hey, everybody, not big moves for the market right now. >> holding pattern maybe before tomorrow's inflation report, but there's a lot of activities in individual symptoms. we stocks. one stock moving higher following its results is mccormick, the spice company. how have they done the past few years? ceo brandon foley will join us

coming up. we have a deluxe version of "three stock lunch." anthony is with rockland trusts. first, we have micron. seema mody has the details in our report. >> it came down to the lackluster guidance, but it comes after a 6 a% run in micron shares this year.

will benefit. right north we're watching micron trade down by about 6.5%. nvidia is down as well. guys? >> thank you, seema. anthony, you're up. what's your trade on micron? >> i would continue to hold micron here. we've seen this playbook over and over in press months, with companies with ai exposure trading down, just because the market wanted more of a near term. i think it's pretty well posit positioned. the important part as investors, we've gotten more visibility in the last two, three months.

they should have the opportunity to generate well over $10 per share of earnings power, perhaps even materially more than that. so, if you own it, i would continue to hold it here. walgreens on boost of its biggest drop, with a potential of dropping a lot of stores. bertha coombs has the details. >> walgreens hitting a 26-year low, lowering the outlook. the issue is margins at the pharmacies. the back of the store, due to pressure from reimbursements from managers, front store, the ceo told me consumers are still stunned, he says, by the stickiness of high prices, and then there's theft. the result, a quarter of the stories are underperforming,

looking to close though unprofitable locations. >> question know we are the last company standing in a lot of places, the only places between those places and pharmacy deserts. our goal is to find new ways to work together with state medication programs or local law enforcement. >> cvs is facing a lot of same issues if its stores, but it's more diversified with pbm and et in health plans which somewhat offset that brick and mortar. >> on that knew. >> would you about he a here here? >> i think the reductions of the issues is they're at the

cross-hairs of potential or continued industry disruption certain on the back end. >> i any there are better places to be than fight this battle. you and i both nose it's have it's moment. last night the company posted sales that narrowly mised

expectations. this was a small miss to be clear. even a few months going that still wasn't enough. >> and for the certainty quarter, expecting sales to be up about five, now, tyler, there's something else that could be weighing on the stock here. levi's is in the midst of a strategy shift, selling more directly instead of through partners like determined stores. this strategy has been worked out well for other retailers, so

investors may be concerned about that as well. >> anthony, your view on levi's? >> this is another one i think the reaction is a based on too much, in the case of a strong quarter and the blamed second half guidance not being as strong as people wanted. we have heard and read so many daughters points that are clearly mixed at best, so retail feels a bit like a landmine, but at the end of the day, a tremendous brand and argue reply one of top ten brands in the mork. anthony force oni, we appreciate it. >> thank you. >>. now, stocks overall are

edging higher today as investors wait for the report tomorrow. our next guest says she's constructive on the -- she's adding risk in portfolios, taking equities further overweight. megan shue, welcome. >> thank you. i think starting with the economic data. the hard day continuing to be pretty solid.

we have about six rate cuts penciled in for the next six months and allow the cycle to continue. in that environment, white fixed-income returns should be solid, we think equities will outperform. >> you like consumer discretionary, but it seems like you're selective here, because on the one hand you like it. on the other hand, you say kind of beware of consumer discretionary that's exposed to the lower-end consumer, which is feeling some pressure and get choosier.

and consumers will be more strapped, so it's going to be about not only identifies which pockets may see consumer activity but also finding those that will retain pricing power, have good margins, so really skewing towards higher quality in this environment, looking for companies that can execute. it's really been a bit of a touch-and-go market for active management, especially with the narrow learn, but this is an environment where execution and profitability is more important, where stock selection will really have an opportunity to shine. >> you're not among those leaning gets the outperformer at the top. our overyeah technology in related basket areas? >> we are slightly overweight on

tech technology. there's a lot of ink spilled, can the market continue to do well, without this very small basket of stocks,just dramatically outperforming. we don't have too many data., but historically we have seen periods of very narrow leadership do coincide with very strong markets, as we are experiencing now, but the year after and subsequent users tend to see more moderate returns. not necessarily selloffs, but more equity returns, which we are expecting, and better participation from other parts of the market. so, it's not an environment where we have a ton of conviction in magnificent seven, for example, for versus the rest of the market. i think it's important to manage

risk and create exposure across the spectrum. >> why are you bumming on financials? >> well, it's still a bit of a challenging environment for financials. we do like parts of the payment space, payment processors, we also like some of the bigger banks. i think the capital requirement and potential for that to be updated and some of that requirement reduced going forward that was hinted at by the fed, i think could be a help to banks, but we have a deeply inverdicted yield curve, we don't even see it in the next year, really. that continuing to be -- that's going to be important for banks in a slowing economy. we don't have a high probability of recession. that would be a positive for bank, but we see better

opportunities elsewhere. do you think that the treasuries have seen their highest yields and yields are going to come down dramatically? that would suggest, if he with lock in today's higher yield, i might get nicer income, but might have a chance for a capital gain. >> yeah. i think we are going to see very solid returns for investment-grade fixed income, given current yields and the dynamic you're describing. we expect shorter yields to come down, but you're really talking about coupon clipping. that's one of the reasons why we still -- we're neutral, we have a full allocation to investment-grade fixed income, but outside of a recession scenario, i don't think bonds do better than equities, and though there were plenty of signs that the market mike overbought in the short term and more

susceptible to choppy any. if you're willing to look over 12 months, equities are the better place to be. >> meghan, we have to go, can i ask a personal question? >> i need like a spike-minute bicep workout. i need these arms. [ laughter ] >> it is the lateral dumbbell wonderful? [ laughter ] >> the heavy lifting she does at work with these number. >> it's kits, carrying kids around. >> i needed a better answer that that. already. i'm coming over for a work out. meghan, we appreciate your time. thank you. rise for the robots. agility robotics announcing the first-ever commercial deployments, and we're going to throw in an arms workout.

[ laughter ]

you have seen backflips and somer assaults, but can they actually do works? we have the agility robotics ceo. >> reporter: i'm joined by peg,johnson, the new ceo and your first interview since taking over, and today you are announcing big news on our air. your digit radio bottom is in a new partnership with gxo logistics. >> this is big new. digit is stepping in and picking up task at a third-party logistics operator.

this is kind of the dull, repetitive sorts of tasks that's hard to find people to step in and do, but we are on the clock now. tell us a bit about agility, your valuations over a billion, you've raised over a hundred mil million. what makes your robots so diff different? >> we're the first once being put to work. you're operating in those paces that humans previous operated in. one, we have actual data from environments that -- inside the customer facility. it turns out that's very valuable data that will then teach new skills to digit.

so that will help open up any markets. >> this is ai-powered, but how autonomous and independent are these robots. as they continue to advance so quickly. >> digit is fully aton muss. no cord is behind it. it's still inside of a work cell, so it works in a work cell for safety. you don't want ai at this point in time controlling the robot. we use traditional methods to control the robot, but we can layer in ai on top of that to help teach it new skills along the way. >> here there's a lot of talk about ai, but also a lot of talk about regulation. you don't want ai controlling the robot. >> what do you think about the regulation? should ai by regulated? what would that mean to your

ai-powered robots? it absolutely should be regulated. these are human-sized, very large devices. you want to make sure that the human is always top of mind. there is a moment in time as ai and robots merge for governments to work on the proper regulation, to make sure that everybody follows the guidelines. >> and so you think this will happen at a federal level respect national level, international level? >> there's already international standards. our tear has a voight in the standards for human nois-- you mentioned you have a partnership

with amazon, but what other types of industries could use your robots maybe to replace workers, or certainly accelerate the pace of their growth? >> i would say tasks, not the full jobs that are repetitive, dirty, sometimes back breaking, a lot of injury-prone tasks that human oids can takes, and that frees the human up to learn new skills, to be the manager of the robots. they can step into a digital job based on that. so, it's really going to change the face of labor going forward. i wouldn't think of it as taking the job, but as agomented the human's jobs. >> which industries do you think are next? >> i think we'll see it quite a bit in the automotive industry, retail, eventually health care. >> do you them interacting more with humans, or walking around

more in a manufacturing or warehouse? >> they will eventually interact with humans. we're working on those protocols to allow that going forward. >> fascinating time in the business, and exciting to see them at work. thank you for joining us here at aspen ideas. back over to you. thank you both. it looks beautiful out there. further ahead, investing in 10 to 20 million in a start-up that competes with google search. search. we'll have tseho details. (fisher investments) so we don't sell any commission-based products. (other money manager) then how do you make money? (fisher investments) we have a simple management fee, structured so we do better when our clients do better. "power lunch" is back in a moment.

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stocks are a bit mixed right now, but very slight moves there, about 0.1% for the dow, the s&p and nasdaq. bond yields are slightly lower, and more economic data coming out tomorrow. rick santelli has more. >> you named it.

more important data today, maybe even more important tomorrow. gdp, this was the third time around the block, but consumption took a hit, and the pride indices are a bit warmer than expected. then you had the cooler numbers. if you looked at durable goods, especially the court, cooler than expected, and right into the icebox when it comes to pending home sales. if you look at 2s and 10s on one chart, yields have drop dam tickly. a month-to-date chart looks how much of 2s and 10s are down. the big story remainsforeign exchange. we talked about for the first time if 3 years, the dollar/yen closed above that 160 level. as you see on this two-day chart, but still solidly above

160, still hovers at 38-year highs, and it does underscore that the bank of japan has verbally trying to tell foreign exchange change trader to stop. we'll have to ultimately see. intervention may work for a while, but in the big picture, it never seems to work on a large scale. kell yes, back to you. thank you, yes. pippa stevens is here to talk about bp. >> this is a report from reuters, that bp is pausing hiring and also pausing new wind projects. it's not that surprising, because it's booked significant losses on wind projects, including one earlier this year. they are not the only european major that's hitting the pause on renewable build-out.

shell rolled back theirs, and we have seen this ongoing valuation gap between the european and u.s. companies. in europe they have doubled down on renewables, exxon and chevron, they do have low-carbon division, but it's a fraction of their spending, and they have not gone into similar and wind, but areas where they say they can be leaders, like carbon capture. and now others are considering posting their listing to the u.s. >> what is behind this pullback? they just don't see the profits out of wind and solar and so forth? >> lower profits and longer term. that's when you have commodity

prices, you're minting a lot of money. exxon and chevron made more than in the last few years. it's justle valuation gap, and investors willing to pay more, versus those that are promising higher future returns from renewables. >> fascinating, thanks. let's get to kate rooney. >> the sackler family, the center of a supreme court ruling today that blocked a massive settlement, responded with a statement saying, while we are confident we would prevail in any future litigation, given the profound misrepresentations about our families and the opioid crisis, we continue to believe that a swift is the best way forward. a trail derailed in illinois. officials say they're looking

into at least one leaking train car. and empty office space could wipe out $250 billion in commercial property value, according to a new report from moody companies's that says the work from home phenomenon keeps going and employers offer for shorter-term leases, and more flexible working conditions. paprika eureka's moment, mccormick is boosted by people cooking from home. we'll talk to the ceo, next.

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good you have to you with us. >> thank you. you're based in baltimore. i wonder how much, if at all, the collision of that ship with the bridge there on 895 or whatever the road is, affected your business, your workers, if at all. >> first of all, let me say our hearts go out to the families who lost loved ones. one other thing -- the state has been remark in errors. mccormick, it did have a bit of an impact, mostly travel related. our employees have to travel a bit longer to get to work, and we had to shift shipments, but it doesn't have that big of an impact. do you have a number of how many households have your products?

it must be probably close to 100%. >> yeah, we're in a lot of households, but also in other markets, too. >> and you've had some particular growth areas, middle east, asia? >> we just just released earnings today. we've had a good first half overall, and doing what we said we use do, which is invest more in our business, and put focus on innovation. >> i wonder at what point people will push back on $9 paprika, maybe that's where i shoppal hole foods somewhere the prices are too expensive, but it continues to hit new highs. i imagine you're able to pass that along to new consumers, but for something they buy.

it has to do with anything from innovation. it gives us a lot of tubes as we think about overall -- i would tell you right now, what's happening we're seeing growth in the perimeter. that tells us probably not as much -- the fresh foods, produces, proteins. >> part of that was because prices were going down, actually, but how much have you raised prices? 20? 30? >> it's probably less than that, but over time that's a com punning impact with inflation, but we're starting to see prices come down overall. we did think about increase brand marketing to start to drive volume. we took a look at some of our prices and said, let's get these in a range that really major sense for consumers. >> so, are people craving

spicier foods today? >> oh, they are. this is a great trend. in fact we're positioned to win on this. what i would tell you heat is more than just hot sauce. it really spans both segments of our business. so we also -- you know our brands. >> flavor solutions meaning, what? is that code for restaurants or -- >> it is a little bit, but we have a big business and pride in the flavors for packaged goods companies. and yeah, frank's red hot and cholula hot sauce, you might initially. >> which do you prefer? >> mine is cholula green pepper. >> i'm an old bay girl. >> that's another one of our great brands. >> everything tastes better with that on it, i feel. we've seen a lot of numbers stalling out in the first mav of

this year. i don't know if that's a discernible impact for you guys, but it's not the strong growth it once was. people are really looking for value. >> we serve every segment of the food service channel and marketplace its a diverse segment of restaurants and operators. right now we're seeing our branded service doing really well. think about when you see a tabletop, frank's red hot in a caddy there, or cholula hot sauce, pepper grinders, we're seeing a lot of that. a good one for us is wendy's just launched the breakfast burrito, and they pair it with cholula hot sauce. that's a good part for us. >> you have to fend off surratcha. >> when you think about heat, it's very different from cholula. i would use frank's on something different. we'll equal opportunity.

>> what's hot in your business? what is coming? what is the next big thing? >> we watch trends all the time. this is something we spend time on right now. if you look at the products we brought here just to showcase, what hits the tipping point right now, is dill pickle in everything. >> dill pickle? >> we're putting frank's red hot saw, and like a dill, a creamy mustard with french's. >> chick-fil-a was ahead of that. do you partner with influencers? >> we do, we do. >> it only takes one hill to make dill pick the or whatever -- the chicken wars led into that. at some point two, three years ago, that was an emerging trend. at the right time, we go mainstream then. >> you must have a perspective on the consumer's side of the

business. are they trading down a bit? >> we like the way our consumer business is performing. it's a good indicator of what we see happening in stores. there is a lot more value-seeking behavior out there. we definitely see that. for us, because we have such a broad range, a lot of different brands, it allows us to serve that consumer. that perimeter in the story store is growing, but consumers are cooking more at home as a result of that. that means growth for our business. it's really a long-term trend we're looking into right here, but that's creating a lot of growth in our category. we're growing unit volume as a result of that, so driving a lot of growth, because consumers are eating at home. you have to remember, over covid, it was a four-year cooking class, you know, in a lot of ways. that created an opportunity in the last four years for people to -- >> i grew my own oregano.

>> after a few cycles, i decided to go back and buy the spice. >> green pepper cholula? >> green pepper cholula. it h it has poblano and jalapenos in it. coming up. softbank's lesinstnt-att veme - ♪♪ ♪♪ citi's industry leading global payments solutions help their clients move money around the world seamlessly in over 180 countries... and help a partner like the world food programme as they provide more than food to people in need.

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because we believe the more ways we all have to move forward. the further we'll all go. welcome back. another day, another ai start-up, this time it's softbank, the japanese tech investor. deirdre bosa is here to break down the details for today's "tech check."

a source familiar confirms that softbehavioral is go-- they're going on the ai offensive and perp perplexaity is a darling in the -- it did so largely in late-stage rounds, inflighting valuations, many of which were ultimately unsustainable. another buzzy has struggled with competing tiff turnovers. it found a lifeline from a group of investors including john parker and co-2 manage, that many traditional vc investors considered to be silicon valley

outsiders. so this space is as hot as ever, kelly and tyler. the real north star is openai, which has overcome many, many controversy, many leadership challenges to sign deals, and it's even proving to provided them with some competition for the likes of microsoft, even. i think it's so exciting that so much money is being poured into startups, some with little to show for it. it's this idea, and perplexity as an example, it has a business model, it charges a subscription fee for a more advanced version of it. . that's a promise of this company, for example. >> deirdre, thank you very much. and still to come, spacex

valuing itself for a whopping $12 billion. the latest in the space race is next. and cnbc celebrates pride month. here is brandon rockwell. ♪ >> being a proud member of the lgbtq plus community, where a world where representation matters. i am proud of my family and the i am proud of my family and the work i do every day, creating (♪♪) live-saving medications. (♪♪) what took you so long? i'm sorry, there was a long line at the thai place. you get the sauce i like? of course!

you're the man! i wish. the future isn't scary. not investing in it is. nasdaq-100 innovators. one etf. before investing, carefully read and consider fund investment objectives, risks, charges, expenses and more in prospectus at invesco.com

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welcome back to "power lunch," everybody. quick check on the market. you see there dow jones ever so slightly lower as is the s&p. but nasdaq is quarter percent higher. check out shares of tesla. down more than 20% this year. costing elon musk billions, but don't worry about him, because his holdings in spacex are doing fine. bring in michael sheetz.

cnbc many space reporter. new news here, michael, about the overall valuation of spacex. who's making that valuation, and how did they arrive at it? >> so, this is spacex doing another one of its biannual secondary share sales. insider sump as employees can sell stock. coming with it, typical valuation readjustment of what those, what that stock is worth. this let's new investors who want in an opportunity to buy spacex, which is a private company. while it let's company people, people owning the stock perhaps even more that a decade get a little liquidity. this is a semiannual event. saw it back in december. july before that. december before that. the been a steady increase. really driven a lot by the excitement investors have around spacex's starling business and coming starship rocket. >> and valuing the company about

$210 billion. when the stock is traded, all off the radar private transactions? >> yes. standard secondary share sale where it's being done by the company with, on the private markets through its preferred bookkeepers. so we're talking about something that's really notgetting liquidity out in the public markets quite yet and for all the talk went an ipo, spacex, spin-off of starlink, no concrete timelines when that could happen. everything i've heard the last few years kind of a couple years away. that seems to be something that's still aways off but i think the bottom line here is steady increase. one of the most privately -- one of the valuable private companies in the world is about betting on the present with starlink and then betting on the future with starship. because of the huge customer

growth seen with sat lellite business. >> and china beaten u.s. to the far side of the moon and potentially could be first colony down there where there's nor water and ice-rich rocks and part of an ecology all countries want. is this partnership model, public/private partnership between nasa and spacex, bearing fruit? or does the u.s. need to get more focused to fend off china? >> fantastic question and bearing fruit already. seeing it in lower orbit with our transportation systems already, private industry has taken on new roles that even chinese private industry isn't capable of yet. so we're talking about a transition point for the united states in terms of how we get our astronauts into lower earth orbit. space ex x is leading the charg under the lunar program.

same as china not just exploring reaches of the moon but establishing a presence there. it's neck and neck at this point. the really important thing is that, china makes steady in-roads pouring money, and questions about its sustainability continue to be there whereas we really have an industry-driven aspect on the united states side. >> back to spacex. we see it's gotten a contract from nasa for about $850 million to build a craft that will destroy eventually the international space station when it's sort of, it ages out in 2030. what does this craft do? does it go up and, and explode the iss? or pull it back into orbit and make it disintegrate? what? >> tyler a great question. what it really is fundamentally is, you can think of it as like a tugboat. right? his is a vehicle which we

don't -- still have questions about. i don't know what spacex's design looks for this or how they'll use existing spacecraft designed to create this. effectively the plan here is for something that would come up alongside the international space station after we'vetaken all the crew off it and just kind of guide it back into the really fiery re-entry process and make sure it doesn't come down in any areas where we have population. i mean, the destiny of this space station is ultimately somewhere around point nemo way out in the pacific ocean. this is going to be something, no people involved but it's going to bring down what's now a, going to be a 30-plus-year-old space station. >> quickly, why not leave it up there decommissioned? >> a great question. nasa release d a study looking t alternatives for the space station. bringing it up to higher alti altitudes, leaving it there, handing it off to another

company. technically infeasible or economically impossible. this is the best option we have as far as, what really has served its purpose in just amazing ways with over 3,000 different science and research experiments done over 20 years. >> michael, thanks very much. appreciate your time today, and we appreciate your time as well. thanks for wchg atin"power lunch." >> "closing bell" starts right now. >> announcer: catch the "market zone every weekday on "closing zone every weekday on "closing bell" for morgan stanley. these guys are intense. we got nothing to worry about. 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. him. good game. thanks for coming to our clinic, first one's free.

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♪ ♪ the biggest ideas inspire new ones. 30 years ago, state street created an etf that inspired the world to invest differently. it still does. what can you do with spy? ♪ ♪ [thunder rumbles] ♪ ♪ i'm scott wapner live from cnbc headquarters. second half setup. a record-setting rally, what has legs and how much is hanging on pce tomorrow? ask experts over this final stretch. a look at the score card with 60 minutes to go in regulation. tight trading ahead of the fed's favorite inflation read tomorrow. look at majors. a little work to d