good afternoon welcome to "power lunch. the new dow is here today. it is down about 200 points. the s&p and nasdaq setting new records. the s&p higher earlier now basically flat but just inch into the green stock splits going into effect you can see both names trading higher and not just by a little buy. advanced auto part has more than doubled since the march low. put money in the ponckets op consumers. what happens now that the relief has stopped. the ceo will be here to tell us what he is seeing on the ground

right now as "power lunch" begins for a monday. kelly. thank you, ty. the new dow taking a breather today. still on pace for its best august in 36 years >> the important thing about today is we're continuing the see tech out perform that's because of apple, a big momentum name and the semiconductors doing well. health care is doing well. indust industrials, banks are lagging what a summer rally we have had. five straight moinths traditionally august is not a great month. take a look. 7% move in august. april was a great month. may wasn't that bad. june was okay. july, 5 straight months to the up side. we'll see if that continues into september. this is a big day for the dow as you heard throughout the day

what is the effect of this the effect is this dow is a little more growth oriented. you have sales form and amgen. it's a little more health care weighted i think the apple split is meani meaningful a lot of people have said it's meaningless. that's technically correct remember something, back in the 1990s when stock split were the rage, it was viewed aed a vote of confidence back then. it was like call from a broker we see an all lot of option activity around the apple. announcement if apple continues its momentum, it will be harder to have that impact on the dow.

it will be harder to happen now that apple is only one-fourth the size back to you. >> look another tesla and apple. we see tesla up 54% the day they announced the split. the s&p is up less than 4% apple is up 30%. everybody is talking about the

split. >> there's no pres dent to how high value weighs can go with low rates and unlimited quantitative easing from the fed. our next guest called the market bottom how much more room does this market have to run. should you biep it because they good stocks with great momentum. >> stock splits don't change the fundamentals.

>> i don't think it's great sign that stock splits are causing stocks to rally. it's not the reason someone should be buying stocks. i don't think i would make a broader conclusion this is only right for speculation and it's expensive. >> leet's talk about the stocks you do like. i know you see the market moving up modestly from here, right >> yes >> you have stocks that you call epicenter stocks that are of particular interest to you at these levels what is an epicenter stock and give us some names of ones that bubble up through your research.

>> they are stocks that were harmed because of the pandemic they were forced to close because of government mandate. these are the most sense tifr to not only the business cycle but reopening. the consumer levering their house again. those will be positive tail winds. >> see the market cap of the s&p, they haven't really participated in this move to new highs. many of them are still 50% off their highs. i think that's where the real opportunity is especially if the

economy ropeeopens gaming like wynn, cruise lines like carnival. some of the airlines whether you want to do it through delta or southwest. >> all of these stocks or many of them are down today are you beginning to see as you look at numbers that pertain to the coronavirus, are you beginning to see, at least some of the signs that would lead you to believe that the economy is going to start to pick up and favor the stocks are you starting to see a world where this country may be beginning to make a turn for the better, we hope.

it's very serious. case numbers have sort of stalled because of colleges reopening. i think two things give us some comfort. one is the level of deaths is falling. we are starting to see fewer people perish, which is a great sign i think there's increasingly, you know, some sense the safety of coronavirus is improving because of treatment regimen even if someone is catching in, it's treatable i think that's really important because nobody wants to have to -- no one wants to catch this but no one wants to end up in a hospital if we can improve the safety, going to look a lot better in six months right now it's a depression.

>> let me make sure i'm understanding you or to put a fine point on it p these episenter stocks that have not participated are off their lows, are they the next faang is are they the next market leaders. are you willing to go quite that far. >> if i had to put new money to work, i think the epicenter stocks will deliver a lot more percentage points over the next six months faang are superior blue chip

they had to sell because they don't want to touch it if there's pandemic or depression there's really big upside. >> always great to see you come back any time thank you. >> thank you very much tesla splitting five for one and still trading at nearly $500 share. the stock is up 70% since tesla announced the split three weeks ago and it's up 10% today. this is a purely cosmetic change >> you mentioned when they ni s mentioned the stock plit on august 11th, take a slook at shares since then. this is a stunning move. it's up 71%.

later in october and early november, somewhere in that time frame, you'll get the report of q3 financials. speaking of battery costs, we have talked about this for some time research advisers have basically crunched the numbers when it comes to battery production. may make it very clear that tesla leads the competition when it comes to the costs of the battery packs they put together. paerve ses oe how long does it continue those will be questions coming

up just since august 11th, since tesla announced the split, it's a little hard to tell there but tesla shares they have exploded. >> there was a fascinating read in the journal over the weekend about the former tesla executive who is now doing his own energy company? as the ev market and you see more auto makers developing and making evs, you're going to see more emphasis on battery technology, the reuse of batteries and the components as well as those raw materials that go into batteries. that's really a burgeoning market you'll see more attention

focused on that over the next five, ten years. >> looking forward to it appreciate it. phil with the laitest on tesla. ty kelly, coming up, canada making a deal to buy novavax vacci vaccine. we have those details. tiktok on the clock to get a deal done before the app is banned in the u.s. now, a pool from china could stand in the way isreig aerr lunch" rhtft th bak

welcome back the tiktok saga could strike a deal china could throw a wrench into a whole thing. bike dance, the parent of tiktok would need chinese government approval to sell its u.s. operations shares of potential buyers all trading off today. what is in china's ability to do a deal if that's what they are trying to do >> what we learned late friday is china would require a license in order for bite dance the sell off the u.s. sates to tiktok

tiktok china would get a say in whoever bite dance sold the u.s. tiktok assets to. what we know right now is that tiktok continues to try to get a deal done. we don't know the buyers yet there is a preferred buyer the two are oraclo or a combo bid from microsoft and walmart the chinese news that china will have a say in whether or not bite dance can move forward with this deal has at least put the brakes on deal to be announced today. however, as you mentioned the deal could be announced as soon as tomorrow which leads me to believe the wheels are still moving here. >> on some level you would expect if the u.s. will come out

and say we're going to take control of u.s. tiktok, china would say no you're not. why not block this deal. >> tiktok is caught in the middle there's a september 15th deadline where the u.s. says yes and china says no, the u.s. can come back and say we're banning tiktok on the 15th it could lose quite a bit of value as all of the various tiktok influencers go elsewhere. as people that work at the company are caught in the middle tiktok has been fairly forward from what i understand with its employees saying if we are banned in this country, you will still get paid don't abandon us we hope this is temporary. really, we don't know how long a ban would last there's a serious risk they don't want to get banned

that's why last week they sued the u.s. government over that ban to try the delay it if they could. it could spiral down a road that's very bad for the economy. >> the deal gets snagged that the chinese want a say so but doesn't the u.s. government have exactly the same abilities to veto a deal to any potential buyer, number one and number two, where has the talk gone that the u.s. government might want to get a cut out of the deal which is, let me just put it this way. if a previous democratic administration had spoken that way about some multi-national deal, i do not think it would be well received. >> to your first point, you're exactly right. the u.s. and china now in essence have the right to allow

or not allow a deal. mie microsoft and oracle have been in talks for week. they have this secure data storage element to them which will be okay for the u.s. government and larry elson close to the trump administration, there's been stories about that. microsoft has been working closely. walmart is huge company many the u.s. that's the first point the second point whether or not the treasury will get a cut, we don't know where that stands fl there's been a lot of talk about we want one. then no, we don't want it. it needs to be a deal before we even figure out what that means. my guess is on that one, there

will be some sort of twist of language around it this is a taxable event. it's fair point. we don't know where that stands in terms of government wanting that >> we put this company into play kelly. >> i can't wait the see how it turns out. never seen anything quite like this appreciate your reporting, sir thank you very much. don't forget to go to cnbc.com to get the latest and whole story on the tiktok saga ty >> tiktok to zoom. zoom video stepping up as the place to be in 2020. who really heard of zoom a year ago?

not many people. now everybody knows it shares are up 350% this year the stock set to report earnings after the bell the traders will tell us if it has more room to zoom. another company profiting amid the pandemic. that would be advanced auto parts. the ceo will tell us what the path forward looks like. morepor nc after this sion tech. find a stock based on your interests or what's trending. get real-time insights in your customized view of the market. it's smarter trading technology for smarter trading decisions. fidelity. at cdw, we get there's that's why cdw experts, partner with apc by schneider electric

to keep you up and running with a full range of edge computing solutions, including the new lithium ion smart-ups u.p.s., with two times the battery life and cloud enabled remote monitoring. so you can deploy data center like resiliency, with a performance and certainty you expect, and the ongoing support you need. for i.t. infrastructure and uptime, you need apc by schneider electric... an i.t. orchestration by cdw. people who get it.

all right, folks starting the phase two and three trials for an antibody treatment

for covid-19 that's not the only news meg joins us with the details. >> let's start with the news on the antibeside trials. th this is the first human trials. in this age of condensed clinical trial time lines they will test it in about 20 people for safety and if that looks good, they will expand it to 1300 people in a phase two, three trial. the goal is to prevent covid-19 from becoming severe and requiring hospitalizations this followed last week's safety trial and lily and regeron in the late stages for treatment and revenprevention with the antibeside druantibody drugs. the vaccine news continues to come novavax reached an agreement in principle with canada.

for canada to purchase up to 76 million doses. that's if the vaccine is successful in clinical trials and is approved in that country. it could be available as soon as q2 of 2021 we're getting updates on the enrollment progress for other vaccine trials underway in the united states. phase three from moderna and pfizer both of those companies saying they have now enrolled more than half of the participants the 30,000 people they plan to enroll in those trials when we see ruls esults depends face and how much infection the people many those trials see tyler and kelly. >> let me ask you a quick question here. the novavax deal with canada is similar to one, as i understand it, the u.s. government made with, you'll have to remind me i think it was pfizer.

are these bets that these companies are be first to market or are they really rather more like an option or a hedge on those companies. >> probably all of the above you're exactly right the government did make that deal with pfizer to pay if it's approved or gets authorization it doesn't pay anything unless the vaccines available governments around the world are probably trying to make bets on which vaccines will be available. which will work the best all of this going into the considerations of where they are trying the place purchase orders right now. >> all right,sir thank you very much. let's go to seema mody for "trading nation. >> one of the hottest stay at home stocks said to report earnings back at the bell.

zoom video major beneficiary of employees shifting from work from home set ups during the pandemic. analysts expecting the company to increase sales by more than 240% in the three months ending in july. michael, there was the note from justice of the peace n jpmorgan showing 50% is using zoom which of these competitors do you think can give zoom a run for its money? >> i think microsoft teams is the one that will give them a run for their money. the many problem with microsoft teams is it's mostly internal systems. employees in the same company are using it and using it a lot. we do. your i.t. department mostly controls it. they don't like you to go

outside and video conference with people outside with microsoft teams. google has something called meets. right now zoom does own the market here. the competition is getting heavier. i think it's still zoom's market to lose. >> mark, the stock continues to defy gravity it seems to be thrown out the door it's trading at 215 times forward earnings how do you trade the stock here ahead of earnings. >> i think that's been something that we have all come to depend on in recent months and years and know it continues to work. it's really a tough call i like the stock

i think a lot of these now covid plays are worth being in on an immediate term but i think short term, it's really a coin flip and it's difficult to justify buying the stock here if you haven't owned thinking it's the right risk reward. i would look at buying the stock really in the weeks to come. if you pull back down 275 or 227 near august lows certainly it looks great it's worth holding out you will get a chance to buy it over the next month at lower levels >> moment of truth thanks for joining me. head to our website or follow us on twitter kelly, back to you thank very much. still ahead, keeping the economic engine running.

surging used car sales providing a boost to auto part stocks. we'll speak to the ceo of advanced auto parts about that how the stock is riding the software surge divering for dividends where can investors find yield in this market we'll ask steve grasso stay with us give you my world ♪

♪ how can i, when you won't take it from me ♪ ♪ you can go your own way ♪ ♪ go your own way

your wireless. your rules. only with xfinity mobile. welcome back, everybody. i'm sue herrara. joe biden criticizing president trump for what biden calls trump's weak response to the pandemic and being subservient

to vladmir putin he says trump is incapable of stopping racial unrest and violent protests >> this president long ago forfeited any moral leadership in this country. he can't stop the violence because for years here formented it he may believe mouthing the words law and order makes him strong but his failure to call on his own supporters to stop acting as an armed malitia in this country shows how weak he is >> president trump will be traveling to kenosha, wisconsin to address the unrest there. the head of the house oversight and reform committee says she wisubpoena louis dejoyo documents regarding mail slow downs and cost cutting measures. we'll be monitoring that for you. ty, back to you. thank you very much. the dow, a newly reconfigured

dow with four new constituents today is down by the 229 points. the s&p 500 basically flat records earlier, flat just a little bit down. less than .1 of a percent. the nasdaq motoring ahead as we concludes what has been by any standard one of the best augusts for the market in the last three decades. the nasdaq up a full percent oil market closing for the day dom has the numbers. >> oil prices are fractionally lower on the day as well with u.s. benchmark west texas intermedia intermediate right now $42.72 half of 1% declines. brent crude down about 1%. now this up trend does remain in place for oil prices since the covid pandemic lows. prices have been locked in a tight range over the medium term as uncertainty over demand recovery still clouds the whole market

the wti prices can seem to break above $43 sustained or go much lower than $40 sustained earlier in the day the u.s. energy department reported d domestic oil output rose it's more than in may but still well below the 12 million barrels created per day that we saw back in april. back over to you >> thank you throughout retail earning season we heard many reports be crediting government stimulus boosting sales now the same companies are fearing what happens if there's no deal for more money we'll talk to the ceo of one such company coming up let's go to kayla for the latest on the negotiations. >> reporter: there's no love lost between the white house and the democrats as the stimulus negotiations remain at a stalema stalemate. according to meadows because

pelosi wouldn't detail what comprised her 2.2 offer. >> even on her $2.2 trillion counter offer she can't tell the american people nor me what is in that. i can tell you what is in the offer that the president made and he's willing to sign >> reporter: the pelosi camp says he did not detail what comprises the $300 billion that the white house has come up and the pelosi camp does not see talks as being life. we eagerly want to resume negotiations we can't do that until republicans come up. we need a number high number to address the urgent needs of the american people and crush the virus. we can't do that with the level they are at.

the white house can do $1.2 trillion as members in the gop who have concerned about debt and the deficit where working on a bill comprising about half that that would contain only bipartisan programs like ppe and expanded unemployment benefits that's going even lower than the halfway ark. pelosi is set to hold call at 4:00 p.m. today with her caucus to discuss next steps. we'll bring any details we get after that back to you. >> thank you very much one area consumers had been using stimulus checks was on cars used car sales spiking more than 16% in the past month according to edmonds this trend benefits the auto parts stock. advanced auto parts reporting a huge and i do mean huge sales surge last quarter with us to discuss more is the company's ceo. welcome. good to have you with us let's pick up with the idea that

kayla just left us off with and that is how important those stimulus checks were, enhanced unemployment benefits you just turned in and it was fabulous. how important was were the checks and if they don't come through, where does it leave you in. >> good afternoon. thanks for having me there's no question the stimulus and unemployment benefits helped us in the second quarter there were some other externt factors that helped us as well when you have a challenge macro economic environment, it means less new car sales when that happens, you have an aging fleet and it means more repairs and more maintenance on the vehicles in addition, the most recent environment with covid you've got a big concern about mass

transportation people don't want to get on subway or bus or airplane. that makes the personal vehicle so critical and people have been very focused on that in the last couple of months in addition, they have time op their hands. you can't sit in your house and look at a computer screen and watch netflix all day. eventually, you get some work in the yard or on your car. regardless of the stimulus benefits on unemployment, there's some things going on that's benefitting us beyond that >> one of the things that stood out to me as i was reading up on your company and that second quarter is how far off theagists were on sales groel s growth whs fantastic. adjusted eps and so forth. what did they miss here >> th they were way off. >> you're right. there's so many factors going

on there's a lot of variables out there that are causing major shifts in consumer behavior. it's important to be out in front of those shifts. we had to repurpose or advertising in april due to covid. we launched a suite of services. we were the first company to do that advance same day curb side which gives people no contact and free delive delivery >> obviously, you've had to take steps to protect your work force from viral spread, your customer base from viral spread did you see in that second quarter or are you seeing today regional differences in terms of sales strength >> we definitely are we have taken safeguards

there's really nothing more important than the health, safety and well being of your team members and customers i think companies that learn that more than ever in the recent months and we have been doing it for a couple of years we launched very unique stock ownership program a couple of years ago where we give stock brands to our front line team members. it's dramatically improved separate separately -- it was extremely helpful for us during the pandemic because health and safety is extremely important for the company. we have been on it for a couple of years and reduced our incident frequency rate, our collision frequency rate and when the covid pandemic hit, we were very quick to get the key

actions up to our people and keep them safe it's a unique time there's nothing more important than the health an safety of your people. >> quick ten-word answer or less how is the current quarter stacking up? >> we feel good about it we're launching die lard which is an iconic american brand. it's going to be really exciting we have some great innovation coming up on it. more to come looking forward to it. >> all right thank you very much. we appreciate your time today. continued good luck to you kelly. thank you. coming up, a potential tv deal some bullish analysts coverage and a bio tech is bought out by a company you might not expect a data dog had a huge surge since its ipo. stay with us

♪ ♪ ♪ ♪ ♪ - we did it!c) (crowd cheering) - [narrator] wherever you start, snhu is where you can finish.

(crowd clapping) (crowd cheering) - here we go. - [narrator] and it's it. - [group] yay! - [narrator] you did it, high five! - southern new hampshire university. - [man] that gets a hug. (laughing) - look at that! master's degree, i did it! - i did this for my children. i am very proud of myself. - [narrator] finish your degree at snhu.edu. some companies still have hr stuck between employeesentering data.a. changing data. more and more sensitive, personal data. and it doesn't just drag hr down. it drags the entire business down -- with inefficiency, errors and waste. it's ridiculous. so ridiculous. with paycom, employees enter and manage their own data in a single, easy to use software. visit paycom.com, and schedule your demo today. [ engine rumbling ]

[ beeping ] [ engine revs ] uh, you know there's a 30-minute limit, right? tell that to the rain. [ beeping ] for those who were born to ride, there's progressive. all right. time now for some monday movers. at&t is hoping to sell directv and that could clear the way for

directv and dish to get together rack space will report results after the bell today and for the first time since going public several brokerages initiating coverage on that stock eight firms all rating the stock a buy and out perform or an overweight that's pretty good finally, immune therapeutics, the biotech company is working an a treatment for peanut allergies. the buyer is nestle. it has a growing health business >> big in pet food thanks very much another big mover to tell you about is data dog. the stock has doubled this year and tripled from its march low >> kelly, data dog has delivered. pull up a chart and you can see

just a remarkable run data dog has seen here. also worth noting and its market in the last five months has more than doubled to about $25 billion. company offers a platform allowing customers to monitor the performance, they're apps, networks and computing infrastructure let's say you're an i.t. manager at a retailer. you can use data dog's tools to make sure your company's apps are all working like they should that's important because so many more people are now depending on online services during this pandemic data dog helps companies spot technical issues if and enwhwhen they pop up. jacket andrews says rooifivals l include cisco, new relic and splunk they are developing and introducing products faster than the competition. on the other hand, only analysts

have concerns about valuation at these levels and the company is not immune to economic turbulence earlier this month, data dog did say macro uncertainty is having an impact. the stock is down about 10% in august back to you. >> josh, what about possible acquisitions it's interesting to ask about them being the target. with their share price, they could be looking at other players. where do you -- i'm sure this is caught the eye of larger rivals, right? >> whether it's an acquisition target, i spoke to jack andrews. jack would argue in theory it should be strong management, strong technology, strategically very well positioned but $25 billion jack's point is probably this point only the biggest of the big enterprise companies to really make a play here so probably reality less likely, guys >> yeah. understandable josh, thank you very much. josh lipton on data dog for us ty >> kelly, coronavirus leading many people to move out of big

cities but it's far from the only reason we'll take a look at the problems facing los angeles and san francisco especially when "power lunch" for a moon returns. woman: my reputation was trashed online. i felt completely helpless. my entire career and business were in jeopardy. i called reputation defender. vo: take control of your online reputation. get your free reputation report card at reputationdefender.com. find out your online reputation today and let the experts help you repair it. woman: they were able to restore my good name. vo: visit reputationdefender.com or call 1-877-866-8555.

many big cities are facing an exodus, there went my wife running hund me, facing an exodus as work from home makes city living less necessary san francisco and los angeles experiencing that as well as several other problems we are looking at california's troubles >> hi, tyler that's right california is the world's fifth largest economy but since the pandemic, it's been running into a lot of challenges which could end up pushing people and companies out of the state in recent weeks, extreme heat

prompted power outages and sparked record setting wildfires and the pandemic, of course, caused a lot of economic pain as well the unemployment rate is the highest in the nation. those factors plus work from home policies could be causing an exodus. a new migration report by red fin finds that in july more people are looking at leaving san francisco and los angeles than any other metro area after new york those folks are searching for homes in more affordable areas like phoenix, las vegas, austin. keep in mind, last year was the first year in a decade the state says there were more people leaving california than moving in and that also matches up with the trend among companies, spectrum relocation solutions telling us between 2008 and 2019, 18,000 companies have left california for more tax and regulatory friendly states like texas, arizona, nevada

those companies include charles schwab and kar schwab and carl's jr. to name a few. another company making news announcing it is moving to denver will back to you >> california, manhattan, lot of focus on the places that people are leaving lately thank you very much. meanwhile, the fed's promises to keep rates lower for longer where can you go to find yield weavprsi awers next. i'm hector. i'm a delivery operations manager in san diego, california. we've had a ton of obstacles in finding ways

to be more sustainable for a big company. we were one of the first stations to pilot a fleet of zero emissions electric vehicles. the amazon vans have a decal that says, "shipment zero." we're striving to deliver a package with zero emissions in to the air. i feel really proud of the impact that has on the environment. but we're always striving to be better. i love being outdoors, running in nature. we have two daughters. i want to do everything i can to protect the environment to make sure they see the same beauty i've seen in nature. my goal is to lead projects that affect the world. i know that to be great requires hard work. now you can trade stocks and etfs for any amount you choose instead of buying by the share.

all with no commissions. stocks by the slice from fidelity. get your slice today. big tech and growth names dominating this market for those looking for safer plays, good yeelz can be hard to find according to henderson globe dal dividends plunge second down 2% or $108 billion last quarter now the federal reserve paved the way for lower rates for longer so here to help us hunt for yield is "fast money" steve grasso with the patriotic face mass to being day. welcome. give us your top names >> how are you >> good. >> take it from -- let's say best to worst or let's say in my

opinion safest to least safe it's outperforming the overall market it's wind and solar. that does have nuclear angle to it but the wind and solar is what attracts investors the second is pfizer this one i owned forever this is a real example of a dividend that the stock is basically down 3% year to date it's dividend is 4%. so you almost given back all of that advantage of putting a dividend play. but it is in the center of covid-19 and all the other things that are involved in the environment while i'm wearing a mask today this does have a history of blockbuster drugs.

exxonmobil is down 42% year to date you get roughly a dividend yield of about 8.7%. that will be gobbled up in that year to date performance in a bad way. so if you have some risk appetite, you want to reach out further on the spectrum, exxonmobil and then if you don't want to play a name specifically, you can play the pro shares 500 dividend, nobl. these are the top paying dividend plays these are supposed to be the most say credit dividend plays 1% to 2% there you have it. i'm not a big fan of using dividends to outperform the market if you're so inclined, there you go >> i like how you structured

it's like goldilocks you know, different bowls of porage to pick from. good to see you. tyler, we're going to call that a jexit. that is a joe exit we witnessed earlier. >> i thought i had ten seconds >> i know when i have ten. >> we got to go. we'll see you later. >> good afternoon, welcome to the "closing bell. i'm wilfred frost along can sara eisen. the nasdaq soaringtoday. health care consumer and discretionary higher today vice chair