the olympics. it's thursday, june 27th, 2024 and "squawk box" begins right now. ♪ good morning. welcome to "squawk box" here on cnbc. we are live from the nasdaq market site in times square. i'm melissa lee alongside joe kernen. becky is off today. andrew is at the aspen ideas festival. he will join us later on in the show. let's get a check of the u.s. equities. we see pressure pre-market from shares of micron as well as nvidia. micron reporting yesterday that beat expectations in terms of the last quarter. the current quarter guidance was not overwhelming. we see micron down 5% pre-market and nvidia down 1% pre-market. that is having an impact on the nasdaq down 42 and the s&p down

8. checking on treasury yields. the ten-year yield at 4.335%. 4.751 for the two-year treasury note. the yen is also a big story that system pacting the treasury market as well. it hit a 38-year low against the u.s. dollar yesterday. $160.88. the thinking about intervention. it is almost a foregone c conclusion. that's something to watch. >> you got your notebook? >> i have a notebook. i write notes every morning. >> i don't know what you do. becky today's that, too. >> i have it by date. >> go to a blank page. >> okay. are you going to try to guess numbers? >> i'm going to tell you what's on today's "squawk planner." >> i'm throwing my pen. >> do not throw that down. >> whatever's in the "squawk

planner" is already in my notebook. >> i take notes during "fast money." today's "squawk planner." several economic data points. you have gdp revisions and weekly jobless claims and may durable goods due at 8:30 a.m. may pending home sales comes out at 10:00 a.m. we hear from walgreens around 7:00 p.m. i've told you that all my movie references are too old. if i went into walgreens, it was like once every couple of years. now i walk in and it's mr. kernen. remember t"the graduate" and he has a fake name. everybody knows him. that's me now at walgreens which is a sad commentary. i'm not going to tell you what i buy there.

you can use your imagination. >> i assume gummy bears. >> they call the retail part the front. the back gets plenty of business. >> from the weight loss drugs. >> this is all natural. >> not for you, but in general. >> for other people. >> yes. >> i thought about it. haven't done it. on the agenda, president biden and former president trump will face-off tonight in atlanta. this is an event hosted by cnn. you can watch live coverage on nbc at 9:00 p.m. we will talk about the debate strategy for each candidate with pollster frank luntz. we will talk to bill bailey. we will get advice, probably, for president biden from bill bailey. tactful. moderate.

reasonable. and then chris sununu. he was a huge nikki haley supporter. now he's on the trump bandwagon. people point to him. what about that stuff that you said about trump? it's the republican nominee. he's a republican. that's what people do. think of the people that are doing back dflips to defend joe biden? they probably know -- not is particularly thrilled, maybe, on either side. you will hear that -- remember kamala harris and joe biden at the debate? politics. things happen like that. it may look like we have issues at times. we don't. the love is there. underneath the surface. way under. >> way down. >> layers under.

you need a drill bit. >> or a chisel. shares of micron are lower. they are looking for the current quarter guidance in the proj proj projection, but fell short of the lofty expectations. micron said demand is sluggish in pcs and smartphones. before the drop today, the stock had been up 67% year to date. micron's ceo will be on "mad mo money" tonight. they said they are mostly sold out for full year 2025, but some analysts are saying, like tsm, are fully sold out. >> should i look at it as commodity memory or you have to have proprietary stuff now? micron?

>> you should have proprietary stuff. d-ram business is cyclical. now it's escaping that. >> the stock is doing much better. over the years, it was feast or famine. >> solely on the price. meantime, bank stress test results pass. the stress scenario included u. unemployment surging to 10% and customers real estate plunging 40% and housing prices falling 36%. in the hypothetical scenario, banks could absorb $345 billion in losses. now they are looking for any plans of capital allocations. the fed said it won't happen until friday after 4:30 p.m. others say it will not happen until basl 3 is ironed out.

>> those numbers sound horrible. that could never happen where we are today. we know never say never. we had a pandemic -- >> right. >> somewhere in the world, they are vaccinating people about bird flu which when they try to scare you, they say mortality rate could be 50% for bird flu. i don't know. probably very unlikely. remember before covid? the reason we initially didn't think covid would necessarily be like that because we have been through mrsa and sars and so many other pandemics and that took hold and now we are ready to accept another one. hopefully bird flu is not like it. 10% of war and dirty bomb?

it is hard to imagine 10% unemployment. >> massive cyber sdattack on th grid. look at the impact one cyberattack had, cdk, on the auto industry? >> right. >> on the grander scale, that is sm small. you see how an industry can be at threat. >> the kinds of things they were talking about to get us to 10% unemployment. i'm more worried about those events than whether the banks are able to weather. it is important. you don't want the financial system collapsing. the type of scenarios you are talking about have their own set of scary things. >> a whole set of worry. >> we do.

i do worry. i worry about the guys that can't get back. what if boeing has to ask elon to bring those guys back from the iss? that's sad. boeing facing new whistleblower claims. the subcontractor mecca ledges retaliation by spirit aerosystems after work he observed on the dreamliner. he witnessed holes improperly drilled on the bulkhead that deviated from the specifications. boeing said the claims were reported and thoroughly investigated and pose no safety concerns. regarding the whistleblower claims of retaliation, boeing is not involved in the personnel decision of subcontractors. a spirit spokesperson said they are looking into the matter and

encourage all to come forward with the company's protection. i'm not going to reference the last couple whistleblowers that maybe are not with us at this point. >> are not with us? >> maybe. a couple are not with us which, i'm sure, is nothing more than coincidence, hopefully. >> that's what they say. >> yeah. lall right. as the aspen ideas festival, le le lester holt asked sam altman about the board firing him. >> brian was enormous help. he was obviously a super painful experience, but i do understand why anxiety levels have been so and are so high. i think the previous board members like they're nervous about the continued development

of a.i. and had whatever feelings about me and what we were doing. i strongly disagree with what they think and things they said since and how they acted, i think they are fundamentally good people who are nervous about the future and trying to figure out how we get to a good outcome. i'm super excited about the new board. they're extremely constructive and helpful and experienced and strong. it's been a very propductive thing. it was hoarrible at the moment. n the period after that, where i just had to pick up the pieces and state of emotional shock, was really bad. >> what i noticed in the first 24 hours, was not a lot of people sticking up for sam. and in my darkest times in my crisis, i had people stick up

for me. that's what i wanted to do for sam. >> much more from the aspen ideals festival throughout the morning. coming up, the amazon market cap surpassing $2 trillion. ce tt the fifth tech company to exedhalevel. we're coming right back. old school hard work meets bold new thinking. to help you see untapped possibilities and relentlessly work with you to make them real.

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the s&p 500 and the nasdaq logging back-to-back gains. joining us now is kari firestone. more to come, kari, at this point, in your view although we're halfway through the year and up from last year. >> hi, joe. i think the rest of the year could be more volatile than the first half. we've had really no correction if you go back to the beginning of 2023 and it has been almost a straight line higher. it's been more and more conce concentrated. that becomes an issue when ten companies represent 76% of the gains in the s&p for six months. that's pretty extreme. we have seen it before, but this

has been extended for a long period of time. primarily, nvidia's 34% of the gain for the whole s&p, the 15% for the entire index and 34% of that is nvidia. we think that there is upside, but we feel that we could have some ups and downs along the way through the rest of the year. there's no risk recession and unemployment is low. we still have an economy that is positive. we have not fallen as so many people have predicted and we continue to grow. on the other hand, it's a soft landing still. >> you may not -- if you don't want to play those leaders, you may want to look at some of the other areas because you always have to be invested, kari? >> we are highly invested. >> you don't go with cash. you imply volatility in the top ten, so there are other stocks

that you think are overbought. >> exactly. we own the big names. if we look at what has not moved or what has been hurt by all this huge surge. if you have all of the money moved into nvidia in the past 12 months, that money did not just come from cash. it came from other names. other than microsoft, for example, and meta or google, if you call them software companies, so some extent. autodesk or adobe or salesforce, those stocks have been hurt as people have moved away from enterprise software. we think they offer great opportunities. their multiple is are down. autodesk has started to move higher. adobe has started to surge.

they offer mission offers. they have to move capital spending back toward the software environment and not just spend it on chips. there aren't even enough a.i. chips available for people other than the big buyers to own. we like those names. we also see opportunities in names like american tower. american tower has been an under perf performer. it has a lot of debt. they had sprint transition. they had properties in india that weren't working. we think they have things moving in the right direction. the stock is selling at a low pe relative on their cash flow and everyone needs more and more digital communications, plus amt owns a lot of digital storage centers, which is another way of actually to play artificial intelligence. we like that.

the last name i would give you is thermo fisher. this is a stock that benefitted through covid with the testing, of course, and the stock had a setback, naturally, because we weren't in covid. now it starting to come back. we see the earnings growth continuing. next year, we will see better numbers than we have seen for quite some time. also, you mentioned bird flu earlier. >> don't you dare use bird flu as a reason to buy this stock. >> okay. >> shame on you. >> anything else. anything else that turns, they will provide tests for it. >> you know that company well. that's a local company up there, isn't it? >> a long time. it's in our neighborhood. >> and fisher. that's a route 128. >> route 128. >> company. >> i know. i used to work on route 128. >> all coming out of the great schools. once again, a way for you to get

to the harvard connection. all right, kari. you like kari or kari? you know what i'm thinking of? >> you can call me whatever you like, joe. i'll call you joe. >> all right. kari. spelled k-a-r-i. all right. kari firestone, good to see you. >> take care. coming up, the ceo of airbnb talking about the paris olympics and the taylor swift eras tour. "squawk box" will be right back.

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headlines from the aspen ideas festival where nbc universal is a media partner. andrew is there and he spoke with brian chesky about the state of summer travel demands. >> what are you seeing travel wise? is it yolo? >> i don't think we're ever going back. i think -- i think what the pandemic did is travel and experience was taken way from people and sometimes things were taken away that don't go back. this is something that is innate in all of us. i think there is this appetite for experiences that is actually

greater in travel than pre-pandemic. i think it is how people want to spend their time. i think we're more mobile. now more people can do jobs on la laptops. there is a lot more travel because people are flexible. i'll give you a couple of exams. the total eclipse. we saw the amount of bookings along the solar he eclipse. another thing we're seeing is the olympics. we are literally seeing hundreds of thousands of bookings in paris for the olympics. imagine the olympic stadium. imagine filling four or five olympic stadiums. >> we will see you there. >> yes, absolutely. >> one of the properties is part of the -- is it technically part of the icons? >> we took the cloakroom and turned it into the airbnb.

we took the design which is the best seat in the house. it overlooks the seine. >> you book it? >> thousands of people. one winner. >> how many icons total? >> i think we launched 11. we announced three more since. we announced the inside out house. we announced the "incredibles" house. these are truly once in a lifetime experiences. >> is this one you can tell us about that hasn't happened yet? >> yeah. last year, the "barbie" movie came out. we turned a house in malibu into the barbie dream house. if you have seen the opening scene, i want to start building enter streets and worlds. it would be fun. almost like disney or a level of

detail you have never gone to. >> taylor swift effect. does it concern you that it is not a repeatable thing? >> it doesn't concern me because i think our business is so adaptable. people stopped going to cities, but less urban areas and staying in big homes. we have seen a 70% increase of bookings where taylor swift has a concert. there are huge opportunities. we have euro cup and we have olympics. i think events are going to be a big part of airbnb's future. why do people go to twaylor swit concerts? they go for the shared experience. i think -- here is my theory. the more time we spend online and on devices and getting the connection and it never feels like the energy, people are gravitating to concerts and stadiums and festivals and conferences like this. you will see more like this. >> what's going in barcelona

right now? apparently they want you out. >> this has been a very long -- over a decade long story in barcelona. we worked very hard. barcelona is a more difficult challenge for us. we are trying to find and continue ways to operate and be successful there. >> what do you need to do to convince them? >> here is the one thing i learned. you have 100,000 cities. there's barcelona or new york. it turns out there is not one person. take new york. you have the city council, you have the mayor, you have the different parties. you have real estate developers, you have hotels. you end up having enormous number of stakeholders and here is the other thing, all of the stakeholders change every few years because people come and go out of office. these cities are living and breathing organisms and you have to have many relationships with the cities and every few years, they might start over.

imagine doing this in all these cities. it's a lot of work. >> in the next hour, more of andrew's interview with brian chesky. more in the next hour of how he feels the shape of travel is moving. and we will talk to an analyst next and we will speak with frank luntz on each candidate. as we head to break, here is a look at the s&p 500 winners and los losers. with e*trade from morgan stanley, we're ready for whatever gets served up. dude, you gotta work on your trash talk. i'd rather work on saving for retirement. or college, since you like to get schooled. that's a pretty good burn, right?

good morning. welcome back to "squawk box" live from the nasdaq market site in times square. a little red. not too much what happens. we will see what happens as we get in the session at 9:30. we got there at 5,500.

>> a lot of analysts are 5,500. >> now they are talking year end. now to the stress test. federal reserve announced the banks can continue to lend to consumers and corporations. joining us is the senior north american banks analyst. all 31 banks passed. there is an issue of how well they passed. people keyed into that. goldman and wells did not look good. can you walk us through why? >> thanks a lot for having me. we said this going into the stress test and inherently opaque. as you pointed out, goldman and wells did not look as well with the stress capital buffer. the requirements go up year after year. you will see it from the

near-term standpoint, the stocks come under pressure this morning. again, it takes you back to how intertwined all regulations are on banks it looks at equity and the outlook for the sector. >> does it underscore wells' higher exposure to consumer and maybe that could be a concern for investors? if you are a believer the consumer is under pressure? >> i think the conversation you and joe were having earlier, it is worth looking at the hypothetical scenario. it is drastic. i think it needs to be put in context. it is hypothetical and opaque. as we think about fundfundament you worry about consumer and credit card loans. it is good to think about the losses if the economy doesn't

have the soft landing many are hoping for. >> do you think any of the banks will announce yincreased payout? it would be pre-duent for the banks to hold on. >> yes, i think this uncertainty where we see any clarity before the elections or not and which the regulators take. the one name that sticks out is citigroup which saw relief. that is increasing buybacks and investors would like to see that with the positive results. >> how about jpmorgan chase? jpmorgan chase had a large payout. jamie dimon said our capital cup runeth over. should we expect more from jpm? >> the thing about jpm, they have $50 billion of excess capital after the increase last night. it is less about the minimum requirements and more about the

ceo jamie dimon's views and the macro and things could get worse and having dry powder. it is a function of management view of the outlook and their valuation as opposed to having the wherewithal to buyback stock. >> are you less and less worried about a hard landing in commercial real estate? have the fears abated? the larger banks don't have as much exposure, but the regional banks do. >> that's a great question. the unique sort of stress points in and of itself. there are all other things. i worry about all of the things and if we get into a stagflation. inflation is sticky. you get the worst off and cost of borrowing is still high for the landlords. you could get there.

every monthly move without the fed having to cut rates, you worry about that scenario and less about the back half of the year, but in 2025. >> it is an issue still? >> it is and you see the banks reacting to the negative rates. the stagflation scenario could create pinpoints next year. >> thanks for coming in. coming up, showdown in atlanta. we will talk about debate strategy with pollster frank luntz. as we head to break, here is a look at the currency check. >> announcer: currency check is sponsored by interactive brokers. the best informed investors choose interactive brokers.

joining us now with what to

expect from tonight's presidential debate is frank luntz. fil pollster and political strategist. this is just for musings, frank, about what to picture? expect? it will be so many things to anticipate or predict? let's start with the format. it doesn't seem like a debate where mics are cut off and no audience? it is almost like someone gets asked a question and they get to finish it and the next guy gets asked a question and maybe he can respond to the previous one? how do you see it playing out? >> the mics are actually close enough where they are standing that if yyou cut off a microphone, you will still hear president trump if he disagrees with joe biden and vice versa.

i have something very specific for both candidates. number one, they need to have three rhetorical questions where there is simply no answer. such as ronald reagan. are you better off than four years ago? are you safer today? in all three cases, the answer was no. that was the end of jimmy carter. start with three rhetorical questions. second, you have to have three u successes. they were both president. compare inflation. that was donald trump's success. compare ships and technology. that's joe biden's success. you have to have three. one is random, two is a trend, three is proof. next are the three key priorities. nothing matters more than affordability. which dmicandidate will make yo

day-to-day life better? the second issue is immigration. who will fix the border? by the way, that's another clear advantage for donald trump over joe biden is the border situation. now, for biden, he's going to talk about women's health and he's going to talk about the abortion issue. in the end, you focus on three key priorities for the future. finally, one audacious mission. cure cancer, send a human being to mars. something that gets people to dream. those are the four key aspects that make a difference in this debate. >> what about the moderators? will stories be written about that tomorrow? will stories -- >> it will get attention. by the way, the moderators, the trump people will beat up on the moderators because that's what they do. the biden people will beat up on the moderators because that's

what they do. the fact is, it's a thankless job. it is chris wallace who regrets doing it in 2020. everybody beats up on the moderator. the campaign that does the most yelling at the moderator is the campaign that knows it lost. if you believe that you appealed to voters and you were successful in your messaging, the moderator doesn't matter. if you believe you failed, you will blame the moderator for your failure. >> i guess we don't need to share everything we were talking about. usually i do. >> sounds like you're on that road, joe. >> we are going to look at the mental an cku acuity of the can, frank. people think trump was demented when he was 30 or 40 or 50. they just think he's demented

because they have tbs. he is still the same donald trump. i don't see him missing a step. i cannot say the same for president biden. >> i'm not going to take the bait. that's a really good point. voters are turning in. i think joe biden has more to prove. i'm taking joe biden's side. >> can he do it? the state of the union, frank, was a teleprompter. being able to read a teleprompter with energy and vigor is one thing. remembering facts, dates, names, maybe for seven days he's been just saying it over and over and over again. you know, he could go play "hamlet" because he memorized lines for a play or something. >> you are really musing this

morning. i want to make a serious point. expectations for joe biden are lower than donald trump. this is what trump has done. his campaign made a big mistake. month after month, they criticized biden's inability to serve as president. so, here's the deal. we went through this back in 2000 with al gore and george w. bush. when bush took the stage and able to complete complicated thoughts and had policies, he so exceeded the expectations that gore had set for him that bush was the winner. same thing in 2024. if joe biden comes out and has a clearly defined game plan and clearly defined priorities and clearly defined success stories, the thing is joe biden exceeded he expectations and won the debate. >> the expectations are low for

a reason. we are asked to don't believe your eyes. what else will they tell you at this point? >> it is believing our ears. i think we'll see each other tomorrow annd you'll get a chane to see. we found -- 15 voters from the swing states to watch the debate. these are people who don't like trump and don't like biden and don't like robert kennedy. they will vote for the least wo worst individual which is sad for democracy. i'll show you which clips and sound bites made the biggest difference. i will tell you i'm more interested in the opening 30 seconds for each candidate and closing 30 seconds than i am anything else in the entire debate because the opening and closing will make the difference in how we make up our minds. >> frank luntz, we look forward to seeing that friday, i guess.

see you later. thanks. >> thanks. >> is that tomorrow? after thursday. >> today's thursday. >> did i share everything? kind of. >> no. we talk about a lot of things. coming up, a.i. generated al michaels will rrnaate the olympics next month. we have the details after the break. helps secure tomorrow. our time-tested fixed income suite, backed by over 145 years of risk experience, helps investors meet their goals. pgim investments. shaping tomorrow today.

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let's talk about the olympics. our parent company nbc universal is using now the a.i. generated voice of legendary broadcaster al michaels to narrate a customized daily highlight reel of olympic events for peacock subscribers. peacock's program has been trained for michael's nbc clips

to formulate coherent, realistic sounding sentences. michael's granted approval for the use of his voice and subscribers who want the daily highlight reel can select the olympic events that interest them most. and the type of highlights they want to see. peacock's a.i. will work each evening to generate a custom package using al michaels' re-created voice, which will narrate the events. he gave his go ahead, obviously. he's watched it. he was absolutely flabbergasted at what he saw. you know, he's not criticizing it. i think he's a little bit shocked that, wow, you really don't need me, but just to talk about this, this man, i mean, he didn't win a bunch of nba championships, and he didn't win seven super bowls or whatever, but he is the goat of this.

and he's got the -- of what he does. he's got the most famous line ever, some people think it was do you believe in miracles? i think it was, i think it was this, i think we have it. >> live from the most powerful city in the world, new york. this is "squawk box." >> now that's not a.i. generated. that's real -- >> why we don't use it anymore, maybe we can, i don't know why, he's a viewer, a friend. he's, like, an incredible guy. he's so good that -- so he does -- he does -- i think 11 nfl games, i think, on -- that's what he's down to now. you know what his salary was? $11 million, i think. so it is like, he shows up, got to go to a football game, going to do the play by play, and someone's going to write me a check for a million dollars for what i do. >> he's that good. >> he's that amazing. that's my two cents on al

michaels. maybe he's watching right now. don't know where he is. saw him not too long ago in los angeles with his lovely wife. lovely guy and he's 79 too. so all you people who think i'm going somewhere -- >> always a.i. joe too. >> going to come together, not go apart. >> a closer look at the pharma stocks poised to benefit from e rge in the popularity of weight loss drugs. that's coming up next. >> announcer: executive edge is sponsored by at&t business. sponsored by at&t business. next level moments i'm really just here for the at&t internet, it's super-fast so, any pre-launch concerns? what if nobody buys them? that's mean level network. oh, i hadn't thought of that that's probably not gonna happen can we handle that kind of traffic? the network can handle it!

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near an all time high, starting more than 90% over the last year. joining us naow, louise chen. great to have you with us. a huge rise in lilly and novo. and the only criticism that one might have is that maybe people are getting too ahead of themselves in terms of pricing into the stock, what future demand is. how do you address that as an analyst in terms of all the future applications they just released the positive sleep apnea data, so many other indications for the drug, which are still being studied that perhaps we're too far ahead of ourselves. >> i don't think people are too far ahead of themselves on lilly. i think lilly and novo are interesting stocks. we have buy ratings on them. i think the downstream applications can be huge for the company and blockbuster products as well. and the one thing for these products to remember is they might likely get better reimbursement than obesity. >> right. exactly. they may be more likely to

reimburse for sleep apnea instead of obesity. in terms of the medication coming online for future, better glp-1s, there is so many other smaller players, how do you assess what the competition is out there? >> i get asked that a lot. i think for the smaller companies, the thing you have to keep in mind we don't have data for a lot of the products yet. in order to get into phase three, they have to have the commercial products. it is not clear the data is overwhelmingly better than what lilly and novo have shown. i think that remains to be determined. there are a lot of other mechanisms of action that are happening as well. but i feel that some of those are just trying to get into the market a little bit later in the game with something a little bit different shaded. >> novo just announced $4 billion investment into new manufacturing. how do you sort of model out what they will need in

manufacturing. are they trying to meet the need that exists today with a manufacturing plan that will open up in a couple of years. and will the manufacturing needs change as they explore new formats for the drug. >> yeah, so i think lilly and novo are ahead of the game on manufacturing. and they have been doing it for a few years now. it will probably take a few more years in my view to get up to scale to meet demand. that being said, i do think that they have very good manufacturing and they're going to be very successful in that perspective. that's something that smaller players really have to contend with as they enter the market. our estimate is that it takes tens of billions of dollars to build a manufacturing network and five years from the time you break ground to get up to capacity and scale. >> right. louise, got to leave it there. thank you for joining us. >> just after 7:00 a.m. on the east coast. you're watching "squawk box" on cnbc. i'm joe kernen with melissa lee. we don't have a countdown clock. 12 hours. i got that right. >> for what?

>> among today's top stories, amazon plans to launch -- 9:00. >> i know, the debate. we have been talking about it a lot. of course i know what it is. >> you were thinking of other things. you're thinking about that 10:00 a.m. -- if you had written down in the squawk planner, you would know what i was -- amazon plans to launch a new discount store aimed at taking on chinese retail giants temu and shein. not to be confused with henry shine, the dental place. allowing chinese sellers to ship directly to u.s. consumers. the storefront will feature a range of unbranded items, many priced under $20 each. state street global advisers plans to launch the first cryptocurrency fund in partnership with galaxy digital. state street is the third largest etf issuer in the u.s.

overseeing $4.3 trillion in assets. and google has added new mobile short cuts to its chrome action feature that will let you call, read reviews for or get directions to a restaurant or other business right from the address bar. google action which rolled out in 2020 lets you quickly perform tasks by typing in specific queries such as edit passwords or translate this page. walgreens out with a new number, adjusted profit of 63 cents a share, that's 5 cents below consensus estimates. revenue beat forecasts. walgreens is now seeing fiscal 2024 profit. the ceo told cnbc that expectations of stronger consumer demand have not played out and that pharmacy industry trends continue to be challenging. that stock is down 4% immediately on this news.

let's check the futures now and see how we're doing. we're looking at lower open across the board. s&p 500 down by 7. dow down by 58. nasdaq lower by 38. to frank holland now with a look at this morning's premarket movers. good morning, frank. >> good to see both of you. look at shares of micron, under pressure, you see down more than 5.5% despite the company reporting better than expected quarterly results. you see on the chart, investors, they're focusing on sales forecast. they failed to beat some lofty expectations. they're getting a boost from the a.i. computing boom, demand is sluggish in the pc and smartphone businesses. micron is the largest chip maker in the u.s. coming up on "mad money," sanjay mehrotra will talk about the recent chip pullback. levi strauss also under pressure this morning, shares down big, down more than 15%. the second quarter sales of the jeansmaker falling short of

analyst estimates despite a surge in denim popularity. consumers have been generally cautious and not spending a lot on discretionary items. along with raising the dividend for the first time in six quarters, levis is working on its website and reducing reliance on department stores. nike, nike reports its results after the close. you can see right here shares off to a very tough start to 2024, falling -- the blue line, almost as much as the s&p has risen year to date. big divergence there. consumer spending slowdown in rising competition weighing on the stock. estimates have revenue coming in flat year over year with profit increasing by 26%. morgan stanley says it expects the sportswear giant to guide below the street expectation due to lack of clarity in the company's innovation pipeline. they estimate it takes anywhere from 18 to 24 months for nike to bring new products to market. we had a nike investor on "worldwide exchange" who said he's looking for more clarity when it comes to new products to help drive growth in nike as it

faces rising competition from hoka on running. have you ever tried one of these hoka on running. i see you as more of a new balance kind of guy. >> i have hokas. they're very light. they're very light. i got the tan ones. >> do they have the inch sole? >> no, the heel goes -- >> you're reading my mind. i see you as a new balance -- extra wide kind of a guy. am i off base, melissa? >> totally, yeah, no, i need light and i don't even know if i -- i guess if you use them for six months, does the foam need to be replaced? is that true? it is like plann ned obsalesenc. i think you're off, frank. nice try. send me an explainer. maybe i'm like joe biden in the morning. i don't understand what you're talking about. coming up, former white house chief of staff bill daly

joins us to talk about what investors should be listening for in tonight's presidential debate. andrew's interview with brian chesky from the aspen ideas festival. ideas festival. his take on the a.i. boom an power e*trade's easy to-use tools much more. "squawk box" will be right back. custom scans help you find new trading opportunities, while an earnings tool helps you plan your trades and stay on top of the market. e*trade from morgan stanley

former president trump are courting ceos and executives as the race for president heats up. joining us now to discuss what wall street is looking to hear from both candidates at tonight's debate, bill daley served as chief of staff to

former president obama and commerce secretary under former president bill clinton. he was a democrat. that's so weird, isn't it? are you sure? >> a long time ago. >> who's moved where? and citigroup guy? >> i was with wealth. >> so you're a bankster, a private sector guy. i don't mean banks -- i mean you worked with the private sector, so, you're not necessarily in lockstep with maybe a lot of things that the current fringe of the left is in lockstep with. >> absolutely. absolutely. >> right. so i like having you on for that reason. but to talk about tonight, i know you think -- you think trump has issues, obviously, and people that vote for him, obviously have issues. but you concede that to vote for biden you have to overlook some things as well at this point too. >> look, it is obvious based on the polling, people aren't real happy with either one. and the race has been close.

if you look at even though president trump has been in the lead, it is really each of these states within the margin of error. so big surprise, we have a close divided nation, it is going to go down to the wire as it did four years ago, and this debate will be important. >> it will be. >> because everyone has expectations. one is whether president biden can come out and perform. and two whether press trump goes back to the style he had in the debate four years ago, and gets everybody all riled up. i think they're both fighting to counter those narratives. >> right. and i think at this point i'm not convinced that biden's going to -- president biden is going to keep saying convicted 34 times by a jury of his peers. i don't think that's a smart move. and you have seen, who was it recently, oh, the guy i'm starting to like again, former governor cuomo was on saying, look, would have never happened. this case would have never, ever

been brought by anyone against anyone other than donald trump. maybe biden didn't orchestrate it. maybe he did. he had a guy in the second -- one of the justice department guys did come and help alvin bragg. the way that was done, he raised $140 million after that because people in this country don't like something like that. >> there is no doubt that it, in a negative way, reverberated it against the prosecutor. the president got sympathy, president trump raised a ton of money off of it and it energized his base because they thought there was a certain unfairness to pick on one guy. nobody really disputed the facts of the case. but it was just whether or not this was a special prosecution for one person. >> what do you mean? what were the facts of the case? what facts of the case -- it is not illegal to pay off -- an nda. what they got him on, it was

classified as an expense instead of as a campaign expense. that's a misdemeanor and the statute of limitations was already over. >> you can argue all that stuff, but the fact is the case is over. in many ways it -- >> that will be reversed on appeal. >> it helped embattle trump. >> right. what does biden run on? you know what i would run on? infrastructure. i wouldn't run on the chips act. i'm not convinced. we give all this money to intel. do we know which winners and losers -- >> biden should run on infrastructure? >> he should run on getting that through. >> i agree. >> why are you looking at me like i'm crazy? >> no. >> he agreed. >> all over the country, you're seeing projects being built off of that. and he should highlight those. whether you have a bridge being built or a highway being redone, those are the things that not only create jobs, they create positives in the economy around the nation. and he should definitely run on that. to me, that's the -- probably

the most important thing, that and the -- >> you can say, okay, after covid and we spent a lot of money and maybe we should have maybe not, we spent $2 trillion after that, maybe it is worth it because maybe there was some inflation that people are still feeling. but maybe we'll get something out of that at least. >> yeah. overall the economy is in good shape. you talk about it every day. >> okay. >> but for a certain group of people, those who were -- >> anybody who gets a paycheck is making -- >> that's why i -- >> anybody making a paycheck is making less than they made when biden came into office. >> those who were stressed before covid are stressed once again in a very -- >> wages are down 3.5%. they were up 9% under trump. >> that's what would be debated, whether or not people feel good about -- >> how can they feel good if they have less money than they had four years ago. >> not everybody does. we don't. you don't. a lot of people -- a lot of

people in the country are doing -- >> stock market performance was great under trump too. >> maybe not as good. the unemployment has been low and tremendously low for the last two years. so, look, this is a close election. the debate tonight will be interesting to see how many people actually watch. we never had a debate in june. whether people really focus. and then how many people stay with the debate. and then the spin tomorrow will be whether or not either one of them met the expectations, which is -- with social media today, it will start at about 9:01 tonight. >> brass tacks. you think that -- not going to have a teleprompter, president biden. you think he can bring it and won't have memory problems and won't look -- really? >> no question in my mind, yeah. >> you think four or five years from now, with world leaders, you think he can do the job -- >> i don't know about four or five years from now. >> that's what we're talking about. or kamala harris. take your pick. >> donald trump will be alive four years from now, four months from now, four days from now,

four hours from now? no. >> you're telling me not to believe my eyes. with trump, how is he going to act tonight? is he going to be the don't trump of the first debate? >> he had covid the first debate. he didn't get tested that night, and he had covid and they knew he had covid and that's -- that's why i think he acted a little more aggressively than he would have than against hillary. >> trump with covid is that animated. biden without covid looks like he does. that's an easy choice too, right? >> my guess is that trump will look better than he did four years ago. >> you think he cannot take the bait? >> yeah, i think -- yes. i think he will be -- i will be surprised if he takes the bait. i think he will spend a lot of time going after the moderator. you talked about that with frank luntz. i think he's got a -- he's got a belief amongst the base and his

supporters, cnn is biased against him. >> you've never seen any sign of that at cnn, have you? >> all networks are unbiased. everybody is unbiased, right? >> unbiased? >> unbiased. all. everybody is. but i think he'll spend a lot of time, and especially his allies starting with first minute of the debate to theend going after cnn. >> as i said, thank you for coming on. it wasn't so bad, was it? >> never is bad. always fun. >> thanks. up next, andrew's interview with brian chesky of airbnb from the aspen ideas festival. from colorado, senator joe manchin and daughter heather manchin, the ceo of mylin and now americans together. "squawk box" will be right back. >> announcer: time for today's aflac trivia qstn.ueio meaning to give something that was once received as a gift the term regift was coined in what term regift was coined in what sitcom

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andrew is at the aspen ideas festival this week. he sat down with airbnb co-founder aaron chesky yesterday afternoon. >> you came out in part to sit in a conversation with one of your great friends sam altman from openai. one thing that i found was fascinating was you went pretty deep about what took place durening what was a dark period for him and the work that you were doing behind the scenes to try to help him. >> yeah. >> what was really for you, though, the lesson of the whole thing? when you were in it? >> i think that there is an old saying the absence of information is filled with dirt. i think that everyone was assuming the worst of everyone else. and i think when you really unpeel it, people had much better intentions. there was a lot of fear, things were going so quickly, and as i uncovered what was going on, i realized there was a lot of misunderstandings, they didn't

have full information, so people would assume the worst. and the other thing i learned was you learn a lot about people in a crisis. and they revealed themselves and some people, i think, weren't the best. i say this as sam's friend, i say this objectively, i was surprised in a good way how he was not in self-preservation mode. when people are attacked, they go to themselves and sam was focused not on himself, but openai. that made me want to fight for him. >> what was the worst moment of the whole thing. do you remember? >> the worst moment was when we thought that, okay, this is the worst moment, the worst moment was it was probably 48 hours in, the board had led us to believe he was going to get reinstated and right before midnight, we get information that emmet sheer is now the ceo, it seemed like the page had turned and sam and greg said we'll go to microsoft. i said you got to fight like this crazy -- you got to fight. he said, we want to do what's

best for openai. we want to do what is best for the employees and if what is best for them to turn the page, it is to turn the page. i thought that was the end of it. emmet sheer is also a friend of mine and that opened a new line of communication. and now there are many other things that happened, but i think that allowed us just to have open dialogue. >> how involved are you now with openai? >> i'm involved to the extent that sam needs like advice and i try to help him. in areas -- anything that is not core technology, if he has a question, i'm -- what are those things? how to like product, design, maybe marketing, advertising, communications, that kind of stuff. things that are above the layer of the stack of technology. >> how much do you think about the safety issues and also all the headlines that we keep reading about this debate that is clearly happening internally at that company? >> i think about it. but to be clear, i'm not involved in the company officially. i am not, like, inside the inner

mechanisms. i'm mostly focusing on giving advice on how do you manage an organization, how do you use digital trust, how much transparent is the right amount versus not enough? there is a lot of considerations. how do you tell a story to the public? how do you bring society along on a technological revolution? and we should be transparent about things that could go wrong, we also got to be careful about, like, a lot of overly existential pontification when we don't know what is goinging happen. and these are the practical five or ten things this technology can do for our lives right now. it is a lot of judgment. >> you went through your own did -- >> yes. >> -- baptism by fire. is there a moment you look back on that you think is parallel, something you learned from that? >> the thing i learned, you learn about people in a crisis. the other thing is you learn is you only survive because certain people have your back and believe in you. when the crisis happened, my co-founders, my board, totally had my back.

if they didn't have my back, i might not have been as decisive. if i wasn't as decisive, we probably wouldn't have come out of it the way we did. that lesson for me is when i saw sam, people -- he needs -- people need to have his back. his company had his back, but people didn't know how to support him because no one was saying anything. i just said, like, we're going to lean in, we have your back. >> it is remarkable how much the employees for the most part support him. >> i think that tells you something. i think that tells you that, like, if there is only one piece of data you should know, it is that the employees have the most information. and in that moment, they rose up and they said, like, this is what we want to do, we would rather be with sam somewhere else than with openai without him. >> let's talk about airbnb, you can't go anywhere here without talking about a.i. when are we going to see a.i. built in, in a real way, into

applications in airbnb and also applications across the board? >> it is 100% great question. over the next two years, so, i think, like, one of the observations i made is chatgpt came out 18, 19 months ago. i think we all had this feeling like there is a revolution, it is going to happen. and funny enough, you pick up your phone, look at every app on your home screen and they're almost exactly the same. a.i. hasn't changed our daily life. it captured imagination, our fear, hasn't changed our app. it turns out it has taken a little bit longer, maybe not exactly self-driving cars, but that last 10% is where all the gains are. 90% of the tasks done, but it is wrong that last 10%, it is actually terrible. so i think next year you're going to see a bit of step forward and i think within 2026 you'll see a giant leap. i think apps across the board, two to three years now, 2026, 2027, they're going to look really different. >> is it all one big chatbot.

as someone who is into design, or is it going to be something else? >> it will be something else. i have a unique seat. i went to the rhode island school of design, i'm one of the only designers running giant tech company, s&p 500, i don't think there is another one of us. i'm a bit of an anomaly. one thing i thought about, and i had this conversation with many great designers, in 1984, the graphic user interface was -- it was the mouse, the point and click, windows. 2007, the multitouch, what we know as the iphone and mobile was popularized. what is the interface for the a.i. age? i don't think it is goggles. i don't think it is a chatbot. i think a chatbot is very cumbersome for things that aren't chat. if you want to check the weather, you want to chat the weather? no. you want a calculator, do you want to input through a

sentence? or touch the numbers? every application is going on a different interface. without being able to tell you what it is, i think it will be three dimensional. not flat design. it is going to be like three dimensional space. you're going to be able to walk into space on screen. so it is going to be more colorful, more three dimensional, it is going to be much more personal. >> if you were coming to aspen or i was coming to aspen, you don't think in the future you just say got the invitation to come to the aspen ideas festival, let's go. and then magically it would all just happen. >> yes. this is a great question somebody talked about. is voice the interface of the a.i. age? and we believe that voice is a part of the internaface of the a.i. age. if you're in public, you probably don't want to talk out loud. there is some privacy concerns. it is also, like, voice is -- it is -- if you get input back, i want to -- find me a shirt to

wear. how does the a.i. describe the shirt to you? is words the best way to describe the shirt? it turns out it is probably multimodal. probably voice, visual, it is a much more multimodal application than just voice. >> how far do you think we are from taking the invitation forward to airbnb and it all magically happening? >> a couple of years. >> right. melissa is right. walgreens is certainly probably -- should talk about dow is being affected somewhat. walgreens at a new low. >> down 9%. >> down 9%. if you say you're shuttering -- >> a significant share of stores in the united states. >> more than half of the 8600 stores, is that what they mean? more than half? >> significant share, i would think it is more than half. >> walgreens shutters a significant share of its roughly 8600 stores. also cut its stake in a primary care provider, but also missed on profits, lowered guidance.

>> there was nothing good out of this report. >> i can't do it all, obviously. there are a lot. >> in terms of the trips to the drugstore. three times a week, i go zero, i order everything. >> how old are you? like 30? >> old. but not as old as you. >> no. you're not. >> but everybody -- >> stuff happens. >> the front of the store -- >> how much more expensive it is to do it through the mail. that was the story yesterday, right? >> it is still being done, though. >> i just can't imagine not having a neighborhood at walgreens. >> the boots part of the business, which we acquired, that was an acquisition that never worked out well. >> greeting cards. baby powder. deodorant. >> what kind of margin do you think there is on deodorant. >> front of the store is not good? i guess it is not anymore with walmart and -- >> think of all the other places we can get these things from, down 12% right now.

>> that's unbelievable. i need more details on what a significant share means. >> i'm sure the conference call will be interesting. >> yeah. all right. we're going to have much more from the aspen ideas festival in the next hour. mi ucongp next, a check on the markets and some of this morning's movers. maybe we'll revisit walgreens. "squawk box" coming right back.

welcome back to "squawk box." we're seeing a little bit of pressure on futures premarket. s&p looking to be down by 6. dow looking to lose 65. nasdaq down by 34. we're watching shares of walgreens plummeting premarket after posting its quarterly results. the drugstore operator reported adjusted profit 63 cents a share, 5 cents below. revenue beat forecasts. walgreens is right now down by 14.5%. lowering its guidance for the year. it is closing a quote, unquote, significant share of its u.s. stores. 8600 stores in total. it is trying to, as it says, basically align its u.s. pharmacy and healthcare organizations. tim wentworth saying expectations of a stronger consumer demand of consumers have not played out. industry trends continue to be challenging.

so there is a lot of things going on with this stock. it has a lot of -- it mentioned also a change in marketplace dynamics, which i think -- >> it is true, but, you know, this is not good. and it -- you know, my memory isn't what it used to be. we made the joke, walgreens booted from the dow. it is not in the dow. and the other company that we said past $2 trillion in market cap replaced walgreens is amazon in the dow. so, yeah. bringing it together. and, you know what, it was february when amazon went in. that looks prescient at this point. you don't need to -- what is the market cap now on this? i haven't looked. though that is a new low. market cap all the way down -- is that right? did you see? >> i have $13 billion. >> oh, god. yeah. >> $13 billion. >> that's not -- that's not a dow component. >> watch cvs shares are also

sliding in sympathy down by 2.6%. clearly not as bad as the 16% decline, but all things at walgreens is talking -- those are concerns for this industry. it really underscores the dynamic of the weaker consumer, of all the other competitive forces in terms of online, in terms of reimbursements, everything. it is all rolled up in one. >> also, it is a different world. compared to where -- in the old -- remember sears and kmart and woolworth and that used to be a staple of american -- and walgreens is the same thing. the amazons of the world are having a huge impact, they need to keep up, like walmart and target or you don't. this is you. they're going to talk about trump djt. something going on with that today? it is up or something? that's volatile. all the way back to $40.

just -- it was just at $26, wasn't it? >> a few -- a couple weeks ago, yeah. >> last week, i think. coming up, president biden and former president donald trump set to square off in atlanta. ch'll talk about the strategy of ea candidate and later in the show, chris sununu will be our guest. "squawk box" will be right back.

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what? >> what's so shocking? i see the same prompter as you do, joe. >> i know you do. a lot less than 24 hours. less than -- >> or tonight. >> yeah, tonight. >> the first presidential debate of the -- it is today. it is going to happen tonight. you woke up on a thursday. it is going to be on thursday. the bipartisan commission for responsible federal budget is releasing a new and perhaps surprising analysis of the fiscal records of president biden and trump during the first term in office. eamon javers joins us now with more. what's going on? >> good morning, joe. in a new report first obtained by cnbc this morning, the committee for responsible federal budget says donald trump presided over spending increase

of $4.9 trillion in his first term, while president biden by comparison has overseen $3.8 trillion in spending increases in his first three years in five months in office. how did the committee arrive at these numbers? well, they found that president trump approved $5.3 trillion of what they called growth primary or noninterest spending increases over ten years. $2.5 trillion of that non-covid related. that was partially offset by roughly $500 billion of primary spending cuts. trump net spending increase would be $2.1 trillion without covid. for biden, the committee found that he approved $5.7 trillion of gross primary spending increases and $3.9 trillion without covid. but biden also had $1.9 trillion of primary spending cuts, which offset the higher spending that we saw there in his term. without covid, biden's spending increase would be $2.0 trillion,

the committee says. bottom line, the committee says given trump's massive tax cuts, his record on the total deficit is much worse than biden's. trump added $8.4 trillion to the ten-year debt as opposed to biden's addition of $4.3 trillion. in either case, guys, the committee not necessarily happy with either number. but trump's number significantly higher than biden's number when it comes to debt and deficit in the first term. we'll see what happens, if either man gets a second term. back over to you. >> i saw people kicking that around yesterday. and little fuzzy math going on there. covid skewed everything, for both presidents. as we know. and -- >> if you look at the non-covid numbers, joe, it is much closer. trump is still higher, but it is much closer. and then the question is who gets the -- who gets the political -- >> one's three years and one's four years too. >> three years and some months and four years, exactly. the other question is, who gets

the political credit and/or blame. biden, you remember, was forced by republicans on capitol hill to make some of those spending cuts that make his total here look pretty good. was he forced to do that? did he know he was going to do that and give it up in debate to let the other side have a win? you can never parse those things forever. that's what the record shows. >> it is amazing. both sides can -- the way that you can frame it, there is no wonder why the public, you know, for example, biden talks about cutting the deficit. and that's really because -- spending less than previous years. that's because we're spending, like, $4 trillion, $5 trillion on covid and if you spend -- if you have a deficit of $2 trillion after $4 trillion, or $5 trillion, you cut it. >> you're still measuring the rate and you're still measuring

the rate that you're digging the hole. the deficit is a measure of how deep the hole is continuing to get. >> and jobs created. when you go -- >> jobs created is another -- >> you start at the bottom of a pandemic and, you know, jobs that were lost come back and you add those as new jobs, that's not -- but then you get inflation and you talk about that. what caused the inflation? if you're going to -- if you're going to take credit for reducing the deficit because of the pandemic, you know, then you got to own the -- i don't know. it is all -- >> i think if you look at it, though, the lesson here, joe, the bottom line lesson is that both parties, when they're in power and control congress and the white house don't cut spending, right? you talked to a lot of people, mick mulvaney, particularly, who was omb director and chief of staff under trump, he will tell you that republicans, you know, when they're in power, there is just no political will to cut spending. because that hurts. it is a political cost.

so they just don't do it. they'll talk about it out of power and then they won't do it in power. you see the same thing on the democratic side, except democrats don't talk about cutting spending as much. they talk about the deficit, but when they're in power, they don't do it. because it is a political cost. >> you can brag about the regulatory environment, republicans can, i think. thank you. >> that's another subject, but yeah. >> all right. joining us now on with what americans want to hear from the candidates, former trump white house legislative director mark short, cnbc contributor and former democratic congressman. joe crowley. great to have you with us. mark, i'll start off with you. you make the point that voters actually like trump's policies, but he may be his own worst enemy. he's got to be thoughtful, he's got to stick to the message. >> right. i think the reality is that the policies of those four years are generally favorable. it is unfortunately the personality that i think can get in the way. i think the question is how has he performed tonight.

i think with joe biden, you have an unpopular president whose policies are unpopular too. i think if donald trump prosecutes the record of frankly, you know, cumulative, even though the inflation rate is declining, cumulative 20% plus, the highest since the jimmy carter administration, you can prosecute that case well. i think you can prosecute a case that the inflation -- the inflation crisis, also immigration crisis, we now have -- i saw a stat the other day, there is more known illegal crossings in the population in more than 40 states, the united states, and ultimately, joe biden has promised a massive tax increase on millions of americans if he gets re-elected. if donald trump focuses on those issues, those are in a sweet spot for most voters. >> immigration and inflation, you could even make the case the inflation reduction act will increase inflation in the long run because of near shoring. how does president biden overcome that, because when the question is asked are you better off than you were four years

ago, many americans will say, i don't feel better off at all. and you point to the results from mcdonald's or target, that indicates that consumers are under pressure. >> yeah, created more jobs than any president in history of the united states. increased the wages among men and women across the board. moving in the right direction, i think what is really interesting, though, is that republicans consistently have said how incapable the president is. how he's too old, all these other things. at the same time, saying he's a great debater. we have to go in here tonight, expectations that joe biden is one of the greatest debaters ever. it is interesting to watch people kind of just flummox themselves with talking about joe biden. remember this, we never had a president convicted of felonies in their presidential election ever in a debate. we'll see what really transpires and how those issues start to

come out as well. >> you know wages, real wages are still down from -- weekly wages are down from when joe biden took office. you know that, right? >> we know there is more jobs created and continue to -- >> and we just talked about that. let me go to -- >> joe, i see -- >> jobs from a pandemic, you can't credit those as creating new jobs. but just real wages are still down since biden took office, which means -- >> i love watching you -- i love watching you tripping over yourself just a moment ago in terms of defending then trump and his spending and blowing up the federal deficit. you can't have it both ways. there is -- >> i would -- >> i think the american people -- >> ten-year numbers and now -- >> you never let me finish. i love you. i love you. >> if you just acknowledge that people's paychecks don't go as far as they used to when biden took office. that's all i'm asking you to do. >> we're moving in the right --

joe, we're moving in the right direction. let me finish. i love you. you got to let me finish. we're move ing in the right direction. >> some day we might get back to what we were making four years ago. >> i think the point is, though, joe, the numbers show that wage growth has not kept up with the pace of inflation. and so americans -- you can americans feel, and -- >> if those jobs weren't there -- >> they don't feel good about where they are. the question is how does president biden address that? i'm not trying to -- we're not trying to take sides or anything. that going to be a major issue. we see it time and time again with polls, surveys. many americans do not feel better off, because their paycheck doesn't go as far. >> we are moving in the right direction. i think that's what the president will talk about tonight. we know he has passed the biggest jobs bill in terms of infrastructure package. things yet to come. that the next president, i hope it will be joe biden, will take credit for. >> all right. we've run out of time. a great debate in and of itself,

guys. >> sorry. love to talk to you more, mark. >> joe? >> i still miss crowley compared to aoc. tell tyou that. and no thanks to the stock market opting for what they see is more long-term investments. that story is next. we'll be right back.

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a vast generation divide is opening up between wealthy young investors and wealthy older investors. robert frank joins us no you with more. these two wealthy younger investors. what are they -- no. are they finally making it, some millennials? >> because of the great wealth transfer and that tax change parents are talking about. >> oh, okay. >> or giving them money. put it right there. nearly three quarters of wealthy millennials won't get above average returns with traditional stocks and bonds according to a new study from bank of america

private bank. investors over 44 still have a lot of faith in the stock and bond portfolio. asked about the best opportunities for growth, the younger investors listed real estate first, crypto second, followed by private equity. same question to older investors, domestic stocks with real estate and emerging market stocks behind. nearly three times more alternatives in their portfolio compared to x-ers, and about 25% stock. collectibles, huge difference. young wealthy earn twice as likely collecting watches classic cars and wine. nearly a third interested in collecting sneakers. older investors say they collect because they enjoy it and rarely sell. younger investors see it as part of their investing strategy. more likely to trade in and out of their collectibles. a lot more about the great wealth transfer and where the wealthy are investing in my new

newsletter, it is cnbc/insidewealth. latest issue came out ten minutes ago. sign up, click on that little -- code there and you can -- cnbc, back slash -- joe, you mentioned how many investors. millionaire. 3 million plus investable assets. how many are -- because of tax cuts and jobs act you can give away $27 million as a couple to your kids without triggering the estate tax. tax-free give $27 million and two expire next year. so wealthy families have been shoving money out the door as quickly as possible. >> really didn't -- i was kidding. >> no. i'm not kidding! >> they really didn't make it themselves? they got it from their parents? >> some making it themselves, what's created vast wealth among younger people accelerating compared to other generations is

this transfer of wealth right now, because of that tax change, which allows $27 million tax-free. that could change, but they expect $84 trillion to pass to the next generations in the next -- >> $84 trillion. >> in the next 20 years. why these investors matter and why wealth management firms care about these different dynamics and priorities with younger investors. they're going to be a big force in the market. >> amazing. >> thank you, robert. up next, investors getting ready to jobless claims and real gdp data. futures indicating lower across the board. be right back.

it is, wow, right exactly 8:00 a.m. on the east coast. you're watching "squawk box" on cnbc. i'm joe kernen along with andrew ross sorkin. that's it. that's it. andrew, it's just us. is it -- >> just the two of us. >> is it 6:00 a.m. out there? it's 6:00 a.m. out there, isn't it? >> 6:00 a.m. 8:00 a.m. new york. 6:00 a.m. in aspen. >> exactly. two hours. i remember that. gets confusing with daylight saving time, who does it, who doesn't.

the at spespen ideas festival. becky had something to do. no. she had something to do. do you believe this? sorkin? walgreens, looking at at quarter of stores, still evaluating those. do you have a good, a feel for exactly what happened here? is it changing that much? do you get all of your drugs through the -- through the mail or online or something? >> getting them in the mail, online and by the way, there's a big issue of just how much theft at these stores and what could be on the shelves. a big issue. >> because it's a pain to go in and you have to get someone to get the slightest thing. razoradvil. looking for, bertha coombs has a lot more and we'll be talking to her in a second. shares of international paper are down this morning. the world's largest pulp maker based in brazil, talks to buy

the company. and elon musk selling insider shares $112 each in a tender offer according to bloomberg, placing their value at roughly $200 billion. back to you. what's going on here at the aspen ideas festival. nbc universal news group media partner here and a.i. artificial intelligence, of course, the topic du jour. can't go anywhere or anywhere else without talking about it. center of the revolution openai sam altman and brian chesky took to the stage with "nbc nightly news" anchor lester holt. altman opened up about being fired by the board and calling in chesky for help. >> the board firing me coming back, brian was an enormous help during that. obviously it was a super painful experience, but i do understand

why anxiety levels have been so, are so high. and i think the previous board members, like, they're nervous about the continued development of a.i. had whatever feelings they had about me and how we were doing things, and although i super strongly disagree with what, what they think, things they've said since, how they acted, i think they're fundamentally good people who are nervous about the future, and trying to figure out how we get to a good outcome. i'm super skiesed with the new board. they're extremely constructive and helpful and experienced and strong, and it's been a very productive thing since then, but that was a horrible experience to go through. not during the moment where it was just like -- this is a crazy thing. let's figure out how to undo and it brian was unbelievably helpful. then the period after that, where i just had to, like, kind of pick up the pieces in this

like state of emotional shock was really bad, i n. >> i noticed in the first 24 hours not a lot of people sticking up for sam. in my darkest times and crisis had people stick up for me and that's what i wanted to do for sam. >> joe, revealing conversation. one of the first times they went in-depth at that level about it. of course, you saw brian chesky earlier on the broadcast talking about some of these issues as well. just about what it was like in the midst of those headlines at the time. seeing one of the new board members, larry summers, talking to him about the economy with them a little later. now on the board of openai here and later today, peter thiel. bring you that conversation on the air tomorrow, of course, after the debates and maybe get some of a preview about the debates from peter thiel as well. he's tried, i think, to stay out of politics this round, but i'm hoping maybe he'll give us a lot

taste what's going on in his head about it all. >> and maybe, he may be one of those quiet guys, andrew. right? i mean, he doesn't say much anymore. and why -- does anyone need that? you know? when you're a tech guy. did he really mean what happened last time he put his foot, or his toe in the water of politics? i mean, what did he get out of that exactly, do you think? what's the upside for speaking up or doing anything? so i think those -- sonnenfeld's piece. did any of those guys he was talking about, are any of them on the record giving money to biden? >> and that's the issue. not seeing a lot of people giving on either side this round. >> neither. >> obviously when -- yep. >> but he would say, well, normally 70% of republicans in the past, always -- he would say, well, never gave money to democrats. be able to say that, but i think the real story was that these guys have customers, and

employees that are on both sides of what we're going to be watching tonight, and who -- it's crazy to poke the bear on either side, if you're a ceo. >> i think that's true to some extent and we're going to have senator manchin here along with his daughter heather. of course, former ceo, being outspoken about politics. a little bit different in that it's unclear whether, if you were to say something about president biden, whether you would worry genuinely retribution about saying something. that dynamic is a real issue. >> andrew, shocked where a ceo, backing, also backing some of his policy. you heard the other day say you put in unrealized wealth tax and you're going to destroy an entire industry. there are other reasons policy wise, but no denying that trump is a, the first time in history,

there's ever been a candidate that can inspire such -- i don't know what you call it. i mean, you get twitter. you see what -- >> yep, i do. >> he is a different kind of candidate and the media has said that. he is a qualitatively different candidate across the board for supporters and for haters. >> right. we're going to talk about that, by the way. senator manchin, by the way, just arrived, and his daughter will be here in a little bit and we'll talk about all of this. >> he's a patriot. he knows that and saw him in davos. you pulling one side i pulled on the other side. looked like we were going to split him in two, but give my best to both the joe and heather. back to new developments. walgreens, closing many of its underperforming stores. news comes reporting fiscal third quarter results. bertha coombs joins us. so they're looking at maybe you can clear that up for us.

looking at a quarter of them. doesn't mean closing a quarter? >> no. but potentially that -- essentially, joe, in the era where the stand-alone pharmacy chain is or the of existential moment. walgreens coming in with a mixed earnings report. missing on the bottom line. lowering its outlook. revenues did beat at 36.4 billion, but earnings were a nickel below at 63 cents adjusted and guidance essentially saying fiscal fourth quarter comes in about half of what the street was looking for. pharmacy continues to be one of the areas where they're feeling pressure. although the back of the store did work, did produce better sales and better comps. front of the store very much a problem. comps down there 4% between consumers not spending under discretionary and the theft problem, which we call shrink. the ceo says looking at

re-evaluating their footprint. tim wentworth says they plan to close a significant number of stores. at this point only 75% of stores bring in what is their profits. nonprofit ones hit by shrink but willing to work with local officials if they can come up with way to help curb that problem. they also plan to reduce their investment in village and deet. the primary care services expanded on under former ceo ros brewer. they've cut back on that. they're going to lower their invest there to get more liquidity, to reinvest in stores, to build up the ones that aren't profitable. the health care segment actually posted a smaller than expected loss, and adjusted positive ebitda or cash flow. so that's looking better. right-sizing. overall, joe, a question of them trying to get costs under control. the one thing right now that is working ironically, it's

bootsuk. talk of selling in a off. an area that performed. tim wentworth told me one of the things working for us so they're not selling that anytime soon. back to you. >> okay, thanks for clearing all of those things up, bertha. thanks. talk markets ahead of key economic data later this morning. joining us now, head of investment solutions at citi wealth. i am hard pressed to find any -- we've had some on recently but hard pressed to find anyone who's not sort of just along for the ride as far as momentum goes. for this stock. >> i think there's a number of things i'd point to. actually pretty constructive for the market overall. you have to look at first of all just the cash that has been sitting on the sidelines. you have about $6.5 trillion in money market funds alone. look at all cash balances almost double that amount. a lot of cash waiting to step in. i think also the trajectory of the fed when we look at the

probability of a rate cut in september, not around 70%, with november pricing in as 100%. so knowing that rates have peaked that inflation, starting to see cooling in that data. seeing cooling with the labor market as well. so i do think it is a reason to stay invested, but be diversified across the opportunities that exist in equities and fixed income. >> what i mean. so did you feel the same way all through last year? that was a much more -- unbelieved rally, and we went up 24, 25%. now everybody's onboard at 5600, 5700 for s&p targets. >> what's interesting -- >> go ahead. >> yeah. interesting about last year, joe, is that the recession a lot of people anticipated happened last year. so last year in q4, 7 out of 11 sectors in earnings recession. the rally that we saw was massively concentrated within the magnificent seven. this year we're expecting that

you're going to see 2024 end with 10 out of 11 sectors coming to profits growth. so this broadening out story, we don't necessarily see it in the share prices we are seeing it in earnings. and we do believe that there's opportunities in that broadening story. going into the second half of this year. >> as far as technical factors at this point, does the -- i don't know. does the complacency present a problem? lack of volatility, 2% moves, does the, you know, the narrow leadership, none of that presents, if raising an eyebrow, doesn't it? this might not be, you know, totally on firm footing? >> i think when you look at the overall index level there's a lack of volatility and i actually think that's an opportunity. foreign investors who are worried about elections, worried about geopolitics, they're pore worried about light liquidity over the summer months because

volatility is muted at the index level giving you opportunity to put hedges on and stay invested. u thi i think under the surface, volatility in semis and chips recently. so i do think from an idiosyncrasy seeing that under the surface. undex level put on hedges stay invested and diversified but get through the next couple of months. >> okay. we'll check back. see whether that comes to pass. kristen, thanks. see you later. >> thank you. coming up, newly independent senator joe manchin and his daughter heather manchin will join us to get political donors to back centrist candidates. stay tuned. you're watching "squawk box" on cnbc.

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join the movement to end hunger and together we can open endless possibilities for people to thrive. visit feedingamerica.org/actnow box." futures right now, you can see the dow jones down about 7a points. nasdaq down 35 for a while. sorkin, we were -- just for a

second, said the dow was getting hurt by walgreens boots, but remember what we said? walgreens, amazon booted walgreens boots out of the dow back in february. so that, $13 billion market cap, can't be that with a $13 billion -- how's manchin looking? a young-lookin' fella. isn't he? >> he's right here. his father -- a proper introduction. also talk about walgreens, heather probably has a view on this. west virginia senator joe manchin is here recently announced switched registration from democrat to independent. heather manchin is here. the senator's daughter, former ceo of milan and founder and ceo of americans together to back centrist kacandidates. great to have you here. >> joe, good morning. you look good for 50. can't believe it! what do you do exactly?

what's your secret? >> set free, joe. i've been set free. i'm an independent. set free. >> trying to promote those democratic ideals, must be easier for you. you know? >> i just have good american ideals. that's all. >> you woke up early for us. appreciate it, on debate day, and i'm hoping both of you can expound on what you think we're going to see tonight, and how important or not, maybe, depending how you view it, tonight really is. >> andrew, what i would like to see and what i think i'm going to see, i have no idea. a lot could happen. it could be a firework as we know or basically two people i want to see quality people who can lead this country. i'm looking for that. looking for the leader of the free world to show the rest of the world we can lead and we can come together. so i know as divisive as our country is right now people picking sides. almost like a sporting event. it's not.

it's not. >> you've been a biden man, though, in the past. >> i've known joe biden a long time. we've been friends. i want joe biden to be the old joe biden i've known. he's gone too far to the left and we've had this conversation, he and i. like to see him go back to the centrist joe biden he's been. never looking at the other side as your enemy but a friend with a different idea. now it's to the point just going at -- if you're a d, supposed to hate r. if you're an r, you're supposed to hate ds and i can't take it anymore. i like both sides and want to work with both sides. >> i want to ask heather, as a ceo. could you see yourself voting for former president trump? >> i have a hard time and tell you why. to me, we've been able to 250 years navigate through really tough times. what would our founding fathers

think about today? proud of us governing ourselves. with that transfer of power and rule of law, the two things, staple anchors we have. and former president trump basically, i'm afraid, would challenge those to where he doesn't accept orderly transfer of power, or protecting the rule of law and his judicial system. that's all we've got that makes us so much different than any other place in the world. >> your mind made up there? or saying tonight, something would change it? >> i don't know. we'll have to see. tonight's a big night. we'll see what happens. >> heather, speak to this, though. you're a former ceo of milan. spent a lot of time in the ceo community and we've been having lots of conversations even in the past week or two whether ceos are supposed to speak out, not speak out? whether this year is somehow different than in the past? sonnenfeld piece in the "new york times." we've been debating. what do you think? >> like everything else. we've gotten to such a point it's so weaponized to have an

opinion. i think that what makes your life compromised, common ground, getting -- ceos do it every day. you've got to find ways to navigate your way through the public markets, through your industry. wep we should be able to sit down with administrations and with senators and congress and have discussions about what needs to happen on a policy, and we've made it so personal that if you, you have to either like everything or nothing. you're pitted against a side. i feel for ceos today. it's like, i can't make a -- i can't comment on a policy good or bad, because then that means i'm endorsing everything about everybody. >> how much of it today is a worry about what the customer is going to think and how much is a worry about what the former president might think if he becomes the president? right? i mean, part of it is that. sort of a customer issue. shareholder issue and then, by the way, what government could do to you. >> for sure. that's the problem.

not only -- not only are we weaponizing it, but our politicians are weaponizing it. so when you hear people lash out to want to call out a position that a company is taking or a ceo vocalizes, i think the personalization is what's got to end. we have to have respectable conversations with each other again, and not hold, and hold each other accountable to words. >> what do you think? as somebody in politics? >> let me just say this. for the last decade can i have not heard anyone saying, enough. this is good for the country. let's do this. this is good for the country. we know that we've got to fix the border. we know we've got to tackle this debt. $34 trillion, almost $35 trillion of debt. we cannot stain this. first time signs world war ii playing more in interest to satisfy the debt than we are to defend our country. makes no sense at all and we're digging ourselves a hole. we know how to fix this. bottom line, they'd rather blame

you. the system works, the businesses, democrat and republican. if i can blame you, i look better than you. >> hold on. you just made two points about immigration, the border, really, and about the debt and deficits. >> yeah. >> i think a lot of people would look at president biden and say, he's not, not scored on those fronts. >> well, as far as -- put it this way. as far as on the border saying from day one. fix that border. got to basically control the border. can't have pardon at the border and catch and release and everything that went on. he can say defending himself, president biden, that out of compassion for people displaced around the world after covid, but never -- it went too far. got overrun. now can say also, but republicans had a deal. bipartisan deal and james langsford a good friend. wasn't sure he could ever good thet but he did and then walked away from it because of president trump. who's the worse? follow me? politics. what's wrong with politics?

we could fix the gun problem, fix, in 2013. had a bill. we had the manchin/toomey bill in 2013 on background checks. politics prevented that from happening. >> joe? >> senator, i just -- cherry pick different policies and you can take the --ic ta the politician out of west virginia but you can't take west virginia out of the politician, i don't think. you had problems with biden's energy approach. just no two ways about it. and now we're seeing it come home to roost and for gm and a lot of these companies that are, you know, rushing this transition, and so that's one -- you got to put that in trump's -- put your check mark in trump's policies as far as that goes. you got a problem with influence peddling and what was going on? you have no doubt in your -- you're sure joe biden didn't benefit whatsoever from any of the stuff that was going on around the world with his son or -- absolutely sure? >> well, joe, first of all.

go back to the energy. if i can talk about that. >> i know, but that -- because of $80 oil. not from -- >> number one producer, joe. producing more energy. >> in spite of -- >> right. we're producing more energy than anybody in the world. number one producer. 38 trillion cubic feet of gat. 4.7 billion oil and on track to do it again and investing in new technology as far as small reactor and nuclear bringing back. hydrogen jumming on. -- coming on. my problem with the biden administration, the energy bill is doing what we wanted it to do. trying to implement a piece of legislation it didn't pass. i said stick with the bill you p signed, we passed. bringing investments back. can't overreach and not bring manufacturing back because

allowing china to still compete unfairly with people trying to -- >> they pulled the rug out from under you on permitting? >> slippery but still fighting it. we're going to win this thing. >> okay. as an outsider, maybe you can do it. totally avoided the other thing. >> oh, no, no. the other thing i was trying to slide through that one, too, joe. you caught me. >> both of them, yeah. you don't have to answer that. we won't get anywhere. >> it's a bad situation. bottom line is, they're being scrutinized every way humanly possible. i believe in the rule of law, rule of law. no one's above the law, president biden or former president trump or anybody else. that said, if he said something benefited unfairly used his office. one thing, the blind trust immediately making sure i did not have any tentacles as far as where i could benefit from. >> heather, can i ask you, pivot the conversation for a second. when we came on the air talking about walgreens. >> yes. >> you are a health care expert

talking about health care and how to fix the country for a long time when it comes to health care. how would you make sense of these headlines this morning about walgreens? a lot of americans are waking up thinking, goodness. my store, store closest to me may be closing? >> right. i think it's the issue that's been an issue for now decades. transparency. you have no idea. it's the only industry you walk up to the counter to purchase something and have no idea what it will cost and costs something different every month. we're the best shoppers in the world and iscannot shop for our farm pharma pharmaceuticals. cvs and walgreens a stand-alone model. what a pbm will allow you to hide or give you cushion -- >> we saw pbs buy, did you say good for country or bad for the country? should the pbms be a, you're

aing 100% not? >> 100% not. that integration made it more okay. we didn't have it as a stand-alone. 2016 i continued to talk about the fact we need to be able -- we have a trillion dollar industry no one on capitol hill knew what it was or what they did. they still barely do. that's a problem. >> congress understanding tentacles and how basically they're jacking prices up. medicaid and medicare, all buy into the v.a. system and let v.a. too the buying, lowest prices possible. >> which is better on health care? >> i'm not sure. either one of them from a standpoint -- getting a handle. either one talking about pbms? >> none of them. >> transparency would help. >> no value to the process. pbms. to the cost what you're spending and basically bringing prices down. nothing. >> quickly before we go. who do you think former

president trump would choose as his v.p.? who would you like? >> well, i know all the people that are -- i don't know doug as well. i'm partial to governors. okay? i'm partial to anyone who had executive experience. got to make a decision. governor can't be a democrat or republican. got to be governor of their state and make decisions every minute of every day to make life better for constituents. so i think the dark horse might be doug. >> you think ever an opportunity truly for an independent third party candidate? >> we're going to make sure that happens. >> i think one thing on americans together. the reason we started it, we have got to change the incentive structure for politicians. right now it's completely out of whack, and just like a corporation, the incentive structure drives performance. have to change the inceptive structure and what we're going to try to do and build a center for the center of american politics. >> people are unhappy with the choices they have. going into tonight and going into the election in november. the process for the political

process we have prevents us from having more options. that's got to change. i want to the say as an american. as an american me being a u.s. senator 14 years i don't care who's elected. i'll make my choice, and my vote, one vote. but as a senator, and as an american i want to make sure i do everything i can to support the person, the transfer of power or stays where it is, do everything to make them the best president and make all of us proud americans. >> senator manchin, thank you both for waking up early, being with us. we'll be watching the debate tonight. >> yes. >> thank you, both. joe? >> that was good. he's -- still -- well, of course he still has it, but i don't think he's finished. and i'm sure heather's not finished either, andrew. look forward to watching what happens for both. time for breaking neconomic numbers. rick santelli? >> a long list of important

number. start with initial jobless claims. 233,000. close to expectations following 239,000, which was a revision. 233,000 just to put some perspective. recent high-water mark 243,000. that was at beginning of the month. that was largest since october of '23. look at continuing claims, which have been staying above 1.8 million, remain there. 1 million 839,000 hotter than expected. rearview mirror lose a bit from 1.213 to 1.281 million. 1 million 839,000. that is the highest level going back to, aww, november of '21. november of '21. let's look at gdp. shall we? even though it is the third time around the block. this is first quarter. remains 1.4%. excuse me. that's expectations. that's 0.1 hotter than the last

look, which was 1.3. this quarter 1.4% weakest going back to minus signs post-covid of second quarter of '22 when it was minus 0.6%. look at consumption. this is interesting. considering this is the third time we're looking at this, consumption, which was ramped up now goes right back down. jumped up to 2%. back down to 1.5. 1.5, slowest growth of consumption since second quarter of '23. look at the price index. it moved 0.1 hotter from 3% to 3.1. 3.1's hottest since the third quarter of '23 when it was 3 boyne -- 3.3. important fact. this quarter evaluating and third quarter of last year moved down to 1.6 in the last quarter of '23. it's resurged to some extent. if we look at the core aspects of this, also 0.1 hotter at 3.7%

versus 3.6. equalling the second quarter of '23. go to beginning quarter of '23 to find a hotter number. up 5% and once again in between all of this the third and fourth quarter of last year were at 2%. now let's go to durable goods. shall we? durable goods headline number, up 0.1. that is much better than we anticipated. looking for down half of %. strip out transportation, it deteriorates into a negative number. down 0.1% and down 0.1% after a huge revision down to last month. excuse me. not a huge. on the headline 0.6 to 0.2. transportation remains up 0.4. look at finally retail sales quickly. inventories. retail inventories up 0.7. wholesale inventories up 0.6. much bigger builds than we anticipated. what's the aftermath of all of this? interest rates moved down a

little from loftier levels on longer maturities. pre-opening equities improved a bit but still in negative territory. lots of numbers to decipher. back to you. >> all right, thanks, rick. get steve liesman at least to start with sdecipheration? >> what is that? >> decipher numbers. i said we got you and you can begin some of the decipheration. i'm going to look that up. if it's not, should be. >> look it up, joe. you're a wordsmith. i'll go with you on it. i don't know if rick's still there. i can't find, whatever reason the number i'm looking for, which is the capital goods investment x aircraft. a caution on the -- >> minus 0.6. minus 0.6 of a percent. >> what i was looking for. thank you very much, rick.

i want to talk about this issue, joe, which i have been talking about several months earlier. which is we have rifts in the economy no apparent weaknesses. i'm afraid some weaknesses are showing up. jobless claims number bugs me a little, because juneteenth last week and that could have an effect on these jobless numbers because it happened middle of the week. 25% of people still use the phone or go in-person to get jobless claims. rick, correctly he made a point about the continuing claims being on the rise here. so we need to watch that. the capital goods shows perhaps that, the capital spending numbers which had been pretty good, now weakening. what we had in the first quarter, joe, i think, was kind of like a faux weakness. not with the consumers, a little weaker than we thought. still, the core numbers of spending by business and consumers were good. second quarter seems, joe, real weakness going on. and concern that maybe now we're

in this 1 to 1 p.5% gdp range n totally created by trade and exports. something worth watching on the jobs front. something worth watching on the capital spending front. right now as we look to maybe some gathering weakness in the economy and i think that's perhaps why yields declined. joe, back to you. >> thanks, steve. rick, are you gone? >> i'm here. >> rick, maya sent me, nothing fuzzy about those numbers, those trump/biden deficit numbers. something weird. the assumption. what was it about that deficit? >> well, i think what's fuzzy about the numbers is, so we all know covid put us in a very strained situation in terms of spending. the country and the world were in an unknown place. but -- once the issues were known and how we dealt with spending that money was not very good, and how we continued to spend after, for the most part, started to get a much better grasp on the

situation is another issue, but the fuzziest part is how we deal with the static versus the active handicapping of tax cuts and many of those issues. because they improved certain conditions, improved business conditions for lowering corporate tax rate and created onshoring and much of those benefits are lost in the spending column. that's the problem we have. the spending column. >> it's still -- you can still make numbers do a lot of things, depending which side you're on. see it all the time. >> of course. look it's a the krtraditional media. do it every minute of every day. >> everybody tells me disposable income up, wages down. disposable income included covid payments. coming up, governor chris sununu telling us what he's looking for on the economic front in tonight'sigy hhl anticipated presidential debate. i think he's, believe it or not, a trump backer now.

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the debate's tonight. 9:00. joining us now with a state-level view of the president's race and what he's looking for from the candidates,

new hampshire republican governor chris sununu. i guess i could have written this intro, governor. we don't want to bury the lead. you were on this show multiple times as a backer of governor haley, ambassador haley, and you've got plenty of criticism that you levelled at former president trump over the years. over the months and years, but yet here we are. you think that trump is a better choice for president? >> well, there's no doubt about that. i mean, elections are about choices. you go into the ballot booth you don't have debate with anyone. fill in this box or that box and that's where it goes. yeah. binary. a lot of folks that clearly don't like biden, wish a better choice but probably hold their nose and vote for him. same for trump. don't like a lot of what he's done in terms of his approach and all of that sort of thing, but they want change. i think that's what this election is about. can trump connect with voters

especially a night like tonight and connect with their anxieties, if you will. look, if you want a change, want to feel better about your economic situation you've got to actually come out to vote in november and kind of be a part of that action. i think he's got a huge opportunity to do. just say, hey, inflation's bad. right? got to bring solutions. right? talk about controlling spending, releasing some energy to get the energy costs down. talk about a free market and health care. bring some type of solution here that people will understand very simply. people will understand and if biden sticks to the same talking points of everything's fine. the economy's great. clearly that hasn't worked for him for the first three years. if he sticks with that message tonight, he's in real trouble. people will get frustrated quickly. >> and, you know, people need to grow up, obviously, and realize. a lot of people point fingers at you say you're a sell-out. democrats know full well president biden is probably past

the point of the toughest job in the world four, five years from now. probably not what most democrats would pick. they're behind him 100% because they have to be. you need to -- as a republican, it shouldn't shock anyone that you're behind the party's candidate. but -- i still need to ask you, governor. you had a lot of character issue problems with president trump. do those still exist and do the -- i've had people tell me, look. policy is one thing. but the country's going to survive bad policies. might not survive a dictator or whatever, you know, heard all the rhetoric from the other side. >> yes. look. i'll say this. every criticism ever laid at donald trump i stick behind it 100%. i do, but end of the day what you have there is folks judging other folks priorities. right? for some families, inflation is a priority, immigration's a priority, how they deal with schools is a priority.

for some families january 6th was a disqualifier. i don't judge anybody for that. don't agree with it but i don't judge anybody for that. everyone has to stop judging the other's priorities. families going through anxiety. trump's on trial. shouldn't elect him. nobody staying awake worries about the trials of donald trump but they are staying awake worrying how to pay their rent and groceries. you have to respect that and understand that. that's why trump is doing so well. because when you're gaslighted by the actual president telling you your economic worries, all that credit card debt you have isn't real a big deal and should be fine with it? that gets people really, shows a disconnection and gets people really ticked off no empathy or sympathy from those that affected the problem. that's where donald trump has an opportunity tonight to connect on these issues. i think he should say similar to, look -- i think fed is largely responsible for this inflation problem, by the way.

janet yellen an absolute fool and if trump went out said get rid of the people that were in part, part of this problem. right? going to drive change. not just going to talk about a problem, but actually bring an answer. the other thing i want ta harp on a little bit is trump has an amazing opportunity to harp on the international issues tonight. right? simply say there wasn't chaos in the world when ai was president. a world leader's look where we are today. keep the message simple, make sure that biden who we all know a guy that's going to be up past his bedtime, if that guy kind of gets under trump's skin it will show weakness. trump can't let biden get to him. probably take a little bit of his frustration out on the moderators, i imagine. i imagine a few mic cutoffs tonight. that might be kind of interesting, but he can't show he's getting rattled by a guy he thinks is too old for the job. >> right. we mentioned that, governor. i'll mention v.p. for a second.

if is part of the calculus. vice president harris is less popular than president biden. which is, getting down there, when you get to that level of popularity, and every democrat that is unequivocally backing the president knows that there's a chance, maybe, that, everybody's different at 81. born, buffett at 95 and others in their 70s shouldn't be president. >> right. >> we know she's waiting in the wings. who do you think trump should pick? >> well, i'm like former senator manchin. partial to governors. they're managers. do the job 24/7. obviously doug great a great friend, great governor. tim scott and rubio also in the mix. i don't think it matters a whole lot. i know that -- i don't mean to give -- no. i don't think it's going to matter. people are voting for trump or biden. look at who the vice president is but i don't think it's going

to sway the vote. two very polarizing characters. they vote for, one's a current president. one's a former president. who hair really voting for and rare a vice president swings votes. so i think interesting and i hope he picks somebody solid, as you mentioned, pretty much anybody in america will be more popular than kamala harris. right there he's guaranteed a win in terms of the popularity contest. somebody effective and understands that america needs action. needs management. right? words matter. not just this policy fluff stuff you see in washington, d.c., real management to be a part of the team and get things back on track. >> all right. it's great to have you on, governor sununu. a lot of times i get a little, i think you'd be good. i do. you're young. maybe we'll see that in the future. there's a new breetdd of politicians coming along some day. andrew, run this by you --

thanks, governor -- yesterday in the "journal" doug sold his company to microsoft and worked with steve bannon and the "ja "journal" some op said said he got along with steve bannon. somehow saying that that makes him -- hard to do? i like him. don't you? >> i don't know if that's a singular -- a governor and run as good state. a lot more coming up right here from as aspen. powering the a.i. boom and so much more we're going to talk about. you're watching "squawk box" cnbc. moving forward with node-positive breast cancer. my fear of recurrence could've held me back.

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welcome back to "squawk box." we're here at the aspen idea festival. nearly three months ago ge

vernova completed its spin off from ge. joining us now is the ceo, scott strazik. thanks for being here. >> thanks for having me. >> before we get into what's going on in energy, just being a ceo of a public company like this now? >> it's fun. this is a company that matters to the word. we're decarbonizing the world every day. i see clear opportunities for us. we're having fun. >> a.i., a.i., a.i. is happening wherever we go at the conference. one of the underlying issues is energy, how much energy is being used. i spoke to the ceo of microsoft a.i., he didn't think it was a problem. we had enough energy and it was going to be okay. do you think it will be? >> i think we can meet the growing demand. there's a lot of load growth

that's coming. a.i., evs, u.s. manufacturing growth, the reserve margins in the u.s. are coming down. we have to invest a lot more into the electrical power system. we have the ability to do that, the technologies to do it. with these technology companies and their balance sheet and operating history, we can grow into this electricity demand. >> where do you think it's going to come from in terms of clean energy? >> it's all of the above technology. with the amount of power needed in this decade, gas is important. we'll decarbonize that gas with hydrogen and carbon capture. wind is going to grow. we'll move nuclear to the left. >> you think it will be? >> no question it will be. in canada --

>> that's canada, not here. >> that's in canada. that's the first one. in the u.s. this will be an important part of the equation. tennessee valley authority will be our customer launch in the u.s. we're working with them. >> big concerns over wind, especially offshore wind and whether that's a profitable business and frankly we'll have debates tonight because there's a political question given the positions of president biden and former president trump on wind energy. >> you bet. when you think about wind, it generates about 7% of the world's electricity. most projections think it needs to be two to three times that to reach our objectives. wind is an important part of the equation. that said, the industry has gone through a difficult chapter. i see clear pathways to success. the storming and some of the scary headlines you see in the news today in offshore wind, projects getting canceled,

customers losing money, that's going to lead to a reset in the industry. >> what has to happen? the losses are in the billions. >> yes. starts with price. the reality when you think about offshore wind prices have to be analogous to building a nuclear plant. >> how do you get those prices there without subsidies? >> at the end of the day there are incentives to help. >> do those go away based on the election? >> no. at the end of the day there's real infrastructure investments that will be required to decarbonize the world. there's going to be incentives in many parts of the world to support these industries. >> everybody is talking about the debate tonight. everyone is talking about the role of ceos in talking about politics and policy. >> yes. >> what do you think about that today? >> i think the electrical power system, governments matter.

policy definitely matters. we built this electrical power system over 100 years ago. we need to transform it in the next 20. i spend time in d.c. >> do you say in this election there's a president that would be better for your company than another? >> when we have these conversations and we talk about the investments required, especially in the infrastructure for electrical power, really goes back to jobs, innovation, energy resilience, energy security and national security. the reality is the investments required for the electrical power system, both parties support those investments. we're focussed on serving both parties. >> scott, want to thank you. when we come back, a final check on the market as we count down to the opening bell on wall street. you're watching "squawk box" in

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20%. the ceo saying a plan to finalize the number of store closures are in motion. he said, we're at a point where the current pharmacy model is not sustainable. are you back here tomorrow? >> i'll see you tomorrow post debate. i asked breen chessky, he's staying at an airbnb in aspen. >> you're in studio tomorrow? >> no. i'll see you from here. we'll have all the reaction. >> that's right. i'm losing it too. my name's joe. join us tomorrow. "squawk on the street" is next. good thursday morning. welcome to "squawk on the street." i'm carl quintanilla with jim cramer. futures are getting challenged.