good afternoon to you. i'm tyler mathisen and we start with breaking news on the major market sell-off that you see right there. down 1958 points we are at session lows a moments a ago, just as we wern break, the dow dipped below that 2,000-point level of loss. trading, by the way, halted for 15 minutes in the 1:00 p.m. hour as the s&p 500 fell 7% for the first time today now, coronavirus fears, of course, reaching a fever pitch as the government works to pass a massive stimulus package the voting on that is coming up very soon. look at oil in free fall yet again, down another 22%.

crude dropping hugely today, as demand fears rise that demand is going to fall, hitting its lowest level now since 2002. speaking of free fall, look at shares of boeing that air space giant asking now for a $60 bailout. it is down 25% today and on track for its worst month ever, doubling the losses it saw back in september of 2001. this stock was a $300 plus stock, not that along ago, kelly. >> it's just unbelievable. tyler, thanks. appreciate it. here's what you need to know, everybody. there are now 200,000 cases of coronavirus globally about 7,000 of those are here in the icu. the u.s. and canada have now agreed mutually to close the border to limit travel between these two countries. the move, they say, won't impact trade. that's been impacted by its own problems new york is dealing with the largest outbreak of coronavirus, with cases more than doubling to 2,000 overnight. bob pisani is all over these big

market moves today bob sullivan is watching crude as it craters. kayla tausche is watching the senate as it works to pass phase ii of the stimulus package and rick santelli on the bond market as the ten-year yield is now higher, 1.2% bob, we'll kick it off with you. >> so we were comfortably down 6 or 7%, tooling along, and very important interview with bill ackman is on and here's essentially when it happened, you can see the market drifted down bill ackman, the new dr. doom. what caused this drop here listen to what mr. ackman had to say. quite an emotional interview they're going to be passing this away for the next couple of days america needs a 30-day spring break, saying that the gradual rollout is not working we all need to shut down the whole country for 30 days and very aggressively saying so. in his words, it got very emotional, i'm not going to kill my father. i went into lockdown almost a month ago to save my father's life very rarely do you get emotional interviews in the business

world. this was one of them here's the big surprise he drops on anybody you think this is a sell the world kind of thing, no, no, i'm aggressively buying stocks everybody said, whoa, wait a minute unfortunately, this message got lost in the doom and gloom commentary that he had he's aggressively buying hilton, by the way he made a point of bringing that up here. bill miller, also one of the great value investors of all time came out, one of the greatest buying opportunities in my life. he said, something to effect, there were four great buying opportunities in my whole life, this is the fifth one, something to that effect here's two big market gurus essentially telling you, yet we're not particularly bouncing at all just take a look at the one chart i showed everybody all day about why the market is very unhappy and worried. here's corporate bonds, down here's the equity market, the s&p 500 down, crude down, oil down and everyone says, huh this means liquidation, people selling to raise cash and raises all sorts of anxieties when all four of these sectors move to the downside

i have been asked a couple of things about the stock exchange. there is a comment from the new york city mayor that he may issue a shelter in place order and what all of that means i want to bring up the circuit breakers first, to point out the level 1 halt, 7%, that no longer applies here. we have to go down 13 fact until 325, and then no halt, 20% the rest of the day. and the shelter in place would probably not apply to the new york stock exchange. i'm trying to get clarification on that, but that's any impression right now back to you. >> bob, thank you very much. bob pisani down at the nyse. >> as we mentioned, oil is in free fall as well as equities, collapsing now towards $20 a barrel if it's not just pierced that already. let's check in with brian sullivan for more. hi, brian. >> reporter: hey, tyler. i don't know what you're doing in the year 2003, but it's kind of a time machine, because what you were doing, well, oil is the same price now as it was then. that's how far we have come. price of oil continues to fall global demand falling off a

cliff. global supply continues to go up the saudis have actually indicated they could go to 13 million barrels a day if they wanted to. now, what does that mean they're about 9.5 to 9.8 and going up the world demand is going down saudi supply may go up you don't need to be an econo c economics wizard to understand that that is a terrible combination. now a few positive points, i guess, on where things may go. u.s. companies continue to slash their costs, their capital spending plans the average according to goldman sachs, about a 28% cut it's bad news for jobs, bad news for industrial supply, bad news for a lot of people. but if it can stabilize oil, some of these companies may get stabilized as well and again, i'm sort of the oil guy, but really, i've said forever and i'll sayit again

for the billionth tibillionth te the jnk has significant energy exposure there are others out there and i wrote about them last week you want to watch those because the credit markets may be far more important than the oil market right now but unfortunately, guys, they are inextricably linked. i'm going to say good-bye, i'm going to burn some oil, drive up to the nasdaq market site from my hole here in new jersey >> before you get in your car, is anybody making money in oil at this price? are the saudis making oil at this price and if not, why are they pumping more of it to sell at a loss >> you and your good questions, tyler. that's what i've always liked about you. a lot of questions there nobody in america is making money at this price. there might be a couple of wells that are producing that have been around forever that have a cash cost of 15 bucks or something, but all in, you know, no the saudis, their actual

drilling, sort of production costs are like $3 to $4 a barrel but they've got all of those societal costs we've talked about. qatar and kuwait need $100 oil effectively to fill their budget saudis need about $85 to $88 they can actually get the oil out of the ground for pant $3 to $4, but of course, that oil funds a lot of other things. i will say this. bad time for two stocks. number one, aramco they went public a couple of months ago the stock keeps falling on the saudi exchange and number two, not picking on them again, but occidental petroleum. buying anadarko last year, debt-heavy deal. occidental's stock is back to the price level it was in the year 2000. it's y2k oil for oxy

>> kelly >> the senate is getting set to vote on phase ii of the stimulus package. kayla tausche has that for us. kayla? >> kelly, our eyes turn now to capitol hill, where we are going to watch a socially distanced senate take up an elongated vote on the second coronavirus relief bill this is the one that provides roughly $105 billion worth of paid sick leave to an estimated 40 million americans mitch mcconnell has doubled the allotted time for this vote, because hep doesn't want lawmakers to be congregating in this chamber now, not all lawmakers have liked this bill. senator marco rubio, the republican from florida, whose state is heavily exposed to tourism and the cruise industry thinks that it unfairly incentivizes companies to lay workers off instead of providing this benefit but he said that the treasury secretary urged lawmakers yesterday to go ahead and pass this and then make any changes that they feed to, in any follow up legislation because the big deal is what

comes next and that is this 1.1 trillion stimulus bill that the treasury is putting together and could send to the hill as soon as the end of next week i'm told that both the house and senate, bipartisan leader are working with the treasury to put together a clean bill that is easily passable in each chamber. and aides tell me that the soonest that could be taken up for a vote is friday that is the third phase of this stimulus after that, it is likely that lawmakers would consider this new request for about $45 billion in agency funding after that but aides i talked to this afternoon don't think that this is the last of the stimulus that they're going to see the congress had expected to break and to go home to their districts after these stimulus packages passed. but one aide i just got off the phone with said, this is probably not going to be all we need to do even so, it is clear that the treasury and the white house want to be able to move on to do that big stimulus package. and i'm told that the soonest

that could be taken up for a vote in the senate is friday tyler and kelly? >> all right so friday, again, kayla, i don't know about you, but don't you feel those flashbacks, '08 and '09. the importance of these votes right now to the market, right >> reporter: they are critical to the market, kelly it is evocative of that t.a.r.p. vote back in 2008, where it was the steep sell-off at that time that was really what scared lawmakers into submission. and even those that didn't like the content of the bill knew at that moment that they had to vote on it but looking back, kelly, at some of those levels. the sell-off in the dow on the day of the tapper vote was a decline of 7%. i mean, that is not even close to the percentage drops that we are seeing right now the declines are much steeper, the urgency is much more strongly felt. that is not lost on the lawmakers that i've talked to. >> more than 13% the other day kayla, appreciate it coming up, senator elizabeth warren will join us from capitol hill to discuss this coronavirus

outbreak and washington's response what she thinks the government should be doing about it and meanwhile, kelly, the bond market holding up just a bit today. santelli, that would be rick, is at the cme hi, rick >> hi, tyler you know, just looking at where the yield curve is set up is so enlightening two-years are down three basis points, tens are up ten basis points, and 30s are up a baker's dozen, 13. you see the steepening the long end, maybe there's a religion with respect to debt. there's a price to issue debt, especially debt that's being issued after we have boat loads of debt already issued globally. and as you look at a chart of ten-year since the monday lows of 31, here we sit basically up 400% from an intraday perspective, of course, and we still haven't gotten to the 5:30 a.m. 22 level, but we're getting close. ty vix, like the vix for stock market for ten-year. going back to 2007, we're hovering just under 14, which a cycle high almost equates to

2008 so euro versus the dollar, 108 today is the low if it was a little lower around 1.07, we would be back to the lowest levels. pound versus dollar, lowest level since 1985 and finally the dollar/yen, what a reversal just since the 5th of march, look at that bounce. it went from cycle lows that took you back to 2016 to almost freshly where we closed the year big bounces. the dollar seems to be king and not necessarily for good reasons. dollar funding is a huge issue globallily tyler, kelly, back you >> stocks tanking with the dow now on pace for its lowest close since december of 2016 yes, 2016. as bob mentioned a couple of moments ago, last hour, bill miller said this is the buying opportunity of a lifetime. >> there have been four great buying opportunities in my adult

lifetime the first was in 1973 and '74. the second was in 1982 the third was in 1987, and the fourth was in 2008 and 2009. and this is the fifth one. i think this is an exceptional buying opportunity i don't mean to put all the money in it at once, but i think layering it in right now is the way to go. >> let's bring in david kelly, chief global strategist at jpmorgan asset management. john bellos is with western asset management david, let me begin with you is bill miller right >> i think it is a buying opportunity. i don't think it's as good as the buying opportunity in 2008/2009, because i think we have a long way to go to wade our way out of the social distancing recession here. i think 2021 will really be the year of recovery i don't expect to see a significant economic recovery that year. but i think he is generally right, though, because we have

seen stock prices come down very far. we've seen valuations come down. and we will see the earnings will be atrocious this year. but the idea is basically to keep the economy in sort of suspended animation. and that's where you've got fiscal stimulus all about. keep workers basically getting by, keep businesses basically from going bankrupt, until you get a vaccine. and once you get a vaccine, this will be very u-shaped. the economy will bounce back with a lot of energy in 2021, once we have a vaccine in place. >> remind me, david, we're now down about 30% or a little more off the highs of the dow what was the dow's haircut during 2008/09 50%? >> i know the s&p 500 was down 53%, peak-to-trough. >> you expect that kind of haircut this time? >> no, i don't think we'll see

quite that much. i think this market is relatively cheap people always ask me, was that the bottom that's not the right question. the right question for long-term investors is looking at bonds, looking at stocks, looking at cash right now does it make sense to be overweight equities relative to fixed income it probably does i know it's a scary time but certainly, you know, i think people need to recognize that if they haven't rebalanced, they are now underweight equities, because their equities have taken a she lallacking and on a long-term perspective, the economy will bounce back, we will get past this eventually, and there's a lot of values this company in the long run that markets are discounting today. >> clearly, the market seems to be pricing in a steep recession at the very least. what are the odds that this economy goes into a prolonged depression >> well, one thing i've been struck by is just the speed and forcefulness of the policy response it's just been incredibly quick. think about this

lehman brothers failed in september of 2008. it took the fed three months after that before they finally cut rates to zero. this time, the fed cut rates to zero in less than two weeks and two inter-meeting emergency cuts, nonetheless. they're very, very forceful. on the bond purchases, they're purchasing over double the pace of previous qe programs and there's essentially no limit to how many bonds the fed can buy so the fed's response here has just been incredibly quick -- >> but the market isn't buying it the market isn't buying it, literally. >> so clearly, the reason the fed is doing that is the economic emergency that we're facing is acute, it's severe, and it's largely unknowable, how deep it is i thought jerome powell was quite astute when he said, we're not even going to write down forecasts right now. it's just unknowable yes, there is an unknowable nature to this but i think the fed's response does matter and once we get some economic normalcies, some type of moderation, it's going to be a really big deal. you have the fed that's

involved, they're involved in serious way. you're getting fiscal policy in a serious way, and once you start to see demand normalize, and i tend to agree with the other speakers that you've had, that eventually you will see demand normalize, the combination of normalizing demand and an incredibly forceful policy response is going to be a very different atmosphere than what people are used to. it's a very different atmosphere from where we are today, but also a different atmosphere where we were yesterday. the combination of a forceful policy and demand firming. >> the dow is down now 2,000 points, which is close to 10%. david, i want to listen to -- i want to have us all listen to a comment from mark cuban earlier today on buybacks. listen up. >> no buybacks not now, not a year from now, not 20 years from now, not ever. because effectively, you're spending taxpayer money to buy

back stock and to me, that's just the wrong way to do that >> this is not no buybacks for all companies, david, but for companies that take federal money to stabilize themselves in the wake of this coronavirus setback. what do you think of that? >> well, i think it's a silly comment, to be honest. i think that it's -- buybacks are another way of distributing income i don't think companies should really be buying back stock in this environment, but, you know, are we going to say that they shouldn't pay out dividends also i think what we need to do is be logical and sensible and quick about doing what we need to do to help companies with these small businesses, medium-sized businesses to help workers but i think this idea that we're going to put all sorts of restrictions on what's good and virtuous and non-virtuous corporate behavior at this point is just a bad idea it reminds me a lot of the punitive approach to banks in the middle of financial crisis, which frankly made it worse. there's nothing wrong with

buybacks if you can't think of anything good to do with the money, give it back to shareholders. i think it's an easy target, an easy punching bag, but it's really not relevant. >> don't you think that a lot of the companies that engaged in buybacks wish they had some of that cash right now? >> yes, some of them do. but some of them don't some companies have been doing buybacks as opposed to handing out dividends, because it proved to be a more tax-efficient way of doing things. and frankly, companies have been very profitable for many years in the united states and buybacks are simply one method of returning cash to shareholders theoretically, they're no different from dividends except for this a buyback, you can start and stop your dividend, when you change your dividend, it sends a message to the market. so companies -- buybacks are kind of like bonuses you can raise them in the good times, but cut them in the bad times. and i think companies are going to cut bang ck on buybacks, but don't think the government

should be writing that into legislation. >> john quickly mentioned everybody. the price action in boeing, the stock today is down 27%. it's currently right about those levels john, obviously, this is important, you know, not just for that country, for the whole economy. it's critical to know what's going to happen here in terms of a backstop and what that's going to look like i don't know, john, if you want to add a thought on that >> well, you know, i think that's certainly part of what they're considering. i think the problem is a little bit bigger than that one company. you're seeing a lot of stress in corporate bond markets more broadly and i think the fed, one of the really important things over just yesterday is the fed has already started being more involved in credit markets their commercial paper funding facility, the primary dealer funding facility, both allow them to be involved in corporate credit and i think that's the direction we're going. i think we're going to see more of that. whether that's a facility where treasures are taking a first loss position or some other

arrangement that involves a coordination between fiscal authorities and monetary authorities, i do think that's where we're going. another thing here, kelly, you mentioned this earlier, was changing the federal reserve act, to allow the fed to buy corporates i think there's stress in corporate bond markets i think this is bigger than boeing it's a broader market phenomenon, and i do think that if there's a need, the fed will find a way to support those markets as well. again, i'm just very struck by how forceful the fed's response is and i think we're liable to see more, if we need it, rather than less of that going forward. >> and as you're talking, john, there's the dow below 19,000, a shocking plunge, right near session lows john bellows, appreciate it. a drop in the dow, which was briefly halted earlier today the selling pressure continues apace. >> a breathtaking slide in stocks so more so than in hotels. they are getting crushed yet again today as the coronavirus

puts the travel industry basically at a standstill. seema mody now with the drastic steps they are taking. >> tyler, incredible moves today. the hotel operators making the tough decisions to shut down a number of properties as it doesn't make economic sense to keep them open when occupancy levels are plunging across the u.s. in some cases, in the single digits that's what hilton's ceo chris nassetta told president trump he's seeing yesterday, and that's forced hilton to temporarily close hilton midtown and the capital in washington, d.c. among other hotels, both of those are not accepting from the foreseeable future as it actively looks to suspend operations at certain locations. today, pebble brooke, a hotel real estate investment trust that manages 54 hotels, announcing that it's letting go of 4,000 employees and expects to let go of an additional 2,000. the hotel industry now requesting $150 billion package to cover the 3.9 million workers supported by the hotel industry

that will lose their job if occupancy remains where it's at right now. that's according to the trade body that represents the hospitality agency 1.4 billion in revenue is lost every week due to the virus for these hotels they're sitting on double-digit losses over the last three months >> and marriott down 67% hilton down 53 and hayat down almost more than that. what is the occupancy rate right now? >> occupancy rate dropped 24% in the week ending march 14th so it comes out to around 54%. the average for the month of march is typically around 54%. but they're expecting more pain to come as all of these hotel reporterers review the status of hair hotels across the nation, view the occupancy levels and trying to make that decision about whether we should really keep them open

>> let's go to rahel solomon who has the details on what we've rarely seen in terms of everyone kind of having this hit them at once >> so when restaurants and bars across 20 states were forced to abruptly shut down, employment offices simply weren't ready in new jersey, governor phil murphy says they're seeing a record number of unemployment applications 15,000 claims on the 16th alone, a wave that crashed its system officials in new york say they're seeing unprecedented volume and at times more than ten times that of last week. the state is extending hours to try to manage this increase in applications so i spoke to a new york city bar owner yesterday who told me not only did he have to lay off his 25 employees, he's now trying to figure out how does he pay his rent one of many questions that small business owners are fa are faci

indefinitely the closure of restaurants and bars could impact more than nine million people nationwide. layoffs have been announced so far with the majority being in the leisure industry that number, that 3,600 number saying, that's likely just the tip of the iceberg back to you guys >> i wonder about the capacity challenge, rahel and as deep as it was, it was much more drawn out than it was now. i think it's important for people to know that these benefits are available, to go get them there's a federal backstop to make sure they can keep accessing the funds. but are they going to face just issues trying to show up in person or to use these services online >> i'm hearing from people who say they're trying to access these services and get on to the new jersey's state labor department website and they

can't even apply of course, those services are available and officials i'm talking to are stressing that point that they're doing everything they can to make sure they address these needs but there is that issue of actually applying, first things first. >> rahel, we appreciate it the big three automakers, and this is related, closing always u.s. auto plants let's go back to phil lebeau for more on the details here phil >> when we first reported this about an hour ago, there were a number of people who said, well, why didn't they announce this last night after turhe uaw and g three ceos got together. initially it was a partial shutdown and now it's a complete shoutdown. and perhaps it's because as they realize this visrus continues to spread, it makes more sense to shut down production altogether. what you're looking hhs the big three shutting down by tomorrow night. and then they'll be down for the most part all the way through march 30th, march 31st 25 final assembly plants here in

the united states. and this impacts about 150,000 uaw workers. and oh, by the way, it's not just the big three that are stopping production earlier today, honda came out and said that it will be shutting down production in north america. that impacts its four plants, its four facilities here in north america. and then there's the case of tesla. now, this is really interesting. tesla's fremont, california plant is one of the counties where they have basically not put a sheltered in place, but basically made it so if you're not an essential business, people shouldn't going there well, people were showing up at work today so it appears that the plant is still open by the way, we have reached out for tesla for an official comment here as you take a look at shares of tesla, like everybody, just getting hammered in this market. it will be interesting to see if they make an official call here in terms of whether or not production has stopped at that plant. kelly. >> okay, phil. >> and delta announcing a $2 billion decline in march revenue and they're going to cut capacity by op% as airlines deal

with this unprecedented crisis will airlines get a bailout, phil what do you say? >> the latest reporting from nbc is that there's three parts of the bailout, that the white house has put forward, including $50 billion for the airline industry so it appears that this is part of one of the packages that will ultimately be approved, though we have not gotten official exclamation point on that, that, yeah, okay, $50 billion has been set aside for commercial airlines the industry was asking for $8 million for the cargo operators. they're asking for $10 billion they might be part of another aid package. and when you look at the individual airlines, a couple of others, take a look also at jetblue, dropping today in which they say they have drawn down on their $1 billion term loan they took out that term loan last friday. they had drawn it down by monday an indication of how quickly the airlines are moving through their cash and trying to shore

up their liquidity also, united announcing last night that it's increasing its april scheduled cuts, going all the way up to 60%. and remember, it was just what, 50%, a few days ago. so we're seeing this with all of the carriers, as more people cancel flights, they're bringing down their schedule vs even further. >> phil, thank you very much now let's get to sue herrera for the very latest on the coronavirus. >> here's what's happening italy has posted its biggest daily death toll from the virus. 475 people have died since yesterday's report, bringing italy's total to just under 3,000 dead at this pace tomorrow, italy will overtake china for the highest death toll global deaths now number just over 8,700 worldwide confirmed cases are above 212,000. the world health organization chief is renewing his calls to test and trace as many cases as possible he says those efforts must be the backbone of the world's

response to the coronavirus pandemic switzerland is rationing common painkillers and anti-fever drugs to prevent panic buying. officials stress the move is not being made because there are shortages right now. the restrictions will last for six months and here at home, homeowners with mortgages backed by fannie mae or freddie mac will not face foreclosure or eviction for about 60 days. federal regulators have made the move to help those struggling with bills because of the coronavirus. story that our diana olick has been following you are up to date, guys kelly, back to you >> sue, thanks very much and since it's about half past the hour, oil has just closed up for the day. and i would say investors are relieved, but we know it keeps trading in the after-hours market and there you can see the decline of 25% one of the worst days ever for crude. in fact, the third worst session we've ever seen for wti. just over $20 a barrel right now, that's more than a $6

plunge since its lowest level in 2002 wti has been slammed by multiple factors. you have the coronavirus taking its toll just mo where to hide and a really rough session that's one of the things going ton in this market >> and there's the dow plunging 2,200 points or more than ten point. we are at session lows on equities and let's go back to bob pisani at the new york stock exchange a significant slide here in the last half, bob and what kelly was talking about oil, a part of a component of the generalized anxiety. when traders see stocks down all in a row, they say, that's not normal that means people are raising cash and that raises concerns overall here here's where we were about 12:30. bill ackman started talking and said, we need a 30-day spring break, you have to get very aggressive, close the whole country down, including the gm

facilities and the market started sliding on that. we did hit the circuit breakers a little earlier in the day. let's review those circuit breakers 7%, that already happened. that's gone. we have to stop at 13% we're down 10 to 11% right now that would halt trading for another 15 minutes unless 3:25 p.m. eastern time. then no trading a lot unless you drop 20% and then it would halt it for the rest of the day dow movers, it really is about a few stocks boeing is the main one here. hard to believe here, but boeing is about 220 points in the dow for the downside broke over $100 earlier today. chevron, amex, walmart and walgreens are the only two stocks that are moving on the upside but nike is down 12%, for example. and home depot is down about 12% or so and the overall concern here is not just cyclicals anymore, but the consumer and whether these companies are going to be able to see a significant amount of buying, essentially when many of them are closed al fairly broad decline, except for a few food companies and

grocery stores today >> good to see you, bob. thank you very much, bob pisani. and still ahead, bill ackman had some tough talk for president trump. scott wapner talked with the famed investor and he'll join us about why ackman is so very worried about the current environment and our response to it and domino's lower by about 4% today. domino's ceo rich allison will tell us how his restaurants are handling the coronavirus and social distancing. that is coming up when we return

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let's take a look at where the markets stand right now, if you dare, you probably want to send the children to another room, as you look at the industrials off more than 10% at 19,065 we were below 19,000 for a few moments, just a few moments ago. the s&p 500 down about 9%, as you recall, there was a 15-minute pause. if we go down 13%, i believe that's the number. there will be another pause. the nasdaq at 6749, down almost 8% comparatively doing better. the russell, comparatively doing worse. it is down 11.5%, below 1,000.

it is at 979 for the first time in years, kelly. >> more than a 40% drop from the highs. okay, in one of today's big interviews, our own scott wapner spoke with persian square's bill ackman about his warning for president trump and wall street if the president doesn't shut down the country for 30 days to deal with the coronavirus outbreak listen >> until a vaccine is manufactured, distributed, and injected, we will go through a depression era period in the country. take a look at hilton stock. it's going to zero, okay, along with every other hotel company, because every hotel will be shut down the only answer for the world is to shut the world for 30 days. the hotel industry and the restaurant industry will go bankrupt first boeing is on the brink, okay boeing will not survive without a government bailout we have to shut the borders, okay and then 30 days later, the

virus is gone in america, largely gone in america. and then we have to be careful, okay, for the next 12 to 18 months until we have a vaccine the other way we save lives is by saving the economy. the u.s. treasury does not have enough money to bail out every company. you can't borrow your way out of the problem. you can't lend your way out of the war. you've got to kill the virus the closest i have to the financial crisis is where i say, you know, bad stuff's coming but this was a feeling like i've never had. like there's a tsunami coming. corporate america is in shutdown right now, okay? it just doesn't know it yet. >> it was scary enough the first time, without the black and white and the music, scott people said that's why the stock market were halted, because people were terrified after he heard that interview he said hell is coming and he's buying stocks. >> and that's why, i'm going to be honest with you, kelly, at certain points during the interview, i felt like i wanted to go to the ledge and then on

other parts of it, i felt strangely uplifted in the same feeling, maybe others had the same feeling too i don't know he's very worried, obviously he talked about withdrawing large sums of money from the bank, saying he now walks around with more than 200 bucks in his wallet, but was going to the bank and getting out a lot of money because of what he said had to be done and the sense of urgency and fright in his voice was apparent to everybody, trying to get his message across and yet, being able to somehow step back and say that he was buying hilton, which he's already a huge shareholder in, even thinking that things are going to get so bad, he's buying starbucks on the way down. he has a high cons stracentrati consumer-led brands. and here we are, saying that he

thinks that i guess we'll come out on the other side okay, and he was willing to take that bet and buy stocks but the warning was dire, it was sobering, it was tough it was tough >> you know, let's talk for a second, scott, about what he said in his investments. because it's not going to be the part of this that everyone talks about, but it is important context. he owns hilton, he owns chipotle, he owns starbucks. already names here that -- and you tell me, what was his thought process about the market in general and about these names and the price action there i think you have to put a big, they're going to go bankruptcy and there will be these rolling bankruptcies if is the critical word we need to put here. if the government, if the president himself, who bill ackman was appealing directly to, don't all listen to his

warning that as much as we've done to this point, that it's just not enough. and that certain people in certain age groups are not listening to the warnings that dr. birx mentioned today, millennials, people who are younger than those who are deemed to be more at risk, they've heard the initial warnings of this overwhelmingly affects the elderly worse, is people were assuming that they weren't going to be having a problem. beaches were packed down in florida over the last several days we all saw those pictures. boardwalks of some people walking hand in hand and close together in other parts of the country. and i think it's a call to arm, if you will. he described it as wartime >> and you're right -- you're absolutely right, his audience -- i think it's fair to say, is not so much our viewers, it's the president, don't you think? >> i think it's everybody. to try to -- the president is

the one who needs to act as he wants. the investment community is, to spread the word. this is real, whether you believe it is as bad or could get as bad as bill ackman says, that's your own point of view, and you're certainly entitled to it but he least us with the thought that bill miller told you, that this is an incredible buying opportunity. one that we'll hopefully get to look back on some day, kelly, and realize that and witness that, because the government, the administration, the president did what he thinks is necessary and to use his words, it's to shut it down now >> all right scott, thanks. appreciate it very much. scott wapner >> all right we're going to move on now and hear from the ceo of stifel. banks battered citi down about 19%.

capital one down 21% si syncrony financial, down 21% mr. kr kri chefski, thank you f joining us how bad is it? >> look at your screen in terms of the uncertainty i find mr. ackman's interview on one hand doomsday and on the other hand buying stocks i found that, you know, i guess, interesting. here's what i want to say. you're showing pictures of people holding hands, and i'm speaking here from the midwest the american people understandt american people are doing fist bumps or sanitizing and social distancing let's not lose sight of the fact that a lot of the things that need to be done to combat this

are being done and being done significantly. so there is, you know, what is the objective of this? it is to flatten the curve and i believe that is being done i'm not a doctor do we need to lock everybody up for 30 days? maybe. that's for decisions above my pay grade. but i don't think that the american people aren't reacting and doing what they've always do >> i sense you're right. we live in the new york area, where there is a real multiplication of the number of cases. new yorkers are prone to not take things necessarily in the calmest way. midwesterns may be a little more prone to be calm about this. are you sensing a real falloff in commerce where you are, traffic, where you are changing of habits where you are?

>> absolutely. they're closing restaurants at midnight on thursday they've done it in illinois. there is a real effort to limit social interaction so that we can flatten the curve, which seems to be the objective. what i think about when i look at the market, there needs to be liquidity. i think the fed and the treasury are doing all they can to ensure that the markets stay liquid we need information, which is more testing, so that we understand what's going on but the most important thing from a market perspective, i will tell you, give the market bad news, it will deal with it give the market uncertainty and you will get a vix at 85 and this kind of uncertainty the market does not like uncertainty. >> this is the ultimate uncertainty, wouldn't you agree? because we do not know we do not know when it ends. we do not know how it comes back >> well, i think that what --

what i think the people have to be thinking at least is we need to think a period of time, and this needs to be tlikted, but take a period of time we are going to shut down the economy to battle the spread of this disease. we also need to say that there's going to be a point in time when the curve flattens that we're not going to shut down because everyone knows that you can't shut down the economy for a year the cure will be worse than the disease. >> let me just ask you one thing. i keep hearing, i think, intended to be reassuring, that the banks have never been healthier than they are today. they're in great shape they have capital like they didn't have in 2008. that's all good. if they're so healthy, why are they performing so badly >> well, i think that if you say that every company is going to go bankrupt and all the hotels and airlines and that the banks are not going to capital can be

dissipated pretty quickly in a doomsday scenario, it's not like the economy melts down and the banks are standing so i think all sectors are facing this. again, what appears to be, and i think it's television, i think it's a lot of things here, people need to use common sense. where i live, people are practicing what they're being told to do they're not going out, they're not going to restaurants they are limiting their social interactions that will have an impact on the curve of this disease. and when we start -- and i think it will be relatively soon, we will begin to see that we've flan flattened the curve. and, you know, i don't believe the world's coming to an end and if it does, you want to watch this interview anyway. so i just think that calm and common sense and the government -- here's the one thing that i'm upset about as an investor, we need the fiscal

stimulus i don't care what the heck the plan is at some point, get one announced, whether it's $1,000, 2,000, bailouts, whatever. the market needs some certainty and some action. otherwise, you're going to see the volatility continue to explode. and that's a message -- that's a message to washington. why we don't have a fiscal deal done, because there's some, you know, political partisanship, is ridiculous this needs to be announced today. and that would be my message >> and to illustrate what you're discussing, jpmorgan is out with a new -- i don't know if i should call it a forecast estimate for gdp for the year. the bottom line is this, 4% contraction in the first quarter, 14% contraction in the second quarter, then maybe it will rebound back half of the year only from that very steep contraction. do you think anything can be done right now to keep it from being that bay, including what you're saying? announce the number, get the checks to households, however

that money can be distributed, you know, go for it. >> well, look, i don't think there's anything that can be done to stop the contraction that's going to occur, you know, primarily in the second quarter. there'll be some, obviously, in the first, but i don't think there's anything that can be done what the question is, is can this end so that the economy can twin to rebound. i mean, the market has -- whatever the economic is for the next three months, the market has taken far more out of market values than what would be left in a vacuum. you know, i'm less concerned about whether there's going to be a recession i'm assuming there will be one i am, i believe that we need certainty and i think the message should be, and at least here from the midwest, i'm telling you, that people are doing what they're supposed to be doing and being told to do. and i believe that that we will look back and say, yes, this was the right response to flatten the curve. >> i think they're mostly doing that here in new york as well.

let me just close one question if i might i want to go back to bill ackman whose comments impassioned, as you heard. do you think he's right? do you think he's too alarmest do you think he's ridiculous how would you characterize those -- if you were sitting here talking to him right now, what would you say towell, i th, he's making the comment we need drastic action and i think he put it in a 30-day vacation for everyone >> he did. >> where i'm not sure that i agree. i don't believthat if everyone went home for 30 days, i think it would flat enthe curve. we don't irrad indicate the disease. we can't go back to everything i think this will be a continual development. so i don't believe that in 30 days the world would -- the disease would be gone around the world if everyone did that that's my own opinion. again, i'm not a doctor. i don't want to argue with him

too much i do believe that we are doing actions which are going to cause this to be handled i do believe that stocks will be higher, significantly higher a year from now. but we'll see. >> we'll leave it there. you may not be coach k, but you are ceo-k. >> stay with cnbc. we'll hear from the ceo, a legendary figure on wall street and in the american economy, sandy weill. he'll join us in the 3:00 p.m. hour to discuss the banks and market volatility. he has seen a lot. you don't want to miss it. >> tyler, restaurants are getting hammered again today as more shudder or turn to takeout. to help stop the coronavirus we have the latest on this state of play. kate, a lot of deep red on that screen >> that's right. the restaurant industry has been rattled as now 20 states limited service to takeout or delivery data from black box shows that nearly 70% of restaurants experienced a drop in traffic through march 13th

today the national restaurant association prejoeojected the industry would lose $225 billion in sales over the next three months which will prompt the loss between 5 and 7 million jobs some companies are able to lean heavily on the delivery systems as the virus continues to spread dominos, for example, instituted a contactless option with custom dropoff points for customers the company's ceo joins us now by phone we understand that you along with other restaurant ceos had the chance to speak to president trump yesterday. can you tell us more about that call and give us your reaction to the federal government's response to this crisis. >> sure. kate, we did have an opportunity yesterday to have a brief but productive discussion with the president and secretary. and took the opportunity as an industry to stress the important role that restaurants play in serving our communities. not only in feeding people but

also in employing folks as well. and the president and the secretary showed a good bit of support for the industry and an appreciation for the role that we play. the customer open dropoff points for customers. >> for us, we're historically here in the u.s. 55% of our transactions are delivery already. and what we've done here is as we entered through -- gone through this -- started this crisis, we really leaned heavily on the learnings that we've had out of china and japan and south korea, countries that are really on the forefront of this epidemic our partners have just done a terrific job developing procedures around contactless delivery so that we can continue to safely serve our customers

while respecting that social distancing that so important in helping our societies all over the world mitigate the expansion of this disease. >> so, rich, if closures are forced at stores, does the company have a plan to support both employees and franchisees >> so we've had had no closures in the u.s you know, one, two maybe we have had some closures across several of our international markets. >> we implemented already here in the u.s. some emergency sick pay in place for our team members. also, pay for our team members were they to be on a 14-day quarantine so we're going to put our team members first and foremost

alongside obviously the safety and well-being of our customers. kate, when we make decisions about when a store will need to be closed and how we would treat those that work in that store. >> ritch, if iould jump in for a second, it's kelly how much is business down, would you say? i would imagine dominos is one of the companies that could get through this as long as people can continue to order from all your restaurants but how much are we down now what is your worst case projection do you have the cash to get through it >> kelly, we're continuing to serve our customers, you know, through both the delivery channel that i mentioned earlier and also the other big piece of our business which is carry out. now we rolled up all the tables and chairs inside our stores so nobody is sitting in the stores today. but we do have procedures in place to safely serve our customers carry out either at the counter, at pickup windows in our stores or at the curb so because we don't have a

significant it sit down table service business, we can continue to serve our customers. to the second part of your question, you know, we enter into this period of time very healthy and the company very healthy balance sheet. and also, most importantly, you know, our franchisees enter into this period, you know, with very strong businesses and strong balance sheets as well and i would be remiss if i didn't say how proud i am of our franchisees. they have really jumped in and responded to this crisis they're supporting the team members and customers and then also as dominos franchiseees always do, taking pizzas to hospitals, food banks, doing everything they can to help. >> rich, we have to leave it there we thank you for joining us during this important time. >> thanks so much. >> yeah, kate, i thank you as

well quick break. stay right there we have a ton of breaking news on the other side of this look at the sector losers, energy is the worst, oil down to $21 a barrel, industrials, wnorth 1 awethose are the worst, do me an0%s ll stay with us tomorrow.

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crossed. it takes effect at 7:00 p.m. tonight. >> all right, thank you very much, kelly. it has been an amazing day and continues to be one. our breaking news coverage of the market turmoil continues as we move now into the final hour of trading. the low of the session, 20 minutes ago. >> welcome, everyone i'm joining from you home as we attempt to social distance here at cnbc. continuing to bring you the most important market moving news let's look at what is driving the action sharply lower in this final hour the selloff resumes on wall street as more governmen