>> i do want to remind you once again at 2:30 this afternoon the president's top economic adviser larry kudlow will be on to discuss a whole host of issues i want to wish you all a good weekend. "the exchange" with kelly evans starts now >> here's what's ahead a big lift at the open lyft starting at $87 a share falling back to just $80 what happens if lyft sinks lower. a different kind of opening day for baseball season which is getting under way. the real story isn't the monster deals, the headline deals like bryce harper and mike trout. it's falling salaries and fewer fans showing up at the games plus housing troubles. blackberry making a big move and

cucumber slurpees could be coming to 7/eleven >> i could use a cucumber slurpee but i'm not going to have one green is a cucumber across the board. up 155 points for the dow. hovering around the best levels of the day s&p 500 up half a% nasdaq up about three quarters of 1%. also checking out what's happening with some of the major sectors as we wrap up the quarter here technology the clear outperformer so far as we wrap things up in q1 of 2019. you can see here as we take a look at the overall picture tech up 19% s&p 500 up 13% worst performing sector, health care, that was the best performing sector last year. and to wrap things up the stock of the day so far the best performer in the s&p 500 is carmax, the auto retailer

posting better than expected profits. miss on sales. but comparable sales growth in used sar sales they are up 10%. big move for carmax on a lyft ipo day. >> anti-climatic >> relatively quiet. we'll take a nice half percent decent day for the overall picture. >> this is lyft hanging on to 80 bucks a share. the stock of the day that everybody is talking about is lyft with shares climbing in the first hours of trade also today former fed chair janet yellen saying the fed won't cut rates in 2019. then vice chair he said more rate hikes could be ahead. new home sales hit an 11 month high in february with a big revision oil is moving higher againand on pace for its biggest

quarterly rise since 2009. >> reporter: shares of lyft opened for trade at 11:45 a.m. eastern at around $87 a share. currently trading at around $80. we're off the highs in total the ride hailing company raised around drs. 2.4 billion make being it the biggest ipo for the mads sin nasdaq since fabricate in 2012 kicking off what everybody will expect a tech frenzy now while lyft is seeing a pop in today's trade investors i caught up with here said success for lyft will not be determined by today's performance, it will be in the coming months where lyft has to prove to investors that it is still increasing its footprint, expanding its user base and working towards becoming a profitable company. >> yes

that being the key andrew ross sorkin is out in los angeles at the lyft driver hub been there all morning got a chance to ride along with the company's two co-founders. they carpool on their way to work there's andrew along for the trip andrew ross sorkin joins me live fl from los angeles >> andrew given the facebook ipo in 2012 some trades were botched and had to pay some fines and apologize, this one appears to have gone off smoothly even if the price is coming back down towards 80 >> so far so good in terms of what is a relatively smooth open there's some traders out there who have asked some questions about the trade. but as you mentioned the stock now off the highs of the day and, of course, a lot of that, i think, is the result of a question and it's the ultimate question mark over at lyft

also the ultimate question of uber, which is can these companies become profitable? there's a company that makes over $2 billion in revenue but losing over $900 every year. that's a question that i put to both of the founders this morning in terms of what the path to profitability really is. >> we're very confident in the long term profitability of this model and again as logan said we're making a decision that is aligned with our shareholders. >> how much is the current model -- >> current model works very well the economics are good and, again, we would be not doing the right thing if we were focused on the next one two years. we were focused on the next three, four, five. >> one of the things that might make the economics look even better is when and if we get to the world of autonomous vehicle

in which case there wouldn't be the cost of the driver of course that opens up all sorts of other questions about additional co aal competition t comes into this space. i asked the issue about autonomous vehicles. their answer might surprise you. >> i think as with most new technologies people overestimate the near term impact and underestimate the long term impact we don't think there will be an autonomous vehicle in the next few years that can do all of that just won't drop down and take over we do think a few years out and we don't have a magic number but a few years out, probably start to see first generation autonomous vehicles that can do a small percentage of that >> i will say big the wakeaway s the shift in thinking about autonomous vehicles and how soon they are coming. some comments made over the

years how quickly we'll see it a lot more minds now talking about this being five, ten years out until we see something quite meaningful and that will raise all sorts of questions for all sorts of companies general motors is a big winner in this transaction today because they were an early partner. no longer. but they invested in cruz. we'll see where that goes. >> all that being the longer term story to follow along with lyft i want to talk about the last 24 hours. the initial pricing range was $62 to $68 that was boaosted up to high to mid-70s. it's trying to hold $80 right now. is this going to be good enough for this stock as far as the rest of the ipo pipeline is concerned? >> it's a great question there's the age old question

about ipos which is if it bumps up too much on day one, the founders and company have left too much money on the table. if the investors get a great day, yes you can get enthusiasm but the flip side is they've given too much away. if you gate 10% gain on day one everybody looks at that positively sure if it had gone up 10%, 20%, 30% would it be different? if you're with uber or pinterest where the stock is trading right now you take that as a positive. call me in a week. >> up 11%. did you say you heard some questions about the open were there any concerns from the trading community? >> no. look i think this was, as you said at the outset a big issue related -- this is the largest ipo since facebook and given those troubles we've got a little bit of traffic on e-mail talk about opening and close. for the most part as you said

from the outset this has been relatively smooth. >> andrew, thank you so much let's dig a little deeper with the co-president of drexel hamilton which is one of the underwriters for lyft. and the co-founder of globe.com and ceo of slated. john, how do you feel as an underwriter? >> i think today is a great day for wall street and the 29 underwriting banks, just to follow up on some of that thought. the range was raised to 70, 72 will it make a double digit gain today or 9%. that doesn't matter. what really matters is what we saw with the ability to come together to produce a great ipo and the technology to support it >> we didn't hit 80 or 90, didn't hit 100 is there an argument that's a good thing i'm only thing about the other companies listed who don't want

to leave money on the table but they want to make sure there's enough interest. >> it's a balance to figure out what to leave on the table and whatnot. on the first day of the road show for lyft it was over subscribed lost track of keeping 20 times, 30 times over subscribed that's an excellent signal for the other tech companies waiting in the wings >> stefan what do you think about lyft not only how it's gone as an ipo, an important one for the nasdaq, a bellwether for everybody everybody else, how does it took to you >> although they have been the david to you peruber's goliath, tripled their revenues we're in an economy where everything is moving to ride

sharing and eventually automated driving. therefore the upside potential is enormous, even with competition. i'm just happy for them, by the way, i want to mention, speaking of ipo pricing pops. that they barely left any money on the tabling if you remember the days of the globe.com it went up 1,000%. talk about leaving money on table that was a disaster. these guys did it really well. >> that goes back to the underwriting process but the retail public and the interest that they might have in participating not just today but hanging on to this thing what is the case for lyft as an investment here? $900 mill lost last year i heard people describe it as a duopoly. it's ride hailing from an app and uber has other business lines. they have uber eats, uber freight, different things going on aside from the sort of hazy future of autonomous driving what's the case for owning lyft

today? >> again adding uber air and lyft more of a domestic play there is a bid to lyft for a reason investors are getting involved for a reason because of their growth potential so there is an excellent case to be an owner of lyft. >> the growth potential could be a double edge sword. if you grow more and you lose more stefan, they have trimmed their losses relative to their growth. is there a path to profitability or will these guys figure out a way? >> of course most dot-com-comdot-coms that yn the most famous one was amazon as a shareholder you're betting on the team that they know what they are doing from the interview that andrew ross sorkin just did with the co-founders they know their economics, they believe in it

and anyone who has seen this knows that there is a lot these guys can do to grow their top line and trim the bottomline that's the name of the game. >> stefan, the only thing i would say is the company is fairly mature. it's been private for a number of years not like it just started yesterday. they still can't show that path to profitability at the same time you're talking about a company that might depending on how you look at it -- they said they are not losing money on every ride that's fine. but you just have to wonder amazon from the beginning said look we're focused on cash flow, operating cash flow, that's what we care about, that's what we'll measure ourselves by i don't necessarily seeing lyft saying the same kind of thing. >> amazon was losing money for a decade, by the way jeff bezos famously said maybe on your show don't buy our stock it's not for the feint of heart. they were ready to lose billions of dollars a year after a decade

they were able to manage their cash flow. amazon still had verticals that were losing money and some that were covering those losses it will be the same thing with lyft they believe in the model. i believe in the model i mean if you're going to buy the stock you better be ready to hold on for a year or two or longer and be prepared for a bumpy ride this is a long term play >> guys, thank you very much we got some breaking news out of washington. let's get to eamon javers. >> that's right. we're getting word that the administrator of the small business administration is expected to step down. no word on who her successor is expected to be linda mcmahon is a former professional wrestling executive. she became close with the trump campaign during the 2016 time frame. a big political donor and senate candidate in her own right linda mcmahon has been at the

small business administration since the beginning of the trump administration and no word yet on who is expected to be her successor. thanks here's what else is coming up on "the exchange" >> announcer: ahead, constructive that's what steve mnuchkin says about the most recent trade talks with china plus star agent scott boris joins us why he says there's a cancer spreading in baseball right now. and robots are taking over college campuses this is "the exchange" on cnbc i don't know what's going on. i've done all sorts of research, read earnings reports, looked at chart patterns. i've even built my own historic trading model. and you're still not sure if you want to make the trade? exactly. sounds like a case of analysis paralysis. is there a cure? td ameritrade's trade desk. they can help gut check your strategies

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welcome back stocks started climbing this morning well before the lyft ipo on trade optimism. the white house saying talks between the u.s. and china in beijing were candid and constructive kayla tausche joins us now >> reporter: that statement came hours after the conclusion of talks. a closing photo op by the two sides appeared congeneral. president trump's top trade official ambassador robert lighthizer shaking hands with china's vice premier then followed by the treasury secretary steven mnuchkin

stepping in and doing the same it conveys those two nairoegotis are on equal footing signals u.s. and china will be on equal footing with equal number of trips to each country. leo hood the vice premier returning to d.c. next week for another round. the two sides are said to have made big progress. bloomberg is reporting the u.s. is working to make sure nothing gets lost in translation with chinese interpretation of certain concessions less committal than the two sides expected >> you don't want a translation error. i was struck by what steve bannon said. not sounding optimistic on trade. >> i think we're a ways away from that. if you look at the back and forth on this, i think the chinese are digging in and i think some of the hawks in china are starting to dig in and hey

it would be nice if we had a deal but no deal is better for us than a bad deal we have a long way to go >> would you make much of that >> reporter: there are a lot of cross currents steve bannon has been a famed china pessimist. some china optimists believe if they get a deal china will make good on it but if you have a weak deal, a deal not much in the way of teeth that president trump could only get tougher going into the campaign season. he'll feel he has to deliver in a new way in getting tough on china and that could be worse from the chinese >> all right kayla, thanks. markets still rallying this afternoon. coming up measles breaking out across the country at a rapid rate tim sloan abruptly announced his retirement last night from wells fargo and several

lawmakers are speaking out against any golden parachute for the ceo. that's coming up in "rapid fire". stay with us servicenow put our workflows in the cloud. this changes everything. you're right sir... everything. well not everything, i mean you're still blatantly sucking up to me gary. ahhh... stop it. servicenow. works for you. a cfp professional is trained, knowledgeable, and committed to financial planning in your best interest. find your certified financial planner™ professional at letsmakeaplan.org.

welcome back to "the exchange". here are some of the movers this hour let's get a check on lyft. it jumped 23% when it opened but come down since. up just about 13% or so. trading just under $81 we'll watch it closely shares of celgene moved up

about a 7% or 8% pop bristol is moving slower comcast, the worst performer on the nasdaq 100 today after rbc downgraded the company they are citing worries over households dropping cable in favor of streaming services. this is an outrage let's get to sue herera. >> here's what's happening at this hour. a huge pro brexit march that started in the north of england has arrived in london. this as parliament rejected the government's divorce deal with the european union for a third time prime minister theresa may says the future looks grave >> i think it should be a matter of profound regret to every member of this house that once again we have been unable to support leaving the european union in an orderly fashion. the implications of the house's decision are grave >> the department of homeland

security wants to speed up deportations for unaccompanied migrant children kirstjen nielsen outlining her proposal in a letter she intends to send to congress. south korea's spy agency telling lawmakers that north korea has nearly completed its work to restore a long range rocket launch facility that it had partially dismantled last year at the start of the denuclearization talks it also says the north's uranium enrichment facility at its main nuclear complex remains fully operational. you are up to date that's the news update at this hour back to you. just about 30 minutes to go before "power lunch" >> we have a special guest larry kudlow will join us for an extended segment where we begin by talking about the progress made with respect to trade and progress yet to be made. there are three front. europe north american free trade agreement. whatever they are calling it

of course, china then we move on the a discussion of the economy, what effects the tax cuts have. what effects slowing growth may have on the u.s. economy going forward. larry will come here he's packed with numbers >> will he be in the house >> he's in the house he'll be on the set. >> congratulations on. virginia >> oh, yes, nice win >> here's what's hide on the "the exchange" >> announcer: coming up, lyft's instant billionaires one company's warning about the high real estate market. blackberry beats big that's right blackberry and organic slurpees ahead it's all ahead in "rap fe"idir

>> announcer: today lyft hit the street opening price and valuation. investor reaction and strategy lyft ipo all day team coverage continues on cnbc. sponsored by td ameritrade welcome back let's catch you up on a few stories that should be on your radar today. it's time for "rapid fire" welcome to everyone. let's talk about lyft for another moment i'm curious to see if it breaks below $80. $80.20 right now most anticipated ipo so far of the year, first day of trading on the nasdaq opened at 87.24.

combined share value is over a billion dollars. >> all i can tell you is it was a good thing they went first right? if uber had gone, they are ten times the size of lyft is anybody going to care about lyft after uber came out better they go first >> i saw this on closing bell for how many years so much about a company going public is -- look at levis everybody down there was in denim and good chance to tell the company story. >> timing was good there this is a good stock market. strong ipo market. but good thing it went before uber >> there was a moment where the two founders were together a billionaire. they are joint billionaires. their stock is worth about $1.2 billion when it was trading at 85 now just under 1.1

>> neither become billionaires on their own it's interesting because they have so much voting control of the company. >> this is a company where the two founders together own less than 5%. that's really unusual if you look at the recent history of ipos for tech companies and the reason is they sold so much of it to the private market before they went public this is a fairly mature tech company and part of the consequence of being mature for so long without going public by now the founders have given up everything but voting. >> so you have all this enthusiasm for a company that's not profitable this enthusiasm gets diluted when uber comes down the pipe and other tech ipos happen by that point -- >> first couple of quarters, we've seen this time and again seen with it facebook, twitter once you have to put out the

nitty gritty, people tend to get queasy >> what's interesting you look at the comparable valuations this company is worth more than ferrari. you have prius' driving around and they don't even own the prius. >> lyft hanging on to a 12% gain let's talk about restoration hardware which despite beating on earnings it missed on the bottom line and issued weak guidance because of weakness in high end housing super volatile >> this stock has a history of being volatile anyway. look at a five year chart. it's all over the map. yes, they are suffering on the high end, which is their market that they cater to because of the deductions that people have. >> it is true that the high end of the housing market is suffering. look at new york, california, simply too much supply of these

giant over priced homes and not enough buyers especially as foreign buyers have dropped out of the market. what they are not saying and why this is declining for the outlook for this year is not so much the overall market is style and look wealthy no longer like the $3,000 distressed wood giant dining room table or big fluffy white couch. it's all going to the italian modern furniture when you go in these mansions now -- >> only you would know >> wealthy are like lemons when two or three billionaires do they they all do it they are all buying sleek italian milan furniture from italy that's minimalist and sleek. it's gone out of style >> when did rh become a luxury brand for multi-billionaires it's a store that now suddenly has raised its prices so you can

go in and buy -- i know i shop at the outlet. two things their membership sales have lagged somewhat. they were trying to get into this thing where you were going to pay 100 bucks or whatever and that's lagging >> too expensive >> they might have outpaced. >> the best thing is go at christmas and they have these soft line. bootys and they are like $20 so comfortable >> i always feel like i'm walking through the museum right? >> free to touch anything. all right. wells fargo ceo tim sloan stepping down after 30 years at the bank it was a surprise move yesterday evening. sloan said in a statement i have decided it's best for the company that i step aside. the stock actually popped on this news initially. now moving lower today a downgrade this morning there's some talk about what this transition to a general counsel who only has been there

for a couple of years will look like >> they need to hurry up and get a new leader at the helm this was the beating by elizabeth warren saying he's too closely associated with this bank we don't know how involved he's been in this decision make he can't efficiently change this brand. i'll tell you the other big banks, though, who have high value top executives better build a wall around them because you know they are going start trying to poach some of these top leaders. >> he had to go. he's a nice man. we interviewed him for years he came to symbolize the scandal era that plagued them. let's not forget he was the chief financial officer of this company while all of this was going on, the shenanigans of creating these fake accounts so the optics were never good for tim sloan.

he aspired to that position for years. >> every time he said we're done then there was something else. he did this great interview with wilbur ross, okay servicing done then next week or so more came out. he never got ahead of it he never said okay, we're going to come clean and wipe the slate clean and bring in new blood >> it is important they bring an outsider in. that's key >> we'll see who that is for wells. let's talk about blackberry. i thought this would be fun on lyft ipo day blackberry reported earning and. it beat estimates on earnings and revenue big time the largest driver of blackberry is not phones it's the licensing revenue. this is what's interesting the long term chart blackberry which is just over 10 bucks today was trading at $130, speck up to almost $140 back in 2008 and then it was a crash and it's been a slow grind ever since even under the ceo >> he's done a great job

i don't care any more. i have an iphone now >> they have systems for cars and things like that that you can go in. this is telling. i was at the meadowlands sports book for the beginning of opening day and march madness and talking to a guy about the importance of mobile in sports betting. he goes i haven't yet figured out to make my sports bet because i just got a iphone and just let my blackberry go. >> i do miss the keyboard. >> i do too. i had an instance where my blackberry failed me on a trip and i said that was hit. strike three, you're gone. >> finally today 7/eleven has opened a lab store outside of dallas to test the convenience store's new products with consumers. some things are interest handmade tacos, craft beer, but

organy slurpees. >> remember when mcdonald's did this big push we're going become hae healthy. mcdonald's customer didn't want that they went back to the value menu and breakfast and doing the mcdonald's thing they risk alienating their core consumers. >> to be clear they are not overhauling all the stores they're going to do -- this is just five lab stores they will test it out in places where like san diego there might be a high demand for cucumber slurpees why do you mess with a good things these organic slurpees are not carbonated why wouldn't you go to an organic juice play craft beer, you had me at craft beer >> this is business model creep.

another example years ago not only for mcdonald's going healthy but dunkin' donuts no longer wanted to compete against other doughnut chains thefted to compete against starbucks. now coffee is the big thing. >> package food being weight loss systems having to innovate to appeal to people who want this organic, keto whatever. why wouldn't 7/eleven be immune to that. >> go where the growth is. they are not getting rid -- they are keeping the microwaveable rice-a-roni cups thank goodness >> thank you all forget the mega contracts of bryce harper, manny machado and matt trout the overall pay system in jomar league baseball is broken and needs a massive overhaul that's next on "the exchange".

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welcome back keeping an eye on markets the dow hanging on to a 150 point gain today just over half a percent similar gain for nasdaq. s&p is up 11 all of this with lyft's ipo happening an hour or two ago he's baseball's most powerful sports agent known for negotiating the largest contracts in sports history including bryce harper ears latest deal with the feels boris joins me with our own sports reporter. scott thank you for joining us >> pleasure to be with you >> the thing that caught my attention was the fact for the second year in a row average baseball salaries are down on opening day. attendance is back down to 2003 levels even as we're seeing these big mega deals being signed is there something broken in baseball, scott? >> well, we have record revenues

and the game is kind of recession proof investment for owners i think one of the problems we have with the game today is that it very profitable to lose we have a noncompetitive cancer that's operating in the game% we had the red sox win the world series last year and had a tremendous team. yet their attendance was down. the reason for that is that clubs coming to town to play boston is more predictive of loss for the visiting team, they are not competitive because there are a number of owners, mainly as many as 30%in the game that are telling their fans and taking that approach that winning 80 games or 85 games is not productive for their franchise. >> scott, how do you fix the model right now where owners seem to be fighting more against the players in terms of not giving them money rather than they are fighting against other owners to try to win on the field?

>> i think the first thing is that we have a reserve system in place prior to the implementation on the drags of value of free agency the value is player gives away six years of control to one team and the reward of that is through seniority his value would increase where he can bid as a free agent with all 30 clubs. in today's world we have mvps being paid the minimum salary because they are under the reserve system when those players become 29 and 30-year-old veterans they have concocted a flawed predictive device that rendered those players of little value per their independent assessment among the clubs. >> this is where, you know, i heard people say that aaron judd

makes $600,000 a year. when you go on the free market and this is one chance guys have to make money. we saw bryce harp per, mike trout get these huge contracts is it a sense they are not as good as they appear. >> i want scott as opinion seems to me a lot of these teams they overvalue the young players because they know they don't have to pay them that much as soon as you become an older player your value goes way down even though the year before you were just the same player and they were paying you a lot less. >> the accuracy of this is that there are more veteran players over the age of 30 starting and playing in the major leagues than there are players that are 25 and under the reason that they are playing is because managers put them in the lineup because they are a greater asset for winning to team to suggest these players are not

of value is not indicative of what managers and coaches and those who evaluate talent actually put on the field. in fact for pitchers we've seen a dramatic increase in the value of a veteran pitcher 30 and over versus what we saw ten years ago. we have 34 pitchers start 25 or more games that were 25 and under in 2008 and in 2018 we only had 21. so the striving towards the veteran has become something of greater value yet we have a predictive system that's suggesting that relatively there are only around 55 or so players that are even four win players in their system. it's something derived unilaterally not clktly bargained been something that they have universally applied and consequently in the face of record revenues we're having drops in attendance because of so many teams have found it

profitable not to win, which in my mind damages the integrity of the game >> final question, scott we've heard a lot of the players unhappy about this and wondering what's going on. how much of a push will there be to change these rules, and could we be talking about a strike >> well, i think any time you have a reserve system that's been bargained upon the premise of you will receive something if you show seniority and value, experience and productivity, yet if you now have a system that portrays that seniority and that performance as being of little value the very reserve system upon which you've had, i think, a very labor stability is now something that has to be completely re-evaluated. >> all right guys, thank you both very much scott, a pleasureto see you. >> always a pleasure thank you. >> thank you so much

college student will no longer have to head to the dining hall for meals thanks to a special delivery service kate rogers is in fairfax, virginia at gmu with that story. >> reporter: that's right. this is the first college to offer food and beverage delivery via autonomous robot we'll tell you all about it after the break. by the way, i think my lunch is on the way we'll show you next. with shipsticks.com makes it fast & easy to get to your golf destination. with just a few clicks or a phone call, we'll pick up and deliver your clubs on-time, guaranteed, for as low as $39.99. shipsticks.com saves you time and money. make it simple. make it ship sticks.

meeting your friends at the dining hall is so last semester. at least for students at george mason university they're getting food delivered by robot now where kate rogers is on campus with the story. hey, kelly. >> reporter: the college first to team up with star ship technologies to offer food and beverage delivery basically on demand via autonomous robot. since launching this service in late january, they say about 10,000 deliveries have been made so far via robot services have been extended to 2:00 al. there are plans to make that 24 hours in the near future with restaurants including dunkin, subway, steak and shake and einstein brothers all participating. good news, starbucks and chick-fil-a on the way very soon delivery fees low.

$1.99 and used to be a novelty to get these deliveries via robot but now just become a part of life on campus. >> in the very beginning, people used to just order drinks and have a robot come to their dorm and show their friends but they're ordering more normal things now, kind of died down but still very popular we get so many orders a day. >> reporter: the company said there's been a big boost in breakfast deliveries i guess the students are happy not to have to leave their dorms to eat in the morning and always talk about robots taking away jobs and replacing humans but in fact, these particular robots have actually added more than 20 student jobs on campus to meet this growing demand, guys. i love to stay and chat. but i have to eat my lunch which is here right now. >> robots are creating jobs. kate, thanks so much i want to see. oh, pizza. perfect. >> it's a pizza, kelly >> perfect for college thank you, so much there have been 314 confirmed cases of measles in

2019 so far. that is said to easily surpass last year's number the drastic steps one community is taking to stem the outbreak there is next. stick around for "power lunch. larry kudlow joining us to talk about trade, the yield curve and markets around 2:30 p.m. and axios reporting now. he wants the federal reserve to immediately cut rates by half a percta pengeoint we'll ask him about it don't miss it. hi. this is the man that's going to check your eyes grandma. cognizant ai solutions are helping healthcare companies advance diagnostics and prevent blindness in patients with diabetes. everything looks good. you have beautiful eyes. ♪

this week, officials in new york's rockland county took unprecedented measures in an effort to stem an outbreak of measles within the community including a 30 day ban on unvaccinated minors from any enclosed public spaces joining me to explain these drastic measures taken in the community is rockland county executive ed day and joining me is nbc news medical correspondent dr. john torres. welcome to you both. ed, i'll begin with you. how can you possibly keep people from going into public spaces, right? it's meant to be a drastic step, but how are you really expecting people to react? >> bottom line is we expect people to react because we've gotten their attention there's a lot of focus on this right now and people basically

are going to their doctors right now and clinics. they have far more immunizations over the past couple of days we're not enforcing it by having people check people and things of that nature but basically, people simply understand now that we're serious about this, it's been six months we've taken these steps so we don't have the experience that brooklyn is happening right now with 31 cases in one week. >> since october of 2018, an executive order pulled close to 600 unvaccinated students out of rockland county and administered 17,000 doses of the vaccine in 26 weeks and you're saying 500 more in the last couple of days. >> since we made the announcement, yes. >> that was going to be my question and we'll get into the business aspect of it i go to the costco in your county i've got a 9 month old i don't want him anywhere near there unless i'm sure this will be cleaned up. the only way cleaned up is if people get vaccinated. is that happening at high enough rates? >> early returns, it takes 14 days before doctors require to put in that immunize somebody.

we've seen 500 in a matter of a couple of days we believe we're on the right path to get at least 93% immunization rate with the first shot, but upcoming holidays with easter and passover. >> you're trying to get to 93% dr. john torres, we know we need to be upwards of 95 to in some cases 96 or 97% to protect public health. is there a crisis across the country if so many of these communities fall way short of those levels >> i think what you're seeing is exactly that a lot of communities are falling short of those levels and the problem is when that happens, that herd immunity, where enough people are vaccinated protecting those that can't get vaccinated, especially the young children, that breaks down and measles starts to get into the community. i was talking to the measles experts of the world and he said one of his big concerns is that measles used to not be indendemc

since 2000, we thought measles eliminated now making a comeback and he doesn't think we can say it's not indemmic anymore it can be entrenched and hard to get rid of and what mr. day is doing with an answer of what happened in the past close businesses down because they don't want the measles to spread instead, the children aren't vaccinated, let's keep them at home so the businesses don't have to close down >> ed, after that 30 days is up, there's still going to be a high share of people not vaccinated you force people >> school regulations do make people get the shots and i think they need to be tightened up, frankly. legislation right now to tighten up that also there's way too much, it's all about me going on. this is a greater good situation, as the doctor mentioned. herd immunity is critically important. get the first shot into kids and understand something the immunization rate of under

18 is 72% and the infection, 85% under 18 so we're targeting that audience basically, so we are able to effectively slow down this disease >> dr. john torres, thank you both for joining me to explain this issue appreciate it. thank you, that's it for "the exchange" today. "power lunch" starts now >> i'm melissa lee with tyler mathisen president trump's top economic adviser larry kudlow with us here live. he just said he wants the fed to cut rates now by 50 basis points and we'll ask him more about that and out of the gate, lyft, will it limp into the close in a bull market, in like a bear, out like a bull. stocks with best quarter in more than a decade. last trending day of the quarter said to duoogo out on a high no. triple digit rally for the dow right now. "power lunch" starts right