opportunity for them to make inroads to go from a kind of -- >> last to first >> are you excited about 5g? >> so excited. i cannot wait! >> you are as i was earnings season yesterday >> on that note thanks for watching "power. "closing bell" starts right now. >> welcome into the final hour of trade disney shares having their best day in nearly ten years. we'll look at the potential risks for its new streaming service. a $33 billion deal in the energy space chevron announces it's buying and other stocks. 5g just got a big boost from the trump administration "closing bell" starts right now. >> i like that i'm wilfred frost along with

sara eisen welcome back >> thank you >> a good trip to washington, d.c. you stayed longer. you had more interviews than me. they were great. >> i enjoyed your bank hearings. i listened to all of it. >> check in on the markets with 59 minutes left of trade 0.9% s&p is up. the nasdaq up. the banks are really nailing it today. jpmorgan up 4% financials as a sector up 1.6%, tops the list. health care the only negative sector >> wells fargo nailed it >> nope. >> shares of wells fargo under pressure after the earnings call the cfo john shrewsberry >> let's begin with the broader market, the three key reasons. bob pisani >> reporter: first, it's a perfect day for the bulls. just off the high.

number one strong china data and jamie dimon laying out the bull scenario saying the u.s. economy is strong. bottom line it looks like analysts have been cutting their numbers too much and estimates are going higher less than 2% on the nasdaq the russell 2000 small caps 9% away another company that's powering the dow higher today, what a day for disney just look at these numbers volume, five times normal. 11% gain that's the biggest 1% -- one-day gain for disney in ten years disney is cracking the top 20 companies by market value for the first time ever in league with pfizer and at&t you can tell the investing

public really likes it back to you. >> bob, thank you. we're going to pick up right there. disney ceo bob iger sat down with our david faber and gave a confident outlook. listen >> the content because of the user interface and the price i believe this will be successful if in five years' time i prove to be wrong or we prove to be wrong, we're still making great content that will be in demand globally >> joining us to discuss more is the chairman of springboard enterprises, founder and former chairman and ceo of usa networks welcome, kay >> good to be here >> are you as a former industry insider as excited as wall street appears to be about this new disney plus? >> this is the biggest transformation in the expansion

of choices for the consumer that was controlled by a third party, cable operators and satellite operators. it's the consumer. it's going to be the fight for the consumer, direct to consumer this is where we are now disney is the biggest company with the most content that can lead this way. that's a bold move i feel they're right >> they're making this service $7 a month do you think everyone will sign up could the timts be way too low >> i think it's an accessible price point in the marketplace and very affordable for most families i think that's a key point they want people to sign up for it i think that probably for two to three years they won't change the price because they want to get people to sign up. i don't think that's a problem for them

everybody is really looking at this as a competitive thing between netflix and disney, and i don't think it's a zero sum gain i don't. i think there are a couple winners. these are the two i would say are going to be winners. you can see the market liked them today stock is up, what, 11% for the day. netflix is down just shy of 5% for the day. so the market is saying this is a good move. i don't think it will be straight up, though. they have challenges in the first couple years really getting this up and operating. >> one of the questions is how many can be winners. you mentioned disney and netflix, what about amazon, our parent company comcast launching something, at&t, time warner >> there are a lot of players in the marketplace. the others are starting way behind universal isn't launching yet. at&t has completely changed the model for hbo and turner networks they have a long way to go

they're starting at the beginning. apple is starting at the beginning with their big announcement recently about the people they're bringing onboard but haven't created the programming yet. amazon is there with prime and competitive but they are such a different business model, you really can't say it's a direct head-to-head competition if you ask who are the big competitors today this is it, netflix and disney and i think that both are going to be winners long term. >> are we focusing too much on the disney plus aspect of this and not enough on hulu and espn? there will be a discounted bundle as well >> look at espn. they are getting $7 from the cable and satellite operator the direct espn plus is, what, $4.99 a month. it's a discount. we have to look at how many people are sports fans that will pay extra for sports there's a big delta difference between total cable homes and those that really would

subscribe to sports. espn will face a downward draft on the number of homes they're going to get to through espn plus and the subscriber revenues bob iger represents their company well when he's focusing on disney plus and the espn will be a successful service but is not an international service in the way disney plus is all the emphasis is on disney plus neither one of them are total global businesses. i think there will be a downdraft on the espn, distribution and revenue stream. >> wall street question, is disney able to do this with a clearer path to profitability than, say, netflix which has to spend billions on content because it already has such valuable franchises or eventually will disney be

spending like that, too? >> i think they're both competitive and you see how netflix has stepped up its spend over $8 billion on original content. they're doing a catch-up game. they were already two years ago, three years ago anticipating this change in the marketplace and who knows what the others -- the other studios are going to do with access for netflix to their product. that remains to be seen. when they put up their own services netflix is smartly creating a lot of their own product they have a lot of marketing know-how in identifying their subscribers and what they like to have and have 140 million subscribers worldwide. this is a huge, huge lead which i think will not go away they are the leader in the international market by far. >> thanks for joining us great to see you still to come on "the closing bell," wells fargo posting a beat on earnings

first with john shrewsberry, weighing in on the numbers and who he thinks could take over. >> shares of anadarko surging 32%, 33% today who could beheextoaka al t nt me that's the beat of global markets, the rhythm of the world. but to us, it's the pace of tomorrow. with ingenuity, technologies, and markets expertise we create the possible. and when you do that, you don't chase the pace of tomorrow. you set it. nasdaq. rewrite tomorrow.

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now through april 14. ♪ you just saw jpmorgan up 4%, moving the other direction as they reported numbers today wells fargo, down nearly 3% despite beating estimates. the company says net interest income will fall 2% to 5% in the year ahead, more than analysts were expecting they will wonder who will take over as ceo. i asked house financial services chairman maxine waters whether she was pleased tim sloan had resigned after her hearing >> i think he knew that his time was up and that he had not received any support from his

colleagues and from the members of congress and he knew that he could not be successful if he stayed so he did the right thing. >> we are joined by cfo john shrewsberry in a first on cnbc interview, is a member of the cmbc ceo council thanks for joining us. >> thanks. sounds like you are having fun on the floor >> somebody is behind us i'm not sure what happened there. >> traders >> about tim sloan's departure, we heard from maxine waters there and she was relatively constrained compared to the likes of senator warren. do you think tim sloan was treated unfairly by politicians? >> it's not for me to say whether he was treated fairly. he was pretty clear he thought he had become a distraction, in his words, and that the company was better off in re-inventing

itself and moving forward under a new ceo and working with the board. the board decided that person should come from the outside i will say that this was his last quarter as the ceo of wells fargo and you mentioned we had a beat versus analyst expectations it was a quarter producing almost $6 billion worth of net income, customer feedback in terms of their experience in our branches is at three-year highs. things are going really well on the ground with the company as it relates to how he faced off with customers and how we generate income and that's a testament for the leadership he brought for the company. in his view, he had become a distraction and it was time for somebody from the outside to lead the company going forward >> the guidance wasn't right i'm not sure i would be celebrating on a day of a 3% decline. anyway, but back to the issue of mr. sloan, how is morale at the company following what is

another big moment in terms of trying to shake off the issues of the past? >> i think morale is good. tim having resigned and made a sacrifice so the company can move forward is good it's a real gesture about the fact some things need to be different in meeting expectations both of ourselves and our regulators around operational risk and compliance, the source of some of the contention over time you may have seen we got awarded among the top 25 of sought after companies for people coming from the outside. our attrition is quite low i would say as a reflection there's a headwind but people feel good working for wells

fargo. results have been steady notwithstanding our forecast for net interest income. >> people may feel good about working there but i don't know about take that ing that ceo sp. wells fargo ceo could be banking's worst job. how long do you think this will take and how hard is it going to be >> it's really hard to say attract and retain what they believe is the best ceo. the committee engaged somebody from the outside it's been a couple weeks i have no idea they'll be able to attract a top quality to that role >> let's go to the guidance on the net income >> sure. >> it was different from the

likes of jpmorgan and pnc today. you set the guidance in january and on the call a few weeks back when tim announced he was retiring he said no surprise financial information to come. what's happened? now that the yield curve has moved down and stayed down, we had a risk in the markets and in bonds. we're probably 100 basis points down the possibility of that being more temporary seems to be off the table. we understand we'll be reinvesting in a flatter and

lower yield curve. that's a piece of it there's the question of what happens with deposit price this is year, the deposit costs as we complete the fed's cycle of hikes. we've maintained very low deposit costs through this reversal of fed policy and we model and estimate that costs might continue to increase on our call today there were some investors who assumed we were being conservative there we want to let people know that. we said down 2% to 5%. previously we said might be down as much as 2%. it will depend on what happens with industry loan growth, what the slope of the yield curve is and what happens with deposit prices those are among the things that are driving it it's different than what we heard from other people. we'll see how people perform versus their guidance. >> sure.

i guess that is the confusion because it is different from other people and you're all dealing with the same yield curve. one area of difference in the past quarter and the past couple of quarters has been loan growth yours linked quarter over quarter was broad based decline, commercial loans, consumer loans, mortgages, home equity, credit cards and auto all fell what do you think is going wrong there that isn't going wrong with some of your competitors? >> sure. a few different things at play we merged with wachovia ten years ago. we've been selling them which has an impact overall. on the other side we've been adding almost equally with newly originated jumbo mortgage loans, we're the largest in that space.

in our auto business we've been shrinking it we're on the verge of growing it again, we restructured it. we took our foot off the gas with respect to growth and anticipation we shared with investors whether it's this quarter or next quarter that balance should begin to grow again. credit cards are seasonally down because people pay down their credit card debt in the first quarter after running up receivables. that's a natural phenomenon and across the broad array of business loans there are different things afoot we have great growth other businesses are more cyclical as capital markets are open, balances will run down capital markets more closed and balances ran up. we're all the product of the mix of loans we have we may still be running off noncore assets which at this

point in the cycle has an impact on the overall growth rate and an impact on the net interest calculation i gave because those ten could be higher yielding assets as well >> are you still feeling the impact of the scandals in terms of reputational damage for consumers and prospective clients? >> i would say with respect to our 70 million customers, we serve one in three households in the u.s., relationship is great. i mentioned the scores that we have with loyalty, et cetera predates the beginning of the sales practice in banking. there's no question with prospects, it's definitely harder to the extent that a portion of our growth is coming from adding new people, new customers to the

mix, we're adding some at slower rates than previously. >> of course it's not being lifted what was one of the big blows, i guess, of tim's most recent year or so in charge. 4 you're new interim ceo was asked on "the call" what you're now going to be doing differently compared to the last 6 to 12 months to get that lifted he said the basic answer to your question we're going to be working harder and smarter and focusing on execution and doing that with a sense of urgency i'm sure you wouldn't say the work wasn't hard or smart or urgent what prospect is there this asset cap gets lifted anytime soon >> great question. what was missing, an approach to

planning the work, to excuse the work than to assessing the maturity of the work and continually improving it all of those things happened in a particular cadence they began with the fed consent order was put in place each have a structure, planning it out, putting the right people in, planning further at a more detailed level, executing. we're later in the cycle today which is good. later in some streams of work, i'm sure, than in others it's further down the type of work and the nature of work that has to be done as i said on the call this morning it's business process by business process identification of risks and

controls so the aggregation of what we do and how we do it is well understood, well controlled and well governed. >> a broad question about running a big bank like wells fargo. i guess one of the complicated aspects is the balance sheet handling the capital do you think it's possible never having that experience in the past >> people bring skill sets there are lots of highly regulated industries i'm sure the right candidate will have some combination of those things that allows them to stem in and

it will help if they're supported by people in a variety of roles that reflect the risks that we have credit risk, funding risk, capital, as you say. it takes a team to do that i'm sure the board will find the right person >> are you insulted it will be an outside candidate >> no, i'm not insulted. i respect the way tim approached it and the way the board approached it. and, really, it is important to allow wells fargo to turn the page and that's what's happening here >> john, as always, we appreciate your time particularly on earnings day thank you very much. >> thanks, wilf. thank you, sara. bye-bye. >> thanks, john. still to come, the white house are rolling out plans for the deployment of 5g technology. we'll define what atth is and who could be the winners and losers

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time now for cnbc news update with sue herera >> hello, everyone here is what's happening this hour president trump says he is giving strong consideration to placing illegal immigrants in sanctuary cities only. the tweet ran just hours after the white house said that idea was no longer under

consideration. house speaker nancy pelosi says the idea is disrespectful. she spoke after democrats took part in a retreat. >> i don't know anything about it but it's just another notion that is unworthy and disrespectful to the challenges we face as a country, as a people, a nation of immigrants julian assange's mother has taken to twitter to call on authorities to be gentle with her son who has been jailed in london after his removal from the ecuadoran embassy. she says her son has been deprived of medical care and asked police to be patient, kind and gentle with him. that is the news update this hour i will send it back to you >> sue, thank you very much. we're getting new comments on 5g to eamon javers.

>> reporter: apologies, it's busier here than usual we had a minor, apparently, security incident. business does go on. they held this event on 5g, the president announcing a rollout of a $20 billion investment. i had a chance to talk to the chairman and asked him about the administration's efforts to pressure european allies to crack down on the chinese company the united states says is potential security threat to nations that use that chinese equipment in their internet infrastructure i asked if he was frush traited about that here is what he said >> we believe the security and reliability of 5g networks is absolutely important not just national competitiveness but matter of national security. i've been encouraged in my conversations with our european allies across the continent about the importance of security at 5g networks the need to have a framework to

understand the risk profile is something we recognize a framework that works for everybody. >> reporter: ajit pai saying this is a collaborative process. he's encouraged by some of the comments from the allies the white house is taking steps on this spectrum option, the biggest of all time to push 5g domestically back over to you >> eamon, thank you very much for that for more on 5g let's bring in jon fortt. jon, is the u.s. behind the curve on this, and how quickly could they catch up with moves

like this? >> wilf, i wouldn't say the u.s. is behind the curve. in the conversations i had with various leaders and regulators around the world, actually the u.s. and china are leading in 5g deployment right now verizon a couple weeks ago announced they were rolling out 5g service in minneapolis and chicago to beat south korea to the punch. south korea is a dense country they're often ahead. they have samsung which is very much in the game when it comes to 5g equipment and also phones. so whereas china is expected to lead on the industrial side, big manufacturing economy there, the u.s. is expected to lead when it comes to consumer applications as the u.s. did with 3g and 4g and the smartphone revolution because there are so many consumers here with amazon echos

and iphones and samsung phones on down the line >> give us the key players to watch, which companies, which stocks could be moving and what the trump administration just announced. >> you got equipment makers, particularly erickson is out there trying to execute. the first wave of players getting involved in this.sson it there trying to execute. the first wave of players getting involved in this cisco i would put in there with the equipment. then the telcos who are deploying the networks 5g is flexible mid band is what we're used to talking about. and then high band spectrum you

can use to execute fast connections. not really for moving around so much what gets developed first and that's this stage we're in it could be software players who are very aggressive in the space such as nokia. it's anybody's game. >> to be clear, jon, this is about data speed any other ways 5g will change the game >> it's about speed but not just about speed. it's not just about speed as low power. you can have low power devices that don't need that much power.

not run the power down so quickly and still function big data crunching that you couldn't do before under older wireless networks and that is the potential of this if done right >> up next, the stocks and the energy patch that could be rig r a.ht kevin, meet your father. kevin kevin kevin kevin kevin kevin kevin kevin kevin

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and accessoriesphones for your mobile phone. like this device to increase volume on your cell phone. - ( phone ringing ) - get details on this state program call or visit chevron announcing it will acquire anadarko petroleum in a cash and stock deal making it the second largest international oil company up from fourth joining us is kyle cooper, consultant for ion energy. is this the sort of deal that sets off a competitive chain reaction and more m&a? >> yeah, i think so. it's one of the largest producers of oil in the world by itself

all of the middle east, there's less than 400 rigs working in all of the middle east today's report from baker hughes said 464 rigs working there alone. it's an opportunity for companies to either merge, to stay competitive or to buy others like chevron just did of anadarko >> we've been talking all day about the other potential targets. before we get to that, i'm interested who you think the potential acquirers. are we looking at companies overseas as the acquirers? >> chevron's u.s.-based. exxon mobil bought some assets a while back and announced a project. the big ones that come to mind chevron, bp, your bigs that have the balance sheet to do a deal of this size others want to merge so they don't get purchased.

oxy is rumored to try but got usurped by chevron or eog or pioneer. >> why now the price of oil is back up. do the deals just happen when prices are higher and companies feel more comfortable? >> the production growth is phenomenal the cost of acquiring or extr t extracting the oil drops companies are looking to streamline and remain competitive. >> kyle, oil prices are higher despite buying a company chevron

is able to increase its buyback. >> and that goes to the efficiencies and everything they've been able to extract the capabilities of what the industry has done is phenomenal in getting more and more efficient. that's why the companies are able to continue their buybacks which was a low oil price compared to where it was in '13 and '14. >> kyle, we'll leave it there. thank you very much. >> thank you >> kyle cooper an early investor on uber to break down the risks and rewards of the company's ipo >> does president trump have a dangerous obsession with the markets? we'll talk about his "new york times" op-ed and what investors need to do about it. ♪ hoo

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morgan stanley investment management, trump's dangerous on session with the markets, highlights how the president has been making critical decisions based on stock market moves. joining us now to talk more

about it why is that so dangerous >> i think this is firstly we are historically conditioned to thinking about what will be the reaction to economic news. when you are making policy with the objective, that dangerous. it is three and a half simes larger than the global economy it is no longer the market just reflects what's happening in the economy but drives what's happening in the economy and as far as policies are concerned as well >> could you not argue so far at least in his term as president it's worked, the economy has been strong and the market has

been strong. you couldn't, for example, say the same to the same extent with the last administration where the economy wasn't as strong but the market was >> well, yes this is not a criticism of the policies as far as the current administration is concerned, but just an awareness this is what's going on and the most remarkable was on the trade front, the fact that this is one position on which the president had been consistent going back to the 1980s but we dwan to see a remarkable turnaround on the trade front some time in late october, early november when i think it became apparent to him this was sort of leading to a market decline of course you could take the positive view this is a good thing that is preventing the successes from happening as you well know the market is driven by many factors and just to start basing policy decisions on what's going on in the market, i think could lead to

the wrong conclusions. >> is the ultimate conclusion for investors to buy this market as long as trump is in power because there's a put essentially, he's not going to let it go down >> to the extent you believe he can control the market, yes. once it breaks, then the down side is much larger. the that confidence is gone. a much more momentum driven market we spoke about the greenspan putt in the 1990s. now the incentive is to keep the market going higher. >> ruchir, on a 12-month view, what's the top country pick in

your eyes? >> the story is this the fact the u.s. economy is 25% of the economy many of these countries in indonesia, poland, these are a fraction of the mark >> ruchir, thank you >> great, thanks the s&p and nasdaq on track sive wk.r third straight potiee what's driving that rally. at leaf blowers. mad [beep] you should be mad your neighbor always wants to hang out. and you should be mad your smart fridge is unnecessarily complicated. but you're not mad,

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xfinity watchathon week. television is back! now through april 14, enjoy free access to the best shows and movies

from hbo, showtime, epix and more. what! so, you can get more into what you're into. whether it's more laughs, oops. epic escapes, or high-flying thrills, get more into what you're into. just say "watchathon" into your x1 voice remote, or download the xfinity stream app. xfinity watchathon week, free. now through april 14. nine minutes left of trade joining our exchange is chairman and ceo and rick santelli. carrie, banks leading the charge, is a time for a more meaningful lasting rally >> i think what is the most positive thing is they were

better than expected and reassuring we'll be heading into a recession. we put that to risk now. then a fear there will be a recession. jpmorgan had good earnings the bank sector is likely to have reasonably good earnings. i think investors are more comfortable buying into the market and this is one of the sectors underperforming dramatically techie is up 3% year to date >> i wonder if that's the theme, rick, playing out in the bond market, moving away from the recession or some recession false alarms >> reporter: i would debate global slowing had something to

do with it more how it affected rates outside the u.s. we could debate all day. most of the people i deal with never suspected we were going to get into recession mode. as a matter of fact they traded appropriately when the stocks were at bear market territory at the end of last year, that proved to be a wonderful buying signal now you're seeing that the equity markets, in my opinion, actually kind of pulled up the last three or four on the yield curve and i can't stress how important that is. the cash market isn't close but should we close here two-year notes are above that spike from january 3rd. tenure is at a four-week high. 2.56, half a basis point above its resistance it's going to be a close call. interest rates and stocks are at critical areas, all-time highs, close to it for stocks

they're both going to back off or zoom through. i think i'd take the latter if i had to bet >> it's been a tough week for health care. is that a buying opportunity >> well, it's an interesting comment because the health care sector, as we know, has been the worst of the major sectors up 6.5% the market is up almost 17%. if you were to dive into that you can see the smaller cap stocks, biotech, or the device companies, veterinary companies. it's the big pharma stocks that haven't done well and some of the big insurers biohaven is up 21%, or it was when i left my office, on takeover rumors. so there's interest in smaller cap and non -big pharma names. i think we have to see some sign

that either the bigger pharma companies can get new drugs approved or that there's less of a focus on price controls from either party right now >> thank you very much rick, thank you, also. have a lovely weekend to you both up next, we'll be back with the closing countdown, five minutes left of trade for the week >> after the bell we will look at the big bank earnings on deck for the next week and the names that could be good buys. this is my headquarters. this is where i trade and manage my portfolio. since i added futures, i have access to the oil markets. and gold markets. ok. i'm plugged into equities. trade confirmed. and i have global access 24/7. meaning, i can do what i need to do.

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so you can strike when the time is right. don't get mad, get e*trade and start trading today. welcome back to "the closing bell." two minutes at the trade currently up 253 points or 1% on the dow. s&p up 0.6%. russell up about 0.4 3ers. the nasdaq itself is up 0.4% sectors for you, we have financials, materials, industrials all up more than 1%. health care the only meaningful negative sector down just 1% financials outperforming because of the banks soaring today jpmorgan, outstanding results across the board good guidance. wells fargo the opposite direction, of course it wasn't just jpmorgan.

pnc reported good results. that let investors feel wells fargo is the one off the whole sector rose even if they haven't reported yet including banks like morgan stanley. a little chart for you >> if it wasn't for today we would be negative. >> you had jamie dimon you had the incredible disney move up. four days in a row a lot of people are skeptical about this rally right now. finally, not everybody is a winner did you see united health this week down 10% this is what medicare for all will do. that was on the bernie sanders thing.

some people were not waiting for this to go away. >> is this a one-day catch-up or a start of a sustained rally we'll find out next week at the bell here on friday. the dow up just over 1%. s&p up two-thirds of a percent russell and nasdaq behind. a good finish to the week. that does it for the first hour of "the closing bell." sara, back to you. welcome to "closing bell." i'm sara eisen wilfred frost rejoining me capping off an up week the dow closing higher by 270 points disney a large 86 points added. boeing added another 60.

southwemebody s&p 500 closing u. materials, communications services did well. the only group lower was health care lagging the other major averages a gain of half a percent the streaming service. chevron buying anadarko in a $33 billion deal and campbell soup selling for more than $500 million. joining us to talk about the market today stephanie link, portfolio manager. smiling because she has a triple play here, owns anadarko, owns disney and owns jpmorgan >> i do.

pretty good day. >> the smile could be bigger still. wonderful day. >> it was a wonderful day. it definitely was. i only a little bit of wells fargo. you have to stay humble, if you will >> before we dive into those individual stock movers which they all have stories to tell, on the broader market and the fact that we are seeing sup strength continuing off of catalysts, better china data, what's your overall impression of the market? >> well, what i think drove the markets is the trading data. we got total financial data, liquidity up 80% in march and up 25% in january and february. it was flat all last year and it started to recover i think we've been talking about green chutes in china, this confirms if there are some green chutes for sure. if you saw what rallied it was the cyclicals. obviously energy parmt participated because of the deal it was the industrials that had exposure to china as well.

>> doug ramsey is joining us, chief investment officer doug, we were just saying how today's rally there were stocks specific but decent macro data out of china >> continues to be fear of missing out. hear it all the time it's been a wonderful melt up. we certainly didn't see it to the extent it occurred we came into this year pretty conservative we're neutral right now. balancing off some of the economic risks and i think the lags, impact of tighter policy throughout last year not just in the u.s. but globally. that tightening impacts the economy with the lag i think we'll see dicey economics. >> we're reminded of 1999.

>> i am. i am it's the leadership. it's a scare that we had in the fall of 1998 ltcm that triggered three fed rate cuts we didn't have rate cuts but had an about-face that triggered in, the leadership is similar. today was certainly broader. it's tech and consumer discretionary. it's all very mindful of that period of 1999 >> streaming service, ceo bob iger sitting down with david faber discussing competition with streamers like netflix.

>> robust content distribution i like launching when we are launching and believe that it's a great time for us. >> a huge jump in the share price. why, do you think? >> the story and the narrative now where all the other hot technology are in they're right there. the expectations we would get investments, we got a lot of detail 60 million to 90 million subscribers by 2024. if they can come close to that, that is exciting you can get comfortable with theth $8 a share the stock is trading at 17 1/2 times forward.

the content was the highlight. people really didn't know if they get the license >> they trotted out jennifer aniston and oprah and a lot of big stars. didn't put a price didn't put a lot of specifics. the rollout date, how it was going to be packaged do you play some of the stocks, the streaming strategies off each other in. >> people did think it was going to be very vague information we needed so i think, yeah, it's not really surprising that apple was down on the day or it lagged for much of the day because they didn't have an offering that was as compelling and we can't change

numbers as a result. now they are coming down because of the investment. it should have been down more in my opinion >> a competitive threat? >> yes the competitive threat, the content. the content was so compelling and, as i say, it only gets better as they buy in the licenses again >> doug, where do you stand on this, 15%, 17% spread in disney and netflix today. is that justified? >> i don't think i can weigh in on that. disney was the first stock i ever bought. they do own espn >> in a good way or a bad way. >> is the hulu subscription an extra boost? >> i think it's the core product. if they bundle it together,

they're probably still working that through if we bundle it together, but on its own the core is quite attractive both on the top and bottom lines. jamie dimon issued some bullish commentary saying the u.s. economic expansion could go on for years. wells fargo, though, gave up its early gains after cfo shrewsberry said he expected weaker profits in 2019 than the street had expected. briefly under threat during the wells fargo call focus more on pnc and jpmorgan was this yield curve question mark isn't going to damage the outlook for the rest of the year there still is a question to make sure the other banks next week go in line with pnc and jpmorgan

>> well, i thought the nim was a positive surprise. a great job on the call today. fine, the yield curve is flattening you're almost -- i thought of those comments and almost said it's like goldilocks for them right now. you have capital markets strong in the month of march. i thought their efficiency ratio coming down two points was impressive they caught up this quarter was like the old jpmorgan that we know. you're seeing this catch-up trade. they do have issues. they have to get the ceo in the seat first >> how much do you think that's an overhang on the valuation for wells? >> it's a big overhang

i held my position because i'm getting a dividend yield while i wait i think the stock traded at a premium. i think there is value there it's a good franchise. they just have to fix their core problems >> how long does this sort of delay and underperformance become permanent long-term damage do they lose market share? this has dragged on longer than people expected. >> i'm sure they are losing market share but it is still a good franchise and they do still have -- they're one of the fifth largest banks in the country -- in the world it is still a great franchise. they just have to fix the big problems and the cost issue is a real problem for the company and always has been. that shows they have some room

to improve. >> did you get any macro takeaways? >> i didn't see them -- i didn't look at them closely the latest run of data have been mixed. i've been impressed by the job market holding in there quite frankly. 50-year low on unemployment claims, pretty decent jobs number last week the numbers have come in stronger sthan what i would have expected after the fourth quarter we had in the market and the hit that put on confidence confidence is critical this thing could last a while longer hence the stock market because it drives confidence >> it's up a lot

>> thebank performance, how other sectors are set up they had underperformed the market >> the sell-off in health care is interesting it does have some growth to it and is not as expensive as staples or utilities if you want to be defensive. they're selling off health care in a big way the hmos got hammered. i think you're seeing this massive rotation out of health care and they're going into these very low expectation sectors. financials is one of them. energy, that has been miserable. i own energy i've been overweight energy and have been miserable. today was a nice day i hope it lasts. >> on the banks as well, all of the big six banks are still down over 12 months to the s&p up 10%.

>> that's why you've seen a big jump the question now does it juice them for a more meaningful rally? the last quarter a bit of a bounce they still underperformed three months >> the other banks report on that to see how much after catalyst >> and you have another catalyst, not so far away. so maybe you can see the momentum continue. i think the pipeline of deals, what jamie dimon was saying, that's powerful and does drive higher earnings. >> let's talk about that energy deal it was major anadarko petroleum up more than 30% after chevron announced it will acquire the oil and gas driller for a deal valued at $33 billion. also soared as the market tries to look at the next potential takeover target in that space.

you own anadarko do you own others? >> i own conco i own chevron. >> this deal really shocked people, even the bulls on chevron. there are so many. they have colorado, gulf of mexico, mozambique, a lot of exposure that isn't as attractive when we heard it was anadarko, i was happy but shocked they didn't go after concho >> what's your view on them? doug, excuse me. doug, not michael. >> yeah, i think that's possible animal spirits have been rekindled. i don't know the specifics of

the deal >> and stephanie, back to whether there's a broad range of potential suitors. so are the banks with the movement as well >> yeah. and that comes back to it's good for the bank earnings. it will help the banks no matter what that's why the stocks have rallied. to your point it's a show-me group. we'll see what happens next week i feel pretty good by the way, m&a is a direct reflection of how confident ceos are. so to the extent you see m&a pick up which we have been, obviously they're feeling better, much better than in january, february and much better than the second half of last year. >> i wanted to hit campbell soup because it is announcing today that it's selling its fresh food division to an affiliate of butterfly equity this is the u.s. food company's first major sale as part of its big cost cutting divestiture

plan bolthouse farms is expected to close by the end of fiscal 2019. they're selling it back for a much lower price in fact, almost a third of what they paid for. morrison, the former ceo, bought it for $1.5 billion. they're spinning off noncore assets that they can't figure out. campbell's always tricky to get into the fresh carrots and the tomatoes focusing on the center of the supermarket which is snacks and packaged soups as part of their transformation and selling off assets at a big discount to what they paid for them kellogg was another example. >> you know who is now running campbell he was at pinnacle who just sold to conagra he is a moneymaker for sure.

>> they cited execution problems on that pinnacle deal. >> for sure, but you made a lot of money when they got taken over at $67 a share. when he took over the stock was in the 30s he's done a great job. he did a great job with the company and now he's at campbell and will do the same thing i don't know if you can fix soup like bird's eye which is what pinnacle was, right? it remains to be seen. to your point, they have a great snacks business and they can expand on that, i think. >> do you own campbell >> i don't but i like it i picked it as my final trade on another cnbc show. >> back to the great day you've had today, disney, jpmorgan, which of those would you add to after these jumps, if any? >> i added to morgan stanley >> up 4.5% today >> it was. i've been buying the stock we got some color that activity

would improve. i added there because that's what the highlight was at jpmorgan, investment banking and not as bad kind of a thing i think that's a potential reversion quarter. last quarter wasn't so good. that's the one i've been adding to i'll see about disney. it is a reratings story. >> stephanie, great to see you as always. doug ramsey, thank you also for joining us much appreciate it a news alert on facebook >> reporter: facebook making changes to its board of directors. departing the board while pay pal senior vice president peggy alford is joining facebook's board of directors unclear what's behind the change it does come after instagram added a push into payment. both hastings had been on the board since 2011 no major movement in the stock sara, back to you. thank you very much. bank stocks surging as we were discussing with stephanie.

next, we will talk about those earnings and which stocks you should pick ahead of next week's set of reports also, lyft shares falling again today, now down 17% since going public coming up we'll ask an uber investor whether he's ncnecoerd the stock could fall on lyft's trajectory read earnings report, 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 and answer all your toughest questions. sounds perfect. see, your stress level was here and i got you down to here, i've done my job. call for a strategy gut check with td ameritrade. ♪ car vending machines and buying a car 100% online.vented now we've created a brand new way for you to sell your car.

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black rock cutting larry fink's total pay more than 4% according to an s.e.c. filing making $25.5 million compared to $27.7 million in 2017. poor larry blockrock shares down nearly 15% over that year jpmorgan and wells fargo kicking off banks earnings with companies beating analyst estimates but their stocks seeing differenting reactions. bank of america and morgan stanley set to report. >> what are the key metrics to watch? analyst at barclays and portfolio manager at hennessey funds. what do you take away from the earnings we got today?

>> i think jpmorgan is much more indicative than wells fargo, a lot of can have specific issues. you saw a modern interest in growth margin still expanded a little bit. you saw positive operating leverage benign credit card metrics very active share repurchase a lot of themes continue into the first quarter of this year >> jason, some of the community angry at wells fargo because it's a significant cut to the guidance other banks haven't have to do >> it's been a frustrating story. ever since their sales practice issues came to full light in september 2016, it's been a long slog to get them on track,

announcing they will change the ceo, the most recent portion of it it takes a long time to turn a big ship >> david, were you pleased to see that some of those reports out today and does it make you think this is the start of a meaningful turning point for their share prices >> one of the things jason didn't mention is the improvement in the efficiencies and the other businesses they're getting into these companies are building a more predictable earnings stream that is, i think, going to show up in valuation over time. it isn't a growth story, a sexy disney story, an m&a story they have to convince the market they have predictable earnings to continue growing, to buy back and pay dividends.

the hope is we can get valuation bump time will tell rates going up are very important. they don't need to go up a lot presumably the recession is over has been positive for this group. >> we get all of this information and most looks better or the bank of japan or fed cut odds now at 50% for december go up these macro factors. will that be offset now? >> certainly banks are a reflection of the economy. they've withbeen able to control costs so it doesn't take a lot of revenue growth to get good

earnings growth. these banks outperform the non-u.s. markets >> david, if you had to pick out one of the big six, which would it be? >> i still think bank of america is the best choice i love jpmorgan but i think bank of america has more upside, more things to get better i think they have great exposure to the consumer. i think it's underappreciated as a franchise in america >> jason, quickly, same question to you of the big six. >> going into the quarter jpmorgan was our top pick. we didn't see anything today that would cause us to revisit that >> have a great week, jason and david. >> thank you boeing a major catalyst despite another airline extending the grounding of the 737 max planes the details straight ahead

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welcome back take a look at how we finished the day on wall street the dow not far from its highs of the day up 270 points the high was 294 points. s&p at 0.7%. nasdaq and russell lagged a little a positive day, a positive end to the week taking us into positive territory for three of the four indices

>> the dow the big winner today thanks to disney and boeing. speaking of boeing, southwest the latest airline to extend its grounding of the boeing 737 max planes phil lebeau joins us with more >> reporter: and, sara, a meeting between the faa as well as representatives from the ntsb and pilot unions of the airlines that fry the 737 max just wrapped up in washington a statement by the faa summarized saying faa administrator elwell said that he wanted to know what operators and pilots of ts 737 max think as the agency evaluates what needs to be done before the faa makes a decision to return the aircraft to service. it's not coming back anytime soon take a look at where the airlines stand in terms of getting the max back into their schedules. the soonest would be united on may 31st don't be surprised if they join southwest in pushing that out. i just talked with some folks

familiar with what was discussed at this meeting and essentially comes down to this the faa has a good sense of what the software fix will be that boeing proposes for the 737 max. the biggest thing they're waiting on, guys, how boeing believes pilots training should be improved or enhanced when it comes to the 737 max that's the latest looking at this airplane and when we might see it come back into service in the united states. >> phil, i feel like we're obviously focusing on how long a delay will be, the cut in production, what it means for earnings the faa has grounded the planes until it comes out, why aren't we asking the question who is, therefore, taking responsibility for the lives lost and if that falls on boeing, surely the repercussions will be bigger than a delay in production >> reporter: they're huge for boeing

part will be taken care of by insurance. some of that there will be some multiy million dollars, tens of millions will be paid out in claims likely. whenever there's an airplane crash you have the victims' families suing not only the airline but the aircraft maker, in this case boeing. that will take time to ferret out. whether or not that is how many millions of dollars ultimately that will cost boeing is hard to say at this point. believe me there are people who are looking into that. to your point why shares of boeing are moving higher, it's all about production yes, they have cut it back in terms of what they're at right now relative to where they were. the expectation they will ultimately be able to make that up over the next year and a half >> still no indication any heads should roll or people, individuals, needing to take responsibility >> reporter: not specifically

named. we're not at that point yet. whenever there's a tragedy like this there will be some people moving around in certain roles we haven't seen it to the point they say this guy, get rid of him. >> phil, thank you very much time for an update with sue herera hello, everyone. here is what's happening this hour vice president pence touring flood damaged homes and farms in the midwest. he met with farmers in junction, iowa, along the border with nebraska getting a firsthand look at the widespread damage. >> i'm here on the president's behalf to say to this family and all the families across iowa we're with you we're going to stay with you, we're going to work with your governor, work with your senators until we rebuild iowa bigger and better than ever before

elizabeth warren joining striking workers at a stop and shop in massachusetts. she brought doughnuts to the striking workers and told them she will fight for the dignity of working people. >> the message is to be fair what workers are asking for is fair wages, health care benefits and a decent chance at a retirement and stop n shop makes billions in profits and turns around and wants to squeeze its workers >> that's the news update. back down to you sara >> sue, thank you. speaking of presidential hopefuls mayor pete talking about what he thinks are the most important economic issues now. john harwood joins us with more. >> reporter: he is a big believer in capitalism, a former mckinsey management consultant he thinks capitalism is not

working for everyone and wants big changes in taxes and spending i ask the him how do you fix what's wrong without damaging what's right >> we have to define what success looks like is it just the number? the gdp, or are prospering it tells you you have to rate these exchanges between distribution and growth more evenly it's great to say, you know, it's all win-wins. an economy more equitable tends to grow better we shouldn't shy away, pretend that all of this stuff can be done, that you can make everybody better off while making nobody worse. there are some people not paying their share, some corporations are not contributing the way they should. until we recalibrate,

investments that do, in fact, pay for themselves overall but some people may have to pay more than others because some people, frankly, are getting a free ride on the productive energy that's going to take real choice >> reporter: so what you see from pete buttigieg is somebody who is rare among politicians. they don't often say some people will win, some will lose from our policies this is somebody you're going to be hearing a lot more from. he's risen to third. outraised some of his better known counterparts, $7 million in the first quarter he formally announces on sunday in south bend where he's the mayor. >> i'm glad you talked to him. we haven't heard much about his economic policies versus senator elizabeth warren, for instance, or a bernie sanders. we hear about issues what are they? does he have a wealth tax like

the other democrats? >> he is open to a wealth tax. he doesn't have a specific proposal he's interested in a wealth tax, in higher estate taxes higher marginal rates for the top earners and this will be of interest to our audience in a financial transaction tax. there's profits being made based on millisecond differences in trade. his view is that adds no real value to the economy so why not tax it >> john, he's 37 is that an advantage or disadvantage when running for president? >> reporter: both. it helps him appeal to millennial who is are a rising force in the democratic party and to contrast the idea with elizabeth warren for that matter that he certainly understands the concerns of a younger

generation and he represents change by his person on the other hand he is trying to move from the mayor of south bend to the oval office. that is a big jump big jump for everyone but especially for a 37-year-old guy who has been the mayor for eight years. his argument to me was that that is a feature not a bug of his campaign because many democrats have neglected the middle of the country and the concerns of some of those trump voters, the working class voters, and that by being close to the ground running a small city like south bend he is more in tune to those concerns >> john, i have to say i couldn't do those speak easies like you which i always adore. do you ever eat the food it's just like screaming at you and it just sits there >> i think they do >> reporter: wilf, i usually eat

more of the food than the interviewer. we did this -- we've done this for a while. since nancy pelosi had a freeze frame done by the republican party of her taking a bite of ice cream and sent out, people have been shy about eating too much i'm usually hungrier and i don't care if it gets on me. >> they do the talking, you do the eating >> reporter: exactly >> in particular i thought i would have not been able to continue like you did. great stuff. thank you very much. want to catch the full interview on line on cnbc.com. we will speak to an uber investor about winning the ride share war with lyft. is this ride safe? i assembled it myself last night. i think i did an ok job.

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we have a mark flash >> reporter: you can't sneak anything by us shares plunging in extended trade after announcing it will discontinue trials for one of its drugs targeting bladder cancer the decision follows a review of data for 62 patients that showed treatment with clovis' drug may

not provide a benefit. it is continuing to evaluate potential treatments for bladder cancer the stock is down 14% here in extended trade wilf, back to you. up next, a huge blessing that's what alibaba's founder calls a work day, six days a week >> the consumer goods giant, platforms ain big way coming up on our radar my experience with usaa has been excellent.

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welcome back here are some other stories on "the closing bell" radar today procter & gamble calling out online ad platforms for moving too slowly improving their advertising practices. chief pritchard criticizing them for not doing enough to keep ads from appearing next to harmful content saying p&g would move ads to safer havens. i think this is a big deal he didn't name names or call out facebook but the quote is important. it's not acceptable, he says, to have brands showing up where opioids are being offered, illegal drugs are promoted or where violence is seen p&g is the most, one of the most important advertisers for some of these digital platforms they have spent so much money on them i think if they start threatening and criticizing these companies, it's a big

deal >> i agree it's a big deal i want to focus on the fact he said we've been tolerant too long we've criticized facebook for being too reactive, to take too long to act here you probably have to say these advertisers are taken too long as well. we've said when will it really lead to a change in behavior, it's if the consumers, the users, start leaving -- >> or the advertisers. >> facebook is starting to move itself you could have seen stronger, clearer action from the money from the advertisers sooner. i think it's only fair to raise that point >> they did boycott youtube a few years ago when some of the content showed up next to terrorist content. >> small moves only so far >> i wonder if other consumer companies, auto companies will follow alibaba founder defending the culture of working overtime at chinese tech companies. talking to employees he called the industry's usual schedule of a 7:00 a.m. to 9:00 p.m. work day six days a week a huge blessing

he went on to say if you don't work 996, as he calls it, when you're young, you can never work 996, he would never have made it if you want heart and ambition, climb the ladder this is the thing you should be able to do i applaud this the world has gone too soft and this is a good example saying if you want to work really hard, work harder than other people, so be it >> i think it was meant to be an inspirational message. >> there's officially laws -- i don't know if they have them there but they do across europe of a maximum working week which, again, people work longer than that if they want but it's not a good lesson to children growing up to think, oh, you only have to work six hours a day and no one can make you work later. rubbish. if you want to make money like jack ma and be one of the most successful men in the world you don't do it by working six hours a day, five days a week. >> depends what your job is. >> you don't get to jack ma's

place. >> true. uber in the fast lane. could be the biggest tech ipo, but will lyft's rough ride so far actually have investors slamming the brakes? we'll discuss. netflix falling ahead of its earnings report. e technician says more pain to come for the streaming giant so we're answering their questions. aflac is auto insurance, right? no. uh uh. is it homeowner's insurance? no... uhuhuhuh! is it duck insurance? nope. ahhh! do they pay me money directly when i get sick or injured? yeah. aflac! you got it. you know aflac! boom! get help with expenses health insurance doesn't cover. get to know us at... aflac dot com.

uber releasing its long-awaited ipo filing last night aiming for a valuation of $100 billion making it one of the largest initial public offerings of all time. >> joining us to discuss is the founder of rocker fuel is a shareholder of uber. jeff, when did you get in your venture firm >> i got in in 2015.

it actually with my actual firm they have right now. i got in as an individual in 2015 at a $50 billion valuation which at the time i thought was crazy, but here we are 2019 things look very different >> do you think it will go public at $100,000 valuation >> i do. it's the success story of all venture. it's the biggest talk on the street, and it's going to probably bring the biggest hype and the biggest price we've ever seen in our u.s. economy anyway. >> did you weigh up investing in lyft in 2015 when you went into uber and why did you pick uber over lift? >> uber is the god father of this space they created this thing, and the other thing, uber is a very creative organization. they're into a lot of different things their revenue is diversified they're in 62 different countries. it's not just the lyft rides it's also uber eats.

it's also the scooters, the bikes and the shipping business that they're in. so for me, it's a -- it's an organization that's more focused on a bigger, bigger picture which for me as an investor is more interesting >> so what would you tell a prospective investor who is looking at this ipo? obviously, a lot higher value than when you got in and so far the coverage is really focused on the fact that they're losing a lot of money and it's hard to see a clear path to profitability and the tremendous revenue growth that they had in the early years is declining >> well, it's declining for the natural reason, right? there are more competitors that are coming into the space. i think leadership has done a great job year over year they took $2 billion out of their expense line, and i think that this is a company -- you know, this is -- it's like investing in in -- in, it's a company that will take time to fill in its shoes. i don't think that we can really

judge it like it is today and this is an innovative company that does a lot of different things the thing about what it is as an investor it's what it's going to be tomorrow and it's a company that spend $5 hu00 million in research and development and we don't know what tomorrow will look like, but it will be interesting. >> when do you think it will be profitable >> absolutely hard to say. >> you know, it could be five years. it could be eight years and ten years, but again, this is a creative economy company, and i think as investors we have to understand that and we have to be patient with that and no different than tesla or any other company that sits in this particular space. >> jeff ransdall, thank you for joining us. >> thank you, guys happy friday to everybody. >> indeed. up next, your wall street look ahead and key things app stors need to have as we wr uthe trading week stay with us "closing bell" will be right back alpha seems more elusive today.

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gained for the third week in a row. the dow is the biggest winner up 1% the nasdaq and the russell underperformed and they're both closing higher for the day and the week and here's a look at the big winners. disney, the showstopper today trading 11.5% and trading at a record, but bee also saw strength in names like j.p. morgan chase after the earnings. boeing climbing 2.5% and that helped the dow goldman sachs and the other financials did well, too >> here is a look at what's coming up on the closing bell next week. monday we'll get big financial sector earnings citigroup, goldman sachs and also m & t and charles schwab and all of those have risen today off of today's bank reports tuesday, we have bank of america, black rock and johnson & johnson, ibm, netflix and united continental. >> earnings break continues wednesday. we'll get morgan stanley, u.s.

bancorp, las vegas, and abbott labs and earnings from american express. bbnt suntrust, blackstone and travelers and the market will be closed a week from today for good friday. >> they'll do some work on thursday when pepsico comes out. >> we grab the earnings and we like the earnings coverage. >> you've got work over the weekend, as well >> an interview. >> i can't tell you who it is right now, but seriously, the earnings setup investors have to weigh a low bar for expectations we are expecting an earnings decline, actually in terms of profits and whether the companies can continue like j.p. morgan and beat that bar and keep this market rally going >> we saw that in the size of the reaction and the upside, up 4.5% because all of the big six banks were down for the last 12 months when the s&p was up 9.5% and a big jump today, does not necessarily mean it's a turning

point for more momentum? not yet and we'll have to see if that materializes. >> and we'll hear from the other big banks in the beginning of the week >> thank you all for watching and have a lovely weekend. >> "fast money" begins right now. "fast money" starts right now. live from the nasdaq marketsite overlooking new york city's times square i'm melissa les. tim seymour, karen finerman and guy adami. tonight a $33 billion energy deal and chevron buying anadarko petroleum and it could light the whole sector on fire we start with today's market rally and the dow surging nearly 300 points with strong data out of china gives investors a sense of euphoria and here's what sparked the rally from jamie dimon. >> you look at the american economy. the consumer is in good shape. people are going back to the workforce and companies have plenty of capital and it's still up year over year. th