>> motorola solutions, msi and i think it trades back to its march high at 225. that's where i think this will go big week, jackson hole, the dow right now up now 300 point, and that does it for us. "the exchange" begins right now. >> thank you, scott and welcome everybody. i'm becky quick in for kelly evans. here's what's ahead today. where did the fear go? a calm sets over the market since bond yields rise what has changed since last week we'll debate a new corporate purpose. for decades the ceos of the business roundtable have put shareholders first, but it appears the tide is turning and the group is redefining its mission. and the great american consumer will a love for online shopping and fast food keep the economy and the markets going? we're going to begin today with the rally. dom chu has those numbers. >> it will today, and i saw what you did, becky i cleared it before beck's little joke got on air but the consumer and optimism there

keeping the markets in the green, at least for today. we're up almost 300 points for the dow industrials. the s&p up over 1.33% and the nasdaq composite among the minimum wage or indices up over 1.5% here so a big, big check mark there as opposed to what's happening to overall markets we'll see what's happening with the macro side of things so much attention being paid to the difference in interest rates between ten-year government notes and two-year government notes as well. remember, they had gone inverted or negative or at one point very briefly last week. now we're back up to six basis at one point earlier we were at ten basis points we'll watch those, and then the stock of the day, the best performer in the s&p 500, we're talking about cosmetics and skin carrick the estee lauder companies, 10%, represents a record high for estee lauder going all the way pack to 1995 and get this, becky, since the beginning of the year this stock is up a whopping 52% in that

time >> wow. >> we'll continue to watch el shares, one of the big standouts in an otherwise green tape, even more so green on estee lauder. >> dom, never walk away when your telestrator is gone that's the lesson. >> i saw the note. >> thanks very much. if today's gains hold, the s&p and dow would be higher for the third straight session so what's behind the sentiment change over the last few days? for some answers let's head down to bob pisani at the new york stock exchange bok, what's going on >> well, you know, becky, it's been quite a rally in the last several days here. the dow has moved about 800 po ts begins the bottom on thursday afternoon that bottom is not a coincidence. the bottom correlated precisely with the bottom in ten-year yields the it happened, the yield was 1.47% at the bol tom and the yields came off of their lows on thursday and so did the stock market look at that core limpingts pretty tight not surprisingly cyclical sectors like banks and retail

have outperformed since then defensive sectors like reits and utilities have underperformed. that's happened again today burks that's not been the pattern recently bond yields started to drift notably lower in may and the yield decline accelerated in august so this quarter, overall defensive sectors like reits and consumer staples have rallied and cyclicals like tech and industrials have lagged behind much of the turnaround in yields can be tied to slightly lower concerns about the possibility of a recession in 2020 this is the last couple of days. a point the president's advisers repeatedly made over the weekend. becky, it's been head -- spinning for investors, what side of the investment aisle are you on, cyclicals or defensive not a clear answer yet let me ask you a lot of people talk about the slilt. some people away on vacation so you don't have as much to play with >> august is the month month of

the year for a reason. we've got two things happening in august that don't normally happen one, we have a trade war going on and september and august can be quite volatile. >> white house economic adviser larry kudlow and trade adviser peter navarro appeared on talk shows this weekend trying to downplay the fears. >> i sure don't see a recession. we had some blockbuster retail sales consumer numbers towards the back end of last week. really blockbuster numbers. >> technically we did not have a yield curve inversion, an inverted yield curve requires a big spread between the short and long. >> as opposed to the smaller one. >> that's correct. all we've had is a flat yield curve. >> just this afternoon the president tweeting once again

about the fed. the fed rate over a fairly short period of time should be reduced by at least 100 basis points with perhaps some quantitative easing as well if that happened, our economy would be even better and the world economy would be greatly and quickly enhanced good for everyone. that's our president tweeting that just today. for more on all of this, let's bring in jason brady, the ceo of thornburg investment management. chris szacarelli and the head o u.s. rates society at societe general. we've been trying to figure out what's going on today. the markets are looking at this the as things as maybe we overreacted, but you still think there's a recession that will happen in the middle of next year. >> i think over the near term the market might have overreacted because if you look at the fair value for yields it does look similar to fundamentals and if you look

ahead and look at the three-month part of curve, we've been talking about the 20 and 10s part of the curve, inverting last week temporarily but the three ten-ye pt of the curve has been inverted since may and that's the metric the fed looks atted a any time of that curve inverts growth after that starts to slow down meaningful and we think there's a good chance that the u.s. economy goes into recession in the middle of next year. >> chris, what do you think? >> i think that's a bold call. there's definitely enhanced recession fear, and you ca that signal of the yield curve inverting last week although temporarily it's a enhanced recession risk whereas before the probably of recession was 20%, now maybe it's 30%, 40% and for us to see a recession we have to see a slowdown in the consumer and

increased trade tensions and it doesn't look like we'll have a recession imminently but i admit el hated at this point. 60% that it doesn't. where do you fall in this camp, and what do you think is going to happen? >> look. the question is what kind of recession are we going to get going forward? what i've worried about is we've pulled forward so much credit creation in this country and globally, 95% of yields available are in the united states and everywhere outside of the united states, developing marks, sovereign yields are negative i don't know what the tools will be going forward lower rates won't have much of an effect. consumers are key. they are much healthier than they were in '07-'08 but we're in a bit of an earnings decline, earnings recession, and i just look at manufacturing globally below 50 pmis. those are really negative signs. >> subadra, that's a big part of it what is happening that this time

is different it could be different, may not be reading the signals the right way because we have so much in terms of negative interest rates from sovereigns around the globe. is this time different >> as far as inverted curve leading to a recession i think you think it's not. >> if you think about the transmission mechanism, that doesn't cause a recession but if you look at banks, the net interest margin will start to weaken because of a flattening yield curve and if you look at business investment as well as cap "x" spending, i think there's a potential for a retrenchment in that if the yield curve remains inverted, but, i mean, to echo what jason was saying earlier, i think my concern is, that you know, global central banks will not have the ammunition they need to fight if there's a significant downturn, and this is not a certain so much in the u.s. as

it is over in europe the ecb could run out of options. >> the reason i asked bob about volatility factors it's conventional wisdom that it's been very volatile because there aren't investors here to deal with that, but you think it will get even more volatile when investors do come back in september. why is that? >> well, i think, you know, we're talking about intraday moves, you know, up or down 1%, 2%, 3% in markets. that's one kind of vulnerability. thought we were looking longer term and for me where does this go over the course of a month, two months, three months and we're almost unchange. i'm not worried about the intraday moves >> we can talk about this until we're blue in the face, but the one question investors have

right no what do i do? should i buy stocks now, or am i risking losing everything because i'm buying at the very end of a long bull cycle >> i don't think you're risking losing everything. i think you do want to be a little more cautious and look at signals that the markets are sending you, but, again, at this point in time it makes more sense to go more quality type of companies so look for those companies with stronger balance sheets, more of a moat around their business, more traditional value type of stocks, but there are those companies can withstand a recession. i think it makes more sense to improve it. >> reporter: improve it how. >> by look at your portfolio if you have things that are very cyclical and won't stand with recession very well try to move into more quality type of companies. again, upgrade the quality of your portfolio looking at types of businesses that you own, looking at the stocks that you own and the bonds that you open and potentially look to get less risky. heed some of those cautionary

signs while not necessarily going and raise a ton of cash. >> chris, jason, subadra, great to all see you. >> here's what else is coming up ♪ >> ahead, the wawa pond. what the latest deal tells america about trade, and the big porsche flop this is hal. this is hal's heart. this is "the exchange" on cnbc . this is also hal's heart. and this is hal's relief, knowing he's covered. this is hal's heart. and it's beating better than ever. this is what medicare from blue cross blue shield does for hal.

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welcome back to "the exchange." the trump administration extending a license to huawei today allowing the chinese company to continue doing business with u.s. companies for another 90 days. this comes after the president struck a very different tone on huawei this weekend. let's get to the eamon javers in washington with the latest on this eamon, what's up >> reporter: this may seem like mixed messaging from the white house because on the one hand you have the president make will comments and today action taken by the justice department extending huawei's ability to do business for another 90 days the administration says that is being done so rural communities in particular have some time to adjust to this big change that's coming down the pike here's what the president said

though yesterday about huawei which sounded like he wasn't about to give them a reprieve that was just given by the commerce department today. >> at this moment it looks like we're not going to do business i don't want to do business at all because it is a national security threat, and -- and i really believe that the media has covered it a little bit differently than, that so we're looking really not to do business with huawei. >> so the president yesterday saying he doesn't want to do business at all with huawei and then today the commerce department giving them a reprieve so what gives with that a white house official i was talking to here at the white house a short time ago explains that when the president says he doesn't want to do business with huawei, what he's referring to is the federal government itself, not to the broader u.s. economy, so when he says that, what he's talking about is the federal government buying huawei products, not necessarily a broader injunction on huawei being able to do business inside the u.s. economy that process is still unfolding over at the department of

commerce huawei for its smart complaining about all of this saying it's unjust treatment that it's being given here by the white house. nonetheless the president is suggesting he's still pretty down on wareway. >> eamon, stay right there we'll bring in james pethokoukis, and you hear this what do you think, is it a case of nip flopping or a case of the bark being worse than the bite and other investors getting in there and changing mayor mind. what do you think? >> the president saying let's do this because i'm really unhappy about it remember, there are those in the

caho this as an opening shot. >> not just in this administration there are democrats who think this in congress, too. >> for sure. that's the president's problem is if he's calling it right now that they are a national security issue if that's the case, then it's hard to come to a trade deal that doesn't -- that doesn't involve some sort of limitation on huawei. it's did, it's hard to see the end game there. >> jimmy, let me ask you we've been talking so much about the recession. the president and his advisers out this week saying it's not a big deal but at the same time the trade war is leading to some concerns, i would assume in washington i would assume it is here in wall street. >> listen, can you try to figure out to what extend the trade war is sort of weighing on the economy, but, listen, those business investment numbers don't seem to be lying and the whole point of the trump tax cut really at its core was to boost business investment which would boost productivity and wages so the first thing you would expect to see is a big -- a big jump

and a sustained rise and business investment. we're not seeing t.republicans and democrats, and republicans, too, are wondering what happened to the tax cut why isn't working better why? maybe the trade war. >> did you hear anything there about the market gains today this administration has always looked at the wall street gains as kind of a scorecard for how they are doing. >> right. >> look at the big gains on a day like today what do they say >> the president has always looked at the stock market very carefully, but this is a president who believes the stock market gyrations we saw last week was the fed's fault, not jimmy p.'s and he's not afraid to send mixed messages on purpose to muddy the waters, particularly when he wants a delay. for example, right now we've got this trade negotiation ongoing into september it looks like

by kick being the huawei decision down the road, it also allows him to keep that leverage down the road as well, so the president might be doing this on purpose. >> all right let me throw out one more thing at you guys, and that's the president's dinner conversation with tim cook. he came out from that and said tim cook made a very good point and strong case about what samsung actually may be benefit, south korea's samsung may be benefiting because of this trade war. how do you add that into the calculus ? what does that mean and eamon, we'll start with you. >> so fascinating to hear the president talking about apple paying the tariffs, insisting that he's not paying the tariffs and apple is paying the tariffs, and now the president is saying apple is paying the i was so tim cook was able to get and the question is whether there's any

action behind it we don't see anything on the way from the president but they got him thinking about what they would be saying and talking about this issue. >> what would some action look like, some things that could assuage the problems or the concerns >> i know that's a great point by eamon i just want to say that if the president truly sided with the real super china hawks and the administration, what he would have told tim cook is, hey, tim, i'm sorry. i guess you better get all your supply chains out of china because this is the way it's going to be for a long time. these not what he said he's like oh, well, gee, i guess that would be really bad for you. we're not going to have a cold war without paying, and this president has yet to show any indication he's willing to accept -- as a way of it

ntantang ting the eck system jimmy, you're inside >> inside, yemp. >> still hill skety. eamon, i that's it's in the 90s and how are you pulling this off? >> i'm cool as a cucumber. >> are you wearing bands how are you pulling this off >> i'ming are a dark suit. >> that is magical eamon, got inside. we'll see you both soon. >> when we come back, a group of top ceo says maximizing shareholders is not the role of the corporations more on that in just a little bit. plus, if the economy--

check this out "the exclaiming" will be back in two minutes.

welcome back to "the exclaiming." let's get you caught up on some of the movers. shares of sonos gaining 10% in an upgrade to strong buy

its partnership with ikea is a testimony to its ability to scale up technology. shares of nvidia up more than 6% on news that microsoft will use the company's technology to provide more realistic graphics for its minecraft video game and then check out shares of media company, chinese media company c sina the company saying its non-advertising revenue actually jumped 20% year over year. right now let's get over to sue herera who has an update on the cnbc news front. sue, good to see you >> good to sigh, too, becky. here's what's happening at this hour, everyone new york police commissioner james o'neil since police officer damage pantaleo over the 2015 chokehold incident has been fired. the announcement was made at a news conference about an hour ago >> i agree with the deputy commission of trials and legal findings and recommendations

it's clear that damage pantaleo can do longer effectively serve as a new york city police officer. in carrying out the court's verdict in this case i take no pleasure >> the trump administration is extending a ban on the u.s. of u.s. passports for travel to north korea for another year it was imposed in 2017 by rex tillerson following the death of otto warm year target is launching a new food and beverage brand focusing on a wide variety of food and products by the end of 2020 that brand will include more than 2,000 products you're up to date. becky, that's the news update this hour. back for you. >> sue, thank you. more on target and the new food brands it's launching. that's coming up a little later right here on "the exchange," two. sue her rare a. the countdown is on to the jackson hole fed summit you'll see the lineup right here check it out cnbc will have first on interviews with the fed heads from philadelphia, dallas, st. louis and cleveland, also from the imf's chief economist

it all kicks off this thursday steve liesman will be there bringing everything to us, and you don't want to miss it. and here's what's ahead on "the exchange. >> coming up, airbnb has some good news ahead of a potential ipo this year. target takes aim at groceries and in case you forgot tesla has a solar panel business, and the battle over the juice box. it's all ahead in "rapid fire. through the at&t network, edge-to-edge intelligence gives you the power to see every corner of your growing business. from finding out what's selling best... to managing your fleet... to collaborating remotely with your teams. giving you a nice big edge over your competition. that's the power of edge-to-edge intelligence. announcer: fidelity is redefining value

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all right. welcome back, everybody. let's get you caught up on a few stories that should be on your radar. it's time for "rapid fire. joining us with their take is contessa brewer, bill griffith and seema mody first let's talk through according to new reports airbnb posted growth rates of more than 30% in the first quarter of 2019 sources tell "the wall street journal" that the company's total booking value which measures total transaction dollars on that site jumped 31% year over year by the way, these were just sources because it would be a violation of the quiet gag rule. that's pretty decent growth, and maybe it's good to hear if you're looking at what's

happened with uber and some of the other guys less. >> especially covering the travel system. there's been an animosity between airbnb and others like booking holdings and expedia but what it shows is a top line growth rate of 30% compared to a second growth rate of only 12% at expedia and booking holdings. i think that's interesting to see in these financials that it's sort of a departure from the other silicon valley companies that are either about to go public or have gone public like uber. >> they are making money. >> and it's managing expenses pretty well and has 3.5 billion of cash on its books which gives it more of a flexible time line. >> how do you grow this company beyond what it's already doing and i think the answer, we have already seen, they have made something like seven acquisitions in the last eight years, and they have got -- they have strayed from their original model, you know, buying hotel tonight which is a hotel booking

website. i think that's what they will have to do is continue to make those acquisitions and grow it even more. >> tourism and cooking classes as well. >> i think that's great. my big question is what will they accomplish given the growing hurdle of regulation if you look at new york, paris, london, miami, i mean, even south lake tahoe now has put in regulations in place that cramp their ability to grow, and these are major market destinations where people otherwise would really want to use airbnb, so i think that continues to be a significant headwind. >> they want expenses to go up and fight with a lot of regulation they are dealing with on the city and state level. >> it's one thing to do while you're the new kid on the block and if you're a publicly traded company it's a whole different thing. >> absolutely. >> target zeroing in on the grocery aisle offering its own brand called good and gather analysts have not targeted in the past for lackluster food

offerings but they plan to offer more than 2,000 items, everything from milk and eggs and good and gather will be its biggest private label brand. there's a lot more money margins are much fatter with private label. >> that's where the growth is right now in the grocery business i mean, private label for walmart and some of the other big companies that do groceries, that's where their growth is i'm now a wegmans devotee. i go to wegmans all the time. >> they do a ton of private label that's really good. >> and why private label is growing as fast as it is because when you go to the markets where they have the private label you're almost like a captive audience wegmans doesn't carry the balsamic vin xwar that i loegare the private label used to be cheaper bad stuff but now it's real good quality. >> if you look at the competition for the grocery

stores, supermarket sales last year were $700 billion new grocery openings up 30% last year when you look at the opportunities for target, it's about getting more sales, and they have not done fresh food well they have done packaged food very well and have their own label. this is archer farms they had -- >> i forgot about archer farms. >> but they are going away. >> some of the market pantries are going to go away, and they will fold it into this good and gather which is awkward to say. >> when i think of groceries i don't think of target. amazon and walmart really have the first mover advantages, so i think target really has to work on its pricing structure to get the consumer. >> it's where you live, too. i was out in minneapolis and checking things out there. they own some of the markets where they are i think it depends on where you live we don't see much of walmart about here because they are not as deeply in the northeast and if you move outside of that i think it's a different ball game. >> but if you want something more than milk and eggs target is not the place to get that you don't do major grocery

shopping at most targets. >> but they want you to be. >> right now you may not go to walmart to do the grocery shopping if you've already been to target. >> elon musk taking another shot at the solar panel offering people to rent a solar roof for $50 a month rather than buying these things the solar roof would save consumers $500 a year and with newpricing it's like having a money printer. >> you know what they don't get, the 30% tax write-off. >> solar city would get the write-off. >> if you're in an area where you can then sell the power that you're generating. >> on to the smart yet -- i

thought was in -- it costs $1,500 that you have to pay to rip everything off and put it the back. >> this is a hail mary by elon musk they have to do something. this division has been moribund for years after they put it back into the tesla family. got to do something to grow this thing. >> i kind of appreciate elon musk's salesman hat that he wore usually the macro visionary with some sort of comment about space, but sheer a man who is trying to human annize the consumers and it seeds to be a business model that can be comfortable. that's all up next, the latest casualty in the war on sugar is juice boxes which says 60% of parents are trying to reduce sugar in their homes which means turning to

juice fox flavored alternatives like flavored water and juicy juice have introduced new juicy waters. >> both of you have children. >> i thought juice was a health alternative. >> we've been watering down juice for ten years. >> fruit juice is not too much >> too much sugar. >> fruit sugar still counts as sugar. >> it's a good sugar. >> and kids are drinking it in the place of water what do they need, 20% of moms are trying to reduce sugar what are the other moms doing? >> i've been watering down juice for over a decade when you give it to kids anyway because it's too much. >> the juice companies have got to feel fear right now because we're on this trajectory towards less sugar, more health and not only that, at the summer camp that my kids went tlorks was a ban against juice boxes. didn't matter whether there was water, flavored water, sugar

water, did not matter because of the environment and how much waste they create and i think if you're a packaged beverage this has to be a concern to you and your growth strategy >> think of the growth opportunity and y there aren't more consumer giants to coca-cola to pepsi introducing new alternative optionsed to the juice box that are not as sugary and also cost effective because as a millenial in new york city i do splurge on an $11 kael juice and contessa will totally criticize for me. >> that wouldn't go over well in my house. >> like who is going to juice their own kael le at home. >> seem sax going to drink it. >> what happened to putting orange slices in water, sorry, juice companies, i'm not your target audience. >> i'm stunned i thought the juice boxes were the healthy thing to go with because i'm the one that group on kool-aid and hawaiian punch. >> i'm with you. it was the healthier alternative until -- until water became the biggest selling drink again. >> oh, please.

>> there we are. >> topic five. one of a kind 1939 porsche, type 64, a pre-cursor to the first mass produced porsche was expected to fetch $20 million in auction at pebble beach and something went wrong take a look. >> $50 million $50 million. $70 million. $70 million now. $70 million. >> 17 or 70? >> this has been exciting to write $7-0, $70 million. 70 million 70 million >> yeah, communication is very important. the crowd in the auction screen operator thought that the dutch auction year was saying 30 million, 50 million, 70 million, when was he was saying was 13

million, 15 million, 17 million. >> i'm confused. were the people who were bidding actually bidding 30 and 40 >> right. >> i asked -- robert frank was there, and i e-mailed him and haven't heard back from him. robert, hello, answer your email, pal, because they took it off the market then, the auctioneer said if it's 17 million it didn't meet the reserve and they took it away. >> the crowd turned on the auctioneer that was lower than the reserve price that you mentioned. >> the auctioneer was saying 13, 13,5, meaning 500,000. how in that room even if it sounded like 35, how -- how do you complaint auctioneer going half had a million increments at the beginning and then jumping 9.5 million to the next level. it makes noence. >> it's an anchor and producer, like the producer not getting the elements right sorry. >> that never happens. >> that never happens. >> you're going to get yanked,

seema. >> look at the time. >> the elements don't just have the numbers right. >> that's right. i've done that on calls before it's easy toe mishear 13 and 30 and that's why you have to ask people to clarify, and it -- and it makes such a difference. >> lost in all of this, what a gorgeous car classic 1939 porsche 64. >> crazy how little it's changed over the years that is such a classic look for the early porsches there. >> contessa. >> i can hear marlena detrick singing "falling in love again." >> you have voices in your head. >> you're not only one >> guys, thank you good to see all of you. despite the signs of a slowing economy here in the united sates, the consumer remains strong we're going to take a look at where they are spending, what they are buying and the mpiethre getting a boost. that's next right here on "the exchange." support brand. you can find it in the vitamin aisle in stores everywhere.

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worried about a recession on the horizon. he spoke with reporters yesterday and also remained upbeat on the consumer >> i don't think we're having a recession. our consumers are doing tremendously well. i gave them a tax cut and they are load up with money and they are pike. >> how otule is the american consumer, and where are they spending courtney reagan is taking a look at the retail trends kate rogers is at a chipotle to dig into the restaurant numbers and the maybe a little lunch, too, but let's get over to courtney who will kick things off for us hey, court. >> hi there, becky there are reports that economic activity in the united states may be slowing, but not when you look at the consumer that is very strong. in fact, we just posted the strongest retail sales five-month growth streak since 2005 and 2006, and the consumer may very well be what's holding up the economy because about 70% of economic activity is tied to consumer spending, but where we shop and what we buy is changing about a quarter of the nation's

malls have closed since the retail building peak, and about 87% is the average occupancy currently. now since 2006, more than 160 non-food retailers have filed for bankruptcy 65 of them have liquidated in less than three years when you net out openings, 9,400 stores have closed, including 500 department stores just last year, and last year spending at retail -- spending at department stores for retail sales made up 3.5% that's down from 5.9% of retail spent in 2010. now, many store closings, of course, are due to overlevered retailers. they simply have too much debt to pay off and not enough money left to invest in the stores, but also there's been a shift to spending online instead of in store and spending more on experiences. put it together and we simply need less retail space than we have online is where the growth is. three-quarters of retail growth is coming online and about half

of all purchases are made on amazon.com but when consumers are not signature around waiting for those online purchases to come they are outspending on experienced. in the 1960s, less than half of our spending went to services which means more than half wednesday to physical goods. now, two-thirds of our consumption dollars are spent on services, less than a third on physical emergency sold in retail source. becky, back over to you. >> security, stay right there. kate rogers is at a chipotle here in new jersey, and she's going to check on america's spending at restaurants as well. kate, what can you tell us >> hey, becky, that's right. the lunch rush still under way here at chipotle and so far sales are up over 4% this years. that surpasses sales at grocery stores which are up by over 3% according to census data one reason for the change is changing prices. inflation has risen by 2% year over year, faster than inflation at grocery stores and also

higher than core inflation if you take a look at this chart, this is how inflation at both restaurants and grocery stores have risen over the past decade one reason that restaurant prices have risen faster than groceries is that in addition to the actual food they, of course, have to pay for things like wait staff and represent the for the physical space, but inflation aside. another reason for strong restaurant sales is simply a strong consumer. those higher prices aren't necessarily driving people away from spending at places like this chipotle. in fact, according to the national restaurant association, total food sales -- food and drinking places projected to reach $863 billion, that's an increase of 3.6% over 2018 in fact, the group says a 1955 restaurants accounted for 25 cents of each dollar spent on food today that number is 51 cents of every dollar spent this trend is evident in major restaurant companies that recently reported earnings chipotle had a 10% same store sales number

starbucks had a 7% same store sales increase in the u.s. and mcdonald's posting a 5.7% comp shake shack will also had a 3.6% comp number. take a look at this, year-to-date number for all the major restaurants players. chipotle up 90%, starbucks 50% and mcdonald's 20% and shake shack, the best performer in the space, up over 100%, so you can see the consumer trends really playing into strong performances at all of these restaurant players who are also all investing. as courtney mentioned, they are in a better experience, making tech upgrades both behind the counter and in the kitchen chipotle has a second make line to get people in and out of the store faster a lot of them operating their apps and they are partnering with the major delivery players as well. beck, back over to you. >> kate, courtney, thank you both great to see you by the way, folks, we should point out the houston rockets ceo is joining "power lunch" to weigh in on what he sees coming

from consumers today at 2:30 p.m. eastern time. make sure you don't miss it. it's the 15th anniversary of google's ipo, and the stock has climbed 127% since then, but how does it stack up against some of the other big annafag mes since their debuts we'll dive into the numbers national

alphabet, then known as google, went public. that stock has been good to investors. it's rallied about 2,700%, you break that down, that's an annualized return of 25%, but if you compare it to the other fang names, it's underperformed over that period of time, believe it or not according to bespoke, of the other three names around at the time of the google ipo, netflix, apple, amazon, they're all up more facebookdidn't go public until 2012, since then, it's also outperformed netflix is the best performer, up more than 13,000% if you're a shareholder and you're complaining, well, there is no pleasing you >> a group of high profile ceos that includes jamie dimon and ginni rometty are reinngthki corporate responsibility we have the details and the new

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the business roundtable, shareholder value has always been its north star, but today, that's changing. the association of ceos published a new mission statement, charging companies with goals to advance social

good fortune's cover story takes a deep dive into how this corporate and cultural shift happened allen murray is the ceo of fortune and also the author of the piece. how big of a deal is this? >> i think it's a pretty big deal it's been building for a long time i felt it in conversations i had with ceos that the way they're thinking about corporate purpose is changing. and they feel a need to maximize the value they have to society i have heard more and more of this, but this change in wording marks, i think, a big change in the way corporate leadership is acting >> i mean, i always thought if you were taking care of the shareholder, that meant automatically you would be taking care of some of these other constituencies, your employees, the customers, the communities you operate in if you're not taking care of them, you're not going to be providing long-term value. >> that's kind of the way the old business roundtable statement read but i think you recognize that

there's sometimes conflicts between shareholder gains and the needs of the community, the needs of the employees, the needs of the customers so this is an explicit change, saying hey, we're not going to put shareholders alone we're not even necessarily going to put them first. sure, they're important, but we have to look at how we're affecting society. a lot of this, becky, came up after the recession, and is really built in the last few years as we have seen the deterioration of the political debate in this country >> yeah, if you look at politics right now, you have bernie sanders saying things like their. thought going to let companies buy back shares unless employees are making a certain amount of money and get benefits elizabeth warren said she wants to turn over a number of board seats to people who are elected directly by the employees in these situations do you think this is lip service to try to prevent some of that from happening or do you think this will change practices affsome of the companies >> i think it's more than lip service.

ginni rometty used the phrase license to operate, which is a recognition that public companies have to have the goodwill of the public in order to survive and if you look at the political debate right now, as you said, you have democrats lurching to the left, and on the republican side, you've got a president who opposes trade agreements, who opposes globalization, which is what drove the growth of many of these big corporations and so i think there's a feeling that they have to show more leadership and chart a separate course >> you know, i heard the general counsels everywhere were kind of beating their brows, kind of wondering what this was going to mean, because they have a fiduciary responsibility to the shareholder. how do they manage that and what they're now saying is their top priority >> i think it's going to be a little tricky. you have these letters that larry fink has been writing for the last couple years that suggest that some shareholders want this as well. on the other hand, companies that are under shareholder attack like general electric or alcoa didn't sign on to this

agreement. you can tell, there's some sensitivity about what this is going to mean for relations for shareholders >> 181 of 192 ceos signed off. you mentioned g.e. did not, alcoa did not. are those ceos who didn't sign off going to be under pressure, because now they're standing alone too? >> yeah, i don't know. i haven't done deep enough reporting to know specifically their reasons. i can tell you from the surveys we do at fortune that the vast majority of ceos of fortune 500 companies today agree with this shift. you know, that 1997 statement reflected the thinking of milton friedman, who said your social responsibility is delivering profits to your shareholders, period when we did a survey earlier this year, you only -- you had fewer than 10% of fortune 500 ceos agreeing with that limited view >> it's really a reflection of the times. a great piece, and i want to thank you for your time. great to see you >> thanks, becky always great to be with you.

>> alan murray of fortune. that does it for us. let's look quickly at where the markets are right now. the dow is up by about 275 points these are big gains coming on the big gains we saw at the last two trading days of last year, so continue to watch this as we get closer to the closing bell right now, it's time for "power lunch. >> and thank you, becky. i'm melissa lee. here's what's new at 2:00 on "power lunch." stocks in rally mode the dow jumping nearly 300 points as the bond market snaps back are recession fears overblown? vanguard's strategist says not so fast. and expiring today, the first of many ipos to let early insiders sell shares. we'll tell you which names could get hurt the worst >> and great american consumer, owner of the houston rockets, tillman friteata will give us his insight on how strong wall street really is "power lunch" starts right now