not bad, right? if here is the kicker. if you want to be in the leadership circle, it's going to cost a whole lot more than that. i know that's the way life is, right? but i do think it's time to stop painting the picture of even prosperity and gains for all. it's start to think that if rich folks are doing well, everyone's doing well. st.s really time to get voting members from the fomc to get fresh ideas. how about next time go to a shoe repair shop in the bronx. hear from people that may not just nod their head in agreement when you say everything is swell because, guess what? everything ain't swell with. right, liz? liz: well, yeah. and when you go to a shoe repair shop, you see that people are opting to repair their shoes versus buy brand new pairs. charles: there you go. liz: see, i'm listening. charles: multiple choice test later. [laughter] liz: okay. i'm going to do pass-fail, if that's possible. we've got an opposite day thing

in the markets at this hour. what was up yesterday is down as we kick off the final hour of trade, and what was down is now up. you get it, right? to the dow jones industrials which gained 260 points monday but right now is falling 27555 points. but then -- 2755 points. the nasdaq, which lost 192 yesterday is up 200 points right now. this pop in the tech-heavy index getting its energy from a reversal in nvidia shares. here's, again, the opposites move here. after a 3-day slide during which the a.i. chip leader entered correction territory, investors are piling back in, up 5.7 sending the stock to the top of the nasdaq 100. shares have not totally erased all of last week's losses as you see, but clearly the mega-cap tech is back in portfolio favor, at least right now. flip if it over to the s&p. after losing 16 points yesterday, the broader index is

gaining 17 points. and while nvidia's doing some of the heavy lifting, the biggest point gainer praise goes to carnival corp -- prize. wall street loves an upside surprise, and that is exactly what carnival has given it and what is driving this 8.5% gain right now in the stock. the cruise line operator swung to a profit in the second quarter and raised full-year guidance. analysts were looking for a loss. how and what did they get so wrong? we're going to get it straight from the captain's mouth, ceo josh weinstein is joining us live coming up. yes, the leader on the s&p, that ceo is coming right here in the final hour of trade. from the misery loves company department, just a day after a europe's antitrust watchdog charged apple with breaking the european union's new digital competition rules, the e. e.u. has smacked microsoft today with accusations it has a illegally linked its chat and video app teams with its office product alleged giving it an unfair advantage over rivals.

investors are. >> >> is rugging off the considerable shrugging off the potential fines. microsoft up half a percent and apple is gaining throughout the session, now up 1%. and no doubt paramount needs a makeover after the skydance acquisitions deal to rescue it fell through. guess who's ready to lather up a deal for the embattled media con imlom rate? paul mitchell hair care billionaire jean paul deyour yo backing a hollywood investment group to buy paramount he's here in a fox business exclusive. you've got to hear what he has to share. to the markets and whether the great rotation everybody's been talking about has already begun which leads to this question: are you late? do you need to get on this? to the floor show. joining me now, deutsche bank chief global strategist binky chad da. when you look at the great rotation everybody's talking about, are you seeing that right now? if so, where? >> sort of seeing hints of it

and hints of it beginning. the opposite day that you were talking about, yesterday and today, i would argue, you know, it's really a question of final. of time. if you think about mega-cap growth in tech on one side, the u.s. domestic cyclicals and defensives and you think about energy and materials, you know, mega-cap growth in tech, we were looking for earnings growth to slow, basically, the first quarter. it slowed in the decimals -- liz: tiny. tiny bit. >> yeah, from 40% to 38%. i'm not sure you would even call that slowing. but we look at something closer to 30% in the coming quarter. while we're looking for the cyclicals and defensives to pick up. and if you look at the s&p 500 as a whole, you're talking about 11% earnings growth in the last quarter while the third group that we didn't speak about, energy and materials, down 25% in terms of their earnings. and their earnings, of course, are about oil and commodity

prices, and we're talking about earnings, so we're talking year on year changes in the oil and commodity prices. they've already stopped falling, so we expect process growth. that by itself adds 3-4% -- liz: when you look at the 3-month if charts, for example, the 3-month charts of the major indices, you had collectly predicted in early -- correctly predicted in early april a pullback of sorts. >> right. liz: we did see that. a couple months later you say the conditions are ripe again. are they ripe, or are you actually seeing conditions? >> what i would say is, you know, there's strong parallels with what we saw then. we are, agains concern again, in the runup to earnings, so most importantly a big chunk is buyback, about a third, which we would argue is the biggest buyer of equities in the go into a blackout period before reporting. if you look at the other elements of our demand-supply

framework, there's positioning. positioning just went vertical recently, very narrowly driven, almost entirely coming from tech. and so when you have vertical moves in positioning, they do tend to get reversed. liz: i mean, look at this sector the group positioning. everything is mega-cap tech and growth. and then a little bit of utilities. suddenly, starting with industrials and then you see energy, consumer cyclicals, real estate, materials, health care. people aren't rotating into those sectors. >> we would say and argue it's a question of time. they will. liz: and should people do that now, a little early before the rest of the -- >> i would argue, absolutely. neutral mega-cap growth in tech, they're too large a part to really go short, and their fundamentals look good. liz: and when you look at the tech fund flows, that these have been unbelievable. >> they have. liz: i mean, maybe there was a little bit of a blip here and there, but the tech fund flows

on the far right side of your screen start to look really, really hot. we're not at july yet, but we're four days away from it. and that's why you say you are now neutral. in that said, if you check on whether people are overly bullish, the trend seasonality, you think you get a picture right now of looking at the past to predict the future? >> yes. and what i would say is, you know, the key point if is flowing tend concern flows tend to turn down basically in the summer, so the seasonality's against you. if you think about the inflows coming from the macro data, the macro data's turned down a little bit. the seasonality is against you, and so the only thing that's driving it is the third element which is risk appetite. and it's, therefore, looking pretty stretched. yes, we got very, very robust inflows, but they can turn into outflows. liz: to see a couple of days of big gains for the dow

industrials and suddenly a big reversal on on the same day the nasdaq reverses to the upside, is that weird at all or just the day-to-day machinations? >> yesterday was, through most of the day it looks like immaculate rotation. [laughter] so it's telling you that, you know, demand-supply fundamentals look okay. and when there's an issue with one part, you will get a rotation. what we would argue is that, you know, it's going to happen. i mean, mega-cap growth in tech put in 40%, 38% earnings growth, but they did that because they went from from sort of the bottom of the channel, earnings, to the top of the channel. it's 40% wide. the trend is only 11%. if they have the best possible earnings and hug the top of the channel, that would be great earnings, but it imply plies an 11 percent growth rate. it's a long ways down. i don't think we'll get there tomorrow, but it will happen over time.

and the bottom line is consensus has that built in over time. so i think like i said, to repeat -- and i apologize for repeating -- it's a question with of time. liz: the length of time is the big question. binky, thank you very much. all right, the dow restreeting -- retreating from a 1-month high as cyclical stocks drag down the blue chip index. our next guest says the market is on the cusp of a sea change. maybe he has a time horizon for when that will happen. he's tom hayes, seasoned trader who says cyclicals will outperform in the second half. plus, he also says the dynamic of big tech mag 5 driving most of the market gains will be flipped upside down in the second half which is four days away. we already starting to see that a change, tom? >> no question about i. to build on what binky said in the first segment, we had tech earnings growth 50% in the first quarter. the rest of the 497, 493 stocks were -1%. that's going to flip.

by december you're going to have 17% earnings growth for the magnificent seven, but you're going to have 19 percent for the other 493. this feels exactly like october 2023. right when the fed made a position change and they said they were done tightening, everything that was left behind in eight weeks they literally rallied. you had stocks up 50, 100% below the surface. i think we're going to see that. and today, this opposite day, was f if omc member bowman who said i don't see any cuts in 2024, and at the same token we're data-dependent with. she knows the data five months out to say there are going to be no cuts? the day -- data a is telling us unemployment is ticking up, etc. liz: tom, what are the two areas where you would say, you know what? get a quick jump on rotating into those. >> yeah. i think in the 493 we like 2 companies in particular. number one, don't forget the house house, disney. this is a stock that we like

buying quality merchandise when it's marked down. this stock is down 50%. if you take the sum of the parts, just the parks and the experiences like the cruises and the consumer products, it's doing $10 billion of ebitda, the stock's trading the about 100. so they're the effectively assigning zero value to disney +, espn, the tv stations, etc., and value act is involved. they turned around the subscription business for many companies, their portfolio companies, they're going to do the exact same thing. they're implementing these fact factor, that business can do $15 billion of ebit which implies over the next 3-4 years $1800-200 -- 180-200 stock. liz: some would argue that liquor is a necessity -- [laughter] >> this got hit from two components. number one, the fed tightening cycle. as soon as the fed started

tightening, all the dividend-paying stocks got crushed, and they're still -- the amount of underperformance finish dividend stocks since rates went up is unbelievable -- liz: what's the yield? >> 3 percent. liz: nice. >> stock's down 37%. cash flow's growing, earnings are growing, revenues are growing. their free cash flow trough in q2 is steadily climbing back, johnnie walker, crown royal, guinness, smirnoff, the number one vodka in the world. this is a staple, this will recover. liz: crown royal has the best bottle. >> there you go. we have a can customer. let's buy the stock. [laughter] liz: don't buy the crown royal, buy the stock. >> exactly. liz: tom, good to see you. thank you very much. we know the teenager and gen-z set are against a tiktok ban, but now a u.s. cloud and software giant warns a ban of the chinese-owned social media platform could slam its own revenue and profit finish who are we talking about? you might own this name in your portfolio, it is widely held.

stick around to find out. tiktok parent bytedance is not publicly traded, but rivals meta, snap and pinterest would benefit greatly from a tiktok ban -- which we don't have is yet. hasn't happened yet, but meta is moving higher by 2% right now, snap if up 5.25% and pinterest the up 4%. "the claman countdown" is coming right back. the nasdaq gaining 203 points. ♪ ♪ [thunder rumbles] ♪ ♪ ♪ ♪ 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] ♪ ♪

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her uncle's unhappy. i'm sensing an underlying issue. it's t-mobile. it started when we tried to get him under a new plan. but they they unexpectedly unraveled their “price lock” guarantee. which has made him, a bit... unruly. you called yourself the “un-carrier”. you sing about “price lock” on those commercials. “the price lock, the price lock...” so, if you could change the price, change the name! it's not a lock, i know a lock. so how can we undo the damage? we could all unsubscribe and switch to xfinity. their connection is unreal. and we could all un-experience this whole session. okay, that's uncalled for.

liz: breaking news, oracle's 31% year to date rally may be in jeopardy, and that's not because some analyst is saying so is, the company is concerned. the stock, slightly in the red today, down half a percent. its 2024 run though, very impressive. cuddle take a dramatic turn in

the coming months if details contained in this report by the i. giant come true. this is one of its 10k filings. the annual filing the securities and exchange commission requires, oracle wanter about the impacts of a potential tiktok ban. why? because oracle currently supplies cloud infrastructure and internet hosting to tiktok. oracle saying, quote, if we are are unable to provide these services to tiktok and if we cannot redeploy that capacity in a timely manner, our revenues and profits would be adversely impacted. kelly o'grady is live in the fox business newsroom with the details. kelly, how much money could oracle lose if a ban on tiktok goes into effect? >> reporter: liz, this could create serious is repercussions. we're talking hundreds of millions of dollars. now, oracle hasn't disclosed the exact value of the relationship with the social media a app, but a number of analysts think this could be sizable.

morgan stanley sent out a note saying this could cost oracle anywhere from $370 million to $1.3 billion. that is a wider range than the 4800-800 million banda ever core equipmented back in april, but this could be a lot. now, for context, oracle's fiscal year 2023 revenue was a whopping $50 billion, so if you do take the high end of that a estimate, the potential hit from tiktok could equate to 2.5 president of total sales. as a refresher though, the oracle relationship stems from the 2020 push to ban the app. are remember, former president trump gave his blessing to a deal in which walmart and oracle each would have taken a stack with the latter becoming that secure cloud provider for u.s. user data. that ultimately didn't come to fruition on the ownership side, but oracle did win that cloud business. and with tiktok reportedly seeing $16 billion in revenue, it's not out of the odder their they would be spending sw in the range of 3-5% of that that on cloud infrastructure, so that

does put the oracle deal squarely in the half a billion plus range. for now, of course, it's just a possibility. we're still a month out from the january 19th -- july 19th deadline, but i spoke to one of the ever core analysts that was estimating that figure and said, okay, well, let's say it's not waned. let's say -- banned. is this going to impact oracle? he said, you know, probably not. they have good pricing, they're known for their cloud infrastructure, that probably isn't the scenario with. but we're still months away. this is early stages of whether it's going to impact oracle. liz: 10ks, you're required to put in potential risks ahead, so they're doing what they're supposed to do by flagging this, but it sounds like a big enough chunk of change that it could impact the stock if it were to happen. kelly, thank you very much. paramount's stock continuing its dismal drop at this hour after shari redstone torpedoed a bid by david ellison's skydance media to buy it. can a shampoo if tycoon comb out

paramount's tangled mess? john paul dejoria, the billionaire behind paul mitchell hair care, hoping to lather up a deal. he's going to join us next in a fox business exclusive. paramount shares are down 32%. "the claman countdown" is coming right back. stay with us. ♪ ♪ introducing new advil targeted relief. the only topical pain reliever with 4 powerful pain-fighting ingredients that start working on contact to target tough pain at the source. for up to 8 hours of powerful relief. new advil targeted relief.

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liz: paramount global

desperately trying to to throw spaghetti at the wall to see what sticks, and its latest attempt is not working. the media company off the lows of the session, you can see from the intraday chart, but still down about half a percent after the company announced a series of price hikes on its streaming services. the ad-free paramount+ with showtime will increase by $1 to $12.99 while the essential plan with ads is being raised by $2 to $7.99 per month for all new subscribers after august 20th. this after controlling shareholder shari redstone exited merger talks with david ellison's skydance media who had made a $2.25 billion bid earlier this month, but there's another bidder looking to enter the fray. steven paul has put together an investor group and made an offer for national amusements, the redstone family's holding company that owns 77% of paramount's stock. reports say that offer is higher

than skydance's, and one of the investors in that group looking to give paramount global a makeover is the billionaire entrepreneur paul mitchell cofounder, patron cofounder as well and chairman emeritus, john paul deyour a ya. the hair care mag a nate is here in a fox business exclusive. >> hey, liz. [laughter] liz. liz: great to see you. how'd you get into this, by jumping into steven paul's bid for national amusements? >> well, steven's a dear friend of mine, and when he told me, jp, we have an opportunity if we put the right guys together to actually get control of paramount, my fist thought was, wow, maybe i could influence, for example, the board of directors to have more positive content which i think is good for all shareholders. and then in the news not slanted so much for politics but for real news and not go to the right or to the left. i think i could be a big influence which would be good for all shareholders and good

for the people of the united states of member. get a little positive punch in there instead of of the, oh, my goodness. liz: one of the things -- and this is not an original thought. i give credit to scott galloway, the nyu professor or, who had said that the three previous bids -- well, three people involved, david ellison, son of larry ellison -- >> yep. liz: of course, of oracle, edgar brown win who was supposedly jumping in there, and then you've got shari redstone, son of sumner redstone, three children of billionaires. adult children, but, you know, did they grow those businesses? no. you have expertise in growing something from nothing. >> yep. liz: paul mitchell hair care. >> yep. liz: what would you advise and do if you got control of paramount? >> well, one would be to throw in a little bit more positive content that people would like to have their whole family watch tv opposed to just certain segments of what the adults are

going to watch. something more positive affects the whole family. i think america needs that, and i look at all the various areas of distribution, how it could be improved where more people benefit at the same time. the viewer, on the other side of it, benefits too when we grow all phases of the business on a global basis. i think i could add to that. liz: it's a little strange that they would implement a price hike just when people are are winnowing down their streaming options. >> yep. liz: would you reverse something like that if you were in the position to do it? >> i would take a look at a everything and see what made the most sense, and if i could reverse a little bit of that, you better believe i would. but we'd have to take an in-depth look once we have control of the board, and i think we've got a good shot. my feeling is we'll have this done by august, so fingers crossed. we've got a lot of good people, many of the big investors at home in austin a few weeks ago that have just so excited to get this going. i think you're going to see some great results. and you'll see cbs and paramount

and everybody just glow because of all the good content we'll put in, there'll be a lot more positive content. i think it'll be good -- liz: where are you in the bid? has is sh hari given the green light? >> i think shari wants us to take it. i think she does. my first message was i think she'd like us because she knows we'll do good things with it and not break it up. other people are going to -- we don't want to break it up. liz: you wouldn't sell off cbs? >> knop. my suggestion is don't -- nope. change it to make it even better. that's my feeling, my personal feeling. i may not be the biggest investor but, by gosh, i've got something, and i think people will listen to me. then again, you have to have a reason on why not break it up. what can you do for our shareholders by keeping it together and not breaking it up just to make a lot of money. liz: when i think about paramount, it goes back so many years. i would hate to see this company go away, and yet legacy media a

is a problem right now, is it not? >> yep. yes, it is a problem right now. but things can be versed. look at the shampoo -- look at tequila, how we reversed all that. [laughter] we reversed tequila from $4 to $5 a bottle and people taking it with salt or taking it with anything in their margarita so you don't have that one taste. but in 1989 when we introduced patron tequila, it changed everything. so you can change things with newer and better ideas. you can change these things. we did that with paul mitt romney, and we had no -- mitchell. we a had no money. [laughter] and, of course, with patron and other companies that were involved, it's kind of the -- you can change things with a positive message. you just have to look at it. and we're slacking, but more important, what do people want? how do you bring them in and how do you get that message across. i think i can contribute to that in a very, very big way.

liz: you had sold patron to bacardi, $5.11 billion, and now you got ban sderot, you're starting up another tequila company -- >> but it was started. we actually started this before i sold patron. but because it wasn't on the market yet, they let me give it to my daughters, alexis and mick lean, to run because i had a 5-year non-compete. that was up last year. it's a family venture, and it's a different type of tequila. so we're starting something new that's very, very unique. a little bit different than most tequilas. liz: something tells me the children of you, a billionaire, might turn out some of the different -- >> oh, they're so successful on their own. when my daughter was asked what's it like to be a top racer with a billionaire father, how does that help you? i don't know, that's my dad's money, i'm making my own way in life. my other daughter, the same thing. started her own business, and

she's ceo of paul mitchell. and my sons are entrepreneurs galore. their doing their own thing, and i'm very, very proud of them. they're finding that different twist. for example, that's what we found with bandero. how to make it smoother. we have to cook the agave for days as opposed to one day and use a lot of the old ways. so we use old methods, make things better, making it smoother, completely organic in recycled bottles. and the end result is we've already won seven gold request medals on this one, so we're pretty excited. liz: yeah. well, and i will just say that folks who are watching, john paul dejoria is the kind of person you want as a part of a bidding group because he has built things from nothing and improved them and grown them. and to me, that's the kind of person, a real business person, who needs to get into paramount please keep us posted, paul, thank you. john paul. >> we certainly will. get good people involved like i

certainly do, and also with weber. we're bringing out a vodka made out of agave. first timest ever been done -- liz: sweet. [laughter] okay, debut it here. >> a peace, love and happiness, thank you. liz: says he is not, if he were asked, breaking up parapoint. very very interesting. we're going to follow this one and go big and wide with it. breaking news, the irs has just settled a lawsuit filed by citadel ceo ken griffin which accused the agency of failing to protect his financial information from a contractor who stole the his tax data and leaked it. the irs issuing a statement moments ago saying, quote, the internal revenue service sincerely apologizes to mr. kenneth griffin and the thousands of other americans, including, by the way, donald trump, elon musk and a bun of of errs, who is personal information -- whose personal information was leak ared to the press. griffin first filed the lawsuit

back in 2022 after pro pub propublica gained access in a data breach and published the information. as i mentioned, other victims include former president donald trump, elon musk but also jeff bezos, charles littlejohn, a former irs contractor, did plead guilty to stealing and leaking those tax returns. and this year was sentenced to 5 years in prison. fox business alert, shares of cancer test maker grail are sinking in their nasdaq debut after being spun from gene sequencing company illumina. grail is working on commercial partnerships with health systems for its flagship cancer detection test. but right now down 6.25%. illumina, for its part, will hold a minority stake as part of the spinoff. illumina is up 2.6%. rivian's stock charging up after guying cannen heym initiated coverage with a buy rating and an $18 price target. that's enough to push this stock higher by nearly are 9% right

now. the firm said rivian's margins and cash burn appear to be improving, and it expects the ev maker to generate positive ebitda, earnings before interest taxes, you know it, in 2026. pool plunging after full-year earnings guidance missed estimates. the pool supplies distributer blames weak demand early in the summer season. even though we're this hot? we're in the middle of a heat wave. what do you mean weak demand? the stock is down 8.5%, 522-week low -- a 522-week low. leslie's getting smashed on at the moment, both are decline kleining, pent air down 6.75%, leslie's down 5%. while pool is at the bottom of the s&p 500, darn sol corp. is floating to the top after the index raised its annual profit forecast. after the company raised its annual profit forecast. ceo josh weinstein joining us

live next on whether cruise ship restrictions on popular islands might impact that guidance and, if not, is demand going to continue to float higher and higher this season? and if you're scoping out your sailing wardrobe or got to look at rebecca minkoff. her clothes may be nice, but her story is even better. she's one of the hottest designers in the mid-priced apparel category. she got her start sewing costumes for high school musicals. she handed out i heart new york shirts to celebrities, they totally caught on. she talks about it on my everyone talks to liz podcast. listen on apple, google, spotify, iheart radio. there are so many success stories including john paul dejoria, he was one of our first podcast guests back in the day. he worked out of heads car. that's what he had. he slept in his car and sold

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liz: are the carry-free days of the dollar menu a distant memory? fast food prices in may rose 4.8% year-over-year. and when you break it out by menu items, gets even worse. according to analysis from the site the street, a mcdonald's cheeseburger costs 215% more now than it did as recently as 2019. a taco bell beefy5-layer burrito costs 18% more. eight a chick-fil-a nuggets, 90%. some businesses are offering new and big discounts. they're finally woken up. the new $5 meal from mcdonald's is launching today. kelly saberi is live outside the mcdonald's headquarters in chicago with what the competition's doing to outcheap

mcdonald's new value meet. kelly. >> reporter: yeah, that's right, liz. and i've laid are it all out here for you. let's talk about how we got to this point. in an open letter, which is rare, last month the usa president joer linger said he wants to push back on the idea of big mac inflation. he says that the idea that mcdonald's has hiked prices significantly beyond inflation rates is simply inaccurate. so this is their response. for $5 you can get a small drink, a 4-piece mcnugget, a mcdouble or mcchicken, you have the choice on that one, as well as a small fry. now, mcdonald's did miss first quarter earnings expectations for same store sales coming in at 2.5% versus the expected 2.6. worldwide the chain says it's seen customers pulling back on spending. we're seeing sort of a fast food value war hear as you alluded to earlier. let's take a look at burger king. their value meal is called the

your way meal deal. you can choose between similarly to mc's a whopper jr. bacon cheeseburger, it comes with small price, 4-piece chicken nugget and small fry all for $5. but wendy's chained the -- coined the phrase biggie bag meal. you have the choice of a junior bacon can cheeseburger or chicken sandwich, 4-piece nugget, small fry and small drink for just $4. and just days ago wendy's said, hey, let's sweeten the deal ahead of mcdonald's doing this deal drop today, let's tell our customers they can also get a free frosty if they get the biggie bag. if you're watching this, that deal only goes on until this sunday, june 30th. this all a comes as kfc, starbucks and subway are all introducing value items, cheaper items as well. and, of course, it's significant as the cpi data point, which is

food away from home, rose .4% in the month of may. liz? liz: thank you very much, kelly saw saberi. while mcdonald's is trying to boost demand, carnival is seeing record dmond for its cruises. investors are rocking carnival's boat9 in a good way, sending the stock sailing up 7.9% after the cruise line operator posted a surprise profit for the second quarter. so wall street had been expecting carnival to lose 10 cents per share, not gain 1111 cents per share -- 11 cents. it beat revenue expectations by $90 million and boosted full-year profits guidance on strong demand, total customer deposits reached an all-time high of $8.3 billion. not just pre-pandemic high. and it's already seen record booking volumes for 2025 sailings. let's bring in carnival president and ceo josh weinstein. and as we said earlier, wall street really got this wrong. you swung to a profit.

what brought you there? >> you know, thanks for having me, liz. what brought us here is the strength of our brands and the strength of our consumers. if the fact is i was just listening to your piece talking about value, cruising, our brands, we are a value. when you stack us up existence other options out there -- against other options out there, even though we've been successful in taking the our pricing up over the last six, seven quarters, we're still a value. people see that. they're looking for value, they're looking for great service, and we haven't skimped on service, so we're giving them the best of both world. liz: you also raised your full-year guidance. you've only posted profits in two different quarters since 2020. these tides can turn, can they not? >> sure, they can, but the one thing about a our business is we now have great visibility once again. you know, the vast majority of our business is on the books. we've had incredible momentum. so when you look at this second quarter, not only were the

results fantastic, we're talking about 12% yield increases year-over-year, the bookings set yet another record. and that's just record on top of record. and the great news is not only did we have great pricing for what we booked for the third and fourth quarter, well over what we were doing a year ago a, but the volume of bookings that we had for 2025, for the further-out year, is the most we've ever had for a far-out year in the second quarter. liz: wow. >> so we're really, the brands are doing a phenomenal job of tapping into the demand for what we have to offer. liz: people aren't procrastinating, they're booking ahead. that's pretty amazing. but as far as the balance sheet, this was one of your goals when you took over, to get this thing back into shape. you ended the second quarter with $4.6 billion in cash, i believe, in liquidity? you were quoted in the report saying looking forward, you expect substantial free cash flow driven by ongoing

operational execution. can you put a value on substantial free cash flow? >> when we came up with our targets last june, our3-year targets, where are we going to be at the end of 2026, what we basically told our investors is, you know, look, 2024's going to be a year where we have tremendous improvement, and we have a lot of capacity in this year. so we're not going to have that much opportunity to pay down debt. well, little did i know we're outperforming and so we are paying down debt. it'll probably be $2 billion year-over-year by the time all is said and done which gets our leverage down to about 4 four and a half times by tend of this year. and when you look forward, we only have one ship being delivered in 2025 and zero in 2026, that'll literally give us billions each year that we're going to take and pay down the debt and start that process or continue rebalancing and getting the value back from the debt holders and back to the equity holders.

liz: feels like you're going to be crimped for space on these cruises. does that mean you have pricing power, and are you going to raise prices? >> well, that has been our focus. it's been our focus for the last two years, and that will continue to be our focus. we have moderate capacity growth, which is intentional. we can improve same-store sales. as a matter of fact, in the second quarter with, for example, if you stripped out all of the new ships that we had this year versus last year, our yield still went up over 10%. same-store sales. so we have great demand, we have great brands in great markets with great consumers, and they are responding as a they should because of the value in the appearance that we can give. liz: investors are responding. the stock right now looking very hell thicker up nearly 8%. josh, it's great to see you. thank you very much. >> thank you, liz. nice to see you. liz: the biggest political event so far in the 2024 election season is set for thursday. the showdown between president joe biden and former president

donald trump. how will their viewpoints on immigration and spending affect federal reserve policy? yes. it can affect the fed. in fact, we now know that at least one fed member says it will. we have our "countdown" closer next to explain and talk about the investments around it. ♪ ♪ . .

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♪. >> there's the risk that increased immigration and continued labor market tightness could lead to persistently high core services inflation. given currently low inventory of affordable housing in the united states the influx of new immigrants to some geographic areas could result in upward pressure on rents as additional housing supply may take time to materialize. liz: that was federal reserve governor michelle bowman today speaking to a crowd. she is a voting member and her comments illustrates how politics is playing into the inflation picture. our "countdown closer" says the federal reserve is paying close attention to politics even though they say we're not political. this thursday cnn presidential debate could provide a glimpse into the fomc's next move. gus scaco manages 1 1/2 billion dollars of assets, ceo of hudson

valley investment advisors. aside from the fact she is blaming immigrants of high housing prices which has been a long time problem in this country, i'm not sure i agree with that. there is huge demand. immigrants are not, that becomes a problem. what is the trade there, why should everybody be watching the debate on thursday to see what happens politically and financially? >> if we look at interest rates alone, the fed's in a tough spot. they want to lower rates, they want to move them down. inflation worked against them. we're at a point in time right now where they don't want to be in the middle of this debate. they will be cutting rates right as the republican convention convenience. they will become an issue as opposed to standing aside. we're in mid-cycle slow down, inflation is slowing. inflation is coming down but it is not in a straight line but that should help. in terms of housing part, rates coming in a little bit it will not move the needle all that much. there is lot of people on the

sidelines, it increased to the point it will push people out of the market. liz: do you think this will be a topic of conversation during the cnn presidential debate which by the way fox news is simulcasting? >> i think you will end up having if they do make a cut, they will be a center piece. they will make cuts, the back half of the year after the presidential election. liz: they have to wait, don't they? it looks so bad if they didn't. >> that's correct. liz: what is the trade? >> we look a couple different things in the energy space related to it, so it is partly housing. generac is one example. generators utilized by homes and other resources. it is one on fire two years ago. slowed down because they had too much inventory. all of that is worked out. trading half its growth rate. this year you will have a tough time in terms of the weather and you're going to need more

generac generators. that is one. look at the housing market, lennar, some other players were only 10% of the market. they're moving to 15. they have a lot of land as well as the ability to build. liz: where does danaher fit into this? >> danaher is on the other side of thing. they're a biotech enabler. we have tough time picking biotech companies. you can pick one out of five and not the others. they are the picks and shovels, if you do any drug discovery, they are the ones you will be utilize. liz: i find danaher a fascinating play because of that we watched it close over the years. chart industries? >> yes. chart is a play. lng, they make the tanks. they bought housing two years ago. they didn't have sales and service the size they do today. we like them because of that. liz: we're looking at the chart, down 3% today. less expensive it is discount.

would you buy on a day like this. >> yes. this is window-dressing at end of the mon. people are buying tech and selling everything else. liz: one word answer, up or down this year in the s&p by end of this year. >> we'll be higher, yes. liz: all right. pretty big move to say that because considering the s&p is already up year-to-date 14% and today adding just a bit more, 24 points to the s&p. the dow losing about 276. the nasdaq the big winner, up 230 points. [closing bell rings] raising canes ceo and taylor morrison ceo, sharon palmer. we'll see you tomorrow. larry: hello, folks, welcome to "kudlow," i'm larry kudlow. so joe biden now on day five of his camp david lockdown. that is ahead of thursday's cnn presidential debate as trump continues, mr. trump continued

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