well timed. the stock's up 70% in the last year. >> you like to be the endless that has the calls before hand -- >> exactly. we may get that tomorrow. >> which everyone else will probably have to do. thank you for tuning in. "fast money" begins right now. "fast money" starts right now. live from the nasdaq marketside overlooking times square. the traders on the desk of dan nathan, guy adami. don't sweat the stress test. the big things in the green after passing with flying colors but the real hurdle for the stock is just around the corner. we'll explain. should shareholders be worried. we've got the details. we start off with summertime sadness on the first official day of the season, the dow locking in its eighth day of losses dropping now 200 points. when it the selling start? when the fed raised rates last week so we've heard the story

before, here's what's different about today. we closed on the lows. the market leaders, big tech sold off. it's the longest losing streak for the dow in more than a year. is it different this time and when should investors start to worry, guy >> it doesn't feel different to me. i hate using that term, but i think everything dan and brian have been worried about are starting to come home to roost now. by the way, i think they're doing everything right. they should hike another couple times this year and at least three times next year if not four. they shouldn't be concerned about the market. the language they used on wednesday and we talked about it last wednesday night was such -- maybe that fed put doesn't exist any more. couple that with the emerging market weakness that's been around for the last month and a half, the banks can't get out of their own way. i'm one of those people that comes on bullish bank. the xlf has potentially a major double top and you have a witch's brew of a market that

may be has another 50 to 75 points to the downside. >> to me what was different was the names that people were buying for growth, let's call them the small caps, russell, tech your faang stocks that are going to work whether we have a trade war or not. they were weak. wilbur ross was on the air this morning. he talked about these trade war tactics as being negotiating tactics. they want to make it more painful for our trading partners so they'll change their mind. that's not exactly a great scenario for the global economy. there are quite a few items today that i think if you're a market participant, you have to say, you know what let's be cautious at these stages. >> it's one things for company to say they're feeling the pressure, but when you have a company actually say the exact impact that's when it really starts getting quantifiable. hey, this is really something that's hitting them. >> i looked at it as something very specific to them as some

sort of, you know, general kind of catch all that they could use because they in particular are -- i don't know how they would be able to gauge so quickly exactly what the impact would be and then to forecast out when we really don't know how it's all going to shake out. to me -- >> it's like weather. >> don't you think it's important that this is a good warning for us. it's obviously in europe. as we get into q2 earning season, it's an easy one that we'll see not a lot of visibility in the second half of the year. if stocks in the u.s. are trading right now we have the nasdaq up 11%, there's no cause for alarm in u.s. equities. there are no major -- there are no major equity indices that are up on the year we know the shanghai is down about 13%. the indices in europe are down for the year. we could just be an adjustment

phase here. we have a lot of strategies. they say what does it mean when it inverts, almost always it means that the next year or so we'll have a recession. obviously the yield curb is the flattest it's been at 35 basis points and the issue you have is we have a hawkish fed of the if the global growth story peters out, we'll have an inverted yield curb very soon and that could be the thing that causes equity weakness. it doesn't mean a recessions going to happen next month or three months from now but that could be the thing that spookz people. it's really important to keep a very close eye on that especially when you have the dollar rallying the way it is and we have this talk about trade war. >> going back to the original question, do you think -- >> i don't think it's different. we've been in this trade war back and forth for quite a while. i don't think it's all for naut. i see it slowly coming around to that. i would do quite a bit differently than the administration -- i get what

they're trying to do. we don't really have a catalyst at the moment. we'll get one soon when we start to see earnings in early july and so, you know, the market's back and forth a little. i don't think -- i'm not overly concerned. the china thing i think is somewhat of a concern, but i think it's so tied to this trade war which is not even close to being over yet. >> if we do see a bunch of q3 guidance that looks like what we saw from daimler that could take air out of our stock market. >> i think we may see some strength, though. we could see a very good q2 and a lot of companies i think they'll be looking at the back of the year with optimism, not concern. >> dan and karen went at it a little bit last night. dan cut karen off a number of times which is not unusual. google had a big run-up yesterday but closed on the low. dan said aren't you concerned the way google closed. sometimes things people say on

this desk create interest. dan brings up a good point because google topped out in december at the same level that it topped out yesterday. if you look at google and say, maybe putting in a double top there. tesla's another stock that had that huge run-up. xlf is something that b.k. has mentioned. a major double top from ten years ago. you say to yourself that maybe these stocks all ran up, touched those levels and are backing up. the s&p traded up to levels we topped out in march and that seems to be backing off. is it different in terms of the rhetoric no. is it different in terms of how the stocks are trading maybe yes. >> that's what was different for today of the it's the behavior of investors today that changed. people had been buying the growth differential between the u.s. and everywhere else and today that story appeared to fall apart. >> it's interesting because q1 in terms of earning wasn't a huge catalyst for stocks.

>> q1 wasn't great, yep. >> everybody thought earnings are going to be great and fantastic. what happened? they're good but stocks didn't react. >> it was a little bit of a lull in the economy. >> that's true. >> so i think we're not seeing that for this quarter. to date i don't feel like today's was dramatically different. there was no panic in the vix. it moved a little. i mean, not a lot. we'll see. i think we'll get to banks later -- >> the dollar being as weak as it was in q1 was a huge benefit. it gave companies a lot of visibility. dollars much higher here. i think to boo-boo this into q2 earnings. it's gone. as far as i'm concerned, you think melissa's point is a good one, that we ran in late december into early january into q4 earnings and the guidance that they gave for the q1 guidance didn't matter because it was -- >> i don't see it on a huge high

right before earnings. >> really? we're up from 2,600 in the last month and a half. >> if you look for this last six months -- >> i don't think there's anyone on this desk saying the market's going to fall out of bed. the s&p 500 n particular, is very much in the range. the nasdaq made a new high and the russell made a new high. if anything there's probably more room to the downside. the s&p 500 is likely to trade between 26,002,850 for, like, the balance of the year. i would be shocked to see -- we would have to see so many things that are -- >> i agree with that. >> so many things -- >> that doesn't shock me at all. >> maybe it's a traders market. guy said buy tesla two months ago. there's plenty of opportunities to trade stocks. your google, it was down 1,000 two months ago. it went up 1,200. this is the stuff we're talking about here. there's a lot of trading -- >> at what point do we think that an eight day losing streak becomes something bigger you're the one who said -- you

said you felt like things are different. >> i hate to be that person. >> we're going down. >> it feels different to me. dan brought up the yield curb. 35 basis points is drastic. it's moved in such a way -- the speed in which its gotten here is startling to me. i don't think dan was saying this, but i don't think a recession causes the stock market to go lower. the stock market going lower can cause a recession. i know that might sound somewhat counterintuitive. if the 70% of the economy is driven by the consumer and it's an overlay of the stock market. stock market feels good and feels great they spend money. if the stock market starts to back off, people don't feel as strong about things, our economy gets weaker and then it feeds on itself. tech failing to buck the selling trend today. is there more pain ahead our next guest thinks so. he's over at the plasma to make

his case. what are you looking at? >> thanks for having me. it's great to be back. i want to talk a little bit about tech. we've been positive on tech for some time. what we're starting to worry. everything is coming up roses. what we're concerned about, really, that's causing a concern, it's actually causing a paranoia and perhaps it's just our catholic guilt but at the end of the day you're seeing preannouncements to the positive sides, analyst upgrades and every time we talk to clients, to analysts, to corporations, it's tech, tech, tech. when you have that type of positive sentiment, when you have that type of positive news, a lot of the good news is priced in and that's a concern to us. let's just check off a couple things. like tech bullish sentiment perhaps too high but now more importantly, what we're seeing is passive flows. passive flows are the marginal driver and passive flows are uninformed information flows. passive doesn't care about risk/reward, passive doesn't care about fundamentals. what passive is trying to do is

try to get exposure. it buys what works and what's working is technology and that's fine for now, but longer term we're concerned. when we take a step back, what we're worried about is good becomes great and great becomes bad. the last thing we want to talk about is momentum. and if you look at momentum, chart looks good. however, even momentum ultimately has some sort of reversion to the meaning. chart doesn't always look good. at the end of the day, we're worried about good becoming great, great becoming bad we're not ready to pivot because we still like the valuation and the fundamentals and passive is a tailwind but now we're starting to think about it and now we're getting worried because everyone is bullish on the space. >> chris comes over right. >> thanks for having me back. >> we shouldn't have him back over here. >> he should get thrown off the

building for that line. >> michelle will bring the chair in. >> thank you, michelle. >> you're not ready -- you don't really sound highly convicted in this call to get out of technology. you're saying sort of like, watch it because it might turn from great to bad but how do you know because that is your job to tell us. >> it is our job. what we're saying is we're getting ready to get ready we're starting to see the good news. at some point we're going to pivot. we're telling clients get ready, look to turn, but not yet. what we want to see is, we want to see the euphoria fill in. we're starting to see that. we're starting to see value players capitulate. start to chase mow mun item and technology. we're waiting for more upside. when we see that upside that's when everything is positive, that's when we're going to make that turn. >> let me ask you, when you say get ready to get out of tech what does that mean? lighten?

get out completely >> we always go in a step-wise fashion. the first step is to bring it back down to a market weight. then we'll look for a catalyst to go under weight. we see a lost low vol at this time, whether it's farmer, we're seeing a lot of these names fall out of bed. there's opportunity building up but we don't have the catalyst to shift to that risk aversion we're looking for it and we think that ufor i can't is that catalyst. what we're worried about is good becoming great because when it becomes great that's when it becomes bad. >> as you go from overweight to market weight on technology, what do you cycle into then? >> it's the banks. we've heard a lot of talks about bank. incredible capital giveback stories. it worked with mike mayo. the sentiment around banks not that great. valuation rather attractive and we seek from a risk point of view it's actually rather attractive as well.

>> chris, thank you. >> thank you. >> chris harvey. would you rather >> i like this game. >> let's play the game. >> banks or tech. >> he's saying go from overweight to market weight on tech and cycle in financials. >> i like chris harvey. >> it doesn't mean that you'll buy what he's selling. >> banks have gone sideways -- i'm one of these people that come on and said banks make sense on valuation but they haven't performed. given the game would you rather i'll stay with tech for now. >> i'm actually -- i'm overweight tech right now -- i'm more in tech than i am in banks, however, i'm going to get ready to do something, yes. i have to wait a little. i got some tax thing. i like the banks. clearly they haven't performed at all. today's thing was not news at all. next week we'll see what they can do. the valuations are really attractive here.

i don't know when they'll start to find favor, but they will. they will. these valuations i think -- if the market doesn't fall apart. coming up, a sudden departure for the ceo of intel shocking the tech world. we'll give you the latest details and tell you what it means for the stock. bitcoin is stuck in crypto purgatory. speaking of being hot, chipotle stock is on fire. we're putting them to the ultimate "fast money" taste test right ren t.he ose let's get started. show of hands. who wants customizable options chains? ones that make it fast and easy to analyze and take action?

how about some of the lowest options fees? are you raising your hand? good then it's time for power e*trade the platform, price and service that gives you the edge you need. alright one quick game of rock, paper, scissors. 1, 2, 3, go. e*trade. the original place to invest online. anyone can get you ready, holiday inn express gets you the readiest. because ready gives a pep talk. showtime! but the readiest gives a pep rally. i cleared my inbox! holiday inn express, be the readiest. holiday inn express, with the lexus is.e thrill of the moment lease the 2018 is 300 and is 300 awd for these terms. experience amazing at your lexus dealer. captured lightning in a bottle. over 260 years later as the nation's leader in energy storage we're ensuring americans have the energy they need,

whenever they need it nextera energy.

welcome back to "fast money." a shocking development in the tech world. the ceo resigns from the company. let's get to josh lipton at intel headquarters for the details. josh >> reporter: a shock is right, both for intel and silicon valley. intel removing ceo brian saying he had a consensual relationship with an employee. that violates company policy which says managers can't have relationships with people who report to them either directly or indirectly. it's unclear with whom he had this relationship but it ended

some time back sources telling cnbc. the company only recently apparently learned of all this which at this point it launched an investigation and took action in a filing intel is saying, he is entitled to a $38 million walk away payment in the event of a voluntary termination. a spokesperson didn't immediately respond or comment about whether he's going to receive that payment. we know an intel veteran. joined the company way back in 1982. became ceo where he broadened the chip maker's reach. analysts say he does deserve credit for a stock price that jumped about 120% under his watch. cfo bob swan has been appointed interim ceo. company also raising q2 guidance. patrick moorehead of moore incites says one potential candidate we should watch is

intel's chief engineering officer. intel saying the board is now conducting this search and will interview both internal and external candidates. back to you. >> thank you. the stock is up a whopping 120% since he took over in may of 2013. now that he's out, should intel shareholders be worried? this is a guy trying to transform intel in terms of what chips they sell. they bought mobile i a year or so ago. >> they made a lot of acquisitions over the last three years. they're not starting -- listen, some of the segments they're starting to see growths and that was one of the reasons the stock was trading at ten year highs. the stock traded reasonably well considering. whatever corporate action you were hoping they may make in the second half they're not going to be making it. they may take some time to make sure they find the right person to be the ceo. this goes back to the earnings too. here's a story where earnings

are expected to grow 15% this year. sales high single digits. they're supposed to meaningfully decelerate next year. you start thinking about some of the cycles they've been in data center, some of the stuff they're trying to do, a.i. related, maybe it is just dead money for a while. maybe you got that move from the mid-30s to the mid-50s and now you need to digest a little bit. >> for me, listen, he was a great ceo but he's not a howard schultz or elon musk. he's not something central to the company. that's not to take away from what he's done. i think this is less about the ceo and more about the outlook for the industry. >> you're a shareholder? >> i'm a shareholder. it's a little disappointing. i think it traded pretty well considering the news and i agree he's also not the howard schultz/elon musk ceo. i think a company like intel with their resources can pay to find somebody really great. they will. i don't know how long it'll

take, though. >> it has been a ridiculous -- last summer it was $35 and now it's 58. at what point, though, you're starting to see analysts that maybe -- amd is making up ground. they downgraded intel. great call by dan nathan saying, you've enjoyed -- he looked at me and said you've enjoyed this run in amd. the stock was trading north of 16.5. look at what it did today. maybe all these chip names got ahead of their skis. i don't think it's necessarily all that -- it's good but i don't think it's devastating by any means. coming up, the financials are inching towards correction territory and they could face an even bigger hurdle next week. we will explain. ♪

announcer: bitcoin says there's bubbles brewing in parts of the crypto market. and he'll tell us what that is. plus, as burrito giant chipotle introduced new items, it faces its toughest test, guy adami and that's when "fast money" returns.

welcome to holiday inn! thank you! ♪ ♪ wait, i have something for you! every stay is a special stay at holiday inn. save up to 15% when you book early at hollidayinn.com

welcome back to "fast money." we've got a news alert. the federal reserve releasing the first part of its annual stress test. hi, will. >> reporter: the fed says the largest bank holding companies are strongly capitalized and that the 35 largest u.s. banks have enough capital to withstand a severe shock. the fed vice chair for supervision added that capital levels under the severely adverse are actually higher than the actual capital levels of large banks in the years leading

up to the most recent recession. the cte one ratio falls from 12.3% to 7.9% under that severely adverse scenario. that's despite the test getting harder this year from last year. under that scenario it assumes gdp falls 7.5%, unemployment increases to 10%, equities fall 65%. here the individual results. they all look fairly comfortable. the supplementary leverage ratio which is the leverage sees all the banks above their respective minimums. goldman sachs fairly low but still above the 3% level needed for next week's test. next week will get an outright pass or fail and we'll learn of the capital return plans for each of the banks. that's pretty much the headlines, melissa. >> thank you. i turned to karen because

this is sort of perfunctory in some ways. next week is the big show and what are you looking for here. >> i'm looking for -- citibank is the most upside. i think that's the most leverage to having, you know, a balance sheet that can do something with. so that's my biggest position, but i think all of them would be in good shape. i know that everyone knows that already and that people are expecting to see buybacks, however the stocks have not run up into this at all. so i like them all right here. i got to say, kudos to deutsch bank. gee had been so on it at least a year. >> that's the blind squirrel thing. you just pick a bank out of the hat and hope it works. >> i think maybe one of the reasons the u.s. banks are trading as poorly as they are, maybe there is some systematic risk with deutsch bank.

maybe if it was a u.s. bank we would talk about it every night. there's something very wrong there and i got to believe at a certain point it effects other banks and maybe that's why u.s. bank hasn't rallied. >> in terms of c card next week -- karen made the point that the banks are not running up into this. >> the fact that they back horrible into it -- >> you don't think there's a catalyst either? >> no. you could get a sell the news when it finally happens. >> the selloff would be the leaker potentially. >> if you're waiting for companies like goldman sachs that are down 20% from their all-time highs to reinstate their buyback and you think the stocks going to go back to the highs on that, you got another thing coming. the thought that the repel of some of the -- the risk/reward there to start doing that, the upside/downside is so asymmetric if they get that wrong they'll be in the penalty box for years to come.

it's just a relatively benign group right here. have a ball. buy citigroup down 9% of the year. maybe they go back to their prior highs. i don't know. it seems like a one-up, maybe 1.5 down risk/reward. >> where should they be trading then >> you guys keep talking about price to book, it should get back to -- it never gets back to those levels. they're all fairly priced right here when you consider what the positive catalyst that are very well-known out there are, especially after this announcement that we have next week, you say to yourself, why the heck would anybody rally these stocks afterwards if it's not meaningfully above expectations >> if you want to buy them, they're actually pretty good risk reward on a trading level here. take a look at something like citibank, $65. you know where your stop out is. you can say, listen, i want to risk a dollar or two and get that upside. if they break below that and you look at xlf that the major

support has been there, if it breaks that you've got a problem. but at least you can use that at your stop. >> you can set stops and do that. >> risk reversal. >> oh, is that so? oh >> i don't disagree with you. if you look at jpmorgan, you know, the stocks at 107.5, 105 is that breakdown level. if you think it's a great play and you thee c card's a thing then buy it. risk 2% and have that potential upside but find your risk. >> funny you mention options. options trader are betting on a rally. mike khouw's at the plasma. >> maybe risking a little bit less. we were looking at morgan stanley as one of the bank that saw bullish activity. where that activity came from mostly was a buyer of the july 52 call spread. they were spending 43 cents for that. it's only betting on a fairly

modest increase but they can make two times as much as they're risking. none of this 43 cents. what they're betting on here is that the stock could hit just this 52.5 level, which is right about here. an important thing to remember, we're talking about bank earnings coming up. theirs is on the 18th. this will capture that. jpmorgan i think is afterwards on the 22nd and to g's point, deutsch bank -- >> any other ones pop up on your radars in terms of bets to the upside on c car? >> we saw some bullish activity in there and we have seen some bullish activity in bank and citi. >> thank you. he walked off. still ahead. bitcoin's been stuck in purgatory but despite the plunge, the ico market is

booming. chipotle unveiling new menu items at its next kitchen in lower nhtan maattoday. kate rogers is there. putting the food to the test, kate well, it's earnings season once again. >>yeah. lot of tech companies are reporting today. and, how's it looking? >>i don't know. there's so many opinions out there, it's hard to make sense of it all. well, victor, do you have something for him? >>check this out. td ameritrade aggregates thousands of earnings estimates into a single data point. that way you can keep your eyes on the big picture. >>huh. feel better? >>much better. yeah, me too. wow, you really did a number on this thing. >>sorry about that. that's alright. i got a box of 'em. thousands of opinions. one estimate. the earnings tool from td ameritrade.

need a change of scenery? the kayak price forecast tool tells you whether to wait or book your flight now. so you can be confident you're getting the best price. giddyup! kayak. search one and done.

and i am a senior public safety my namspecialist for pg&e. my job is to help educate our first responders on how to deal with natural gas and electric emergencies. everyday when we go to work we want everyone to work safely and come home safely. i live right here in auburn, i absolutely love this community. once i moved here i didn't want to live anywhere else. i love that people in this community are willing to come together to make a difference for other people's lives. together, we're building a better california.

welcome back. chipotle unveiling brand-new items that could soon be add today its menu let's get to kate rogers who's on the ground. hi, kate. >> reporter: we are here at chipotle's test kitchen in new york city. they're trying out some interesting things like this avocado toast ado. they're look being at a mexican chocolate shake. when we talked to their new ceo back in april when he first came over, he said they were going to be trying out some new items on the menu but that they were would be sticking to their core fresh ingredients, the things they're known for. investors are really excited about nickel. the stock it up 50% since he was announced back in march and he was known for a lot of the innovative things like taco bell like introducing breakfast and they're limited time offerings. speaking of taco bell, we also got to talk with the new chief marketing officer chris brandt

who also worked at taco bell. here's what he had to say. >> we want to build more awareness with people and so we're -- we want to be more culturally relevant. we're going to be in some of the big things. you saw us in the nba finals and premieres of big shows. we want to continue that mantra but we'll still be local as well. >> reporter: now, guys, a lot of the stuff is really good. this is the mexican chocolate shake. it's awesome. it's a little spicy but this is the test kitchen so those three things i told you about, they're only here right now. they test them in regions they feel are representative of the marketplace. one other interesting thing, beverage accounts for only 7% of the sales right now. brandt mentioned that's an untapped market for them. over to you. >> thank you. so what do we think -- part -- we've seen this turn around here adding menu items is always tricky.

you want to keep the delivery times pretty fast. >> there was a bunch of different things and it doesn't seem like they can get out of their way. i'm always sceptical of new menu items. are they opening new stores? do they have that growth pattern not new menu items. >> up 60% this year. >> i think it's okay. consensus has earnings growing. any of these things really are a hit, you'll have a stock that's growing back into that valuation. it's going to be expensive. we've been talking about mcdonald's trading 24 times or something like that for a long time. the stock's up a whole heck of a lot. it has a lot of resistance but maybe they got this turn around down. >> i was looking for the mortgage left for deadish restaurants. darden was huge. we're getting new stores but more importantly some same store

sales growth even in a very -- the labor cost inflation is very difficult for so many of these restaurants but darden doing really well. b.j. restaurants, i mean that's up huge in the last six weeks. with the economy humming and you can take the other side of it, i just think this space is interesting and there's probably more to go. >> oh, guy's -- where's guy? >> i'm over here, because i'm here with melody. melody's going to be a junior next year. spellman college, correct me on live tv. little did she know that she's going to be live taste testing some chipotle. when i was a kid i worked at carvel. this sucker right here, that's some flying saucer. i'm intrepid and i'm going to taste it and let you know what you think. you got to taste it as well. >> and >> it's a little green to me. >> green meaning -- i don't

understand. >> i'm not a fan of green. let me taste this thing. this looks like -- what do they call this? >> it's a quesadilla. >> what makes this different you don't know. if you don't know the people at home don't know. that's the point. if it's a new menu item it's supposed to look new. this looks like the same stuff i see all the time. >> they don't have a quesadilla on the menu so the key here it's new to chipotle it's not a newly invented item. i'm going to ask you melody, is this quesadilla as good as another quesadilla someplace else would you go there and order it? >> i would. >> the millennial speaks. >> the senior citizen -- >> ha-ha. >> what is this milkshake? i heard it's spicy. shall we try this thing? >> it's blended so you don't have to chew it. just sayin'.

>> how can you screw a chocolate -- seriously i'm looking over you, i know i'm supposed to look in the camera. it gots kie yen pepper. >> kate rogers said it was spicy, thumbs up or thumbs down. >> she likes it. >> like it and spike it. spike it, baby. >> good job, guys. coming up, the ico market is sizzling but our own bitcoin baller says it could be getting too hot to touch. plus calling all gamers, the search for the next superstar is on and a big event this weekend will give rookie players a chance to go big leagues. more "fast money" still ahead.

welcome back. bitcoin has been stuck in purgatory since hitting an all-time high. the price continues to plunge. one area of the crypto market is red hot. bob pisani with more. >> reporter: hello. the ico market is still alive and well but just like bitcoins there's a little bit of cracks there right now. even with the crypto market down, icos are still coming out, it's still pretty tor rid. there have been as many icos in

the first six months of 2017 as of all of 2016. that's a pretty impressive number. so far more money has been raised this year than all of 2017 and that's the important number. not surprisingly, there's no shortage of whacky icos out there. here's the latest one. tatatu raised a whopping $575 million on a private sale. private sale of tokens. what's the product they're looking to release movies including a bio pick about the founder of lam bor begini cars. they want to build a token powered video on the platform to compete with netflix. singer akon announced it was launching its own crypto. this will be used as a separate coin. it's a real city already under

development in senegal. there's fewer regulatory concerns now that the fec has classified some of these issues around when cryptos may or may not be securities. here's the bad news. there's some scary things still going on. those hacks of those exchanges in south korea. that was really scary. that doesn't help. more importantly, i sense a bit of fatigue among the investor community. there's been some huge amounts of money raised, mind-boggling this year but a lot of investors are growing weary of the evaluations at least that's what i hear. file coin, for example, they raised $250 million. they still haven't launched a product. the fec keeps icos aa life as a viable way to raise capitals. i like saying tatatu. there's something dirty about it. >> thank you. bob pisani at the nyse.

the sec has come out very recently so you wonder if the boom in ico are people rushing to markets to get their coins out. >> mostly icos have been overseas, over in asia. the u.s. is not really a big player in the ico market, but what's happening now and bob's spot on. we'll wait and see type of mode right now. everybody's saying show me of the great. show me the product. i want to see this thing come out. also, everybody and their brother is coming and saying how do i do ico. you have just massive amount of supply with everybody that's rushed into it. it feels very much like bitcoin did in december where we had a sky high valuations. it's very frothy and people are starting to say, i'm going to put the brakes on the icos right now. i got my portfolio, i don't need a seventh or eighth ico.

they're not as hot as they used to be. >> do the coins from an ico trade on a secondary market? >> no. there's not the problem of a bubble valuation because they're only valued at the price in which you pay because there's no exchange after that, correct >> there's an implied valuation if you raise $500 million and you're selling, you know, 50% of tokens that's $1 billion valuation. there's an implied valuation that way. these are start-ups. these are venture capital deals. they have no product or a very early product and they're raising hundreds and hundreds of millions of dollars, some of these are crazy. there's good ones out there. there's a lot of froth in the market. >> some of them may not have a business plan associated with it. it's an idea and they're raising money for the idea. >> there are a lot of legitimate ones. i would just say that obviously akon who can't get a single in the top 50 doing an ico, that's -- you know, alarm bells

should be going off. i know this was the bear case for ether. when this market dries up do you see less demand for ether in the near term to help fund these >> what's really interesting is that this year a lot of these icos had been funded with fiat, with u.s. dollars and not with ether. so what we're seeing from my desk is that there's a shift. asian investors who were buying these icos are now starting to look to buy ether and bitcoin and to buy some of thinks big platforms. i would have told you yeah. ether would have a problem. i think it's the exact opposite this year. >> the hunt for the next esport superstar is on. let's get a check in the cramer camp of the i see jim in a food truck. that much more and top of the hour. it's international yoga day.

check out that huge group of peop dngleoi yoga in times square. more "fast money" right after this. this farmer's morning starts in outer space. where satellites feed infrared images of his land into a system built with ai. he uses watson to analyze his data with millions of weather forecasts from the cloud, and iot sensors down here, for precise monitoring of irrigation. it's a smart way to help increase yields, all before the rest of us get out of bed.

- anncr: as you grow older, -your brain naturally begins to change which may cause trouble with recall. - learning from him is great... when i can keep up! - anncr: thankfully, prevagen helps your brain and improves memory. - dad's got all the answers. - anncr: prevagen is now the number-one-selling brain health supplement in drug stores nationwide. - she outsmarts me every single time. - checkmate! you wanna play again? - anncr: prevagen. healthier brain. better life.

is coming to theaters jurassic on june 22nd. kingdom and now xfinity customers can get movie tickets by using their x1 voice remote. get tickets. don't miss it. because at the very end there's this scene... [ dinosaur roar drowns out bryce's words ] buy tickets with your xfinity x1 voice remote. just say "jurassic world" to watch the trailer, then say "get tickets" for local showtimes from fandango. and it's just like, "wild." only with xfinity x1. welcome back to "fast money." the search for the next esports star is on in what's known as the minor league of gaming gets ready to launch its first tournament. >> reporter: i like that little sound that little thing made. that was pretty cool. typically we'd be talking about the nba draft coming up tonight but a lot of kids these days

they want to go pro as a competitive video gamer. this weekend in l.a., red bull partnering with a company called super league gaming. they're hosting a tournament with the four best teams in the league of legend circuit will compete against each other. super league gaming is like the minor leagues for professional sports. it's like how traditional sports have their minor leagues for up and comers. amateur gamers compete in a local competition to give them exposure and a pathway to the pros. they've got competitive tournaments for five different games including league of legends and mine craft. most of the players college age, there's even somebody that's 7-year-olds. note the presence of red bull here like many other companies. red bull has been getting more involved in gaming tournaments, working with teams and top personalities. the reason it's simple. that's where so many young people are turning their attention. they're playing video games or

they're simply watching the best players. even in tonight's nba draft, many of those top athletes they're playing video games in their free time. i don't know which one of the traders would be the best gamer. my guest is b.k. because he's a crypto guy and i assume it correlates. >> not so much. i'm very good at pong. is there a contest for that? >> maybe a new league for that, eric, thank you. let's bring the ceo of super league gaming on. ann hand. welcome, ann, great to have you on "fast money." >> thank you for having me. >> have you actually gone to the point where some of these young people who are playing in your competitions are being discovered and going pro >> it's a great question, because right now the traditional professional esports player peaks at the age of 29,

but that really is why super league is so necessary to the professional level because we're discovering up and coming talent at 14, 14, 16 years old and those are the people that have the potential in the near term to become professional esports athletes. >> i'm sure there are hundreds, thousands of people trying to compete and trying to go pro. what's the number one piece of advice you can give to these young folks? what should they do? >> it's really the whole heart of why super league was founded, with all of the excitement at the professional level and all of the smart money going in at that level. it was inevitable that theater system would have to emerge. the opportunity to wrap team and league structures around this up and coming young talent meant that we could actually bring to them some of the other softer skills that are difference between the good and a great athlete. you think about -- i played tennis a lot growing up, i could hit a tennis ball against a garage door and practice the

game but you build character when you join a team you learn a lot about team work and collaboration and leadership. the superleague system we feel like it's the added piece of really how to foster these kids into becoming great esports athletes. >> we have 30 seconds. is it -- it's not just about being good at mine craft. shyou have purple hair. should you stand out in other ways so you can really differentiate yourself >> yeah, it's like all other kind of great esports or traditional sports athletes. the back story, the human interest, the stories of the players is a big piece of the valuable content and how you create wonderful fandom. it really highlights that everybody's a gamer these days and there's a mainstreaming of gaming. you're not going to grow out of it and it's a wide mix. there's a place for everyone in the esports ecosystem. i often say eports will make your kids spoeshl again and the

nice thing is whether you'll become a professional or maybe a broadcaster, an analyst, it's going to open up a lot of career opportunities. >> ann, thank you. it's fascinating stuff. diversity, gee. >> i don't know why i turned to you on that. >> psycho what. >> graphic. >> fantastic. clearly i am not their target audience, but my one kid plays these games so i should probably encourage him the same way you encourage your son to throw a football or baseball, go play your nintendo wii and switch. >> i do remember steve. the system she mentions sports casting, all of this is being developed right now and we're talking about media mergers. the media company is looking at this and -- >> some of the market caps on the premium that would need to be paid by some of these companies to acquire these guys,

if you're going for the esports -- to me it's hard to think about ea gngoi for 55 or $60 billion right now. >> up next, final trades. the digital divide is splitting this country. we have parents who are trying to get their kids off of too much social media and computers, and then we have parents who would only hope their children have access. middle school is a really key transition point, right.

the stakes start changing. students begin to really start thinking about their futures. what i like about verizon's approach is that it's not limited to just giving kids new tools, it's really about empowering educators to teach in different ways, and exposing kids to more active forms of learning. giving technology is not a total solution. teaching technology, now that is.

this is a story about mail and packages. and it's also a story about people. people who rely on us every day to deliver their dreams they're handing us more than mail they're handing us their business and while we make more e-commerce deliveries to homes than anyone else in the country, we never forget... that your business is our business the united states postal service. priority: you ♪ time for the final trade, dan? >> i love karen. i'm not a buyer of her banks. >> b.k.? >> we had an interesting reversal in the u.s. dollar today. check out gold. might be time to buy. >> karen >> i love dan too. i am a buyer of the banks.

one of the most upside is citibank. >> come on. >> do you love, dan? >> i didn't love that shake from chipotle. you should get on a jetblue plane and fly away from atth >> my mission is simple, to make you money. i'm here to level the playing field for all investors. always a bull market somewhere and i promise to help you find it "mad money" starts now >> hey i'm cramer. welcome to med"mad money." my job is not just to entertain but educate and teach. so call me or tweet me @jim cramer. the long knives are out for the industrials. we are