we're truly great businesses and we want people to know that we hope they can come in and see who we are >> data shows that the number of active or working black owned businesses fell by 41% from february to april. that is more than 22% of the number of businesses dropping over all they are determined to keep operating in the pandemic and to hang on for any new customers coming their way over this historic time. >> kate rodgers, thank you very much >> the dow is up 140 points. a loss of steam in the last hour or so. still tracking for the fourth up week in the last five. with that i send it over to "squawk on the street". >> sarah, thank you. good morning good friday morning, welcome to

"squawk alley. as you just heard, stocks are continuing to move higher today although off of the highs of the morning. the s&p is up about 0.6% the nasdaq up about 84 points. on track for the fourth week of gains for the major averaging and today it is that reopening trade back in the driver's seat today. it is it is retail names as well >> at the same time we don't see a buy fur indication it is a shift to more of a focus

on e commerce. amazon is up 1%. and facebook is up better than that that to me is interesting. walmart is a stock that has done well prior to things opening up. it is also higher. so there is a mix. i think there is general positivity, larger stocks in general are doing better, but it seems like the market is reacting to not just opening up versus not, but maybe a sense that the economy is starting to find it's footing. >> it is such a great point, john it is names like micro soft, adobe, some of the big cap tech names. so it seems like today, at least, this rally, the breadth

of it is pretty far flung and we'll have to see if it continues. we'll have to keep a close eye on the coronavirus cases that continue to tick up in a number of states right now. more important is the fact that you have seen hospitalizations in some of the states continue to tick up the death count has been coming down in recent days and that is good news. and john, i know you have a guest to bring in right now? >> yeah, you can talk to him too. seeminglymore than ever, who better to join us now than the dean of valuations good morning >> good morpgs good to see you. so this out performance by the

nasdaq seems critical. >> i think this has been a very unusual crisis in terms of how it is instructed usually a crisis is an economy that slowly shuts down so what i think you're seeing in the crisis is risk cap has not gone away. so young companies are benefitting from that fact >> so how do you value the market and companies within the market is it more based on what real commitment is telling you and how you expect earnings to be affected by the crisis or is it more than, you know, capital has to go somewhere. interest rates will be low for a long time and capital has to flow toward equities is that a valuation krau

>> the argument doesn't really hold up, in 2008 interest rates dropped, but it was held i think the fact that it is flowing back into equity is that a large subset of the market believes that the economy will come back and that a subset of companies will benefit from the crisis in terms of having higher earnings >> so how much of this demand do you think is coming from the retail investor and maybe the retail investor that is relatively knew to the game. and robinhood often gets the focus here they're part of the trend that allows investors to buy fractions of a share of a stock so you don't have to plunk down $1,000 plus to get a share of amazon is that having an effect or

overstated >> i think it is overstated. the amount of money cannot make the market change. i think it is an easy excuse for the so-called pros and i'm saying that because there is nothing professional about pros and how they approach investing. it is an easy excuse it is amazing how when the pros bet and make money it is skill but when robinhood investors bet and make money it is speculation. what is sauce for the goose is sauce for the gander >> professor, i want to get your thoughting right now on the debate that we have seen playing out on the idea that there is a disconnect between the rally and the valuations that we have seen in the market and the data playing out overall. >> it is not knew nor specific

to this here i went back to look at the last 50 years of data and there is almost no correlation with what the market does and what the economy does the real debate that we should be having is about what the economy will look like the market for better or worst is expecting the economy to come back very strong people will disagree with that let's churn the debate not to what the unemployment looks like now but what they will look like in a year. that is what the market is predicting >> do you any think that is playing out with him as well perhaps some of the estimates from wall street have come down too much in terms of forward guidance and that now you're seeing a correction back to the upside do you believe that is a situation that could unfold in the coming months and the year

>> conditional on the expectation that the economy will come back the tech stocks will benefit from the crisis because the competition is being -- you can argue that amazon will be stronger than it was going and i would say the same thing about possibautomobiles. i think tesla will come out ahead. i agree with that and it is all conditional on the economy >> how much do you think it should affect -- do you think the democrats are doing better and more likely to win should you factor in certain policies

that they have a sense that they don't really know. as we get more concrete proposals, you will see the market react more specifically i think more on the level it will affect health care. so i think as we get closer to november we're going to see the market act as a predictor. not just with the economy but also what happened in the elections. >> it is interestingbecause we talked about the markets because of the conversation about the economy and what it will take to come back, how market friendly will the policy be and that will be in terms of

the 2020 investment thesis >> this is entirely in the hands of so more than everything up, depending on the virus staying low, the strength the last time around so i think that this is one of those things they have to take view that is not in the hands of the government -- >> there has been talk in the last few days about the international impact of covid-19 being deeper and perhaps more devastating than even was estimated early on going into this, part of the political debate at the time is how much are we have global

economy versus how much is our global economy important if they're justifiable, but the international picture looks dim, does that not argue for more of a disconnect between u.s. stocks and u.s. international economies? >>. >> india, brazil, and parts of africa are down twice as much as global equities have been down so the market is reflecting that in the pricing, but i think you raise an interesting question. the question is will it start to show up in their earnings numbers.

>> all right, we'll keep our eye on that for sure >> all 29 west point ports are celebrating juneteeth today. >> yeah, nothing happening here at the largest port complex. a lot is going on in corporate america and you can see some of the names here companies that from now on will make this a paid holiday going forward, but the port shut down comes as volumes continue to plummet. we are down 30% from a year ago and up in the bay area --

>> we basically lost the entire cruise ship season, which in this area alone we were going to have 100 cruiseships call the port of san francisco. >> trent wlils be leading a massive march. he says on top of all of that his locals are concerned about covid at the ports for him to sort of covid, trade, and black lives matter all wrapped into one back to you. >> yeah, genjean, i'm curious au what that data is showing us in terms of a return for freight flows in general and what the ports you have have been speaking to expect as we start to get into these summer months

now. i wonder what it looks like on the shipping side. >> it's not looking like much today. the stoppage just started at the top of the hour, there was not a lot oftivity this morning. the numbers are still very down. the numbers were down because of the trade war but we have a new state rule now you to wear a mask all of the time it is not looking particularly good here yet. and we're going to get back to school and the holiday season and that is when it will be critical >> this is the most fascinating e mer -- emergence of a holiday i have ever seen

i have never celebrated it growing up on the east coast, the northeast, it was maybe more of something in the 80s, but to see it emerge this quickly, we'll see where it goes. >> i remember in the '80s when mlk became a national holiday. this appears to be a corporate america led movement where they're making it a holiday and now the poll suggestions are following trying to make it a holiday. >> jean, great to get your report thank you for joining us today >> coming up this hour, the former manager of john legend and lady gaga, the founder of adam factory, all of those titles belong to troy rt, caerhe will join us in just a few

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come on, apple, you don't need to shake down small software makers. >> that was the founder of hey

our next guest is weighing in, is it finally hammer time for apple and it's app store great to see you today, kara >> good to see you >> i want to get your thoughts on this. i have seen it from other app developers and spot ifify beingh most prominent, but this target, the likening of apple and the app store to dang sters. >> i think dooifd, he is trying to get attention so he is using words like dank ster and mafia i think they'rage stated because like a lot of developers who use

the paid system on apple, by the way. most apple apps are free there is no financial transaction here, but i think a lot of the developers, apple and google, are the only games in town so even if you're a good toll booth, and you have good rules, you're still a toll booth. i think a lot of people feel like this amount of money is too much, like they can't do what they want, they can't talk to their own customers enough, but this is the story that you have to go through if you want to be successful so they submitted an app, and they don't drk they want to be able to do their business without paying apple, really and apple is saying we provide all kinds of services including getting rid of malware and spam

and they do. apple is the only game in town and there will be action in the eu, in the justice department, so that's what i wanted to focus on what do we do when there is a duopoly in the space >> do you think we will see a meaningful regulation or meaningful ruling for this in the eu or the u.s.? >> we'll see, but they did it the week they announced the investigation. they just have not announced it yet, but they're looking at google, facebook, and other tech companies. so that hasnot happened, peopl have talked about it

ben thompson mentioned it, the idea that you have to pay rent to these companies the idea of the platforms being so powerful and even if their guide leans are good they don't fit everybody. when you're at a certain level, you could be real lated measure the way an electrical utility is at the same time they can't do certain things it will have to be sorted out, but there is a lot of discomfort able app makers that won't speak up because they feel like they will come under the watchful eye of apple or google >> i think this time is different. i think regardless of whether or not you agree with apple or david's position

this might be a massive strategic plunter on apple's part you turned them into a folk hero among small developers, and he's the guy you don't want in that position he invested ruby on rails, he invented base camp, he doesn't have to worry about reputation destruction, and now he is speaking for them. this is an order of magnitude more dangerous than when they were speaking out against google as the held of yelp. now all of the regulators have someone to go to to lead the charge in bringing this up against apple, and this is kind of an edge case. they could have nullified him before and now it is a global issue and i don't think he will back down.

>> and they rejected it and they continue to reject it they have very good arguments, so. spotify has been the company really pushing this ch harder and they started the investigations in the eu and some of the people get it out like netflix, a reader category that you get an out and netflix doesn't have ina purchases at all and certain deals are made like amazon prime video has a deal where they don't have to get a cut. so that is where it is it's when you can -- it is also e-mail as that are in violation but they continue to operate on the app store. so is apple going to clean up the e-mail area or let the companies do what you want hey wants to sign people up off

of the platform and just use the app and make big fixes for it's users which other companies get to do. so it is just apple deciding which designations, even if they do a better job than anyone else so it is hard. but spotify really did start this they hearing aid to raise their prices and their margins are so tight that i think that is really what it is. basecamp spent millions on the map to make it and now they cannot distribute it in the most important place. >> he wasn't going to call apple gangsters busting kneecaps i covered apple for awhile i think this might be a case of them having been at apple so long that they still have an underdog mind-set. this is great when you're building products, right you're skraby, you innovate, but

when the is a market dynamic maybe you don't understand how big and powerful you look to the market i don't know, i think maybe if they -- >> this is their vulnerability >> they know what it is like to be under the heel of a monopoly. they were saved -- they know about putting pressure, they got to put office on windows and things like that i think jason, the other founder, put a tweet out where he said we're going to give away 2007 invites to hey, the year the iphone was created, which they love the iphone they also complimented, jason is the good cop to david's bad cop. i should not use the cop analogy

any more and the -- and they're -- he said they're going to give away 1984 invites the next day the reference to the commercial where they took the hammer, that's why i called it throw the hammer, where apple did an amazing ad where they through a add at ibm i think they have a lot of c constituency i think apple will have to deal with this, will they be proactive or not the same with jeff besos coming to congress, and facebook and twitter just did stuff about donald trump's egregious tweets,

and now they're starting to show they can do their jobs and they should they should be proactive before regulators come down on these companies, which they will, by the way >> yeah, and certainly i think we're not done talking about any of these companies and the stories unfolding. the fact that service is a big growing part of their business and the fact that the app store has been crucial to that mean social security will continue to be in the forefront. you mentioned facebook and twitter. i'm going to throw snap into the mix as well. snapchat is emoving juneteenth filter it asked people to smile to break chains i want to ask you about that and how it folds back into the discussion, the debate around being tone deaf, the type of products and services that are

out there and the resons they're getting from the public and now the responses from the companies themselves >> i think it is really interesting. obviously now facebook has moved in around the nazi symbol that the trump campaign uses and took it down, but it was up for awhile unfortunately it is always after the fact and already seen by a lot of people. they're taking it down now and showing -- twitter labelled misleading videos and the snap chat thing is just tone deaf i think they were trying to do something good and they have to think harder and get a more divert group of people there and talking about how maybe that is not the right way to depict that disney was going to open a park called disney's america and they had an underground slave ride and i thought that was so

tasteless on so many levels. i thought they were trying to be educational, but they should be doing actionable things, not just symbolic things, they have to do real things like adding people to boards i have talked about diversity of boards time and again. people from different backgrounds. they have to do actionable things in hiring, promotions, training, and really making a more diverse group of people making decisions i can't imagine a more diverse group of people making that decision at snap chat. >> you have to think thank you for joining us great to get your insights >> sometimes you have to do the hard work before you can do the easy stuff well. let's get a check of where we

stand here all of the indices still up on the highs. still more squawk alley ahead. ♪ ♪ yeah ♪ ♪ y-yeah ♪ ♪ yeah ♪ hey, hey

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with adyen, the payments platform that delivers convenience for all. adyen. business. not boundaries. good morning, everybody. new york city's mayor announcing that juneteenth will be a city holiday. he also said that five more

murals will be painted along the city streets in the coming weeks. japanese shoppers waiting in long lines at uniqlo stores. the company started to sell watchable face masks the company says more will become available as they ramp up production the national guard removing a 1940s best they got into dangerous and sometimes deadly situations and there it goes. look at that morgan, back to you. >> sue, thank you. coming up, a music industry legend and former spotify exec troy carter. "squawk alley" returns in two.

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welcome back if the former manager of lady gaga, john legend, discovered meghan trainor, and he is joining us now on several topics now, the state of the music industry, his new venture is called q and a. troy carter is joining us now. good morning >> good morning how is it going? >> i'm good. it is good to see you. i want to start by talking about juneteenth the influence of culture and i have never seen what was a regional celebration become national as quickly and juneteenth had what will the reverberations be?

>> i think the people that it mattered to will also reasonable care nice it as a poll day and an important moment for blacks in this country. right now i think we're seeing corporations scramble and try to figure out what to do. i think they would like to give their employees off, but i think it is meaningless. but i think it is a conversation starter, i don't think is the solution >>. >> i just saw an article that talks about alleyship happening. companies putting up $100 million or giving juneteenth off

but now having black managers or executives time off. and other employees of colors and under respect ed how do we hold all of our institutions accountable for what they say they value in a time like this >> look, john, this is a lot of black people in the company that don't have a job i think that just really looking at employment from you know the entry level all of the way up to the c suite. i think what we're sighing is a lot of blind spots and companies being exposed. maybe six or seven years ago i remember when the conversations happened around blacks in technology and maybe a lot of the big companies pledge to hire

more and build these pipelines and made the same pledges. and we have not seen substantive change, and things moved over, and it was a pledge about putting more women in, these are the things that i think just both for the business case of a company, you know, i just saw cara talk about the snapchat today. and the mistake they made around smile to get the chains broken for juneteenth if there is black people sitting around the table you never would have seen that in the first place. as we look at a shift in the demographic, the country, and the new consumer bases, understanding this consumer, understanding the nuances, i think you need people in the

room that look like the consumer and understand the consumer as well it's not just a charity case, it's a good business case as well >> people in the room that are empowered to give their unvarnished view of what is going on they can actually say don't do that and not worry about they will be haefrd i want to talk about the music industry that is going on. concerts have been an important source of revenue and profit, and it's not clear how that will reemerge, what do you predict. >> the way we look at it is probably in a few different buckets. you have the record label side, which has prove ton bevery resilient. the product doesn't rely on physical retail locations like it used to

so not just too much trouble, and on the record label side, and then stability on the stability side on the subscription side, and the other side that is pretty catastrophic and we don't see it normalize until fourth quarter of next year i think live nation probably has one of the most underrated ceos that has seen the company through ups and downs. i think ultimately they will be in great shape and there is going to be a lot of artists sitting at home essentially until there is a vaccine, you know, we'll see what happens with the economy, and then we'll see what happens with consumers actually feeling comfortable enough to go into places with, you know, a lot of people and

what i predict is like the legacy acts. just the older touring bands that could fill stadiums they will have the most trouble. if you're 65 or over do you want to sit in a stadium with 70,000 other people we'll see how it comes back, but i think it will be awhile. >> troy, it's morgan when i hear you talk about the recovery for live music and concerts not attacking place until maybe the second half of next year what does that mean in terms of the content pipeline. can artists make enough money right now to keep creating more music? >> i think there is a lot of opportunity there as well. so i think that what we have seen in asia in the last five or six years, they did a really

good job in terms of being able to monosize the live stream. i think they grossed over 20 billion in one night i think some might be smaller, some might be bigger, but there is definitely opportunity for entrepreneurs to build out better experiences i think the live concert experience is a little broken because there is only, you know, capacity issues in terms of scale, there is only a select group of great seats in the house. you know it is like a backup much of not to good seats as well i think when we look at the reality, augmented reality, the artist travis scott what he was

able to do with fortnite and had a live opportunity there, putting it in a video game i think we will see things come out of it. we think it may be an accelerator. artists have always been brave and i think they will bleen into it the same way as asian artists have in the last five or six years. >>. >> as someone that worked as spotify as well. it continues to strike more deals, i want to get your thoughts on that and if it is the start of greater content creation for that company. >> daniel has always been a guy that thought ten years out so the idea around owning the

ear and the audio experience and there is all of these things that you can go into for audio, and when you look at the u.s. radio sizing market, you know it is close to $18 billion just in the u.s. it is a huge opportunity there and that doesn't even include podcast advertising in that budge bucket so you look at how do we be in business with the best producers are, you look at the deal with joe rogan is very similar. being able to drive an audience with a cult personality and a big following. i think we will see a lot more

of that in terms of leaning heavily into how do but audiences into these big brands and these big personalities. i think they have done an amazing job so far troy carter, great to have you. have a great weekend >> thank you for having me looking at shares of apple at all-time high levels not seen since the ipo in 1980, jeffrey is taking the price target up to 405 this morning we're going to continue to watch that surge that is up frxally right now look ath crtin tt atha scehe 1980 ipo we continue in a moment. kpts a grandfather of 14.

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. and some news of our own to share this morning, and it is bittersweet, our morgan brennan is going to be moving to the 10:00 a.m. hour, "squawk on the street," which means morgan, that you're leaving me you're staying with carl, but you're leaving me, which i will

try to get over, but it has been great working with you in "squawk alley," and i want to know, do you have anybody else there who might be able to replace you as a coanchor for me is there anybody >> well, first, let me just say, john, that it has been an honor and a privilege to do this hour alongside you, to work with you every day, and to learn from you every day, and so i'm going to miss that interaction monday through friday that being said, i feel excited and lucky to still be part of the squawk block, the 9 to 12 hour and part of this tv family, if you will, that we have. but in terms of a potential replacement, i do have an idea want to come over here, and she's actually waiting in the wings, and she wants to say hello. she's been looking to say hello, actually, since i started working from home. this is reme, this is my

daughter reme, and i think she has a message for you, john, as we go into a special holiday weekend. >> uh-oh. >> happy father's day. >> thank you >> happy father's day to you and to carl and to all of our viewers out there that will be celebrating this weekend certainly in the time of covid, i think it's never been more crucial and more paramount in terms of parenting as we all juggle a pandemic and working from home, and everything else that's been happening on a daily basis. but, john, i'm going to miss working with you directly every day, and i look forward to the day where we can be back at the new york stock exchange in person. >> i got to break it to you. don't expect all of this warmth, and all of these dad jokes from david faber, because you're not going to get it. he just rolls a little different. >> that's probably true. >> brace yourself. >> the flip side is he's now going to have to deal with all

of my rocket science nerdiness and all things space that i want to talk about on a daily basis at least you get a reprieve from that. >> david knows from nerds so you will be okay there i will miss you. as we head to break, let us take a look at where we stand in the last day of today's trade. major indices hanging in there right about at that half a percent mark for the dow and s&p. nasdaq doing a hair better up about 7/10 don't go anywhere, we're back in just a moment. ♪ y-yeah ♪ ♪ yeah ♪ hey, hey

cool? drop the taco. get in the car. does this sentra feel like a compromise to you? wait, what...? the handling is good, right? no compromise there. nope! watch this...

umm... b-brie...brie brie! rear automatic braking. so if this nissan sentra isn't gonna compromise, why should you? you're right! atta girl. the all-new nissan sentra. with more standard safety features than any other car in its class. ♪ yeah ♪ ♪ y-yeah ♪ ♪ yeah ♪ hey, hey welcome back to "squawk alley," the new metric on wall street that investors are

watching closely is the pace of change steve liesman has crunched the high frequency data to see where we are on cnbc's road back barometer. >> some good news, but as you suggest the pace of change is the one that raises some questions. let's go through the good news and show you a bit of the bad news and talk about the pace of change here. first of all, let's start in the back here. the apple mobility index we average over a 7-day period, the search for transit directions as well as walking directions and driving directions this is at an all time high, 94.6 and that's a percent of january 13th coming forward, home base is a company that has 60,000 businesses and a million employees. their software helps with scheduling and all kinds of things that minus 26.7% relative to january, that's an all time high in this crisis period here it's store closings that bugs me we had reported it as being store openings but that's turned

around and we have store closings now in all 50 states and all 50 metro areas that is tracked by the data. let's take a look at yelp and you can see the big dip there. that went down and went negative it became a store openings index, and now we're back to store closings again let's look at the home base data it was this home base data that cued some economists of better than expected jobs numbers if you go and look at the very end, i don't know if our camera can do that, you see it flattening just a bit, so the pace of change of employees working and i looked, guys, it's texas and arizona, among those states where it has flattened. all we can do is watch this high frequency data, very volatile. it's what the street is using to gauge what's happening and the reopening. it's come back, it's come back to a decent place, but we're watching the pace of change, just like with the jobless claims numbers that flattened out last time to see if the renewed viruses and any other issues that are out there that may be causing the pace of change to at least decline a

littlebit. morgan, and congratulations on the new assignment i'll just see you in the ten crazy for me >> i will see you in the ten starting next week thank you so much. we've got major averages hanging on to gains, although off the highs of the session let's get to the judge in the hat. >> morgan, thank you so much welcome to the "halftime report" this friday. the surge in semi stauks, whether this week -- stocks joining me today, josh brown, pete najarian, and raskins and mr. wonderful, kevin o'leary is the chairman of o shares. we're higher across the board, oh, by the way, the nasdaq is leading once again it is being pulled higher today by the chip names which are moving back towards new highs as d ll