it is 5:00 a.m. and a reopening new york city. a rally may hit the breaks dow futures down s&p 500 turning positive for the year on monday america getting back to work in a big way. today, we are talking construction with one ceo optimistic about the future. all of this optimism could hinge on one man fed chair jay powell the question of whether they will come off the ease factor.

>> boeing stock surging but will air travel really recover this rapidly. forget investment. why trade in some stocks is looking more like gambling with some of the incredible and scary moves ahead. all on "worldwide exchange" ahead on cnbc. >> good morning and welcome to wherever in the world you may be watching coming into today, b the major average is off six days in a row. you see in the bottom screen dow futures are down more than 300 points right now fair value is in the green a little mixed signature mall

but the implied open is down after another surge. dow is now on the longest winning streak coming all the way back from september last year the broader s&p 500 is positive for the year as of yesterday's close. so that index now joining the nasdaq and the nasdaq 100. the dow not there yet. what a remarkable come back that has been check out this random but interesting stat remember yesterday morning, all the way back 24 hours ago when we highlighted shares of cosmetic's company coty because they were the only stock in the s&p 500 down since the march 23 low. we bit our tong because coty not only gained yesterday but rallied 22%. so there are now zero stocks in

the s&p 500 that are down since the march 23 low you go coty. down in the pre-market but still dare we say random but certainly interesting. around the world, mixed trade in asia notsending a clear signal japan down and chinese markets are up france, germany all the uk down. let's get you going on all the news in the market outside in the united states today and send it back to rahel to kick us off. >> it is official, the u.s. economy ended the largest expansion and fell into recession. the official determining business cycles. the group says, quote, the unprecedented magnitude in decline of employment and

reduction and broader research of the recession if it turns out to be briefer than early reactions. the trump reelection campaign gears up to hold rallies. details of how the rallies can be safely held and giving ideas to the president the last rally was march 2 in charlotte, north carolina. and ibm ceo calling for an vons of fighting social injustice and is backing out of facial recognition business after calling out companies like amazon for racial bias back to you. >> now back to the markets and major averages coming off the

sixth positive session in a row for the first time since eight-day streak some of the most beaten up stocks are posting the biggest gain shares of macy's, gap, guess and kohls up huge. 51%, 53% guess up 42. kohl's up 50 since june 1. that's six trading days. mark, we'll get to the broader markets. we are not picking on those stocks or suggesting anything other than they were down huge now they are getting back 50% in a matter of days i can point out companies that filed for bankruptcy what do you

make of the last few session market reactions i just want to get your opinion on it. >> i think the short term frensy to buy stocks reflect greed. there is some expression that greed replaces fear. two months ago, people were concerned there was a structural break down in those sectors you mentioned and they priced them with a lot of uncertainty now they are being priced as if they have an earnings strategy and there isn't. >> i'll pick on hearts for a second jcpenney and other hertz, htz, the stock more than doubling yesterday now higher than it was before it

filed for bankruptcy the number one traded stock on robin hood when you file for bankruptcy, your equity almost always is worth exactly nothing. yet traders are bidding the stock up to where it was before it filed for bankruptcy. what do you make of that >> the same exact greed replacing fear we've been saying for a long time this being overheated i don't want to say we have been wrong chasing stocks there is no alternative. if youhave money you want to put it to work bonds are not unattractive

from a yield standpoint. cash flow standpoint, you can do better some of those is justified. the frenzy and the frothy stuff. the high multiple, chasing bankruptcy companies that's not what chief investors should do. there is a difference between tactical investors looking for short-term trade they should have an allocation to stocks and rebounding the fed is giving us very little choice other than to rebound for long-term investors. that is gambling i say that with conviction you don't know how that is going to react

do you think that kind of behavior puts the macro market, the good companies does it put those companies and markets at risk or is it a side show i think mostly a side show at this point there is good reasons to bid up large cap tech there is a legitimate stay-at-home trade, even though i know we are opening up i think the online economy is here to stay i think the industries and technologies that service the big names with he know it is not just amazon that is involved in the shop from home it is chip makers and infrastructure industries reopening where elective surgeries and medical technologies are legitimate areas to invest. those warehouses that service companies like target, walmart and amazon and their shop from

home if you look at real analysis, you will find companies, communication services verizon and at&t with 4 and 5% dividend yield. those are still solid where people cannot only get the stay-at-home trade and benefit but these are companies that are going to survive this economic cycle. the next build franchise value to accumulate and gain market share and they have reasonable valuations now so separate the froth and the frothy names you mention from the strong areas of the economy that are part of the core. >> communications infrastructure, some of the reet stock. it has been a crazy few days of

trading. thank you for your time. >> good to be here, brian. much more on retail and why shares of macy's are higher. up 14% at one point. it pulled back but still on fire plus, forget data and theory we'll bring you real business with a big commercial builder who remains optimistic even now. later, does the federal reserve have what it needs to keep this rally rolling. stay ahead a bk ghres are down 350 wereacrit after this

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we've always believed in the power of working together. that's why, when every connection counts... you can count on us. welcome back macy's raising $4.5 million in new financing. that includes credit borrowed against its assets shares of chesapeake energy in the opposite direction driving sentiment today. that stock has been 0en fire and shared tripled they were halted for volatility 22 times now down 44% in the pre-market

this goes exactly to what we just talked about with mark. you got to be worried. they have not filed for chapter 11 other companies have this is a market pushing stocks around like that in huge moves doubling one day and down 40% pre-market out there be careful speaking of red shot stocks. cruise lines we'll make you a little more smarter are this morning norwegian cruise lines is the number one stock more than doubled down a bit what is the best stock in the s&p 500 this month, you tell them, it is norwegian cruise lines. the other one causing more than 700 jump in the last few weeks apple? nike neither one. we are back after this

>> announcer: today's big number, 33%. that was the personal savings rate of disposable income in april according to the borough of economic analysis the highest since the bea began keeping tra keeping track.

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a lot of important stories going on including the funeral for george floyd in houston phillip mena is in new york with that and more stories. >> good morning. today is the final day family, friends and the public will get to pay their respects. the 46 year old who died after the officer held a knee to his neck almost nine minutes in hollywood, the largest crowd so far in a single day in portland overnight, thousands of protesters briefly shut down

84 people were using cars to block the exits from the freeway >> president trump is already seizing on to a slogan to label opponents as radical during a meeting, the president said, quote, we won't be defunding or dismantling our police a spokesperson for biden says he is also opposed to defunding police those are your top headlines top headlines on this tuesday. the most incredible and unbelievable stock moves that you have seen in years it is all about the retail investor and robin hood. former federal reserve governor here to talk about whether or not the fed has what it takes to keep this going and whether or not we need to worry about the trillions of taxpayer debt bngei

created. more coming up businesses are starting to bounce back.

but what if you could do better than that? like adapt. discover. deliver, in new ways, to new customers. what if you could come back stronger? faster. better. at comcast business, we want to help you not just bounce back, but bounce forward. and now, with one of our best offers ever, we're committed to helping you do just that. get a powerful and reliable internet and voice solution for only $29.95 a month for three months. call or go online today. too far, too fast. investors take a look at the recent rally the boeing bounce and why they could be holding up the runup. put on your hard hats. how new york city is getting back to work at more than 30,000

construction sites tuesday, june 9. "worldwide exchange" is here on cnbc welcome back from wherever in the world you may be watching. here is how your money and investments may be looking right now. stock futures are a big change down 323 points after another move higher on monday the broader markets are now up six sessions in a row after the longest win streak going back to september. monday's move making that now positive for the year which means they join the major index

in the green still got 3.5% to go my gosh. what a rally it has been in every single stock reopening and virus related data has been positive so far the fed has the market's collective back, be careful retail traders are playing with some stocks. hearts and petroleum both are favorites on retail platform robin hood and have something important in common. their parent companies are bankrupt, which means likely the equity has exactly $0 of value

or a few cents hertz shares are now higher than they were before the company filed for chapter 11 folks, i'll editorialize a bit this is not investing. this is gambling i say that because the future of the equity is mostly now not in the market's hands, it is in the hands of the bankruptcy courts and lawyers. you may get it right if you time it but be careful because you could also go bust these stocks are bankrupt. just be careful. red arrows around the world. oil major bp getting ready to slash 10,000 jobs. steve sedgwick is outside bp hq in london.

>> good to see you, my friend. you know the oil price dynamics. there are a couple of things going on here. one is the pandemic and the extraordinary isolation we've seen highlighted from just over a month ago. the energy is this energy transition both factors means bp has to take aggressive action on the cost front now seeing the jobs ramification with 10% of those, 15% and 10,000 jobs on the stock let's listen to the ceo bernard looney >> these are tough decisions to make and the impact, particularly on those who will be leaving us is however, much, much tougher i understand that. as i said that before and i am sorry. >> brian, this chap only took over in february he has a big history in upstream listen to the comments saying

nobody knows what the price of oil is in the future nobody has seen anything like this before. we are spending much more than we've making he's talking millions of dollars every day. this is a company that took on an extra $6 billion in debt in the first quarter. interesting to see what happens next as well as the job cuts could have moves on the dividend as well. 9% dividend yield. 10.5 cents at the quarter per moment maybe they'll took some of the other majors like royal dutch shell. many looking at that going forward. at the moment, the dividend is in place brian, back to you >> i miss seeing you at the actual opec meetings in real life they had a meeting yesterday, i was on it.

a lot have been gambling on oil moving from tesla and hearts and oil, whatever it is. here is the thing. they'll be adding a few million barrels a day to opec cuts the u.s. will decide they'll throw rigs on as well. looney's comments, if he doesn't know where the price of oil is going, who does? >> and another chap, alexander novak as well. you and i look so much at supply what about the demand equation according to novak, he thinks we are moving into a supply deficit perhaps as early as this month, maybe as err will i as july.

we may see some form of eek what lib yum or replay. >> can anybody really know alexander novak? that is a question for a different show, the sedgwick and sullivan hour. good to see you, buddy be well. >> discounting a selloff this morning, dow futures come down a bit. markets seemingly found maybe a second, third, a fourth wind for rallying since this pandemic wind nearly shut down the global economy. the first of the averages to trade. it is now up more than 10% on the year wow companies like apple on the declines but gaining at or near all-time highs or near it.

welcome partner and portfolio manager. i would dare say, tim, there are two markets. two equity markets there are the companies that probably have real backers there are those stocks i reference like hearts which are just people getting in to make a quick buck >> i think you hit the nail on the head it is the super megacap stocks that hold in the most and then those stocks that did not sell in the spring that the held the risk >> seeing stocks break 100 not just break the positive but the

highs mostly because it is the biggest companies that drive the industry you've seen where most companies have been affected >> hurts and whiting, they doubled yesterday. they are trading higher than prebankruptcy as my friend and colleague might say, there is a stock market and there is a market of stocks let's move past this how much of this is fed fuelled and the reopen or leave your home trade bonds will give us a better term or is it a collection of all three things >> when the fed stepped in and

said they were going to backstop liquidity in the market. largely be the selloff and it probably went too far. as we kind of talked about earlier, some of the largest companies stayed pretty solid during that period of time whether technology or walmarts of the world, they didn't have the same down draft. people start to think it is not as bad as they thought not as bad across aero space boeing showing signs of egg sten shal risk. down 10% from the all-time high. they are still not exactly where they were when all of this started. >> the average gain of airlines stock is 63% that's the average of all airline equities boeing, 400 to 95 back to 230.

are you a boeing buyer or believer >> we've held boeing a number of years. we've been holding onto it before the pandemic, boeing was really a 737 max issue the rest of the programs were on schedule and delivering airplanes. before this became a global crisis, this was about the max so if just the 737 max went away, this would be about boeing that wasn't just based on boeing but spirit air systems and others who make the planes wither going to go out of business going past that now, boeing has to find their equilibrium

investor attention turning to the federal reserve kicking off the two-day policy meeting the question on everybody's minds is will last friday's job number where we had 2.5 million job gain surprising everybody, provoke the bank to take its foot off the accelerator going to the cnbc contributor, sara bloom raskin. do you think jay powell and company will do anything to take their foot off that accelerator, if you will? >> good morning, brian and, no i don't think one set of data is going to change course

we are still in the risk of bad numbers in terms of being off the mark unemployment is still quite high we are still in the middle of it, i'm quite afraid job numbers are working and looking but are still one set of numbers that is a measurement area what the fed is looking to today is what is happening on the ground yes, there are parts of the economy opening up that is a good thing but what that means in terms of bringing

back people to jobs and the economy, that remains to be seen. >> our colleague has done a great job. with all due respect to that may number, i'm more concerned with that may of 2021 in the short term, we'll have all of this data of people coming back and it will be messi. let's look a year out. do you think the federal reserve understands that the economy has a lot of work to do long term no matter how quickly we all get back to work because it is going to be months, if not years before we get through the entire cycle lockdown >> you are exactly right the economy is not an on/off switch it is not as if you can send

everybody home and then come back and resume without missing a beat there are going to belong-term consequences it is hard to know exactly what things will look like in may 2021 the extraordinary actions in march and april will be with us for a long, long time. >> what else can they do >> it is a great question. surely chairman powell has hinted to some tricks up his sleeve so to speak there are questions about something in the realm of yield curve control. the idea of setting a particular yield on treasuries and buying up the amount of treasuries you need to hit that yield

another tool that has not been tried in this deal in this pandemic that has not been tried before buying up corporate etfs is one of them. there is quite a bit happening 11 facilities, right, some have not been engaged in before but still the fed is talking about the possibility that it has more tools and could be doing more things and if the economy stays or worsens, i wouldn't be surprised if the fed tries something yet again new. >> wow, another program to learn. 10 or 11 programs we got to know that's for another day sara bloom raskin, great to have you on on deck, what the reopening of new york city means for the

33,000 construction sites across the five boroughs. cnbc exclusive with one ceo eager to get back to work. dow futures down 308 the markets still peedexct to make it seven gains in a row we are back after this

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for some retailers, it may lead to permanent closures rahel has the latest >> as many as 25,000 u.s. stores could permanently close due to the coronavirus according to the firm with most of the closures expected to happen in malls. shattering last year's record when 10,000 stores closed for good movie theaters in california can begin reopening. new rules would limit capacity to 25% or a maximum of 100 attendees. look at shares of tailored brands down about 1% after a report suggesting the owner of men's warehouse

considering bankruptcy but says it does not comment on rumors or expectations back to you. thank you. new york city is getting back to work after three months of shutdown active construction permits or sites. for many, it can't come soon enough here with more, the founder and leading national construction company responsible for those you know like nordstrom's. the flagship and major renovation under way thank you for joining us how quickly do you think getting back to work is going to mean getting fully back to work does it mean movie theaters are

at 25% capacity or does it hit the ground running >> what we are forecasting is about a two-week ramp up a lot of workers get climatized to new rules from the cdc, the state and the city we already had a little preramp up in projects that were deemed essential. we had about 1,500 to 2,000 workers ramped up. we are expecting being fully ramped upfrom yesterday's go live date. >> does that mean masks for your workers? >> masks cleaning stations. the big restriction on workers now is the vertical transportation elevators. once 20 people could get in the elevator now we'll see restrictions on that it means probably a longer day

for us on site starting earlier, finishing later and not having too many people close in the elevators. >> your work your guys on the ground. it is hot, hard, heavy lifting are masks going to work? it is a breath constrictor i worry about somebody moving around all day that is something that will have to play itself out as necessity really required for the health and safety of the workers. some projects are in doors where we have air-conditioning it will be trial and error basis. you are correct. in 100-degree days in new york city in the summer, that is

something we will take into consideration. we are going to uncharted territory here in some ways, it is a new game day by day >> is it all systems go for some of these buildings a quarter or half built is it pretty much your book of business is going to go forward as it was prelockdowns we had a very large book of business we've had two projects put on hold or seky hold where clients are rethinking the layout. we believe at the moment every project is going ahead

the 12 weeks has been a shock to everyone's business we are looking at a way to make this safer. >> there has been two schools of thought. there has been this is going to change the work place and building forever and other people who say this virus will run its course. are people planning five years out to make changes to the way we interact or is it more lesses continue what we are doing now and look to the next 5, 10, 15 years? >> everybody is looking at every possible scenario over the last

10 years, the emphasis has been on dense packing, work stations, saving pace, reducing the foot print. created spaces where everybody acts with creative thinking. now people are looking at more people working from home less use of conference rooms and space. it is very early i don't know if it is too err will i to say everything will change forever there is a lot to learn from this >> i've talked to people most of them off the record have said, i don't want to make dramatic changes too far out we don't know if we'll know more about this >> as doctors and experts learn more about this and hopefully, there is a vaccine, you could be right. it could be a year, two year's

time a thing of the past the work environment in new york is a very unique place the work environments created were very interactive for their staff and creative thinking and efficient work place now, everybody is holding back and rethinking that. it is just something that a light switch was flicked and now everybody has to stop and pause. you can't turn it upsidedown and change all the existing space there. i guess if we make it safer with proper work practices like we always do in new york. we always come back stronger >> we do that is well said. fewer elevators in the system. a pleasure to get your view on the topic. thank you. take care. >> up next has this remarkable reopen,

rerun rally finally run its worse or is there more room to run for the hard-earned cash a reminder to join us for special guest david ramsden-wood with a conversation for cnbc pro subscribers. you can sign up for a special seven-day free promo to cnbc pro to tune in we'll go totally off the cuff. take some of your questions. will be at noon. can you still sign up. go to pro talks oil at cnbc.com. dow future is down just under 300.

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>> based on the futures, dow

futur futures are down great to have you back on the program. wow, what a market rally this has been what key issues and answers are you giving back about this insane stock market where it feels we've already lived two years in just under six months >> for sure. thank you for having me back we've all gotten a lot more gray hair in the economy and the stock markets. where we believe, while due to the pause, the classic indicator. over the entire industry and focus back to a path of the

vaccine looking back to the cost of the q 2, q 3, q 4 recovery. >> what are you saying about the debate where people say 100% of the rally. some say it is the fed and others say it is something small? >> the adage you can't fight the fed is absolutely true the bigger question is what does this mean long term? we are piling on debt at unheard of levels. we are filing on debt. while that precipitation is necessary to get us out of this and perhaps we saw the beginning of that with the lower unemployment numbers i think investors need to be thinking about what are the implications of higher tax

rates. hard not to see. everybody's taxes. middle class are going to have to go up quickly, is there one really smart strategy raise more stock by more cash bitcoin? >> take advantage of year-end gifting. whether charitable giving or tax planning to lower capital gain recipients look at the rotation between diet to growth right now there is a real trend to dividend paying, energies and cyclical stocks. these are the two things we'd be urging investors to think about.

>> a pleasure to have you on best to you and your team. thank you very much. thank you for joining us the dow and the futures. oil is down. we'll see you tomorrow on the show "squawk box" and the gang picking it up next businesses are starting to bounce back.

but what if you could do better than that? like adapt. discover. deliver, in new ways, to new customers. what if you could come back stronger? faster. better. at comcast business, we want to help you not just bounce back, but bounce forward. and now, with one of our best offers ever, we're committed to helping you do just that. get a powerful and reliable internet and voice solution for only $29.95 a month for three months. call or go online today.

[ scoffs ] are ythe weirdest. you make everyone around you crazy. people are normal then they hang out with you and then they're jack nicholson in "the shining". i'm gonna tell my mom you tried to drown me. it's an above ground pool! you're like eight feet tall! good morning, stock futures with a pull back sent the s&p 500 in a positive territory for the year reopening american states that were hit harderlier easing restrictions where we are seeing an ease of cases of hospital restrictions and the incredible

rebound in boeing shares now more than 150% higher than the march low. you could have bought boeing on sale under $90 tuesday, june 9, 2020. "squawk box" begins right now. good morning welcome to "squawk box" on cnbc. i'm becky quick along with joe kernen and andrew ross sorkin. the dow, the s&p up sharply yesterday. the dow actually up 461 points led by another big gain from boeing shares. s&p 500 up by 100% yesterday turning positive for the year. one point this year, the s&p was down