no one giving them resources, price points and equipment for them. >> how many times are you working out a week >> depends if i'm traveling or not. but four to five. >> pretty good. >> at planet fitness. >> yeah. >> kelly, obviously. >> i have a black card i can go to all of them. >> chris, thanks very much chris rondeau. >> appreciate it. >> thanks for watching "power lunch." >> closing bell starts now. >> welcome to "closing bell. i'm at slack post. current listing up a healthy 7.4% ahead of aerpearnings, bro market up, near session high 59 minutes left to trade. >> i'm sara eisen. welcome, everyone. let's look what's driving the action, a global rally led by hong kong as we see a step toward resolving political crisis helpful signs out of the uk on brexit, likelihood of a no deal brexit decline and the beige book just out.

half a dozen fed officials speaking today as the growing rate debate simmers. speaking of the fed, two perfect guests, both officials who served on the fom, sarah bloom raskin, coming up before the close today. joining us final hour of trade, josh, nice to see you. >> happy to be back, sara. >> 212 point rally here. are you buying into it >> i think what's interesting, the answer is yes. i think what's interesting we've done nothing, given headlines, back to early august, essentially flat i'm not suggesting that's a bad thing. in fact, bulls would say look how much is thrown at the market in the form of tweets and deals and nondeals and fed volatility. in the meantime, yields haven't even stabilized. yet we're still hanging in at these levels i think what's important, give the edge to the bulls. we've been testing resistance in this range

the upper side of this range, more than we've been testing support. so slight edge to the bulls. you look at xly, xlk combined sam will probably correct me, probably 30% of the market at this point the most important sectors, consumer, tech, and they look like they want to bust higher. that's where i am, where my head is at. >> coming up in a moment, let's focus on the big stories we are watching today seema mody covering the rally and protests out of hong kong, details on the beige book out this afternoon i'll take a look at fresh comments from fed officials. wilbur with the latest on brexit chaos. cortney watching market movers and mark has the dashboard seema mody, to you overseas. >> positive sentiment started in asia after carrie lam with drew controversial extradition bill that sparked months of protests in hong kong shares gaining 3%, best day since 2015

the market took it as a sign china is potentially giving in activity in china's services sector, pick up slightly in august while one datapoint does not make a tren it's an encouraging sign growth sectors, oil higher, oil prices up 3% after new u.s. sanctions were imposed on iran this morning them there are a number of stocks hitting new highs today coca-cola, pepsi at an all-time high walmart and lockheed martin down. >> thank you federal reserve releasing beige book ylan mui has that. >> reporter: no change if the beige book still finding the economy is expanding at a modest pace employment, wage and price increases, feds found those were up modestly as well. a lot of color in the beige book over what's happening in manufacturing given trade tensions overall the fed found

manufacturing activity was down slightly across the country. about half of the 12 fed strikts report add slow disoow slowdown regions found manufacturing activity picked up, guys still a mixed picture geographically back to you. >> we heard from a number of fed speakers, katherine bullard, neel kashkari and charlie evans any minute mixed messages out of the fed. new york, john williams, perhaps the one to watch, a bit of an ambiguous statement but pointing to be in the cut camp. speaking of trying to get the message out, former new york president, new york fed president bill dudley with another op-ed attempting to dispel some of the controversy of last week writing he does not think the fed should attempt to influence the elections, but, quote, a lot of risk that the fed by easing might encourage the president to take even more aggressive actions on trade. this might create even greater downside risk for the economy.

we also in the last 24 hours, guys, heard from bullard in st. louis, voting members, 50 basis points, responding to market pressures in the environment yield. other side, another fed voting member says the economy is doing just fine. here we are in another big rate debate where the market is pricing at 100% chance of 25 basis point cut in september though 50 might be a surprise. >> josh, do you think this is key to keep the market propped up >> this central bank and others getting that dovishness. >> i don't know what it was for the economy to lower borrowing rates in an environment, you know, corporate cap ex peaked in the third quarter of 2018. if you keep the uncertainty of the trade war, i really don't care what you do with fed funds rates, you're not going to change the picture for corporate spending and investment. you're just not. i think we kind of have two economic situations. i think we have the classical one where we look at things like

new truck orders and railroad loads and things that really have not been profitable to look at for anyone over the last 10 years. put that to one side then there's the other economy, which is what's happening at walmart, target, amazon, back to school sales, what's happening with consumers paying netflix, soon going to pay disney that part of the economy, the latter part, if you focused on that you've made money in stocks and so we have to decide at some point will these two things remain separate or will one ultimately influence the other old-timer's will say sooner or later if auto sales fall home sales fall and everything goes with it. maybe that's true. there's so much unprecedented activity on a lot of front, it's hard to be sure. >> i wonder whether it's an issue for the market there's such great descent inside fomc it is a little bit harder to figure out how many rate hikes we're going to get beyond september, if that's a

guarantee, given there's such distinct opinions how far you have to get ahead of it. >> think about, go back a year consensus for three rate hikes this year. now we're saying is there two or three-way cuts think about what a 180 that is i don't know that it's ever easier than it is now or harder than it is now i think the point you make about the the key takeaway, mixed messages again for the first time in a while. >> joining us to talk about the fed later in the show. meantime watching brexit uk prime minister boris johnson suffered a torrid 24 hours, just suffered another key losing vote this one mps vote to block no deal brexit. the bill now goes to the house of lords rather than sit and allow his hands to be tied on brexit, prime minister johnson tabled a snap election on the 15th. that will be voted on imminently this requires a two-thirds

majority to be approved. despite opponents calling for change in recent months and often specifically before an election, the prime minister expected to be defeated again this evening being denied his chance for an election that said, as we've been on air, jeremy corbyn, the leader of the opposition has said he would support an election once this anti-no deal brexit bill has formally become law. that could be friday or monday at the moment it looks like tonight prime minister boris johnson won't be granted an election later this week or early next week he might well be given that chance. >> what's the pound reacting to positively isn't the prospect of a corbin leadership just as potentially worrisome as no deal brexit? >> yes but all that's happened in the last 24 hours has been anti-no deal part of this whole bargain has gone through the election part has not gone through. so for risk assets you've had

the positive part. you haven't potentially had the uncertainty of a four-week election campaign confirmed. and with that, there's a slight nuance on this, what corbin basically said he won't approve the election unless that law to seek an extension and prevent no deal has already become law. complications about whether if you've got a new prime minister boris johnson with the majority being done either way up over a percent 122 not pound back to pre-brexit level. >> yesterday was a terrible day. turning to retail, a number of companies speaking out at retail conference courtney reagan joins us with more hi, courtney. >> hi, sara. a lot believe the consumer is strong there is uncertainty around tariffs, of course, but many are managing through ceo marvin ellison says broader economic environment is supportive discretionary holding up well. no evidence so far there's any trade down even and some of

those big ticket items dick's sporting goods ceo ed stack said he and his vendors used their negotiation power as well as their buying prowess to do a pretty good job mitigating tariffs. therefore, there's going to be relatively few price increases williams sonoma ceo laura al better saalber said in the areas they counter-raise prices they have more four than they thought. patrick gris merced u.s. environment is supportive and helping his business even though the company lowered the forecast for the year disappointing the street back to you. >> thanks very much. starbucks is not the only company revising forecast, jetblue and tyson in the last 24 hours also let's get to mike santoli for the first market dashboard mike. >> i'm calling this fighting ebb tide, fighting economic growth

global is causing downgraded expectation for earnings also get to more aquatic maritime themes diving into the shadows people betting on more down sides than there was in stocks looking at countering cross-currents, important levels in the stock market that josh was alluding to before and bobbing to the surface to bond market stories let's look at the relationship between macro indicators forecast ism, got that print below 50 you see here the relationship between ism manufacturing index and how many -- what percentage of forecast revived up or down that's the rollover we're seeing right here the percentage is down toward 40%. that is out of rbc we suggest perhaps the direction of revision is still going to be lower until ism turns as it did here, multiple places. let's look at morgan stanley's leadings earnings indicator, using macro variables. trend for realized earnings

growth going towards zero. this is clear that probably we're going to see pressure on the earnings outlook the question i would have is whether the market has already figured this out if you look at global exposed companies, cyclical, stocks have already been punished. the big question is maybe we've already gotten here in terms of pricing and accounting for this coming week. >> mike, thank you very much we're going to continue along that topic chief investment strategist. sam, earnings recession, where do you stand on that, likely or unlikely >> unlikely right now. the beginning of the year there was that concern because we had forecast for two successive quarters of earnings declines that the definition of an earnings recession also what you find is that 75% of economic recessions since world war ii were preceded by earnings recessions. now that we got better than expected results in the first quarter and the second quarter, third quarter is expected to be off by 3.3% but then we're going to be up 3.8 in the fourth

quarter. taking the earnings recession off the table. >> so you've got in terms of guidance cuts and risk the companies are citing tariffs, the u.s. dollar. what else are you hearing out there and where do those two rank in terms of how painful they are going to be >> i think what we're finding is people just don't know for sure. that's why we're seeing 10 of 11 sectors that are expecting earnings short falls compared with their june 30th estimates and all 11 sectors are now posting earnings expectations that are lower than what was foreseen in june for the fourth quarter. so people are really being conservative by racheting down their expectations but i don't think they are going far enough to say we're headed for an earnings recession. >> i want to switch gears and ask you the question everyone wants your take on forgive me, i don't know if you've released your take on this yet prior to now. talking about an indexing bubble and passive investing mania, which strikes me as odd. the whole idea of indexing and

passive investing is humility and people saying i can't beat the market it's almost the opposite of a mania. people just being realistic. then the money moves almost from the same portfolio, from a closet indexer charging 80 basis points, i-shares essentially for free, but the same holdings. how could this be a bubble why would this be a mania we need to worry about? what are your thoughts on this idea. >> my thoughts are maybe what's happening is you're having so many investors pile into the megacap stocks, a small component of those stocks are what's driving the overall index to the point where when we do eventually falling into a meaningful bear market, it's very top heavy and dragged down, similar to what we saw in 2000 while the large caps down 10%, small and mid caps were up for that year. 2001 large and midst down but small caps in positive territory.

>> isn't it true following that thread, every bull market led by a somewhat narrow group of what we call leadership stocks, whether nifty 50 in the '60s or do t dot-c dot-comes. that's normal. >> the premise of this argument is sits boosting megacap stocks because the indexes are cap weighted, not equally weighted some of the etfs more fact or-based are more equally rated. >> guys, hang on for just a second i want to go to steve liesman. we've got breaking news on the fed. steve at headquarters. steve. >> reporter: sara, thanks very much chicago fed chairman charles evans making stronger criticism of the policy, trade tariffs with immigration restrictions could grow trend u.s. growth for the long-term. he said trend u.s. growth could be closer to 1 1/2 compared to 1

3/4 or lower because of such policies trade polls increase uncertainty near-term effects among the business community longer term you have tariffs in place, competition, reduce productivity, motivation for firms to innovate. it points out restrictions on legal immigration could reduce labor hours. two key components for determining gdp growth international trade, he says, expands economic opportunity so sara, there's somebody from the fed who is giving the economic case for having open and free trade. >> so he's a voting member right now, correct, steve? >> i believe so, yes. >> is he a cutter, in the cutting camp as well >> he wants to cut rates charlie has been worried about inflation and also very sensitive to the weaker economic data out there you know being in the chicago district, he by the way giving a speech at an auto conference

he's going to be sensitive to manufacturing in the auto sector a key component, midwest component, midwest manufacturing index that showed some weakness still over the last several months. >> okay. steve, thanks very much. more fed discussion to come as we mentioned earlier just to come back to the earnings discussion. josh, when you see those warnings, likes of starbucks meant to be an area of strength, consumer exposed company, does it concern you >> i think there are idiosyncrasies for companies like starbucks depending what quarter it is and what the comps were a year before might change what they are saying, where it's not necessarily something you could extrapolate and say this is true of every consumer facing company. i want to be really careful. even a company as big and meaningful as starbucks is not always a message i would love to hear what your thoughts are of the concept of an earnings recession because we had one in 2015 and 2016 it was mostly driven by falling oil prices we came out on the other side

okay market was flat a few months and then made a new high. >> came out okay, down almost 15% through february of 2016 and the problem was -- what happened was analysts all of a sudden woke up and said, wait a minute, it's not an earnings recession, it's energy's fault. take out energy and it's up 7 1/2% we're looking for a scapegoat like that this time around. >> trade. >> guys, thanks very much. still ahead on closing bell, we'll speak with former fed chairman sar, ah bloom raskin and fed headlines a week or so. >> dive into google's fined from ftc and changes it could spawn at youtube as we head to break, check on data tracker, deficit narrowing in july as exports climb as the trade gap with china rose to its highest velel in six months.

closing bell will be right back. dow up 220 ah, you could say that. so how are things with you guys? great. thank you. thank you, sir. lunch next week? terrific. say hi to the team. will do. call my office, i will. -sounds good. alrighty. servicenow. works for you.

landmark ftc find today. the company agreed it pay $170 million to settle violations of

children's privacy laws. julia boorstin with what it entails. julia. >> agreed to changes to protect privacy. they will require to flag kids content. youtube won't be able to collect data to track kids for ad targeting and kids won't be able to comment on videos without parents' consent two commissioner at the ftc accide dissented saying it doesn't go far enough as far as the fine and fundamentally changing business practices, also saying google's commitments can't be easily enforced. analysts tell us it won't impact parent alphabet bottom line is a rounding error for the tech giant. guys, back to you. >> julia, thank you. a continued pile on on google. >> i'm a shareholder they got these guys dead to rights it's not like they were being malicious about it if you have kids and you see

them consuming youtube, it just plays and plays and plays and plays and they have information on kids' viewing habit probably more collected than you would think. >> oh, my gosh do you know how many times i've gone for tooubs, baby shark and wheels on the bus, a 45-minute loop. >> what i don't get is how they are going to be able to change their behavior to scrap all targeted ad. >> do you 'n' how smart these people are facebook, too. they will find every work around, every loophole new ways of doing things under the sun. they will always be two or three steps ahead of everyone else. >> $100 million fine, nothing. >> cost of doing business. expected they have reserves for this. >> a it will. >> yu. >> still ahead lyft facing a new lawsuit over sexual assault complaints against its drivers. slack first quarterly

results since its gone public. josh brown bullish even before the listing. he was bullish you can't hear him. >> sound over tape. >> roll the tape i really like slack. i'm josh brown. >> all you need to know. he still is. back in a couple minutes - stand up if you are first generation college student.

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welcome back to closing bell time for word on the street. initiating wwe outperform with $90 price target firm citing attractive business model saying the company is on the brink of a period of unprecedented growth i like the debate as to whether this is a sport or entertainment. it's valued like it's a sport. >> yeah. >> the live attraction that comes with it. >> behmo capital markets upgrading activision blizzard raising price target to $60 from $43 a share. the firm citing stronger conviction in the company's restructuring and investments in call of duty and warcraft. and mizuho on micron raising from $50 from $44. chip pricing better than expectations chips are having a great day, josh they have been an interesting indicator on the market around trade. >> however volatile the chips

are, micron is like doubly so. it's one of the highest beta names in the market. stock is up 9% over the last four sessions. if you really feel like i have to get into this right now, maybe your best bet is to focus on position sizing maybe you don't have to have a full position at these levels if you really feel you've missed out and there's going to be more to come. if you look at a two-year stock, it's in the middle of nowhere. it tends to have really wild moves around announcements like these but it's not, you know, the type of rally that typically sustains itself over months. >> is pro wrestling a sport? did we settle that. >> the analysis -- >> geeuys and girls. >> analysis saying it's not an actual sport but valued like one and getting life viewership like it is one, key thing for the stock prices. >> if i say to you here is a million dollars, you have to invest in the future of one of these two sports over the next

20 years, baseball or professional previouslyiwrestlih would you choose >> professional wrestling. >> knowing the demographics of each and the speed with which one operates versus the other. >> the success on tv. >> we've been invited a number of times. >> we're kind of a wwe show. >> i went to barclays for summer slam with my kid i've never seen as rabid a live fan base never. these people are beyond into it. i'd rather bet on that what would be your wrestling name, josh >> i think i already have one, downtown josh brown. >> there you go. >> man frost 31 minutes left of trade 221 higher on the dow. the key things driving the action, a global rally led by hong kong as we see a step solving political crisis small step brexit, crucial vote expected in

the next hour whether to hold a snap general election. beige book just out and half dozen fed officials speak today as growing rate debate simmers continuously time now for cnbc update with sue herera sue. >> hi, will, everyone. here is what's happening at there hour the bahamas national airport was completely destroyed by hurricane dorian entire plaenes and parts of aircraft lie scattered on the ground all the buildings on the premises were severely damaged and now the carolinas are in the cross-hairs of dorian as it heads up the east coast. wcau meteorologist crystal cli has the latest on the track. >> sue, we're still looking at a forecast that includes 105 miles an hour, category 2 storm moving north northwest at 9 miles an hour tonight it will push directly to the north. tomorrow morning things will get most interesting and will be on

high alert as it starts to make northeast turn still at a category 2 passing very close to areas like savannah and charleston and then riding through friday morning very close to the north carolina coast. that's when a landfall is possible as of the latest update from the national hurricane center regardless whether we see an actual landfall, talking areas where we'll see inland flooding, rain up to 15" possible storm surge 4 to 8 feet that's the latest, sue. >> thank you, krystal. speaking of that roy cooper is, indeed, warning the public about the threat of flash flooding and storm surge before dorian's arrival tomorrow. >> hurricane dorian has its sights set on north carolina we will be ready, and we will not underestimate the damage this storm can cause north carolina faces deadly storm surge and inland flooding.

>> we're watching dorian that is the news update this hour i will send it downtown to you. >> thank you looking at the dow up 232 or so, near session highs go to mike santoli, second dashboard. mike. >> calling this one diving into the shallows when you do that, expect there's more downside than there actually is. take a look at this chart of s&p 500 against short interest in the market this is from merrill lynch the bottom panel is percentage of shares sold short as a proportion of overall shares outstanding. here is what you see, this blip higher in the last couple of months it shows you professional investors got a little negative, looking nor more downside. we've seen these lips get extended, 2015 and 2016, deeper correction, this is coming off bear market in 2008, 2009. what this does is fit in with a general picture of being cautious to defensive to skeptical about this market

despite the fact it was only a 6% pullback in stocks. i think the picture argues for net bullish outcome if, in fact, we don't get some other kind of a shock. sentiment is the bull's friend to a modest degree and this supports that. >> interesting authentication powerhouse panel sarah bloom raskin and narayana kocherlakota to weigh in on all fed speakers and what the central bank should do next. ♪ ♪ i've been a caregiver for 20 years.

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president trump making fresh comments on china. get to eamon javers for details. >> the president was asked in an unrelated event about whether he's concerned about the chinese trying to hurt the economy by going after u.s. debt. here is how he responded. >> i'm not worried about it at all. they have approximately a trillion dollars that's a trickle compared to what we do plus interest rates are very low we've never been at a position where we've had more people wanting to invest in our bonds if they didn't want to renew or re-up, as they say on wall street, that would be fine with us because we can refinance that

very easily. there's never been a more time where more money has come into our country. >> the president there is saying he's unconcerned ultimately about the chinese selling u.s. debt the reason, he says, is because there's enough demand global to make up for chinese buyers the president weighing in on the treasury market. not something you hear very often. in the context of the trade war with chinese could it spill out of the tit for tat on tariffs and turn into something more broad, economy to economy. the president seems unconcerned about a broader spillover. >> thank you. >> you bet. >> former new york fed president bill dudley out with another op-ed today clarifying his op-ed from last week when he created quite a controversy saying the fed out to abandon its apolitical stance and consider how the president's re-election could present a threat to the u.s. and global economy amid ongoing trade tensions in today's piece dudley said the fed should push back to encourage better policy and not

stand by and allow a recession former fed chairman sarah raskin and minneapolis chairman narayana kocherlakota. maybe struggling to articulate, even fed chair powell wrestling with this idea, what should the fed do about the trade war what do you think? >> so bill dudley has come out with a new statement his initial statement was a bit problematic. the initial statement suggested to many that the fed would actually act in a political way. that was how it was interpreted. that was a misinterpretation that was essentially what bill dudley is now trying to reel back why was it a problem, sara part of the rope it was a problem it was interpreted as actually creating the impression the fed does take politics into account, the fed does act

politically. this, of course, had all kinds of negative collateral potential damage associated with it, such as a call by some for hearings on the senate banking committee regarding whether there should, in fact, be a fed that is so politicized. that was the furthest thing from what bill dudley, i think intended and certainly what he intended for the feds. he's new come out with a new statement in which he tries to clarify, put into a better context what he meant by his initial comments. >> i'm not so sure he's dialed back that much, though a key line for me, he says, quote, the fed -- this is in his new article, clarification article, the fed needs to be cautious it does not inadvertently enable the president's trade war with china. that's still not the fed's role, is it? >> yeah. thanks for having me on.

i felt that bill's dialback didn't dial back as much as i would have liked i think the fed itself, it's very important to realize that like myself and my former colleague sarah raskin, we're former fed people. the fed itself has been very clear it does not act politically in any way the way the fed thinks about the trade war, doesn't matter who generates the trade war, it's completely element it's one element of the forecast to take into account when thinking about the appropriate stance and policy. i think what dudley seems to be suggesting is you actually want to be taking into account who is generating that trade war and how you might influence that person's decision making that seems completely inappropriate for a tech -- technocratic institution.

>> how should they think of the trade war. >> an economic drag on economic activity you see that in the manufacturing sector and you see it in markets. there's a lot of concerns about downside risk in markets so i think the fed is doing the right thing, which is to ease in response to that then of course the big question is how much to ease. you know, i think we're moving in the right direction along those lines. >> sarah, in terms of latest data and fed speak we've had, what's your take on manufacturing pmis and whether we'll see the easing priced in by the market coming up later this month. >> i think you're right, will, that the latest manufacturing sector data was not good this the first downturn in manufacturing activity in the u.s. that we have seen since, i think, august 2008 it really is a slip here if you probe behind the data, behind the manufacturing data,

you do see some cause for concern. you see that in the manufacturing sector, hiring isn't happening the way you might expect you'll see in the manufacturing sector data that business investment isn't happening the way you might expect so we're starting to really see the effect of the tariff war on the manufacturing sector so i would add to narayana's good answer from before. in addition to looking at what the markets are doing in response to this data, i think it's important for fmoc to probe what's happening in the market sector, to see essentially what's going on in reaction to the trade tensions and determine the extent to which that's going to pool things down. >> here is the issue that people are having right now i'll pose it to you.

feels like fed is a bit unanchored right now manufacturing sector is a small component of our economy, consumer economy consumers in great shape the fed is not posed to respond to the markets or inverted yield curve. it's good they pay attention to everything and take it in but not be bullied by the market so what exactly is dictating the direction for the federal reserve path and are they communicating it clearly >> i think there's two key elements to dictating fed thinking one is inflation remains low there are concerns that inflation expectations are sliding downward those are around for a while the fed is taking those on board more recently. then i think that the other concern is the closest effective zero lower bound i think that's what you see priced into markets is if there were downside risks, if what's going on in manufacturing were

to spill over to the broader economy, does the fed have the tools to respond to that what we know from economic modeling and reasoning over the last 10 years and before that is given the closeness, the fed has to start moving earlier than it would move i said this in answer to other questions. if the fed was at 5 percentage points in terms of where interest rates were, you might not want to move right now given how close you are to zero bound you have to start moving now to keep the economies as close as possible. >> another quick question, sarah, those that are critici criticizing bill dudley for those who came out against trade war, i wonder where the critics were during obama administration where you could argue federal reserve wasenabling deficits and stimulus by taking interest rates to zero and pumping the economy with quantitative

easing it's also tricky where it's inevitably linked. >> that's exactly right. i have to say from my days at the fmoc, and i think narayan, take might remember the same as i do, we did a really good job, i think, of screening out the noise coming from the white house or from the congress, at least in our time there was quite a bit of criticism regarding quantitative easing. it was a policy people were unsure of. there was a day when john boehner, the speaking of the house, sent a letter over to chairman bernanke and entire fmoc, on the day of fmoc meeting and said what you're about to do is going to damage the u.s. economy. i recall it having zero effect

i mean, we did, i would say, an excellent job of screening out the noise. i would also go so far as to say the level and intensity of the criticism coming from the white house this time is of a level -- of a character that is very, very unprecedented it is a level that i think is incomparable to other kinds of criticism that has come from the white house or congress in history. >> good to have both your perspectives sarah bloom raskin sorry, narayana, heading into the close, under 15 minutes. we'll have you back soon narayana kocherlakota, minneapolis fed. a break in shares, bhox jumping on news, up 12%, talk to

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we've got news on twitter, following account hacks, julia, what can you tell us >> twitter finally giving us an update on what's going on after the apparent hack into an actress's account, chloe grace moretz after hacked into friday. temporarily turning off ability to text message to protect people's we're taking the step because of vulnerabilities that need to be addressed by mobile carriers and reliance on having a linked phone numberer for fwo factor authentication we're working on how to improve this we'll activate on markets that depend on sms or reliable communication, soon work on longer term strategy for this feature. it's unclear how many twitter users access this feature. we've reached out to twitter on this despite negative headlines twitter shares up 2.7% back over to you.

>> thank you very much i'll pick it up. josh, last chance trade. you've gone four. >> you made a good call with twitter. >> no, right here and now, stock about to make a 52-week high pennies away pennies away think about all the destruction you've seen in technology stocks coming out, if you think we just had market volatility this summer, coming out you want to hold names on the best, twitter above ten-day, 50-day, all those amplgs rising moving averages. the trend is your friend a new high i think $50 is reasonable. that's almost 20% from these levels plenty of wall street analysts have targets even higher this company could be next year on a billion dollar quarterly revenue run rate almost nobody thought they would get here even as recently as between years ago. stocks on fire has a better chart than any of the others i like it here and now

i would be a buyer. >> despite the hacks. >> the hacks are hilarious we love the hacks. it's part of the charm of the thing. >> even the ceo gets hacked on twitter. >> it's great, amazing. >> about eight minutes to go before the closing bell. here is when-of-where we stand rally steady all day long, up 230 on the dow nr sseaseion highs. we'll be right back with the closing countdown. - at southern new hampshire university,

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phil lebeau with details what do you know >> a report of deliveries in august in the united states are lower. you have to tell people to take this with a grain of salt for a couple of reasons. one, tesla sales deliveries are notoriously lumpy. sometimes up one month, down the next month, especially as they increase deliveries to different reenls around the world. while there may be some credence and we've reached out to tesla for comments on this, may be some credence to this report, it's not enough to extrapolate and say we're seeing a drop-off in demand for model three and deliveries are going to slow down this is one report mentioned in the united states. again, these deliveries by region can be lumpy month to month. be cautious on this news. >> phil doing a phoner fr

>> i'm in buffalo. >> great stuff hit with a new class action lawsuit, cnbc deirdre has details. >> the suit filed on behalf of 14 women alleges lyft is mishandling a sexual predator crisis failing to use its own technology to protect passengers and not doing enough to respond to reports of sexual abuse in a statement lyft says we do not tolerate violence or harassment and such behavior does result in a permanent ban from our service this is the latest example of how ride sharing, lyft and uber are curbing sexual abuse by drivers. it's also one of the many challenges they face as they struggle as new public companies. the attorney accusing lyft in a press conference today of putting profits first. of course, profits are exactly what investors are looking for with the lack of them they are

pushing uber and lyft to new record lows. guys. >> thanks. we'll go back to mike santoli for the third dashboard of the session mike. >> the highs today just about in an interest area look at the chart of the last year of s&p. this is the sixth time since early august we've approached 2940 area. today's action will get us right up to that combined with a heavily trafficked area of volume. this is from fitzgerald, the amount of volume transacted in this zone in s&p 500 futures is very heavy relative to other levels it shows you some significance if we can get above this level a lot of folks think we head back towards a run at highs. of course if you stall out here, basically reinforce the idea markets range for a little while. not a make or break level but interesting. go to nasdaq where bertha has a closer look. hey, bertha.

>> thanks very much. the tide is rising to keep with aquatic theme in terms of tech not huge volume but didn't have volume in selloff in the last 30 days chips are the big winners, moving us forward as far as the big cap names apple and facebook today are really providing a big lift both are just shy of moving below territory, the beat and raise on earnings hitting an all-time high with lam research once again among lagerts today, ultragenyx, good but some are concerned and starbucks lower. over to seema. >> hi, bertha, at the highs of the day, erasing losses with dow up 230 points. stocks lower yesterday higher today, intel, walgreens, 3m, caterpillar, am.

another factor in play, weaker dollar small caps are getting a boost as are emargining markets. part of emerges markets the development in hong kong overpass and also posting gains. michael's better than expected earnings that stock is up nearly 12% on the day. closing bell, dow up 230 points, s&p 500 a gain of 30 welcome, everyone to "closing bell." >> i'm wilbur frost, mark santoli cnbc commentator, check with mark on the close 240 points high on the dow, shy of 1%, over 1% for s&p which saw over half of the sectors up more than 1%, nasdaq up 1.3 what stands out on top of that sara, as well. oil very strong but dollar weak

which helped certain sectors on the s&p when we see a rebound in british euro. >> i would note broad strength in the rally, every sector higher, 11 out of 11 technology, communication services, energy, industrials, materials, financials on top that's what you want to see if you're bullish, cyclical rebound. the question is more than just today. yesterday utilities set a high. >> fell significantly today 17.3 at the close. >> we are waiting results from slack this hour. we'll bring those numbers to you. instant reaction as soon as they hit the tape first report as a public company. first joining us to talk about the market josh brown here ceo of wealth management anderson cnbc ibt counter-er. investment management and senior vice president of charles schwab mike santoli looking at sentiment and looking at the price action what can you tell us about where

september is going so far. >> the market in august bent but didn't break sentiment got much more negative than the actual experienced losses we had in the market. that speaks to the resilience we've seen this month. some signs also had macro fever might be breaking meaning we're not so fixated on every tick in the bond market. the bond market has been a little mayor friendly. back at the high end for s&p 500. i think you can say it's great to be at the high end of the range, still in the range at the moment you mentioned the vix being down again. that's because stocks today are moving in different directions, not like the entire market going up or down based on macro factors. a little more back and forth. >> all the sectors were higher. >> my point, look at statistical measures of stock correlation all the stocks in the market, it was a little bit lower today that's something. >> what is the vix telling us,

how there's still room for fear levels to come down. >> yeah. there definitely are essentially if you saw the way outflows took hold in august from stock funds and all the survey stuff, yes, definitely built up a reservoir of concern that can now be bled away in the form of higher prices if you get clearance to do that from the numbers. >> bhawhat's your level of comft in the market. >> official level is neutral within that in the u.s. equity market, over wait small caps, sticking with that defensive tilt from sector standpoint but don't go hog wild into the utilities and reits you have to be mindful of adding to them on pullback days overall we still think we're in this range bound environment and that the best position for investors it have is sort of stay close to long-term strategic allocations and use

some of these swings to rebalance back toward those targets. >> what, liz ann, did the manufacturing gdp tell you earlier this week? is that more important of an indicator than some of the stronger sentiment we've had out of the consumer? >> well, it told us what i think many of us already suspected, which is that we're in some form of manufacturing recession i think that's very clear to be the case groebl and it was confirmed not only by isma manufacturing index but prior to that the market index. that is not necessarily the death knell for the overall economy but there's a reason why even though manufacturing is about 12% of the economy, it's still the largest contributor of a sector to the economy. there's also a reason why manufacturing indicators dominate the leading indicators because they do tend to lead broader terms in the economy so far a pretty defined line between manufacturing side and consumer side, but i keep a

particularly close eye on the employment data. we're already seeing unemployment claims tick up in the manufacturing oriented states if we start to see that spill over more prodly, then i think you start to chip away at what has been that firm dividing line between the two segments of the economy. >> i've been going through a lot of research on pmi, manufacturing. basically high frequency economics put out jim o'sullivan a note last night low 50 contractionary it's happened before but doesn't necessarily indicate recession when we do get to recession or approaching recession we get to low 40s or below this. i think as far as what the fed should do and investors should do with it, josh, how much of a worry, how much of an indication >> well, it's not cumulative data, it's an oscillator so let's keep in mind it could be below 50 one month and 55 the next month it doesn't trend it's not the same as watching things like unemployment claims

or auto sales. it's a very different animal so with any data series that oscillates, okay, you should be aware of what it just reported but then remember that's last month. sometimes six weeks out of date. things change really quickly high-frequency economics, the high-frequency part is the part you should remember. they are always taking that reading. i think bigger picture, and i've said this before, if you just focus on the consumer and the things that are important to the consumer, like jolts, rates, do people feel confident enough they can find a new job, look at wage growth, retail sales. that is the stuff that made you money to follow over the last 10 years. if you've been focused too much on the manufacturing portion of the economy, and i'm not saying it's not important, i'm saying it's giving you a lot of reasons to worry, a lot of reasons to come out of themarket. >> make people say they said that about housing in 2007 it's a small part of the economy. it's not a leader of the economy. >> housing is really, really big

part of the economy. for the typical consumer, it's way more important than the stock market that's where all the consumer's wealth is. talk about middle class, housing is perhaps the biggest said that. the point -- >> nationwide decline of house payments ever. >> subprime, so small. >> doesn't lead overall economy into the recession. >> one of the issues, you had federal officials talking about how the consumer is coincident or lagging indicator of what is going on not to say it's wrong but doesn't necessarily tell you how things trend from here i think things like ism are more important to corporate sector than the economy it creates the rate of change business to business, capital spending overrepresentative in the s&p 500 relative to how big it is in the overall u.s. economy. >> the truth is, i'd love to hear liz's take on this, if you offer me one of the two, it's

very easy for me to decide whether one i want you tell me, i'll tell you how much in buybacks we're done or i'll tell you what the manufacturing readings are i would much rather know what the buybacks is. for me that's how i would establish a baseline reasonably of what the supply demand picture for s&p 500 looks like and what levels we might be at i couldn't do that with manufacturing data. >> pbuying heavy in 2007, josh, if that's aure-of-your indicator. >> future, not past. >> liz ann, quick final word >> a couple of things. one, i think buy barclays aback important, the most important factor on the demand side and on the supply side, too the one thing i would say about the consumer, about half the mod he were day consumption had personal recessions stay in positive territory not only does it not lead, it can stay in positive territory and you can still have an economic recession you have to be careful about

putting too much weight and expecting to only see it go into negative territory as a recession signal. >> liz ann, thank you very much for joining us great to see you as always. >> we are awaiting slack's first report since going public, expected to hit any minute josh, your shareholder, last chance trade aflac ahead of the public debut it hasn't had great public debut. >> down to 9% at its low it's getting better. i'm clinching, doing my kegels right now. it's not a trade, an investment. i'm probably one of the first million slack users given how far back we built the firm we built the firm on slack employees all over the country, they are 6 h00,000 all over the world currently using slack, which an increasing portion is opting for the premium version, which is how slack etfs paid we're looking for something like

50% revenue growth this quarter over the quarterlast year. if they deliver less than that, stock will have a two handle once again i will tell you options market pricing 15 or 16% move so expect fireworks in either direction. hence, the clenching i'm doing here fortunately the camera stops here for everyone. >> the high valuation. >> growing 00% a year prior to becoming public. >> we want to get back after the break when the numbers came, when they come out from josh brown who holds the stock. >> i'll be right here. >> clenching. >> google and ftc over google violating child privacy laws, hear from the consumer protection in 90 seconds

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division s since the settlement has been announced some concern from capitol hill, colleagues, that this is a drop in the bucket for google what do you say about that >> this is historic fine by anybody's standards. this is 30 times higher than our highest previous settlement. it's more than ten times the amount of all of our penalties combined in the last 31 cases we've brought. it's three times higher than the highest privacy penalty that any regulator anywhere in the world has gotten against google. so this is historic. i understand it's not enough to provide deterrents i think what we'll see in addition to this fine, we have strong injunctive relief that will provide google and the marketplace with the guidance it needs. >> you've called the settlement

game changing because youtube will be the first platform that is actually held accountable and held liable for content posted on its site. why do you think that is so significant? >> so this the first case of its kind under the children's online privacy protection act holding a platform responsible for the content posted on the platform by others. so in our copper rule, it is illegal for content creator, for someone who runs a website or online service they know is child directed, for them to collect personally identifiable information from the users or website. but if you're a platform, it's not enough the content be child directed, you have to have actual knowledge the content is child directed before you can be held liable for collecting information under this in this case we had strong evidence that youtube actually

knew that many of the channels on its site were appealing -- directed to children, therefore liability. first time we've brought a case for content, user content. >> we have a question for you back in new york. >> hey, andrew what recourse to increase punishment if this happens again or one of the peers or rivals. >> we can enforce against google or youtube ftc versus google or youtube in addition we can enforce children's online protection act against any platform in terms of increasing the punishment, i don't see the punishment is inequality i think it's consistent with our

prior cases, our prior cases, consistent with the penalties we sought and attained in those cases. it just it larger because youtube is larger. i think it's a penalty that sends a strong message to the marketplace. i have to respectfully disagree with the detractors. >> another question from sara eisen in new york. >> i pulled up wheels on the bus by little baby bum on youtube. it has 2.2 billion views how as an agency can you enforce and police youtube and take this word for it they aren't going to bait kids into ads with so many views when they are selling to advertiser they have this behavioral data for consumers and so many kids watch >> so there's a lot bound up in that question. the first thing is that we are not taking google's word for

anything in this order we require google to require all of their channel owners to designate whether the content is child directed or not. we also will continue our enforcement and investigation of google and channel owners for compliance with the coppa rule one thing to remember about coppa it prohibits i had fires for child directed content it does not, however, prohibit serving contextual advertising on child directed websites so advertising will continue on google, but it just cannot be targeted based on the user's behavior. >> andrew, there were a number of other measures that some critics have suggested you guys could have taken such as any eraser button that would allow them to athlete it

audits of the company. reviewing. requiring the company to review kids content posted to its sight. were any of those on the negotiating table? >> so let's take them one by one. the first was a content eraser right? this order prohibit google from using any of the data is collected for any purpose, even a purpose permitted under coppa. the second question was -- i'm sorry, refresh my recollection. >> second, any measures you take in you feel this was a strong game changing settlement, andrew, thank you so much for your time. >> thank you. >> ylan and andrew, thank you for joining us we have some numbers out slack >> slack shares are sinking in the after hours, down more than 10% giving up all the gains we saw today. let me give you numbers nongaap loss 14% per share, revenue a beat, 1.45 million in revenue

versus $141.2 million expected that's an increase of 58% year over year. here is what may be hitting the stock, that's guidance while q3 revenue guidance is coming in better than expected, the loss expected is worse than the 7 cents the company is expecting. the company is saying to expect a loss between 8 and 9 cents investors want to see this couple profitable, revenue growth and losses widening i also want to give you number, color around paying users. especially the company is facing more competition from the likes of microsoft teens the company saying it ended the quarter with 100,000 paid customers. that is up 37% year over year saying also 720 paid customers that are greater than $100,000 in annual recurring revenue up 75% year over year they are making progress in terms of paying customers. is it enough maybe not. also that guidance hitting the

stock down now 15% in after hours. back to you. >> thank you very much revenue up 58%, was that better than expected, all you care about at this stage? if you're buying this for the earnings, there were never going to be any this year. that was not what was happening. to her point, they did to bigger than they did. if you're a trader, you'll make a sell tomorrow. they have more people paying than what was expected, a huge opportunity in front of them and the majority of potential customers are not standardized on microsoft it's now microsoft and apple world and i think slack can really win there for me i'm probably a buyer now that it's a two handle adding to my position, down from where i originally owned it but i can say the same thing about 20

different situations like this i really feel this will be one of the faster growing names in the enterprise software space and i like it for that reason. >> i wonder if there's a little bit of an enterprise software fatigue or still the hottest place on the market. >> i wouldn't say fatigue. i definitely feel like a lot of optimism built into the sector for this one, it is really a matter of you have to refine your expectation of what the real total addressable market is, not like the pie in the sky, entirety of all workplace communication. does that come down on a three-month basis they are not blowing you away with revenue growth numbers and microsoft meanwhile is there talking about their daily active users actually exceeding slack right now. it's kind of an interesting dynamic. you know, again, it's expensive, people think it's viable, product going to grow for a period of time, have you to

moderate how fast it gets there. >> you think of software service names, this has been one of the sectors in the market, which is why slack got benefit of the doubt coming out of the date they didn't need an underwriter, a direct listing, enough of a high-profile sheen." a company like coup, dropped to 55, now 150, had a huge day today. this is another example of a company that became public at a high valuation, kind of stuttered out of the gates but the growth is so powerful in these types of names that ultimately they find their footing. i did think that will happen with slack we'll hear what the ceo has to say. i think he'll be on tomorrow morning. i will break my normal 2 1/2 hours of yoga and sit and tune into that instead. >> you have it in the background during your 2 1/2 hours. >> no, things are serene.

>> you're going to walk home over the bridge. >> perhaps perhaps. >> looks a lot like dropbox. i think the business operates with a similar feel to it. >> i was referring to like a workday. >> you're right about that. >> the perception. >> but they have to crush. slack had better than expected but this is not a crush. if you want to have -- come out of the gates, you need to shock people to the upside that is clearly not what happened tonight thank you, josh. extra josh on slack. investor for uninverting this morning a long-term look at what that can mean for the economy do you have concerns about mild memory loss related to aging? prevagen is the number one pharmacist-recommended memory support brand. you can find it in the vitamin aisle in stores everywhere.

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simple. easy. awesome. of the day looks like you're stuck at the beach. >> just offshore, trying to make it through the water, various roiling currents that's what the yield curve has done the difference between the two-year and ten-year. we're in kind of recession panic

mode for a little while. this is a very long-term view of this relationship going back to late 70s basically at 40-year view. this is where we are this is a month end number, we never spent a full month below zero we got to zero, a fair bit ahead of a recession here is an interesting one, too. that was 1998, a good deal, like three years before the on set of a recession. i do think the market in general overanticipated what this meant. it didn't necessarily start the clock, flip a switch to say we were in recession vigil mode, even notwithstanding all the explanations for why not as powerful. a shorter-term view of this, even when we did invert, it was barely here is the zero line. we're actually above the zero line this was all we did. we just kind of knocked around

it a little bit. no pronounced inversion. i do think we have to take it all with a grain of salt not because the indicator doesn't matter, hasn't been persistent, deep enough to tell us all that much yet. >> not yet we'll see what happens up next, breaking down global risks, dow rising as hong kong tensions ease. trade, brexit, argentina front and center for investors your protection play fwook globally straight ahead. every new job. and attempt to parallel park. (electrical current buzzing) each new draft of every novel. (typing clicks) the finishing touch on every masterpiece. (newborn cries) it is humanity's official two-word war cry. words that move us all forward. the same two words that capital group believes have the power to improve lives. and that, for over 85 years, have inspired us to help people achieve their financial goals.

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welcome back palo alto earnings out josh has a number. >> reporting eps of $1.47, revenue $806 million versus forecast of $802 million billings $1.1 billion. terms of segments, product came in lighter than expected, $206 million street looking for $315 million. i did talk to one analyst and said, listen, he's buying companies, focused on cash flow metric, came in below what the street is looking for. making another acquisition here acquiring a company called zing box, iot security company for $75 million. saying given proliferation of iot devices and enterprises this acquisition makes sense. a lot more about the acquisition on the call which is starting right now. guys, back to you. >> josh, thank you we know you'll monitor that.

down 5% after hours. time for cnbc news update with sue herera, hi, sue. >> hello here is what's happening this hour president trump said hurricane dorian was lucky with the path but concerns up the coast. he met with reporters after receiving oval office briefing from emergency officials. >> we certainly got lucky in florida. now if we can get lucky in georgia. if you look at south carolina, north carolina, it could even extend beyond that so we're talking about virginia. hard to believe. so we'll see what happens but it's a very erratic, very slow, very powerful hurricane. >> hong kong police faced off with protesters hours after chief executive carrie lam announced the government would withdraw the controversial extradition bill footage showing police guarding the train station with protesters chanting outside. premier giuseppe conte forging a coalition government teaming up

with populist five-star movement and center left democrats in an alliance blamed at right wing forces from power. he will dedicate his energies to making italy better for all italians you're up to date. that's the news update this hour sara, i'll send it back downtown to you. >> sue, thank you. twitter hackers appear to be taking over another high-profile account days after ceo's account was hacked julia has more. >> the hacked account of chloe moretz, and tweeting out the ceo's security number after hacked friday. turning off via text message in order to protect people's accounts saying, quote, we're taking the step because of vulnerabilities that need to be addressed by mobile carriers and our reliance on having a linked phone number for two-factor authentication.

working on improving this. a small number of twitter users use this sms format. offense to you. >> julia, thank you very much. huang sink up 4% after hong kong chief executive carrie lam with drew controversial extradition bill that sparked two months of rallies and demonstrations s protests are expected to continue this is only one of five demands activists are calling for. was it too little too late let's bring in michael from the eurasian group let's put that question to you, too little, too late. >> i think so. if it's an opening, it's a modest one a lot of pressure on carrie lam, hong kong chief executive to follow this up with more substantive moves. >> the market took it really positively did china blink? >> i think early to say they blinked. more pragmatism. important in terms of market reaction and china's reis that

one thing it does do, which is significant, it lowers the risk in the near term of large scale crackdown by beijing that's serious, something the market was rightfully worried about. at least buy more time for perhaps a political dialogue i think the tail risk for right now is a bit lower than before carrie lam made this move. >> ultimately for protesters who may have demands or ambitious or hopeful expectations of where it ends up, should they realize ultimately china is never going to compromise on its most important principles and settle somewhere in between >> well, you could make that argument certainly i think for men of the protesters in hong kong, this has become an existential issue, to some extent, with beijing they are looking at this as a historic moment to try to draw a line for beijing some of this is also internal hong kong, to the extent that one of the key demands of protestes is an inquiry into

police actions so this is not all about beijing. it's about carrie lam's government and the fact these protests have really created significant fissures in hong kong's society. >> the fact the administration has remained so quiet about this, what does that tell you about president trump's strategy and what ultimately if things do calm down as a result of taking away from extradition bill will mean for u.s.-china relations? >> i think the real worry for president trump is that there would be a serious crackdown and that would have been something that forced his hand and really prevented any meaningful de-escalation on the trade dispute. if we're at a low level -- certainly serious protests but not talking about a crackdown, then i think president trump is going to basically continue more or less and there's still room for trade negotiations if he decides to go there. we're not optimistic about that either i think at this level of unrest. it doesn't force the u.s. hand

too much. >> is one of the chances that the protest just sort of lose a bit of energy because of this measure because of time going on. >> back to school. >> by the hong kong authorities? >> i think that's the bet of hong kong authorities by beijing. it seems like an overall opt michk bet by my. i think at this point the outlook is a continued stalemate. perhaps at a slightly lower level of intensity now that there's been this opening move but i don't see a meaningful improvement and i still see pretty high hurdles for this crisis to be finished any time soon. >> mike, thank you for joining us your latest take what have you got? >> we just got the results of the brexit votes, a reminder this was prime minister boris johnson seeking to call an early election that requires two-thirds majority of parliament, 650 mps, so need 433 votes. didn't even get a simple

majority, 298 votes in favor we will off the 430 odd that would be required. no early election based on this. that said, only 56 votes against it, so a huge number of people abstaining from the vote jeremy corbyn, leader of opposition and labor part did make it clear when the bill has got royal ascent, it would be to vote for the election. you can see it playing out in the number if those labor voters started to vote in favor of th election, it would probably be enough a lot of moving parts. this case would be now no election tonight but quite probable still but an election called in the next three or four days and fall on october 15th as the prime minister wants. >> but for now no deal brexit is farther and no election is

farther? >> for now no deal brexit is less likely based on a week ago, so the pound is up 1 1/2% over that week but still near significant lows an election is more likely than a week ago but less likely than it could have been essentially. >> a lot of voting. >> a lot of moving parts if an election gets confirmed, it would seem to be only after this no deal bill -- >> how do you get streaming parliament, what's the website. >> colleagues and streams global news for free. >> all right keep us posted still ahead, shares of slack trading lower after posting results just moments ago first as a public company. actually now at the session 15%. remember the listing price back in june at $26 so we're right back wndo there we'll have instant reaction to the numbers straight ahead geico makes it easy to get help when i need it.

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keeping our eye on slack shares, they are plunging more than 15% after issuing weaker guidance earlier this hour

balli falling below that $26 price they listed at in june joining us to discuss is rohit, senior analyst you had liked this company for $40 price target is this a buying opportunity or equally disappointed as the market >> it's a disappointing result i won't mince any words here it was essentially for slack to come out of the gate and be as great as anybody else. what you see here is slack had one-time issues. we would love to get more detail on the call. they talk about $8 million in lost credits that affected the revenue beat margin we would love to get more color on that. two silver linings in here

a good leading indicator in my opinion. the company is probably taking steps towards profitability faster than what the street expected these two silver linings this is big expectations correction and we want to figure out why there wasn't as much upside as we thought it was. >> how did you get to your $40 target given multiples of where it stands at the moment? >> the valuation of slack is not for the fainthearted evaluation of most of these high-flying companies, we are putting like $26 revenue, which implies sustained revenue growth over the next couple of years. revenue will grind higher but

probably expected much higher upside given this was the first earnings call for slack. >> what are you focused on in terms of rivals and how long slack has to continue to cement its market position and become profitable before it would be squashed by the likes of microsoft. >> yes from a rival standpoint, microsoft is the key player we are keeping a close eye on what we found surprising, bears would point to this, slack hasn't reported daily active users. everybody following the number microsoft gave in terms of daily active users in july we would love to know where slack is today is it more than 13 or less than 13 that's the key question for the call with management today over the longer term, a large

market slack has the potential to land and expand their enterprise customer base needs to grow. they are adding about 70 to 80 large enterprises every quarter. there is stickiness here but, again, how much upside is something we want now. >> all right, rohit, thank you very much. >> does this say anything about the direct listing process since we're talking about a price that's below the level. >> it's not a great vote of confidence for had you these things trade ipos also flop uber and lyft are examples spotify and slack are the two most prominent examples. nets one traded all that well relative to what they first did. >> soon to come on "closing bel bell", zoom video, impressed last quarter but can the recent ipo do it again. a look at what to watch when we

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much science there is for medical psychbzdelik. >> there has been research done. there is actually one ectasy based drug for ptsd, treatment for ptsd that is designated by the fda as a breakthrough therapy. in terms of where it stands against cannabis, there's one fda based approval for cannabis based drug epidialects it's hard to do tests on a schedule 1 drug. that's one of the limitations. people want to do the research people want the science behind it, but it's very difficult to get that certification to be able to do that on a schedule 1 drug >> all right melissa, thank you we'll be watching. 6 p.m. even. melissa lee. on deck, a look at lululemon. the battleground stocks tomorrow will give you a preview next we're keeping our eye on slack the company just out with

results and it is plunging hard. down 15% at the 26 level that it saw at its public listing. we'll be right back. kevin, meet your father. kevin kevin kevin kevin kevin kevin kevin kevin kevin kevin trusted advice for life. kevin, how's your mom? life well planned.

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sarah has the reports from lululemon. >> back in april the company detailed its growth plans doubling the men's and online businesses, quadrupling international and entering footwear in a serious way. the stock is up 48% in 2019 under ceo calvin mcdonald who's just been about a year into his tenure, it has continued a very strong run investors are just looking for confirmation that the brand is still in great shape and resonating with consumers. it's facing two difficult things, top comps because it's lapping double digit comps and high expectations and a higher valuation but lululemon has repeatedly delivered because of its connection with consumers. watch for 30% plus digital comp stores. >> we will watch for that and zoom tomorrow. >> if zoom impressed investors with the first earnings report, how is it going to fair when it

reports results. shares have surged more than 160% from that $36 price in which it sold shares in the ipo. i talked to analysts that respect the company and story. they also argued that it looks richly valued. back to you. >> thanks very much for that don't miss tomorrow. exclusive interview on "closing bell" with ceo of box. aaron levy we are out of time thanks for watching "closing bell." >> "fast money" is up right now. life in the nasdaq market site overlooking new york city's time square this is "fast money. i'm melissa lee. stocks are running back to life with all 11 s&p sectors finishing in the green tech the big winner. coming up not one, not two, but three charts telling us where we are heading next slack getting whacked. we will break down the big headlines, but we kick things off with something, this is something that we have never done in almost 13 years on the