting rate reductions for the right reasons, to borrow a phrase from "the bachelorette," the economy grows but inflation normalized to lower interest rates, the question for investors is not whether the market will go higher, because i think the answer in that will be yes. the answer is whether or not that is the catalyst for a broadening out, i.e., for much of the 2010s we spent our time on the network coming on here saying i'm going to pay up for growth where it is because there's growth nowhere to be found. companies like whole foods were trading at exceptional valuations during that period and today you're having these names that are driving 40, 50, 60% revenue eps growth attracting a lot of flows and attention, so they've had a lot of growth when everyone else

hasn't. as rates come down and the economy broadens, or i should say as the economy continues to grow, does the rally broaden out from there? is that your catalyst to say, okay, i've realized my gains in nvidia. the real gains in apple aren't going to come for two years because i don't need the next phone, the real benefits will come two phones from now. maybe i'm going to start looking at a caesars or -- i'm picking random names here. that's the interesting conversation the back hatch of the year. if you start to get rate reductions, if tax policy -- because the election will be a thing -- if tax policies will start to shift in a more favorable for investors, do you see the other sectors and industries participate in the rally to a greater degree? >> we'll leave it there. thank you. have a good weekend, everybody. let's send it to kristina partsinevelos for a look at the biggest names moving into this friday close. shopify stock has been on a tear, up 14 of the last 15 days, as it tries to claw back from a

sell-off after a disappointing first quarter results. evercore believes it is a good entry point to get into the name because of the e-commerce's growing market. shares are up almost 5%. still off the 52-week high. cloud security company zscaler moving higher. the bank believes it is trading at a discount like we saw with shopify and called it a best of breed company, but still has a lot of ground to make up. the stock is off by 17% so far this year. you can see shares up almost 2% right now. scott? >> kristina, thanks. back to you in a few. kristina partsinevelos. we are just getting started here on "closing bell." up next, cleveland fed president mester weighing in on potential rate cuts and now chicago's goolsbee just wrapping up a fire side chat moments ago. we'll give up the head lines and the highlights and discuss what it might signal for chair powell's next move just after the break veli at the new york stock exchange. you're watching "closing bell."

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we are back. chicago fed president austan goolsbee saying last hour this week's cpi data brought him, quote, relief, and that he would feel, quote, very good to see a few more months of data like this one. for more let's bring in cnbc senior economics reporter steve liesman. steve, it's good to have you on after a really important week, obviously. how would you sum up how -- what the takeaway should be? you had a statement and an outlook that was hawkish. i didn't think the fed chair himself was hawkish at all. >> yeah. i mean, i thought overall the fed was -- remained spooked by the first three months of inflation and was unwilling at this point to say the couple better months we've had have really offset that. i think it's because it's a 3 to 2 score right here. it has been an amazing week. i don't know if you have the

chart of the past seven days of the two-year note, but it's worth going through it, scott. to remember what we've been through, it looks like sort of a bad scene from the roadrunner and the coyote. that surge in yields, that's your payrolls. then it plunges on. cpi. comes back as the market overall judges the fed to be kind of hawkish, and then plunges again when you have the ppi. we're down about 21 basis points on the week. it was a good week for the doves, scott. it was a good week if you are holding u.s. bonds, the at the point year or the two. the market is ahead of the fed when it says we are extrapolating from this data that inflation will come down, and you're going to have to cut come september. >> i wonder if a lot of the conversation in the market is going to start becoming too high

for too long. is the fed going to wait too long to actually cut rates in the face of some squirrely rates. it's not like every economic read has been strong, it was decidedly weak. >> i think there are now reasons to be somewhat concerned. g goolsbee was just talking about that, saying he's seen certain pain in the economy. he talked about pain in the agricultural sector, a rise in delinquencies, inflation is really good. we can avoid recession here, but there is some concern out there the unemployment rate was one of those. the jobless claims was another. there is reason to think about it. i'm not ready to write off the expansion here but maybe we are indeed, scott, a year after the fed hit that peak rate of 5.40 seeing the lags for monetary policy start to hit the economy,

and there will be a time for the fed to move, and there is reason to worry the fed will be late here. that's why i pointed out, scott, talking to gundlach, a great interview on your part, i said the fed sounded like a ground hog that had come out of its hole in march and saw its shadow and declared six more months of inflation. the market is more like, hey, it's kind of warm out. it's kind of sunny. it's a summer weekend. i'm ready for the beach here. >> gundlach agreed with every point you made once you came out of the room and the fed chair talked about two-sided risk, too early versus staying too long. mester told you as much, too. really focusing on the idea of cutting too late, right? >> it was interesting, loretta mester was maybe best known in the day as a hawk, and she's maybe more on the dovish side

right now. i think she is concerned about the lags. you either think monetary policy works or it doesn't. if you don't think it works, i'm not sure as a central banker you're in the right business. these guys have to rely upon the fact them believe they're restrictive and inflation will come down, the economy will soften, and you're going to get the results on inflation. goolsbee declared, we are going to hit our 2% target. it's going to be tough for them to do that. they have to believe in what they're doing here and i think the market believes in it. i don't know if we'll talk about this today but maybe in the next couple of weeks we might be on, depending to the data, the fed mistake trade, right? at some point you start to see the ten-year yield decline because the market becomes concerned the fed is too late and driving the economy into recession. >> i'm not soap sure -- so sure.

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we are back. the s&p and nasdaq hovering near record highs. the nasdaq trying for its fifth

record close in a row. both averages on pace for a winning week. here to discuss, john spallanzani here at post 9. welcome back. >> thanks, scott. >> you're still bullish? we're in a bull market, therefore, we're bullish. >> pretty simple, right? we try to keep it simple. >> there has to be more nuance than that, no? >> i think what we saw come into the year, people were offsides, obviously. they department believe in the a.i. story. they front ran a recession that never took place. more money is lost waiting for a recession than in a recession itself. i think that's what we had. the data is normalizing, and the fed is, hopefully, going to normalize rates soon even though they said they weren't going to be too fast on the trigger. >> you used the word hopefully. are you worried? i had a conversation with liesman. are you worried about the fed staying too high for too lopping a -- long and making a mistake?

>> we don't want a soft landing turn into a crash landing if they stay higher for too long. obviously they're higher for longer because they made a huge mistake when them said inflation was transitory, so they've had to walk that back, and they're still trying to walk that back. we see inflation has come back to what it was. he mentioned 2019, and i quote data about pce, inflation and unemployment, where it was back in 2019 prior to the covid pandemic. and really it's kind of back in that range where we were between 2017 and 2019, let's just say. so basically everything is normalized except the fed. so we're not asking -- we're not making rate cuts to ease, we're making rate cuts to normalize, and we have the ecb cutting rates, the swiss national bank cutting rates, and the fed is doing nothing. so them doing nothing puts a lot of uncertainty into global markets not to mention what we saw in france today, macron as

well as the markets over there, and after powell's press conference, what happened? the euro weakened. if we look at yield curves around the globe, yields are still up rather than down, which is where them should be going right now. >> is that why you guys continue to lean into mega cap tech whether it's nvidia, meta, microsoft, amazon, of course, which you've been adding to? most of the names on up list you've been adding to over the last month. >> no, we have those names. we haven't added to them in the last month. nvidia was a huge move, the last time we were on it was 800. now that's 1,200. earnings went from $2.50 split adjusted in 2023 and they're expected to do $37 in '26. that's a huge move. obviously the stock has had a huge move. they have a huge stack and a.i. is a secular trend people call

it the next electricity, whatever. even erik smith said we haven't seen anything yet in terms of a.i. those are big secular trends not to mention the government printed $5 trillion. all that money went into big is beautiful, right? the big stocks, big balance sheets, moats, everything, and they took advantage of all that cash. yet we still see regional banks, kre still under 50. we see the russell struggling today. why? because they need cuts. and we also saw caterpillar, some industrials and terms start to quake a little bit because the fed was so hawkish. >> people see you and they think two things -- amazon, generally speaking -- and bitcoin. what's up with bitcoin? so it goes over 70 and now it's backed off. if it's such a ba rometer of rik and is so tied to the nasdaq in some respects, that's what people said, why is it not up with the nasdaq now? >> i think a lot of people got

excited about the etfs. that's why it wept over 75,000. all the energy that a.i. will need, how much energy are they going to draw away from the bitcoin miners, who will mine the bitcoin? bernstein just came out today. they said they have a million dollar price target on bitcoin in 2033. i think carl sent that out, said it as well. an 80% higher bogey on that and expect the stock to go up. i think they have 2026 or 2027 they have bitcoin 200,000 plus. >> all right. we'll leave it there. spallanza. >> be happy. it's a bull market. up next, we are tracking the biggest movers as we head into the close. kristina partsinevelos always happy is standing by. >> i am always happy, but i'm going to start with a negative, because one retailer saying we're in, close, the worst housing market in 30 years. another expects a big earnings

bump thanks to monopoly go. i'll explain all after this break. happily. ♪ ♪ ♪ ♪ ♪ ♪ ♪ ♪

well, we're less than 15 minutes before the closing bell on this friday. back to kristina now for a look at the stocks she is watching. tell us what you see. >> monopoly go -- it's not getting the credit it deserves.

that's what bank of america analysts think arguing it will provide more profit upside for hasbro, and they believe the release of transformers in the second hatclf of the year will a driver which is why they are upgrading hasbro and shares up 6% today. a rebound, though, wasn't in the cards for rh, the luxury retailer reported a much wider loss in q1 that expected. management said they are investing in the worst housing market in 30 years. that's what you want to hear. shares down 17% right now. scott? >> kristina, thanks so much. that is kristina partsinevelos. still ahead, industrials feeling some pain this week. in stowed today's session we drill down in the key name igngn the sector. we will be right back.

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coming up next, shares of boeing falling in today's session. dropping more than 30%. we'll tell you what's hybehind e latest slip and what could be at stake. that and more, we're taking you to "the market zone."

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♪ we're now in "the closing bell" market zone. mike santoli here to break down the crucial moments of this trading day plus phil lebeau with the latest on the airlines and seema moody on big movers in the industrial space today and this week. first, though, mike santoli, your great insight for this week, your takeaway is what? >> winning ugly. all-time highs on the s&p 500 but pleasing nobody along the way because of all that's not working. even today you have banks and industrials down 1%, consumer cyclicals as well. so doing just enough. the high conviction areas of the market are pretty narrow, but they're very strong. and i think that continues to work for the moment. it's not as if the rest of the market falling apart. the equal weighted s&p is down 6% on the week or something but the market is unwilling to jum

to that point where it will assume we're back in resilient economy, the fed will cut, and celebrate this down move we've had in yields. so kind of a churn state underneath. june, late june, sometimes a little bit spotty until you get into good seasonality in july. >> phil lebeau, boeing is down 2%. what's going on? >> you have boeing issues, you have airline issues, scott. we'll get to boeing in a bit. let's start with the airlines, a couple headlines involving southwest has put pressure on the airline stock today, but keep in mind all of the airlines are down here. so that's part of the reason why southwest shares are under a little bit of pressure. the faa is now investigating a couple of incidents involving southwest flights. now these got attention when the head hlines came out, af aborte landing in hawaii. dutch roll in california. dutch roll is very uncommon in a commercial flight. imagine the tail going sideways and up and down at the same

time, caused some damage to the fuselage. by the way, the ntsb is also investigating what may have happened with that flight. as for boeing, it's under a little bit of pressure again as people continue to say, where is the bottom here? the latest is that you have got the investigation into why some counterfeit titanium made it into boeing planes, airbus planes, at spirit aerosystems, their main supplier. that's just one of those head lines, scott, people look at and say, what next? by the way, boeing's ceo is on capitol hill next week. will be testifying on tuesday. >> more questions about quality control at boeing. i think that's what the bottom line is. phil, thank you. that's phil lebeau. to seema moody looking at industrials. this name is not helping that space. >> exactly, scott. msc delivering a q3 profit warning sending construction names down, with it including

fastenal, ingersoll rand, a q3 profit warning. the price of steel is not helping the steel makers. that commodity down another 11% this year. analysts blaming china for injecting excess inventory into the market. jpmorgan lowered its price target on nucor and you'll see the stock trading just below that. those two catalysts behind the underperformance in industrials today, scott. >> good stuff. seema, thank you. appreciate that. you just got the two-minute warning. mike santoli is back with us. seema used the word catalysts. pce is not for a couple weeks. earnings are not until after that. i guess we have fed speak to go on. >> we do have fed speak and the first wave has plenty of relevance in terms of what they want to push back on, recharacterize or emphasize. it does matter. the market the last couple of days has come around to the idea

that not too much changed about the fed stance, even though the market is getting impatient to see a clearer window toward potential ease. at this point i think we can live with it with longer term yields coming in a little bit. the industrials moved on. that was one of these little clusters of high fundamental conviction. you do have some of the names playing off the massive capex move. fastenal up 40% in the last year. so i think the idea people got a little too comfortable with raising earnings estimates and having this little bit of a jolt is a correction in a very strong theme not necessarily something that says the economy is in trouble. >> all roads go through technology right now? >> yeah. still do. i mean, apple is very significant, but the move in semis is just kind of white hot at this point. you have to be careful. there's been a ton of net inflows in the etfs and the semiconductor etfs. it's not about standing in the way of them or getting out of

them, it's managing expectations how much more you can get out of them in the short term. >> i'll see you on the other side of the weekend. happy father's day. the bell rings, we have a mixed market that we'll go out on. i'll send it to "overtime" and jon fortt. well, the nasdaq outperforming, looks like it closed in the green, big gains for the weekend. setting another record close as names like adobe and broadcom rally. that is the scorecard on wall street, welcome to "closing bell overtime." i'm jon fortt. morgan brennan is off today. coming up on today's show, are more cracks forming in the consumer story? sentiment missing after rh plunged on results. we'll talk to an ex personality about the disconnect he sees between what the market is saying and what consumers are saying.