i'm afraid that one day it will implode. >> thomas peterffy of interactive, it's always good seeing you and bob, thanks for bringing it to us. we'll see you both a little while later. good wednesday morning, welcome to "squawk alley" i'm carl quintanilla with jon fortt and morgan brennan watching the markets closely s&p up four straight, dow up three straight highest since march as the market looks past u.s./china tensions as the u.s. bans flights from china beginning mid june we'll start with battleground state voters and how black and white communities are living in two very different worlds. steve liesman has that >> yes the survey done with change

research finds very different experiences of black and white americans when it comes to the economy and the shutdown and the coronavirus. and these different attitudes come from very, very different experiences. looking at views on the current state of the economy, you can see that 28% nationally see the economy as excellent or good right now. that's the same number as you have for white americans black americans 5% view the economy right now as excellent or good. that's reflected in some of the economic data we've seen that shows that african-americans have been hit harder by the shutdown similar attitudes by -- differences about the outlook. 38% of americans nationwide are confident or somewhat confident in the future. black americans, 16% are confident or somewhat confident in the future. perhaps reflecting the differing economic experiences right now a lot of this comes from different experiences with the

coronavirus itself 92% of african-americans are concerned or very concerned about the coronavirus compared to 69%, which is still pretty high, but coming down nationally here that comes with this very interesting information we have about the personal connection of individuals to the covid virus 50% nationally say that they themselves have been diagnosed or know someone close that's been diagnosed, that's 61% for african-americans. what accounts for that difference we know the morbidity rate is different, the co-morbidities for african-american and we know that living conditions are different, public transportation is different as well as lack of health care. there was a report that came out from the new york city office that showed that 75% of front line workers are people of color, that may be a reason why

they experienced a different covid attachment or connection than other people in the united states, carl. >> steve, i will take it a question for you i know no survey is able to ask every question, but i wonder the degree to which you can tease out the issue you mentioned there at the end, the type of work that black americans and other people of color are doing particularly in cities which are hardest hit and whether it's a type of work issue and how much of it is a race issue? >> i think it's both, jon. we can't tease that out from the survey itself. i looked at other literature about this issue, why minority communities have been hit harder you can imagine the situation what happens is that frontline workers go to work and they come home and pass the virus along to loved ones at home that's a process that i think

you probably what's been happening now. the idea they've been forced to leave their homes whereas people who have jobs that they can work at home, they don't have that issue. i think that's one part of it. we also see interesting anecdotes about what's happening. there was a story out of louisiana, for example, where they set up a drive-in testing facility and a 90-year-old woman walked up. they realized, wait a second, maybe our testing facilities are not where people are and requires a car to get them so louisiana changed that. that's another thing where they're trying to address these issues of different impacts in minority communities. >> there are different impacts i know that i have personally been touched by this a family friend growing up, gave me my first computer at age 9 passed away, and a group men's church leader as well. >> sorry about that. >> thanks. it's hitting so many of us hard. joining us to discuss leadership

in our national crisis is carly fiorina, former ceo and 2016 presidential candidate >> good morning, how are you >> i'm doing well. talking about leadership i want to talk about it from a national perspective president trump is trying to extend executive authority, whether it's threw potentially invoking the insurrection act, the order involving social media or pushing states to open their economies when governors may not be ready yet what's your take on that, the balance behind asserting leadership in a time of crisis and pushing too far? >> first, i have long said and long believed that power concentrated is power abused so i am never in favor of the concentration of power for the purposes of exerting it.

i have also long said that the exertion of power is not the same as leadership it's not to say that leaders don't have power and should use that power judiciously and well, it is to say that leadership, particularly in a crisis, begins with the leader understanding that their role is to serve others a leader's role, particularly in a crisis, is to solve problems a leader's role, particularly in a crisis, is to change the order of things for the better and so, simply by exerting power, if you're not serving, if you're not making things better, if you're not solving problems, but exacerbating those problems, that isn't leadership. i don't care whether you're the president of the united states or a parent or a ceo leadership is about service, problem solving and changing the order of things for the better. >> okay. now i want to ask about the

corporate leadership perspective. if the core issue here -- maybe you don't think it is -- is one of police conduct, whether in this country it is fair, whether it is consistent, what then is the role of corporations you think in addressing that, beyond issuing statements >> let's step back for a moment. i know for a fact that businesses do incredible work that help communities. i serve as a board member of cecp, ceos for the encouragement of corporate purpose i know how many member companies are doing good work. i know through my own foundation we work with corporate partners like american express, mass mutual, who are investing in communities have been doing so for a long time and encouraging and enabling their employees to be mentors to community leaders. having said all that, prior to the riots, we know that trust in business was low

we also know now as a result of covid-19 that trust has deteriorated further prior to the riots, we know that communities were devastated by disease, by death, by lack of access to health care, by unemployment, by poverty and now they are racked as well by division and destruction so there is a huge role for business to demonstrate that the statement jamie diamond put out on behalf of the business round table last year is true. that statement said, companies must compare more about communities and employees and customers equally as they do about their profits. and people don't trust that's true i would encourage businesses to think about this period of pandemic of economic stress of racial injustice and division as an opportunity to demonstrate, not to declare, to demonstrate, that they actually are committed to their communities, to their

employees and to their customers. >> carly, if businesses, if corporations, can actually demonstrate that and begin to enact change, at least from the private sector standpoint, is that enough to actually structurally shift the playing field from a socioeconomic standpoint within the country or does the federal government need to get involved in the that for that to become a meaningful, lasting change, and if so, how does the government get involved >> the short answer to your question is, business alone is not enough this will require all of us. it will require business, it will require citizenry, it will require community leaders and nonprofits and the social sector and it will most assuredly require the federal government as well as state and local governments. so let's start with some obvious things and i've tweeted this in the last couple weeks.

police reform is long overdue. it needs to be tackled honestly, i think one of the most important things that president trump could do, if he wanted to demonstrate leadership, is to gather the national governors' association on a phone call and instead of talking about dominating the battle space and dominating people, instead say let us work together to enact long overdue police reform. some of that has to happen locally and some of that can be accelerated by legislative action so there absolutely is a role for government and there are things the government has done over the last several years that have made police reform harder not easier but the short answer to your question is, it takes all of us. business for sure, government for sure citizenry and the social sector for sure as well >> you know, carly, mick

mulvaney was on our air earlier and he said prior to covid you had elements of justice reform. >> yes. >> you had historic unemployment low among black communities. what more should have been put into place or was there no solution that was going to be an offset to a pandemic like the one we're in >> so, let me say first, i applauded at the time and still do, the criminal justice reforms that have been undertaken during the trump administration they're a long time coming the criminal justice reform that has been enacted however is necessary but not sufficient but it didn't address police reform. what we know is that this problem is so much more long-standing than simply the trump administration we're business people so we're driven by fact and data. the facts and the data are crystal clear. black americans, particularly

black men, are not treated equally under the law. that's a fact, it's been a fact for decades. so we have to get about fixing that it's also true that prior to covid-19, african-american communities in particular, did not have adequate access to health care. did not have adequate access to a quality education. did not have adequate access to a food supply. not to mention the fact the kind of work they were doing. so again, prior to covid-19 in southeast washington d.c., just as an example, the life expectancy of an african-american male is 27 years shorter than the life expectancy of a man -- i'm sorry, 10 miles away and that isn't because they're getting shot, although unfortunately many are, it's because they don't have access to all those things i talked about, health care, quality food, education. we have systemic inequality, that's a fact.

the data is crystal clear and police reform doesn't solve all of it but it's a big part of it. >> i hear you and an interesting thing about this to me, listening to me, you're clearly a republican, you were a republican candidate for president. a lot of the groups that are saying the things you said, data based, fact based, are left leaning groups where does a republican go to push for changes if one thinks that's important to do in the midst of this, without being seen as abandoning party affiliation? >> let me say first, i don't care about abandoning party affiliation. i don't think that's where citizens' loyalty to lie, actually i think citizens' loyalties should lie to each other, our

community, our nation. so i'm untroubled by many people think i'm a disloyal republican, and many people do, and i don't think trump represents the republican party that i first joined so just in full transparency let me say all that. however, what i would say is, i'm a person who believes that every individual is filled with potential for life, liberty and the pursuit of happiness and to make a positive impact i'm a person who believes that the people closest to the problem actually understand best how to solve that problem. that's why i believe we need to disperse problem solving capability and resources out of washington d.c. locally. i'm also a person who believes that power concentrated is about power abused if you believe those things, i think, you cannot believe that this country has achieved our

highest ideals you cannot believe that everyone is treated equally under the law. you cannot believe that everyone has an equal opportunity to succeed. you cannot believe that everyone is equally educated. you cannot believe that george floyd would have been murdered in broad daylight, in front of witnesses, had he been white >> i think we would be surprised what people can believe if they try hard enough. but i appreciate you expressing your view, whether viewers agree with it or not, so clearly carly fiorina, former hp ceo and 2016 presidential candidate. thank you for being with us. >> thank you. after the break. what bill nygren is buying session highs with the dow up about 400 points ayl rhtack. st with us

welcome back with stocks at session highs we're turning to this morning's market action. the s&p and nasdaq up for the fourth straight day. let's bring in bill nigh grin of oak mark. >> thank you for having me >> there is this disconnect right now between the markets when you see the nasdaq, 100 less than .5% from its february high and the economy given som

of the really difficult data we've been getting and from a societal standpoint, social unrest, how do you see the disconnect >> i think if you look back on maybe the last three times the market has gone through a really tough spell, you had in the late 1980s, when value was very out of favor and that was more a disconnect in the market between cheap stocks and value stocks. something similar in the internet bubble around 2000 where businesses had low pes and technology businesses had very high a decade ago in the financial crash it was different the whole s&p was very cheap relative to trend earnings i think the situation we're in right now is more reminiscent of those older bear markets than what we went through a decade ago. i think it's hard to argue the

s&p is undervalued here. within the market you have banks stocks selling at four or five times trailing earnings and you have other businesses that are at multiples in the upper double digits it's hard for me to imagine a world where the s&p is worth 18 times earnings and a bank gaining market share, seeing expenses go down isn't worth more than a quarter of that multiple. >> that's such a key point because there is the broader market right now and the moves we're seeing there but when you look under the hood and dig down among sectors and companies, there are a lot of disparities here that's why i wonder what you think of rotations we've been seeing here, some of the particularly hard hit stocks, airlines, retail, et cetera, that seem to be getting a bounce right now, although still admittedly very, very much

beaten down year-to-date on these reopening hopes. is that where you see value right now or where would you be investing? >> i think that's where the value is when we ended 2019, we thought the economy would likely stay moderately strong, as it had been for the past decade that based on that forecast there are a lot of industrial stocks that were cheap banks were very cheap. and we thought some of the commodity stocks, including some of the oil names, were also cheap. obviously that was not the place to be invested in the first quarter as we went into a severe recession scenario caused by covid. i think as the news on covid keeps getting better and you can start to see a path out of the recession that we're in, those same names that looked cheap at the end of 2019 that were miserable performers in the first quarter have been some of the best performers since the bottom and to us still look really cheap

a name it seems like i talk about every time i come on here, ally financial, it was selling at 30-some dollars a share around the end of the year, expected to make like $4.5 in 2020 at 18 it's still only four times the number they were expected to earn before we had to mark up 2020 chargeoffs due to covid i think by 2021, 2022, this is going to show it is a very, very cheap stock and most of the other banks are similar. >> bill, i wonder how much of this is just a question of where else do you have any hope of getting return you look at the market, you raise the question, hard to imagine a bank is appropriately price at 6 times when the s&p is at 18. but also, from where i sit, it's hard to imagine a world we have interest rates of 5% or above.

so why put your money into a company that makes money off of interest >> i think the banks are showing they don't need 5% interest rates to attain profitability that makes them look very cheap. like i said, a company like ally made almost $4 a share last year, during a year when t-bill rates tended to be around 1% yes, they would benefit from a modest increase from rates from this level, but spreads for lending, car loans, credit card loans, mortgages, are all higher than they were when interest rates were higher and i don't think the banks need high interest rates to earn good return on equity >> i wonder what you think of tech stocks right now? today the internet, etf, tech software, igv, all new fresh intraday highs in trading. certainly these have been the

types of stocks and names that investors have piled into. do you see opportunity there or do you steer clear given the valuations >> the term technology encompasses such a broad area today. >> fair point. >> it ined clues companies like master card and visa, which we think of as a toll on consumer spending we own those names it includes companies like netflix, alphabet, which we think of as advertising and subscription based media we own both of those names we don't think gap accounting does justice to the business value being added there. what we don't own much of at all is technology equipment companies, you see pe multiples well above the s&p 500, and growth rates that we don't think are deserving of such high multiples. you have to be careful when you

use the word tech stocks >> bill nygren thank you for joining us today. >> thanks. the dow is surging today, up 1.5% s&p higher by more than 1% nasdaq lagging those a little bit but still up more than .5% we're going to take a quick commercial break stay with us a grandfather of 14. a newlywed... a guy who just got into college... that's why behind these masks, johnson & johnson scientists are working

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sima has the breakdown. >> we're set to close at the highs of the day, up about 2 to 3% across europe as lockdown restrictions continue to be lifted across the continent. starting today, italy is allowing citizens from the european union country to enter without a 14 day quarantine. economists expect foot traffic to be slow in comparison to last year but it's a hopeful sign for an economy that generates 12 to 13% of gdp from tourism. european stocks are up 37% from the lows in march. germany which has recooped 50% of the losses since the lows tomorrow the president of the ecb is expected to increase 750 billion. it's predicted a 60% likelihood

the ecb will increase it by 50 billion euros. boeing will provide financial impact for the crowdings and credits to tui for the boeing. >> it's time for a news update we turn to sue herera. >> good morning, here's what's happening at this hour defense secretary mike esper is backing away from his controversial calls to governor monday to dominate the battle space. saying the word is part of military lexicon, but he should have put it differently. pope francis broke his silence on recent tensions in the united states calling for national reconciliation after the death of george floyd. francis says he is praying for all who have died as a result of

the, quote, sin of racism. thousands of londoners streamed into hyde park today to express coda solidarity but many pointed to inequalities within british societies. and frank rizzo's statue was removed. that's the news update at this hour carl, back to you. >> sue, thank you very much. we will keep our eyes on the markets this morning as boeing in particular continues to gain steam now up 9%. that's a big reason we're not only holding 26k, dow up 412 up at least half a dozen sessions of the two day moving average. feels like there's no barriers between departments now.

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welcome back questions for business openers on insurance over looting and

property destruction the insurers bracing for a lot of phone calls contessa joins us with more. >> morgan, get out those policies because the details matter here. each policy is different let's talk big picture you've seen the video of burned out cars, the insurance information institute said that damage is covered as long as the owner purchased comprehensive policies how about the fires or smashed doors and windows or graffiti, damage resulting from riots typically would be covered under property policies. hip la boutique's kipson got looted over the weekend, the owner estimated he lost $400,000 in merchandise he said his policy specifically covers looting but he hasn't been able to get a police report yet which his insurer the

hartford asked for. >> coronavirus you were working with your vendors, here we're at a level we boarded our stores up last night in the area, all the retailers did, we got guards and we had to get guards with weapons. >> right now that means customers can't get in to buy, let's talk about business disruption the hartford told us a standard business policy covers the loss of income if the income loss results from physical damage to the premises caused by a riot or civil commotion. how do you prove loss of income if your business has been closed down because of coronavirus? marsh's property claim says insurers have to be innovative here, quote, we may have to treat it like a newly formed business in every case you need to report to your insurer asap and gather

as much documentation as you can. carl >> a great set up for our next guest who's a small business owner. located in minneapolis it's palmer's bar. he boarded his business with a sign that says black owned business in an effort to curb any looting and property destruction. tony joins us this morning thank you for your time. >> thank you. >> we feel for you because you were, in fact, closed because of covid-19 you were hoping to open later on in the month i think you're not far from the epicenter of the riots what led you to put up that sign, and do you think it helped in any way >> thursday morning i went down to the area where the third precinct is, about a mile and a half from here, i wanted to see it firsthand i noticed a couple small restaurants covered in broken

windows with signs that said minority owned after seeing the devastation, i came back i have to board it up. and it was an afterthought i should put that on my business, it's true. i put black owned business without thinking, because at the time, this was before we realized there was a lot more, the white supremacists in town, then i was like did i make myself a target now, whoops, by having the sign up just in solidarity now every business down this block, predominantly minority owned has blacked owned business on the boards after i put mine up >> so at this point, as we all try to take the temperature of the country and in minneapolis, of course, especially so, what kind of assumptions are you making about reopening now is this something you think you can still do this month? >> i do. absolutely i think -- i was waiting

initially just because -- june 1st is when in minnesota we could open bars and restaurants, patio only i have a large patio, fortunately. but i wanted to wait a little bit and see what's working for plac places, not working, best practices, essentially and then now -- now it feels smart with the protests, demonstrations, covid is still a thing so i want to wait and watch for a flare up and see if we get that spike they think there's going to be. >> tony, good morning, it's jon fortt. i wonder what you would say to the group of people out there who say hey these businesses have insurance these rioters want to express themselves what is the real impact that you feel, insured or not, when somebody damages your property and how does it affect your ability to do business going

forward? >> the easiest and i think the best answer, truthfully, it's a building, it's an historic and old building, but the wendy's and auto zones that burned, guess who worked there, folks that live in the neighborhood. yes, target can rebuild a target, suddenly two weeks ago they were heroes being opened for this, now they don't have a place to go so they're back on unemployment and such. really the impact you're making is very direct to your neighborhood people live here, people work here you burn a laundromat, no one can wash their clothes in that area where the third precinct is, is now a food desert the alty, target, food grocery store is gone. restaurants are all burned it's kind of a real disaster, really, for the folks especially right in that area >> tony, it breaks my heart what you're describing right now and it breaks my heart when you did

board up your restaurant you had to identify yourself as black owned. there's a different between looting and protests and when you see destruction of property like that you hope it doesn't happen to anyone's business or the community at large because of the damage that has on so many in that community. i'm just -- i'm wondering, given what we've seen over the last couple of days, in your area, what has it been like actually on the ground? has the worst of the actual looting started to pass? what are the conversations you're having with your employees and your potential workforce as you do start to think about reopening later this month? >> on the ground, i told a friend of mine, during the day it feels great it feels like it's sunny, beautiful out. i live five minutes away from here, and there's college kids playing frisbee and that but reality is, everything is still boarded up i think we haven't seen much in minneapolis in the last two

nights as far as looting and rioting, we had a lot of rain yesterday, but what people are talking about now is police action and i'm -- i'm very -- i'm not anti-police whatsoever but you keep seeing these incidents of kind of these flare ups and the weird heat over arrests that are maybe a little too eager. so that's something that's pretty -- on people's minds down here but overall, i hope it's not misguided but there's definitely a sense of the worst is over as far as this goes. and then it's how do we rebuild. and my friends ask how i'm an ally to the black community, and i don't know i don't think in those terms. >> it probably starts with communicating the way you are right now. you just had your two-year anniversary as the owner of palmers, although the bar has had a long history in

minneapolis. you've lived in minneapolis your entire life. we keep hearing that people are fleeing american citizens because of the tension do you plan on moving away >> none at all this is where i was born, raised and i'll be. i own a 114-year-old bar, and i was able to do it and keep it open during this i'm proud of this state, this city >> tony, the next time any of us are in minneapolis we're going to palmer's first, hope to see you in person one day. >> i would love that thank you for your time. thank you. >> thank you and now let's get a quick check on where we stand in today's trade. the dow is higher by 425 points, that's 1.65% s&p up by about 1.2% nasdaq lagging, up .65%. we're back in just a moment.

closing high for the nasdaq 100 is 9718 and we're not that far away thanks to gainers like this, united airlines up 11. micro chip, nxp zoom, no surprise there, expedia. we'll keep an eye on that. we're back in just a minute.

welcome back cnbc's new states of play survey is looking at how many people would likely get a vaccine for

covid-19 when available. meg has the results. i was surprised how low the number is, of how many people would definitely get it. >> jon, the number is probably not as many as public health officials would like exclusive new data from cnbc and change research showed that just 38% of respondents nationwide say they'd get a vaccine if it becomes available while 16% said probably would, 21% said definitely not this is a poll focused on voters there's a difference based on party affiliations democrats more likely to say they'd get a vaccine, 56% versus just 18% for republicans 41% of republicans said definitely not now the numbers overall aren't too different actually from the rates for seasonal flu vaccines, just less than half of adults

typically are vaccinated for the flu each year according to the cdc data, while the rate is higher for children. but the 54% of people who say they definitely or probably would get a covid-19 vaccine is still lower than estimates of what's needed to reach herd immunity that's when enough people have a vaccine or are recoverying to protect everyone else. reluctance around vaccines is something that public health officials like dr. anthony fauci are already discussing how to approach. >> you have to have community engagement you have to have health officials, community officials, reach out to the community to try to explain to them the importance of getting vaccinated and all of the hoops you have gone through to assure safety and to assure efficacy, which we will do very carefully

>> but, guys, these numbers do show that could be an uphill battle morgan >> yeah, we're going to have to see how that plays out i also wonder what antibody testing -- the role that is going to play, people walking around thinking maybe they had it but maybe they didn't thank you for breaking that down for us. it's one of the top stocks of 2020. it's up 200% year-to-date. we'll break wndo zoom videos first quarter. that's coming up next. stay with us quadrupled their money by 2012? and even now, many experts predict the next gold rush is just beginning. so call us money reserve, the only precious metals organization led by a former director of the united states mint. as one of the largest us gold coin distributors in the country, us money reserve has proudly served hundreds of thousands of clients worldwide. there may have never been a better time to start diversifying your assets

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our next guest, though, says growing competition will like push them towards a free model jason calacanes is with us great to have you back good morning >> it's great to be here >> so growing competition for these guys it seems like they've already had their fair share, just from f.a.a.n.g. alone what more do you see >> well, i think they've woken up the sleeping giants and zoom just an absolutely brilliant product. it's really the continuation of what we call in the industry here at silicon valley the consumerization of the enterprise slack is part of this movement and it is to make products that are as easy to use as a consumer product. so face time and zoom feel more similar than a cisco or a go to meeting or even google hangouts. and you look at the founder authority in that company. the founder has been able to make a brilliant, easy-to-use

product that just works on all platforms. and then google and skype, you know, google hangouts, they've had this massive opportunity and they've absolutely blown it. and it's really inspiring for founders to know even against these juggernauts, if you make a transcendent product, and that's really what zoom is, they will just take on a life of their own. and what we've seen is this quick education people have gotten in how to set up a home studio and how to do video conferencing properly during the pandemic so this crisis has just obviously caused a massive tailwind for them and i think the other competitors will respond. they'll put somebody in charge of google hangouts or skype who knows what they're doing no offense to the people who have run those businesses into the ground or sideways, but they need to be replaced by somebody to make them better products and i think, you know, i was very concerned about the company having service in china, developers in china.

i don't trust any software or hardware made in china nor should anybody who hears my voice right now. that includes huawei, previously zoom, which i think they fixed the problem really well, and tiktok, right? we should not let our kids on tiktok or any chinese-owned apps, because it is a real security issue >> jason, before you go on, just a quick look at your screen there. warner music group has opened for trade. the biggest ipo of the year, now at 2776. of course, the original target was 2326, having priced this morning, because of the move of solidarity from the music industry yesterday david talked to the ceo earlier this morning we're going to definitely watch that trade all right. but your view on zoom is that they overcame some of those early stumble, but what would be the implications of having to go to a larger degree free? and what do you make of these gross margins that have come down as the cost of revenue has gone up? >> yeah, it's going to be a challenging business because right now it's a feature, right it's a feature of slack.

it's a feature of g mai-mail, i feature of cisco's product line. in other words, if you're making a big profit, we'll make it for you and make it on some other products they need to continue to make the product indispensable, the industry standard. and i think if they charge a relatively modest price for it, i think the prices are pretty modest and they may want to lower the prices of it to just make it impossible for somebody to displace them i'm long zoom, obviously, the valuation is very rich for a company that's, you know -- i guess they doubled their guidance, which is extraordinary, in and of itself. but, you know, is it worth 30, 40, 50 times their topline -- there's plenty of analysts here who will be able to chime in on that but it's a very rich valuation >> jason, i'm wondering -- good morning, by the way. it's john. >> good morning. >> i'm wondering if you're long warner music group it raised $1.9 billion in this ipo. and if you had told me a couple

of years ago that one of the big three recording companies in the music industry would raise anything close to $2 billion, i would have thought, nah. and even now with spotify investing in podcasts, not in music, particularly, is this a really smart bet that maybe has been overlooked over the past couple of years? or is it something else? >> yeah, no, i wouldn't go anywhere near it >> because >> yeah, i just think the music industry is super challenged obviously, you know, they had pinned all of their hopes, the music industry, on touring and merchandise and obviously touring is going to be challenging for the next year. so i wouldn't see any reason to jump in there. i think spotify is a really legitimate, aggressive, well-run company. again, when we talk about founder authority, if you look at zoom, if you look at slack, if you look at tesla, you cannot make zoom, you cannot make slack, you cannot make a cyber truck without that founder authority. and daniel ek from spotify falls into that. i don't know of anybody at

warner music who will be able to make a transcendent product that connects with consumers. i highly doubt it. you very rarely see someone who's not a founder make a product that the world falls i love with. so i like to look for the companies that are going to be gigantic in ten years and will continue to exist. and i would not put warner on that list. >> jason, it's morgan. speaking of founder authority, facebook, obviously -- >> oof >> -- a hot topic of debate and controversy right now both within the company and within society at large i want to get your thoughts on that, especially given the fact that i did see your tweet about funding of potential alternatives what details can you give us on that front, too? >> yeah, well, i have never trusted zuckerberg i think he's bad for the industry i think he's bad for society and we've proven that out. he does not have the moral compass or just really the ethics or morals to run something at this scale. it's not in the best interest of

democracy for him to be in charge of so many users. the reason he is cozying up to trump and taking trump's side is because he wants to buy the next instagram. because, let's face it, zuckerberg's never created anything original in his life. facebook was a copy. instagram, he bought whatsapp, he bought. and then stories, he stole from evan spiegel i think he's a thief who just steals other people's innovations and executes brilliantly on them. but there's a reason why he got a $5 billion fine, the largest in industry from the fdc, and previously had the record before that and if you've seen the movie, he screwed over his co-founders and if you look at the instagram founders and whatsapp founders, they absolutely hate and detest him. and people go to work there because he buys them off with rsus i don't have shrunk feelings about this, but people should leave the company -- >> oh, you don't why don't you tell us how you really feel about mark zuckerberg >> you know, it's pretty important right now for us to think about the moral compass of

leaders, obviously, with what's going on tin the streets and in the economy and what's going on in washington, d.c and zuckerberg is team trump if you believe trump is an amazing president and you want to see more of trump, well, you should buy the stock and you should work at facebook. if you think trump is horrible and should not be in a leadership position anywhere in the world, then you should not buy the stock. you should not work for the company. i'm and hoping, you know, three, four, five people of color, hopefully, who work there and know how to build great products will email me and i can give them $1 million to create an instagram competitor because the truth is, black culture is what has driven the growth of both twitter and instagram. but instagram does not share any of the money with the artists on instagram who have built that service. and if jay-z, beyonce, cardi b., lebron james and any number of african-american artists were to leave that platform, it would be absolutely brutal. and that's what i'm hoping

happens. i'm hoping that people leave that service and create a competitor >> we will see it certainly has not happened, to your point. they still are the lion's share of attention getting on that front. we're out of time, jason it was good to check in with you, though. see you again soon jason calacanis. let's get to the judge and the half >> carl, thank you very much welcome to the "halftime report." i'm scott wapner our continued story today, the stock surge, the dow hitting another milestone on its comeback run we debate your money this hour with our investment committee with me. joe terranova, jenny harrington with gilman hill asset management and megan shue is the head of investment strategy at the wilmington trust let's go to the walls. i want to show you where the major averages are trading right now. we're just about at the highs of the day. the dow is above 26,150. that's a gain of better than 400 points