>> stock of the year >> you can make the case i mean, let's talk at the end of the year still some time to go. >> fair point. joe, medical devices seems strong inflows perk and elmer good stuff dow closing in on 28k. that does it for us. "the exchange" starts now. thanks scott and welcome everybody on this friday i'm in today for kelly evans here is what is ahead. just one hour from now, the president expected to release a new blueprint for making healthcare pricing more open and transparent. could have a big impact on drug companies, hospitals, and more and a bullish yet very familiar trade headline sending stocks to all-time highs today do the internals in the economy justify these levels, though plus, one firm says lyft gets no respect from investors and taylor swift's bad blood with her old record lafbl just got worse. we begin with today's market

numbers. >> no bad blood for the markets right now because we get gold stars across the board the dow gets one s&p gets one nasdaq gets one. reason, all three hit record highs today. the s&p was up 19 points up seven points at the lows. and as you can see here, the nasdaq, s&p, and dow industrials all just about a half a percent upside record highs. one place we are watching in particular from an industry kind of sector point of view is what's happening with retail overall because believe it or not, since the recent lows, this particular etf, the spider retail tracks an equally weighted basket of retailers is actually up around 20% during that time. that's double what the s&p 500 has done yet, it is still yet to reclaim record highs the consumer still very much a focus. and our stock of the day is another kind of china bellweather, trade bell weather stock. best performer in the s&p 500 up 9% today this stock is up a whopping 115% just since the december lows of

last year. more than double semi-conductor equipment stock perhaps a leading indicator for the global economy and u.s./china trade bullishness, earnings, all of it playing out. applied materials a big move upside today melissa, i'll send things back over to you. >> we begin today with healthcare in just one hour, the president's set to speak on healthcare with many transparency proposals aman. >> yeah, melissa, we're going to hear from the president in the roosevelt room he is going to be talking about hospital pricing this is an issue that the white house feels is politically important to them going into the 2020 election cycle. they feel that by arguing for this disclosure of pricing, ultimately they're going to be able to get the american people on their side. and -- and make the point, really, that healthcare spending in this country is simply too high because hospitals and insurance companies hide the ball under these new rules that are being proposed, hospitals would now reveal discounted r t

rates they negotiate with -- so in theory, anyway, patients could look at the cost of those and say, you know what, i want to do that one i don't want to do the other one. most of the healthcare plans would be required to reveal rates within and out of network doctors in the hospital industry now thee saying it may challenge this legally the administration today, melissa, said they feel confident they're on solid legal ground here with this new rule and we're going to hear from the president directly on it we expect him to be surrounded by supporters in the roosevelt room in just one hour's time and we also expect he might have something to say about all of the impeachment-related events swirling around the white house today. including, the testimony that we heard up on capitol hill of marie yovanovitch, the former ambassador to ukraine, who is the president's been live tweeting her during the course of the hearing she's been responding to that during the course of the hearing. something that we've really never seen before in the impeachment of a president also, the president's ally roger

stone found guilty on multiple counts earlier today the president's been tweeting about that as well so any of those topics could come up in the roosevelt room in an hours time as well. >> eamon javers. >> despite the threats, investors continue to bet on healthcare the s&p healthcare sector all-time high. bio tech up for the seventh straight week. and insurers also in rally mode up for the seventh straight week as well. welcome to you both. brian, i will start off with you. what could this proposal do? it seems like it could possibly bolster competition. it could possibly reroute business and services from higher cost hospital to lower cost hospitals where -- what do you see is the impact here? >> yeah. so melissa, good afternoon so i would say the first thing that you would see here is i think there is a legal challenge that will happen but once we get past that, let's just say this actually goes through. what you're going to see is i think that a lot of the

independent, you know, free-standing providers. think about labs, imaging facilities, will see some market share gains. you know, because what we've seen out of the rule today is that it says the government requires hospitals to list 300 most common procedures on their websites right? so these really are x-rays, lab tests, and things like that. so that's what makes it sort of simple so i think this benefits mostly providers that cater to low acuity, elective type of procedures because you're not going to price shop an emergency room visit so this will really benefit the lower end of hospital services. >> yeah. bertha, we commented on the stock performance and brian had mentioned at the very top, if this thing actually passes, i mean, i would imagine that the lobby groups for hospitals and insurers are extremely strong. so the likelihood of passage is a little more on the low side as opposed to the high side what are investors saying at this point >> well, this is a rule that they would post and it would become effective in another 60

days they are, as you can imagine, already saying this rule doesn't cut it although, they do say, both the hospitals and the insurers say, they support transparency. the insurers say, listen, if you put negotiated rates, for example, let's say on knee replacement or a knee surgery at a hospital, then that really eliminates the competitive pressures that happen in those negotiated rates that they argue help consumers the hospitals say the same thing and the hospitals already say that they are going to file suit melissa, you remember last summer, administration instituted a rule on the drug makers saying they had to post their list prices in advertising. the drug makers went to court and a district judge put the kibosh on that that ruling has yet to be appealed but as you can imagine, this is going to end up in the courts if they do put this rule in effect. >> brian, ultimately, though, if this rule does go into effect, who can it benefit who should investors be looking

to >> yeah. so i think it will benefit the lower-cost providers so i would point out lab corp. quest diagnostics. there is an imaging company called rad net and then there is a surgery business called surgery partners that i think will see benefits from this. >> okay. we're going to be following the story. thank you both brian and our own bertha coombs. meanwhile, stocks hitting all-time highs on encouraging trade deal comments. despite the records today, the new york fed slashed its fourth quarter gdp to just 0.4% jp morgan doing the same and goldman sachs cutting its outlook to 1.9%. joining me now, chief market strategist at prudential financial. welcome to you both. quincy, i'll start with you. seems like the market's pricing in a whole lot what do we need on the trade front? it's every trade headline that causes markets to ping-pong bckt and forth. is it enough to say, you know

what, if we reach a tariff truce, that's good enough in terms of certainty for now >> a viable truce would be very helpful. the worst thing would be an escalation december 15th is coming closer and closer and if -- if that goes into effect, i think the market is not going to have a santa claus rally. i think it's going to be pull back and, therefore, you may have portfolio managers, hedge fund managers, locking in gains earlier if we don't get any sign that there is going to be a some sort of viable truce. >> let's dream big and think that we actually will have a phase one deal as larry kudlow said this morning. peter, what strikes me is the president has used tariffs as leverage all along the way, not afraid of actually raising tariffs that didn't necessarily need to be raised. so why are the markets so complacent about this tariff issue and so wanting to believe that if december 15th is suspended that we're in the clear?

>> well, i think they simplistically believe that the softness in the economic data we're seeing will reflect higher once there is visibility on where these tariffs go from here and i think it's very important as part of this deal is laying out what's going to happen with the $250 billion worth of goods that are being tariffed that will likely stay in place. what are the thresholds that will phase them out? because if we get that, the markets assuming that businesses will start to get some visibility and we can see a rebound in growth. and they combine that with the fed rate cuts and the belief they can engineer a soft landing. >> well, is that going to be enough to get markets -- excuse me, businesses -- to come off the sidelines, for instance, for capital spending to tick higher? >> well, we've also seen some indication because in the industrial production numbers, which of course came down general motors strike, there was a pickup in technology by the way and we may see companies coming out and spending a little bit

more for technology if there is a viable truce. >> yeah. the markets seem to want to look through, though, everything. they've looked through brexit. they're looking through what's going on with the trade talks. they're looking through what's gong in hong kong. in your estimation, peter, what is the biggest sort of outlier the biggest risk the markets are overly discounting >> if we don't get that influkz higher in growth because we're already seeing an deterioration in the earnings story. and profit margins are now receding so if you go into 2020, you don't get an improvement in revenue growth you see a continued deterioration in profit margins and trading at 19 times earnings, there is no room for error. >> yeah. quincy. >> that error could translate into layoffs and that's the thing you're trying to figure out because that is he the consumer that's the crack that pushes us toward even lower growth where there's no cushion where you stall. and that is the most important thing. our company's going to feel compelled to start laying off.

and the other aspect that goes along with it is we're beginning to see signs of credit tightening on the consumer level. and if we start seeing that with small business owners where they can't have access to capital and get the -- higher for borrowing -- that also would not be a positive sign. >> okay. quincy and peter, good to see you. have a great weekend thank you. got a news alert here in the streaming world. julia boorstin's got the story julia. >> melissa, hulu announcing that it is hiking the price of its live tv service by 22% to $55 a month. that's its second price increase in less than a year for this live tv skinny bundle of over 60 channels it last raised prices back in january from 40 to $45 so this is a meaningful hike another $10 higher to $55 a month. the company's saying this new price better reflects the substantial value of hulu plus live tv and allows us to continue offering all the popular live news, sports, and entertainment programming

included in the plan of course, it is worth noting that disney shares are down 1.7% disney did take over full operational control of hulu back in may guys, back over to you. >> all right julia, thank you julia boorstin in los angeles. here's what's ahead on "the exchange." coming up, a music battle for the ages taylor swift takes on a record label she says has taken trancal control of her music plus, grubhub after its disastrous year. a look at why they made the bold call is ahead. and apple's latest hire is and apple's latest hire is raising some eyebrows. this is "the exchange" on cnbc but which ones target your goals? it's not about quantity. it's about quality. no trendy stuff. i want etfs backed by research.

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exchange." the second public impeachment hearing under way with the former u.s. ambassador to the ukraine testifying today elon is live on capitol hill with the latest. >> melissa, the white house is now responding to democrats calling president trump's sweet tweets about that witness marie yovanovitch witness intimidation nbc news reporting that a white house spokes woman said the tweet was not witness intimidation, it was simply the president's opinion, which he is entitled to. this is not a trial. it is a partisan political

process. now, for democrats, yovanovitch's removal from her position was a catalyst that led to the events that ultimately culminat culminated in that july 25th phone call but during the hearing today, republicans try to show that she had no firsthand knowledge of that call or of the relationship between the trump administration and ukraine after she left her post in the spring >> were you involved in the proposed trump/zelensky, later pence/zelensky meetings in warsaw, poland on september 1st? >> no, i was not. >> did you ever talk to president trump in 2019? >> no, i have not. >> mick mulvaney >> no, i have not. >> now, committee members each have five minutes to continuing questioning yovanovitch. after that, they are going to hear in closed session from yet another witness who says that he overheard president trump ask about the investigations melissa, there are many more hours ahead. back over to you. >> sure are. elon, thank you.

here's what else is coming up on "the exchange. >> ahead, j.p. morgan says lyft gets no respect from investors and it should. zblfrmg amazon is calling foul on the government's jet eye contact. and the casino bet is paying off this year. that's all coming up on "the chge." just ok? guess who just got reinstated! well, not officially. nervous? yeah. yeah me too. don't worry about it, we'll figure it out. i'll see ya in there! just ok is not ok. at&t has america's best network, now with our best plans, at our best prices, starting at $35 a line for 4 lines. new from at&t. platform in the cloud age. when we started datadog nine years ago,

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let's catch up on a few stories that should be on your radar. time for rapid fire. kate rogers, dominic chu, and contessa brewer. welcome, gang. first up, after advising clients to sell the stock for the last 21 months, barclays is upgrading from an underweight. analysts giving grubhub some advice saying it is time to reduce investments on unproven areas. preserve asset value before it's too late and explore consolidation. shares are slightly higher today but are down nearly 75% from their all-time highs those pieces of advice seem like obvious. >> i love how it's framed, though it's framed as a letter to the board. it says like, dear board of directors, sincerely the analyst team at barclays so i mean, it's kind of funny. >> there's a note in there that says this company is invested in the outcome of this. there could be a conflict of interest maybe you should weigh some other things if you're making investment decisions because barclays have a vested interest in the outcome

why do you think they're upgrading it they want to make money on it. >> yeah. >> so -- so the grubhub story is interesting only because we've been talking so much about this idea of hypercompetition in the food delivery space. there is a reason why their shares have dropped 75% over the last 15 months, as everybody kind of watched this happen. we know already companies like yum brands have taken a right down so if you take a look at the reasons why, there is a valuation call to be made. if this is a viable business, if it's lost 75% of its value, if they do just certain things, the upside could be huge. >> if, if, if. it doesn't address the whole promiscuous diner issue, which was a huge issue. >> it's a huge issue that they pointed out themselves they also said, hey, we don't think doubling down with another $150 million on the things that already have proven to not work for this company would be a good move, including continuing to subsidize all these orders in this promiscuous dining world that we now live in. but i think what's interesting from a food perspective is that so many of these companies were

believed, you know, to come in and help restaurants grow their business they've actually hurt quite a few companies. you look at yum brands they obviously had a write down on their investment. dominos does not team up with these companies but they've also suffered although, year to date up about 12%, whereas grubhub is obviously down more than 40%, as is uber, which has uber eats, this big arm and shake shack. that was one of the best performing restaurant stocks of the year it's still up over 30% at one point, it was outperforming chipotle and they now have this exclusive deal with grubhub so that's really interesting who's left standing if and when all this consolidation comes remains to be seen but there's post mates, there's door dash. contessa and i were talking upstairs who does grubhub eventually team up with? they've already got the seamless brand under their belt which i use all the time in this area. very big in new york but again, perhaps the things that aren't working like subsidizing the orders should not be something they continue to do.

>> doesn't the consumer lose out eventually >> yeah. >> exactly exactly. they're not going to give you all these coupons in the mail from uber eats and door dash but it's got to happen, right? >> next up, amazon plans to protest the pentagon's decision to award microsoft its coveted jedi cloud contract. contained errors and unmistakable bias and is important these matters be examined and rectified the deal could span ten years, be worth up to $10 billion it's not uncommon to protest a decision that goes against you but to specific -- specifically mention bias in it seems like it could open a whole pandora's box. >> well, there was a lot of speculation about how much the president's animus toward the head of amazon might play into this contract. and -- and in this case, you have amazon coming back and saying, look, we can look line by line at this deal and where

they've made errors in calculating it will there be litigation forthcoming? this seems to be leading me down the path to say, yeah, that they're going to protest and not just in the newspaper. >> i just think it's funny because it was not that long ago that all of these companies' employees were in open outrage and riot over the fact they were going to try to get this defense department contract. nobody wanted it none of these employees wanted to be seen as being in bed with the government let alone with what's happening with the trump administration versus everybody else out there. nobody wanted this contract. now that somebody's gotten it, there is a complaint process that's happened. well, why didn't we get it i mean, it's not out of the realm of reason that microsoft azure is a good platform for a government contract to rest on but amazon, i think they feel as though they have an environment right now where they can make a political statement by doing something like this. >> if and when there is a legal fight, how much are the president's tweets and all of his, you know, attacking jeff bezos, i mean, it's right on his twitter platform. and how many times a week does it happen?

i mean, is there a case to be made it'll be an interesting fight if and when it happens, right >> the tough part's connecting those tweets with the actual process of the awarding of the contract. >> yes. >> when have you ever seen the government go back after a contract of this size and go, oh, you're right we shouldn't have done that. >> i men, sec def already recused himself. but of course everything runs deeper than just the guy at the top so you never know. >> all right let's stick with tech in dc. apple hiring a pro-trump lobbyist he served as vice finance chairman for the president's inaugural committee before becoming a top fundraiser for his re-election campaign we should also note this is the same lobbyist that amazon hired earlier this year in an effort to win the pentagon jedi cloud contract and now, we see how that turned out. >> whichever. >> tim cook's already got a pretty good relationship with donald trump. >> listen. he's walking a tight rope, right? he's got to appeal to a lot of people at the same time but the one that matters to him is the

one who can remove these tariffs from the business he's trying to do with china. and so he's doing what he can. my question is, when you pow around with the president trying to get that side of it, do you alienate a large swath of your customers who don't want to see that sort of partnership working and don't care if it costs them. they don't want to see it. >> it hasn't happened. it hasn't happened so far. i mean, president trump and tim cook, the apple ceo, have been in photo op after photo op they've been at the white house together dining together. calls him. yeah. >> it's not time to buy your girlfriend ear pods yet for christmas. let's see how that works out. >> but what i mean is it's not like tim cook has ever shied away from being seen with president trump. in fact, he's embraced the persona of being a guy who was able to collaborate and work with the president and for that reason, he may have gotten some of the exemptions. but it hasn't done anything yet in my mind to hurt apple's business

i don't see anyone not buyin iphone 11s or air pods because of it. >> this is standard operating procedures for companies to hire someone they think has the ear of the decision makers it's not uncommon. it's just a pretty high-profile hire. >> i think this is different from, let's say the example of the fundraiser causing animosity by soul cycle users, right remember that? that's a little bit of a chummier sort of relationship where you're raising funds this is smart business. >> i was just going to say i think this is something apple knows it has to do it spends a ton of money on lobbying anyway. this is a huge issue for the company. he does have a good relationship with president trump but that doesn't always solve the problem. so i think it's a smart move and why not although given what happened with amazon, as we all laughed about, maybe not the right guy. >> i just keep thinking about remember when the chief executives counsel was actually still together you had jenny remeti that eventually disbanded. but some people still try. mary barr is another person. the ceo of gm who's been seen

very publicly trying to work with president trump on getting stuff done. >> next up, j.p. morgan adding lyft to its list of top picks in the internet space the analyst says he likes lyft's significantly improved revenue and earnings, as well as its increased market share in the ride hailing business. he added he continues to believe wall street is not giving lyft enough credit. i don't know i mean -- >> like the grubhub thing all over again, right? >> is it >> no, i don't mean -- i don't mean to liken their business models i mean this idea that a company can be punished enough at some point where there is a value pop decision to be had for lyft and uber, it's competitive yes. but at the same time, does it represent a time -- if you actually execute alittle bit, just a little bit, it could be leveraged so much more into results. >> well, they have a plan. a pact towards profitability they've laid out a timeframe. >> sure. >> when uber laid out its timeframe, it was a much more tentatively worded path to

profitability. and investors saw through that. >> and lyft's not necessarily getting in on the losing money game of food delivery business the way uber has but they -- this note also said they believe that lyft could be profitable earlier than that sometime in 2020 we also talked last week on rapid fire about some of the more repeative things lyft is doing like teaming up with carvana, for example, to try and get people to become more sticky with the company and you can see over time, there's been some research by barclays that basically more uber loyalists are starting to turn to lyft or they're willing to jump back and forth between platforms. >> but if you look that, 51% of uber's customers are uber only only 21% of lyft's customers are lyft only. so that's a big climb ahead. and those incentives for both riders and drivers cost money. if those incentives end, does their market share disappear and by the way, lyft is also looking at -- you always love to talk about total addressable market they think their total addressable market is what the u.s. and canada spends on

transportation in 2017, that was $1.2 trillion. >> here's what i -- here's what i -- >> not buying that. >> here's what i would say i say if you're coming down to using -- if you're outside the new york metro area and you only have two real options that's uber or lyft one of the big things that distinguishes uber versus lyft is the idea uber has a very high profile and visible rewards program. they can say, hey, you get points for a ride. you get diamond, whatever it is. lyft does not have something that matches that yet. so if they do that, maybe that's the way. the frequent-flyer model in ride sharing and that's what uber has an advantage. >> the other thing have you ever heard a lot of customers who tell me that they use lyft, they'll say they do it because lyft treats their drivers better so again, that incentives for drivers is something that appeals to some of the customers. >> i'm not sure i buy that and the only reason i say that is because half or maybe more of the drivers drive for both they got both labels in their window. >> one more thing, i travel a lot to the middle of nowhere for

this job and there's no lyft out there. so cars are not going away in those markets. there's just no lyft or it's like a 45-minute wait for a lyft so we have a toeto rent a car. >> finally, canada goose's feathers are getting ruffled counterfeit companies are selling iron-on patches identical to the ones on canada goose jackets on ebay with prices as low as 14 bucks for a set of two like buy one get one free. this is a major discount to the $775 starting price for an authentic jacket some jackets go for more than $1,000. >> i want to say kudos but at the same time, it's kind of illegal, right to make counterfeit goods. >> yes. >> i want to say it's -- it's enterprising business but at the same time, like you're doing something that's ultimately fraud. >> well, fraud part aside, this is like a move my mom would have done in middle school. like, here kate, we'll just put this patch on the jacket you look great you wear it well i mean, it's interesting it's funny it's a creative solution but

obviously counterfeit would be a huge problem for this luxury super high-end company. >> as it has been for allow bury having the counterfeits on sale on a street corner in new york city has done that this is the same thing but i got to put my mom hat on and go, look, if you are going out and buying a patch to make your coat look expensive, you're worrying about the wrong things. >> i agree with that. >> i just think it's funny this -- this is all happening as cnbc investigates just did that massive real real investigation into whether or not the goods sold on real real were all authentic because they say that they all are in this case here, if the knockoffs are getting that much better, is it going to be that much harder for you to go some place like posh mark or the real real and say i'm actually buying that real canada goose jacket? >> and how much responsibility does ebay have to crack down on this because they're being sold on

the website. >> at some point, the people who want to spend $1,000 on a canada goose jacket are going to see it everywhere and say it's not special anymore. >> these jackets, aside from the patch, they look like any other jacket. >> apparently, very warm, though, is the thing i don't have one because i would never spend $1,000 on a jacket. >> $1,000 warm thank you, guys. kate rogers, dom chu, contessa brewer ahead, taylor swift. swift accusing them of having tyrannical control of her music. the label saying she needs to calm down. we'll tell you what a whole industry's paying close attention to that outcome. next as usual we were behind schedule. but sophie's enthusiasm cannot be dampened. not even by a run-away donut. we powered through it in our toyota prius. because a star's got to shine, no matter what.

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welcome back to "the exchange." let's check in with sue herera for a cnbc news update sue. >> thank you so much, melissa. here's what's happening at this hour, everyone an update on two of the five victims of thursday's shooting at california's saugus high school two females age 15 and 14 were taken to the hospital for treatment. the 15-year-old suffered a gunshot wound to her stomach the 14-year-old suffered gunshot wounds to her stomach and shoulder both are expected to survive >> once we're done with the initial treatment, initial evaluation and both patients felt to be stable.

both were sitting up with their families in the room they were converse ating with each other. >> the congolese president says ebola should be eradicated by the end of the year. the epidemic was declared in august of 2018 and so far killed about 2,100 people nissan is recalling more than 450,000 vehicles worldwide because of brake fluid leak could cause them to catch fire the recalls covers mostly the nissan murano suv from 2015 to 2018 and the maxima sedans from 2016 through 2018. most are in the u.s. and canada. check the website for more details. melissa, back to you. >> all right sue, thank you sue herera alexander pope the great english poet once wrote on wrong swift vengeance waits and art sub dues the strong now, he probably was not referring to taylor swift and her ongoing battle against big

machine label group. but vengeance seems to be what she's looking for today. she tweeted to her 85 million followers that big machine will not let her perform a medley of her song at the american music awards and have refused to release license for older music. scooter braun and big machine says they are shocked by swift's claims and says to her the narrative you have created does not exist. here to take us inside the latest big money battle is jim, senior music editor with variety and our own julia boorstin welcome to you jim, i'll start with you what is the latest on this -- on this battle? how nasty it is it getting >> well, as alexander pope said -- sorry, i'm joking. there was -- there was a pretty intense 15 hours she made the accusations that you said they fired back at 7:00 a.m. east coast time and she responded saying that everything they said was inaccurate about three hours later. what's not clear is whether they can actually block her from performing those songs at the

amas they could make a legal case out of it that might or might not be resolved in time for the show, which is kind of the whole point. or it could just be a lot of noise. maybe they just wanted to threaten it's not really clear what's going on but it's a big case of he said/she said right now. >> normally, jim, you actually point out that performing older material live is usually not an issue. so it seems like the law might not be behind the record label >> yeah. it's -- you know, i think what it could come down to -- i -- i'm not sure if there is a hard and fast law about this. but it may come down to whether the performance on the amas would constitute a re-recording. because it's a live show so, you know, i mean it's like lawyers could go back and forth about it but i really don't think that they have the ability to do that so it's not clear why anyone would be acting like they did. >> julia, overall, when it comes to the music industry and

artists, what is -- what's the importance of this fight aside it being fun to watch. >> what is so amazing here is what you're really looking at is the battle between, you know, taylor swift and her former record label i mean, she is now with universal music but for 11 years from 2006 to 2017, she worked with big machine and what we're talking about here are the masters, which big machine owns that means the original recordings from those albums that she recorded during that time period. so this is really a negotiation that's happening right now about who should be able to own the rights to what what i think is so amazing here and this is such -- really speaks to the era we're in is that this is a battle that's playing out on social media. not only does she have 85 million twitter followers. taylor swift has 122 million instagram followers. so her reach is so massive i mean, think about that 122 million people and she's asking her fans to call on the other artists that big machine

represents also, carlisle group, you know, a fund that has backed the purchase of big machine to get involved in this so this is really about the power of social media and we'll see what she can do with the power of that huge fanbase. >> i mean, it seems like this is the test of the power of social media just because she has all these fans out there doesn't necessarily mean it can sway what is legally required or what big machine is legally entitled to. >> 100%. now, i mean, maybe part of that play is to kind of brow beat them into doing what she wants maybe they, you know, maybe the -- the play is that it will just get so much and so loud that they'll be like just give her what she wants but, you know, they're certainly not going to give her back her masters. they just paid $300 million for it. >> and, julia, do you know by any chance what other artists big machine represents and could those artists actually feel the blowback from this all? >> well, i think even more

important than the artists that they represent is what kind of sort of support taylor swift gets on social media we already see see lena gomez come out and tweet about this. i think this is really going to be a war of words for a while while the lawyers work it out. i'm not an attorney. but there is a deadline here and that's november 24th, which is when she wants to perform some of these songs at the amas and the question is, is this resolved before then or will this battle that's been playing out on social media continue for quite some time >> we'll be watching it all. thank you so much, jem and julia boorstin twitter unveiling the frame work for its political ad band. we've got the details next take a look at shares of pg&e. raising its stake by 7.6%. value act taking a new stake in the company worth around $14.4 million. sulno trewehod tehe is about a

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twitter just unveiling the fie final details for its political ad ban elon. >> yes, melissa. twitter is now rolling out those rules for banning political ads from its platform. and obviously, the ban is going to apply to ads that are bought directly by candidates, political parties, or elected officials. but it will also apply to ads that refer to political content. the big exception here is news outlets. they will still be able to purchase ads that do reference political content. another big gray area is around issue ads. twitter is not banning issue ads. but it is restricting them twitter will no longer allow targeting of issue ads using zip codes or using key words that are associated with political content. you can't target conservatives or liberals, for example so, melissa, twitter is telling

reporters that this is just a first step it knows it's going to make mistakes during this process it expects to see changes to this policy down the road and it will take effect on november 22nd back over to you. >> elon, thank you elon moy in washington share holders expected to approve a merger the former america's biggest casino company one analyst says this is one of the most important deals in casino history he will tell us why and what it means for the sector straight ahead. only one thing's more exciting than getting a lexus...

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former world com ceo is in his 13th year of a 25-year sentence for his role in one of the biggest accounting frauds of all time but is now seeking to be released early from prison. scott cohn joins us now with the details. scott. >> hey, melissa. bernie's daughter says that her father is near death and she says that he should be allowed to live out the rest of his life with family in mississippi even the judge who sentenced him to die in prison says she is okay with letting him out. but this is the guy who presided over one of the biggest and most audacious corporate frauds of all time cooking the books at world com

to the tune of $11 billion wiping out share holders, throwing thousands ought of work, and putting a dagger in corporate confidence back at the end of the tech boom in 2002 a jury in 2005 convicted him o judge barbara jones sentenced him o 25 years in prison with good behavior. he's due out in 2028 now about halfway through his sentence, he is seeking an early release. his daughter says he is now legally blind. he has a heart condition and the former bouncer has withered to about 160 pounds she says her dad appear to have dementia and while she is no doctor fears he only has weeks to live. the judge even says he's been punished enough. the government is having none of this pointing to prison doctors evalweighs that say that his condition is not so dire and saying that life sentence which

judge jones acknowledged, should stand. the new judge in the case has asked for more information she asked to hear from victims this week and asked for more medical data including tests on whether he's facting it. melissa. >> faking it wow. i would think an independent doctor could need to be called in to evaluate his medical condition in order to come up with the rulings scott. >> he's now in a prison medical accidenter in ft. worth, texas where they say they are giving him good care. she wants to know what tests have been done throughout all his condition wlands he and whe faking the issues and she says she specifically want to know about his rapid weight loss. this is someone well over six feet tall. at one point well over 200 pounds his lawyers and his daughter are saying he's down to 160 pounds

she says she's like a skeleton >> scott thank you. shares of caesar sore. haerdeal would be a game cng for the industry we'll have that story, next. datadog has become the modern monitoring and analytics platform in the cloud age. when we started datadog nine years ago, our mission was to break down silos and bring teams together. nearly 9,000 of the world's most innovative companies rely on our platform daily to run their business and delight their own customers. we see a massive opportunity in the years to come, and as we celebrate today's milestone, we are even more excited about the future. congratulations datadog. their medicare options...ere people go to learn about before they're on medicare. come on in. you're turning 65 soon? yep. and you're retiring at 67? that's the plan!

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as we speak, shareholders are holding a vote on a proposed serger between caesars and eldorado resorts caesars is soaring by 90%. others are out performing today despite fierce competition from online gaming. new jersey reporting in october online betting generating six times more revenue let's bring in our own contessa, what's the latest? >> they do a closing by the end of first quarter next year they said by tend of the first half in their prospectus

tom reed said he is hoping it will be sooner >> david, you say this could be one of the most important deals in the history of casinos. why? >> it certainly is one of the most important deals in the industry right now the reason we say that is eldorado is buying a company three times its size just finding value both of those opportunities are very well suited for what they are buying particularly in regional markets where a lot of that opportunity lies >> does this mean there's more consolidation ahead? why is it so important in your view >> it's important because number one there will be some properties that are sold off as part of the deal those will create opportunities for other companies across the

industry the capital structure that they are using is both a propco structure as well as traditional debt that has implications for other stocks it is fwrarankly one of the few times we have seen david buying goliath and trying to slay we believe the track record and the skills and the numbers line up extremely well. >> this will be interesting for caesa caesars. the ceo has been hand picked two, tom reed is kind of an unknown in the outside investor world but he's been entrenched in gaming for a while now. testifies the cfo of eldorado. he was a bond analyst before this this is a guy who knows the numbers. it will be interesting to have gone from a ceo who came from

outside gaming to a ceo who comes from inside. looking at where they are spending money whether it's over spending been on the buffet or expenditures on public relations and slashing the bottom line. they are hoping to have 500 million in synergies by the end of the first 12 months >> david you like eldorado here in. >> it's been on jeffrey's pick all yearlong the implications are 50 to 100% upside against those start to roll in. even with the strong run the stock has had so far >> you mention implications on some of your other companies that you cover what are the positive imp implications and can you give us some names >> sure. number one is vecchi

they will own a considerable amount of the real estate involved they do already with caesars and will own even more once the deal kroezs they have a considerable amount of upside to gain from this deal as well. the properties that wind up being forced out or sold off can create opportunities for some of our other regional gaming companies like churchill downs who have been buying regional properties those would be a couple of examples >> given the choice between regionals now and some of the other bigger players like a wynn or mgm, what would your choice be >> what we said and i think your lead in captured it. this is one of the most exciting stocks on our list right now bar none that includes hotels that includes large and small gaming 50 to 100% up side to us if they can execute and the track record

says they can. >> that would be quite exciting up to 100% the david, thank you. the ceo of eldorado will appear on squawk box on tuesday that does it for the exchange. i'll join tyler with power lunch. we will see you over here in just a moment. welcome. we will start with some breaking news any minute we expect president trump to unveil his plan for hospitals to publicize rates that they negotiate with insurers it's a bid for more transparency and a big change for the health care market. as we wait, let's check on the markets. it's another record day on wall street