>> and that if we do not do that we will be a permanent junior partner to china, i think that was the phrase he used >> he was also suspicious they'd ever change it to have people who'd want to invest what a great week. >> what a week it's been >> thank you for watching power lunch. "closing bell" starts right now. good afternoon and happy friday, everyone andwelcome to "the closing bell. president trump ramping up the trade war rhetoric in an interview with cnbc. the question now, do we face a currency war as well >> i'm contessa bruer in portland, north dakota where they find themselves scrambling in the markets after getting caught in the middle of a trade war between the united states and china. >> president trump doubling down on his criticism of the federal reserve today, and i'll look at the potential implications of politicizing the effect.

>> and the incoming ceo of state street says there's one thing that could damage the u.s. economy. "the closing bell" starts right now. good afternoon, everyone happy friday welcome to "the closing bell." do you know what i'm most pleased about, sara? >> i have no idea. >> your foot is so much better you were unable to walk on monday, you were limping >> and now i'm back in heels >> we'll get to all those stories from the headlines in just a moment. but first let's check in on the markets. the dow swinging more than 130 points intraday. it is currently flat the s&p and nasdaq also flat the russell slipping a bit

the nasdaq was on pace to post its third consecutive weekly gain but only just in fact it's lower. it's given up some of the gains. so at the moment some of the indices will end the week either flat or suspenseful. >> president trump may be worried about raising rates in the wake of his comments to cnbc yesterday. he's talking about the fed >> i was trying to get some clarity from the white house on the president's view of the fed. here's what a white house official told me earlier this afternoon saying the president is by no means, according to this official, putting pressure on the fed he's just expressing his long held opinions. but the president is worried the fed is going to raise rates twice this year. he doesn't want the fed to do that also i'm told the treasury

secretary mnuchin and larry kudlow have advised the president to let the fed do what it needs to do and finally the aides are telling the president their expectation the fed is going to hike to about 2.5% and ultimately stop there. and aides inside this white house, at least some of them are not worried that will have a substantial effect negatively on the economic or economic growth that the president is worried about. i think it's fair the president getting a picture from at least some of his aides here, the efforts to raise rates by the feds this year are not necessarily the problem the president thinks they are. you're seeing some back and forth here between the president and his staff. the message from the white house is that the president is not trying to push the fed into doing one thing or another of course critics have said simply by voicing these opinions

that is in fact presidential pressure on the fed. >> let's get analysis from cnbc senior economics reporter steve liesman. i guess i have to hold my hands up and say siding with you on this >> i had understand that attitude and there are many with you that if it was just one time it would be okay i was sort of the opinion that was a slippery slope actually when i used that phrase this morning at 8:35, the president tweeted out -- i don't know if we have that tweet but he went from being a generic critic of the federal reserve to urging them to a certain policy. and now we hear from a senior advisor there's more specificity to that criticism. specifically the two rate hikes the federal reserve plans to do this year. we're kind of on that slippery slope.

the white house put out a statement yesterday affirming the president's support for an independent federal reserve except for the fact that commentary on the fed from the white house is specifically against that concept of independence independence means you don't really comment and try to sway them either way. look, we may be able to exist -- i look at the fed fund futures there's not much change in the future or the september one. so right now the markets saying we don't really think the president is it influencing policy either way, so that's a positive i suppose >> steve liesman, stay with us if you could we want to talk more about these developments and potential impacts on the markets with our closing bell exchange today. >> rick, i want to come to you first. of course we discussed this topic yesterday. what's your take today given this follow up and more specific commentary from the president on the topic? >> tripling down i would call

it >> you know, my own personal opinion is i think it would have been much more unusual to see this president or any president ever say, god, i wish the federal reserve would raise rates higher and faster and for longer listen, he was a developer you look at his past life he's said this so many times, on the campaigns, on the debates. i don't think he's trying to change j. powell and i'll even take it a step farther, my read is that j. powell is going to do what j. powell wants to do he just seems that sort of man even though he's been in office a short time as a chairman i think the issue is more what he did to the marketplace. yesterday i wasn't convinced, but the dollar index got hit a bit on several occasions with his comments, but today where the dollar index sits, it's closing at the lowest levels since july 10th. that's not a long time, but it was on a trajectory to be zeroing in on 96 when all these

comments hit i believe it's intraday high at that point yesterday was 95 to 65 to 70, and we hadn't seen that that was a high intraday going back to last year. i think that is difference i think we don't want to be screwing around with our currency we don't respect other countries that manipulate their currency i think when it comes to the fed i think he picked a good man and he has his own opinion but he's never shy about expressing it. >> so, jeff, assuming that's the case, you're still going to hear chairman powell have to come out and say the fed's independent. the reporters are going to ask him about this at the next press conference he's going say to say we're not influenced by the president and the markets are going to speculate and we'll all continue to wonder if it influences the decision does that have market

implications >> i totally agree with rick on this even if they raised to 2.5% i think the equity markets are involved in a buying stampede. buying stampedes typically last 25 sessions. we're 15 sessions into this. our work said that the market should continue higher in the next week. a pause would be due out for a rally to new all-time highs. >> matt, has this had any impact on the market so far >> well, the market's been flat this week. relatively positive on the earnings front what we're track, it's good. it's a good sign there's no precedent for what this president is doing. so the market doesn't know how to react to it, and it's slow to react. i think more people are worried about what's going to happen in the third and fourth kwarquarte. >> steve, you mentioned the term slippery slope, which a lot of

people are talking about today what's the big risk here clearly it's unconventional and these are long tenants of our economic system that the president doesn't intervene in the fed or in the currency market what happens if he does and it continues? >> well, let's talk about a couple of things first of all, i'm a little surprised at my good colleague from chicago, doesn't see the concern here like what would happen in december -- >> lbj did it, nixon did it, come on, read up on history, gentlemen. >> i did, sir. thank you very much. and it hasn't been done under clinton, bush, obama >> we didn't have social media then >> clinton and obama and bush did not need social media to comment on the fed if they needed to. let me spell this idea out, rick, which is this -- what would happen in december if the federal reserve did not raise

interest rates to what extent would the markets believe that the president pressured, and what it believes to be maybe best for the administration >> hypotheticals and what-ifs. i just don't see it. i think this is really about j. powell j. powell i don't think is going to be pushed or -- >> rick, that was exactly as hypothetical as mine and i conquer with that idea >> and i don't think market participants are going to jump to that conclusion you know, right now the two year is up on the week. it's the tens and the thirties that are moving higher

>> doesn't it also create a headache not just for j. powell but steven mnuchin as well we'd had a history of treasury secretaries come out and say strong dollars in the best interest of the united states, going back to ruben. and the idea was we wanted a stable place where all the money flowed we have the safest and most liquid bond market >> i agree with that, and i continue to agree with rick. i think it's a bunch of noise. i don't think the president is pressuring the federal reserve i think j. powell will stand on his own two feet and defend the federal reserve. and you're right, richard russell of the dow series letters used to say the strength of a country will be known by the strength of its currency >> matt, just want to bring you back to markets. you mentioned we need to find a new sector leadership. with all this discussion on rates over the course of the week, does that influence you want to buy banks?

>> decent kernings this week >> yeah, decent earnings and we saw the financials rally ten-year sold off a bit. financials held their gains. maybe we can find a big leadership group and the big banks have been a lagger for so long, maybe they're the ones to take us out. >> thanks for joining us up next on "the closing bell," the auto industry facing a number of major catalysts week as the threat of auto tariffs remain an overhang we talk about what tariffs would actually mean for the american auto makers. and later we'll have much more from cnbc's one-on-one interview with president trump plus a look whether we're on a brink of not just a trade war but a currency war with china. and we want to hear from you the addresses are there on the screen back here on "the closing bell"

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industry at the looming backdrop of tariffs remains a key theme. >> phil lebeau joins us with a look what's coming up next week. >> a big week, wilf, for the ought auto industry. on two fronts the white house will be looking at the prospect of tariffs first of all you've got the eu commission president in washington on wednesday meeting with president trump in addition to that you've got mexico's economic minister he's going to be in washington, d.c. early next week as discussions continue about modifications that might be made to nafta clear clearly huge implications for the auto industry. and also on wednesday you've got the big three. this doesn't happen very often, but this year it's happening they are all reporting quarterly earnings on the same day that's why we're going to take a look at shares of gm, ford,

chrysler and the question is what do executives say about tariffs and the implications there changing everything up up on the fly is going to cost tens of millions of dollars. take a look at gentex. they've reported earnings today. the reason that we're showing you this chart is because the ceo said they're starting to make plans for possible tariffs although nobody's sure what to do because nobody knows when tariffs will go in place it currently expects cost increases of 5 to $8 million guys, the bottom line is this, everybody in the auto industry is nervous about potential auto tariffs. but it's hard for them to do any kind of planning, true planning because they're not sure what president trump might do in terms of europe, in terms of

canada, in terms of mexico and as a result they're kind of in a holding pattern right now >> phil, earnings obviously important next week. but surely that meeting with mr. yunger is the key thing with these stocks ford is down 11% in just the last month if we did get a verbal commitment from the president and mr. junger we'd get a big rally with these stocks? >> potentially i think that's going to a greater impact on the big three. but you're right about this wilf, if there's some indication there's some type of agreement with regard to auto tariffs and vehicles coming from europe to the u.s. you'll definitely see the european auto makers rally on that.

>> have you talked to a single person that supports these tariffs? >> not a single person i have talked to people in the uaw who said we love the idea that the president is trying to fight for the union and help bring jobs back to the united states having said that, it is a lukewarm endorsement at best but otherwise i've not come across one executive who has said great idea. look, tariffs are going to drive up costs anyway you look at it in some capacity they will drive up costs >> phil lebeau, as ever thank you very mup we're going to keep discussing this topic on whether or not tariffs will impact the auto industries jim, what's the biggest concern here is it the disruption to the assembly lines, to the inputs or is it the end cost for cars that have been completed elsewhere and are arriving in the states >> well, it's all of that. i appreciate the opportunity i was president of both toyota and chrysler

i've seen both sides of these tariff issues, and the answer is it's bad it's a $45 billion tax on consumers. you basically would be increasing the cost of a car between $6 and $8,000. parts are going to be taxed. therefore even cars that are domestic will gop in price, maybe $1,800 the forecast i've seen from the centers for auto research that perhaps it could cost 2 million vehicles in sales. that's about 700,000 jobs, a disaster for the dealers there's really nothing you can say that i think was positive about a tariff right now >> i mean, the president wants to go after china for unfair trade practices and technology transfers. how does imposing tariffs on u.s. auto imports in the name of national security do that? who gets hurt the hardest? does china even get hurt at all? >> no, it really plays flue

their hands, in my mind. i think you can't argue with the goal of level playing field and fair and open trade. we all want that but if you a toothache you don't take it out with a shotgun and make sure the patient is better off than worse off 10% of total u.s. exports are automobiles. the usa auto market is flat. it's not growing chinese markets, the asian markets are exploding. and that's where our manufacturers growth is going to come from exporting cars and by adding a tariff it really restricts that what we ought to be doing is talking about lower tariffs to help the u.s. manufacturers. i don't think that helps china -- it hurts china. i think it helps them. >> jim, if we did somehow end up in a situation where there was zero tariffs globally on autos, would the u.s. benefit as much as some other countries? is there as much demand in the growth markets, you mentioned

china or inda or wherever it might be, or are those countries actually more interested in buying mercedes and whatever else >> no, actually for the u.s. market we produce large vehicles and trucks for our consumers but the u.s. manufacturers have great capacity and a lot of vehicles that work well in those markets. you know, over a third of gm's current production is exporting. their number one selling domestic car in china is a buick. and so the chinese market is now $27 million, $10 million larger than the u.s. market those are the expanding markets. that's where we ought to be helping our manufacturers become more competitive, invest in new research, new technology so we can maintain our presence and capitalize in those growth markets. >> even if you don't agree with the president's approach here,

does he have a point when it comes to unfair trade practices in places like the eu as it relates to shipping cars into the usa to us shipping cars. is the auto industry treated fairly >> our auto industry is treated fairly as it has been able to ship those cars. a level playing field helps us all, and we've never really had the drive or desire or investments to really take those international markets on if we do, i promise you the u.s. manufacturers will conquer those markets if given a fair chance >> jim, thank you very much for joining us this afternoon. former president of both chrysler and toyota. still to come a top currency expert weighs in on the president's tweets about currency this morning, manipulation from the eu and from china plus shares of ge sinking today after the company's earnings report before the bell. we'll break wnho nbedo tseumrs and explain why the stock is

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welcome back to "the closing bell." markets down about 18 points on the dow as we're 30 minutes from the close. individual stocks to watch, shares of ge falling today and revenue above wall street estimates. but profits fell 30% from the period, that same period last year went down 4.4% >> take a look at shares of

sketchers. we were all over their earnings yesterday. it is plummeting today after reporting weaker numbers and a weaker guidance that fell short of expectations for the third quarter. a number of wall street firms including wells fargo lower their ratings on the stock today. and vf corp which is trading company of vans trading at a record high today. san tolly was joking that vans are getting sketchers, but that appears to be where the earnings are coming up. sneakers are in a dad shoe kind of trend, so i was a little surprised. >> there we go mike's always right. still ahead the incoming ceo of state street says u.s. fundamentals are strong. and later we'll head out to a soybean farm in north dakota for a look at how growers are trying to make ends meet amid

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with pg&e in the sierras. and i'm an arborist since the onset of the drought, more than 129 million trees have died in california. pg&e prunes and removes over a million trees every year to ensure that hazardous trees can't impact power lines. and since the onset of the drought we've doubled our efforts. i grew up in the forests out in this area and honestly it's heartbreaking to see all these trees dying. what guides me is ensuring that the public is going to be safer and that these forests can be sustained and enjoyed by the community in the future. welcome back to "the closing bell." the dow is up all of 1.8 points. but we do have some notable

winners today. microsoft trading near a record high after better earnings also the financials are going strong again jp morgan and goldman sachs helping to lead the dow. >> time now for a cnbc news update >> nerve victim charlie rowely has been released from the hospital three weeks after being poisoned he and his partner fell ill june 30th after being exposed to novichok 38-year-old jared ramos was indicted in connection to the "capital gazette" shooting in annapolis. kim reynold surveying the damage done by a tornado in marshal town thursday. it's round two of the 38th annual earnest hemmingway look

alike contest in key west. more than 150 men gathering to prove their resemblance to the author wilf, you'd have to put on a lot of weight to compete in that one. >> are you suggesting that i should i have no plans to do so >> good, good. you wouldn't do well >> michelle, thank you very much see you next time. a currency war may be brewing as the chinese won falls as president trump threatens new tariffs. >> the chinese won continued its fall today even after president trump complained that beijing manipulates its currency

the yuan fell. and the peoples bank of china still sets the currency rate and it moved the reference rate by the largest in two years. it's that criticism that could fuel criticism by the trump administration that beijing is weakening its currency against the dollar the global market strategist said in contrast to earlier this year today's weakness seems to reflect a more explicit policy decision there's been speculation that beijing is trying to push the value of the currency down but there are other factors that would potentially be weakening incurrency such as fears of slowing growth cnbc business news, beijing. >> eunice, thank you very much for that and president trump sat down on squawk box this morning where he

expressed his frustration with china's monetary policy. >> in china their currency is dropping like a rock, and our currency is going up and i have to tell you it puts us at a disadvantage >> the president continuing to air his grievances with regard to currencies. on twitter today writing, coat, china, the european union and others have been manipulating their currencies while the u.s. is raising rates while the dollar gets stronger and stronger with each passing day taking away our big competitive edge as usual not a level playing field. >> we could argue that for -- we could fill two hours of the show arguing about this >> i totally agree the president in essence is right. the question is what does it mean >> it's not manipulating your currency if you're maintaining weak maonetary policy because your economy is weak >> the europeans don't raise rates because they're dealing

with -- >> china fixes its currency. that's different >> everyone should be jealous of the u.s. our growth is the best, our dollar is king joining us to discuss the possibility of a currency war wynn fin we can debate this for a long time, but let's talk about what it means for the dollar. the president has gotten his way before when it comes to the currency market. did we just see the dollars top? >> no, i have to say i have to say let's step back a minute thee kind of gyrations are certainly important for the speculative hedge fund accounts. for the long-term investors we say there's a lot of noise out there, what's the true signal in the true signal is the u.s. economy is growing very strong right now, full employment, what's they're going to do they have to have rate hikes

it was first in, first out in a sense. a strong economy, higher interest rates, stronger currency that's just sort of economics 101. >> let's put the u.n. or u.k. to the side and talk specifically about china. china has a fixed currency and just in a quarter to date it's down 7% or so. and second question, why are markets putting up with it when it 2015, early 2016 when the chinese yuan moved the s&p collapsed off of it. >> two things i would say china is heavily managed currency. it's not really truly floating but a managed float. they're heavily managed and heavily restricted i would say that i've been telling our clients the receat e recent movements really it's a

strong dollar story, period. again, it knows back to this whole story of the u.s. economy is doing bell, we're hiking rates. no one else is doing well enough to contemplate an aggressive hike we're seeing in the fed china as you mentioned in 2015 it was a complete disaster capital outflows out of china, capital markets around the world. they had capital chores in place since 2016 right now we're not seeing that spigot open. jp morgan's asset manager before i think said, oh, we think it's a different stance my feeling is that they're juggling a lot of balls to try to deleverage the economy, the

kplae economy. they talk about being a weapon, i think that's a very blunt weapon they don't want to go down >> it strikes me as odd president trump has been complaining from day one from unfair trade practices about currency manipulation to get even weaker. and by the way, it worked today. the dollar lost 0.3% >> i'm going to say the fed is hiking rates >> last time the president did this in april, april of 2017 the dollar is getting too strong, the dollar's getting too strong it then fell 11% through basically february of this year. so why do you think this time is different? >> i think there are other things going on. the rest of the world looked relatively better back then. i think that was the missing piece of the puzzle.

now it's really standing out the u.s. is really standing head and shoulders above the rest of the world and has rising interest rates. >> when a lot of people debate can you last this fight longer, usa or china, we just got the china gdp with 6.7%. do you believe that gdp print is accurate and who can last longer >> i always think chinese data is qualitative as much as quantitative >> to me i think the dangerous thing is to pick a trade fight with china china has to me much more staying power, less people to really answer for. so it's a tough one. >> so it sounds like your bottom line message is that chairman powell is more powerful when it comes to the dollar's direction than president trump >> absolutely.

the president cannot control monetary policy, cannot control exchange rates >> and president xi is even more powerful win, thank you very much for joining us sticking with china, republicans reversing course on sanctions for chinese telecom company zte. joins us now with a details and what looks like a win for the president. >> yeah, and just this afternoon it happen, sara. lawmakers removed alanguage tha would have called for harsher treatment. it was a significant win for the white house which had been working to sell lawmakers for months on a deal it was currently brokering to restore business for zte and reverse a commerce department ban on u.s. companies supplying parts to zte. it was part of the deal with commerce to reverse that ban zte had already paid a $1 billion fine and put $400

million into an excrow account and it is now unclear if anything the u.s. gets in return president trump said in may that president xi had asked personally for the u.s. to relax the ban on zte so i asked an administration official to defend the white house's move to basically reverse course on this and a china hawk told me basically it could be summed up this way china's party gets its legitimacy from employment remains to be seen whether there is any sort of quid pro quo. there had been some market participants who had been thinking maybe the approval of a deal between mxp semiconductor and qualcomm would be what china offered in return, but we'll see if that happens. no sign of that today, guys. state treat trading down today as it moves on an

aquasition details on that still to come. and disney fledgling streaming service designed to tangle with netflix, but warner brothers is hoping it can be sweeping as well

we're back to "the closing bell" there sectors for you. you can see consumer staples at the top. real estate towards the bottom as is utilities. the dow just in positive territory. shares of state street trading low. >> yeah, by 7% on a mixed earnings report and also that deal the company announced the aquasition of software firm charles river that will lead to suspension of buy backs of its $950 million program i spoke to state treat about the deal and economy today listen >> the underlying fundamentals i think remains quite strong you still have in particular the u.s. a growing economy, a strengthening economy. so from an economic, a pure economic perspective the market looks good, and that's what the

market sees. there's obviously a lot of uncertainty. the biggest one probably is around trade and whether the if the tariff actions and trade action being taken are going to result in some kind of a long-term protracted price in trade war that will, of course, create damage to the economy >> and on that point of uncertainty, wilfred, the global inflows into state street etfs actually halted. so there are sign that maybe big money manufacturers are halting decisions going in >> they also reported earnings this morning which were pretty solid. the share price is down 7% which relates more to the their custied business i think having to raise equity to finance it. charles river they're paying $2.6 billion for and nine times sales last year, and it's not

like it's a new unbelievable tech growth story. this trading platform has been around a long time i used to use it when i was in asset management >> he framed it as a way to boost technology and improve client experience. >> i get the rationale people are thinking, wow, it's quite expensive for something not brand new and growing like the weed when we come back the biggest movers of the day and the wrap up of the week. coming here on "closing bell." imagine traveling hassle-free with your golf clubs. now you can, with shipsticks.com! no more lugging your clubs through the airport or risk having your clubs lost or damaged by the airlines. sending your own clubs ahead with shipsticks.com

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are you ready to take your then you need xfinity xfi.? a more powerful way to stay connected. it gives you super fast speeds for all your devices, provides the most wifi coverage for your home, and lets you control your network with the xfi app. it's the ultimate wifi experience. xfinity xfi, simple, easy, awesome. welcome back to "the closing bell" this friday afternoon. tech is one of better performing sectors of the day though trading a bit lower into the close. the nasdaq on pace to post its third straight weekly gain, although not at the moment, actually it's down a bit as we approach -- >> could go either way here. kate rogers up town at the

markets with the biggest movers. >> you guys just said it could go either way. looking right now we could closeout the week in the red a few points from where we are right now, and if we knows up today we will see the first positive among the biggest gainers in the nasdaq 100 include microsoft with positive guidance it also continues to grow its cloud computing business and facebook and amazon positive today while apple and netflix were lower and speaking of those faang names next week will be huge get read for all those earnings. and among the biggest loser here at the nasdaq among them would be tesla, and jp morgan saying shares would fall dramatically this rear and also reaffirmed saying that other auto makers may price their electric

vehicles >> it's going to be a fun closing bell next week facebook is now suspending another firm >> cnbc's julia boorstin has the details for us >> it investigates whether the boston based analytics company violated facebook's policies on collecting and sharing user data had it contracts to analyze facebook data for a russian non-profit connected to the kremlin as well as multiple u.s. agencies saying government contracts were not approved by facebook crimson hexagon says it has the largest repository of public social media posts it says it's cooperating with facebook which publicly stated its investigation to date has found no wrongdoing. facebook saying, quote, we don't

allow developers to build surveillance tools and we take these allegations seriously and have suspended these apps until we investigate this is just the latest in facebook's privacy issues as it pulls back developer's access to data >> julia, in terms of the earnings next week clearly last quarter's earnings weren't affected in time by the breaking story, the cambridge analytica privacy scandal because it happened so late in that quarter. could we see an effect of it playing out in what was q2 numbers? >> it was interesting because the earnings call would have given facebook and investors a sense whether in that following month there had really been an impact others saying they had seen a couple of advertisers pause temporarily but there was really

no impact. i would be surprised if we saw any significant impact we talked to a lot of advertisers and many of them say they're satisfied with the work facebook is doing so far and how much more they're willing to invest, whether this was a quarter where advertisers were stuck with what they were already doing instead of wanting to spend more. so we'll see >> julia, thank you very much. we look forward to more facebook news next week coming up here on "the closing bell" we'll be back with the closing count down >> and after the bell some of the biggest names will be reporting earnings next week we'll take a look at what to expect from those companies. you're watching cnbc, first in business worldwide 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

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they have a section in their stock portfolio just for pool stuff. everyone likes them. you like them. but you'd like them better if you made more money than they do. don't get mad at your well-liked neighbors. get e*trade. welcome back to "the closing bell." we have three minutes left of trade. let's start with the currency markets. big moves today in the dollar, which is falling lower and reacted to the president's comments of course suggesting he doesn't want more fed rate hikes. across the board look at the yuan the pound, the yen about a percentage point move, which is

huge intraday thing. the pound in particular has been weak of late but finding some reprove to the tune of 3.9% today. let's look at the four indices all three just lower today we're lower across the board what does this mean for the week here's the s&p intraweek chart it is down fractionally today, so we're essentially flat on the week itself. there's the sector performance itself as well the outperformer up 2% monday, tuesday, wednesday banks have come out with strong reports. after the banks this week we've got industrials. wti is down about 2% what's the main stories for

today? >> choppy sessions for the dow and s&p 500. as you were pointing out what was consistent was a weaker dollar trend that overall was especially good with the busiest week for the earnings season and hilton reporting on wednesday so could earnings strength really offset this trade uncertainty, concerns around currency, that clearly could be a trend to look out for next week >> and earnings season has been strong banks playing out on that stage. if we look at the sectors it's definitely interest rate related, utilities at the bottom as are real estate and energies down a bit too but it's consumer staples outperforming today. and there's the ten-year treasury note. rates tick up close to that 2.9. >> even the regional banks had a nice strongday this weekend the g20 meeting plus the taylor swift concert

happening this weekend >> we've got about 15 seconds left of trade. the dow is down 12 points. so we're near the session lows, but of course the session lows not too significant. now 3 points, the dow almost rallied to flat as we hit the close. ringing the bell here is coca-cola and at the nasdaq is dogness corporation. sara, back to you. welcome to "the closing bell." i am sara eisen in for kelly evans. let's take a look how we are finishing up the day on wall street as wilfred just mentioned really fractional declines across the board. the dow closing lower just barely down about 6 points s&p 500 also pretty much flat. nasdaq as well of the group the dow is higher for the week up about 0.10% that would make it the third up

week in a row. s&p also inching higher for the week alpha finishing the day fractionally higher as it reports earnings after the bell on monday. facebook reporting wednesday, and amazon rounding out the faang results on thursday. next week turns out is the busiest week of the earnings season we'll have prel view of those big cap neck names and what to be watching straight ahead mike santolli and jim key. biggest winner of the dow this week was jp morgan while caterpillar was the biggest loser. united continental was the biggest winner and on the com, the biggest loser. interesting jpm the biggest winner of the week >> overall indexes couldn't be more flat for the week with the s&p kind of holding these levels

which i think was a net win. it kind of provided the up trend, but isn't this a story of last earning season, too kind of netting out to not very much and yes, financials kind of bouncing where they had to over the course of the week >> do you see this as the bulls winning out or the bears winning out? because there's been some negative presidential trade headlines but there's also been fantastic trade earnings should we be lower or higher >> i don't know if you should have been high, but i think the fact you provided these levels is relatively bullish on a week when you had the president saying basically broke the independence of the fed to be hyperbolic about it. >> there is a lot of outrage, but no matter how you look at it the president told cnbc he's ready to go for $500 billion in

terms of chinese imports and tariffs. why no market reaction >> the market is basically betting at the end of the day there'll be a resolution what form that resolution will take, i don't think anybody has any idea i do think that the one thing that all of these tweets and the bluster and the interviews with cnbc do is it makes it a lot harder for a behind the scenes kind of peaceful resolution to this it's hard to imagine the chinese just backing down from their industrial strategy. very hard to imagine the japanese or the europeans going, okay, we'll accept auto tariffs. it's a very -- it's hard to see how this resolves itself, but the stock market thinks it will. >> evan, does this mean you keep buying the russell -- >> i actually, i don't like the market here at all i think on a day like today which is slow summer day you forget that the market can fall. you've kind of been lulled over

the last few weeks into all this kind of headline turmoil, but there's been nothing going on underneath i think at the end of the summer when these tariffs play out there may be some fireworks. if there's fireworks it's not going to be good in the market anywhere you are >> let's talk about the president. the president said the u.s. is being taken advantage of by other countries when it comes to trade and he's working to put a stop to it, and that's having a big impact on markets. >> i would have a higher stock market right now, it's already up more than 40% you know since the election it could be 80% if i didn't want to do this but ultimately what i'm doing is making it so it's right. >> mike, is he right with those numbers, we'd be 40% higher? >> i'm going to venture a guess, no there's not much of a swing factor based on trade measures and anything else. by the way, we're not even up 40% from the election as it is the very peak with the dow you

were up for a moment 40% >> now up 30%, right >> around 30% since the election so it's about 15% an an annualized basis and bit more than that. >> and he took it further saying i'm using bank money >> running the u.s. economy, it's not like building a cheap low end casino in atlantic city. it's a very different enterprise you're not bullying a bunch of cement contractors here. you're actually bullying large countries that have their own objectives and i think what mr. trump will find is that in the long run things are going to get more complex rather than simpler. i mean, because he tends -- the issue i have with him is not the complaints it's really a zero-sum view of the world. and if you have a zero-sum view of the world you're not really giving the other parties incentives to negotiate with you. >> mike, when we consider the headlines out of that interview

with the president whether it's the fed headlines or china headlines, which is bigger concern to the market? >> interesting i think in the near term probably the china headlines because that was an incremental bit of suggested tariff suggestion without a process playing out behind the scenes. if you're impatient enough and go from 200 to 500 just because nothing's happened yet -- now, i've not been in the camp that says trade is going to make-or-break this market. it there is a threshold at which the market at this level is not going to run >> so what does jp morgan do, the chairman even if he ignores the politics, fed is independent, it's got to be in the back of his mind >> i don't think j. powell is going to lose a moment of

sleepover this nothing donald trump has done i think would surprise anybody who's kind of looked at his track record i don't think j. powell goes oh, my god, he was threating the fed. i think it probably goes up. >> does it influence your thinking whether you should earn financials or not? earnings this week earnings were good and also rates did rise >> it's interesting. the long end of the yield curve steepened dramatically today ask me in a week from now whether it matters -- i'm just saying the half life of these things tend to be very short i don't know whether or not if the 30 years back at 325 in three weeks then we'll know something. >> i don't know if it was a t tactical move or he waited for the market to be perched in this position, but people were very

much leaning into this flat yield trade. i don't think anyone really thinks it's going to change fed policy >> i guess my question is can he do anything more what if the fed raises rates, which we know the president is worried about happening another two times? what if inflation starts to shoot-up can the president do anything except job own and voice some verbal frustration >> you could change personnel. obviously a pretty extreme step, but my guess is there's not a whole lot else you might be able to do on that front. all right, let's move onto tesla here shares of tesla closing by 2% today. and falling more than 40% before the end of the year due to increasing competition

the stock down nearly 2% for this week. what do you think of this, mike? >> i think it's a reiteration of the bear case on some level. i do think it's interesting. i'm not a fan of the idea that tesla is going to lose this market share battle in electric vehicles near term and that's going to be the thing that brings tesla down to pea honest with you i do think if they can make what they say they can make in terms of the model 3, there'd probably be demand for it they can execute on supply, they burn a lot more cash doing it, they have to raise more capital. and in the coming quarters it seems the financial models doesn't work very well >> nothing in there about elon musk's tweeting. >> well, that doesn't help but the people maybe on the list to get a tesla may say oh, gee, maybe instead i'll go with this bmw or chevy i don't think that's where the market is for them right now

if you want a tesla, you're going to get a tesla >> tesla is one of the stocks i don't understand i put it in the same camp as the amazons and netflixs of the world. there are true believers who will always buy these stocks on the dips and they're basically betting on a paradigm shift. i don't know whether tesla qualifies with amazon that down the road there'll be profits it still has the same market cap plus or minus general motors and it's down 30% to 40% from its highs. >> by the way, an amazing review for the model 3 by "the wall street journal" this week who is not a pushover he loved everything about it it was a $78,000 model as tested that's about twice what they're promising it can be made for >> autos reporting next week a big focus. >> i honestly think it's about the potential for auto tariffs

more than anything in terms of the results that's going to decide >> i thought phil lebeau's comment on the earlier segment last hour was fascinating. here you have a policy from a president where there's no support in the industry for it it's mind-boggling to think that even the car makers are opposed to auto tariffs. >> right, but he would say he's doing it to protect the american auto makers against foreign competition, but it actually may be hurting i thought this stat was interesting. if we see these auto impart tariff, the price of a new car could jump between $$1,400 a1,4 $7,000 >> it doesn't seem to make any sense, but, you know -- >> and the way it works is people buy as much car they can

afford whether it's lease or own, and it pushes people off the margin if the price goes up that much. >> autos reporting next week president trump of course reinforcing his opinion on cnbc this morning at the u.s. is being taken advantage of that on trade. up next we'll talk to two policy experts about the president's viewpoint and who the winners and losers may be. and cnbc's contessa bruer is on a farm in north dakota looking at how the trade war is effecting one of the america's biggest exports. >> this is the plant that produces some of those food based soybeans so many that head straight for china the big question this is year, will it have a buyer that ahead on "closing bell. you always pay your insurance on time.

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welcome back soybean farmers in north dakota are scrambling to find new markets for their products and now that they find themselves caught up in the u.s.-china trade war contessa bruer is on the ground in north dakota with

that particular story. >> there are millions of acres of soybeans under cultivation here in north dakota more than 70% are exported and of those almost all are headed directly to china. but since american soybeans have been slapped with chinese retaliatory tariffs china has canceled all its orders for food grade soybeans and chinese delegations have canceled their visits they were competing globally an unfair playing field but they have been stunned how quickly they are paying the price, caught in the middle of this trade war between u.s. and china. >> if you do market destruction that's not a good thing. and agriculture as a whole, we're running some real risk here and this will be pretty high level risk in my frank opinion >> richland's business and investment hangs in the balance against the backdrop of these steep tit for tat tariffs. and the alternative markets

they're looking for, already foreign buyers are pressing processors for discounts in order to take the soybeans off their hands. the price per bushel has been low but since china started talking tough on tariffs the price now stands at 850 per bushel in order for the farmers to break even they need anywhere from 900 to 950 per bushel >> our thanks to contessa bruer reporting on soybeans. president trump sitting down on squawk box indicating that he is ready to place tariffs on $500 billion worth of chinese goods imported to the united states should the need arise. listen >> would you ever get to 500, though >> i'm read to go to 500 look, i'm not doing this -- i'm

doing this to do the right thing for our country. we have been ripped off by china for a long time. and i told that to president xi. i actually asked them the question, so we're down $507 billion in trade deficits, how did it happen? and they told me nobody ever complained >> here with us to talk about this is visiting fellow at the independent forum and senior tax fellow -- good afternoon to you both do you think we have fully crossed into a trade war now given this elevated rhetoric today? >> a war, a skirmish, a conflict, whatever it is it's confusing and it's going to have an up pact on consumers here in the united states. i think it's funny that the president yesterday said no one ever complained that's why we're pursuing these trade efforts now, the reason we're taking shots at china is because we need to get a the issues he's

been complaining about for years and years and years. the one thing the president has been consistent about is he thinks the united states is being taken advantage of by other countries who have higher exports than we do importing into their country i would argue not only is the trade deficit a distraction from the big picture of the whole economy, but when we're talking about the president and listening to what he said for the first time he admitted here that the cost of the trade war is an impact on the economy. he said the stock market could be higher if he hadn't initiated these a actions against china and the eu, but he thinks this is battle worth having i would argue it's not, but i hope that exerts some political pressure earlier you were talking about before what is the end game when the comes to the administration's tariff and trade efforts. perhaps this is the way the president will get himself out of the tariff skirmish he's gotten himself into.

my hope is that he'll be able to eventually diminish of the pressures that had been ratcheted up here. >> david, the reason other countries had been complained before about the trade deficit is because the trade deficit is not a reflection at all how we are treated fairly or unfairly on trade you can't find an economist in the main stream that will tell you. we're getting more from the president on trade, how he views this whole strategy. do you have a clear picture about what he's aiming for and how it plays out from here >> i think the president is really digging himself into a hole with this focus on the balance and bilateral deficits he was reeling off quotes about bilateral deficits this morning. european union, mexico, china, all of those bilateral deficits are going up this year because of his policies. he cut taxes and that's stimulating consumption and u.s.

trade deficit with each of these different partnericize going up, and that's not necessarily a bad thing given the macroeconomic situation. we do have trade issues with china specific market access in some specific areas and intellectual property rights protection it makes more sense to focus on the real distortions and also makes sense to work with europe and japan and other partners because we all have similar concerns with china. but the president is antagonizing all the different trade partners, throwing them in together in the same pool. >> david, we have larry kudlow on earlier this week, and he said that president xi was just not engaging with these talks. he wasn't willing to move even an inch back in the direction that president trump would like him. given that, if that is really the case, surely the president has no choice but to elevate

matters. >> well, the chinese perspective is twice they thought they had an agreement they thought they had an agreement and then the president walked away from it. so the chinese perspective now is that you can't negotiate with cabinet level officials. they don't really have discretion, so you have to wait until you get xi jinping and trump sitting down together. that's probably not going to happen until december 1st when the g-20 summit is held. i think they're looking to this playing out in 2018, they're focused on what domestic policies can address their growth issues while they take this so far relatively small hit. but i think the chinese really don't see any prospect for negotiating in the near term >> mattie, you're take on that particular topic in your view in

escalating things with the chinese? >> again, the question is what is the objective of the administration here? the president talks a lot about the trade deficit, but his administration talks a lot about the different problems we have with chinese actors, where whether it's market access, tech transfers, ip protection, all of the problems that are serious problems when it comes to playing with china on a global scale. those are the issues that really need to be addressed by our trade policy tariffs don't do that. tariffs are an attack on american consumers and do very little to influence behavior abroad >> do you think deep down that donald trump believes that trade really is a zero-sum game? and if that's the case, why would anybody negotiate with him? >> no, i think you're right. i think there is evidence he really thinks it's zero-sum, and that's why it's interesting as

he's done these measures, even countries that are very close allies with the united states like european union, canada, mexico, everyone is basically retaliating. if a big country like the u.s. punches you in the nose, you've got to punch them back otherwise they're going to keep coming with more and more requests. i think this was predictable that as the u.s. went down this protectionist road all these different partners were going to be hitting back. and it's hard to create an environment for negotiation. i don't think we should be too pest mystic. what they've done so far is modest in scale. the auto tariffs would be the most serious this is going to start to have an effect on the u.s. economy. i think there's a pretty good probability after the mid-term elections this will have more effect on the economy, the incentives will change and the u.s. will want to go out to a country like china, try to

negotiate a deal the chinese are willing to buy more of different products, they're gradually opening up more markets so i feel they feel their deal or offer is pretty clear at some point it's probably in the u.s. interest to take the deal >> we're going to have to leave it there thank you very much. wall street's fear gauge stalking investors again today up next the fast money traders on how to play the vix and another volatile day for bit coin bit coin is actually on ac r its best week since early april. what's behind that move coming up it comes with a ton of entertainment options. great, can you sign for this? yeah. hey, uh.. what's in that one? that's a shark.

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welcome back to "the closing bell." the bit setting levels not seen since early july is volatility back >> what does it tell, you dave, that you're seeing the so-called fear and anxiety index at these levels >> we were just having a conversation, look, there's been a lot of complacency at these levels i look at the vix and i think there were big out of the puny calls. people were making bet there was

some volatility pick up in august i think these calls got so cheap. in my opinion it was just the bet that, you know, on really how cheap they got and really how little a move in the market you needed to make money on that no, i'm not worried there's going to be some sort of big spike in volatility in the year term >> mike? >> i think what's interesting here if you take a look at the vix you can use that to basically gauge what the market is expecting, the movements of the s&p i going to be. and right now that's basically telling us the average move is going to be about 50 points or less as it turns out, is the average of the last 30 days. what do we have coming up that could create some volatility one of them is earnings, that could contribute some seasonal volatility and we've got the stuff you guys are covering every day i think what the options market

is telling us right now that the next 30 days is probably not going to look all that different from the last 30 and not sounding any alarm bells at this point. >> is it the calm before the storm or just super calm >> i don't think the vix is giving you the feel it's too low. one week today it vix was below 10 now we're saying it's below 14 and we're saying the 10 was very cheap. it takes a real long time for that to kind of fade away. >> but do you think it's underestimating some of the risk out there? >> not when it comes to what the likely swings in equities are. obviously we're at the lower end of the range, but the s&p 500 barely budged on a five-day basis this week. >> david, the fact we end flat what's your take on that given strong earnings on one side and sort of the negative political headlines on the other

would you have expected to be more pronounced in either direction? >> actually, i'm super excited about the market action especially what we saw come out ofthet fli netflix, and when we saw netflix coming off the lows and rallying up and close on a reasonable down draw on the day, to me that's super, super positive i think the plarkt is goimarketo continue to grind a bit higher here i don't worry about this week's action in any negative way i think it's good action, in my opinion. >> nice to check in with you and coming up on that show, "fast money," sees trouble lurking with other faang names he'll reveal which ones he's looking at let's take a look, though, how we finished the day on wall

street a bit lower for all the major indices, less than 0.1% for each of the big three indices the russell was down 0.25% time now for a cnbc news update >> here's what's happening this hour, secretary of state mike pompeo says north korea needs to live up its needs, and pressed them to maintain tight sanctions until they show more progress. >> we can't do one thing until we see north korea respond to their promise to denuclearize. until that action happens, the security council is going to hold tight the international community, we're going to ask you to hold tight until we go forward.

>> reporter: it has prompted the government to seek help from other european nation. as of today over 50 blazes have torched forests. no deaths or injuries have been reported but large evacuations have taken place >> and people with type two diabetes may not have to adhere to strict daily calorie limits to control blood sugar a new study from australia finds a diet with calorie restrictions just two days a week was comparable to a diet with daily restriction. i know, sara, you'll watch nightly business report tonight, but tonight we look at the potential impact of currency wars we hope you can join us tonight on your local public television station. >> even better yes. >> bill, there's no doubt she'll be tuning in that's the ultimate topic. i have a question for you, will you be tuning in to the open and

who's going to win >> you know i will a and he's leading tipat this poi, tied for the lead. >> they must be used to it rain having grown up in the u.k >> we'll see how the local boys can do it. >> bill, great stuff have a lovely weekend yourself it is almost upon us, the busiest week of our earnings season alphabet, amazon, facebook just a few names that'll be reporting next week. and netflix facing warner brothers line up just one of the many fights about to take place in the streaming arena next up we'll take a look at the rise

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ensuring that the public is going to be safer and that these forests can be sustained and enjoyed by the community in the future. a busy week for tech earnings coming up with alphabet, amazon, facebook all slated to report >> joining us now to discuss is jason and chris.

gents, very good afternoon to you. jason, let's start with you and start with facebook. what are you expecting and have they put these privacy issues behind them? >> great question. so what we're looking for in the quarter with facebook is just a continued recognition they had the superior growth ramp ahead of them relative to a lot of other stocks we see in the large cap space. and the idea of reinvestment is something the wall street pays pretty close attention to. directing at your question about regulatory, it seems like wall street has put that behind them for now. investors were more concerned a couple of months ago have looked past that. >> chris, what about valuations how high are they at this point and who looks like the better

value with any potential upside going into earnings? >> i think if you look largely speaking of the faang stocks in general, valuations are a little higher there could they go higher they could if you look at the underlying earnings growth of some of these companies, you know, the peg ratios don't look all that onerous. the types of companies that are generating really solid cash flow and dividend growth that trade at actually submultiples >> i don't know if you invest or cover amazon, but can you in any kind of straight numerical way justify the valuations of amazon on anything other than kind of a paradigm shift, you got to believe in the future, cloud, all that kind of stuff can you value that in a

traditional way and get yourself comfortable with the stock >> you know, just to be clear i'm a global macro analyst i look at 40 different countries from a 30 foot view. when i look at a stock multiple with what that stock has with the revenues it's been able to generate, i think it's a bit of a head scratcher too, why people pay a premium for that and at some point they can setup some set of competitive mode, to try to griped out, you know, better operating margins in the future than it has today in full disclosure i've been wrong on that company for a decade and a half because i've never understood the margin profile. >> jason, more broadly some of these stocks at the very top of the nasdaq which are now at the top of the s&p 500, they really do benefit from this idea on a long-term basis everyone has

clear visibility, these platforms are almost impenetrable netflix really stumbled when it didn't deliver the numbers and microsoft today had a good quarter and the stock was up 1.3% and closed $2 off its high. tactically speaking are people a little too confident in the growth outlook to stomach a perfect number next week >> i think that's good expectations are fairly high amazon, tough year to date you have to intfer from that people have high expectations going into the quarter again, i think putting some long-term perspective into this matters and obviously these are companies that they themselves don't manage quarter to quarter so as investors we try not to analyze those investments and i

think what we're looking for from these three companies next week is an understanding these are long-term gains and they have to put the capital back in their business to grow at the rates we've seen over the last three years and i think that will be justified over time with the valuations we're seeing. >> do all of them face pressure when it comes to politics, regulatory scrutiny, calls to be broken up, whatever it is going into the mid-term elections. we've gotten a taste of it with facebook, saw it in the eu this week how much of that is a risk >> if you look at qualcomm and xp situation, those are two who have become pawns in a political game, if you will. companies like google and microsoft have been dealing with

headline risk as dealing with political winds for a long time. i do think from a headline risk perspective i think it does exist. >> gents, we'll leave it there thanks so much for joining us. let's get a market flash on light opponent health, soaring after hours. >> light point health, the stock is about 35% on news that it's planning to buy by apollo. the stock is about a $2 billion stock. it's down about 20% in the past year prior to today's jump and apollo plan tuesday merge life point with a another regional hospital that it owns so this a big story as far as private equity, getting back out there and getting that cash back to work. >> now, if you're considering

ditching your cable, there's a few more options on the ott table. we'll break them down for you. that's coming up but first bitcoin making a come back this week and whether 's a bullish sign going forward next if these packs have the same number of bladder leak pads, i bet you think bigger is better. actually, it's bulkier. always discreet quickly turns liquid to gel, for drier protection that's a lot less bulky. always discreet. that's a good thing, but it doesn't cover everything. only about 80% of your part b medical expenses. the rest is up to you. so consider an aarp medicare supplement insurance plan,

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midsummer surge rising 17% this week its best week since early april. three major developments really in the factor in all of this coin based the nation's largest crypto exchange said it would consider adding five new crypto currencies to its trading platform on its roster of crypto offerings match that news actually prompted bitcoin up by as much as 5% on monday. and then there was nize th-- it a move that could potentially open the door to institutional investors. meantime master card secured a patent that could allow customers to link accounts with crypto currencies. despite this week's move for the year bitcoin is still down about 40%. but genesis global does say this week's move is a sign of a

bullish break out. still, google trends shows a modest up tick in search interests for bitcoin. it's up to its highest level in july but critics warn that warnings from the fcc and cftc could complicate its trajectory. still a wait and see story >> you know brian kelly who's a long time bitcoin believer wrote a book on it, said, gee, if only we had a currency that was free of government regulation and complaining after we got those trump comments -- >> one of those currencies where money launders and tax evaders and all those other people could hide under >> you're not buying it? >> no. i'm hoping that the whole crypto craze is over by the summer so we don't have to talk about it >> it's not going to be over >> i know.

i'm in the skeptics camp, but i don't pretend to know everything >> still a fascinating topic some catalyst potentially there for bitcoin. the latest round of over the top offerings next the smoother the skin, the more comfortable you are in it. and now there's a new way to smooth. introducing new venus platinum. a premium metal handle boosts control... to reveal up to 100% smooth skin. venus

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bases. >> there are a range of new players jumping into streaming video chasing niche audiences of fans warner brother, d krc comic announcing the dc universe service at comic-con earlier this week. it is set to launch this fall and it will cost $8 a month for access to six original shows in the works such as the christopher nolan batman films and the 1970s "wonder woman" shows to get fans to pay as much as hul i and netflix, thousands of comics will also be available to read at any given time on the app. this as the zone spelled dazn, it's a subscription service for in demand boxing and mma events launches overseas which plans to launch in september 10th it is run by former espn chief john skipper and it it is going up against espn plus which costs $5 a month and it will start

streaming ufc fights in january. walmart is considering to rival netflix available through voodoo they are projected to grow 24% according to e-marketer. it projects 765 million people worldwide will use over the top service such as netflix at least once a month this year guy, ba guys, back over to you. >> julia, thank you very much on that >> what's the view on this are we heading over to bundling at the top >> there are efforts to do that. at some point you would think it would have to make sense although on the other hand, how many apps do you have on your phone? people are willing to download the app -- >> how many would you pay for? >> that's the question i think trial rates would be high, but churn will also be high initially especially for these very farrow kind of niche services where it's not like you

will only be watching mma. >> what do you think of those stories that we've had in the last couple of weeks whether hbo will be pushed toward being more like a netflix >> i think it will absolutely have to be in that direction i think if you look at younger consumers and look at my own consumer behavior, i'm totally content driven, totally platform agnostic and perfectly willing to pay for things that i think are going to be good, but unwilling to pay for things -- >> are you describing yourself as a younger consumer? >> i'm definitely not, wilf. i'm not at all, but i'm a big movie person and i'm very careful about how i spend my time i don't watch any broadcast tv i haven't done it for years. >> apart from cnbc. >> apart from cnbc. >> netflix >> what's the value of their head start and did they become essentially kind of the indispensable first one you installed and paid for in.

>> it's the quality of the programming. >> that's how they maintained the growth level. >> the other interesting question is all of the m & a potentially happening and it's one of the traditional media companies like comcast developed a netflix-type service would they get that particular level of subscribers >> no. >> not within a larger company where they're just making it >> it will be super interesting about what happened to hulu. i subscribe to hulu and it is live for whoever ends up controlling hulu i'm kind of, like, do i want to pay ten bucks a month now or i've gone through the content. i think that is the way younger people, not just myself will do it going forward. >> and i think of you. >> i do think it means trouble for the netflix' of this world and it will be harder to make money. >> i can't do it any way you get this cricket is particularly

expensive. >> anyway, we will continue that discussion coming up and also the reminder of the finance reporting earnings next week and that's not all we'll take a look at the consumer names we're back in a couple of minutes. tions 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.

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since we've talked about the big tech names reporting earnings next week, let's talk about some of the other names, consumer name, for instance, coca-cola, starbucks, mcdonald's coming out with result, guys fancy that we'll be looking to see how the u.s. consumer is doing, whether there are rising input costs, inflation pressuring some of these margins and results. >> yeah. i mean, obviously for your favorite consume are staples that's a big story coca-cola is an outperformer and i do think starbucks is a fascinating story based on the china situation plus the struggles they're having in north america. i'm sure they'll get a loss of play. >> and the dollar will be a focus. >> you're going to love that >> let me tell you, these ceos, they've gotten great at managing expectations that's why there are rarely any fireworks. >> mike, very quickly, 30 seconds left what kind of percentage-type beat do we have to get for it to continue >> we're already at 88%.

>> it will probably go down from there because it would be ridiculous if we got better on that so i think over 70% is basically okay it will show that the trend is intact in term was how strong companies are. >> everyone wants to see margin beats only >> the ceos have figured out the game by now. >> thank you very much thank you very much. that does it for the closing bell. >> have a good weekend, everybody. "fast money" starts right now. "fast money" starts right now live from the market overlooking new york city's times square i'm melissa lee. your traders on the deck are tim seymour, steve grasso and dan nathan tonight on fast, a major shift happening in the crisypto marke that could have big implications we will tell you how he's trading it and later, call it tech judgment day. alphabet, amazon and facebook almost $2 trillion in total market cap and all of report next week and one of them is about to pull up lane. he'll be here later on, but first we sta