pill -- caterpillar tractor. >> set your rules and plans in place for 2020, 255 i bought mastercard in august and was rules based approaching 300 now. still don't long >> thanks for watching as well the exchange begins now. welcome to the exchange everybody. i'm brian sullivan got a big show ahead boeing's blues could be the most headline grabbing shake up of the year. company firing its ceo as it struggle wls the 737 max and regulators continue. what took so long. who is to blame? we'll dig in plus money overall it just keeps flowing. $11 billion pouring in to the s&p 500 etf in the last week that, my friends the fifth highest level of all time. will the new market highs continue as investors play catch

up we'll dig into that. celebrity chef eric ripert joins us live. it is going a big hour ahead but we begin with that massive shakeup in what's called the corporate story of the year. the most important stock in the dow. boeing firing ceo over the 737 max crisis and poor communication with investors and regulators it cost his job. removal is effective david calhoun will take over as ceo in january some might say this is a complete 180 from what 180 and muhlenberg just said last month. >> from the vantage point of our board dennis has done everything right. from the beginning remember dennis didn't create this problem but from the ginger knew that

mcas should to be done better. >> have you ever satin company and thought you should leave >> i thought about it. to be frank that's not what is in my character. i don't see running away from a challenge, resigning as a right solution >> let's bring in our airline repo reporter and our cnbc contributor. right move by boeing, right timing, overdone, too late >> a little late uncommon timing to have this kind of transition take place right on the eve of the holiday. not that common unless there's some catastrophic current issue that's hopping obviously this is a crisis but not catastrophic at the moment or unless there's massive corruption and nobody is

charging that there's any integrity breakdown any fraud. unusual timing to have the ceo shot at sunset this suddenly at this time of year. but, yes, a lot of people thought this might have happened already. i would have thought it would have come after return of service came, probably closer to mid-spring >> leis there any risk? the argument for replacing you muhlenberg you can't replace a ceo at a time in crisis. the board felt differently what are you hearing >> he's been the there for months through the crisis and saying i'm an engineer, i want to see this threw, i have a responsibility, typical ceo, this happened on my watch. the board couldn't take it any more they stood by him for months their relationship with the faa has been tested over and over again coming to a culmination a couple of weeks ago in washington with this very public dressing down with the new faa

administrator saying no we call the shots and flecking their muscle >> maybe feels a little bit like there was some after arrogance >> that's something we've been hearing. of course in october those two hearings in congress and he was evisserated in front of the hill and family members why are you still sneer please go home. >> jeff? >> i think there's genuine authenticity and contrition. but overwhelmed. the sentiment. staring down of victim's families was pretty hard on him and should have been it was a very difficult painful experience i think he was going for authentic contrition he's an engineer not some back slapping communications guy this was a new space for him and not his strong suit. i think that the cumulative effect of missing all these deadlines last spring, over the

summer, we thought it would be late august then fall and then, of course, december, four of these in a row, the cumulative effect of that suggesting to be admonished by your core regulator. then production shut down this past week on the 737 max and his name is nowhere there in the announcements going out. the board meeting this weekend without him. i talked to dennis last week and i don't believe he saw this come i think a lot of other people watching this isn't going in a path that was going his way. again -- >> jeff, in the same time that the new england patriots have had one quarterback and one head coach, 16 years, boeing now will have six ceos. another ceo was fired for relationship with an employee, i don't know, about ten years ago. david calhoun becomes the sixth ceo at a dow component company in 16 years.

do you believe there's a cultural issue there >> none so ever. you had the best decade for ten years and that was in the period of time you are talking about. you did have unfortunate situation where you had a ceo w whose conduct was head of the business roundtable at the time of his terrible misconduct but also it was fold by the cleanup guy who is an old guy who was accused of relationships in the office which was ridiculous for him to get involved in that. authors back-to-back short term turn around guy third guy who stepped in as former ceo of hp, these are three quick inter rims, permanent replacement stayed on for a long time. >> mcnerney was there for a

decade i know david calhoun he's a great guy great resume you wonder also should they have -- >> he turned around caterpillar. >> should he have -- they wonder if they should have gone back to mcnerney calhoun is an unknown entity >> he does have this incredible resume what people are looking for is a change of ceo. like anyone but dennis because he was so poorly received. his words were so poorly received by the faa and others you have someone who maybe wasn't at the helm of boeing but he's been on the board he knows the business. he knows the aircraft business and boeing is coming off a monster decade, both boeing and airbus they have this incredible backlog. the stock would be down more if you weren't sitting on 4,000 planes on back order >> mcnerney went to yale

i'm getting you know him personally he lives up in that area do you think they reached out to him? >> no. i know he kept a distance from this factually didn't want to intervene calhoun who is only 62 is a perfect person to turn to. he's a protege of mcnerney he worked for mcnerney when mcnerney was back at ge and others also had worked for mcnerney back at ge. he hits the ground running he ran a business invasion and infrastructure at ge this is more than just calhoun who is doing everything right so far. reached out the faa and air carriers already today you have a former airline cfo, continental airlines but also chairman of the audit committee here at boeing knees what he's doing in terms of contact the air carriers internally a cfo, a fantastic

cfr, greg smith is the culture carrier that can speak to employees. so it's a great troika >> appreciate that thank you very much. santa claus rally continues. the s&p 500 and nasdaq hitting new record highs stop us if you heard that before but we're seeing investors in the last week or so pile into stocks as the year end, maybe trying to squeeze out every bit of gain they can or make up if they missed out. check this out s&p 500 etf had influence of $11 billion last friday. largest move in years. let's bring in chief investment officer of equities and our friend, president of global strategies great to see you in the daylight we'll get to you in a second steve, 3,500 target on the s&p 500. that's about the highest i've

heard. what makes you relatively -- relatively optimistic in 2020? >> we were at 3100 this time last year. that was wildly optimistic when we were 2450 at that time people were talking about the end of the world, it was going cause a recession. we didn't think it would happen. basically all the dominos were falling in place now for the bulls. and, you know, we think next year will be more mundane. 10% to the upside. even though all the fundamentals have turned and we think economic growth is re-accelerating, you've had all of wall street telling their clients that a recession is client they know it's not now and they don't know what to say about it. how do you go from a recession is coming next year for sure to oh, my goodness we reaccelerate? >> you've been more right about the bond market, i don't know

what's in the water in los angeles. you guys seem to get it right. to steve's point in august everything was terrible. inverted yield curve, imminent recession, fed has to cut rates. what's changed, if anything in four months? >> i don't think anything has changed, brian, except for the spirit in the market in comparison with what steve said about last year and being optimistic about equities in 2019, the different of difference is we did have an inverted yield curve on the three month ten year then the yield curve steepened which led some people in the market to think all the danger is gone and now the economy is good shape the economy doesn't turn on a dime this is an aircraft carrier and you don't make these huge difference in forecast in a matter of three or four weeks. what has happened, brian, is that the steepening of the yield

curve is a characteristic before every recession. it happened in 2001. there was an inversion and then a steepening. and it happened again in 2007-2008. the point also to note is equities were a poor predictor of the recession in 2008, and equities were rallying into the recession in the first half of 2008 when the bond market had forecasted a recession >> steve, should we worry that retail investors have suddenly just piling into stocks >> one reason we're bullish scenement is cautious. just last october goldman sachs put out their big report almost a trillion dollars swing from bond equities to bonds year-to-date 2019. so you're $11 million is a drop in the bucket compared to where people are positioned. the there's not a recession

coming we're re-accelerating. manufacturing cycle is re-accelerating right now. the economyis doing fine confidence, the animal spirits is the middle sail boat of the economy. all indicators are pointing higher >> very quickly -- >> jumping in very quickly t llm manufacturing shows it's in a recession not growing. after second half of 2008 has been on a slow down. fourth quarter will be really slow this year >> that's right. >> the forecast is for even slower growth. i don't see the acceleration taking place >> listen, guys -- >> we'll see it this time next year >> the bet is on a gentleman's wager. >> absolutely. >> happy new year to you both. somebody is buying somebody dinner the year of disney's

domination the company had six, that's right six $1 billion plus movies this year but the new "star wars" coming in below expectation. is this a sign 2020 could be a much tougher year for the house of mouse and some stocks up 80% others are going bankrupt. can the winners win and the losers maybe turn it around. we'll talk about it in retail playbook coming up >> announcer: this is "the exchange" on cnbc. one of the products i helped develop was a softer, more secure diaper closure. as a mom, i knew it had to work. there were babies involved... and they weren't saying much. i envisioned what it's like for babies to have diapers around them. that's what we do at 3m, we listen to people, even those who don't have a voice. at the end of the day, we are people helping people.

demand has never been higher for what we do. creating compelling, engaging, and informative content and experiences. with this merger, viacomcbs will be one of the largest and most influential content creators in the world. i know we can deliver on the full potential of this amazing new company.

when it comes to using data, i kwhich is why xfinity mobile is a different kind of wireless network that lets you design your own data. choose unlimited, shared data, or mix lines of each and switch any line, anytime. giving you more choice and control compared to other top wireless carriers. save up to $400 a year when you switch. plus, unwrap $250 off a new samsung phone. click, call or visit a store today.

the force has been strong at disney and for its investors the company on track to end year with six movies that grossed more than billion dollars each the at the box office. it may be seven if the latest "star wars" movie delivers it's stock up 32% this year. will disney deliver another blow-out year next year. start with you, because you've seen the movie, no spoilers. you've seen the movie. been some reviews mixed. do you believe this will be the seventh billion dollar movie >> i sthoi if you look at the performance so far, $176 million opening weekend. domestically even with bad

reviews people will see at last once it's still a huge financial success just based on the cost of making a movie like this. it's still going be big. it's down from the last two but just show us how disney -- >> does it matter if it's $900 versus $1.1 billion. i want misses the headline but does it matter to disney >> disney has dominated about a third of the box office this year up about a quarter from last year disney is just winning at the box office and no other studios have been able to have the same kind of success. >> bernie, a great company does not make a great stock stock is up 32% this year. you can say how great the company is doing is the stock still a great investment >> absolutely. because of their pivot towards straemg. disney plus will have 21 million subscribers globally at the end of the year. 31 million at the end of fiscal year they will be able to make this

transition because of their best in class content >> do we know how many subscribers are getting free things through verizon if you download the app it goes on four device >> how many people are paying. i think we'll learn, obviously, more -- >> download on your phone go to your iphone and apple tv, that's three. do they count that three times >> no because you only pay once. it's interesting to see what kind of numbers they show in their quarterly results. next year they have some tough comparisons and we'll see whether having disney plus raises the bar for getting people out the to the movie people >> streaming video since disney plus launched and 20% to 25% disney subscribers are coming through verizon. >> will they stick around? it's free right now. when the bill starts to come

will they pay. >> absolutely. the content ramps next year. you're going to have three "star wars" shows. five different marvel shows. in addition to the great box office content >> you say buy the stock >> absolutely. don't look at 20 times earnings. >> more gross than baby yoda it will group. thank you both very much appreciate that. coming up, tesla stock, 420, 502 days after musk funding secured tweet. does the tesla turn around story sell gas so is to speak left in the tank >> celebrity chef eric ripert will join us and how you are privileged to help those who feed those who do not have as much we're back in a few minutes.

welcome back to "the exchange." one of warren buffett's portfolio managers at berkshire hathaway is getting a big change in his job description todd combs is taking over next week in addition to the new job he'll continue to manage $14 billion berkshire hathaway portfolio the strong endorsements for mr. combs. but this move does not necessarily improve the chances that combs will succeed warren buffett as berkshire hathaway's

next ceo >> here's what's happening senate majority leader mitch mcconnell holding a news conference this morning. he declined to even discuss the possibility of calling witnesses in president trump's eventual impeachment trial. >> i don't have anything to add. i think everything that could be said has been said you all have been covering it extensively. and i think we'll find out when we come back in session where we are. >> some royal news prince charles says his father prince phillip is being looked after very well in a thrown hospital aspirin phillip was taken to the hospital on friday as precaution for treatment of an existing condition. and a tiny isolated community near the canadian border known for casting ballots after the stroke of midnight in procedural elections the community is currently missing a required official in toward hold an election come february 11th primary. that's the cnbc news update

at this hour >> what will the media do. frank collin thank you very much coming up tesla hits 420 we hit the sell button on uber and u.s. navy issues a ban on tick tock. tick tock. we're back in two minutes. your tablet... seriously? smartwatch, your backup tablet, and... woman: anything else in your bag? ...whatever that is. (beeping) this isn't working. introducing samsung mobile wos. with the galaxy note10 with dex software, you can run your entire business on the one device that does it all. samsung business solutions.

on the one device that does it all. itreat them all as if, they are hot and energized. stay away from any downed wire, call 911 and call pg&e right after so we can both respond out and keep the public safe.

the co-founder -- if we film the commercial breaks -- the co-founder cashing out million injuries speak out tik tok off the boat tesla's big return are those calories used it we have rapid fire time and heck of a lineup today. robert frank, julie boorstin and bill griffin all right. take it easy first topic uber co-founder on pace to sell his entire stake in the company. he now has less than 10% of his holdings left. the move comes as uber struggles with it's ipo price of 45 bucks.

>> no, no. >> it's interesting because uber is one of these companies that was part of this generation of ceo founder controlled companies. and now there is increasing scrutiny and concern maybe you don't want a ceo who has voting control and now i wonder if investors are saying hey we won't back your company if we know you can do something like travis kalanick. >> every time he got pushed out he found a way to hang around. is this good for the company >> probably better from a management perspective but you have to wonder, i mean venture capital investors will be careful going forward to make sure -- >> i'm more interested in the revenge start up he's taking his billions of dollars, cloud kitchen -- >> which i'm excited snook billed or being billed as wework meets uber eats

that's kind of what this is. >> this is a centralized kitchen that uber eats -- >> you sub out a station >> let's be clear for all the controversy of kalanick, he's one of the richest people in the united states. >> he's come up with five companies. he came up with many before uber >> sherman oaks own. next up million injuries have spoken and they have a lot to say about where the economy and market will be headed next year. robert, you got the exclusive results. >> three big takeaways really cautious going into next year on got economy and markets. 40% say the economy will be weaker and 40% say the market is going to be weaker than last year and what's really interesting on both these accounts is political party real determines your view

of both the markets and the economy. so democrats think that the world is going to heck republicans think it's going to be terrific. then if you look at the politics, what's interesting -- >> sad and weird >> now it's just politics. >> presumably they have a lot of their money in the market. market superbig right now. you have to believe that at some point it go up any more. it behooves to you be cautious >> your age, every year. >> just saying you get more cautious >> what your trying to say, there sullivan >> get off my stock market >> the other interesting takeaway is that a majority believe, they support the wealth tax but when you look at the wealthiy eier million injuries d

the tax hitting 10 million or more, tax those who are wealthier than me so i don't get hit. >> they've hotels on baltic and vent northwestern r. the clock has stopped ticking on tik tok. the navy banning the social media device saying it was part of an effort to address existing and emergency threats. julie boorstin they did not address directly this is a china fear >> china owned company which owns tik tok is a $75 billion company and it is not based in the u.s. there is investigation going into acquisition of the u.s. based company that turned into tik tok. there are questions about where music was based. either way one of the fastest growing apps here in the u.s social apps. i don't know if you're familiar with it. >> i tried to explain to my

daughter and china and the government >> there's questions about censorship >> no country uses facial recognition as aggressively as china. do we really need the to worry about the this >> i think we do >> a camera in your home filming your children being uploaded to servers in a country that's not our friend >> it behooves especially the military to be careful about this, about something like this because let's face it. we're in an unspoken cold war with china right now so you can't trust them. >> i have spoken to tik tok. they don't hold any of the data in china everything is kept on servers here this is a company that will face more and more scrutiny next year >> cautious, cautious. >> if you're a naval whatever, petty officer making a tik tok video and there's a new weapon in the back you can see that

kind of the thing. by the way, if the navy knows something should we know something too? in other words do they know something that the rest of us don't. >> do they know something we don't know, is that the point >> exactly >> finally tesla has finally done it the stock touching 420 reaching an all time high. if that number rings a bell that's because 502 days elon musk said on a tweet he was considering taking the company private at 420 and funding was secured. that led to a lot of sec scrutiny and restrictions on musk he had to respond to today's rally, whoa the stock is so high the reason i'm saying it like this for some of our viewers, number 420 is a euphemism for marijuana. >> a good shot out to steven at the news desk who went back and

discovered it was 502 days ago he sent out that tweet as we talked about the other day he's behaving himself more on twitter than used to it's fun to see him have a good time with this kind of stuff don't be putting out inside information or being critical or def defamatory of people >> even in face of the jaguar, the porsche -- >> which haven't been that great. what's amazing to me everybody said once the competition comes it will to be done those offerings haven't been nearly as good >> 201 miles for 85,000 bucks >> subsidies end next year >> ' lone musk continues going they just bought new land outside of berlin. build a new fact lower the they started with ugliest truck in the world

they keep going. just keep going. they don't let these head winds slow them down >> finally if some health experts have their way you don't have the to wonder if it's worth the calories exercise calorie kos be the push in labeling. i love this idea for a guy like me, i love it basically if you eat this bag of chips it's 30 minutes on the treadmill. you'll smash the chips because you don't want to get on the treadmill. >> our local coffee place has listed all the calories. do people not buy these muffins because they have 600 calories she says people don't care they buy it anyway i wonder if this is a silver bullet >> at what speed is there an incline. >> all calories are not equal.

all exercise is not equal. calories you can have new try e -- nutrient rich foods. me on a treadmill is not the same as a 20-year-old or 80-year-old. >> how do they generalize. calorie burn will be much higher if you're husky -- >> i eat 3,000 to 4,000 calories a day. no way i exercise efficiently enough to burn it off. my metabolism is high so it works. >> i don't know if you know, we started this diet a while ago and it's very simple you eat within a ten hour period of the day and then you don't eat over 14 hours. >> intermittent fasting very trendy. >> dom lost how many pounds on this thing i haven't gained any weight.

>> knowing -- i'm all for the transparency i get what you're saying not all calories are created equal the more transparent we are about all of that the better off we'll be >> we used to on "power lunch" or "street signs" back in the day show the award for the worst chain meal always the cheesecake factory, because -- >> those things were portion >> giant pasta >> people must be buying it. >> we should bring that back >> i asked the ceo of cheesecake factory about that, what is with the this he said we're giving you dinner that night and giving you lunch the next day as well they were anticipating that people couldn't eat it all >> and america has no obesity

epidemic >> thank you >> see you on "power lunch". >> today you and me how is retirement? >> so far, so good >> see you on tread mill >> yes >> you, me and dom i'll cheer you guys on record year for retail store closures will the carnage continue in the new year your 2020 retail playbook is next we offer commission-free online u.s. stock and etf trades. and, when you open a new fidelity brokerage account, your cash is automatically invested at a great rate -- that's 21 times more than schwab's. plus, fidelity's leading price improvement on trades saved investors hundreds of millions of dollars last year. that's why fidelity continues to lead the industry in value while our competition continues to talk. ♪ talk fidelity. ♪ talk - [spokesman] if you've tried colleg(group cheering)shed, snhu lets you transfer up to 90 credits toward you bachelor's degree.

- [woman] it doesn't matter how old you are, you can do it, you can finish. - [spokesman] finish your degree at snhu.edu my name is john and i'm a 30 day i work long hours and i have no time to go to the gym. this app solves my problems. it's super easy, all the exercises include demonstration videos. i love the 30 day fitness app. coach saban convinced us. we are committing to aflac. why aflac? because health insurance doesn't always pay it all.

aflac! after surgery we had extra bills followed up visits, deductibles. we thought health insurance had us covered up for everything, but it didn't. aflac gives you money directly to help you with those things. i want to thank my wife, my mom, the duck. get help with expenses health insurance doesn't cover. get to know us at aflac.com it has been quite a ride for the retailers and their investors this year. they are face record store closure, threat of tariffs and a consumer that continues to migrate more and more online what will 2020 bring courtney regan has our cnbc retail playbook. >> reporter: 2019 was a difficult year for retail with clear winners and lowers expect divergence to continue in 2020 first the tariff divide. while the country's tariff schedule continues to evolve brands and retailers aren't

waiting to adapt some will do so easier than others big retailers like target, walmart and best buy use scale and influence to keep prices low for shoppers by insisting the brands they buy from take on whatever higher costs result it will hurt smaller less powerful players second, old is new again as the retail resale market grows watch for more retailers to experiment with new ways of selling merchandise second hand. as genz focuses on more sustainable shopping watch for retailers to deploy new second hand merchandising new ceos new strategies many retailers have or will have new ceos settle in the new year including bed bath beyond, nike, under armour, tapestry and gap investors wait to he see if the new leaders will shift the strategies in new directions and

then decide if they are willing to give them a chance to make change >> all right for more insight into retail names and trends to watch in 2020 maybe he some opportunities for you let's bring in senior equity research analyst at 0 n oppenheimer. there's more people working in retail than ever before. there are still plenty of winners. >> absolutely. i was listening to courtney's comments we got make sure with retail not to get too negative here because yes there are losers but i actually think what's happening, i look at the companies i cover, the better retailers are continuing to get better and actually bigger and more powerful. >> for every sears and j.c. penney sears is losing most of their

stores j.c j.c. penny has been teetering. who has been doing it right? >> home improvement. home depot and lowes is benefiting from a healthy backdrop what you are seeing they are adapting online. best buy they have done a phenomenal job of reconfiguring its business model to this new omni channel world. best buy is selling more product online utilizing their stores >> everybody knows target, walmart, best buy story. everybody has been talking about them they get a lot of attention. what about companies that don't get as much attention. autozone ate retailer sell car batteries a retailer you like it? >> we've seen this one play out well for 2019. i expect this to continue in 2020 really healthy dynamic behind auto matters retail. have more sweet spot cars on the road cars are driving longer.

that's really creating better demand for companies like autozone >> supposed to buy low and sell high that's the idea. there's a company whose stock has suffered gets no attention. basically sell giant bean bags i can only think about b-52ed. you like this stock? >> absolutely. >> it's gotten whacked >> this is very unknown. we talk about autozone and best buy. >> giant bean bag chairs >> what they call their sack what's intrigue with love sack is a high end really well put together modular sofa. it's an up and comer within the space. >> what's happened to the stock? like somebody took a knife to the bean bag >> talk about tariffs. a year ago most of a big chunk of the manufacturing is in china.

negative of 2019 could be positive of 2020 this company is pro active getting their manufacturing out of china >> brian, good stuff there autozone and love sack, names we don't talk about too much. we'll let you go roam if you want to. >> coming up, emerging markets are on a tear but one in particular that could derail the rally in 2020. we'll tell you what that thing is and how big of a threat it is eric ripert on set in a couple of minutes stick around yeah! she helped me find the right bonds for my income strategy. you're very popular around here. there's a birthday going on. karl! he took care of my 401k rollover. wow, you call a lot. yeah, well it's my money we're talking about here. joining us for karaoke later? ah, i'd love to, but people get really emotional when i sing. help from a team that will exceed your expectations. ♪

>> welcome back to the exchange. let's look at emerging market etf. up 14% that could change in the new year let's find out why what could derail this rally >> there has been a growing census among wall street strategist that emerging markets will rebound in 2020 but there is this new risk on the horizon and that's the rise of protests in different parts of the world from chile to lebanon. inequality and corruption are among issues driving these demonstrations

india where the protests are ongoing and unfortunately have turned deadly due to or is in response to a controversial citizenship bill that was passed by prime minister modi's government a couple of weeks ago. big question what do these protests mea what do these mean for economic growth we're focusing onthe economic impact this could have on india's economy which is growing at its slowest growth rate in five years unemployment is at a 45-year high you're starting to see a lot of people pay attention to these protests and put together their analysis as who that it means for the economies that are expected to rebound next year. >> this will be the most p populous nation in the world they may be there already. >> this is supposed to rival china in terms of economic growth

they have this con susumption power. >> what about brazil that's a good looking map. brazil always has issues >> social concerns, human rights concerns inside the country. what's happening in the amazon as well. first interesting. goo go >> good stuff. he's a celebrity clhief they rescue 64 million pounds of food every year and help feed those who are in need. one of the products i helped develop at 3m was a more secure diaper closure. there were babies involved... and they weren't saying much.

that's what we do at 3m, we listen to people, even those who don't have a voice. we are people helping people. even those who don't have a voice. when i lost my sight, my biggest fear was losing my independence. mmm... good. so i've spent my life developing technology to help the visually impaired. we are so good. we built a guide that uses ibm watson... to help the blind. it is already working in cities like tokyo. my dream is to help millions more people like me.

apple card. is a new kind of credit card, created by apple, so it's simple and transparent

with a new level of privacy and security. it lives here and here- on your iphone, and it will save you 6% on holiday gifts at apple; like iphone, apple watch, airpods pro and so much more. ♪ apply in as little as a minute, right in the wallet app. the holidays are upon us and many of us gather with our lovd ones around tables that are full of food. it's important to keep in mind those less fortunes. around the country 34 or 37

million americans struggling with hunger. in new york city, the city harvest is tackling this problem to salvage millions of pounds of food to feed people in the community every year jo eric, great to see you 64 million pounds of food rescued. >> food that will go to waste that is rescued. >> where is it rescued from and how is it used >> it's rescued from restaurants, supermarkets, big large companies like goya farmers. we got out to the facilities and distribute it to different shelters in new york we also have a mobile market in each world that has fresh food, fresh fruits, fresh vegetables people can come and big up the food and we teach them what to do with it as well >> there's people that are cynical that will say you're trying to give away the garbage.

that's not the case. this is not the case >> lull. the food will go to waste any way. we have 10,000 volunteers every ye year >> which is a lot more than we think. we're cnbc, we have the highest income audience. sometimes we have to remember that there's a lot of people who struggle it's not just that they don't have access to a lot of food it's quality of food they have access to. the food desserts, fresh fruits and vegetables >> doesn't exist >> bag of chips is easy to come by >> it's not what you want to give to your child >> how can our viewers help? >> the viewers help by giving to city harvest they can go to cityharvest.org

and make donations they can volunteer it's many ways to help but going to cityharvest.org is the best way the get information. >> i want to flip gears. you're not only a great guy but a great chef and businessman what's going on with restaurants? millennials aren't eating out. seems like the very high end and fast food is doing well but the middle, what's going on? the economy is good, isn't it? >> the economy is not that good. the stock market have very good. what we see in the street is very different than the stock market restaurants are not doing so

well it was $2 per hour and $2 again this year on january 1st this is a huge pleasure on restaurants. people are at the end of the year spending lot of money in restaurants but a lot of the restaurant industry are suffering. >> we spoke to the biggest restaurant owner in the united states, great guy. he's said on the air, listen, sometimes with these minimum wage changes the employees actually end up making less. nobody is picking on this. you're not saying this to say this this is the real story how does it work what are the real economics of it >> the challenge is that when you raise minimum wage it means that the restaurant, that are struggling already because we cannot raise the prices anymore. it's less over time for the

employees. then also for the restaurant is a big circle because a will the of other employees that salaries are like you're raising the price of the minimum wage. i deserve to have more it's a lot of pressure on the restaurant employees don't benefit from it because no over time and the way the restaurant manage give them less benefits. >> you're obviously at the very top of your game and your servers are the best in your business i'm sure they do well. do they like the no tipping policy that started by danny meyer and others >> no. the nontipping policy was not welcomed by our staff. we discussed it with them. >> you did you gave them maybe a choice >> the only body that's benefit from it is the government. when the client pay tax on the food price of the deal, which includes supposedly the -- >> it raised the tax

never thought about that this is why we like you. you're not just a great chef but a good business person as well great stuff with city harvest. go to cityharvest.org. >> happy new year. that does it for this exchange power lunch begins right now here is what's new at 2:00 boeing fires its ceo as the company struggles to continue in the wake of those two deadly crashes and the grounding of the 737 max. the challenges ahead for the new head honcho there. plus count down to christmas less than 48 hours till the end of the shopping season been a brutal year whose time will run out after santa leaves town this time around maybe baseball's best days are behind it. we'll go inside the record breaking year we have seen more

america's past time coming up. power lunch starts right now welcome everybody. let's gro let's get you caught up. santa claus continues to ride his sleigh down wall street. the dow set to close at record levels we have the s&p, the nasdaq, russell all doing well boeing is among the gainers today puerto rico the dow. we' boeing higher by 3%. the company firing the ceo we have a look at what happens next phil leaving his vacation to cover this important story we do appreciate it. >> thank you let's focus on the man who will be running boeing starting january 13th as president and

ceo. dave calhoun has been executive chairman at boeing he's been on the board of the directors since 2009 she's intimate with the company and has vast experience when it comes to running the c conglomera conglomerate you can call them the 3 rs rebuild the faa relationship which was broken a reset for the 737 max. working with the engineers, the commercial airplane division and repairing airline confidence in boeing to that end, david calhoun, as you look at his resume has spent his first day on the job, even though he doesn't take over until mid-january. he's called the head of the faa, a number of airline ceos, a member of congress he realizes that boeing needs to change its tenor and tone when

dealing with key stake holders does this mean we'll see the max recertified quicker or things will speed up? not necessarily. it is what it is they are in the midst of a process. they have several hurdles. anywhere between 10 and 12 that still need to be cleared before the max is recertified there's a couple of 30-day comment periods with socme of these steps. there's a process that's been lads out here. when you take a look at shares of boeing, yes the stock is moving higher today. up 2.7%. analysts for the most part have said this is a welcome change but let's see what happens now once david calhoun gets into this job in mid-january and lays out a more clear game plan for wall street. >> a lot of people are wondering why this didn't happen sooner. we'll see what happens from now at this point.

you downgradesed boeing shares they still had a buy rating on that stock since your call the stock has fallen more than 11% now today we have seen this gain in the wake of the firing. is this going to change your mind about this stock or what? >> not yet there's so much uncertainty about when this plane will fly again. it's not the backlog or the ceo. it's what has to be done before the regulators are convinced they are willing to lift the grounding. there's been very little transparency on that i'm hoping we get more of that from the new ceo >> will there be more

transparency how does the changing of the guard change the recertification process for the 7370 >> there's going be careful examination. john pointed out the multiple steps they'll have to go through. john and bill did. the fate of the max lies in the hands of two other individuals both of whom are 737 pilots. the faa administrator, mr. dixon and the ntsb chairman, mr. zumwalt. i think everybody from the president to the congress will be looking at what these people and their staffs say about this jet. >> as pilots there's that relationship that says we're flying the plane, don't tell us what to do because we're the ones in charge i've spoken to three pilots of

737 max and all three have said that they view the plane as a bit of sort of jumpy or squirrel y. howresolve this? >> the modifications are doing much what happened in both these crashes was the automation was doing things and the pilots were trying to troubleshoot i think the aircraft needs a couple more fixes that right now are not part of the mix. they need oral alerts. pilots need to know this immediately and unmistakably i don't think they quite address that i'll be looking forward to seeing what dixon and what captain zumwalt say about the

jet. >> are you surprised that boeing is only down 11% so far this year given the bad year it's had, the order flow has slowed to a trickle. the stockpiling of the planes they kept producing. what's your outlook for 2020 for this company >> well, the company has not given an outlook yet when they announce their fourth quarter earnings prior to our downgrade we had been looking for earnings of about $20 a share. boeing has strong other businesses outside his commercial aircraft. it's got aircraft services business it's got a defense business. maybe we see something like $12 in earnings next year. you put a multil of 20 times on that, you probably get to a better valuation >> i just wondered if people

aren't thinking enough about the passengers what i mean by that is when the plane comes back into service, if there is some kind of a push back by flyers who say i'm just not getting on that plane, younityounit united, southwest, american, you need to rebook me. if the airlines start to have cost or traffic issues because of the passengers and the jet, what then. could they say to boeing give us a different plane. our passengers won't get on this one in. >> i think they've got a seven-year backlog of 737s part of the fix is not just improving the software but improving the training i do think you'll need to see the airlines come out and say we accept this and we're going to be flying it otherwise, there's not going to be much growth at all for boeing you're right about that.

>> would you fly the max when it's recertified what do you think the airline had to do to convince the skidsish passengers to get back on the planes. >> i'd fly it. boeing has a great eputation some pilots say if it ain't boeing, i ain't going. it's not just an air bus problem. i think the public will be he has tanhesitant for the first fw months >> it will have to get recertification. does ntsb need to sign off on this as well >> congress turns to the ntsb for oversight. they don't have a regulatory function their job is to investigate and come up with ways of preventing it they've got people like bob

zumwalt who are very smart staff. i worked for faa and ntsb, i think they will want to talk to both those gentlemen and staff i think congress and maybe the president will want this along with the public flying interest groups >> all right thank you both for joining us today. coming up, the dow on pace to close the day with another record high. does ending the year on a high note mean a sell off could be waiting or will that momentum roll through in the new year netflix stock up 4,000% this decade made a lot of people rich but with so many new competitors on the skacene will netflix get squeezed out [ laughing ]

[ electrical buzzing ] [ electrical buzzing ] [ dramatic music ] ahhhh!!! -ahhhhh!!! elliott. you came back! a lot's changed since you were here. it's called the internet. holiday movies. [ remote bleeps ] ♪ i'm dreaming

♪ of a white christmas family. home. [ music swells ] woohoo! -yeah! as we've been mentioning more record highs for stocks today. the s&p, nasdaq, dow just short of its best levels but having a very nice day again thanks in part to a bump in boeing bob is at the new york stock exchange on what continues to drive this market higher >> it's the advance decline line every day more stocks advancing.

tech has been a bellwether with apple, sky rocks and the semiconductors almost every day intel nvidia, sky rocks hitting new high this has been the stand out sector for the year. a lot of people have been saying maybe we're set up for a sell off. that's true but not when you've got these kinds of factors working in your favor. beginning in early october the fed started injected more liquidity in the system. tariff and trade truce hopes are there. there's been hopes for a bottom on global economy. when you have these three things working in your favor you can argue for a bit of a multiple x expansi expansion. it's hard to argue for some kind of imminent sell off at this point here it has been a bit of a cap rally. that's one thing the bears have going for it the top ten stocks in the s&p are up 40% why is that important? they're so big now that top ten

is 23% of the market cap of the s&p 500. think about that ten stocks are 23% of the market cap. that's not that unusual. it's a bit on the high end look at these numbers. apple up 77% for the year. microsoft, 55. remember the s&p is up 28% there's only a few of them that aren't up as nearly as much of that we have amazon that is up 19%. we have facebook which is up 57%. four out of the five stocks that are up this year are up dramatically over the s&p 500 and when you get those kinds of numbers the top five moving that much you'll move the overall s&p 500. back to you. >> as a matter of fact, thanks the s&p is on pace for its best year for 2013. with six trading days left this year and in the decade, unless you count the fact that the decade doesn't start until 2011.

>> every ten year period is a decade >> we're always getting kauktcat up in the details. pet peter anderson is here thank you for joining us today jerry, last i checked the laws of physics were still in place at some point what goes up, must come down. it's still defying gravity here. what's going on? >> i think what bob was just talking about among the top ten is you're looking at a separation that occurred in the last couple of years of those really big names and what's really powerful is the other s&p 490 that come behind it. 2% interest rates just too cheap. if you combine that with what every one is talk about which is

all the liquidity being poured in, you're setting yourself up for probably the best year of cyclical stock performance in the last 10, maybe in the last 15 you don't really need to worry about the other ones >> i get sweaty palms when i feel like we all figured it out when there's no place for the market to go but up. is there anything you're watching that gives you pause? >> i'm hoping for 2020 to be the year of investing and common sense as opposed to common stocks this past year and actually several years, we spent a lot of time fighting about inverted yield curves, trading on presidential tweets. all kinds of technical issues that if we just turn to common sense and start looking at individual stocks that have great demand, i think 2020 can be very, very promising but not just talking about the

technicals and how many stocks are in the s&p 500s and which ones are under valued versus over valued. that's important but i think we have come a long way we drifted from thinking about what kind of stocks do we like and which ones can we model more than peleton which i have no idea how many people will be using exercise bikes after their new year's resolutions wear off but i have a better sense of how many people will be worried about whether or not they get hacked with their home cameras, looking at their nurseries or having their television talk back to them >> that's why you like cyber arc. i thought this was a fitness chain but it sounds like one, equinix. >> that's correct. it's data storage where as cy r cyberark is data security. none of us want to get hacked.

from your home nursery all the way to banking that's pretty common sense no matter how large your attic is it seems to absorb your junk junk we create so much more data. it has to go somewhere it's very obvious that a company like equinix and several other competitors will be there because they need to be there to absorb all this stuff we create. >> yours is a broader spectrum of picks here and some more household names. you got jpmorgan and texas instruments. we know that ships have done so well this decade >> following up on that, storage plays is simple and it's vast. in my opinion texas instruments

and its current multiple is a wonderful way to play that trend and watch it to continue because it's a cycle that i think is still there. more interesting are names like conoco and jpmorgan that haven't been part of this last ten years by any stretch conoco management strategy is out buying 100% of their capital over the next ten years. jpmorgan is as cheap as you've ever seen a big financial name like this that has a huge tail wind with the fed and global liquidity coming out it's an example of how this overwhelming market is poised here to be part of this cyclical run. in my opinion you don't have to go that far. >> all right two veteran money managers licking their chops getting ready for 2020 thank you both see you later. >> thank you major league baseball reporting record revenue this

year and with streaming and sports gambling getting bigger, that number could continue to grow is there one major problem that baseball and all other major league sports need to be worried about? we'll explain. it's been a year since the christmas eve sell off and chip stocks have soared since then. the three best performing stocks in the s&p this year, all chip stocks can they continue to soar next year year that's coming up (vo) in every trip, there's room for more than just the business you came for. whether that's keeping up with what you always do... or training for something you've never done before. that's room for possibility. ♪

we're committed to making college more affordable., that's why we're keeping our tuition the same through the year 2021. - [woman] i knew snhu was the place for me when i saw how affordable it was. - [narrator] find your degree at snhu.edu.

welcome back to powerhund lh the three top stocks have kmg n something in common. they are all chip makers the smh semiconductor tracks for its best year since 2003 let's bring in your trading nation team. what do the charts tell you? >> it looks very much like we'll see mean reversion in 2020

this group has gotten way ahead of itself in a big way the stocks areup over 700 points just since last december's lows. it was up 61% from those bottoms. you take a chart like amd, for example, it's one of the top you mentioned. it's up 100% for this year you look at common looked at i understand -- indicators it's back up. both those times coincided with periods of under performance going forward. my thinking is it's been a great move a lot of investors are looking at this. the net is unbreakable don't worry but the bottom line is this group has gotten much too extended at current level. charts of the stock very similar. you look at the philadelphia stocks, rsi over 70.

>> we're looking forward to investing in the stayed diversified names like texas instruments, broad com, even intel has been attractive to us. dividend growth, yield alternative and this market that has a yield. we would not be chasing these at these levels >> thank you for joining us. head to our website. bryan, back to you >> thank you very much all right, it's full stream ahead here on power lunch. disney plus, apple tv plus bursting onto the scene this year santa claus is coming to town and how many retailers will be cheering or jeering after the

holidays the booming decade for sports breaking record tv deals, skyrocketing team values and online gambling. should investors fear a looming sports biz bubble. we'll tackle this second half of power lunch ahead.

through the at&t network, edge-to-edge intelligence gives you the power to see every corner of your growing business. from using feedback to innovate... to introducing products faster...

to managing website inventory... and network bandwidth. giving you a nice big edge over your competition. that's the power of edge-to-edge intelligence. when it comes to using data, which is why xfinity mobile is a different kind of wireless network that lets you design your own data. choose unlimited, shared data, or mix lines of each and switch any line, anytime. giving you more choice and control compared to other top wireless carriers. save up to $400 a year when you switch. plus, unwrap $250 off a new samsung phone. click, call or visit a store today.

here is your cnbc neez ws update a senior diplomat called on russia to free paul whelan he and diplomats visited him in a moscow jail. >> he seemed to be in reasonably good spirits today he appreciated the fact that all

four embassies for the first time visited him for the holidays he sends his well wishes to his parent, families and friends in terms of the comments, they're baseless there's no evidence, no crime. >> afghan president celebrating his re-election victory. the results were delayed until sunday the election has plunged the country into a political crisis and marred by allegations of fraud. venice is facing the prospect of more intense floods when it's still counting the cost of the exceptional high tid that hit in november total damage is estimated at around 1 billion euros that's the update at this hour back over to you the markets are in record territory. the dow, s&p and nasdaq are all higher as you know every time bill when you're at a record and you go up, it's a what? >> it's another record >> well spoken

>> why am i talking like bryan sullivan today >> is that how i sound in. >> a lot of energy here. we have our power movers here. it was mentioned in elon musks funding secured tweet 502 days ago. today he tweeted whoa, the stock is so high l.o.l. apache soaring we end with intracellular therapy. the stock tripling today bryan sullivan >> thank you 2019 will be remembered add the year the streaming wars really began to heat up. new kids on the block, apple tv plus, disney plus all arrived on

the scene and tried to give netflix a run for its money. in 2020 even more players are coming nbc, our parent company, peacock and hbo max also expected to jump into the already maybe saturated streaming verse in the spring thanks very much for joining us. >> thank you >> i do wonder, we're always like this versus that. disney versus whatever how much of the audience or the american population if they cut the cord on cable can afford most or all of them in. >> you know i think 40% of americans have apple iphones and the other of 60% view tv as a lux ury because they have more life based expenses. i think netflix was the cheaper alternative to cutting the cord

at the beginning now my view is people who wanted to cut the court just cut it if they still have cable it's because they watch live sports or love having 200 channels or don't want to cancel the screaming when they turn off the history channel or nickelodean >> rather than trying to pick one streaming service over another, you streaming for 2020 is a company that facilitates it, roku. >> yes it doesn't care where disney wins or apple wins it's like an arms dealer >> how much higher can it go i guess it comes down to where we are in the cycle for streaming right now. where is that, do you think?

>> i think sfreeming will get more competitive and winners will be defined by branding, balance sheets and bundling. i think this is a war that will take three years to play out they just market more on roku which is to say they need subscribers. the best place to spend is on ruko >> another company you like, to bill's point, helps facilitate advertisements across a number of platforms it's oddly named the trade desk. i've never heard of them you think is this a stockbroker. they do digital and online advertisements, ttd is the sticker. why do you like the name in. >> so, i like it because i think there's going to be a huge explosion of advertising demand.

they are saying $10 billion of political spending and adid unit are fixed. i think trade desk is a fw beneficiary of higher demand >> that stock is already up 133% this year not counting today's rally. it's still going higher. it's not already in the stock? >> no. like roku is a triple. trade desk was a double. i think you can maybe get those kinds of results next year again. that's my hope >> how much push back did you get on your netflix downgrade? >> i thi are you in hiding are you okay are you in a safe house? >> exactly i've moved to a safe house

the russian mob is protecting me because everybody hates me >> i bet you're still watching the crown? >> no. i'm watching disney plus i love baby yoda >> laura martin is going well out there. don't go near their headquarters thank you very much. we appreciate it happy new year see you soon take care. to the bond market we go rick tracking is action of the cme. rick >> we are tracking all the action whether it's santa's sleigh or bond yields. the rest of the curve is up about as equally as much but it's an important day. notice the high yield right around 193 open the chart up one week and you can see right up against that resistance. hope it up to july the mid 190s, you can see how important they are we keep knocking on the door and traders keep buying against it it's not only here look at the formation since july the number is different.

ours is 195. theirs is minus 22 but it's the same pattern and traders are watching it closely just like watching the holidays coming up. for everybody here at the cme and myself, i'd like to wish all viewers happy holidays, merry christmas. >> happy santa claus rally >> from chicago. back to you. >> that's the fifth. >> i think i recognized that when we come back, we're in the home stretch for the countdown to christmas how make or break is this holiday season for some of the retailers who have been beaten down we'll go inside the numbers when bryan and i come back. - at southern new hampshire university, we believe in education built for all people. - [woman] snhu was the best experience of my life.

- [man] without snhu, i wouldn't be the leader i am today. - [woman] i graduated high school 19 years ago. i still finished. - [man] in the military, you feel that sense of accomplishment. that's what snhu is. - you will march from this arena and say to the world.. i did it. - [woman] you did it. i love you. - [graduate] i love you too.

here we are in the home stretch of the christmas countdown. it's been a wild year for retailers again. the online shopping boom and it's also been a record breaking year for store closures. over 9,000 of them from names

like sear, kmart, walgreens and many more. that's a 50% jump from last year and out does 2017 which was the previous record for closures in retail joining us with their outlook on that sector, liz dunn and charlie. good to see you both liz, you've been out doing channel checks what are you seeing here how is this thing shaping up >> super sad looked fantastic but so far the numbers for the full holiday season look maybe a little bit soft. we'll see where super saturday came out in terms of the last minute shopper but overall i think the holiday was mixed. >> charlie you were out saturday >> yeah, king of prussia

>> my wife texted from a bed bath and beyond. she said it was chaotic and nothing was on the shelf >> did she throw in the towel? throw main the towel >> i got you >> if you want to order something online you're really rolling the dice with delivery tomorrow amazon has been going pedal to the medal with next day delivery i got something coming to my house tomorrow that i ordered yesterday. ordering something today for tomorrow might be tough. for brick and mortar guy, you can order something today and pick it up later today for those open tomorrow, you can pick it up tomorrow. this is a day where brick and mortar can hit its strides >> everybody really seems to love lulu. are they performing up to everybody's clearly high expectations >> expectations are clearly high heading into the last quartzer

i think the stock is off a bit overall they have so many growth labors that it's just phenomenal they have dominance online strong online presence and so they can fulfill however a customer wants and they have a coveted brand which is important. >> charlie, i mentioned the record number of store closures so far this year, 9300 over all. we still got another week to go here who are you watching now for after this holiday season? who is on your watch list nor other problems down the road >> there's a bunch of them some of the names, pier 1, jay

crews on that list if you were to throw a dart at that board of those names in hits one you'll find somebody that maybe scrambling this holiday and beyond >> isn't this healthy for the industry overall to see this kind of closure? >> i think so. i use the term retail darwinism in the past. i think it is healthy. think about when sports authority went under a few years ago. if you're dick's, what do you do when they're having the going out of business sale do you cut your prices or not? sometimes the toughest thing is the desperate retailer they running for cash. that's something that needs to come out of the system >> what do you think will be the one or two key defining trends of 2020 for retail >> i think those retailers that are best positioned to fulfill buy online, pick up in store is really important and the ability to do that profitably.

you look at target and they are saying an order that's fulfilled in store looksmore like a stor order in terms of profitability, that's very important. retailers that can get there will win long term >> as long as the job market holds out, i guess hiring has slowed. that can't be good for retail at some point >> absolutely. i think the job market is in a period of transition it will be new jobs that comes as a result of the transformation if we have a recession all bets are off and retails become an urns under performing sector for sure i think absent a recession, there will be a transition in how people are working and i think the consumer should remain strong with record low unemployment at this point >> will jc penney be around?

>> that's interesting. i don't cover the challenompany there's challenges >> who do you like >> the big guys. walmarts, targets, amazons, costcos of the world the off price guys, tjmaxx ross. that's the higher end of our rating scale are the ones that will do the best liz and charlie back to the plals with you and merry christmas. thank you. >> merry christmas to you. next, from the online gambling boom to baseball's big year to soaring franchise values across the sports landscape. we'll talk sports, business, money and maybe what happens to the loanlechge icarounds arrs ddle with you, ♪ no one likes to feel stuck, boxed in, or held back. especially by something like your cloud. it's a problem. but the ibm cloud is different. it's open and flexible enough to manage all your apps and data securely, anywhere,

across all your clouds. so it can help take on anything from rebooking flights on the fly, to restocking shelves on demand, without getting in your way. ♪ ♪

and when you open a new brokerage account, your cash is automatically invested at a great rate. that's why fidelity leads the industry in value while our competition continues to talk. ♪ talk, talk

. it's been a big year in sports business from mega tv deals to huge player contracts to online gambling one of the ongoing challenges is just filling seats at stadiums take a look at the dolphins/cincinnati bengals game yesterday. this is how it looked in the stands the home team was kicking the game-winning field goal. >> look how excite the people were >> all eight of them as we head into the next decade, what can the nfl do to attract

more fans? george pine is founder and ceo of bruin sports capital. honestly, at least they had fans, george the dolphins had fans. i'm a san diego chargers fan and i say san diego -- >> you mean los angeles. >> i'm a san diego chargers fan. the team has lost me i think they've lost a lot you watch the stands they don't show them on tv it's all the other teams' fans, cheering skol, you know, green bay packers and waving the towels does the nfl has a massive problem on its hand or do you think over time it will work itself out >> i don't think it's a massive problem, but it's getting harder to sell tickets to everything. two bad teams 25 years ago probably would have had a lot more people there. today, there's a lot more things to do. it's getting a lot harder to sell tickets to everything, especially to not a good game. in the chase of the chargers, they're in transition. >> who would want to play for the chargers what player? they don't have a whoem game they don't have home games >> when they go to that new

stadium, they'll have their work cut out for them they'll have to build a fan base it won't be easy and it's going to take time they're in transition. that's the risk the nfl took when they decided to go to l.a >> what about major league baseball >> they have bigger stadium. yankees stadium is three times the size of madison square garden and have twice as many games. it's getting harder to sell tickets. they have a lot of tickets to sell >> how many do they need to bring in >> a lot they have to sell $195 million tickets a year there are more choices for people to do things today than there were 20 years ago. >> it's not just major league sports people are not going to the malls now, to the movie theaters ticket sales for hollywood down as well, if you take out the disney impact. people are just staying home more >> there's more to do. sports is still quite strong 49 out of the top 50 programs on tv are sports. look at the pga tour, just did a record media deal. the conference went from 55 million for saturday afternoon games to $330 million.

>> yet the ratings for pga tour are down, but they're signing these record deals what about the impact that gambling is going to have on all of these sports? is that where the growth is? >> it is going to have a very good impact. you're 19 times more likely to watch something on tv if you've bet on the game and it's going to connect yourself with the avid fan gambling will drive interest, particularly with the core fan >> are you familiar with this phenomenon >> i am familiar i live in new jersey it is legal, by the way. and the under on the jets/steelers game was a complete lock. anyway, when you look at these stadiums, i know people, george, that they're afraid of -- they're afraid of violence they're afraid of terrorism. i'm not kidding. and they don't like to be in these big spaces that are hard to get out of. do you think any of that is pushing people away in some cases, just the cost -- the combination of everything? >> i don't think it's the safety issue as much as there's just other great stuff to do. people are consuming content on

all kinds of devices it's hard to sell tickets to anything and therefore what the league will have to do is find things like gambling and develop great relationships with their core fans it's going to get harder to get people to go places. as you point out, not just games, but malls >> you're the former ceo of nascar i'm a big gearhead and you look at stands, michigan, pocono, they seem to be half empty >> it's an issue that my friends in nascar, when i would talk to them, they would say, what do you think? i would say, fill stands nascar has been 13, 14 years of shrinking audience you're less likely to sponsor and if you're watching tv, i'm not going to watch something that nobody's at filling the stands is an important part of the business equation it's not getting easier and therefore you have to get better at it. >> and yet, we have a definite haves and have-nots going on in major league sports. the valuation of some of these teams is astronomical.

$4 billion for the knicks. they haven't won a game since -- >> look, millions of people are tuning in. >> how do you say a sports franchise is successful, just by its valuation or by how its team is doing >> also, people are experiencing sports franchises in a lot of different ways outside of just going to the game. and on television, there's nothing like live sports, like i said earlier 49 out of the top 50 events on television are sporting events so sports are strong, but it's getting harder to sell tickets to everything. but on the media digital consumption, other things, gambling, fantasy, it's very vibrant and still very strong. the super bowl sold out on television the olympic games advertising is very strong. there are a number of metrics right now that i'm very bullish on sports. but it's getting hard to sell two bad football teams, sell those tickets. it's hard to sell. >> mls going to charlotte. mls has been a spectacular investment teams went for $25 million now they're $500, $600 million

are we going to have a $1 billion mls team or do we have one already? >> and e sports is coming on, too. more and more people are tuning into e sports. sports are strong, but changing. >> evolving, that's for sure >> george pine, a real pleasure to have him on tell your brother, by the way, jim, probably the best lineman that virginia tech ever produced >> i taught him everything -- >>he was there when i was there. >> go ags.hoie >> love it >> we've got check, please! coming up next ♪

(vo) in every trip, there's room for more than just the business you came for. ♪ this wave is rolling, let's get going ♪ ♪ we got places to be ♪ hey-ey-ey (vo) whether that's taking in every moment... ♪ ...or capturing a moment worth bringing back. that's room for possibility. ♪ let's see how far we can go, oh oh ♪ ♪ oh oh oh that will makeout washington insiders very uncomfortable: term limits. you and i both know we need term limits, that congress shouldn't be a lifetime appointment. but members of congress, and the corporations who've bought our democracy hate term limits. too bad. i'm tom steyer and i approve this message because the only way we get universal healthcare, address climate change and make our economy more fair is to change business as usual in washington.

no, it's not in my records. you've got a lot on your plate. deliveries. billy, come in. shift times. i just need to know if it's there. compliance. can i get your 20? for 100 drivers. doug... doug? and where is doug? he should be sleeping. so should you. just because you're married to my sister, you could lose this job, billy! this isn't working. introducing samsung connected fleet solutions. with the galaxy tab active2, you can track driver shifts and timesheets and meet eld compliance, all from one device. samsung business solutions.

are you a pro-tennis fan >> enough. >> kim clijsters is coming back from retirement again. she has retired not once, but twice in her career. she retired in 2007, had children, got married, came back and won three majors and then she retired again in 2012 and now she's coming back yet again. and as i said on twitter a little while ago, she has retired more than i have >> well said let me ask you, is it okay ever to give up on a team i'm a 40-year charger fan. >> i know where you're going with this. >> you're an l.a. guy. >> and i'm a chargers fan as well >> are you >> i am! well, i told you, i have a connection with the team >> i decided not know that do they make it? i find it hard to root for them when they have no --

>> when you consider the number of seats that they were expecting to sell. >> a lot >> how many? >> 40,000 i think. and not many >> yeah. >> not nearly that i don't know, it's tough any chargers fans out there, bill and i, we're with you i don't know where we're going, to be honest with you. >> chargers. >> "closing bell" starts right now. welcome to the "closing bell." i'm morgan brennan in for sara eisen at the boeing post, with that stock rallying up 3%, leading the dow higher that after the company fired ceo dennis muilenburg in the wake of the 737 max crisis we've got full coverage of that and the broader market in this last hour of trading >> and i'm carl quintanilla in for wilfred frost. let's look at what's driving the action today s&p 500, a new intraday high nasdaq also hits a high as well and looks to extend its win streak to nine days. the longest streak since 2017. some mixed data today. new home sales top