playlists. >> you said earlier, it's a sliply slope >> it is >> could be a lot of other demands. you could say, you can't carry any rap because it's really offensive and mean to women. >> but people feel empowered to call people out and call out companies for supporting them, it's a moment right now for that >> thank you for watching "power lunch," and "closing bell" starts now >> stocks are rally mode, apple hitting a fresh record high. did big tech drag the rest of the market higher to the new fresh highs? >> on the floor of the new york stock exchange, i'm mike santoli. a shock and drop, is the market stabilizing? >> reporter: we're in washington, why this is the best day to sell a house. >> reporter: we're in san francisco where i have the exclusive interview with dropbox's ceo as the company releases its first quarterly report since the ipo plus, a top institutional investor argues mark zurk ckerbg

is not playing fair, and tim draper will join us. i'm kelly evans, and "the closing bell" starts right now ♪ >> isn't fresh record redundant anyway >> it is >> fresh record. >> it's a good point i said fresh high twice. >> fresh record. for one of them. >> anyway -- >> welcome, this is the "closing bell," all those stories in a moment, but check on the markets. stocks posting a rally, dow up 252 at the high, and up 222 now, gains for the sixth straight day. >> criticizing the prerecorded open, your microphone was like this a little bit. >> it was really perky >> we'll get it spot-on one day. the s&p and nasdaq on pace for the best closes since march the 16th healthy returns as you can see there. we get to bob pisani watching key levels in the session today. bob? >> we broke the down trend, but not as uptrend yet

we have been talking about this all week, breaking that down trend. this is what we are talking about. right here, suddenly, we are out of that territory. we are out of that down trend territory. this is the s&p 500 for the year, but this also from other sectors as well. the russell 2,000 is breaking out of the down trend. we're awfully close -- look at this -- awfully close to a historic high. watch that number, 1615, closer earlier in the day we are getting help from oil oil rallied now for a while, but energy stocks lagged not recently, so here's oil rally we had, energy stocks below it, and right here, we are starting to peak up, and oil stocks, themselves, now contributing so there's another market leader out there. look at the internals where we are right now. two market leaders so far that emerged, teches and financials those are the two biggest sectors. great news oil rally helped as well yields have been holding steady, and we have seen inflation subdued recently, new ppi and cpi, and the dollar rallied that

wilfred and i talked about a lot recently, that's paused for today. that's good news for the markets overall. we got new highs, breakouts now occurring in sectors there's apple, cisco, nvidia, and mastercard and visa breaking out. we have e-brokerage firms doing well, schwab and e-trade doing well new highs. missing anything volume on the upside art and i talked about this. this is all the biggest volume days of the year, every one of them occurred on down days we have not seen a big volume move on an upday yet that tells me that buying enthusiasm is muted. that's the one thing we need to see in the rally >> we'll talk to art about more in a moment, bob, thank you. first, mike santoli said on monday this is a make arian break week for the markets, and

now sure enough, sixth straight day of being up. >> it's at least going along that path right now. there is a normalcy that's returned to the markets in may i think it's been kind of building for a while, but it's clearer right now, and you can see from a different angle one, of course, volatility index retreated down below 14, and it got below 14 level, and nothing magic about 14, but a mark of the fact we have a stable relaxed take at this point also, the market's less twitchy when it comes to news headlines whether about trade or geopolitics or anything else it's taking things in stride credit markets never got too agitated during the whole three month period for stocks, but they -- the risk spreads on junk bon that you see right there, they did perk up a little bit so people got nervous, and now they have hedged back to strong levels, and then, finally, sectors and stocks aredivergingt

all in unison, so this shows you the implied correlation of the stocks within the s&p 500, basically, how much stocks move on their own that's a lower number on that chart, how much they move with the index, that's a higher number that's a healthier response. does not mean we're out of the trading range, guys, but shows a little more of a pace and feel to things that have taken hold >> mike, great stuff, thank you very much. we continue this discussion, joins us, art, jim, and good afternoon to you all arthur, do we, indeed, need to see more vehicolume before we c celebrate the week in the markets? >> much more comfortable seeing volume pick up i think what we're getting here is a series of breakouts from the down trend line bob spoke about, and they are being helped by a variety of different goldie locks items.

the geopolitical situation in korea looks better markets cheered by the release of the prisoners, et cetera, you still have a problem in the middle east, but we're narrowing down to just a few things. the only other thing that has even a mild cloud over the market is still some concerns about trade wars and tariffs, and that's a the reason the russell is leading on the upside because that has many more domestic deponents to it >> bob, how significant is it the 10-year yield is up above 3% this year at the same time this morning, the inflation data, whether the u.s. consumer index, comments of the bank of england being dovish, china's inflation read, everything softer. >> i think there's a bit of noise in the month to month data, u.s. inflation, right? so the medium term trend is in tact, which is inflation is going to be at or slightly above the fed's target over the course of the year and next year as we get into the fiscal stimulus spending that the government's about to embark upon

markets are at some version of full employment, if not well through it, and one of the more interesting stats this week was the job openings data in the jolts, right >> number of openings, number of unemployment >> near a 1:1 ratio now, nearly first time since post-war history. >> does that make you nervous as a fixed income guy >> we think inflation moves above the feds' target, but not aggressively above or accelerate in a meaningful way. there's a number of head winds to keep inflation contained, but nonetheless, we're going to see some impulse higher over the course of time >> what's the driver in the markets at the time? do you think markets want strong economic data or weak economic data >> well, i think one of the interesting things, wilfred, about the market is the same thing making bulls bullish is making bears bearish that is main street's doing really well. the economy fundamentally is

great when you look at job market, income flows, profits, low inflation, whatever, and that's making bulls bullish, but it's also the things making bears concerned because we're at full employment, and just as previous guests mentioned, jolt is high, unemployment is low the central issue here is overheat pressures and need to reset rates higher, i'm not sure we backed away from that problem, maybe this week, maybe this month, but i think it's going to come back around again because job creation is still too strong for a fully employed economy not to have wages and inflation go up further, and i think we're only part way through the 10-year yield reset, and only part way through the dropping the multiple on the stock markets, so it's good right now, but i wonder if a month from now or two months from now, we are back to the same issues again with more repricing needed >> we also already have oil back above $71 a barrel, but neither

that nor that 3% 10-year we mentioned is a trip wire for the markets this week. >> no. it's -- we've had a lot of talk about commodity prices going up and variety of other things, but when you get to the final numbers that cpi and ppi, it is not coming through that's voiding the pressure we were afraid of >> bob, quickly, i want to ask about yields in europe and whether or not you fear there's a lot of stress to come when the ecb does eventually decide to raise rates. look at yields there supposedly stressed at the moment with the forming of the government, and yet the 10-year rose to 1 partnership1.9. so low still >> they are effective in intervening and keeping real and nominal rates very low, well below sustainable long term e quill lib yum levels we do expect them to begin to slowly taper, but think think they are extraordinarily

accommodate ed for a long perio of time. there's no shift higher or abrupt departure or meaningful shift higher in rates over the next year or so. >> hard to argue it's not mispriced the 100 year bond last year, what could go wrong? leavining it there thank you. phil lebeau has a market flash for us now, phil >> kelly, shares of boeing are facing a little bit of pressure, not a lot. but a little pressure following reports from brazil by reuters citing unnamed sources who essentially are saying that there may be a delay in the proposed merger, if you will, joint venture creation, whatever it finally ultimately ends up being between boeing and embraer. issue is how to divvy up resources like who works with defense, official, and embraer

jets there's been a number of reports over the last month, month and a half, and while stock moves up or down, a lot of these reports end up being unfounded we know the last time we heard from the boeing ceo days ago, he's optimistic they will have an agreement between boeing and embraer. that's what we see with shares of boeing and why they are lower than earlier today kelly, back to you >> thank you very much, phil lebeau, watching the stocks for us not too much movement as you mentioned. 50 minutes until the close, dow higher by 176 points, we're standing almost a pemrcent highr for all the indexes right now. don't go anywhere. we're just getting started next up, the best day to list a home is the answer next. plus, venture capital giant tim draper, see what he likes, what te doesnhe doesn't, and whe stands on the controversy of a

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welcome back, the spring housing season has not given much of a boost to the home builders so far. the sector down 11% year to date >> may is the best month for existing homeowners to sell, and today is the best day of the week to list your house. diana has that story >> reporter: everything looking better in the spring so may is the best month to sell to sell fastest, there's a few hours left today if you list on thursday, it will sell faster than if you list on any other day of the week, and that's according to red fin which ran numbers on this. why? because everything is online today, and people planning their weekend of house hunting generally wait until thursday to do it. >> the strategy really is behind thursday we get the most eyes on the house, so, yeah, we could have five offers by friday >> reporter: but if you have five offers by friday, you wasted money planning the open house, right r redfin claims if you list the

house like this one in maryland on wednesday, you can actually get slight sly more money for it most agents did not buy that, however, one said, it's not just thursday, but a specific time on thursday >> the afternoon is better because on thursdays, all of us are listing, and so if you list in the morning, you end up on page two of the listings you end up further down, and you want to be on the top. >> reporter: of course, and i buy that because you always want to be on the top of the list for more, it's on cnbc.com back to you guys >> makes sense, but this is way more granular i had any idea people were getting with stuff really makes a difference, though >> reporter: yeah, they actually claim that wednesday will net you 2,000 more on average. i asked many, many real estate agents about that, and they were, like, what even in the report, there was no reason why, just that that's what the numbers showed. >> all right everybody, hop to it >> yeah. here we go thank you very much for that i guess the quality of the house has something to do with it as

well, one would hope >> well, maybe, but, still, pick up an extra $2,000 >> i can't blame anyone. >> 45 minutes into the close, hanging on to a 188 point gain, and up ext, a major facebook investor has harsh words for the ceo mark zuckerberg. we'll explain. awaiting first ownerinearnis report from dropbox. we'll speak with the company's ceo on the heels of the results. stick around, closing bell is back in a couple minutes [fbi agent] you're a brave man, mr. stevens. your testimony will save lives. mr. stevens? this is your new name. this is your new house. and a perfectly inconspicuous suv. you must become invisible.

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welcome back, look at this, attracting loads of visitors for the miniature model royal wedding. it took 752 hours for 11 model makers to build. nothing better to do there the mockup used 60,000 bricks, there's a lego horse-drawn carriage >> is there anything better? that's the point >> if you work at lego company >> lego land is a great theme park >> have you been >> as a kid. >> nif people are flocking to be part - >> no, no, lego land is a theme park in the u.k. outside of windsor >> that's a nice coindense, capitalizing off the royal wedding. >>a great kids theme park, and it was when i was a kid and still is maybe i should go. >> going to windsor for the

wedding? >> next week to cover it >> will you check it out >> if i have time, i'll flock there. happy childhood memories i don't know that the bosses will - >> i want to see you and miniature land >> it's not all miniature, it's lego theme, but not all made out of legos >> i didn't you felt strongly about it >> i wanted to make sure you knew it was a theme park, not just, like, a -- >> we're sending you there >> we'll see >> taking mark zuckerberg to task in the "financial times." >> why does he need entrenchment factor of a dual class structure? doesn't want if to evolve like the rest of the company, but now it's coming from the american dream to a dictatorship. >> hard not to pick up on this in the fact you list as an ipo

to take public money but feel you don't listen to the shareholders, you can see the surprise, you can't blame zuckerberg and others for doing it if there's interest to buy it, but down the line, many years later, it's hard not to see why a big mature company does not allow shareholders to vote >> by the way, counselors itself like to throw weight around. >> they tell him whether to fall in line or not >> facebook is not the only one, snap got away similarly with the voting shares, so a lot of companies have done it recently. >> people pointed to what happened in viacom as an example when the founder keeps control under 40 minutes to go until the close. looking at individual stocks to watch. our first, we are watching two big companies, apple and goldman sachs. two announced, according to "wall street journal," they are

partnering up for a joint credit card this is goldman's first dive into the space, and apple continuing the march to a $1 trillion market. >> getting close >> close >> $8 away >> eight bucks away. this is fascinating from two companies that's core business is not payment, showing their commitment to continuing moving into that space, of course, goldman sachs with marketings moving into consumer banking, and apple pay, and interesting for both to benefit. i have to say on the surface, it's more for goldman sachs to benefit than apple, but we'll have to see how it works at the moment, apple as a credit card, barclay, they have not commented whether it ends or not. >> goldman's first pure card and payments >> if confirmed. apple, goldman sachs, barclays >> wow costco with a jump of online sales in april, rising 43% from last year's number

the comps for the month, up 10%, and shares unchanged on the back of it, althoughings y, you have feel good in this era to produce as well as costco is >> broader sector struggled as one the under performing sectors today. all sectors higher today, but consumer staples in the bottom we've got 36 minutes until the close. we are higher by 185 points on the dow. the high was day was 252 an hour ago. we are holding most gains, over three-quarter percent for the three indexes. apple hitting yet another milestone today on the quest to reach $1 trillion market capital. we'll ask traders whether the stock is looking expensive from a controversial earnings call to a new ntsb investigation. tesla making headlines for the wrong reasons, and speak with early tesla investor and capitalist tim draper about that company and othbets stay tuneds.

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hello, everyone, i'm sue herera, and welcome back to "closing bell. congressional democrats demand tough action from president trump to lower drug prices

allowing medicare to negotiate prices to encourage more generic competition. senator bernie sanders says prices are high because drug makers have such a powerful lobby. >> as a result of the incredible wealth and political power of the pharmaceutical industry, the american people are forced to pay by far, not even close, the highest prices in the world for the prescription drugs they need >> mercedes benz recalling 43,000 tiny smart cars because engines can catch fire it covers 2008-2009 model years. the government found 27 reports of engine fires with one injury reported and dunkin' donuts celebrates the royal wedding with a royal love donut. it is, of course, heart-shaped, filled with jelly, frosted with chocolate icing and a strawberry drizzle and it's available starting may 14th. you are up to date that's the news update this

hour back to you guys we'll have to try it >> thank you, sue. we'll give it a try. i'm keen to give it a go >> yes more a dunkin fan, so, you know, yeah we'll -- actually, i'm not that big of a donut fan i don't know the last time i had one. >> we'll do a taste test when they come out. >> if it were a chocolate chip cookie - >> that's another story. see you later. >> sue herera back at hq here's a quick check-in on the markets, higher by three-quarters of 1% on the dow, s&p, and nasdaq, off the session highs that were over 200 points for the dow, and now up 183. venture capital giant and draper associates founder, tim draper, joins us for an exclusive cnbc interview. good afternoon >> great, thanks for having me >> tim, just before the break, i wanted to start with facebook because we were discussing facebook and mark zuckerberg before the break clearly, they had a roller coaster ride in the last six to eight weeks or so, and you came

out clearly in defense of mark zuckerberg do you think the company and mark have done nothing wrong when it comes to data privacy? >> yeah. absolutely i think that this is a perfect example of where the government is coming in and they are being heavy-handed because somebody got to be very powerful, and they are cutting off the tops of the trees, and what they are doing is they are sending a very negative message to innovatorin and i think it's a huge mistake because zuckerberg should be a model, an icon, somebody that we should all be looking up to and aspiring to be, and now the government's trying to beat them down, and i think that this government is not appropriate. it's not the right approach, and zuckerbe zuckerberg's created an amazing business, allowing us to community kate in ways we never

imagined we could, and we are all giving -- i mean, we're putting our photos up on the thing, so, you know, do you expect people not to see the photos what's the point the point is to put your data up there, and he's giving it to you for free, and so he sells ads against it you know, and he uses the data so what. i think it's -- he -- he has built an extraordinary business. i don't like as icons get picked on by government officials i think that's just a bad -- it sends a very bad message to all of our youth, anybody who wants to go innovate it sends a bad message to our educators, everybody gets this -- this sort of evil thought, and i think you really want to have a positive thought and a great feeling towards these heros. he's a tall hero >> tim, another entrepreneur

that's been pick on recently a lot, not by the government, but investors, is elon musk of tesla. what's your take on the last couple earnings calls he's done, criticism off the back of it, and do you think all the facebook stories risk making entrepreneurs not want to go public anymore >> oh, that's not the only thing that makes entrepreneurs not want to go public. there are so many regulations that the sarbane laws and regulations after them have created an untenable situation for a company to go public it costs $5 million a year, and they have to open their komono completely to all their competitors, and so nobody wants to go public anymore as a result, you see that uber and air bnb, and all of talent here, all the amazing companies don't go public because it's not in their best interest

they -- they are looking and saying, well, you know, people with trade our stocks through equities or equidate, and we're liquid anyway, no reason to ever be public. >> all right tim, the last time we spoke with you a couple years ago, you roundly defended elizabeth holmes, founder of theranos, accused of massive fraud now you said people went after her because he was a woman, a witch hunt, and the guy who uncovered this, you said was incompetent are you willing to admit you were wrong about this one? >> absolutely not. i feel that we have taken down another great icon this woman was - >> icon of what? >> she came to fame at 19 years old, and she said, i'm going to transform health care as we know it, and she got bullied into submission i think this has been a real -- this is what - >> tim, investors have lost $900

million -- >> people who do extraordinary things -- are you talking at the same time i'm talking. >> $900 million went into theranos on investors like you -- >> and created an amazing opportunity. >> it's worthless. amazing opportunity -- >> well, it is now -- wait, why is it worthless? because this writer was a badger going after her, like going after her, and it became a bigger and bigger thing. i mean, this was - >> right >> this was a startup, a great vision, and -- >> with massive fraud. the sec charged this as massive fraud. >> you missed the entire point i think you missed the entire point. this was -- if all she had to do was, you know, say this was a beta or whatever, and all of us would be using it. we'd be loving it. it was - >> sure, but she didn't.

that's her fault >> going up against very powerful people in the drug companies, the ama, the fda, all these people she's transforming health care somebody goes in and tries to transform health care, they are going to get attacked in a lot of different directions, and she was. and this was one of the cases where the entrepreneur was defeated i mean - >> tim - >> in general, the intentreprenr do extraordinary things. you guys, the press, you guys, went after uber, but - >> right, but, tim, on the specific issue - >> all the specific things >> but you're not willing to admit she lied - >> incredible service. >> lied to investors and claimed the technology she pioneered >> that's not proven >> thousands of blood tests taken at walgreens because the tests were not performed up to standards. >> hey, i took that test i took the test. i compared it to my test, and i

took the test, and i did the whole thing, and i compared my test to my test at the doctor's office, and they were identicai. the outcomes were identical, so i don't know - >> it's not clear she is used the technology to get this - >> oh, this is a problem, and this is a problem, and this is a problem. i mean, you try to start a company like that, see what happens. >> people celebrated her - >> it's a difficult thing to do. >> it's a hard thing to do and why she was on the cover the magazines, a young woman trying to change health care and improve it for us, and we were so excited about the story, but turned out there was no there there. >> that is not true. there is a great technology, and it's going to happen i mean, for all of those people who went after her and tried to -- and destroyed theranos, there are ten more entrepreneurs that are all getting funded now that are going to do the same thing, and you're eventually going to change -- we're eventually going to change health care as we know it, and she will have had a huge hand in

making that happen i'm thrilled with what she's done >>ti tim, you were one of an impressive list of high profile investors in theranos with the likes of betsy devos and murdoch to name a few. how do you feel now begin the money you lost and how do you feel about the other fellow investors that never knew elizabeth holmes as well as you did. >> look, when i'm an investor in a startup, i assume that 60% of them are going to go out of business i make my money on a few really extraordinary companies. theranos was one of those extraordinary companies that could have been one of these big huge winners, and that's what i do i back, for every ten companies i back, six of them will eventually go out of business, and four of them are going to rock and roll and maybe one or two become household names, extraordinary companies.

theranos had a great shot, and i backed her, and i feel great about backing her, and i thought it was extraordinarily -- it was a great mission, and she did a great job. >> have you spoken with her recently, tim? >> i now look and say, well, okay, that ended up being in the loser column, whereas other companies that i've backed went into the winner column, and i think most investors who are investing in private companies look at it that way. they say, oh, well, that one didn't work, but this other one did, and i'm making money for my investors overall. i think that is really what it's all about. >> last question on this, do you know what he future plans are? have you been in touch with her lately >> no, you can ask her >> yeah. >> tim, switching focus, a lot

of people come out on our air and talk bitcoin down, three very high profile individuals doing that this week, when you hear the arguments against bitcoin, what's your core response to try to highlight why you really believe it's a winner >> so, first, you got to listen to the source. okay, those are people who have lots of fiat dollars a lot of them have fiat dollars, and they are not really thinking -- they are really happy with their fiat dollars and not thinking, hey, there's a major revolution taking place that is now allowing for a better currency, one that is more secure, that is decentralized, that's more effective, more useful, and it's global, it's open to everyone, it banks the unbanked, and it allows people to send their money to their families in the philippines or mexico without

any big friction it is a far better currency than the fiat currency. i mean, right now, your banks are being attacked all the time. they are -- the hackers are poking holes in your banks and going after your fiat money. and the banks are pounding away trying to keep the hacks away, but they -- they are getting hacked all the time. no one has ever hacked the bitcoin block chain. it's the most secure place to put your money, and so as it stores value, it's a great place to be. it's also, if you're going to go -- if you're in argentina or venezuela or nigeria, you know that your currency is going to fall 30% every year because, i mean, the country just -- those countries tend to implode about every year, and people lose their fortunes well, if part of your fortune is

put into bitcoin, you're not going to lose your fortune, so there's many, many reasons, many, many uses, this is going to be a major change that's why i'm wearing my tie. this is going to be a major change in the future of the world, and it's a major breakthrough, and i can't wait for us to be sort of one world with our currency. as opposed to having it tied to a political influence or another or some government just decides to inflate or decides to -- that they are just going to take a bunch of currency. this is a great opportunity for the people to be able to run their businesses unfettered by political whims. >> tim, we're going to have to leave it there, out of time, but we thank you very much for joining us this afternoon. >> my pleasure thanks >> tim draper there, and i guess another leg of earnings for bitcoin could be merchandising,

selling branded ties >> if the regular stuff does not work out less than 20 minutes into the bell dow's hanging on to a gain of under 200 points today we had strength now for six sessions in a row now. you can see all the major averages up are. russell the smallest, but closer to the all-time high next up, tariffs and trade wars impacting manufacturing companies. first, mike has today's big movers, mike >> as a matter of fact, the largest ipo of the year hit the floor this morning how that went, a very old mena, but a new stock when "closing bell" comes back ♪ there's nothing more important than your health. so if you're on medicare or will be soon, you may want more than parts a and b here's why.

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welcome back, i'm here at post five where the largest ipo of the year hit the floor of the new york stock exchange. now, this is owned by life insurer owned by axa they had to sell the division to complete another merger they are doing. stocked priced at 20, traded lower, and indicated range was 27, but priced at 20, traded down to 19.50, and came back throughout the day you see it here. up a couple percent at 20.47 the industry, really, is a

source of concern about this one. it's not the company, itself people are concerned about the liability stream of life insurers as people live longer and the rest of it, but so far, the deal got done, it was 2.75 billion dollar ipo this morning, guys over here to wilf. >> great stuff, thanks for that. i'm at the alison train trade post with the ceo, congratulations, dave, ceo at the 1st of june, and ringing the closing bell you have a calming influence on the stock, it's exactly flat as we stand here. >> thank you >> let's talk about trade disputes that are ongoing at the moment you make power transmissions for many types of large trucks the auto space seems to be in the eye of the storm of trade disput disputes what's your take on it, and given you make those, what's your take on it? >> fully automatic transmissions for medium to heavy duty vehicles, we deal with trade agreements every day it's a fact of dealing with

global markets all we ask for is a level playing field. like any other risk, we manage with the team, we're happy to compete, but we certainly appreciate a level playing field. >> and so you encouraging the types of tariffs discussed >> we would like to see, frankly, i think, broadly, no tariffs in terms of equalizing in terms of that, we all know the devil's in the details, and the fact is, we peak globally, we have a presence there that we want to continue to support as part of the growth >> truck demand is strong. that continue regardless of trade disputes or oil prices rising a factor you are concerned about? >> we benefit from higher oil prices at this point with the offhighway business, and manufacture transmissions for hydraulic fracks we had a strong '17 as well as '18 and seeing continued growth there. the truck cycle in terms of where that is at is a good point, class h for our business, and medium 6 and 7, and north america is strong, and outside

north america are slightly attractive, double digit growth in two years >> david, leaving it there, thank you very much for joining us enjoy ringing the bell stock is flat as we stand. back to you. >> thank you, guys, 12 minutes until the close, and dow up 200 points today, gains across the board for the major averages up next, a financial adviser says why u.s. uiesave eqti h outflows in the period of a year that's typically strong. that's back in two across web a? do you want $4.95 commissions for stocks, $0.50 options contracts? $1.50 futures contracts? what about a dedicated service team of trading specialists? did you say yes? good, then it's time for power e*trade. the platform, price and service that gives you the edge you need. looks like we have a couple seconds left. let's do some card twirling twirling cards e*trade. the original place to invest online. pthey don't invest inn stalternativesds.

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i know. find your phone easily with the xfinity voice remote. one more way comcast is working to fit into your life, not the other way around. welcome back, art said we had 900 million to sell today, so a big number to the downside, but not affecting indexes right now, dow up over 200 points right now, up 230, i think, at the session highs -- >> 252 >> 252, not quite there, but hanging on to a more than 200-point gain we have michael on set with us, chief investment officer at financial add providvisers a maw next to him, and rick santelli from the cme in chicago. matt, what do you think of the rally? >> it's been a nice rally. you had to ride the momentum momentum got decidedly bearish weeks ago, and that was due to the tech names under a lot of

pressure we had political stuff now that's all changed those all became tail winds, and it's nice. the market yesterday was surprisingly strong as far as volume and breath of the market. that was a good sign for today we see the rally continue, and that's been kind of recuring theme. you know, we have seen this strength over a number of days after earnings and reports >> rick, sum up the take aways now that we had ppi and cpi and inflation data out and commentary from the world. what's your take on it >> a lot of metrics for inflation, whether it's year or year or break evens that are still at elevated levels, so i don't want to dismiss the thought of inflation or the idea that it's going to be creeping higher over the quarters ahead, but the recent data yesterday, the ppi, and especially today's cpi, while they showed inflation is at levels we should pay attention to, it's not at red or even flashing yellow, and,

therefore, it was kind of dismissed from what happened the long end really lost its mojo two year note yields, wilf, basically unchanged, 253, and 30s down five basis points, and now you have historic comps on 10s minus 2s, and 30s minus 5s, flattening at 28 basis points, and august 2007, and maybe the most interesting feature of all today is that we have the biggest auction of 30 year bonds ever they started auctions on them in 2007, a hiatus from 2001-2006 and brought back amidst that, seeing the flattening, this is what i think the feature should be. 3.03, not equal to 3%, we closed there yesterday, but take out the high to insignificant more

selling. traders bump up against 3.03, using it a point to buy, not looking for a lot of out of the trade, back to the mid-2.90s where we did, and quickly, dollar index, 93.12 was the high trade wednesday, and now it's 92.64, still a good level. pay attention to 92.12, which is where we settled in 2017 >> michael, where do you see the best opportunity right now in. >> in addition to the momentum and leadership in the tech space, you can't dismiss the vix had a 12 handle today. what we saw for weakness february, march, and april was force liquidation against systematic strategies that were forced sellers as that rolls off, that's really when you come back to the marginal buyer we're not out of the woods at this time, but talking about breaking down trends to move higher >> you're long >> not broadly diversified port

photoowes, it's not the place to abandon risk assets or ramp up because of the cycle you want to, again, maintain this because it's not the end of the cycle. chl, ank you, all, matt, miaend rick. up next, we'll be back with the closing countdown.

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welcome back, we got three, four minutes left, just pointing out box is up nice 5% at the moment, of course, dropbox reports after the close, and we got an exclusive interview with the ceo coming up. don't miss that. more broadly, quickly at the three indexes, we are looking good into the close, up a percent for most of the sessions, more like three quarters a percent, and s&p near the high, and dow off the high, off the high of the day of 252 on the dow this is the week to date performance rather than daily performance. sectors week to date, a clear story. utilities at the bottom, down almost 4% because of the interest rate sensitivity, and energy at the top, plus 3%, why? look at oil prices weak to date clearly, oil prices rising nicely over the course of the week, but they are slipping today, and, today, inching

higher by.3%, but were lower, better in the start of the week than today, but now switching to look at sectors today, you see it's a slight reversal of the theme that has led the week in that we are seeing telecom, ewe till tills, and interest rate sectors at the top, but because today was resoundingly positive, all sectors are higher, not taking away from the gains seen throughout the week. bob, as we approach the close, key things >> key thing is, we are about to hit a new historic high on the russell 2,000. remember, that's not been impacted by the trade concerns that's the important thing overall breakout in the leadership groups that matter like the semisuggest conductors smattering breakouts in the financial areas, rows of tech area, and i think the key thing here now is we have now broken the down trend decisively. the question is whether we are actually in an up trend, and my opinion, likely trading pattern

is probably trading range sideways because i think we're hitting a seasonally weak area >> you want to see more volume to be confident of the uptrend up nearly 200 points on the dow. ringing the bell, alison transmission, of course, we spoke to ten minutes ago at the nasdaq, biohigh-tech global that's the closing bell. kelly has the second hour. >> thank you, welcome to "closing bell", everyone, i'm kelly evans, dow finishing up 200 points higher today continuing the run from last thursday's lows, up 1200 points since. s&p 500 and dow up 1%, s&p added 25 points, and dow closed 24738, and nasdaq up to 7404. russell trailing with a half percent gain, but at 1603,

closer to reclaiming all-time highs. it's another busy hour for earnings as well julia is standing by with results from news corp., and dropbox, and covering its first earnings release since the ipo and has an exclusive interview with the ceo, drew houston we have nvidia and yelp, and we'll see now wyou in minutes michael santolli, chris johnson, and liz anne is here welcome to everybody in the dow, disney led the way today and nike trailed and over on the s&p, century link was the leader and l brands lagged it was centurylink up 7.5%, and l brands down 7% there was a real feeling today when you had inflation data tame, economic numbers strong, and the hostages came home on the plane last night, greeted by the president, a feel-good atmosphere, but what do you

think is really behind this string of gains back to last week >> i think investors are slowly getting comfortable with the yad that, you know, the general picture of the economy remains in place inflation is not racing ahead of us, and it doesn't seem like there's much in the fundamentals that destabilized. i think that goldilocks feel started with the jobs number and continued from there again, you know, we got comfortable enough with the lower end of the trading we've been in, held enough times that i think you have people just sort of raising exposures, but this was a tidy rally today. by no means, a decisive burst to buy. it's encouraging, but we'll see. there's more to prove. >> liz anne, what stands out to you about the action we have the stock market on the one hand, so up and down this year, but now largely flat, and at the same time, incredibly strong job numbers you have interest rates moving higher, what do you think of it

all? >> well, it's late cycle stuff, and with that comes a pickup in inflation. obviously, today's numbers were benign to the extent you want to find some individual thing to point to for any market days action which i think is a little bit of a silly exercise, you point to that, and, yes, there's concern that maybe goldilocks was leaving the building and some of the latest data that inflation data as well as jobs data suggests maybe she took a step back into the building, and it was interesting through earnings season because in the early few weeks of earnings season, you were seeing reaction by companies that had the most significant beats be weak in relative terms, a sign the market is mindful of peak earnings growth and possibility that we are heading towards an inflection point, and i think that is explaining why the market is fairly choppy. >> and speaking about inflation data, chris, for a moment. you know, the report this morning, consumer price index,

it's watched closely because the ten year is above 3%, trying to figure out whether that's as high as it goes or start of something more goes back to the readings, right? a little bit of a softer one in the last month >> it was. exactly. i mean, you go back to the goldilocks scenario and it's what we look at right now. things are not out of hand i like when you look historically, three to four interest rate hikes are good for the market, and that makes sense because the fed is getting a handle on growth, letting green shoots continue to grow, grow leaves, and that's what we see with the market. i can take the discussion another direction quickly, kelly. last time i was on with you, we talked about the fact that the risk on trade was at risk, and that the russell 2,000 was not leading the market higher. we are seeing the russell 2,000 now lead stocks higher that is extremely encouraging from my perspective with the technicals falling into a positive trend, investors are taking on more risk. a lot of that is from the flow of money coming from the income side of the market, and i think

that is where we are going to see the market settle out as we head into the early summer, see equities continue to see cash flow >> yeah. well, i know it's always tough trying to predict where it's going to go, and that's never been more true than this year i want to see these charts, mike, we have sent him over to get a couple charts to sum up the market >> i think what we look at is the run into last week in the dow. if you remember back to last thursday, we did have a steep selloff in the morning we were under 24,000, 23,580 would be the low, and i think that's right before friday, so let's call that the thursday low. so this is the sort of stair step effect we had in the last week so this is a one week 3.4%, up more than that from the intraday low that's what tell us? honestly, i think the main function of the last three months of chopping around have been to get the valuation excesses rung out a little bit

and sentiment got cool this right hoere was a false scare, and we did get that tight job number friday. again, you are not going to sound clear because we're up 1,000 points in the dow for a week, but i think it shows you that we're okay, and if you look at the broader macro background, you look at the credit spreads, high yields, the junk bond market really remained tame. this is from very low levels, credit spreads, so this is the spread over treasuries that you are getting in the junk bond index, 3.6%, that midpoint, and so here you have january, oh, the vix goes up, stock market is nervous, and this week you want more compensation for the risk, and now we are back down very close to the lows for the cycle for how much you have to pay if you're a high lly leverad company. that's the backbone of the markets right now. >> i like the charts, but you need to be kenny smith, you're inside and can walk up >> i love it >> however they do that specific

effect anyway, great point about the credit spread. liz, any word to that before we move on? >> no, i think it's something that becomes more of a risk down the road what you see in the high yield market is indicative of the spreads and yields not up now to a level where they are going to bite, but as interest rates go up, it's a profit margin storiment therestory me you have labor cost components and you add to it higher interest rates or the capital cost component, i think we may be looking at weakness in profit margins, but that's not an immediate story. that's down the road >> for sure, feeling cost pressures, like you said, we'll see what comes of that stocks finished higher sixth day in the row, discouraging, dan loeb increased short positions that were profitable in the first quarter. this is after the two flag ship funds posted losses last quarter, and cited increasing bond yields to bet against stocks, saying there was an

alternative to equities in the form of riskless two-year money. chris, what do you think about that >> at this point, talk about the shorts on the short side mike talked about the sentiment in the market cooling. we've seen short interest continue to rise telling us that wall of worries are in place right now. this is a market where it's going to be dangerous for the shorts because volatility we've seen take the dow up by 1,000 points in one week is the thing that's the short's biggest enemy, and from the general investor, the buy investor is a great friend, buying confidence and refuels money coming in. i think you'll see a lot of the shorts start to back off of the positions. when i look at the s&p 500, look specifically at the russell 2,000. that's where you are going to start to see margins start to shrink a little bit with interest rates going up. their cost to borrowing is going to get a little bit higher that short interest is historically very high compared to the s&p 500, and even it is

starting to come downright now so i think we're starting to see a lot of that negative side of the market get squeezed out. interest rates are less a concern. it's when we really start to see the curve flip here we're going to see people start to get concerned. >> fair enough we also have earnings starting to cross this afternoon, waiting on dropbox among others. they are out, first report since going public here's the numbers >> kelly, that's right the first quarter as a public company, and the stock is flip-flopping after hours. currently down 2%, however, looks like a beat on the top and bottom line. etf at 6 cents beat. revenue higher than the street expected at 316 partnersh, up 2 over year, 309 million was expected key number that the street was looking for, paying users increased by 500,000 this quarter, bringing the total to 11.5 million that's up from 9.3 million, a

year ago, still, though, this is a small portion of the more than 500,0 million registered users. they did not update the registered users number. average revenue per user beat estimates, 114.30 versus 111.97. checking on the stock, it is now slightly higher, but, remember, that expectations were high going into this quarter. it's first one stock up more than 50% from the ipo price so expectations were high, and this week, alone, the stock is up 9% week to date, so we'll continue to digest this in the release. the ceo drew houston says they are proud of the strong first quarter as a public company but we'll speak to him shortly asking more about the quarter, particularly the move deeper into enterprise and how they are up against the major competitors in the cloud space guys >> thank you very much dropbox hanging on to a gain of under 2%

mike, what do you think? >> trading right in the zone where it hovered most of the six weeks since it's been a public company, so i don't think anything is a surprise basically, you know, whatever guidance they were able to give at the time of the deal is still in place, so no big surprise at the results. questions around dropbox are longer term, you know, in terms of ultimately what the penetration is for paying users and the rest of it, but the fact it's basically holding on to the price levels is a net positive >> chris, first couple reports can be rocky, and the fact, especially, on the money side, average revenue per user, they increased that relative to expectations, probably part of the reason why investors are responding well. >> exactly first blush, this is a good report from box. the one thing i'd expect with the rally we see, see sell the news situation here especially because it is such a new technology company like nvidia, which i'm sure, of course, we'll talk about later nvidia sees the same type of activity that's going to be a buying

opportunity in terms of the intermediate and long term on box. >> chris, what do you do with tech broadly here? you know, we had the high fliers we had, as you said, apple - >> yep >> closer to the $1 trillion mark you had the names of like nvidia on a great run, and you have ones out of the spotlight. where do you think the right place is to be right now >> well, i think technology's going to be one of the sectors we look down the road six mornts from now it's a pickers' market correlation to the nasdaq 100 is on the decline you're going to have to find more nvidias and companies like intel and cisco now pressing on to new highs that is the thing. we're looking more for the quality and fundamentals that -- sorry, the technicals right now in the market have become so much more key because we traded sideways for a while here. mike mentioned it. everybody mentions it. 50-day moving averages are starting to show where the diamonds in that particular

index are. i think, you know, as we see nvidia's numbers coming out, that's one to watch because it's been such a high flier, but, again, longer term, anything on the ai side and intel getting into that, it's a long run up for them >> yeah. that's the buzz word lately. let's get to yelp earnings >> hi, there, kelly, strong numbers from yelp with the top line revenues coming in at $223 million versus estimates of $220 million. eps, yelp reporting a loss of three cents with a prediction of a loss of five cents guidance in line one metric they are looking at is ad revenue making up the biggest share of the total revenue. company saying it increased 20%. still trying to dig into the numbers, but the shares were initially spike iing up to 9% now they are up about 1.5% kelly, on the call, analysts are looking for anymore color on the

company's partnership with grubhub. back to you. >> all right, thank you. chris, before you go, any thoughts on yelp >> oh, actually, you know, yelp, this is one i see a little of slope of hope activity they have been searching for traction in the fundamentals, and what they are trying to do and where the company is going the beat's a good number it will trade higher, but, you know, from a longer term perspective, this is an area where you talk about stock maker's markets, there's better picks out there. >> liz anne, before you go, where do you think earnings growth comes from? you know, the last couple years, we talked so much about how strong tech profits are, what comes next >> so, i think we still have the wind behind energy stocks. in templrms of a year over year change boost, that was the biggest component taking us from double digit growth territory to positive, and then the tax reform piece, you can't extrapolate too far out in the future i think the cap x story is an

important one because you got those on the paying end of the cap x side of the equation as well as on the receiving end of the cap x side, which is to the benefit of the technology companies and to lesser degree some of the industrial companies. i think you have to be careful about extrapolating the tax component of this and also deregulation component of this i think that sits behind some of the numbers more broadly, and i also think as it relates to small caps and earnings, they are more indebted in general and debt levels are rising faster than the larger cap companies so you have to remember the change to the interest expensing within tax reform, not getting the attention as much as corporate tax cuts that has to get incorporated into the numbers in the outquarters as well. >> thank you very much, chris, liz, talking markets and earnings more to come on the earnings front and in general on "closing bell." straight ahead, the ceo of cloud firm, dropbox, has the

company reports for the first time as a public company and the next big attack on facebook do shareholders think mark zuckerberg is a dictator the "closing bell" live from the new york stock exchange with kelly evidenans returns in two minutes. it's what this country is made of. but right now, our bond is fraying. how do we get back to "us"? the y fills the gaps. and bridges our divides. donate to your local y today. because where there's a y, there's an us. so lionel, what does 24/5 mean to you?rade well, it means i can trade after the market closes. it's true. so all... evening long. ooh, so close. yes, but also all... night through its entirety. come on, all...

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welcome back news corp. earnings, earnings right in line with estimates coming in at 6 cents adjusted per share, in line with estimates whereas revenues of 2.09 billion beat estimates of $1.99 billion. a couple highlights here from news corp. the report digital real estate services segment, revenues grew 27%. big driver of that growth there, and digital revenues now represent 29% of news and information services segment revenues, up 24% from the year ago period a note interesting to our viewers, "wall street journal" subscribers 1.5 million up from

1 partnersh 1.2 million in the prior year. >> good numbers, of course, you know, my daily rroutine, if news corp., financial pressure on the company, you know, realtor.com -- >> you're afraid they will not keep printing? i think they are okay for a while. >> i hope so >> subsidized digitally. >> that's fine, and realtor.com is great too we are joined by the ceo of dropbox after the first earnings report as a publicly traded company, drew houston. >> reporter: kelly, that's right. we got drew houston off the heels of the first quarter of a public company, and i was asking you how closely are you watching the stock picks? >> every now and then. >> okay, break down the earnings a key number analysts looked for were paid users. increased 500,000, still a small sp percentage what do you see the number going

forward? >> a strong first quarter as a public company so revenues up 28%, and as you mentioned, we increase number of subscribers so going from 11 to 11.5 million, and those subscribers pay more and more increasing average revenue. >> happy with the trajectory >> for sure. >> up 3.9 million from a year ago. >> a year ago. >> okay. let me talk to you about dropbox's move into enterprise big competitors in the space you guys are signing up more and more partners, box, amazon, google, microsoft, what's the strategy there how come you did not announce anything is it an uphill battle taking customers away or find new ones >> we look at the number of paid deployments we have, number of teams and organizations using dropbox, and it's a really healthy number, and that scale starts with our 500 million registered users and people bring dropbox into millions of companies and over 300,000 are now paying business subscribers,

and so it's -- we're applying the consumer internet playbook to business software driving scale in a really efficient bay as we say we have 500 million sales people >> that's great. i think you guys are a well-known consumer brand and players like microsoft with huge enterprise sales teams how do you compete is there a strategy? are you increasing the team? >> starts with building a product people love to use, and often and more and more we find that both our -- some of the larger competitors have become partners, and so we partner with microsoft for a few years now and signed a partnership with google, and we sign ed a partnership with sales force, and a lot of the competitors are partners because their customers have their information in dropbox, organize it in dropbox, and want that to be a good experience so that's tieing all the cloud ecosystems together is a job we do better than anyone else >> not a winner take all field there's room >> it's not a zero sum game, that's right >> now, you're going to

introduce to wall street analysts, a quarter under the belt, they are kind, eight buy ratings, but talk about the one sell rating from instanet. i know you don't want me to point it out, but low convers n conversion, penetration rates, lack of enterprise sales force are you looking at what analysts say and improving the areas they think need to be improved? >> we certainly pay attention to analysts, and they actually give you a good lens on your business they help you look at the business from another perspective, and we also see them as opportunities, right the fact there's 11.5 million subscribers, that's a big number, particularly by our standards, but we have hundreds of millions of monetized users, people who look like subscribers, so we have a lot more potential subscribers we're not retuunning out of peoe who need dropbox >> average per user was higher >> steadily increasing that's been driven by a shift from people moving from the individual subscription to a

business subscription, using business for dropbox, and over the last year or so, we introduced higher tier plans, and so a lot of the new features like smart sync and dropbox showcase are in the highest tier plans or business version of dropbox, and there's increased adoption of that >> okay. you can get to the call. we'll be there you'll give guidance, right? >> that's right. >> looking forward to that kelly, back over to you in new york >> all right, we'll stay tuned speaking with drew houston, ceo of dropbox thank you, both, very much a news alert on nvidia earnings crossed, josh >> kelly, nvidia reporting eps of $2.05, expectations were $1.47. revenue up 66% at 3.21 billion beats on the bottom and top. the divisions gaming, kelly, up 68% to 1.72 billion. data center up 71% to 701

million, and streaming ahead of q2 guide year, plus or minus 2%, looking for close to 2.9 billion, and keep in mind, of course, the stock heading into the print up 30% year to date, up more than 15% month to date, and conference call at 5:00 p.m. eastern, and we'll be on it, kelly, back to you >> thank you, josh 1.5% gain for nvidia shares, mike, what do you think? >> got to watch if the stock stays in this range, showing you just how expectations were well ahead of the published numbers because they just blew it out across the board >> yeah. >> interesting you might have got a sell on the news if they had just came anywhere near the numbers. the guide, too, shows flat essentially, but that was the expectation, too, at a higher level of revenue >> incredible execution for nvidia >> a cult stock, incredible. >> this is not hype. >> gaming, bitcoin, every buzz word, $150 billion >> wow >> out of nowhere. >> wow $150 billion

that's market cap of nvidia now, inching higher after hours meantime, macy's is one of the worst performers in the s&p, and that was true today after morgan stanley downgraded the stock to sell. coming up, fast money traders say whether they are going bargain shopping, but, first, a large facebook investor says mark zukerberg is running the company like a dictatorship and why he was too much control when we come back

news on mgm, higher after

hours. we have the news >> mgm resorts announced a $2 billion buyback, and the ceo said the latest share with purchase authorization reflects the company's financial strength and continued commitment to return capital to the shareholders keep in mind, shares higher, slightly, giving back some of the gains now here in extended trade, but lost 10% in april due to analyst concern due to weakness in the domestic gaming market back to you. >> thank you another shrug to a buyback >> more than 10% of market value. >> same with qualcom >> over in a couple years, taken for granted. >> taking it in stride shares unchanged here's a look how we finished the day on wall street dow up 200 points on the bell there, 197, and s&p gained 25, and the nasdaq up 65, and the russell up 7 we had strength across the board. time for a cnbc news update, sue? >> hello, kelly, and hello, everyone this is what's happening at this

time the pentagon blaming multiple failures for the niger ambush billing four u.s. service members last october citing insufficient training and preparation. in a news conference, general thomas taking full responsibility for what happened >> the investigation discovered, the process for staffing teams at home station did not align with the predeployment training programs the investigation also discovered the integration and training with department forces in niger inadequate. fiat-chrysler recalled 325,000 jeep suvs in north america to fix suspension that limits a driver's control of the vehicle. the recall covers liberty suvs from the years 2004-2007 model years. illinois lawmakers welcoming sister jean, the woman who

inspired loyalo's men's basketball team. she delivered the opening prayer before meeting with illinois's governor you're up to date. that's the news update, kelly, back to you. >> love that sue, thank you very much >> you got it. >> sue herera in headquarters. in an op-ed piece in the financial times, called facebook, quote, akin to a dictatorship, referring to zuckerberg's control of the company. joining us is the chief investment officer over there and deleted his facebook account after the cambridge analytical privacy scandals have you rejoined yet? welcome. >> welcome no, i have not i don't plan on joining facebook for a long time. >> okay. let's talk about the issues around corporate governance, so, is it the position that anybody, the founder or executive has total control could potentially see you guys pull out investment >> well, i think, like you said,

total control. there's something wrong. we live in a democracy capital markets are a democracy. when facebook changed its structure to take public money in, they should be a more open board structure. we think there's a problem with having one person in charge of the company. we said in the op-ed piece there's research showing that dual-class structure that's technical, but that dual-class structure over time is actually defeating the stock and reduces its value. >> how broadly do you apply this alphabet is an exception, the stock doing phenomenally well for a decade what do you get at saying all companies should be like democracies? >> you know, it's a case of

where in capital markets, if you want to use other people's money, they need to have a chance to have say in how the business is run by electing a board of directors, holing management accountable, and one individual person can't make all the right decisions, and we've seen some cracks in facebook's management, especially this year you mentioned alphabet you know, we're not far here in sacramento from silicon valley, and we've seen this growing trend where they bring a company public, they want to retain control because they think they know what's best that's fine as a private company and when you start to roll out as an ipo, but when you're a large public company in the usa, we think it should be one share and one vote so that we have an equal say with management in how they operate the company >> chris, two mike's appointment, how far are you willing to take this obviously, if you hold companies to the standard or withdraw funds, that's an issue where you have the fiduciary

responsibility to be responsible but pulling out major investments that could hurt returns. >> well, kelly, that is where i make the point we're not pulling out. we're in it for the long haul. as long as there's public schoolteachers in the state of california, we'll own his stock, so we're in it for the long haul that's why we are not giving up. we've been in corporate governance for 30 years and will be at it for the next 30 it's an ongoing dialogue, but that's why something like dual class shares is something we want to stop dead in its tracks now to try to get silicon valley to wake up and realize we want to see more democracy in the companies and more of an accountability in management they are going to make mistakes, and management has to be accountable. >> you're telling them it's your way or the highway okay >> it's a long discussion. you know. >> all right >> you know, mark still has control of the company he owns the majority of the positions, so i don't know what he's afraid about. there's no corporate raider coming in to impact him.

he needs to be open to other people's dialogues and people's thoughts >> no, look, again, a lot of media companies -- there's a lot of founder control, so, chris, thank you for joining us explaining your position there >> you bet, kelly, good to see you. >> chris ailman. earnings alert, stocks moving lower. >> better than expected enings and profit, revenue a beat at $1.23 billion, but it is guiding for lower profit in sales in the current year, also, the company disclosed an internal investigation in connection with concerns raised by a former employee the audit committee has commenced an internal investigation in connection, again, with concerns raised by a former employee. the company goes on to say that the company's financial results and guidance may be subject to change based on the outcome of the investigation. it is unlikely the investigation will be completed in the time for the company to file its

annual report on form 10k for the fiscal year ending march 30th, but shares are down more than 12%, kelly. >> big headache for them, sounds like, interesting news on symantec front shares down 12% after all disclosures. we'll see if we get more information about it macy's up 16% this year, but hit hard today fa meyston traders next tell us whether they buy the retailer on this dip that's the beat of global markets, the rhythm of the world. but to us, it's the pace of tomorrow. with ingenuity, technologies, and markets expertise we create the possible. and when you do that, you don't chase the pace of tomorrow. you set it. nasdaq. rewrite tomorrow.

historic moment, the president welcoming home three americans that have been held in north korea. >> it was a very important thing to all of us to be able to get these three great people out >> troubles for ford, auto maker pulling plug on production of its most profitable model, and the top selling vehicle in this country, the f-150 pickup. >> ntsb opened investigation of tesla. >> apple, another all-time high in the session, inching closer to the $1 trillion market cap. >> dow working on the sixth straight day of gains. at the highs right now, 1% for the dow jones industrial average.

>> there is good as a broad based rally today as we've seen in weeks 200 points higher, continuing the run from last thursday's lows, up 1200 points since then shares of may cy's dropped on expectations they will report lower than expected earnings for the fiscal year. despite the move lower, they are up 17% this year should investors buy the dip joining me now are the "fast money" traders, welcome, guys. >> hey >> karen, you on macy's, people play this when it goes too far one way, but what do you think of the stock right now >> you know, i'm, unfortunately in the it's okay there's a lot to not hate, paying down debt that's good. sort of stabilized the decline, so that's good, and there's a lot to not really love, which is, you don't love a store base that's declining, revenues that are declining, and valuation

that's fine, it's fine, but there's depth there. i feel like it's not that exciting either way. wouldn't be long or short, plus and minus in both column i see what the analysts are saying here. other things that are better looking. >> stiff arm it. steve cle steer clear. >> exactly >> much less a heisman on this stock than six months ago. there was a balance sheet question, which is absurd. what did you do with a stock that's going sideways on top line and same store sales? doing a good job getting inventory in line, digital initiatives that are interesting on the stock sentiment is too low at two and a half times, it's not cheap i nibble here -- >> you buy it? >> at $28, it's interesting, close to that today, and you wait for a second, but not bad >> one last thing to add, i wouldn't buy it for the dividend so many times we see the stock that moves way more than what

the dividend is worth in one day. >> in an hour. >> that's a good point wipe out the whole thing >> exactly >> in a couple minute's time karen, tim, thank you both >> thank you >> bye >> karen and tim, catch all the "fast money" action at 5:00 p.m. eastern time now, a spirited defense. >> there is a great technology, and it's going to happen i mean, for all of those people who -- >> that's what venture investor tim draper just said about the medical tech cpa, omnytheranos up next, more of the controversy comments when we come right back

tim draper joined us on the show and vigorously defended theranos >> i feel that we have taken down another great icon. this woman - >> icon of what? >> came to me at 19 years old, and she said, i'm going to transform health care as we know it, and she got bullied into submission, and i think this has been a real -- this is what -- >> tim - >> this is not what america's made of. america's made of greatness and people who do extraordinary things right? and look what she did. she created an amazing opportunity. >> it's worthless. amazing opportunity that's - >> it is now, but you can't -- >> to claimed invent something that didn't exist. >> it's worthless because this writer was like a badger going after her, like, a hyena going

after her, and then it became a bigger and bigger thing, theranos had a great shot and i backed her, and i feel great about backing her, and i thought it was extraordinarily -- it was a great mission, and she did a great job. >> have you spoken with her recently, tim? >> i now look and say, well, okay, that ended up being in the loser column >> that was tim draper, early investor in theranos, at one point with a $10 billion valuation, and has completely collapsed, sec investigated it as massive fraud, and there's a book coming out -- by the way, the fact he did to the win a pulitzer for the work he did >> surprising, actually. >> until the articles were published, people thought this was finger prick technology -- >> the entire mythology -- tim clinging to the sort of legend that we thought was in place

before >> right >> and i think it's a point, by the way, amazing job holing him to that, but, you know, i think just if you didn't know anything about about the story, you think there's a matter of opinion about this >> right >> that you can debate this. >> it's comprehensively exposed as there was not technology there that was of any great value. >> and it's not to say that when you are a venture capitalist picking 100 companies that 99 might not work out, but in this case, she's been barred now from the industry for a period years while this continues to be worked out, and, of course, people love the idea, of course we love the idea your blood tested with a finger prick >> the concept will live on. >> the concept lives on, but theranos - >> you're right. he wanted to hide behind the venture capitalist, well, you know, you only really score on a minority of the shots. >> again, it lost not just him, but many investors, hundreds of millions of dollars. there's much more coming out in

john's book on this as well. earnings alert on redfin >> kelly, redfin earnings in line with estimates, a loss of 44 cents revenue was a beat, but just looking at gross margins, real estate gross margin was 9% compared to 12% in the first quarter of 2017, perhaps a concern there why the stock is lower by more than 4% in extended trade kelly? >> all right that's a blow for redfin heard from zillow, that, again, concerned -- this whole -- realtor.com seems to be firing on all cylinders for news corp. today. >> obviously, it's a hot area without enough inventory to kind of turn around for everyone to feed on seems like >> true. redfin shares down 4.5% after that rolls royce new model sets you back, the latest in luxury next, and up next, there's a technician saying history

suggests it'll be a big catalyst for crypto as investment management professionals, let's measure up. cfa institute. let's always put investors' needs above our own. as investment management professionals, let's measure up. cfa institute.

welcome back rolls-royce unveiling its latest model and comes with a hefty price tag, no surprise this is still -- this is a record one, i think. robert frank is here with the details. >> it is a record one, kelly it is either a sign of peak suv or the ever increasing wealth of the wealthy. rolls-royce unveiling the culinin. the most expensive suv on the market with a starting price of $320,000 it promises the soothing quiet ride of a rolls with its famous magic carpet ride feel, but with

all wheel drive and off road tour to blast through sand dunes, snowy mountains and occasional speed shopping trip down rodeo drive weighs in at a massive 5800 pounds, 6 feet high, 6.75 liter twin turbo v 12 and rolls-roy rolls-royce's famous grill. it has night vision and special nighttime wildlife setting, i guess for safaris. has a rear seat the size of a sofa, 21 cubic square feet of cargo space. the best part, my favorite part, an option for table and chairs that pop up from the cargo space and rest on the tailgate rolls calls this the best seat in the house now -- >> this part of the lifestyle our customers are in this is quite acasual car. so it is not only for watching a polo game or watching horse races. it might also be that you are going to watch your kids playing soccer or whatever and this is the best seat in the house

>> perfect soccer mom car. this is the fifth model in the rolls lineup, they got the phantom, the ghost and the dawn. last year they sold around 3300 cars they said this year will be stronger because of the new phantom. this could open up a lot of new markets for them some countries, the roads aren't that great or have a lot of snow, so this could give them a lot of new rolls-royce buyers. we'll see how many there are for $400,000 back to you. >> that's what we're curious about. stay with us we're bringing in carl brower from the kelly blue book and auto trader. how many do you think they're going to sell? >> i think this will be quickly their high volume seller they'll sell more of these than they sell anything else in the line this is the same pattern we have seen with every other premium brand that has gone into the suv vertical that becomes their primary seller >> mike, i mean, i like the idea, the pop-up seats in the back, i hope everybody adopts

that but how much tailgating are rolls-royce drivers -- >> i love the comment that, you know, it is for casual use too, not just watching a polo match or horse race, as if those are formal work exercises or something like that. >> robert what do you think the numbers will look like in the u.s. for rolls-royce are we talking in the hundreds, thousands? >> i think they sell around 3300 cars, i think next year this could be about half of their production so i think next year they'll be selling around 1500 of these for the year i was skeptical when lamborghini came out with an suv when h maserati came out with an suv. >> the car, it is over >> yeah, it is over, but, but, you know, the fact is lamborghini has already sold out of the its suv at $225,000 even though i was skeptical there would be enough people wanting to pay that much for an

suv, the demand seems to be there and the question will be where is the top and, you know, the bentley, so far there just seems to be insatiable demand, no matter how expensive, now matter how big and no matter from what producer. >> is the only thing that can stop this trend higher gas we're talking much higher gasoline prices or even -- listen, i get it, people say you can fit more car seats in the back it is easier for people when they're older to get in and out of the car is there any reason people will buy sedans again >> everyone thinks when gas prices go up, everyone will run back to sedans and away from suvs that's true ten plus years ago, there was a big difference between sedan and suv fuel efficiency there isn't now. there is still a difference, but much smaller because the efficiency that is in -- even the suv engines now. more aerodynamic, ride better, get better fuel efficiency there is a downside to an suv. >> robert, last thing on this, if everyone is now driving an suv, maybe it can't be a luxury status symbol.

they have to come up with something else, right? >> that's exactly the point, which is why rolls-royce calls this a high sided vehicle, not an suv ferrari calls theirs a ferrari utility vehicle. everyone is trying to make an suv and not call it an suv because they want to remain exclusive. that's the challenge. >> got it. got it robert frank, carl brower, thank you both appreciate it. another rally on wall street we're going to recap the big headlines and after hours vemors right after this quick break stay with us

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here's a check on your after hours movers, invidia giving back early gains when their outlook failed to live up to investor hopes, 2% drop box volatile after better than expected earnings in the first quarter as a public company. down 1% now. mgm resorts lower despite announcing a $2 billion stock buyback, amounts to a good portion of the market cap. >> the invidia move is interesting. we were talking about it across the board, stellar numbers and the stock got there first, a microcosm of what is going on in the market here. i was looking at the semiconductor etf, looks like

down less than 1% at this hour. >> i didn't know rolls-royce was owned by bmw if they're making 33 -- if that price -- yeah, that's -- >> you know, you have to have something at the top of the pyramid if you're a brand. >> bmw has sold a lot of cars, but they made the pivot too. thank you very much. that does it for "closing bell," everybody. "fast money" starts now. >> live from the nasdaq market oversite overlooking times square tonight on "fast," bitcoin can't seem to crack the $10,000 level, dropping back toward 9,000 bucks today. a top technician says history is any indication, something happening next week could have the cryptocurrency soaring robert sluyner will be here. conference call kicking off right now, we'll bring you all the details. first, we start off with the market rally that's right