welcome to "power lunch. with kelly evans, i'm jon fortt. according to ferris bueller, the markets move fast. first, small caps, and now everything is selling. we'll look into whether retailers are selling and whether they could be left

holding the bag. backlash first, it was mcdonald's over prices and chipotle over portion sizes. now, amazon price day is a scam? we'll try to get to the bottom of that. first, the markets are heading lower across the board today. the dow the worst performer, down the nasdaq down 0.88%. the russell is down, as well, but a split over it and the nasdaq the last year russell is up 4% nasdaq down 2%. another example of how fast things can change in the markets, were years, nvidia has been a chip darling and intel has been, also intel has jumped now and nvidia sunk for more on the moves in chips, let's get to see ma modi. >> nvidia, analog devices, nxpi, higher significantly off the day. look at this chart for semiconductor. just turned negative despite a

strong second quarter beat and outlook. the capex guide did not wow the street however, the ceo said a.i. demand is so hot, and all customers want to put a.i. functionality into their devices. customers including google, qualcomm, microsoft. as you said, check out intel, up another 4% it was one of the only chip stocks that ended higher yesterday on the idea the investments in u.s. foundries will pay off the stock is on pace for the third weekly straight gain, the third three-week rally since the end of 2023. wall street currently has about 14 buys, 30 holds, and 4 sell ratings on the stock it has been a laggard this year. investors now awaiting former president trump's rnc speech tonight and whether he will take aim at the broader industry. back to you. >> yeah, seema, it is interesting how much intel had been underperforming for a

while. after the fab announcements, the chip act announcements that had been in the higher end of the 30s, and now it went way down, i think to the high 20s even in a way, this is a catch up, separate from the a.i. names you mentioned like nvidia and even bro broadcom. >> given the political environmentopogeopolitics, investors are looking at which companies have an opportunity to diversify away from some of the asian suppliers. if that's the case, intel and global foundry seem to be top of mind given the investments they've been making here in the u.s. i also saw another analystpersp, intel looking better than nvidia, that have run up so much. >> thank you very much seema modi check out the russell 2000 etf. a lot of this goes back to the cpi report showing significant slowdown in inflation. kate rooney has more on the move from the big to the small. kate

>> kelly, yeah, so individual investors had a key part in what we've seen around small caps in the rally. tom lee calling it small cap summer these are stocks where the market cap is typically below $2 bill billion. according to new research, there has been record daily inflows from the russell 2000. iwm and tna, all stocked by the cpi print. higher expectations for a fed rate cut it comes during what is seasonally a slow time for this market activity around retail trade. rates are seen as beneficial to the smaller companies. part of the rotation, typically, they have a higher debt loan part of the interest rate story there. there's been increased expectations, of course, of a trump victory that we've talked about in november. retail participation has a much more direct impact on the performance of some of these small cap names versus any of their action in the mega cap tech names retail investors, speaking of mega cap, had been overly indexed, aggressively over indexed.

that group, with the mag seven, there has been a narrow buying this week of those names, the magnificent seven. that's according to vander research one exception, though, guys, tesla. possible excitement around elon musk's support of trump or the fed's prospects, as well, helping the rate sensitive names. crypto stocks are a trump trade. bitcoin has seen a spike in the last month or so as trump and jd vance signalled friendlier posture to the industry. investors are selling those names. vanda says they're looking to lock in profits here, guys. >> the retail trade, the new smart money. what they do, i'm going to do. they're out, they think it's over >> by the way, i know you wrote about this in your newsletter, so i feel this is topical. yeah, i mean, it is interesting. it's a catchup trade because they, like many others in the market, were so indexed to megacap. but, yeah, it is interesting the old smart money, dumb money,

i really don't think is applicable in this part. >> no. >> they've been, i mean, ahead of things like nvidia. there's been interesting examples. >> totally. >> they've been a group to watch. also, it speaks to some of the sentiment in the market. a lot of hedge funds watch what retailers are doing. sometimes doing the opposite comes back to bite. >> maybe it is too soon, kelly thanks, kate too soon to call retail the smart money. if they called the downturn in '22, maybe but chasing the popular names higher doesn't exactly make you smart. let's see what happens when the market really turns. >> i was impressed at the huge skr involvement in the market at the lows in the pandemic in 2020 there were a lot of people -- remember the great depression 2.0? a lot of the wise people, the institutions were saying, no, no the retail traders were in there pounding the market higher so to your point, maybe it's easier to ride stocks long than short, but nevertheless, it's been a pretty good run.

>> some of the smart money bought amc and gamestop, various prices you know, i'm not saying -- depending on when you bought it. >> beyond meat. >> we'll see despite stocks being around session lows, the dow is still up 2% this week. the s&p and nasdaq tracking for the worst weeks since april. our next guest says there's potential for the s&p to decline even as the average stock in it goes higher. joining us now, chief investment officer at cresik capital. jack, good to see you. wouldn't be the first time that happened, right? >> no. in fact, if we go back to 2000, 2001, that exactly happened. now, i'm not suggesting we're in an internet type bubble here, but i will say, if you look at cap weight minus equal weight, cap weight outperformed equal weight by more than 11 percent damage points or so over the

last six months. that's the widest spread since 2000 so if we dial back to 2000/2001, what happened? fed started raising rates at that time. that took a lot of the air out of the internet stocks the s&p actually declined around 20% in 2000/2001 yet, the average stock increased 8% over that timeframe what we're telling clients is, look, we don't get nervous if we see the s&p decline. it's not necessarily quote, unquote, bear market the average stock as we start moving down in market cap could actually advance over that sam timeframe. >> jack, how should investors play this given if you look at the russell 2 no000, it's highe smaller stocks there are more likely to be carrying short-term debt as interest rates come down, that's less of a burden for them to have to pay more for that but if we run into an overall

slowdown in the economy that's more than some would hope for, small caps are also likely to get more hurt if things slow down so are there certain sectors, certain industries that are also likely to get relief from lower rates where investors should be aware? >> yeah. i mean, so let's take, for example, the s&p equal weight. one of the things we're doing, similar to the equal weight, we're looking at quality we're still focused on quality we're broadening our reach look, for example, at the large capx mag 7, its debt to ebitda is four times. the mag 7 debt to ebitda is less than one small cap russell 2000, it is nearly 6 here's a great way to play, you know, an easing environment. plus, one of the other things, we do have some fundamental justification for what we'll say the average stock or the s&p

x mag 7. that is earnings it was fueled by mag 7 growth. i mean, mag 7 earnings were up over 50% for three consecutive quarters year-over-year. as we move into the next four quarters, that's converging. it's coming down to around 20% s&p x mag 7 earnings growth is ramping up from negative to, call it 15% or so, on average over the next four quarters. not only will we get the benefit of lower rates and, of course, easier financing conditions, but we should have some profit growth underpinnings of that valuation. >> as long as we're not in a slowdown, jack, that seems to be -- it's obvious to say, but, you know, it is unusual to see the unemployment rate rise by 0.7 of a point and say, no, that's it. it's an adjustment, and

everything will be fine. >> yeah, we're looking at really the two metrics tracking obviously, cpi cpi is not only trending lower, but it is lower than expectations now for the last three months in a row. the other thing we are looking at, employment and employment growth while year-over-year employment growth is slowing, still certainly positive, we're seeing two elements that support employment going forward one is nfip. this is the small business survey of users, of small business owners looking to hire over the next six months that's starting to tick up the other is among mega caps, ceo sentiment, which has been a pretty good indicator of the direction of hiring. that's also rising that's a question mark i think that we could see an environment, if the fed does start to reduce as the fed funds future expects, september and perhaps in december, we could

get an environment where inflation is trending lower and the jobs market is still hangin in there. >> makes sense jack, thank you. coming up, the keynote moment of the rnc. donald trump is set to speak and conclude the convention tonight. what can we expect to hear from the former president, especially with speculation swirling around president biden staying in the race ckrit lunch" will be gh ba uldn't have done it without you. honestly, i don't do a whole lot here. 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 or, what if everybody buys them? 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! i downloaded eight hours of true crime stories just during our last video call i'm learning a lot

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welcome back to "power lunch. former president trump is formally going to accept the nomination for president as pressure for biden to drop out of the race intensifies. his speech tonight follows a speech last night from jd vance, his running mate, as well. here is andy blocker, head of global policy at invesco

it is widely described as the end of the old republican party and the start of the new >> absolutely. the picking of jd vance is doubling down on the populism that has made trump so popular, and i think if you're looking at his policies, there's a lot of things there that are going to be add vennventurousvestinvestos >> we'll start with this and then whether this will be the winning ticket in november, what does this ticket represent to you? in what areas is it most different from the current administration >> well, i think on the trade side, it's different but it's not. so it's different in the sense of they're going to escalate what they've been doing with respect to the tariffs with china. notice that biden did not remove any of the tariffs on china, and he's increased some of them. broadly speaking, when you talk about it globally with the proposed 10% with everyone, which is really not -- it's serious but it's more of a negotiable open bid, but some of

the countries will receive 10% tariff, so it's much more robust in its tariffs from that perspective. the other thing is, in an interesting way, i think that if trump follows jd vance's lead with respect to the populist bent, big tech, large companies, banks, they're not going to get a free pass in this administration i mean, they're going to have some openings and things, but there's not necessarily going to be a free pass, like, that might be under another administration. >> andy, i'm curious, how much do you think of this as a populist flavoring versus an actual, substantive policy shift? we heard trump as a presidential candidate this time around talking about things like a flat tax, sales tax, those things would hit the people who purchase things and spend a bigger part of their budget on that a lot more, and that includes the working class then, you know, he's not certainly as pro-union as the

biden administration has been. though jd vance did mention unions in a sort of big tent way last night the republican party hasn't exactly been pro social safety net. so how much of this is really a policy shift versus a tonal shift? >> jon, that's a great question. look, i think right now what we're trying to do is sort through all of this. right now, what we're doing is we're cross-referencing trump's statements with senator vance's past beliefs with project 2025 and with the rnc platform. there's a lot there. there's certain things that are common among all of them we know those are happening. we talked about tariffs, tax cuts for corporations and individuals. but beyond that, when you get to specifics, i think there's a lot of movement here we're not certain yet the specificity of what's going to happen. >> so can you be truly populist

and have tax cuts for the rich and a flat tax for the working class? does that work >> well, in washington, it's not about purity, right? it's about direction so if you think about it, this is still not your father's republican party all right? they're definitely moving away, but it is not going to be in total. i think what they're trying to do is obviously appeal to a greater swath of people and increase the tent, so that's why i think they're doing this direction. >> so, andy, what do you make of what's going on on the democratic side? >> well, look, there's a lot of -- i guess the right word is tumult. >> that is the right word. >> look, i've seen a lot of volatility in campaigns, but i think the last three weeks, i haven't seen anything like this. so, right now, where we are is over the weekend, right after

the attempted assassination of president trump, you saw that the campaign to move biden aside, it went away publicly, but it was still an underground operation, which we saw reported last night that's number one. number two, you're looking at some of thepolling in the a.p. i think 65% of democrats now want biden to move aside i think that's the direction, but i think as you've heard over the last few days from a number of people, the person who needs to make that decision is joe biden and him alone. >> that said, a lot of pressure can be put on him, right it appears to be being put on him right now. is the best path forward, i guess i could ask it to you from an electability outcome, to let harris be the ticket and sort of vp later on? look, she already polls better against trump than biden has. >> so, look, i'm not going to get into the predicting game right now, if you look at the general direction, that would be

the answer but i'm not sure that's where joe biden is so until joe biden decides that, that's not even really a question once and if he decides that, then i think the simplest path is to go to kamala harris because you get a lot of advantages with that she's a national figure. she's run for office before. you kind of know where a lot of her weak points are. also, you get to keep all the money they've already raised that's a simpler thing who knows what's going to happen in the next couple days? >> the way things are trending with trump's numbers up, what does that mean for, say, energy? what does it mean for manufacturing? >> for energy, i think we're going to go back to where we were the first time around but even more. i think he is going to be for all energy all the time, allowing opening up fields for drilling, making sure that fossil fuel has its place at the table. i think manufacturing, he is going to try to protect certain sectors that may be

disadvantaged with respect vis-a-vis foreign companies. that's part of his tariff plan i think this is all positive from that sense. the other flip side of that, of the tariffs, obviously, as you know is that it is inflationary. there's going to be a mixed bag here with respect to some of his policies. >> yup andy blocker, thank you. still more than a couple months left to go to see how this works out. meanwhile, u.s. shoppers spending a record $14.2 billion online during prime day, but complaints growing online over the quality of the deals with more and more claiming that price changes are nearly non-existent on most of the so-called deals. we will dive deeper into the story when "power lunch" returns. so this is pickleball? it's basically tennis for babies, but for adults. it should be called wiffle tennis. pickle! yeah, aw! whoo!

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welcome back to "power lunch. checking the markets here, the big stocks and the small ones are fairing especially difficult today. the dow is down more than 1%, 400 points, 425 or so.

the russell 2000 is also off a percent and a half, just about given up tuesday's big gain, though it is still well above the level from, let's see, last wednesday/thursday, when it was trading above 20.50. the s&p and nasdaq down fractionally in the bond market, yields are moving slightly higher rick santelli joining us from chicago with more there. rick >> yes, jon. slightly is the perfect word to describe what yields are doing to the upside today. let's start at the beginning continuing claims, sixth consecutive week above 1.8 million. if we pull out a chart, we can clearly see that we are now at levels that we last saw in november of '21. let's talk it 3 1/2 years. if we look at what's going on with the 2s to 10 spread, if there was ever a trade i think really is the election trade, this would be it why? because less than a month ago, the 25th of june, we were at

minus 50 basis points. we have cut that in half that's a one-month chart we're holding on it does reflect the notion that we are going to see debates and issues of taxation and the budget and spending and entitlements and welfare, all are going to focus on interest rates in many ways this yield curve trade shows there's going to be more sluggishness for rates to go down on the long end, which will reflect some of those focuses and conversations. finally, here's a one-week chart. it was one week ago we saw cooler than expected cpi you see it on the left side of the chart. we have held those gains and actually increased them to some extent, as we continue to hover in ten-year notes at a four-month low yield close kelly, back to you. >> thank you very much, rick. let's get to bertha coons for the cnbc news update. israeli prime minister benjamin netanyahu made a surprise visit today to troops

in the gaza strip. israeli officials say he received a briefing from the head of the israeli military and spoke with soldiers and support personnel. it comes as the white house says president biden is still expected to meet with netanyahu when he visits d.c. next week. despite his covid-19 diagnosis, the president's doctors saying this afternoon his symptoms remain mild and his vital signs are normal he also added that the president continues to work as he self-isolates in delaware. local media in bangladesh reported today that 19 more people have died in violent protests that brings the total number of deaths to 25 since monday when violence erupted at the prestigious dhaka university in the country's capital. student activists are demanding an end to a quota system that reserves up to 30% of government jobs for relatives of veterans who fought for bangladesh's independence in 1971

kelly, back over to you. >> bertha coombs, thank you. after the break, restaurant stocks hitting dominos shares down nearly 14% now as consumers push back on prices and chains offer more value options. are investors getting more worried about profits? we'll talk about that. and health care, the worst performing s&p 500 sector today, lilly is a drag down 10% this week in concerns of growing competition in the weight loss drug space we're back after this. investment professionals know the importance of keeping their clients on track. sometimes they need help cutting through the noise, to ensure fresh investment ideas keep flowing, and to analyze the market from every angle. at allspring, we deliver the unexpected,

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with all the yo-yo dieting i did in the past, i would lose 20, 30, 50 pounds just to gain them over and over again. in one year, i've lost five sizes, and i'm on my way to lose another three. with golo, i can do it. (announcer) change your life at golo.com. that's golo.com. welcome back to "power l lunch. shares of domino's pizza down 13% after reporting results. kate rogers joining us with the details. >> hey there, jon. a mixed quarter for dominos. eps coming in ahead of estimates while revenues in line the news weighing on the stock sending it down over 13% the company also temporarily suspending its net new restaurant openings due to challenges with its largest international franchisee, struggling in both japanese and french

domino's did see u.s. comps driven by transaction growth and said it is growing loyalty redemptions, particularly with its carry-out business executives continue to note this is, quote, just the beginning for the u.s. loyalty program relaunch, which is meant to be a multi-year comp driver saying today's orders are tomorrow's sales this morning on the analysts call, it also said it saw in the face of consumer spending slowing overall, growing orders in delivery and carry-out in every income cohort, which is key. that'll be the key consumer sentiment and impact of value across the board new data from placer a.i. saw mcdonald's, chipotle, and chili's saw a boost in traffic from limited offers, as value-hungry customers flocked to deels k deals. but keeping them coming back will be key. brands are perceived to be holding back on portion sizes, including mcdonald's and

chipotle. >> kate, domino's is doing so well for so long i wonder to what degree this signals a shift in consumer spending or whether they're losing out to fast, casual, and different settings they seem to be tracking right along with the chipotles, paneras, et cetera, for a while there. >> it is interesting, jon. they do have a robust value platform, as well. you can get two menu items for $6 $6.99. higher price point but seemingly more food. reading through analysts notes, it was on the suspended international guidance that weighed on the stock and was a little bit of a surprise because the guidance was given out just in december, at their investor day i think that's what you're seeing there pizza is still one of the cheapest ways to feed a family, and they've not raised prices in the aggressive, same manner as you've seen fast food companies do this quarter will tell us a lot about who is winning the value war and what brands customers are willing to pay for more. year-to-date stock performance,

sweet green and cava, two of the more pricey for consumers in terms of dining out, they're doing the best, up around 100%. >> i want anything you know, i'm sorry, professed food people of the world, but all the salads and, yeah, the lamb meatballs this feels like a helpful change kate, thank you. we appreciate it. >> thank you >> kate rogers. our next guest says as second quarter earnings get under way, sentiment for r restaurants is the weakest since weight loss drugs took the summer by storm last year. the managing director of restaurantss at btig. peter, are we just getting a taste of what the price wars may look like? >> thanks for having me on look, we're just at the beginning of these price wars. i don't think this is the end. we are seeing mcdonald's with this $5 meal deal and many of their competitors matching them. but this $5 fmeal deal is the bridge to the new value platform they're planning to launch in

the fall i think that will carry the advertising right through the balance of the year. we're going to have a full year of just discounted price wars in the restaurant space likely continuing into early next year. i don't think we're at the end we're probably somewhere in the middle or the very beginning of the price wars. >> peter, let me ask about darten and chewy darten the parent of olive garden and others, announcing it'll buy chewy, the tex-mekkes play for $600 million cash, i believe. will we see more consolidation with that being the environment, going for scale to be able to control costs? >> i think this has been darten's strategy, to build scale. they believe scale gives them an advantage. they can buy food cheaper. they can leverage their scale on technology drive margins. this has worked for darden don't know if we'll see others in the space do something

similar, but this is a rather small deal for darden. adds 1.5% in two years out it is a relatively small deal. i don't think it moves the needle as you can see by the stock performance today, doesn't make much of a difference to darden. >> are the price wars priced into these restaurant stocks already, or are they intensify? >> i think the fundamentals have yet to bottom. i hate to say that things are baked in because i don't think we're there yet, but we don't know what's coming yet on value side there could be even steeper discounts. i don't think it is fully baked in yet i don't think fundamentals bottoms. it is still too early to own any of these qsrs except for domino's, which is our top pick this year. >> i thought you didn't want to say baked in and make a dad joke about restaurants, but i guess i was mistaken i'm curious what private equity might do in the environment, especially as we look at the smaller public restaurants

you say they're going to continue to be under pressure. if there is not consolidation public to public, might we see some go private? >> you know, that's -- that is totally possible we could see some of that. we haven't seen the private equity community very active in the space lately a lot of these names have been under pressure i'm not sure what they're waiting for. again, we're in a period where same store sales are weaker, not stronger that could put some of this stuff still on hold. >> i'm surprised domino's is the top pick veeshespecially given e w weakness why? >> this is a good self-he feel st self-help story. they had comps in delivery and carry-out. they're growing across income co cohorts. they're not seeing weakness across the lower income consumer this decline in the stock price

is roadwelated to the cut in the international unit growth. it amounts to about a nickel on next year's eps. if you're look at $17 to $18 in eps, it is 0.3% of earnings next year it is essentially irrelevant >> let me ask you -- >> we're making too much of it. >> let me ask about chicken. i know there's been some issues with chicken health. that's had some impact on the supply chain i mean, how is the cost of food and the availability of certain ingredients affecting these restaurants? >> so, you know, over the past five years or maybe a little less, we've had some pretty significant inflation, and restaurants had to price for it. you've seen mcdonald's the past five years, 40% price increases. chipotle around 30%. most of the industry is somewhere around 20% i think this is the first year, 2024, where we actually had normalized inflation and that

low single digit 2%, 2.5% range i don't think we have a lot of outsized inflation, which is a good thing labor, aside from california, is probably in that low to mid single digit inflation, as well. i think pricing is going to be more normal going forward, and i'm not too concerned about inflation on commodities, at least in the near term. >> peter saleh, thank you. dow is now down more than 480 points, session lows russell down a bit, too. coming up, $27 million mistake? sam aultman says the san francisco dream home he bought more like a nightmare. he was sold a lemon. should have gone for an a.i. house. we'll dive into all of that in tech check back in two. >> a lot of sympathetic home buyers with that one

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chatgpt, something it can't do yet, inspect your home. openai founder and ceo sam aultman might have found that out the hard way after buying a $27 million mansion that he's now calling a lemon. dierdre bosa on the story for "tech check. >> jon, it's a very beautiful lemon at least this is a video of the home from architecture digest four years ago, just before aultman bought it at the time, this was san francisco's biggest most expensive listing. 9,500 square feet, bay views, pool, wellness cottage, a bat cave that leads to the garage. in a lawsuit, the home's owner accuses the developer of a fraud scheme to sell a home, quote, plagued by instances of poor workm workmanship and defects. issues like widespread presence of mold, leakage from the

infinity pool, and defective piping that dump ed raw sewage n the property a bay area broker who appeared on "million dollar listing san francisco," now runs an a.i. prop tech start-up, he says while the lawsuit could hurt the home's value, altman gives it star power, especially in a place like san francisco. >> in los angeles, if sharon stone, nicholas cage sells a house, they know they'll make a profit leonardo dicaprio does this a lot. in the bay area, if you're elon musk or, you know, sam altman, you can buy a house and you pretty much have the same celebrity effect >> he pointed to the recent purchase of a $70 million home in san francisco as evidence the luxury market is booming the city is starting to shake

off its doom loop reputation guys, i can tell you, i'm hearing less doom loop and more gloom loop because it is the summer jon, you know well the summers here are gloomy and not very hot. >> residential areas of san francisco have been just fine for a while now. it's those areas that are dominated by office that are ghost towns. it's quite nice where the multi-million dollar -- well, they're all multi-million dollar homes in san francisco where the tens of million dollars homes are. >> billionaire's row, right? pacific heights area >> not what i'm looking for but, yes, that's what i was trying to mention. >> the term, that's what david sax held the trump fundraiser, as well. that's the area where powell-jobs bought the $70 million home. >> i think a lot of people who bought during covid and are not that pleased with their homes wish they had sam altman's name power to help in the resale market dierdre, thank you we appreciate it. >> thanks. coming up, speaking of home

builders, they continue to gain as interest rates start to take down we'll ask our trader which one he likes best in "threstk e oc lunch. okay, team! oh, thank you so much i couldn't have done it without you. honestly, i don't do a whole lot here. 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 or, what if everybody buys them? 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! i downloaded eight hours of true crime stories just during our last video call i'm learning a lot

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well, saddle up to the table. it is time for three stock lunch. today, we're looking at three names that could be most impacted by a potential interest rate cut from the fed. here with here wit our trades is cnbc contributor, boris schlossberg. .. let's star with d.r. horton. the stock is up over the last month. can we still buy it here >> first of all, you have to love an up stock and down tape that's really bullish, i think but it's essentially performing on all cylinders it builds in these very tempered clime markets, and it's just

operating very well all the -- the other things i like about it is 70% of it is housing production is $400,000 and under, which i think is the greatest space for demand and they'll fill that very well. they beat the numbers, and i think going forward, it's all going to be roses for them, as far as the housing demand. the only bad thing about the company is valuation people are concerned it's run ahead of itself. it's true, but all great stocks trade much more expensive than they should. i don't -- i don't have a problem chasing it at this point. three to five years from now, it's going to be a great stock. >> horton is just one of them. jpmorgan, why do you like this one? they're the worst performer in the dow today, but all of that aside. >> yeah, again -- i think any down draft is an excellent

opportunity to go long the stroke it's the preeminent stock, one of the incredibly unique companies, colossal in sale, but it's a testament to jamie dimon how well that company is run if the only thing we've learned about the digital company is to the winner go the spoils the winners increase their lead over time, especially if they're executing well they probably mav limited slowdown, but they'll make it up on capital markets i will say, the rumoring about jamie dimon become secretary of the treasury, would be a negative he's such an extraordinary operator that anybody who fills his shoes may not be able to fill them. otherwise, a great stock >> let 's an asset, gold sellin

above 2450, but some are looking ahead for 3k boris, do you buy it >> yes i think gold, the, weaker dollar if donald trump becomes president, helps in and sovereign debt issues, the fact that we -- it's an union line -- you have to be a bull on gold. 3,000 is very much in sight. >> thank you, boris. >>. all right, dow now down more than 500 points. still to come, deal or no deal online shoppers claiming the discounts are fake, or nominal at best. we will dig into that, when we return

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♪♪ welcome back let's get a quick check on the market the dow is down briefly 500 points the sell jooff is broad based. we have seen it across the nasdaq, s&p and even the small caps. >> and amazon is down as it's wrapping up for the prime event. annie palmer covering amazon tonight she's writing about the record sales how big of an event was this for amazon, not just including the kindles and echoes that they sell >> reporter: yeah, once again

amazon is really touting record sales that they saw during prime day. they don't typically rae lease total sales from the event, but we can look at third-party estimates, that show that sales across the u.s. online top $14.2 billion this year, which is topping their estimates. >> so, amazon has said again and again that consumers these days are looking for a deal we have seen that across multiple retail earnings as well it seems like a lot of these companies, yes, we did record sales. how do we really get a sense of, a, whether this is an impressive showing for amazon overall, and b, whether some of the social media chatter is something investors should be concerned about. >> reporter: i think it's true year after year prime day is a

gangbuster sale event for amazon, but i think what you're talking about is some of speculation, i guess, among consumers around whether these deals actually have real discounts. i think we're seeing more and more analysts or experts in this space really say, make sure to do your research before you go ahead and buy that prime day deal a lot of folks will point to some online tools that are available out there that basically show you from a historical price breakdown for a certain item, so you can see, this item is being sold for less than what it was sold for a month ago. it's really an education issue, but at the same time, you know, i think consumers are becoming, you know, smarter to the fact that maybe these deals really aren't the best ones out there >> it's going to be -- do they do the automobile prime days they'll have tore careful now.

>> reporter: yeah. we don't know if they'll have an october event again this year, but i do think, like you said, consumers are educating themselves about whether they can save money. >> tiktok is like the new "consumers reports." annie, thanks. >> except probably half the people -- thanks for watching "power lunch." welcome to "closing bell." i'm mike santoli in for scott wapner this make-or-break hour is on the keeping -- the down side, the index is accelerating into the final hour after a tentative midday rebound attempt here's your scorecard. s&p 500 near the morning lows, actually traded positive for a bit, but notice