their decision at the end of the month. >> will we get new political fallout, however, post rnc? will we get a button put on this whole crowd strike outage issue, it remains to be seen. >> it all remains to be seen. it was a down day for the markets, and you had the s&p and the nasdaq posting their worst week in three months. the the dow did eke out a gain. "fast money" starts now. >> live from the nasdaq market site in the heart of new york city's times square, this is "fast money." here's what's on tap tonight, cyber shock, shares of crowdstrike plunging as the company finds itself at the heart of a massive global tech outage. what it means for the software's stock, its competitors and the u.s. tech security infrastructure. and alphabet and tesla and chipotle, oh, my, earnings season kicks into high gear next week, and we're diving into the options pits to bring you the trades on all of these stocks. starbucks catches the eye of one activist investor, bitcoin

clocks in its best week since march. volatility hits a three-month high in a very eventful week in the markets. i'm melissa lee coming to you live at the nasdaq. on the desk, tim seymour, courtney garcia and mike khouw. we start off with the tech outage that sent shares of crowd strike plunging as much as 15%. a glitch in the rollout of a software update roiled operations across industries, airlines grounded or canceled flights, banks and health care services were disrupted and td broadcasts went offline. >> oh, my gosh. >> but seriously i.t. experts calling it the largest i.t. outage in history, cnbc's steve kovach has got the latest. hey, steve. >> here's where we're at so far. issue with cyber security firm crowdstrike pushes out that update and causing windows pcs to crash. this was not a hack and not a cyber attack. crowd un a fix has been deployed, and we've already seen many systems

throughout the day start to recover. crowdstrike's ceo apologized for the outage earlier this morning on s on "squawk on the street." >> immaterial to apologize to every organization, group, and person who's been impacted by this. >> it's unclear when everything's going to come back on online. he's told us not everyone's system is going to fix itself automatically. many are going to need an i.t. protomanually remove that buggy software. rival names like sentinel 1 and palo alto networks rose today on the news. shares of crowdstrike closed down 11%. we're still waiting for more updates from crowdstrike and microsoft about when everything is expected to be functional and back online. after that it's going to be the investigation time, figure out what went wrong and what to do about it next. >> steve, thank you.

so what does crowdstrike's issue mean for its stock longer term. let's bring in wells fargo senior research analyst, andrew now nowitzki. the stock dropped by $74 billion in market cap today. how do you start thinking about the longer term impacts on c crowdstrike, whether it be reputational hits, the ability to have companies to switch cyber security providers and also the liability issues the stock might face. >> thank you for having me on again, it's great to see you. the financial impact really depends on customer churn, and i'd say that's predicated on the recovery. as steve noted, this is a very manual process to recover from. if they remain, if companies remain down throughout the rest of the weekend and they're not back up and running by monday, i think they'll be looking -- a lot of those companies will be looking for a new solution going forward. for those customers that are new to crowd strike and those that are maybe back up and running

already, they'll have to ask, you know, is there a better alternative to crowd strike. now, the security efficacy of crowd strike is still better than every other solution on the market. security efficacy was not impacted by this outage. now, if it was a cyber attack that penetrated crowd strike, it's game over. this was a self-inflicted very fixable problem. so i think the primary impact you'll see on the stock is extended sales cycles, maybe higher discounting this quarter and next quarter, and you'll see that showing up in their operating margin and their arr going forward. >> it sounds like you're willing to look through the impact. >> i think it a's li's a little to look through it. by monday if everybody's back up and running, i think the customer churn will be limited. if it's longer than that and harder to recover, there's a real impact from customer churn, and i think you'll start to see their growth profile and their

operating margin profile negatively impacted going forward. >> we saw a lot of the other cybersecurity stocks higher, what's your interpretation of that? is it that perhaps they will gain some business? is it that any of them are targeting for any of the larger players. do you think some of the larger players will look to do a deal like a google for whiz, for instance? >> yeah, that's interesting. the competition will absolutely use this to their advantage. you know, this was a self-inflicted issue, and they have every right to talk about their own detecv ops processes cycles to try to convince customers that they're more responsible with these code changes that they push out. so they will absolutely use it. i'm sure sentinel one, palo alto being their two primary competitors on the end point side and cloud side will absolutely be using this going forward. as it relates to some of the hyperscalers, potentially acquiring one of those other vendors, there's already the

rumors, of course, that they're going to acquire whiz, but whiz does not stop breaches. whiz provides better visibility in your cloud environment. crowd strike and sentinel one and palo alto have the cloud tools called workload protection to stop the breach. that's the piece that's missing still, even if google were to acquire whiz. >> andrew, it's tim, thanks for joining us. you could almost look at the stock chart and say the stock predicted this was going to happen. this was a stock that was down substantially. this is where i want you to jump in and talk about the fundamentals for the space. what we're supposed to pay for a company in global security, they're 15% for that market. this stock is 650 times even after the pullback. stock is down almost 30% from the highs. that was well before today, maybe the group has been trading like this. i'm just curious if you can pinpoint where we really should be focused for crowdstrike. is it beyond just the order book and the fortune -- you know of

the 300 they serve, it's an extraordinary time to be looking at high multiple stocks across the board. >> that's a fair question, tim, so you know, valuation has always been really expensive. with the pullback today, it's trading at about 14.6 times calendar 25. it's 11% cheaper today than it was yesterday, but it's still certainly a very expensive stock. i think you really have to focus on this one that, yes, their growth might be a little bit lower going forward. yes, their operating margin and their free cash flow might be a little bit lower than we were expecting yesterday, but the trifecta of those three is still best in class. no one has 30% plus revenue growth, 30, almost a 30% operating margin in a few years, and a 36% free cash flow margin. so the combination of those factors still makes crowd strike the single best stock to own in the cyber security world. i think a lot of things in terms

of the changing competitive dynamics, this incident is really important because it actually does highlight what could happen if this were a cyber attack. look how many organizations were down today and inaccessible from a simple code patch or content patch that were pushed oud. cyber security solutions are so important, and they have the best cyber security solution in the market. >> andrew, great to speak with you. thank you. >> sure thing. mike khouw, how do you start thinking about the hit to the stock and the entire sector? >> well, i mean, i think as he was just pointing out, you've got a couple of things we have to see how it plays out. i mean, obviously we need to see that everything is resolved in the near-term, and that is helpful. the valuations make it difficult to dip your toe in the water. we did see significant options activity in this thing. it was actually the fifth busiest stock in the s&p 500 from an options perspective today, playing in the same space as apple and tesla and nvidia, and it's obviously a much smaller business.

it's a rich valuation. i think you have to basically wait a couple of days before you dip your toe in the water. traded about 22 times the average daily put volume. the most active contracts were the 300 strike puts actually that expire next week and the second most active contract were the 250 strike puts that expire. >> yeah, i think the good news is this was not a cybersecurity attack. i think it's also making people realize how important cybersecurity is when you realize how far reaching these attacks are going to be. i think this kind of goes two ways where number one, there's going to be more demand for this when you realize what kind of outreach it needs. on the flip side, there's a lot of financial repercussions that cr crowdstrike could be implemented with. what does that mean on crowdstrike, is there going to be lawsuits on this? financial regulations, i think there's a lot in the short-term that's going to weigh on them. on top of their high valuation, in the larger broader economy. i would say in the short-term, i don't think this is ending at least nin the near future.

i don't know if we're at the end of this dip. >> imagine you are an individual, you're calling your congressperson. you're complaining because your flight got canceled, your vacation got canceled because you couldn't have that procedure that you had scheduled for months because you couldn't pull your money out of the atm? that's what gets the attention of lawmakers. >> absolutely. these headlines, there's no way to spin these headlines anything but negative, and to courtney's point, i really think you have to resist the urge to buy the dip w. that said and as a previous analyst mentioned, trading out of crowdstrike into another alternative really is a trade down in performance, and you have to ask yourself, are you willing to open yourself up to more of a possible cybersecurity attack because of something that happened in the short-term. clearly i don't see any situation where they do not address what their internal procedures are in terms of rolling out software updates. with that said, i think the prevailing way to trade this

space has been buying the dips, and i do think you have to resist that urge in the short-term. with that said, looking out further, i do think you will get an opportunity to buy a name that is top in class at a more attractive price and valuation. >> we're going to have our usual markets chat. in advance of that, i'll just say that this is a space where the market's punishing anything like this right now, and they've been doing it since that cpi number. we'll get into that later in the show. this is the most expensive stock of its cohort. 15% of global security, that makes a lot of sense. when you're trading at 55 times free cash flow or significant, there's a whole lot of numbers we could keep throwing out there. i think this is a case, the analyst community was already starting to, and as i said, this stock's down 30% through today. it had a nice head start. it traded all the way back down to the 200. hasn't traded to the downside since november of 'c21. we know what was going on there. there's a backdrop that wasn't n necessary. it was more about high multiple

companies in a rising rate environment. we may have high multiple companies now in a growth scare, and that's something else to think about. >> mike, in terms of the economic fallout of all of this as this thing continues because it's not over yet, it is interesting that we were sitting in the heart of earnings season. and on those conference calls, i'm sure there's going to be plenty of questions about how this has impacted business so far. >> yeah, i think that's definitely true. we're probably going to get a lot of questions being asked about that. i mean, i think you were just referring to something else too, which is from the regulatory standpoint. i mean, it wasn't just inconvenienced consumers. we also saw outages affecting government agencies, and that's an even bigger problem, and the kind of thing that i think is going to attract even more scrutiny. so i think that's going to create pressure for these guys. i think it's going to create some pressure as well for microsoft. you know, we did see slightly above average put activity there as well. you know, i just think anything that sort of shakes one's confidence, whether it is declining earnings growth or whether it's these kinds of

outages, we're just in a tough are environment for these kinds of things now. our next guest says the global i.t. outage could be a wake-up call. she's with the center for strategic and international studies. she's a fellow in the strategic technologies program. great to have you with us. it's one thing for congress to feel pressure. i'm sure there are going to be hearings, it's another thing for something to actually come of this. what are your thoughts? >> yeah, i mean, congress is definitely going to want answers from crowdstrike on how exactly this happened, who was responsible, and what steps they're taking to make sure that this incident does not happen in the future. we've also seen talk from the executive agencies as well, federal trade commission chair lina khan has suggest that had concentration in the cloud competing industry has created single points of failure that could potentially lead to incidents like this. however, we have to remember that in washington, d.c., regulation moves really slow, so

even though there is a lot of initial confusion, a lot of initial outrage over what has happened today, it remains to be seen whether it will lead to long-term regulatory change. >> ultimately you think that if anything is to be done, it will be an endeavor taken on probably by private industry? >> historically congress has left the runnings of technology company to the private sector. it's avoided creating very restrictive regulations in order to promote innovation in scyber security. i think it will be very difficult for congress to change that path. however, it is still possible that congress could increase pressure on ceos including crowd strike to be responsible for how their products work and how they affect not only the economy but also society and especially individual voters. >> kaitlyn, thanks for joining us, and your title and the post you sit at certainly gets to the heart of the matter. strategic technologies and it

may not be about crowdstrike today. it may be the fact that microsoft is 74% of the operating systems, and what does washington do to think about how we all just realized we went through the disruptions and where they hit people across the board. the reality is we've never had more concentration risk in the hand of four or five companies. does this change anything? it's not going to happen overnight, but again, microsoft's dominance here, it's great to talk about crowd strike, and it is dominant relative to peers and a consolidating industry very early. microsoft, nobody's close. >> yeah, i think that when it comes to today's incident or even past incidents, for example, the solarwinds incident in 2020, really showed that with this one supply chain attack targeted towards a microsoft update, multiple federal agencies, large companies were affected. we're really, really seeing that concentration in the technology industry can lead to single points of failure that can lead

to massive outages. i think this raises a lot of questions for regulators. first of all, should there be concrete requirements or more responsibilities technology companies have to take to be responsible to society and to their customers, and then, second, what are the effects of market concentration. not only does it create these single points of failure and expand risk, but does it also rusin ru rusin -- reduce incentives for technology companies to compete. >> do you think the fact that this is a sort of self-inflicted tech outage, yes, it's the biggest in history, versus a cyberattack, does that change at all the policy response to this issue at all? to me it underscores a vulnerability that we have regardless of what kind of attack or where it came from. i mean, the bad guys are probably looking at this thinking that's a great way to bring the system down.

>> yeah, yeah, it definitely increases the chaos, i think, the fact that this is self-inflicted. even with cyber attack, though, we've still seen congress and lawmakers look to companies and say, okay, how can you make sure that this doesn't happen in the future. i definitely think that lawmakers are going to take time to look at the facts and i'm sure we'll see more information emerge in upcoming weeks about how exactly this happened. was there some sort of failure that kocould have been avoided. was there anything crowd strike could have done better to make sure today's incident wouldn't have happened. i definitely think that depending on the facts of this incident and i'm sure we'll learn more in the future, lawmakers will be -- i think lawmakers will be very, very interested in how crowd strike or i mean any technology company really can make sure that, i mane, single software updates

won't cause global chaos and disruption in the future. >> thank you for your time, appreciate it. >> thank you so much for having me. >> kaitlyn chin rothman. which eliminate the overhang of that. wedbush is putting out this note saying crowdstrike has just become a household name, but in the worst way possible. >> right, and of course they're supposedly the ones there to defend against these exact kind of things. it wasn't necessarily a hack. back to congress, i'm kind of happy that congress can't do anything about it because i don't want to see -- i don't want the government solving innovation and technology for me. it's one of the reasons why this country is so far ahead of the rest of the world. this is a problem for the government. it's a problem for an industry that's almost working within itself to determine what standards are. 85% of the infrastructure is in the private sector. >> i think i want to voice an unpopular opinion here. >> i like when he leads with

that. >> i'm ready, i'm bristling, come on. >> listen, i think there's a way to view this through a positive lens. we've seen the extent of how bad things can get, and this was not a cybersecurity attack. this was not -- there was no malicious intent here. so while i do think crowdstrike is going to have a tough time in the interim, i think for the space it underscores that we cannot afford, to your point about hamstringing innovation, we cannot afford to hamstring innovation, particularly in the cybersecurity space going into an election cycle. so in fact, i think once this kind of overhang passes through, i would expect the competitors to trade up on the back of this news. >> coming up, starbucks surging on a report that elliott management is brewing up a sizable stake in the coffee giant. we'll debate that next. plus, a monster slate of earnings kicking off next week, what the options market is saying ahead of the reports from tesla, chipotle, alphabet, and more. >> announcer: this is "fast money" with melissa lee right

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jumping nearly 7% on a "wall street journal" report that the coffee chain has a new activist investor, elliott investment management is set to build a large position in starbucks' shares pushing change behind the scenes. even with today's move, the stock is still down 17% year-to-date. it seems like there's a lot that can be done potentially, courtney, to improve this story here. >> there should be, right? and i do think that they have a lot of issues, kind of like the macro economy and people can being stressed with intlflation. i don't know what it costs for starbucks these days. it is not cheap anymore. >> my venti with zero frills to it because that's the kind of guy i am, it's $4.34. >> for just drip coffee. >> you are a loyal customer. most of the loyal customers, that's where they're getting their business, but it's the occasional customers, that's where they're seeing the steepest traffic decline. how do you bring those people back in with the issues of the broader economy? can they fix that? probably, they've got to do some

incentives. i don't know if there's still some headwinds moving forward. >> they've got the $5 tea and croissant thing going on. >> the pairings, like wine and cheese. it's like a stale coffee cake and a cup of coffee, but it is working a bit, but this isn't going to work for investors from the stock's perspective. in terms of margins, we were already concerned about labor costs. we were concerned certainly about their inability to pass on prices. look, the stock was -- you know, when it hit its peak back in '21, it was really in the perfect storm of coffee was one of those few places where investors, customers, excuse me, were out there getting that little bit of joy within covid. as someone that's traditionally owned starbucks in addition to being a consumer, i haven't really owned the stock. i've got a very small position. i've been out of this for a year and a half, and i think it can go a bit lower. this is my call around discretionary. we're getting there. i'm not sure what elliott in the back of the house here can really do. >> yeah, mike, your thoughts? >> yeah, i mean, the big problem is the last two quarters we've had certainly adjusting for inflation, negative real growth. and that's a real problem.

and i don't think the last conference call when they reported gaap down about 15% was all that confidence inspiring. the ceo was talking about sort of the other product offerings, flavored teas and so on. i recognize that those are representing a bigger chunk of the company's revenues right now, but the fact of the matter is they have some other operational challenges. they've got to shorten up those lines a little bit. as everybody else was just saying, they've got to get the periodic customer back in there, not just the folks that use the app. >> there's a lot more "fast money" to come. here's what's coming up next. >> announcer: tesla, alphabet, chipotle, just some of the marquee names reporting earnings next week, what the options market is predicting ahead of these reports and how you can turn it into profits, next. plus, trump going crypto, bitcoin surging as the former president gets ready to headline a big bitcoin conference next week. one expert thinks this could be the one catalyst to kick the

crypto trade into overdrive. you're watching "fast money" live from the nasdaq market site in times square. we're back right after this.

welcome back to "fast

money." stocks down across the board on friday following crowd strike's global outage. the dow dropping 1%, but eking out a gain for the third week in a row. the s&p closing out its worst week since april and the nasdaq snapping a six-week winning streak. eli eli lilly up 1% after they secured approval from regulators in china. the chip trade losing major ground amid the recent rotation. the semiconductor etf down 10% since monday. small caps, the russell 2000 hanging on to a nearly 2% weekly gain but well off wednesday's highs. regional banks, the kre regional jumping nearly 8% this week as the space benefits from markets rotation and expected fed rate cuts. all that action had the vix, the vol volatility index trading back above the 16 handle, its highest

level since april. so professor khouw, i will go to you. your take on the vix surge? >> that's not that surprising, i think, given the rotation that we've seen, although rotation is generally going to be a healthy thing after the run we've seen in some of the mega cap tech stocks thus far. i will say i think that those mega cap stocks as tough a few days as they've had, i think it actually could get a little bit tougher. i don't think the trouble is over. when we start seeing the vix tick up like that, that is often what happens. when you get uptowards the market peaks and you start to see volatility rise. that's one of the things you look for. >> i think you're going to eventually want to sell into this vix, with that said, i'm with mike. i think you ride the momentum right now, particularly as we rotate out of the names that were identified as being able to continue to drive revenue and growth in a higher rate environment. and now we're essentially trading down in terms of quality because of macroeconomic tail winds, so i do think you expect

to see that vix continue to stay elevated or perhaps continue to tick up until we reach that equilibrium in that rotation. >> i think what we're seeing is it's this big rotation out of your tech companies into small caps, things like your energies. this started like two weeks ago now. this is something you don't want to feel like you missed out on this. i know there's been a huge run in some of these names. it's not still a bad time to say maybe i take -- add to these unloved sectors of the market. that rotation can continue, especially if rates are coming down in september, which is looking more and more likely they are. >> do you think the mag 7 will continue to feel pressure? >> it's amazing how on a certain day, it's just what we do as market analysts, the arm of rotation equals negative. there are days where we're like we're seeing rotation. it's great for the market. we're getting breath. breath equals markets going lower. let's be clear in at least the technical aspects of how these markets are balanced. i do think it can continue.

i do think there's some dynamics here that are fascinating. if you think about where we came into. we talked about the vix. we came into the week last week with the news around trump and the attempted assassination, and actually, closed that day with a 12 handle on that. we get a cpi last wednesday, which was very, very market friendly. in other words, puts the fed in gear for a september cut, and since then, you've seen semiconductors underperform the s&p by 10%. even before we got into some of these dynamics, semi and mega cap tech sold off on that cpi number. we know what small caps did, which i would not chase. we've seen the rsp or the equal weighted s&p outperform the s&p by 4.5% since that day. s&p's off about 3% from its all-time highs. it closed on the lows and it's been a pretty solid volume week. whether that's rotation, whether that's people recognizing that there is some risk ahead in markets, we have the political cycle before our very eyes. august and september are terrible months for markets, so

look, you see the fun flows. we had the fourth largest record weekly inflows. there's dynamics here that say just take a deep breath and i think there's more to do, but not tomorrow. >> how much, mike, do you think the political cycle factors into this rotation that we've been witnessing, and does it change at all? as we go into this weekend, there are real questions despite biden remaining pretty em phati he's remaining in the race, there are questions whether he will be the one running from the democratic party. >> i think first we can take a look at the early part of the week. i think the market was breathing a sigh of relief thinking about what might have been, and i think that actually had a little bit of an impact. also, i think that it improved trump's odds, and i think we remember what happened to the s&p back in 2016 when he was elected the last time. there was that brief bit of volatility, but then the market took off. he's viewed to be arguably by some to be more business friendly. j.d. vance's comments about lina

khan notwithstanding. now, i think we still have some tumult basically in front of us. i agree, i think biden's situation right now is a very tenuous one, and i think it's likely that's going to create more volatility as we start to see who might emerge as a potential replace the for him. >> you're right. coming up, bitcoin surging in what might be the unlikeliest of trump trade beneficiaries, what the former president says next week could give it an even bigger boost. that's next. first, major names letting up next week's earnings marquee. missed a moment of fast, catch us anytime on the go. follow the "fast money" podcast. we're back right aerhift ts. that's like the gap in my health insurance. gap in your health insurance? yeah, it didn't cover everything when i got hurt. good thing i had aflac. (aflac duck) hmmm the cash i got from aflac helped pay for medical expenses, groceries, rent. it really helped close that gap. (whisper) go, go, go!

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- it's polite to thank someone when they do something nice for you, isn't it? well, how about when they do something brave for you? let's show veterans our gratitude. ask your local veterans affairs office how you can help. the more you know. welcome back to "fast money." we are about to kick off the heart of earnings season next week. big names reporting include alphabet, tesla, coca-cola, american airlines and many more. let's zoom in on one name that our traders say may result in more heartburn for investors. chipotle is set to report wednesday. tim, why are you concerned for the stock? >> well, what's great that we're providing an options backdrop

that mike's going to deliver. i think there's limited upside to the company fundamentally, and i think you have a dynamic where same-store sales are expected to come in. the street's somewhere around 8.8, 8.9%. i think there's a whisper and an expectation even from the sell side and the buy side possibly that it's closer to 10. i just don't know that -- i think that's as good as it gets for the near-term. the question's also around will the pressure from fast food or acceptably, you know, quicffere point, i think that's the reality. i just think that the cost structure here is one. the valuation to me is still something that's a major problem. it wasn't when the stock was running. now that we have a chance to look and we might have been at peak margin last quarter, i think it's set up here where the stock which is already down substantially into these numbers, it's down 23% from mid-june, and the move lower has come with significant volume. so fundamentally don't like the story and technically don't.

>> this, by the way, is an old f fashioned option tag team we're doing tonight. mike, what's the trade out of this? directionally you do agree with tim. >> i do. i think we put an article up in the first week of june about our bear case for chipotle, so that's worth checking out as well, and i'm completely in alignment with tim here, despite the fact we've seen more than a 20% decline. right now the options market is implying a move of more than 8%. the best way to play this is using a diagonal. i was look aging at the august, december, selling the lower strike august puts for about 3 bucks net on this whole package. the idea of being here that the one that we're selling is outside of that implied move and will benefit from the crush that often accompanies the situation after you have an event like this one. that longer dated option ca captures not only this earning but the next one. that will mitigate some of that downside. i think this pressure could

continue. >> chipotle has great execution, though, bonawyn, what we heard from domino's was hopeful because they said across income cohorts they saw strength in the united states. >> yes, they have executed well, and the stock has responded for a long time. i think, you know, you started to see whispers in terms of a little bit of consumer unrest. there was mentions of them being on social media and portion control and things of that nature. so it's really the avenues and methodology that they used in order to kind of squeeze out that margin. i think that incremental last mile, if you will, in terms of being able to squeeze out the last margin perhaps may have been that last thing to overdo it. >> when you're saying domino's came out across income cohorts. they do have the higher end consumer. you are starting to see that higher income consumer is starting to pull back. walmart, they're seeing people come in to get cheaper groceries. this is the easiest thing to pull back on. they have actually held up a lot better and i to think there are some positive things to say there. just the bigger picture what's

happening with the consumer, that will be a headwind to them. >> do they have the carne asada or whatever ingredient is always missing at your -- >> look, they've been doing a great job on amsterdam in new york city, just so you folks know that out there, but i do think the point on domino's is totally relevant. that thing fell off a cliff, and if you're saying there's a similar demo, it's apples and oranges or it's pizza and burritos, but it is a case where domino's is a messenger and -- >> you think so? the reason why it pulled back was international store closures. >> i get it. but i don't think the move in domino's which is 530 down to 404 today is all international. we start it had see that trail off, some of it was coming from weaker expected u.s. let's take a looks at some of the other names reporting next week. tesla on the high end at 8%. alphabet nearly 6%. which of the reports are you keyed in on aside from chipotle, mike? >> yeah, i maean, i think it's hard not to be paying attention to tesla. i think everybody's got their eyes on that one.

and actually, also, i think alphabet, you know, alphabet is one of the names despite the weakness that we saw in these last three trading days, happens to be one of the names i like to the upside here. that's another one i'm going to be focusing my attention on this coming week. >> yeah, court. i think looking at some of the names, i'm interested to see tesla or gm are both coming out this week. that's always the big question. where are consumers with the car space, especially if rates are coming down, is that going to be a positive thing for them moving forward. especially the ev run. are people going towards evs, are they going towards the hyb hybrids, are they going towards the traditional combustion engine. it's absolutely something to watch. >> i'm going to pick the castoff, i'm going to go with u.p.s. it doesn't seem to be a popular pick around here. i would say being that we kind of saw fedex surprise massively to the upside, in terms of looking at options implied volatility, i think this is actually a name that might have a bill of a surprise out there. >> tim. >> gm is the place i'm focused.

it's a big position of mine. i think the momentum is there. i think the macro around the u.s. car market, they're showing a lot of resiliency. i would make an argument that ford and gm have rallied substantially since we've got this interest rate enflexion. it's really about where they got called back to the union and that negotiation, but we're well through all of that and kind of on the other side of that. i like gm, get through 49, there's an uptrend there. coming up, the trump trade that might be about to skyrocket next week. the former president is set to headline a crypto conference in nashville, and what he said could provide a big boost in bitcoin. we'll get you the details next. we've got a couple of fast money movers. we'll explain what's behind these stocks going in very ki different directions. "fast money" is back in two.

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meets bold new thinking. to help you see untapped possibilities and relentlessly work with you to make them real. welcome back to "fast money." bitcoin rising this week as expectations for a trump victory in november boost hopes for a friendlier regulatory environment for crypto. the former president set to headline the industry's annual conference in nashville next week delivering the keynote at the event. our next guest thinks trump's endorsement of bitcoin will give an even bigger boost for the space. let's bring in brian kor shane, the ceo and founder of crypto investing company daim.

great to have you with us. so what are you anticipating will happen here? >> yeah, thanks for having me. and so about a month ago trump met with some of the bitcoin miners, and we think he really got educated spion the space. he got educated on how the inner workings happen, about blockchain and how transactions are verified, and when he goes to speak at this conference at the end of next week, hegs he is going to talk about helping out smooth regulation in crypto. there have been a lot of h headwinds in the space. there's been a lot of roadblocks. you're going to see him come out and say let's help innovation here. let's help bitcoin and blockchain progress. he's going to speak very positively about bitcoin here at the conference. >> do you think that these favorable comments could go so far as to indicate that he'd be open to it being a reserve currency for the u.s.? >> yeah, so there were some rumblings of that on x this week. it could be something that's

very difficult to get done, but it is possible. the justice department holds about 200,000 units of bitcoin, so the united states is the largest holder of bitcoin, and so they could easily just move that over to the department of treasury and start right there and have 13 billion worth of bitcoin on the balance sheet. it is a possible move. it just could be tough to get done. but what happens is the justice department in holding these units of bitcoin, they've been a random seller in the pace, and so if they move from being a random seller at times, which pushes the price of bitcoin down, over to being a long-term ho hodler, that could be really good for the space. >> brian, thanks for being with us. we've heard some chatter about, you know, trump mentioning something about onshoring mining here domestically. can you kind of speak to how that might affect crypto prices going forward or the dynamics, particularly as it ties into there being some reserve currency? >> right, and so bitcoin mining,

it moves around quickly to the place where it could find the cheapest energy, and at times it's texas, and it's moved to new york, and it's moved to wyoming, and it goes back to texas, and so it really depends on striking these energy deals, and so in a pro-business environment, if trump is able to lower these energy costs for these miners, these miners will then be able to hold more bitcoin on their balance sheet further reducing the supply that's available to acquire on open exchanges of bitcoin, and that could further reinforce the price and help it go up and higher. >> he said something to the effect of he wanted to make sure that every bitcoin minted when he becomes president, will be done so in the united states, brian, which is kind of a funny way of putting it in terms of minting bitcoin, but i mean, currently is a lot of bitcoin actually done here versus abroad? i mean, can you give us sort of that sense? >> it would be impossible to mine all bitcoin in the united

states. it's great that he's saying it and, you know, making medical care great-- america great agai. it will help noeinnovation. there's a wide diversification of miners. they're spread all across the world. it really goes to where is energy the cheapest. if you could even put free energy here, another country will give incentives to have bitcoins mined in their country. it's just something that won't get done. 100% of the bitcoins mined in the united states won't happen, but more of it happening here by many different companies is always better for the space. >> mined, not minted, president trump. brian, thank you. quickly we saw coinbase also rise in today's session, tim. do you like that still? >> i do. i'm long coinbase. it's my view that less regulation equals more institutional adoption, onramps, et cetera. i don't think you need reserve currency to see the space go higher. coming up, amex shares on

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money." le american express's stock is down 3.5% after reporting a mixed q2 before the bell. falling short of revenue estimates and seeing lower net interest income. mike, are you concerned? >> a little bit, i have to say. you know, this was one of the names in the payment space that had really been trailing mastercard, visa for a while, and there was some hope they were basically going to make up that valuation gap and we were going to start seeing some significant performance. that gets a little bit harder to justify that tale when you get a disappointment like this one, so i don't think this is an absolute sale as far as american express is concerned, but you know, basically that narrative, i think, does have a hole in it now. >> some analysts looking for a possible catalyst point to a refresher of the gold card, and in the past, that has really driven some customer acquisition trends. >> yeah, and i think part of the reason that they disappointed here is they're actually putting a lot more money into marking.

they're really trying to capture that millennial and gen z customer who puts 25% more on their credit card than the older generation. i think this is a longer term play where they're trying to capture that higher income, lower consumer. it probably is going to pay out. it might take longer to get there. i think there is some optimism there. >> if the community is overweight in amex, it's because of the credit profile. the relative credit significance and the better credit that comes from that demo. i just think that it's so back loaded in terms of the estimates for this year, there's still a little bit more uncertainty. i think the analyst community is expecting a strong -- and it always is, it's seasonal, there's starting to be a question about the consumer here. >> i agree. i think really it's about the risk and the consumer complex. i will say for a stock that's up 29%, a 3% pullback doesn't seem to indicate to me that investors were out and out disappointed with the results. what i will say is there are other names that just have poor credit quality customers, discover and capital one, and you saw them bounce pretty

strongly on the back of those retail sales numbers. i think there may be rotation out of there. you peedheexct tre to be a margin of safety with amex. >> all right, up next, final trade. with the price of just about everything inflating these days, you may wonder why mint is deflating the price of mint unlimited from $30 a month to just $15 a month. well, it's easy. we know a great price on a great product is better than one of those things. right? does big wireless really believe that these things actually work? ( ♪♪ ) ( ♪♪ ) this one will never see the light of day. all right. hi, i'm janice and i lost 172 pounds on golo. this one will never see the light of day. a friend told me that i was the only one holding me back from being as beautiful on the outside

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a programming note, big short week on "fast money" kicks off on monday, the original traders from the big short, porter collins, and stevizen and vincent daniel will join us throughout the week to see where they're seeing opportunity in the markets right now and how they're setting up their portfolios. big short week starts monday. time for the final trade. mike. >> netflix, good user growth there and a good multiple. >> tim. >> alibaba, it's all about cash in the balance sheet. >> courtney. >> mlpx, they're doing well this

week, i think it's going to continue. >> bonawyn. >> bitcoin, i think brian made a compelling point. have a create weekend, "mad money" with jim cramer starts right now. >> my mission is simple. to make you money. i am here to level the playing field for all investors. there is always some work in summer and i promise to help you find it. "mad money" starts now. hey, i am kramer. welcome to mad money. welcome to cramerica. i am just trying to make a little money. a lot of teaching tonight. so call me at one 807 43 cnbc. tough cases do not