appreciate it. scott is the head of new markets for the nasdaq with a big partnership with the football index today. that does it for the exchange thank you for tuning in. i'll join tyler for "power lunch," which starts now >> all right, kelly. we'll see you in a moment over here at "power lunch." welcome, everybody i'm tyler mathisen here's what to watch that is new at 2:00 on "power lunch. dodging an earnings recession. monster week for results and so far the biggest names are delivering will the euphoria fuel that record rally we'll debate, and stocks are, as we point out, moving higher right now. plus, retail on the clearance rack the stocks of some of the biggest department stores getting nailed this year is it time to hunt for bargains or time to shop somewhere else and football is coming to the house that babe ruth built we'll talk to the ceo of the soccer giant liverpool champions league champs about the last leg of their american tour yankees stadium tomorrow, and much much more

"power lunch" kicks off right now. >> and stocks are hitting highs of the session on some breaking news out of washington, as you see, moving up by a half or a little more of a percent each let's get to kayla tausche with the details. >> hi, tyler the market is moving on reports that u.s. negotiators will be departing washington on monday to go to beijing my sources tell me these in-person face-to-face talks are expected to take place in china at some point between the congressional recess, which begins friday, and a chinese holiday, which is set to take place on thursday, august 1st. remember, the top u.s. trade official, ambassador robert lighthizer wants to be meeting with members on capitol hill to talk up the usmca, he wants to get as much support as possible before lawmakers leave town for a month and so he personally, i'm told, has not wanted to leave washington until those

conversations have wrapped up. that leaves just a window of a few days' time for these in-person talks to take place. they have been discussed for a long time, but the confirmation they will be departing on monday would certainly be welcome news for the market even so, i'm told by two sources who have met with principals in the last 24 hours that there is a little more pessimism about a deal in the short term and that the timeline that's now being talked about is six months or so there's a longer term timeline that's being talked about for china, and that they really want to start transitioning the conversation to the usmca. that's the new nafta deal, because they feel that's a shorter term win, and something that the white house can deliver in shorter order we'll see whether this round of talks next week does bring any sort of additional welcome news to the markets but that's the news we have for now. back to you. >> all right, kayla, thanks. that's with the s&p over the 3,000 level right now. let's turn to earnings the other catalyst boosting stocks, about a quarter of the way through the season so far, and nearly 80% of the companies

are coming in above estimates. bob pisani has more at the new york stock exchange. >> remember a month ago, there were a lot of bears out there warning big global corporations would lower second half guidance due to the global slowdown and the trade wars it's still early, only about 20% of the s&p reporting, but earnings armageddon is not yet upon us. there was surprisingly upbeat guidance from a diverse group of companies including lockheed martin, in the industrial space, kimberly clark and koch, and biogen in health care. koch's ceo james quincey summarized the current state of affairs on air air when asked about the global slowdown concerns, he said, quote, we saw clouds on the horizon, but the storm never arrived. great quote there. there are plenty of concerns out there. many revolve around the higher dollar and higher costs. we have heard about them, but q3 earnings are still expected to be flat right now. that's a big, big number to stay

around that. a big test that's going to come tomorrow, caterpillar are reporting. remember, despite decent earnings last quarter, the stock sold off big time in may, down almost 20%, when tariff issues heated up generically. we'll see how much that has impacted them. a quarter of their sales are in asia tyler, back to you >> robert, thank you very much >> so trade talks rolling on, and stronger than expected earnings, at least so far, how far can this rally continue to run? kirk harkman is president and cio of wells fargo asset management, mona is the u.s. investment strategist with elians welcome, good to have you both here kirk, you think the market can go 3% to 5% higher from here why do you say that? and what kinds of issues are going to lead it there >> well, if you think about our earnings forecast for the s&p 500, $173 a share, up from $168 consensus. if you put an 18 multiple on

that, you get to a 3100 s&p, which is up 3% to 5% so i think that's very logical don't forget that technology is really benefitting here from low interest rates technology has very long cash flows. they're long duration stocks and as long as rates stay low, which i think they're going to do, technology is going to continue to do well. >> mona, you think the market is due for a pause. and i can see why you would say that after a 20% gain and with earnings growth probably negative for the quarter but you've got a lot of stimulus coming into the market a budget deal that's going to pump money in and lower interest rates that's going to keep money flowing. >> yeah, look, generally, the backdrop for risk assets is benign we got the low interest rates, a pretty low inflationary backdrop earnings that will probably slightly beat expectations, but our call is more for a tactical pullback we think after a 20% rally and built-up expectations for the fed on july 31st, in fact, you

know, nearly 20% of market participants think there's a 50 basis point cut coming the fed might have to exceed already dovish expectations, so there may be some disappointment from that. it's hard to tell where the catalyst for a pullback might arri arrive we saw it in may when the president tweeted about tariffs and trade. perhaps some disappointment on the horizon as well. we agree with the assessment that longer duration technology could be interesting for long term investors >> kirk, do i want to favor u.s. equities or international blue chips or what? >> well, i think short term, u.s. equities. longer term, we're very interested in international equities, especially if we think the dollar is peaking. right now, you can put together a portfolio of 50 international stocks with a 3.8 dividend yield, which is a great yield. and they're going to do very well once the dollar has peaked. we're not calling for that near

term, but i think at some point here, the dollar will come down to earth, especially if the other guest is right and we get a 50 basis point cut you know, obviously, that's not bullish for the dollar >> what would happen if they didn't cut next week >> i think the market will be severely disappointed. 100% expectations right now for a rate cut and perhaps even a rate cut in september and december i do think the fed has communicated that it is heading towards a rate cut i do think jerome powell's commentary has said he's pointing to interestingly clouds and global environment as well as trade rather than what's happening domestically >> we have heard the boston fed president pushing back against this a little bit. if we get a decision for a quarter basis point cut, even it has the number ofdissenters ho do you think the market would interpret that >> it would all come down to the commentary we'll get a conference out of jerome powell again and see what

he has to say. he'll indicate whether he's looking at global fears. the domestic data has held up decently well, especially around the consumer >> kirk, how does the unsettled situation on global trade figure into your outlook, if at all >> well, i think the unsettled nature of global trade is actually keeping interest rates low. china is clearly slowing down, and the world economy is slowing down, so i think that helps the narrative of lower interest rates, but obviously, it's something we have to keep an eye on, andio do worry about europe and tariffs on europe. tariffs on autos, those kind of things >> kirk, thank you very much mona, thank you. >> thank you >> thank you meantime, apple is in talks to strike a chip deal. the tech giant is looking to buy intel's struggling cellular modem unit what does it mean for the companies, josh. >> so kelly, within days apple could be ready to announce a big acquisition here the company's reportedly in talks to buy intel's smartphone

modem championship business. deals valued at $1 billion or more for patents and staff and also, i checked in say the deal makes strategic sense $1 billion, a rounding error for apple, and it gives the company the necessary patents, ip, and talent to help develop its own 5g modem instead of just relying on that single supplier qualcomm for that key component back in april, remember, intel did tell us it was exiting the 5g smartphone modem business because it didn't see a path to profitability. so what does this all mean for qualcomm apple building its own modems could certainly weigh on future qualcomm revenues, but tech analyst patrick morehead said this is a longterm potential threat, it could take five years to scale a 5g modem business it takes that long, he argues, to build out the supply chain for such a component, guys >> josh, if anything, it's qualcomm who is sitting this one out. >> yeah, i mean, listen,

morehead's point would be, you know, really right now, qualcomm is the only name in town when it comes to 5g. it is interesting if these reports are accurate because it is apple trying to position itself for the future, and part of this broader trend you see of apple bringing more chip design in house there are a few reasons they would do that. they do that because at scale, it can be more cost effective. you can customize those products, and certainly, secrecy, if you're making the chips, maybe harder for your rivals to see what you have coming in the pipeline >> josh, thanks. appreciate it. check out the chips overall. the smh that tracks the group is 1% away from its all-time high it's been up 11% in the past month. goldman yesterday upgraded the chips on early signs of a stabilization in memory stocks like micron and lam research a strong run all around. >> still ahead, with shares of names like nordstrom and macy's plunging so far this year, is it the death of the department store? widely reported. that's next. and two big names reporting earnings after the bell today. they would be snap and chipotle.

both stocks moving way up this year the key factors to listen for in each release and whether the monster runs will continue for those two coming up. ow lchwi brit back you should be mad at forced camaraderie. and you should be mad at tech that makes things worse. but you're not mad, because you have e*trade, who's tech makes life easier by automatically adding technical patterns on charts and helping you understand what they mean. don't get mad. get e*trade's simplified technical analysis.

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department and apparel stores in particular having terrible year. acena down 86% nordstrom down 45% macy's down 43%. here to break down the state of retail, i'm not sure what is left to break down, is charlie o'shea pretty broken down charlie is vice president at moody's. lauren thomas is here as well. you know, charlie, we have talked about the challenges facing the department store. can they recover at this point >> all of retail's transitioning right now. i think that's the most important thing. it doesn't matter what segment you're in. you're facing secular change you have been facing it for a while. you have to adapt. in the past, you could say, well, food retailers are in pretty good shape. you know, there's a lot of demand it's predictable, et cetera. that's not true anymore because there's so much competition at the top of the food chain between amazon, walmart, target and the rest of them that everybody else has got to adapt. and some are doing it better than others. >> right, but can they adapt

enough i guess what i'm saying is, if you were inheriting these businesses, you know, it's one thing to start another business, we understand how to do that what do you do if you're a legacy department store? what are your options? >> you have to be able to use your stores effectively. that's a drum we have been beating for a while. you can't just go out and close stores willy-nilly you have to find a way to integrate them into a multichannel system and use them to support your online businesses if you have the money, you can do that. if you don't have the money, if you're a poorer credit quality department store chain or anybody else, you don't have the money. you can't do it. there's only so much money in the bucket for you to be able to use to adamept your business if you have it, you have a chance if you don't have it, it's a tough road to hoe. >> i do a lot of shopping at nordstrom. i'm impressed by their display i'm impressed by their help. and i am impressed by their website. >> they do - >> why are they not able to gain traction in the market if the

customer experience is pretty doggone good >> i'll admit, i think nordstrom out of all of the department stores is known for excellent customer service they do that very well, but i think a lot of it is they're just being lumped in with that category i think investors look at department stores as a whole and nordstrom is obviously included in that group. and as charlie was alluding to, the future is very murky in how -- >> you can wander around a nordstrom and bump into a sales person like that you can wander around a macy's or a penny's, and not find a damn soul. >> it drives you crazy sometimes. >> it drives me crazy. that's why i don't go there. but the question then becomes, is nordstrom spending too much money on people? >> you got to take care of your customers. >> i believe that. >> once they're in the store, you have to keep them. you have to sell them, make them happy. because they have made a huge investment to come to your store. they can sit on their couch, buy

product online but no, they made a conscious decision to come to your store you have to cherish those customers. they're your life blood. once they're in the store, you have a chance to capture them. you have a chance to keep them and build relationships. and that's something that every single retailer out there has to be able to do with brick and mortar or you lose a customer, one bad day, and that customer may not come back. >> no, i would say you're off my list i'm not going there, if you make it hard for me >> yeah. >> make it easy, i love you. i'll come back 11 times a year >> and i wonder, lauren, if that makes them one of -- there's obviously going to be a lot of chop a lot of questions about financing, but are they going to be able to weather the storm is the market separating the ones who can from the ones who can't at this point? >> exactly no, i think a lot of what nordstrom has done, i think it takes time, i guess, for investors to realize that those bets are paying off. i think they should be spending money on people. they should be spending money on

initiatives like stores where you can buy online then go pick up inventory in stores i know they havedone a lot around that. but i think it's just a matter of time and for them to, like with a lot of these companies, to prove to investors that maybe a little hit in the short term is worth it in the long term >> whatever happened, charlie, to those stories that nordstrom was thinking of going private? >> good question i really don't know. i really don't know. >> it sounds like the financing was an issue then, and presumably, there would be some questions now. >> very general statement. retail has become a one-off or a one-by-one investment thesis for a lot of folks in the markets, where they drill down into a single name. it's tempting to paint the whole sector with a broad brush and say, oh, gee, retail is really challenged right now i'll avoid it. there are bets there if you bet on the right firm, you can do well. >> give us one before we go? >> walmart i mean, 3 1/2 years ago, four years in october, when doug

mcmillan stood at the stock exchange and said we're going to make this bet. we're going to make these investments. it's going to cost us x dollars. the stock got crushed during that day look where it is today those investments paid off >> absolutely. guys, thanks >> all right shares of starbucks falling today. speaking of retailers, after the company announced a deal with a tech start-up that previously operated waiterless restaurants. but are investors missing a huge opportunity here that's coming up >> but it's a different story for koch those shares are climbing after reporting better than expected results. etr whheyou should add pop to your portfolio is next 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,

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(cheering) - so when i face barriers, i can break through. - [announcer] breakthrough at snhu.edu. welcome back to "power lunch. i'm mike santoli at the new york stock exchange coca-cola shares popping nearly 6% after the beverage giant reported earnings this morning that steak now at all-time highs, what does it mean for the staples trade? mark newton and boris schlossberg are your trading nation team today. mark, i have to say, nearly 6% move in a mega cap beverage company, big in consumer

staples, is pretty large in the context of an earnings reaction. what does that tell you about how coca-cola shares are situated and then i guess more broadly, how the staples set up? >> it's been a huge move and the stock has been up about 18% over the last six months. a good move for coke however, really in the last six years, the stock has done largely nothing. so near term, it's been pretty impressive and technically it does still look like coke can make another 4% to 5% on the upside before hitting any resistance important to take a look at the longer term chart of this stock going back since 1996. you see that coke largely was just below these levels back in july of '98 when it last peaked. so it hit around $43 then. the stock was trading just this past february at there recent acceleration has carried this out of nearly a 20-year base very bullish for the stock near term, and in the immediate term basis, coke starts to outperform when you look at the staples, it's also started to show very good signs of improving

relatively versus consumer staples as a sector. so i do like coke. i think it's finally time to have a coke and a smile. it's right to bet on this stock, and near term and immediate term, it likely can show good outperformance >> a smile on that chart stretching over 20 years, which is not a common thing. boris, it wasn't that long ago, people thought the company was structurally disadvantaged, people drinking less carbonated beverages. fundamentally, can the business support the stock right here >> i think it can. first, from a trading point of view, always by all-time highs especially in something that a bellwether like coke that's been around forever that's a very bullish price signal from a business point of view, you're right i think structurally, yes, very much people are definitely having far less carbonated drinks but they have been very, very good, a testimony to their management they have been so adroit at diversifying their portfolio, and more importantly, expanding their footprint in emerging markets where there's lots and

lots of markets in the middle east and southeast asia where there's no alcohol, and they had tremendous penetration with their drinks i think to their credit, they're able to manage the transition really well. and that speaks to really good production going forward, so i'm very bullish on the stock. i think it's really going to be a buy going forward. >> small cans seem to be a motivation for coke as well. thanks a lot for more trading nation, head to our website or follow us on twitter. >> i have a lot thoefz small cans >> i expect so >> ahead, chipotle and snap are on the clock they both report after the bell. we'll socialize and pound burritos next. plus, lace up your boots the ceo of the liverpool football club joins us live to talk the business of soccer. and we'll go inside the numbers on just how much money big tech is spending to curry favor in d.c. "power lunch" will be right back >> and now, the latest from

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welcome back, everyone i'm sue herera here's your cnbc news update at this hour. fbi director christopher wray testifying before the senate judiciary committee this morning on the counterintelligence threats that the u.s. faces. >> there is no country that poses a more severe counterintelligence threat to this country right now than china. and i say -- >> that's saying a lot >> that is saying a lot. i don't say it lightly >> who would be second >> probably russia >> russian authorities say four children have died in a fire at a tent camp in eastern russia. the camp housed 189 people at the time, and another 61 were inside fixed buildings at the site the cause of the fire has yet to be determined. >> and mri scans are showing differences in the brains of

u.s. personnel who experienced a mysterious phenomenon in cuba. dozens of embassy employees reported hearing intensely loud sounds and vibrations while serving in havana between 2016 and 2018 but scientists say the study cannot determine whether the differences were actually caused by the alleged incidents you can read the whole thing in the journal of the american medical suggestion it was a big study that is the news update this hour ty, i'll send it back to you good fascinating and frightening. >> it is, absolutely they took 48 people that were affected and 40 people that were unaffected of similar cultural backgrounds and genetic backgrounds and compared the brain scans. >>erary interesting. sue, thank you very much let's get a quick check on the markets right now. a sea of green love that cliche sea of green on the screen, as all the major indexes are higher as trade deal hopes took stocks to session highs earlier this hour there you see them, up a half point or more. and check out trouble on the

homefront. the xhb, that's the etf that tracks the home builders, fifth day in the red, on track for its lo longest losing streak since last october. earnings are weighing on the group which are lower. >> we're in the thick of one of the busiest weeks of crucial earnings season and the final countdown, hearing from two companies that report after the bell that have been on fire in 2019 snap up a whopping 166%. chipotle up more than 70%. so will strong results send the stocks even higher we have john egbert and matt from guggenheim with us today. john, let's start with you we'll talk a couple minutes about snap this not unlike chipotle, was a stock that was flat on its you know what about a year or so ago. it's up 166% if i didn't buy sooner, is there still time to buy later? >> yeah, we think so

snap has done a great job stabilizing its audience base. i think the declines we saw last year are what drove that move in the stock downward after the controversial app redesign, they have gone back and fixed issues that were out there. users are coming back. they saw a benefit in may from some of their viral filters and then even after may, we're seeing more users sticking around we're looking for a few million dau additions this quarter and we think they can continue that momentum going forward >> it's very hard, john, to dislike a stock that's up 167% in a year. but it is also equally hard for me to love a stock that is losing millions, tens of millions of dollars every quarter. when are they going to make money and how? >> we think they could be gap income profitable by 2021. cash flow ebita across the board. how they'll get there is basically a fixed amount of cost to serve these videos which are highly ban width intensive to their users and the advertiser

business is just getting up to scale right now, so almost every dollar that goes to the r-proof now drops to the bottom line as long as they can keep being efficient with the band width. from here, you're talking about rpu at $7 on a trailing 12-month basis globally every dollar from there, a lot of that will drop the profits. that's what helps them get there, leveraging the fixed costs. >> revenue is up from $266 million to $359 million. you have a price target of what on the stock, it's about $14 where do you see it going? >> our 12-month target is around $17. embedded in that is no acceleration in ad revenue a steady decel from where they are today. what people are excited about is seeing trends in the ad business that could lead to an acceleration, in which case the numbers out there may be too low. >> all right, john, thanks appreciate it. >> sure. now let's get to matt of guggenheim he has a neutral rating on chipotle and says the gains may be in for this stock

matt, it's been on an incredible run, really. a very similar story to snap that we were just discussing what does the company need to show tonight >> well, i think first and foremost, top line momentum. so same-store sales. they did a 9.9 in one q. you have to want to hold around that range, 9 or better would be good enough in this market the stock is close to its all-time high, so any sort of meaningful slowdown would shake out some near term investors >> i'm hearing a lot about delivery investors wanting more information and clarity on that unit, especially the profit margins there, right >> exactly they're one of the few who have come out and said as long as it remains 60% to 70% incremental, not cannibalizing the full margin walk-up business, it's accretive to margins i think that's what got a lot of people excited, that brian nichol has figured out in his first year at ceo how to integrate delivery and also have the margins go back to their mid -- hitarget is the mid-20

percent range. they're not there yet, but delivery is part of getting there. >> just to think about our experience here, there were people who would leave the building and go to chipotle in the past it's not all that easy to do, but the delivery option is there. it does seem to be a substitute, so the company is arguing that it's not that they're able to expand the oddgence instead of having people do delivery instead of going in >> we're in year one, so you're going to have obviously the highest level of incrementality in year one. it's probably, we estimate around, they don't disclose, but we estimate delivery is 5% of sales. they're saying 60% to 70% incremental. it's contributing 3% to 5% to an average store incremental sales. it's still not a large part of their business the business is still traditionally going in and waiting on line. we'll see in years two and three, does that stay the same or do they begin to cannibalize, as you said, some of that crowd that would leave their office and walk in. >> interesting and just finally, what's been

going on with avocado pricing? speaking of profit margins, is that still an issue or is that behind us now? >> no, i think avocados will be a number one focus on -- i mean most guys are going to talk about labor, but with chipotle, trumping labor will be avocado prices the last time they spoke, avocados were relatively high in april. they have only gotten much higher you could talk about them talk about cogs back to the 34% level where they saw in april they were guiding the 33% level there could be some concern there with the cogs outlook. >> is that a tariff issue or an agricultural issue >> it's a little bit of tariffs, supply and demand also the growing season hasn't met the demand that's out there. it's a crop that rotates between mexico and california. so in prior calls, they have sort of timed it where they're waiting for the crop to move to a different demand cycle so we'll see if the weather patterns have changed in yields increase, but it's basically demand outstripping supply >> fascinating

can learn a lot through the lens of these companies matt, thanks very much matt has a neutral on chipotle >> the european football champion liverpool, the eighth most valuable football club in the world, it is valued at more than $2 billion. and we will talk to liverpool's chief executive, peter moore, about that and more. the teamsummer tour here in the u.s., when "power lunch" returns. for your heart... your joints... or your digestion... so why wouldn't you take something

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once synonymous with only the beatles, liferpool now known around the world for its premier league football club a lot of fans in liverpool would say it's always been famous for that now worth more than $2 billion, the club is, according to forbesering eighth most valuable football club in the world european champs. one of the most supported teams

in the world, largely thanks to increased sports broadcasting and video games like ea sports fifa joining us is peter moore, chief executive officer of liverpool football club. the team finishing off its u.s. tour tomorrow night at yankee stadium. welcome, peter you're playing a portugal side, sporting lisbon. one of the three better teams there. what strikes me, and then you go on a european tour of preseason games. >> yeah, the preseason all culminates on august 9th we kick off friday night premier league on nbc sports that will be against norwch city prior the that, we're in geneva and we play -- >> how do these players take the strain on their bodies of playing literally, i mean, for many of them, it is a round the year season, with a national team and international competition. >> a great question. we have one player who plays for senegal who only just finished last season last week. and he'll get three weeks off and then he'll start all over

again. our medical staff, our physio therapy staff are world class. they monitor we do squad rotation >> do you rest players >> you rest players. you look at the opposition you see, can we afford to have a midfielder or a forward to sit this out to give them a break. and unlike american sports, you're flying to russia on tuesday nights and you're back in liverpool and you may be in lisbon the following week. so you have to also manage travel and time zones. >> the nba has been fighting this burnout issue there's a lot of players who talk about openly about how unhappy they are these are guys who make millions and millions of dollars. is that something you also see playing out a little bit in your club as well, or is there something being done differently, especially when they're playing 11 months out of the year with the travel schedule you're describing >> it's about player management, it's about stats and bio every player wears a gps vest. we look at how far they run. we measure their fitness through their biometrics almost every hour, every day when we're training.

and our training staff in particular, i'm very proud of ours at liverpool, can manage what we have to do so you get the most out of the players, to your point, without burning them out. >> the red sox ownership owns liverpool. >> that's correct. >> i want to ask you two questions. i'm famous for compound questions. red sox known for being a data driven team. >> yes >> has that spilled over to liverpool? >> absolutely. the concept of money ball, as it was formerly well known, sabermetrics, bill james and all of the people in major league baseball, in particular, what we embraced in the red sox in looking at players who fit a certain criteria that the team needed, were good value for money, were younger, and could deliver against what we needed the same thing, we applied data, statistics, metrics to our players as well as our scouts looking at plays there's no other team in the premier league and perhaps in european football that uses data like we do >> the premier league teams, many of them are owned by non-english owners >> correct >> including quite a few american owners.

is that ever a point of contention or concern in england? do english fans care that an american owns liverpool? and an american may own man united or whatever >> no. if they do their job, and by their job, invest in the team, look after the team, provide the infrastructure, get the stadium ready, bring in sponsorship. >> they don't care >> they don't care a classic virtuous cycle make the money, win the games, you win the games, you make more money. >> i can't think of any foreign owners of american sports, other than the owner of the nets >> major nfl teams or joe hsieh maybe with the brooklyn nets we saw the mlb take the red sox and yankees to the uk. you're still working on taking these successful soccer teams here to the u.s., but viewers are getting a lot more sophisticated. they know your leagues now, follow your teams. is it making the bar higher for

attendance, which has been flagging a little bit, but is it because people say we don't want the preseason games. we want the real deal games? >> i think you're right, kelly i think this is our second year in a row coming here it's a sophisticated audience. i lived here for a long time i came over here to play soccer in the '70s and ended up living here and it was part of my career the sophistication levels, the broadcast levels, what your sister network at nbc sports does, it's absolutely brilliant. there is a sophisticated audience here. many of whom will travel to england for long weekends and watch games. we see that a lot and come up to liverpool, maybe go down to london so we still come here. we owe it to the fans. this is about fan engagement we sold out fenway park on sunday, and a great, although the heat was almost unbearable and we're in yankee stadium tomorrow >> two more quick questions. number one is brexit new prime minister coming in tomorrow possibility of what's called a hard brexit. some people think it will do damage to england's economy.

what might the effect be on your business and on, as you just mentioned, player movement within the european union >> the concern we would have in the premier league is we enjoy complete freedom of movement of players. a player from holland, we have two dutch world class players who can come and go. premier league is working with the uk home office and has done for the last couple years with the specter of brexit coming to make sure we can maintain the player freedom of movement the uk government recognizes what the premier league does for the british economy. for the brand that is britain. and is going to do everything in its power, and we have those assurances from the government to help us make sure that the quality of the english premier league is not negatively impacted >> quick question about your manager. widely respected >> yes >> what sets him apart how is he going to get this team ready? and what coach in american sport is he most like? >> to me, he's one of the best man managers i have ever seen. and i say that, you've got this

most diverse team. >> man managers, you mean people >> people, i do. sorry, yes >> i didn't mean - >> man managers. yes. people bringing 11 on the field, diverse brazilian sengle ease, dutch together he is charismatic, passionate, talented, and in a city of liverpool, the uniqueness. >> a diverse city. >> a very diverse sea faring city that has had great managers in the past, he stands right up there with them, and they love him to death >> is he belichick >> he's a little, not as cerebral as belichick. >> a little more care ezmatic. >> we don't talk about his hugs like we talk about peter's hugs. >> may you have as good of a season as last >> thank you >> it's not just disney earnings, big hits like frozen and adventures

the other company benefitting from disney's dominance, trading while driving, a fndrom fantasy suite to cash pad. that's all coming up on today's tasting menu key portfolio events. all in one place. because when it's decision time... you need decision tech. only from fidelity.

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shares of realogy are soaring. it's called turnkey and it has them find their next home. buyers get rewarded between $1,000 and $5,000 worth of amazon home products or services the shares are excited. kelly is sticking with amazon, one of the big tech companies spending record amounts on lobbying efforts as the whole group faces more scrutiny from regulators aditi roy joins us to break it down. >> unprecedented government attacks is prompting unprecedented spending on lobbying in q2 amazon edged out facebook on lobbying to take the top spot, just $40,000 separate the two companies, both those companies set quarterly records. next was google at more than $3 million followed by microsoft and qualcomm it's been an eventful quarter for government and tech, facebook, amazon, app and google

are facing potential probes from the doj, facebook faced tough questions by policymakers about deepfake videos and the launch of its cryptocurrency and microsoft is locked in a battle over the jedi government as scrutiny intensifies we're seeing tech companies outspending traditional ones last year it doled out more than 12 million, guys >> low whistle aditi, thank you so much aditi roy. a taste of some of the stories we are also watching today. check out hasbro beating earnings estimates stock soaring thanks to "the avengers" boosted by demand for action toys following the success of the final movie, "avengers: endgame." it recently claimed the title of the highest grossing movie ever

and impact on toy sales as well. >> merchandising is often as big as sometimes the box office itself all right, here's one service i didn't know i needed texting while driving. how about trading while driving. td ameritrade is launching an in-vehicle voice command that allows you to check your portfolio or receive a stock quote. however, it will only be available to drivers using android auto or amazon's echo auto if you just can't wait to make the trade, pull over at the rest stop or wherever you are. >> in you're listening to cnbc on sirius and you think -- >> you got to move, this is the service for you. >> some new members are joining the cnbc family tonight as well. former bachelorette stars jojo fletcher and jordan rogers are starring in "cash pad. they hoelp homeowners

i asked about tyler's favorite bachelor and bachelorette moment when she jumps into his arms is it scripted >> it is not premeditated but i think it's a subconscious thing like i see this all the time i need to do this. i look back and think why did i do that? >> why not they were having fun with it by the way, ty, fascinating, they were running through the numbers of how it works when they self in these properties. when the time frame in which they expect a return, you know, how they partner with the homeowners there are a lot of really interesting stuff in there and they'll share that in the show. >> that sounds very cool that's my favorite season actually, the season that she was on it and he, jordan rogers. >> maybe they'll come through here we can all reminisce together. >> maybe they can come and finish my kitchen renovation. >> that would be even better >> all right, starbucks doubling down on its mobile app which

sent the stock to new highs. what it means to the company's bottom line, next. - stand up if you are first generation college student. stand up if you're a mother. if you are actively deployed, a veteran, or you're in a military family, please stand. i will tell you this, southern new hampshire university can change the whole trajectory of your life.

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welcome back we're watching shares of starbucks which are down today they're still higher by 18% over the past three months. the company announced an investment in a restaurant tech company. kate rogers has those details. >> that's right. starbucks announcing it's taking an equity stake in brightloom formerly known as itzla.

it's in exchange for giving brightloom to license some of its software financial terms were not disclosed. the partnership will see brightloom provide software for licensed partners along with other restaurant companies this is key because out of 80 global markets less than half have access to starbucks' mobile app. it's been big in the u.s., 40% of transactions comes from its rewards program which has about 17 million members and the growing base in china. starbucks will continue to drive software development digitally in its company operated stars. mobile order and pay and online delivery is key drivers all of these companies with customers who order online increase spending by 20%. it's not just starbucks, mcdonald's, chipotle, all these players with mobile order and pay, you wind up spending more on the app it's easier to do. >> and you're also not paying at

that instant with cash out of your pocket. >> it's like it never happened. >> it's like it never happened it's all virtual. >> this will be key in expanding those capabilities, all of its global license stores which don't necessarily have mobile order and pay and order ahead and pick up which is a growing part of business. >> when i or maybe others see this and you wonder are they doing this to displace baristas and workers but everything you're describe something about a different way of integrating technology, right? >> it's a flywheel, right? it's part of their strategy. that's one growing way that people are ordering but you still need baristas to make all your drinks and in quarters past they talked about having baristas doing some of the more menial tanks th menial tasks after hours helping to drive foot traffic so they don't want to get rid of people but enhance your experience. >> has a barista ever been on "the bachelor" or "the bachelorette." >> i don't know. tyler is the super fan i should get a latte and binge

"bachelorette" seasons. >> thank you. quick check on the markets before we go, dow just this last hour or so has been at session highs and reported trip that kayla told you a u.s. delegation heading to china. >> 2/3 of a point higher on industrials. that will do it for "power lunch." >> thanks for tuning in. "closing bell" starts right now. tyler loves "the batchelor." who knew that. some of the coca-cola posts, that stock up 6.6% t leads the dow. more on why including comments from sara's exclusive interview with their british ceo coming up as well as everything you need to know as an investor with 59 minutes left to high, stocks at session high. >> i'm sara eisen. right to what's driving the action in the markets. face-to-face trade talks between the u.s. and china expected to take place monday. that was a boost earnings recession seems unlikely after today's strong numbers and th