they're requiring. j j&j's came out before this rule came out so they may have to tweak it >> thank you let's take a check on the markets. we've got the dow, the nasdaq and s&p 500 in positive territory after two days loss ofs. we'll see if this holds into the close. thanks for watching "power." "closing bell" right now it is the final hour of trade. i'm wilfred frost. >> i'm sara eisen. hopes for a trade deal help stabilizing the market today dow up more than 120 points. we'll give you the latest details. disney earnings due out after the close. captain marvel, espn subscribers, "star wars" and much more will be in focus we'll break down those numbers as soon as they are released >> lyft getting hit after negative reports surrounding uber's ipo what to expect for uber pricing tomorrow "closing bell" starts right now.

welcome to the "closing bell." a much calmer and more positive position in the markets with just an hour left of trade today than we've had on either the last couple of days. 0.3% on the s&p. the nasdaq up about -- the dow bup 0.5% nasdaq about 0.25% russell just negative. real estate the top performing sector utilities down let's start with stocks jumping higher on new hopes for a trade deal with china. eamon javers is at the white house with more. >> a morning full of news on the trade front here we started off with thistweet from the president earlier in the day in which he said he had new information that the chinese side was coming to washington this week in order to make a de deal that gave investors a little bit of optimism this morning sarah sanders came out and talked to reporters after that i asked her where the president

got that information, what was behind that tweet. she said they have some indications that the chinese side is coming to make a deal. but she didn't say exactly what those indications are. so that's sort of where we're left here with the expectation that liu he and the chinese delegation will be in town tomorrow to conduct last-minute negotiations before those tariffs go into effect at 12:01 a.m. on friday morning that notice has been posted on the federal register that process is under way, unless something dramatic happens in those negotiations tomorrow so that's where we're going to be watching all of this unfold no word from the white house as of right now as to whether or not liu he will come here and meet with the president. he has done that in the past he's met with the president in the oval office. and that's usually a sign that things are going well as far as both sides are concerned we'll watch for that tomorrow as well if liu he shows up here, you can bet that's an indication the negotiations are going well and maybe we're not headed for tariffs on friday. it's going to be a big day at the white house.

>> eamon, you've followed the president very closely and the way he disseminates information. do you get the feeling the fundamentals on trade talks have changed during the course of the week or just the president's positioning around it has altered? >> the white house says the chinese positioning changed last week that they walked back some commitments that they had made on paper and started trying to renegotiate some other things the white house thought was already pinned down. so they said that was the impetus for the president's tweet on sunday. but the politics of this remains the same ultimately this is a president who would like to get a deal done before 2020 so he can show his base and the american public at large that he is a dealmaker and is capable of pulling this off. he's put a lot of chips on the table in terms of negotiate with the chinese. he'd like to take some of those off and declare a win here also for the stock market. the president watches the stock market very carefully. we've seen the gyrations we've gone through on the dow during the course of this week as investors followed every little

indication one way or the other on this. you would assume there could be a big up side for the president on the stock market if he gets a deal as well so the politics suggest the president has got an incentive to cut a deal here the question is whether or not the chinese are going to give him a deal he feels he can say yes to >> i don't know if the politics suggest he needs to cut a deal urgently the mark set down 2% since he started tweeting on sunday we're still near record highs. the economy is doing pretty well a lot better than china's been doing. doesn't he have the incentive and score political points even with democrats to keep this going and stay tough on china until the market actually throws a tantrum? >> if you're looking at it through the political lens, the politics suggest he should get a deal but maybe not necessarily on friday. he could have some run time between now and 2020 to continue to negotiate just politically whether the market would give him that room or not, we've seen those gyrations during the course of the week you're right if he's dealing with the chinese

and looking tough, that's good for his base and good for him generally. we saw support from chuck schumer. typically a democratic nemesis on capitol hill saying the president which hang tough here. he's in a relatively good political position but you do think he'd like to delaid declare a victory on this between now and when the election season gets hot and heavy next year. >> thank you, eamon. let's talk about the potential for a china trade deal with barry knapp and cesar rojas, economist at citi if we do see the tariffs go through, 10% goes to 25% on the $200 billion of chinese imports into this country. what kind of price increases are we looking at for the u.s. consumer >> right o basically u.s. consumers will be affected to the point that the tariffs are increased. however, the $200 billion does not include as much of consumer

goods. so we think that in the u.s., we will see minimal increase in u.s. prices. perhaps 0.03 percentage points this year. >> minimal increase in prices. what's the hit to global growth? >> the groects is basically a decline of about 0.02 percentage points over the course of two to three years. but this is just without considering any potential feedback on financial markets or market sentiment >> but overall, when you give us those statistics, albeit clearly they're estimated. it could be worse than that, i'm thinking why doesn't he increase those tariffs because it's not that big a hit and it's presumably quite a strong bargaining chip. >> and basically, the view is that the relative -- between the u.s. and china is going to have a major role in these negotiations right now the u.s. economy is super strong markets are close to

historically high levels and the chinese economy is now stabilizing. our predictions show for the next quarter and for the second half of the year, that will change, stabilize the economy in china and moderate growth in the u.s., change the leverage. as you mentioned, the moment is now to have that leverage. perhaps it will be as strong as it is now. >> so what kind of calculus do you make as an investor given that threat hangs over the market >> my perspective on this is that -- and we wrote about this a couple of weeks ago that we're likely to get a deal and i would forget about president trump's motivations and the u.s. motivations. sure, get a deal the costs are not all that significant right now. they can be borne mostly through business confidence measures we had hits to business confidence last spring when the tariffs -- the trade war began again in the fall when the

threat of tariffs emerged. it will clearly impair things like investing in structures, physical plant, that sort of thing which is so confidence based. there's a cost to be sure. but the real reason that a deal gets done is because it's a benefit to china they've had two big investment busts in the last two years. their heavy industry, steel industry, cement and all from 14 to 16 and now their export sector they need to restructure away from state-owned enterprises the economics of them providing intellectual property protection are compelling if they want to avoid the middle income trap and move forward and have true innovation in their country. they need to protect their own innovators that calculus is here. the political part of this is a little more difficult for china because giving -- giving up control over state-owned enterprises actually emphasizing the private sector means you lose a level of political control, and that, for china, is a tough political calculus >> you think people should avoid

both asian and german quits? >> my broader point here, and glad you brought me to it, is that the secular headwinds are in the face of global trade. global trade ran at 2, 2.5 times gdp in the 2000s globalization is no longer expanding, nor is it likely to the model is to manufacture where final demand is. so if you look at chinese trade numbers last night, for example, they are very tepid. the recovery is very tepid it should be strong. korea, same story. japan, same story. what we think will happen is they'll get a deal you'll have euphoria but the other side of that deal will be very disappointing in terms of the implications for global growth in the near term night be good for china structurally in the long term. in the near term you won't get the big recovery and growth and as a consequence, those countries that are dependent

upon exports, korea, japan, germany, china, are going to disappoint, and investors should cut exposure on those, particularly if you get a euphoric rally in the equity markets. >> are there specific sectors, cesar, investors should be aware of given this looming tariff threat >> for sure. what we're seeing right now is that -- the less amount of consumer goods but we see the tariffs on friday, we expect retaliatory action by china, and that basically will leave the u.s. to target also the 325 remaining imports, which is mostly about 60% of consumer goods that come into the u.s. from china basically this means that if this escalates, retailers would be affected. >> the current list includes furniture and all sorts of food,

meat and dairy and fish and agricultural products and tobacco products and candy isn't that affecting retail already? >> yes and no. yes, because, of course, there are tariffs already and no because of the list of furniture, for example, or apparel that has been impacted it's less than 40% so the main share of those consumer goods from china is going to be impacted if tariffs escalate so to that extent we see, that could be a possibility for impacting consumers. >> what do you make of the action in the vix this week? >> i actually think it increases the probability of getting that euphoric rally had we not had this brinksmanship right before the deal, it's not clear what the reaction would have been now that the vix curve is actually inverted, you're in a spot where if we get a positive outcome tomorrow and the next couple of days, you could have a very sharp move, which, in my

view, would be a good opportunity to sell those asian markets. the draw down in u.s., even if we have to sell the news kind of event, it's likely to be fairly small so i wouldn't really recommend cutting risk in the u.s. but euphoric rally in the dax because it's all better there or japan. those should be sold >> guys, thank you both very much barry and cesar. >> we have just under 50 minutes last of trade. the dow up by 118. the high moments ago up 133 points about 0.5% gain for the dow. s&p and nasdaq just behind it. shares of lyft falling a look at what it could mean for rival uber plus, we're following the protest from uber and lyft drivers as we look at a live shot of demonstrations in l.a. also, disney earnings less than an hour away. first report since ceo bob eiger closed the big fox acquisition we'll have the key things to watch in his report.

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welcome back to "closing bell."

122-point rally on the dow near session highs here are the winners taking us higher walgreens, united technology, walt disney and nike walt disney up more than 20% so far this year. ahead of earn,s this afternoon >> it's a big week for ride-sharing companies leslie picker has new details on uber and steve bosa has more on lyft's first earnings report >> we heard from a source that uber is looking increasingly likely to price at the midpoint of $47 per share or less final pricing stie ining decisis initial public offering won't be made until tomorrow after the close of the market. and they could change their minds between now and then a confluence of factors has led to much more muted pricing than anticipated. even though uber has reset expectations on valuation from $120 billion to 80 to $91 billion. at the current range, investors have not necessarily been

flooding the gates to get into this deal. those that i've spoken with are concerned about the fundamentals and seeing a repeat of lyft with its ipo. the market conditions yesterday spooked them out and ipos are untested and new to the public markets. also some of the geopolitical tensions could impact uber unlike lyft, uber is much more of a global business and number three, lyft, in and of itself, the company reported first quarter numbers that gave little in the way of additional confidence for the ride-hailing industry as a hole ahead of uber's ipo guys >> leslie, thank you stay with us shares of lyft falling after releasing its first earnings report after the bell. let's bring in deidre bosa and what it could mean for uber. >> anyone interested in investing in uber was interested to see how lyft would do and how the market is reacting lyft beat expectations and gave

a rosier than anticipated second quarter and full-year forecast but as you can see, shares are plunging more than 7% today. part of that could be attributed to them taking away two key metrics. it makes it even more complicated for analysts to model the business and just as they're getting to know it. this was the very first quarter as a public company. another reason uber's impending ipo. pricing at the midpoint of its range for an ipo as anticipated. ber doesn't reflect well on appetite for ride sharing companies as a whole and there's just two that's on top of lyft's weak performance in public markets thus far one thing in particular that could be interesting for uber, especially when it comes to market and talks to more investors, lyft said 2019 would be a year of peak losses uber could be asked the same thing in the days ahead and may have a harder time answering guys >> in terms of the gains that we're seeing that they've made

over those gross bookings does what come at theex ens of uber and how is lyft delivering on that beat expectation? >> it's hard to judge because they both use different metrics to judge their market share. this has been an issue of contention as they try to compare the two companies. lyft has about 40% of the market other numbers say they maybe have about 30% of the market the rest going to uber this gross booking number is really important because it tells you the total addressable market it's not exactly what uber and lyft are making as a whole but it gives you an idea of the ride-sharing landscape when investors are trying to understand it. so they actually took away this booking making it harder for investors and analysts to judge and figure out when, if ever, these companies are going to be profitable >> leslie, what do you hear from your sources in terms of demand for uber is it sort of lackluster because of the lyft problem or are you hearing that they could offer different value prospects?

uber is bigger, more international and has way more businesses >> so investors that have attended the road shows and have sat down with executives and have been seriously considering investing in this company are having a hard time getting over the fundamental picture with this company and that is a top line growth rate that appears to be slowing. at least over the last few quarters and then losses which are accelerating and in this environment where people aren't sure what to make of losses that amount to about a -- a run rate of $4 billion this year, you know, how do you kind of grapple with that? especially when you loorking at a market and seeing volatility like we saw yesterday. investors are more on edge about putting so much money into a company that may not be a sure thing and have a pathway to profitability. the uber and lyft driver protests are gaining steam in san francisco. aditi roy is in the middle of the demonstrations how does it look >> hi there, sara.

it is very crowded here at the protest. i want to bring you this way about 300 people here, protesters let's look at the long line of signs here that people are carrying basically their biggest complaint is they want higher wages. they want benefits the majority of these workers are part-time workers. they are using the driving as supplemental income. along with all the protesters that are out here. we're also seeing a long caravan of uber drivers. if you come out this way, there's a long procession here of drivers that have been honking their horns. you can see they're lined up this way in support of the message, of course this is probably the biggest protest we've seen so far all day but they're going on in cities all over the u.s., including los angeles, new york, london, chicago, atlanta and the message is the same. they want higher wages as well as benefits. they also have uber drivers and

lyft drivers actually have threatened to shut down the app. what we're noticing in various cities is we haven't seen reports of that app shut down. an uber spokesperson said it only seemed like a decline in new york city of 500 drivers you can see a very vigorous protest here in front of uber headquarters in san francisco. the largest protest we've seen so far, about 300 workers. and uber, for its part, has given us a statement saying that drivers are at the heart of our service and that we can't succeed without them we'll continue to work to improve drivers' experience for and with them every day. as you know, part of the company's ipo, uber is offering incentives for certain drivers basically, about a quarter or 1.1 million of global uber drivers will be eligible for a one-time driver appreciation

award from $100 to $40,000 depending on how many trips they've completed. in talking to people out there, they say it's still not enough they say it's been a struggle driving for the company. they don't feel appreciated. and in a lot of other cities, we're not seeing as high numbers as expected. when i asked drifrvers about th, they say they're going to keep pushing on with their message. it's getting louder here people are going to start speaking back to you. >> adeets aditi roy, thank you >> the protests for new york, not far from where we are. all throughout the day there's been plenty of cars on the app it's not like it's disturbed -- >> it may be a noisy protest, but -- >> part of the business model and lyft and uber and the s1s when they file to go public, did acknowledge that having these

workers as contractors, which they identified them very specifically, means they don't get social security and other benefits like minimum wage of other full-time workers is core to the business model. so this could ultimately present a rift if things like this continue >> there's a lot of rifts. protests aren't top of mind. >> they need the drivers everyone is talking about uber's ipo, but there is a defense company that went public today and it's doing pretty well we'll tell you about it next plus, roku earnings out after the bell with disney, at&t and viacom all getting into the streaming game roku reports and what to expect, coming up. measure up? a cfa charterholder does. you've worked hard to grow your wealth. make sure you're working with a wealth manager who can grow with you.

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i moved to post 8 because we have an ipo. parsons going public the company trading under psn and having a nice pop in its opening trade up about 11% earlier within opening minutes up 15% or so it's a technology driven solutions company that really specializes in defense, intelligence and critical infrastructure i.e., they're a government contractor that does a lot on cybersecurity and defense with the u.s. government. it's the first defense and

aerospace company to go public in nine years. so far, not such a bad debut raising $500 million in this ipo. >> thanks very much. i've gone for lending club today up nicely. it reported last night about 3% per share loss estimates about 2 cents per share. revenue up 15% year over year. ebitda up 47% year over year a lot of people focussing in on the margin it improved from 10% last year to 13% this year the target roughly to go profitable overall on a gap basis is 20% and on the call they said long-term target is still 25%. lots of encourage tlment there will they ultimately apply to become a bank? that could hurt their multiple because they're seen as one of those fin tech companies not a bank but it could help their growth that question not really one for today. today improved earnings, an

upgrade from wedbush securities. $5 target price up from 33.75. nice performance for lending club when we come back, after the break, we'll focus in on gas prices and oil prices, what eye intoday. a top energy analyst will weigh in "closing bell" will be back. [knocking] ♪ ♪

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welcome back time for a cnbc news update with sue herera >> hello, everyone syrian pro-government media says troops have pushed their way into a rebel-held enclave in the northwest. it releasedfootage today of what it said was the syrian army conducting air strikes in the province french president macron laying a wreath at the tomb of the unknown soldier. he also relit the flame marking the 74th anniversary of the world war ii victory over nazi germany. baltimore police ended a month-long sit-in in the lobby of an administrative building at johns hopkins.

they protested against the creation of a campus police force and the institution's contracts with the u.s. immigration and customs enforcement agency and lelands is auctioning off a baseball autographed by 11 members of the baseball hall of fame it bears the signatures of babe ruth, ty cobb and christy matheson a similar ball fetched more than $623,000 get your checkbooks out. that's the news update this hour guys, back downtown to you >> all right, sue. >> someone will, though. ibm one of the best performing dow stocks. the company announcing plans to sell $20 billion in debt to help fund its purchase of red hat that's the largest corporate bond sale this year. mike santoli joins us from the ibm post what's notable about the corporate bond sales this week is it's happening in a week of

trade turmoil. companies testing out the waters what do you make of it >> equity volatilitvolatility a little policy uncertainty out there. but the corporate bond market remains very much open for business the capital markets, generally functioning very well. the big corporate issuers sold a similar amount of bonds. essentially being opportunistic. treasury yields being very low and then corporate debt spreads are also very tight. so if you look at the benchmark index of investment grade corporate debt, the yield around 3.6% down from 4.4% six months ago. obviously, a lot of demand for corporate paper. high quality paper like this also underscores another effect here both these companies making acquisitions we talk about debt finance stock buybacks a big element was debt financed cash acquisitions. these companies are taking stock off the board, off the public markets using debt to do that.

that, all else being equal say positive effect for equities >> okay, mike. thanks very much for that. we'll see you at post 9 in about 20 minutes time. meantime, oil prices moving higher after government data showed a decline in u.s. stockpiles u.s. sanctions on iran and venezuela also keeping the global oil markets tight let's bring in abhishek. great to see you thanks for joining us. what's your latest take on the iran situation and how much that's influencing oil prices? >> we are currently seeing that u.s. administration is clearly quite -- when it's trying to get iranian oil exports closer to zero or actually zero on paper and that message was very clear on april the 22nd when the u.s. administration decided not to extend any more favors going forward from -- it seems it's very clear that it's starting to have an impact. we've already started seeing exports for iranian crude have gone down, and i believe without

the european special purpose vehicle which the europeans were basically trying to help with iranian oil exports outside of the u.s. sanctions, without the -- without the help from that which so far hasn't shown any impact, it seems that iranian exports are likely to come off quite significantly going forward. >> is that already in the market >> not yet i think it's -- i don't believe it's completely priced in. i think there's still a risk of -- i believe coming down towards half a million further from the current levels being priced it but not technically going down to zero is being priced in. >> how quickly can others pick up that capacity like saudi arabia >> i think there's a significant capacity compared to november when the same situation was in place and we were talking about sanctions. at that point, capacity for opec was close to 1.9 currently 3.3 million barrels of capacity so we have decent spare capacity

to make up for this loss in the very near term >> what about the ratcheting up of tensions we've seen just in the last 24, 48 hours, including john bolton, national security adviser's warning to iran? >> there is definitely some -- because iran is clearly starting to feel the pressure here from u.s. and clearly the messaging around uranium enrichment, as well as some of the comments about uranium stocks and they have not been confined to that. this is a risky prop sigss, obviously, going forward, how iran reacts to the agreement if it does not abide by the jcpoa, then it's the european counterparts are likely to come under pressure to put some measures in place. >> u.s. stockpiles and inventory levels more important in the short term >> yes, because markets are looking at anything on a high

frequency database which the u.s. tends to be >> so 62.12 wti. where should that be >> wti at this point, taking into account geopolitics and tighter fundamentals we have, somewhere around mid-60s but that's really the level where it will probably find a cap as well. >> thank you very much coming up -- "closing bell," we'll get earnings from disney, roku and etsy. plus, look at beyond meat shares falling for the first time since going public last thursday down 9% today. plus, uber and lyft protesters now blocking the street in san francisco. we'll keep an eye on that story.

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welcome back we're just a few minutes from some big earnings coming after the close. let's break down what to watch in certain reports julia boorstin is looking at disney contessa brewer on roku. and etsy >> this is the first quarter that disney is including fox's

entertainment assets and disney's media network division this is in transition with cord cutting. investors will be watching to see how streaming bundles and higher affiliate fees for espn are helping offset cord cutting. they predict earnings per share to decline 14% while revenue is expected to decline about 1% from the year ago period back to you. >> shares of roku up more than 100% this year contessa brewer has the key metric to watch in this report >> we're going to watch for how many active accounts roku now has. the street is looking for 28.2 million. and how much money those accounts bring in. the average revenue per user estimates are $18.74 over a trailing 12 months we'll see whether roku benefits from new streaming services from disney and apple and whether cord cutting dampens the outlook. they have overestimated the potential gains.

susquehanna has a buy and thinks it's a great way to invest in streaming on demand. the consensus is we'll see a loss of 25 cents a share wilf >> etsy will also report earnings after the close and seema mody has a preview. >> analysts expecting earnings of 14 cents on revenue of $170 million which would be a 40% jump from a year ago growth, merchandise sales or the dollar value of items sold on its marketplace. that will tell us whether their collection of unique items continue to draw in new customers and how it's stacking up against amplified competition from amazon. part of etsy's strategy has been to increase user engagement once a customer has landed on the site and work with sellers to reduce shipping fees or remove them altogether. expectations are high going into today's report shares up about 40% this year. wilf >> seema, thank you for that we look forward to all those

earnings reports after the close which is just 16 minutes away. we're up 120 points on the dow just shy of 0.5% with the s&p up 0.3% and nasdaq up 0.25% the russell is lower why the stock has more room to run >> coming up tomorrow, mario gabelli and leon cooperman joining us to talk the market. tune in at noon for that powerful lineup.

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experience the entertainment you love on x1. access netflix, prime video, youtube and more, all with the sound of your voice. click, call or visit a store today. under 15 minutes to go in today's session. dow gains have just about halved or less than that. up almost 65 or so we've got steven de santos from jefferies, eugene profit from profit investment and rick santelli from the cme group in chicago. based on the market action, about 2% lower for the week going into today how do you think the market is positioning for these talks on thursday and friday? >> quite frankly, i think it was a little -- it's a little aggressive to be thinking that we're going to get something done and so i think, you know, down

2%, maybe potentially more, probably makes a little more sense. we've had a good run so far this year earnings numbers are okay for the large cap side not as good down cap i think, you know, a lot of good stuff has been reflected in stock prices already so far this year so a pause of 5 plus percent probably isn't unlikely. >> you are an expert on smaller midcaps. trade fears rather than domestic, u.s., would you expect to see more of an outperformance in big cap names than we've seen >> there's a couple of things. first of all if it's risk off, small cap is not going to ut perform just because -- it's more risky the other big thing is that small caps are suppliers to large cap companies. a lot of them are. and if the large cap companies get dented because of china fears, the smaller companies are also going to get hit. with that said, over the last

couple of weeks, we've started to see a better performance as the economic news has come in better than expected we're playing a little bit of a catch up but small caps outperformed by over 500 basis points in the first eight weeks of the year. so you've got a little bit of give back and now we've been outperforming from that point. >> it sounds from the notes you're also skeptical and cautious here about the trade risk and hiding out in the larger defensive stocks. what do you like right now >> i like what was just said you can have large cap names with great balance sheets. i like the pharmaceutical sector, in case we don't get a china trade deal i think we'll get a much larger sell-off than we've seen so far. i'd much rather be in large, liquid names that have the earnings power and balance sheets to provide downturn to -- >> when you look at what's happened to the dollar this week

given the sort of wild swinging macro trade fears have you been surprised how flat it's been >> oh, yes i thought it would pop through a little bit but having said that, wilf, the ones camping out at 97.5 if you take the charts back to the summer of 2017, you can see that we're hovering in a zone we haven't spent a lot of time on since then so even though it's a little disappointing, it certainly isn't giving anything back and there's a flight to safety that puts all kind of questions marks in it. it's one of the reasons the ten-year note auction went well. the story on trades changing a bit. the delegations coming tomorrow. definitely was a nasty election today. can't wait to see how the 30s look tomorrow. one other thing. tomorrow, get some march numbers that we'll be getting trade balance and wholesale inventories. the reason it's important, 3.2

is first quarter gdp those numbers could make it smaller. >> the gdp number is key when you said you saw lower quality earnings from small and mid caps, give us more color there. >> so on the small cap side, earnings down about 15% for the quarter. only beating expectations by a couple percentage points a lot of that has been from the commodity based areas. we've had a little bit of problems on the health care side mainly because you've got companies like bioteches stlat nonearners and they're taking bigger losses on that. and then we're only about halfway through the small cap reporting season so we still have tech to fill in we still have a bunch of consumer names i think consumer is going to be the interesting one to look at if we have a better economy, it should be reflective in the fact that consumer does better. so we're looking for outperformance by the consumer discretionary space.

>> eugene, what's your pick at the moment given all we've discussed? >> from the defensive side, i like the health care sector. say i'm wrong and we get a trade deal, the technology sector. but i like microsoft i like amazon. primarily because of cloud computing. they are the leaders there you have very good margins there. and they have a lot of cash. so i think that you can survive a trade deal and it's very interesting that everything was about the tweet we went up and went down based on what the president's tweet was. that's how we started the week and that's what's going on today. fundamentals will eventually rule the day and i just want to be around in large cap, liquid names while we figure this all out. >> we're seeing a little sell-off into the close. losing steam on the rally we've gotten how important is this action here in the final minutes of trade? >> i think it's something that

you kind of look at and you'll get a feel for the sentiment around the group a lot of times you get the etf buying and selling around the close and that tells you where people have positioned over the course of the day. and, obviously, sell-offing into the close, people worry about what's going to happen overnight and people position for that it seems like people are a little more cautious overall and, obviously, you'll see a little pullback at the end of the day just because, again, yo don't want to be long if something is going to happen overnight. or as your other guests mentioned, if we're going to see some sort of tweet come out that may be unexpected. >> we'll leave it there, guys. we will just have a look back at the markets which are back to flat essentially on the s&p. the dow still higher, but the nasdaq and russell are negative as we approach the close we'll have the close when we come back from the break >> after the bell, earn,s from

disney, roku and etsy. all of them veha been big winners but roku is up more than 100% so far this year.

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pretty steep drop down a little more than 2% seema mody with the details. >> grabbing headlines from reuters. executives at intel at their investment meeting, the company expects low to single-digit revenue growth between 76 to $78 billion over the next three years. and also expects operating margins about 32% over the next three years. this seems to be reacting negatively to the headlines. the stock dropping into the close now at session lows down over 2%. we'll continue to watch the stock and these headlines from executives of intel at their investor conference. wilf, back to you. >> thanks for that it's weighed on the broader market the s&p 500 intraday chart intel selling off into the close has played out for the broader market it's changed the dynamic of a tight range of the day from a bounce back to simply plateauing after what's been a negative week we look at the week to date

chart, today even with that decline into the close, markedly better than the start of the week the week as a whole still down 2.2% not as good as mike santoli at the drawing yet. the vix week to date a similar theme there. a massive jump at the start of the week we closed last friday below 13 jumped up to 20 today. the high was 22. we hit that high again today but had just come off. a little pick-up into the close. disney's big earnings report after the close. the setup quite tough for disney not just 1.2% rise today but its record all-time closing high was 139.92 only 3% off that so we'll see with that run up whether they can still beat expectations and trade higher after hours. let's look at the broader markets for you as we said the s&p lost its gains for the day. the dow almost losing its gains but just higher by 14 points the high of the session for the

dow was 130 points red now for the nasdaq and russell. going to bring in bob pisani real estate at the top utilities near the bottom. >> look how we sold off going into the close here. you noticed intel. i'm sure that may be a little factor but overall, you see what's going on here. and the reason you're selling off is because of the headline risk we've had one day we moved up overnight on headline risk. then we moved down this morning on headline miss that reuters story this morning. traders don't have a clue what's going on the easy thing to do is get as flat as you can going in here. you can see with the vix we've had, we're seeing the vix immediate front month contracts much better than the contracts out several months that's unusual >> that's the same as yesterday when we had a big selling day and just rallied a little into the close? >> they're trying to figure out where to be, and being flat is the best thing to be right now >> and in terms of sector performance, what do you make of it >> it's remarkable going into

the close, all of them were trading slightly to the up side. we didn't see any big sell-off generally everything just came down. >> utilities, communications, services and financials just dropped into negative territory. at the close there goes the bell. we're down 0.2% on the s&p the russell down about 0.5%. the dow just holding on to a gain into the close but only fractsion fractsionally. lost 100 points. that does it for us. sara, back to you. welcome to the "closing bell." i'm sara eisen wilfred frost rejoining me along with mark santoli. take a look at how we finished up the day on wall street. those gains slipping away in the final minutes of trade the dow closing higher by just 5 points we were up more than 120 points in the final hour of trade s&p went completely negative and we saw a number of groups

closing down, including utilities, financials, communication services, consumer staples, technology, materials and energy all closing in the red. the nasdaq losing 0.25%. and the russell 2000 index of small caps down about 0.5% if you are keeping score for the week, markets down, s&p about 2.25% going into thursday. and those all-important trade talks with china here in washington weer earnings watch this afternoon. investors awaiting results from disney rorks cu disney, roku, etssy and more we'll bring you the numbers as soon as we get them. rob cox is here. global editor at reuters breaking views welcome back, rob. first, though, mike, what just happened in the final moments? we got that intel slide on some of the comments made around revenue growth was that it or justi a general nervousness? >> that definitely contributed to it.

a timid, tentative bounce. the entire day we kind of spent above yesterday's lows but not even making a real challenge to yesterday's highs. so, really, one of these days of watch and wait the market is still clenched up for something here a lot of hedging going on here a lot of put options being bought volatility index never really gave up too much ground. still near 20. the market sort of behaving as if it sees event risk. probably two-way event risk based on the trade negotiations. i think we're only going to know after the fact, after we get a deal or no deal whether this was all about trade or whether it was a marked running into some resistance and complacent state, needed reason to pull back >> if it was all about trade, would we not have bounce d back more meaningfully. >> i don't see why you dive in did you ever watch "the apprentice" when gary busey was fight with meatloaf? they were fighting in public in a sense, this is what's happening.

we have this fight in public i can't remember in my lifetime when a trade negotiation between the united states and another major economy was throughout in full bloom for everyone to watch and to watch every single moment of this thing. and i feel like, why would you if you think there's any chance this is going to blow up, even though it might not actually have that big effect on earnings, you know it will have a huge effect on confidence around the world not just the united states but every other country is watching for this thing they want the two big players in the schoolyard to kiss and make up >> yet every single person that comes on this network, investors, strategists, economists say there's going to be a deal. there's too much at stake for both economies, both countries politically for both leaders it has to happen >> you'd think so. that is certainly what sensible people would say the fact that lie he is coming in from china. you kancan't get a more senior closer than that you could have li keqiang or the

president come but they're not going to come. to have someone like this come in the next couple of days and to sit down with people who aren't even as high as he is, if you will, in the pecking order in the united states government, and i think it's probably likely that something will happen, but i don't know this is a pretty quipsodic government >> do you think it will be superficial in nature which any big issues can be ironed out over twitter does it suggest we're not negotiating anything meaningful in the first place >> one thing that i go around the world talking to people, even in china about donald trump and they don't love a lot of what he's doing but they almost unanimously agree the chinese need to be negotiated with and nobody else will do it the germans aren't going to do it there's no internal pushback, particularly since they changed the constitution last year i think any change, anything that china agrees on will be a

start. but, look, are we -- can we totally expect that tomorrow morning companies can go in and buy back their joint ventures or open banks and sell to the chinese? i don't think so >> let's get to the first earnings report of the afternoon. it's roku. contessa has it for us >> here's a stock up more than 100% year to date. beat the earnings estimates on earnings loss of 9 cents a share versus the estimated quarter per share less anticipated the revenues coming at $206.7 million versus the estimate of $191.9 million let's go into some of these better picture results the platform revenue increased 79% year over year to 134.2 million. active users, they were expecting this to come in at 18.2 it actually came in now 2 million up -- up 2 million from the previous quarter to 29.1 million. and the average revenue per user, the amount of money coming in per user here, that again

beats. $19.06 versus what was estimated to be $18.74 the stock right now up 7% and climbing this was a good report for roku, guys >> yeah, absolutely. such high hopes going into it. contessa, thank you. the stock up more than 100%. a 7% pop we'll talk to the ceo. before we get there, we have disney and julia with those results. >> disney beating expectations reporting adjusted earnings per share of $1.61 that's 3 cents better. revenue coming in stronger than expected at $14.92 billion versus the $14.36 billion expected the company was expected to show revenue lower than the year-ago period but revenue increased 3% from the year earlier. looking at a couple of the different divisions here, parks and -- parks experiences and

products reporting $1.51 billion in operating income versus $1.3 billion expected on revenue of 5% from the year-ago period. the studio also reporting higher operating income than expected $534 million versus expectations of $455 million. better than expected revenue that gives us insight into bob e iger's strategy for streaming service. saying in the press release, noting positive response to the direct to consumer strategy has been gratifying. he says they're thrilled with the record-breaking success of "avengers: endgame" which is now the second highest grossing film of all-time saying it will stream exclusively on disney plus starting december 11th. they'll use the huge box office success to drive the launch of their streaming service which kicks off in november. guys, back to you. >> julia, thanks for that. disney up 2.2% came in to that report with a decent setup

mike, it was going to be a bumpy quarter with fox coming in to the numbers. steady across each of the segment lines. >> one thing you'd want to see perform well the fact they beat on earnings per share, routine right now but i do think people are feeling good about disney and want to get confirmation that there's still reason in a quarter by quarter basis to feel that way disney has done a good job of recasting the story. focusing on direct to consumer plus just sort of stunning studio performance with "avengers. so all that good feeling has the street on board. the highest kind of backing in terms of buy ratings on disney you've had in years. the stock is fully valued around 20 times it's going to be flat earnings it's going to be about the story. things are getting better and the future is coming faster than the skeptics say for disney. so far, it looks okay. i think it would be a win if the stock stays above 130 right now. has to really consolidate the

huge gain since their investor meeting. >> julia boorstin with more news from disney. >> just want to dig in on the media networks division. biggest division by revenue for the company and one that includes espn. now it looks like operating income, though, for the cable division was up 2% that was lower than expected broadcasting operating income also low are than expected manage in at just $247 million versus the $314 million that analysts had been projecting looking at the explanation here of why we're seeing that shortfall in operating income in media networks division, they are saying due to espn higher affiliate revenue partially offset by an increase in programming and production costs and a decrease in ad revenue there was a shift in college football games in the quarter. but it looks like we're seeing that balance there of contractual rate increases driving a higher affiliate revenue and on the down side, high costs with all those sports

rights so it will be interesting to see what bob iger says about that on theings call in about 20 minutes. >> 139.9 the record closing price for that stock so still off from that level in terms of individual segments, the direct to consumer revenue, $955 million estimate 925 it's an exciting part of the pie growing fast is that the key thing to watch in the years ahead >> two years ago we talked about disney it was all about espn kind of slapping out and all these concerns they seemed to have a handle on the future on the video streaming business having bought the entertainment assets of fox. now you see with "endgame," they have the content people want to pay for. espn plus, disney plus, hulu

it may be flat earnings, but to be able to transform your business, the distribution of your business to streaming era is exciting. and it's exactly why i'm sure apple will own this company in the next few years >> and maybe why it deserves a different kind of valuation. >> the market has already decided that 20 times forward earnings is well over and above what media companies get these days it's all about how much more netflix premium you get built into that part of the business they bought fox and made espn a much smaller piece of the overall company. don't have to worry as much about it >> another earnings alert on etsy seema mody with those numbers. >> a big beat on its bottom line revenue a slight miss at $169.3 million. the key metric to watch, gross merchandising sales in line with expectations 1.024. also point to some concerning comments from its management rachel glaser. the chief financial officer.

during the financial quarter of 2019 we temporarily paused some of our marketing investments in order to closely test implementality of our less mature channels and refine our attribulation models in of them sore focused on consumer growth, having that class you can dedicate toward marketing and brand awareness becomes acrucial part of their growth strategy. the fact they're saying they're temporarily pausing some of the marketing investments, perhaps something the street is looking over the stock down about 7%, although it's had a really terrific year so far, up about 40% going into today's report. back to you. >> seema, thank you. fox earnings are also out. julia boorstin with those results. >> they are also beat on the top and bottom line for fox. the company reporting adjusted earnings per share of 76 cents 9 cents better than estimates. revenues of $2.75 billion surpassing estimates of $2.16 billion. the company's press release, this is the first quarter that we're seeing this release from

fox. a stand-alone company after the separation of those entertainment assets sold to disney the company saying this increase to revenues was attributable to affiliate and advertising revenue growth of 11% and 9% respectfully, due to a 29% increase in retransmission consent revenues and 10% increase in advertising revenues at the television segment. the quote here from lockland murdoch, the ceo of fox, saying that this, as fox mentioned, a stand-alone company with strong assets and unique positions to succeed in the evolving media landscape. we're seeing a real focus on live news as well as sports. back to you. >> jeweliulia, thanks very muchr that making it work with the content. roku is an example of someone making it work without the content. what an extraordinary run they've had year to date, adding 7% in the after-hours trade. active accounts beating

significantly, 29.1 versus 28.1 million. and that shows an example hough others have missed the opportunity. roku didn't really have any content to launch off and they've done a phenomenal job. >> it's a tool it's a way to essentially get internet tv without them actually being the provider of the content for the most part. and i think the results, the increased user base and, obviously, the top line beat shows you they have a firmer place in this growing world. they'll never have to dominate it's having a defendable position -- >> they've got increasing competition as well from some of the giants they've got the amazon fire, google chromecast, right i don't know if they operate exactly the same thing >> apple tv. >> there's this war going on, right? and it takes a lot of capital to create the kind of content that people pay for so fox gave up they decided to sell that stuff and focus on news, opinion and

sports which is not, at the moment, part of that whole battle. disney wants to win that battle. they bought this then the guys who are the arms dealers. i sense some of these guys are selling essentially the tools. they are selling -- they are not necessarily getting into a battle with the big guys they are kind of just like the eels around the sharks >> i think roku is the only place where you'll be able to have all of those on the same place because netflix isn't going to be on apple tv and vice versa. because it doesn't have a competing space it has a second derivative edge to bring it all together clearly still making a loss as well >> as the cable systems did for decades before they decided to turn a profit after their investment phase >> it's appropriate we got roku, fox and disney all put out today. what do you think is going to be the key on the disney call as it relates to disney plus and the optimism surrounding it? >> i think it's out.

they detailed it got the pricing out there. we know about the film slate that would be the only suspense. maybe color on the parks how much more capacity decides pricing? they're running flat out already. >> investor day april 16th the stock has gone up something like 16% since then. so you know what the strategy is now everybody is just looking for the sort of mark are you getting closer to that >> you also have the hulu consolidation which was sort of interesting. three players to two players comcast. there are reports including cnbc.com that it may look to sell disney the whole hulu how valuable would that be >> you've seen the prices, the valuation on it. but if you are the last guy holding the piece that leads to control, you'll get a much bigger price if you'll hold out for real numbers on that one. >> okay. rob, thanks for joining us we'll leave it there on the roku guidance,

hearing from contessa that their guidance is one three smart tvs sold was a roku tv they're upping their guidance on that further up side to come. >> ceo of roku on "closing bell" tomorrow disney shares heading higher after stronger than expected revenues and profit. we'll debate whether the stock will keep rallying after these results. asg elha bn vestors veee chinyid and buying long-term treases amid market volatility find out if that's a red flag or not for stocks

another dramatic market close today. the dow lost all of its losses it was up 150 points or so at the highs. closed up about 2 points the biggest loses or the dow, intel helped turn the dow lower. comments from investor day talking about low single-digit revenue growth you also saw caterpillar, walmart, dow and goldman sachs at the bottom of the list. biggest winner on the dow today was united technologies. >> shares of disney are trading higher after reporting earnings

moments ago. we'll get the share price up it's up about 0.75%. let's dive into the numbers. joining us now, bernie from rosenblat securities, james from techonomy and michael wolff from activate good afternoon to you all. what's your take on the numbers? >> so studio and park for the big quarter and really drove the epsv >> is that a strong beat that those subsectors beating versus others >> parks is really one of the strong growers of the company. and there was a difficult comp in parks with the easter shift and the studio, difficult comparison, comping against "black panther" last quarter and then "avengers: endgame" we look to drive the june quarter's results. >> we've been talking about how disney successfully changed the narrative around the stock where we used to go straight to espn and it was all about the cable and now, you know, we're talking about the parks and avengers and

looking ahead to disney plus how have you seen the change >> there are two things that came out of today's announcements in the last day. first of all that bob iger announced that "avengers: endgame" will be available exclusively on disney plus this coming december. so it shows they are very serious about making the streaming platform work. at $6.99, it's not going to replace netflix. it's going to be an add-on and the second thing that they did yesterday was they released their release slate for the next five, six years. and so showing that all the films are going to have come out. very exciting in terms of what they're going to do and what's coming from their films. >> disney plus clearly something that's caught a lot of people's excitement do you fear it can hit margins, though >> not really. what you're seeing in the disney stock is the older generations making assumptions on what future generations' viewing habits will be a 30% appreciation to about 20

times. there's a lot of confusion in the market but we're seeing a seismic shift in the way content is consumed, particularly by younger generations. and what disney's experiencing, you're seeing in the numbers is the bifurcation between -- of between advertising and cable subscription revenue because you're getting more and more specialized on both those sides with content players and advertising players, platforms like google and facebook when that happens, the models, the margin models you have to look for is 35% for disney versus like a 7% for netflix and costs escalating in sports rates and everything of that nature, i don't see how this is sustainable. they've changed the narrative on the access side but they haven't evofld their studio model which is still operating on legacy terms. >> bernie, i guess to that general point, obviously, disney's bet is this transition is necessary and it's not

completely self cannibalizing. you can grow this audience while you don't lose dollar for dollar on the old one how we are going to track whether that's valid >> for successful direct to consumer service you'll need two major things one is exclusive content that's not on the bundle so you can make this transition and aren't driving increased chord cutting. and great content with star wars, marvel, natgeo so we think that disney will be able to do this successfully the 60, 90 million describer by 2024 is going to be -- >> you say it's going to be an add-on to netflix, not a competitor why do you think that? >> they've priced it so the netflix package, the most popular package is at $13. disney is saying $6.99 it's not something you'll end up replacing. there's a lot of consumers who are -- it's going to be an and instead of an or and i think their pricing will help them drive to those levels that they're talking about

>> can we ignore espn now as a potential concern? >> it's still 50% of segment oi. i wouldn't be surprised if things get worse subscriber losses for the quarter. given what happened with msg and pay tv in general, wouldn't be shocked if they get worse. that's the point at disney plus. you don't have to rely on espn and you're making the transformative move to direct to consumer instead of an additive or cannibalization >> james, how do you think about where this stock trades. bernie has a $175 price target right now which is significantly higher and it's already trading at historically high valuation. >> i think it's much more than fair value where it stands right now because ultimately they made improvements on one side of the equation which is access but they haven't made improvements on the other side of the equation which is content creation it's not that they don't make great content, which they, do but the problem is they don't

make content at the rate and pace that people demand in order to provide the sustainability on the subscription side of the business look at netflix turning out content nonstop. they are putting out four movies a year at $300, $400 million a pop. how many times your going to watch those? >> i know you -- i know you're dying to take the other side of this >> the -- they have the marvel character universe they already have a set of films also from "star wars" and others that are coming out. and i think they are unbeatable when you talk about it they have just taken over the fox studio they've put great people in charge of each of these divisions. the management team is incredibly impressive. running the parks, running the other services these guys have a lot further to go >> they, obviously, had a tv production shop and have for a while.

so it's not just about these hu huge blockbuster half million dollar movies they're doing. >> great debate. bernie, james and michael, thank you very much. still to come, disney's earnings call just minutes away from starting. plus, much more on the other big companies that have reported after the bell including fox, etsy and roku. chick-fil-a's revenue growth has it on pace to become the third largest retail chain by sales. find out wheerth mcdonald's and starbucks should be concerned. that story is later on "closing bell."

wall street taking investors for another wild ride today. stocks actually ultimately closing lower for third day in a row if you look at the s&p here's the intraday of the dow we closed just about flat. alternating between gains and losses all day up as high as 155. lost all the gains in to the close. intel in part to blame after some comments on mid-single digit riff new growth. the market gave up earlier gains. also big earnings movers disney shares are higher the media giant beating analysts' estimates on earnings. parks especially a bright spot in that report from disney etsy shares are falling after missing revenue estimates which offset a big profit beat that stock had been a big winner so far this year going into the report down 7% almost after hours. and roku

talk about a big winner this year having a big win after hours spiking up 7.5% after reporting a narrower than expected loss. a strong revenue beat. revenue growth more than 50% and other very strong metrics we'll talk about also, fossil it's higher after just reporting results. seema mody has been tracking that and has the details >> cool new studio setup fossil shares moving to the up side better than expected earnings report a loss of 42 cents estimate for a loss of 64 cents. the company is highlighting strong growth in asia specifically china and india fossil there up nearly 10% let's move on to svmk, the parent of survey monkey reporting better than expected results. better than the treat was expected and revenue guidance for the second quarter looks good and the stock up about 4%. back to you. >> seema, thank you very much for that. time for a cnbc news update

with sue herera. >> here's what's happening at this hour. president trump issuing an executive order announcing new sanctions targeting iran's steel, aluminum, copper and iron sectors. earlier today, iran's president threatened to enrich its uranium stockpile in 60 days if the world powers failed to negotiate a nuclear deal the republican-led senate intelligence committee has subpoenaed donald trump jr. to answer questions about his previous testimony before senate investigators in relation to the russia investigation it is the first congressional subpoena that is known of one of president trump's children r. kelly back in court this morning attending a family hearing over a child support payment dispute involving his former wife. his lawyers presented a cash we're ier's check to cover payments for march, april and may of tweents 19 world war ii veterans

gathering on the nation's mall in the capitol to commemorate the 74th anniversary of ve day the allied victory over nazi germany. more than 400,000 americans and 60 million people were killed worldwide during the deadliest military conflict in human history. you are up to date that's the news update sara, wilf, back downtown to you. up next -- we'll get some reaction to roku's better than expected results the stock is soaring here after hours up more than 7%. plus, we're monitoring disney's conference call and will bring you any highlights mike santoli breaks down the wnidtoheart.ree the risk of mo do se t mke

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michael wolff is back from activate the former mtv president and coo. give us your analyst overview on the quarter and why the stock is up so much after such a big win already this year. >> so on the quarter, what you saw was very impressive growth in active users and in consumption in streaming hours and you're starting to see a pick-up in monetization. so average revenue per user grew not at the same rate as consumption or active subscri subscribers but starting to grow at a faster rate impressive results from roku >> tom, you had a buy on the stock based on your notes that was titled we will, we will roku, which is a very good title, i must admit. what was your price target and will you upgrade it based on these numbers? >> we had an $80 price target going in the big opportunity is the $70 billion in television

advertising spending as you saw before with mobile, the consumption for video over the top is there the next opportunity is getting the ad dollars to move to over the top and away from legacy, linear television. and that's still to come so i do think there's more room for shares of roku >> michael, is it too simple to just assume as an investor that the competitive shakeout in the streaming business right now is just going to be good for roku no matter what because they'll all be offered on their platform >> their business model has shifted. they've gone from selling boxes and sticks to selling advertising. but it doesn't mean that they're going to necessarily be the winner as this streaming transitions. first of all, you've got apple tv, you've got fire tv but also you've got the legacy guys you've got comcast with their x1 box. it's great and they are going to be also selling advertising as they already are, and they'll be

selling programming. roku is doing well but they'll face challenges going forward. >> looking ahead to whatever kind of final round of this evolution is going to take place. i was trying not to say end game all the different implications is roku a feature, a product, a network? i'm thinking of tivo that was a product and then it became like a technology embedded in something else >> roku right now it's a technology, and it's an interface for you. and they've been very smart about moving into advertising. but, remember, everybody wants a piece of television advertising. everybody wants to be able to have that relationship with the end user they'll be up against some very powerful players you are up against apple, up against comcast, spectrum. >> and nothing really proprietary about what they have in your view >> they have the box on your tv -- >> and wilfred >> i have three boxes at home.

michael, you're not worried about this you think they have enough of a first mover advantage? >> sure. so if you look -- >> sorry, tom. my apologies >> i figured that. so if you look at roku, they are already competing against these large competitors, and who is the benefactor of the huge content investment spends you're seeing, not only in netflix but amazon and disney? and it's roku. so they've got the consumer. they were one of the early pioneers in leveraging over the top and seeing this secular shift. and they are already swim with the sharks so i think they are well positioned and will continue to do well going forward. >> so from the earnings report, viewers watched 8.9 billion hours worth of content during the first kwort its devices. that's 3.4 hours per day on average. >> there we go >> one hour per -- >> 29 million accounts >> i probably distill those statistics you have cnbc on all day on one

of them, which, of course, i'm always watching fully, but you know what i mean >> the average american is watching almost 40 hours a week of television. >> and it's just being -- >> a video i should say video >> tom, michael, thank you very much don't miss our exclusive interview with roku's founder and ceo anthony wood tomorrow right here on this show, 3:00 p.m. eastern, "closing bell." still ahead -- privacy the google ceo opening up about the topic in "the new york times. what he says we'll discuss coming up. plus, a recipe for success the key thing chick-fil-a is doing to set itself apart from its peers and bring big gains. stick with us. "closing bell" will be right back

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welcome back let's check out some stories on our "closing bell" radar google's ceo sundar pichai out with an op-ed arguing that privacy should not be a luxury good offered only to people who can afford it. he says that it is necessary for google to collect some data to make its products and services more helpful and free. but says that users have the option to control what data they share. this is a pretty convincing op-ed defending the position that they take one issue i think makes it come undone in this line in particular he says to make privacy real, we give you clear, meaningful choices around your data

yes, they might do that, but i'm not sure how many users are aware those choices exist. and the default setting for everybody using all sorts of services, whether it's youtube, gmail, et cetera, is that all your data is being collected overall this argument is pretty strong you're getting extraordinary services for free. they are collecting your data but you an opt out but i don't think many people are that aware of what information is being collected and you could opt out. >> that you could opt out is a surprise to me i thought he used the word anonymous a lot. if the data stays anonymous using apps like maps >> in particular they are saying that you can opt to stay anonymous on certain things and also, importantly -- >> you have to opt to be anonymous. >> they use it for their own intelligence and for maybe ad targeting, but to your point, though, this user agreement kind of blindness it's habitual. just check the box and go with the default settings >> when you need to go

somewhere, you need a map and want to bypass traffic a lot of people willing to compromise their privacy for that meat substitutes from impossible burger and beyond meat are growing in popularity one old-school fast food brand continues to expand at a rapid pace chick-fil-a poised to become the third largest restaurant chain by sales beat out only by mcdonald's and starbucks chick-fil-a has avoided any major menu innovations sticking to relatively simple menu focused on its signature chicken sandwiches i know it has many diehard fans. >> it's regional >> it's actually in atlanta. but did not realize it was number three, despite all the controversy and despite the fact that it's closed on sundays. >> that's the amazing part it's regional largely. they have kind of expanded slowly to become more national and in the faster growing parts of the country >> i've only had it once but sounds like -- >> people are very loyal to it

>> and even with the boycotts. even mayor pete buttigieg said, i get why people are against it. not happy with the anti-lgbt comments but he said he's a fan. >> a new study finds social media giants like facebook and snapchat might have to step you up their efforts to appeal to a younger generation zebra iq surveyed generation z young are than millennials born 1995 to 2010 they prefer apps like twitch, reddit and unfold, brat, network. >> what is brat? >> i believe brat is a youtube network or it's basically a video programming app, i believe. so i -- i have a small focus group of gen-z consumers >> do they have all of these >> they don't have all the apps. they have tick tock. it's like the universal right now. and, you know, reddit as well

and so some of -- a lot of image editing and video editing apps is a big thing >> your focus group is -- >> my daughters. >> facebook and snap not on it >> no. instagram. they both are -- spend a ton of time on instagram but these are more the cutting edge. >> did you break into your daughter's cell phones to do -- >> i have a little window on that i also asked them. and i didn't know one themp has reddit, which i'm curious. >> wonder what discussions they're following there. >> exactly i'll report back chasing yields wild swings on wall street has investors flocking to long-term treasuries mike santoli at the telestrator with what that could mean for the overall market >> coming up on "fast money" one top strategist warns of what is the biggest threat to the market who says our bank isn't tech enough?

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stamps.com reporting results. >> seema modi. >> stamps.com lowering the full-year guidance and it is citing the termination of contracts with postal services and it is ending its exclusive partnership with the u.s. postal service and it is down 50% back in february when the announcement were made and today shares are down about 41% so it's certainly been a volatile stock to watch this year sarah? >> ouch! down 41% seema, thanks. the 20-year treasury etf hitting a record in april and mike santoli at the telestrator, and this is the tlt. it is a very long-term treasury etf, 20-plus years and 20 out to 30-year treasurys and these

bonds are extremely sensitive to any inflation expectations and some of the fed policy and economic growth and this is highlighted by richard bernstein advisers and look at this huge net inflow for april yes, it did follow outflows and this is not because overall overall bond influence had heavy in-flows the very long-term treasury his a very strong influence, and the interpretation here is that investors, the public and first of all, chasing yield and it is a little bit higher and the dearth of yields and inflation expectations must be extremely low and depressed and therefore it upside surprise to inflation will probably hurt this position, and i think the contrarian interpretation is that people are a little bit perhaps too complacent in the short term and they're saying they're taking a much shorter duration and if they have fixed income holdings they want to keep it in short-term bonds and

just an indication of kind of where the thinking is, and also, if you have an upside surprise in inflation, what does that imply about fed expectations for the rest of the year and therefore stocks >> fascinating to see how much it oscillates month by month, inflows to outflows and i imagine it would be much more trendlike, five or six months in a row. >> to a certain degree and i think some people use it as a fixed income as a more of a cash substitute to a certain degree and the etfs in general have in portfolios because they're becoming more popular and therefore the absolute flows one way or the other are getting bigger >> mike, thanks. up next, the biggest names making moves after hours when longel cesig bk."csi bl"om rhtac . this is a very difficult job. failure is not an option. more than half of employees across the country bring financial stress to work. if you're stressed out financially at home,

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>> let's take a look at we did see about 100 to a 130-point sell-off, so the dow ended flat ask having been higher for most of the afternoon session and selling in the other indices which equated to a decline of 0.2% for the s&p and the nasdaq and the russell down half of 1%.

we've got a news alert on fox sports seema modi has the details seema? >> fox sports announcing a sports wagering partnership. fox will be buying a 5% stake in starzz and it was up 14% about being halted and it's offerings in the global gaming industries including a number of poker games and it hiels tghlights th we're seeing in online betting >> mike, the very interesting thing about this and fox sports is no longer in any way partnered with sky, but there might be know how and sports betting in the uk, and it's been legal for a long time and sky sports had most of the sports' rights and they launched sky bet which is one of the sky betting companies and i imagine it is very, very much integrated it makes sense to have that one of the more bullish cases on

the continuing popularity of sports programming is the fact that you'll be able to slice and dice the betting data and you'll have to watch in real time in theory it's narrowed down and it's news it's the fox broadcast network in the sports and they're looking for further growth areas. >> you know a lot about sports betting in the uk. >> i know a lot about watching sports and less about facebook, but we have mike for that. >> not me. let's check at the headlines making news after hours and disney beating highs, and still up 1% after hours. caravana shares spiking after beating sales estimates after the company that buys and sells used cars did post a larger than expected quarterly loss. >> and roku managing after reporting a smaller than expected loss, and that stock jumping 7.5% in after hours and lyft shares which were closing an all-time low falling nearly

11% today, and just up a little bit in after-hours trade and nonetheless, they reported earnings last night and a lot of focus that lyft and ahead of uber coming, mike, on friday and the pricing, seemingly from what colleagues were reporting earlier and a little softer than the mid range. >> that seems to be the takeaway and understandably given how lyft has performed and i think the way the general markets have done in a couple of weeks and that's one of the reasons why the market feels cautious here ahead of this big uber offer coming may or may not be an important sentiment and thursday and friday we had the trade negotiations and today probably didn't leave you feeling great even though it was flat and it give up a rally. >> do you think there's a hope built into the markets that will actually get a deal? >> i think that's still the default assumption that there will be some kind of a deal and probably with more drama and

uncertainty than we thought before, so i think there's still two-way risk and you backed off enough that if you get a deal quickly, it seems like they'll take the issue off the radar screen for a while and it would get a reflex relief rally. >> we will leave it there for today. the markets closed flat for the dow and the other indices slightly lower thanks for watching. that does it for "closing bell "qwest. >>. >> "fast money starts right now ". i'm melissa lee. >> tim seymour and guy adami, check out shares disney. the conference call is going on and we'll hear from bob iger later this hour and we've got the man who wrote the book on disney literally jim stewart of "the new york times" will be here to give us instant reaction and the market attempting to make up some ground today and deal hopes and falling short of the close take a look at som