history, it doesn't por trend so much disruption. what he pointed so is we're going to see m and a >> we look forward to your interviews 100 a day. great stuff. safe travels that's it for us here on the exchange i'll see you on "fast money" at 5:00 p.m "power lunch" begins now >> thank you very much welcome, everybody here's what's new at 2:00 on "power lunch." stocks hitting fresh record highs and the dow breaking 29,000 but now it retreated so should you still be a buyer in today's market plus, monkeys and clowns ch just a few of the choice words from boeing employees about leadership at the embattled aerospace company. and later, the pit stop calls the ceo of casey's general store. the fourth largest convenience store operator with 2,000 locations in 16 states a lot of them dotted across the

midwest. will be b here to give us a consumer check as "power lunch" begins right now welcome to "power lunch. i'm contessa brewer. check out where we stand after hitting record highs the dow mostly in the red thanks to boeing's move lower the s&p barely hanging on to the green. the nasdaq again, still in the green, but barely hanging on to the gains. take a look at these tech heavy weights which have been b leading the rally. facebook up half a percent dpo google up a half a percent >> the dow crossing 29,000 for the first time today though it is off that level right now. a handful of stocks responsible for this latest leg of the rally and bob pisani is taking a look at those names >> hard to believe it was only a couple of years ago we were at

20,000 so i want to show you what's responsible for moving the dow from 20 to 29,000. concentrated, but not as much as you might think. apple not surprisingly 15% of the gains is through the apple. boeing, 13%. united health care, visa and microsoft. b about 55% of the gains from 20 to 29,000 is due to these five stocks the leadership has gotten even narrower and more concentrated 28 to 29,000 was only a few months november of last year. apple is 32% of the gapes of the last thousand points dow, united health, 18 goldman sachs, 16% put these three stocks together, two-thirds of the gains of the last 1,000 points of the dow 30 stocks is due to just these three. and sometimes, really narrow leadership is associated with market tops and that's what got people discussing what might be going on here. the narrow equity leadership

s&p 500, pe ratio now 18.5 that's the high-end where it's been the last 20 years where people start saying gee, you got prices up and earnings still coming down for 2020 that's a dangerous situation what happens next? roughly in line jobs report. that's the problem here. january 15th, president said he would sign the trade deal. the fed will be meeting. but is there enough investor enthusiasm to move the market forward for these events they're good, but they're priceded into the market and that's what people are having to face what's the next catalyst, likely earnings and any kind of reinvestigation. we've got to get them up a little bit the numbers have to stop or the market's going to have some problem down the road. back to you. >> like you to stick around here stocks below their all time highs after crossing that 29,000 milestone in been a red hot winter for the market. the s&p is up 8% since the beginning of november. so what can you still by at record highs if you're in for paying top price

let's bring in ron, cnbc's seep yor analyst and come tmentator you heard bob there just talking about who's driving up the markets overall and the dependence on earnings what are you expecting to see as we see the banks come out with their earpings reports >> there's not a broad consensus they'll be very strong, however the year over year comparisons are b probably better this year over last and we have as bob said analysts guiding estimates lore makes it'ier for not only financial, but all companies to beat expectations. some depressed activity in the manufacturing sector in construction and we saw that with one homebuilder yesterday so i think we have to keep an eye on earnings. the markets have gone up very fast in a short period of time you touch these numbers like 29,000 and there's a bit of a pullback so wouldn't be surprising to see the market digest these gains and take a breather given the torrid pace

of appreciation we've seen in the last several weeks and months >> you mentioned the jobs report coming in. maybe slightly below expectations here. moody's came out with a statement about the jobs report saying if the employment continues to grow steady after the tenth year of economic expansion, it would still paint a relatively robust picture. how much of this is just an upward climb for investor optimism or where we are because we have tough comps against 2019 we had a great year last year. >> yeah, the important thing is a lot of the issues that were preok pie iing the market throughout 2019 are less of an issue now. we kopt to have a strong consumer decent job growth. we continue to have a neutral fed that's out there that's been there for the last four, five, six months we continue to look for signs of a global bottoming in the global economy. still very debated it's murky now, but there are

some signs that the decline we saw in the middle of last year has stopped. so a lot of uncertainty has been removed. i think the biggest concern is that the market is so pricey the it's subject to a big shock. if any of those events move away >> ron, let's turn to next week, the beginning of the earnings season a lot of the big banks will report then the parade continues on and on. last year, earnings were flat. it was up more than 30%. the p was higher e was not. don't we have to have good e this year? >> it would help given where valuations are selling about 19 times forward earnings depending on which earnings estimate type of indicator you use, if it's the cyclicly adjusted price that bob schiller uses, we're at the high-end so yeah, definitely need to see earnings improve but not sure we're going to get it at an economy that's growing

around 2%. it's difficult to see revenues taking off so i think selecttivity is going to ivity e a key going forward. you have to pick your spots. big cap companies have run up a lot but they have product cycles that are going to kick in this year and they make them interesting. again on a name by name basis. so i don't think this year i'm going to deviate philosophically from where i was last year which is upping the quality of your port fofolio. two interesting pieces in "the wall street journal" this morning. one of the listed companies are losing money so you have to be careful there then two, within the junk bond market it, we're seeing a real bifurcation between those credits that are reasonable and those that are tanking. people have to be a little careful and know better what they own when it comes to their fixed income investments as that might become a more pronounced factor in market behavior this year >> bob, chime in here because yesterday, you took us through the valuation arguments that ron

just touched on. you did very carefully and wisely i thought but you also just mentioned the idea that the market at these levels is maybe more than normal vulnerable to a slip that could be an earnings miss >> yeah i think that's where it's -- if we suddenly see a spate of companies coming out and not essentially affirming the higher end expectation of the most bullish analysts and they're expecting about a 9% increase in 20, i think that's going to be an issue the main argument the bulls have is simple. in a chronically low interest rate environment, what else are you going to do? if you believe the ten year yield is hovering for the next two years then tina is a real thing in the stock market then the bulls have a point say iing look, we're elevated up here, but rates low for long periods of time, the fed continuing to add liquidity and continuing to

remain neutral is very powerful incentive to continue to own stocks even at higher valuations >> bob, ron, thank you, friends. appreciate that. >> thank you zblnc zblncht new sanctions on iranian companies and announced by mike pompeo and steven mnuchin. eamon javers is at the white house with the details >> i told you u earl wrer in the week to keep your eye out for the b possibility of secondary sanctions and that's pretty much where we landed today. the iranian sanctions, there are also designations here for a beijing based company, shipping firm and others. a company in oman. there have also been designated under this round of sanctions. so the administration here trying to clamp down on entities doing business with the iranian and that has implications for europe i asked the treasury secretary mnuchin in the white house briefing room today what his message is for the europeans and what that means for an entity

called instacks, which is been put in place in europe as way to try to get around american sanctions by engaging in transactions with the iranian without using the u.s. dollar. >> i don't believe there's been any instacks transactions as we've made clear, we are working on a swiss channel that we have approved for humanitarian transactions we'll continue to allow hum humanitarian transactions. we've warned instacks and others they will most likely be subject to secondary sanctions depending on how they use that >> so mnuchin there saying they've issued a warning to the europea europeans they could be subject to sanctions based on any transactions if they do that he's also saying that through a swi switzerland based entity, they're trying to couple up with a way to have humanitarian transactions go back and forth, but what they don't want to see here in washington is commerce happening between the europe ps

and iranian. the europeans presumably disagree that rather strongly. now a point of tension here tweep the united states and many of its allieallies >> we have a news alert on casper filing to go public on the new york stock exchange. let's go to diedra for more there. >> that's right. casper slate the direct consumer mattress company revealing its ipo perspective, planning to trade on the new york stock exchange under cspr morgan stanley, the lead underwriter. welcome to the sleep economy, valuing it at more than 430 billion globally they have 1.4 million customers since 2014 losses here as investors glow patient with the growth at all costs model. casper's losses are increasing looks like the race of those net losses is deaccelerating in terms of risk, they list it history of losses. competition, its need for exp d

expanded brick and mortar presence and social media. casper was last valued at just over a billion dollars glittery list of investors here include ashton kuchar, kevin spacey, scooter brawn and leo decap row. >> that's a lot of name dropping going on there >> i couldn't resist >> it's great. diedra, thank you for that appreciate it. coming up, a boeing employee says clowns and monkeys made th 737 max more on the embarrassing internal messages. plus if you're driving in the midwest and need a donut, a pizza and tank of gas, you might just find yourself at casey's. coming up, we'll talk to the ceo and hear what he's seeing omfr the american consumer. mobile app so you can quickly check the markets? yeah, actually i'm taking one last look at my dashboard before we board. excellent. and you have thinkorswim mobile- -so i can finish analyzing the risk on this position. you two are all set. have a great flight.

thanks. we'll see ya. ah, they're getting so smart. choose the app that fits your investing style. ♪

. ceo ease feeling down while consumer confidence ticking up our next guest is here to give us the pit stop pulse. he runs casey's general stores gas stations, but not really just gas stations. it's the fourth largest convenience store in the country, also the fifth largest pizza chain. they have more than 2,000 stores in 16 states, mostly in the middle west. here now first on cnbc, the president and ceo of casey's general stores how's business and how has it

changed over the past two years? >> business has been great thanks for having me we just reported our most cent second quarter 23% earnings share growth. our sixth consecutive quarter of 20 plus percent r, 20% ebitda. >> how do you do that? how do you make that happen? i don't know what your product mix is between gasoline sales and food and other convenience item sales, but gas prices last year were not moving higher. larly. >> yeah. the great thing about our business is we're in three businesses in one. we're in the gasoline business for sure but we're in the convenience retail business and really in the restaurant business with our pizza. so on the gasoline side, the retails will go up and down but the margin that you make on that is pretty consistent >> so we don't get too hung up on the sales on the gasoline side on the inside sales, really it's all b about differentiating our product assortment to meet the

needs of the guests in our local communities. we operate primarily in smaller towns in some mid sized cities so we enjoy a pretty favorable competitive environment compared to the large e metro areas >> we've talked a lot about s r starbucks. i know you're pursuing a similar focus. why? what could drive your return on investment in those areas? >> well really what we see from the consumer is they want convenience and it comes in a lot of different forms and part of that experience is really being more technologically enabled. so our guests want to have an e commerce platform where they can order that great famous casey's pizza we all know and love and get that online. about six months ago, we launched our new mobile app then just this week, we launched our rewards program as well. so now we're rewarding our

guests for -- >> why is that important to your bottom line? z >> because it builds loyalty and frequency. so again, what we like -- >> you get discounts and earn points like you do at starbucks. >> the way the program works is you based on purchase, you earn points and what's you neek abounique, it for cents off of gasoline or convert it into casey's cash that's fine, too but we have a unique twist because of a role we play in communities we serve you can convert those points into what we call cash for classrooms they can convert those into cash and donate to a local school in their community so they have the opportunity to support their local community. >> so you said i think you said earnings per share were up 23% can you tell me what the increment within that number

came from your mobile app? >> it's really too early to tell >> because the mobile app has been transformtive for domino's, for example, people call it a technology company with a pizza chain attached to it >> we're early days on that, but we're seeing really accelerated growth on our e commerce platform we've got a long way to go only six months into it and the rewards program just launched on monday >> can i ask you, 21 states on january 1st, have raised their minimum wage what is that doing to yours and how much of a role is automation playing in your future plans >> we're feeling pressured from a wage standpoint but it's not necessarily being driven by states changing their minimum wage laws. it's being driven more by low unemployment and having to compete for talent so we are seeing wages rise up and we are taking a look at different technologies that can

help off set that. but one thing that we do in our stores that's very dimpt is we make our food from scratch so that pizza, we have people in there mixing the dough and rolling it out and putting our 100% whole milk mozzarella cheese make iing it fresh we have donut makers that come in and make them fresh it's the made from scratch element that makes the quality of or food >> i'm going to ask a question from left field and forgif me for not knowing the answer ahead of time. >> do you sell vaping product sns. >> we do >> and how is the change in that world going to affect you? is it a material matter or not >> a low percentage of our sales, about 1.2% of overall sales are in vaping products we voluntarily discontinued the sale of the flavored products a

while back to make sure we weren't inadd ver tantly attracting young rer consumers and we're complying of course with the existing laws and now that age has changed to 21 but it's a small part of our overall business >> thank you very much for being here today this is your first interview on cnbc >> we hope it's not the last >> please come back. >> thank you i'm a cnbc junkie, so this is a big day for me >> if i'm ever in the midwest or iowa, i'll stop in >> i'll buy you a pizza. >> hold you do it. darren, thank you. coming up, a new proposal in vermont would make cell phones illegal for people under 21. what and nvidia hitting a new all time high today. up 70% this year and now analysts are getting more bullish. can this stock really keep going up and there are literally a million podcasts out there because there's big money to be made and everybody is trying to

a ecpie. that story and much more coming up on "power lunch." ♪ ♪ ♪ ♪ don't get mad. get e*trade, dawg.

now you can, with shipsticks.com! no more lugging your clubs through the airport or risk having your clubs lost or damaged by the airlines. sending your own clubs ahead with shipsticks.com makes it fast & easy to get to your golf destination. with just a few clicks or a phone call, we'll pick up and deliver your clubs on-time, guaranteed, for as low as $39.99. shipsticks.com saves you time and money. make it simple. make it ship sticks.

nvidia can now outperform the rest of the semiconductors over the next three months stock has a head start outpacing the group this year. let's bring in the trading nation team. mark newton and john mark, nvidia's been outperforming the semiconductors since about august although not yet back to highs from late 2018 so how is it positioned now? >> it still looks like it should continue to outperform the group as a whole so i expect this relative strength over the rest of the semis to continue i don't know that i would nic initiate new buys in the stock technically here it's gotten very overbought and it was overbought throughout all of 2016. you're starting to see evidence of negative momentum divergence which is happening to the group as a whole now momentum is not really following suit on a short-term

basis. i'd be looking to buy a pullback to b about 220 it's still a very good thing and we didn't see that all last year the top ten performers, nvidia was not anywhere in the top ten where as in the last six months, the stock was up over 53% so it started to make some enroads and i think that's a good thing so one would want to stick with that >> john, there was a time when nvidia was seen as people in all the perfect spots in the semiconductor industry including bitcoin money. that's no longer really a driver or catalyst. so how u do you think the fu fundamental set up looks >> yeah, i mean i think nvidia sa perfect microcosm of the market because in the long-term, if you believe in augmented reality, virtual reality, gaming through the graphics side, nvidia is an interesting way to play that. but in the short-term, the stock is trading at 34 times earnings. it's not cheap but it's a

reflection of the overall tech sector which has rallied over the past couple of years so i think long-term, the stock is a great way to play some compelling long-term investment themes, but short-term, i wouldn't be surprised if there's a pullback because valuation is expensive but i think that's the nature of the entire sector that is playing >> yeah. without a doubt. that's the market we are presented with i guess augment reality is going to be a big thing. i think i'd like diminished obscured reality personally, but thank you very much. for more, head to our website or follow us on twitter back the you >> all right, thank you very much ahead on "power lunch", it's a circus at boeing complete with monkeys and clowns leaked e-mails show the company insulting designers and bullying regulators we'll speak to the former chairman of the ntsb about what is beginning on at boeing. plus, pod bless america. morgan stanley out with a note

on the booming podcast business. why spotify is dominating and even outshining apple. and finally, bad news, kids. no shots, no cigarettes and now maybe no smart phones. one state is looking to ban cell phone use for any person under 21 i'm skeptical. more details in today's tasting menu when "power lunch" returns.

i can. the two words whispered at the start of every race. every new job. and attempt to parallel park. (electrical current buzzing) each new draft of every novel. (typing clicks) the finishing touch on every masterpiece. (newborn cries) it is humanity's official two-word war cry. words that move us all forward.

the same two words that capital group believes have the power to improve lives. and that, for over 85 years, have inspired us to help people achieve their financial goals. talk to your advisor or consultant for investment risks and information.

with welcome back. mike pompeo doubling down on the reliability and clarity of the intelligence the u.s. had on iranian general soleimani before they took him out in a drone

strike >> we had specific information on an immeainent threat and the included attacks on u.s. embassies. qassem soleimani himself was plotting a large scale attack against american interests and those attacks were imminent. the self-help l guru who warned of the psychic force unleashed by president trump has suspended her campaign for the democratic presidential nomination in a statement, she conceded she would not be able to garner enough votes and the tsa said they saw a record number of travelers agents screened close to 44 million passengers and crew members from december 19th to january 5th. including more than 2.6 million on december 27th you are up to date ty, back to you. >> thank you very much let's get a check on the market now. the dow has been drifting a little bit lower lately.

now down 72 points or about a quarter of a percent that's after hitting record highs earlier in the session and survey mounding the 29,000 level. s&p 500 is basically flat right now. nasdaq sort of the same. basically flat the russell 2000 off about a fifth of percent >> time for today's power movers starting with grub hub which is giving up some of this week's gains after denying it's if talks to sell itself reports that walmart and others were looking to buy the company sent the company spiking this week right now, it's down 5%. six flags on pace for its worst day on record. saying its china project has encountered challenges and there you can see six flags is off by wow, more than 18% and portola says hospitals have cut back on that drug in order to cut costs down 40% >> whoa. >> check out beyond meat it's up more than 25% this week. it has quadrupled from its ipo

price. still down more than 50% from late july. today, up 7.5% a new twist in the saga of the boeing 737 max as internal messages were released showing what boeing employees were saying about the max one reads, this airplane is designed by clowns who in turn are supervised by monkeys. phil lebeau has more with the fallout from this latest embarrassment for boeing but phil, does it reveal anything new that's problematic for the airline? >> no smoking gun document in these documents that were turned over by boeing yesterday but they're not only embarrassing, but questioning the culture at boeing commercial airplanes as they were designing and developing the 737 max here's a couple of messages that get right to the heart of that one employee asks another would you put your family on a max simulator trained aircraft i wouldn't the other employee answers, no then there's this.

an employee saying i still haven't been forgiven by god for the covering up i did last year. basically alluding to covering up against the faa i'm really struggling to defend this simulator in front of the faa. you put it together. these are not good messages. what's the faa have to say about this they came out with a statement within 45 minutes saying you know what, there's no new safety risk here. nothing new aside from perhaps they have an attitude when it comes to dealing with regula regulators the represent fif who oversees the house trans information committee calls the memos damning. boeing admits these are not reflective of the culture we wanted this company in we would like this see this change and have a more professional attitude in the future i want to look at shares of spirit aerosystem under pressure today after the company that makes the 737 max fuselages said it will be laying off 2800

workers starting january 22nd. they've shut down production so they're not making any fuselages now. >> thank you for that. we want you to stick around. >> and all this is going on while boeing and the ntsb have been invited to join the probe of a boeing aircraft that crash ed in iran killing 176 people. this comes after u.s., canadian and uchl k. officials say the plane may have been accidentally shot down by iran. here to dive deeper into this crash as well as the overall crisis brew iing at boeing is jm hall former chairman of the ntsb. mr. hall, welcome. we'll get back cultural issues those memos raise, but let's begin with the invitation to boeing and the ntsb to participate in some fashion into the investigation of the crash of that 737 outside of tehran just a couple of days ago. do you think that invitation is insere what kind of access would the ntsb and boeing get?

are they going to be full pa partne partners what >> that invitation is consistent with iran's responsibility as the lead investigator under the rules of the international civil aviation organization. i would certainly hope that ntsb and boeing as well as the other countries involved would participate in a full, fair, independent and thorough investigation. i think that would have to be done under the oversight of the international civil aviation organization it's time they get involved in these matters. >> what is your experience if you have experience in what i would describe as any kind of an analogous situation where there may have been a crash in a country that was not particularly friendly with the united states. has the record shown that the investigators were free to look and go where ever they wanted to, for example, to examine the fuselage for signs of shrapnel

that could have come from a missile e et cetera? >> under my watch, we had the egypt air investigation which i insisted be delegated to the ntsb it was a full and fair investigation. the egyptian government at the end disagreed and blamed the cause of the accident on problems with the boeing 767 but it was a full complete investigation and it's on the ntsb website >> phil, does this give boeing a bit of breathing room? >> well, i don't know how much breathing room look, an accident is an accident no aircraft manufacturer wants that to happen, eve b b en the i it's an unintended missile being fired of a plane it gave the shares a bit of a relief rally yesterday because they don't think it's engine related, but i'm not sure there's much beyond once the u.s., canada, great britain and others said we think it's a missile strike not sure there was much play here for people who were looking at this in terms of impact on boeing >> phil, do we know who the

employees were who wrote those memos? >> right we know some of them the chief technical pilot o is an employee and he was part of the memos that came out. a couple of months ago we know some of the other employees who might be involved in this. most of the names in these have been redacted. except for the chief technical pilot and one or two others, we don't. but boeing says they will be pursuing personnel and b possible disciplinary actions against these people >> but why why should they be disciplined if they're being honest with each other and candid in internal messages? >> what do you mean why should they be disciplined? >> yes >> well if you have an employee in there saying well, i did a lot of covering up with a regulator. it's something i don't know if any company would say, well, okay, you're being candid, it's

okay >> i think more importantly, these e-mails -- reflect a blatant disregard for the safety of the flying public and the mocking of the regulator involved in the certification process and also which was also reflected by the boeing executives in their incomplete and inconsistent testimony to the faa on this matter is serious. and i'm as disappointed in the faa as i am in boeing. i would be mad as hell if i was head of the faa over reading this material. and to have a tepid response in which -- >> boeing turn ed these over to the faa in december. so it's fot like they haven't known about this not to say they should respond a certain way. it's not something that came out

of the blue. all we were reporting today is that they said look, there's no new safety risk with the maxim laters today >> i think mr. hall, i see your passion here and i think most of the viewers would probably absolutely agree with you that these memos are at least bad optics for boeing and at the most, contempt yous towards the regulators a few years ago, there was this concept of regulatory capture, ie where the companies being regulated were so close to, were so tied in with the regulators who were charged with overseeing them that those regulators fundamentally couldn't do their jobs is that an element here at all in your view was it an element during your tenu tenure

>> i addressed this in a "new york times" op-ed in 2013. when they turned over to boeing giving them essentially self-regulation and self-certification and the regulation process congress has not supported the american people and their responsibility for safety in turning a large part of the regulatory and certification process over to the manufacturer >> i think you should write another op-ed, mr. hall. i think it's time. >> well, thank you >> jim hall, thanks very much. phil, thank you. >> to the bond market now and rick santelli tracking the action at the cme. hello, rick. >> good afternoon. you know, we had a big number this morning but it wasn't big in terms of dimensions of what it described in the employment situation. we saw earnings dip.

below 3% year over year. average hour in workweek decreased and of course the number in the 140s wasn't impressive so you look at the intraday of tens, you can see all the volatility around 8:30 eastern. one week of tens is interesting, down on the session, but still up several basis points on the week twos are up which flattens the curve. tens twos, the flattest in four weeks. everyone's talk about the supply, whether it's dollar no, ma'am nated or high yield yesterday. you can see the big profit at the end of 2018, but boy, is it well behaved now finally, one week of the dollar, tyler, back to you >> thank you very much, mr. santelli and coming up, we talk a lot about the stream iing wars but there's always a battle for your ears the push and pull over podcasts. radio may not be succeeding, but

audio is far from dead that's next on "weluh.por nc through the at&t network, edge-to-edge intelligence gives you the power to see every corner of your growing business. from managing inventory... to detecting and preventing threats... to scaling up your production. giving you a nice big edge over your competition. that's the power of edge-to-edge intelligence. apps except work.rywhere... why is that? is it because people love filling out forms? maybe they like checking with their supervisor to see how much vacation time they have. or sending corporate their expense reports. i'll let you in on a little secret. they don't. by empowering employees to manage their own tasks,

paycom frees you to focus on the business of business. to learn more, visit paycom.com

oh, your she's landed.ed. and she's on her way to our house. what. i thought she was coming next weekend. i got it. alexa. start the coffee. set the temperature to 72. start roomba. we got this... don't look. what? don't look. lets move. ♪ mom. the lexus es, eagerly prepared for the unexpected. lease the 2020 es 350 for $389 a month for 36 months. experience amazing at your lexus dealer.

apple is fighting this two front war and it's getting di dicesy one one side, they're engaged in combat with netflix and disney and hbo and on the other hand, it's facing stiff competition from spotify in the world of podcasting as audio entertainment keeps growing in popularity and according to the latest morgan stanley survey, apple is losing. about a quarter of users use spotify to listen to their favorite podcasts edging above apple's 21% share. more and more ios users are choosing to listen to spotify premium instead of apple music joining us now is managing director at morgan stanley ben, great to see you today and conversation that got disrupted earlier this week. i want to ask you, what is behind the big boost that podcasts are getting not just apple versus spotify,

but anywhere you get your podcast, which is what they say on the podcast >> thanks for having me, contessa look, the audio market is highly competitive because it's growing. consumers are engaging more and more and we think 2019, we saw about 100 million users in the united states streaming. almost 50% of smart phone users are now in prescription streaming. one way to differentiate your product is by investing in podcasts there's been an explosion in podcasts available to u consumers and there's been a lot of investment by others to try to bring more podcasts to the consumer and for spotify, this is really important. this is where they compete apple is a massive company does a lot of things well. for spotify, it's all about audio so they've made podcasts incredibly important in their strategy >> listening has ticked up to 4.4 hours weekly apple says it is 800,000 podcasts how do you differentiate your

service to advertisers >> yeah. look, i think one of the challenges in audio is generall content is not exclusive you mentioned the netflix apple competition. there you have exclusive programming. that's not as easy in the audio space so it's really ab about discovery. you just mentioned how much podcasts there are how do you and afigure out what to listen to in user interface, that's where it's showing up and again, i think our survey suggests that for the first time, spotify has moved past apple as the most popular platform for podcast and premium users consume over five hours a week so you're seeing their base even more engage d. >> last hour, we were talking about 1 trillion music streams last year, which surely is a record if streaming music is seeing a boost and podcasts are seeing

this wig boost, who's losing out? >> probably sleep. would be one thing generally speaking probably some cannibalization of music consumption because of the rise of podcasts, but the cannibalization of music, but smartphone adoption, unlimited data plans, increasingly smart speakers we think about a third of homes have smart speakers, and eventually cars. that allows for more content consumption. that's growing the pie overall >> so explain to me briefly, ben, if you could, the money machine here i get how the podcast producers makes money. she or he or they sell advertising that is either dropped into the podcast or bumpers it on either end how does spotify and apple make money from this? >> it's a very good question, one that investors are highly focused on

>> i think the answer today is they're not. while podcasts are not new monetization of podcasts are just berth ginning but you're just starting to see, for example, spotify announced some streaming advertising insertion technology at c.e.s. this week, so we're starting to say more and more investment and the tech behind it it's a highly engaging media, so i think the opportunity is there, but we're just getting started. there are some small subscription services that are ad-free, but, you know, i would emphasis the word "small" today. >> paul harvey was readily ahead of his time, wasn't he >> yeah. we appreciate it, ben. thank you. >> sure. what companies are doing to protect themselves from a worst-case snao.ceri we'll be back with that cheery story, next.

created by apple, not a bank. with a better way to track where you spend. a new level of privacy and security. daily cash you get back every day. and no fees. not even hidden ones. oh, and if you happen to be somewhere that doesn't accept apple pay yet, there's this. nice. the unparalleled landscape of park city, or the famed peaks of whistler, you've faced the hassle of lugging your gear through the airport. with ship skis, you're just a few clicks away from having your skis, snowboard and luggage shipped from your doorstep to your destination. with unrivaled pricing, real time tracking ship skis delivers, hassle free. ship ahead and go catch those first tracks on fresh snow. ship skis. your skis. delivered.

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

417, the deadliest as an el

paso walmart which killed 22 people the rise in attacks is pushing company, municipalities and schools to purchase insurance policies experts say the growth is rapid. and 270% in 2019 a key part of the policy is the services it provides including crisis management. >> they will take care of crisis for you, deal with the victims in the right way, deal with the media to know that the insured says and does the right thing by those victims. >> care packages, counseling services are all part of the active shooter policies and reputation management to help deal with any negative impacts to the brand in fact, what we are hearing is that a lot of times companies

will be, tyler, consideration what is the bottom line? it's really for the brand damage, not so much for the monetary bottom line given where we are with social responsibility and corporate governance, a lot of boards are now insisted at least it's considered >> do we know if any of the big companies like mgn, walmart, where shootings have taken place, do they carry this kind of insurance >> you won't find insurer talking about their specific clients, but mgm just settled with the mandalay bay victims for as much as $800 million. 670 of that will be covered by multiple insurers that we know -- >> that was probably a standard liable

>> i don't know, but i know the costs the insurers are spending, looking at where companies are vulnerable, and providing immediate monetary assistance, crisis management intervention they case the costs are warranted. it reduces claims and the potential lawsuits. "check please" is next, and you can always watch y ledouiv on the go. we'll be right back. ♪ ♪ ♪ ♪ ♪ ♪ don't get mad. get e*trade, dawg.

you still have service? call the insurance company sfx: [phone ringing] it's them, calling us. it's going to be a week before they can get through on these roads shhh, sorry, i didn't catch that. i said ask how soon they can be here right now? what's now? he says they're surveying our property now they're probably at the wrong house i don't see any hovering his name is hovering? look up? by automating claims with machine learning and analytics, cognizant is helping insurance companies advance how they serve even hard to reach customers. cool ♪

well, we saw the dow hit 29,000, now it's retreating. that's it. >> it's been a great week with you. "closing bell" is next. >> thanks. crossed 29,000 for the first time, but we've seen a sharp pullback with the dow down about 87 points. are we going to get back positive that level? or finish the day lower? we have 59 minutes to find out. >> we do instead morgan, good afternoon i'm wilfred frost. jobs growth slows in december, but the labor market overall stays on track