interest rates are lower it's just a whacky session, ty >> very interesting to see retail up there. the beauty company, ralph lauren up is there in the green earlier today. it's been an interesting hour. and the next one promises to be even more so st. >> yes, indeed thanks for watching "power lunch," everybody. "closing bell" starts right now. >> thank you tyler and kelly a massive selloff. one that stocks could only go up, the winning streak is over the dow is now down 900 points we're looking at session lows as we head into the close welcome, everyone, to "closing bell." i'm sara eisen here with wilfred frost g frost. good by 12,000 let's look at what is driving the action big tech is at the center of the storm right now. apple down 5%. shares of faang stocks are lower. tesla is down 8% the vix trading above 30 for the first time since july. volatility comes back to this market

the only stocks that are doing well right now, some of the reopening trades and some of the big laggers for the year like cruises and airlines and some retailers still in the green energy stocks also outperforming. is this the start of a serious correction or a buy the dip opportunity we're diving into that debate. 59 minutes left of trade >> 59 minutes of of this roller coaster session. lots of guests as well the market pulls back. we'll speak with three ceos that got insight into the state of the consumer, their spending and recovery in america. the ceo of campbell's soup will join us on the back of had his company's earnings results that stock down 7% right now plus, we'll get two reeds on the beaten down travel sector with glenn fogel and mark hopelinger. we'll speak with nick clegg about the new policies surrounding the election looking forward to that one. let's get straight to our top story of the day the market selloff mike santelli has more on the

major market pull back. >> a big pluflush of the hot moy also taking the whole market down take a two year look the reason noor you is get several times here where the index nosed above to a new all time high. as i pointed out, it often just has to kind of come back around and maybe retest and check to see if that break to an all thyme high is okay obviously this one was major that was a one off a major shock. st but if we did have to go back and see if that high breakout is okay, you are talking about a couple percent down on the s&p 500. it's nothing major when you look at it this way, you see it is very common to have it in this rolling fashion as opposed to just blasting off to stay once we get to record highs. look at the nasdaq along with kind of a couple of trend indicators of the nasdaq this is a 21-day average i pointed this out numerous times. we bounced off it a few times in the spring we had little pullbacks. we went way up to the top of that sort of path that it's been traveling on for a while

and now here we are about half way back down to that line it would be, again, another 3%, 4% in the nasdaq to pull back in the context. if it's just going to be another one of these little tests, a little basic retracement of the move higher, that's all it would be obviously remains to be seen the big liabilities of the market for a long time have been sentiment and stretch technicals i don't think today took care of all of that it goes a long way towards beginning that process if nothing else and then just in terms of the sector mix, here's nasdaq 100 against the banks. people keep saying is it rotation it's not a rotation. this has to come off the boil. what is going to happen to these? are they going to take up the slack or also get -- come under pressure it flattened out in terms of banks. this is basically the greatest gap we've had in this whole run in the last year or so there was pretty close as well the banks are holding up well.

mostly because it's the laggers doing well and one reason, you point out the cruise lines and the structurally challenged retailers f you're a long short fund, you know, you're selling the long ands buying back the shorts so to some degree, it's where the is market crowding and where is the market neglecting >> exactly >> is there a why or triger? jobless claims are moving in the right direction. going lower, below that one million mark so is it positioning is it, you know, the frothiness? is it the president tweeting out about dow 29,000 last night? >> i think it's about the way the market got stretched in the buying in the last couple of weeks or so.

created a lot of the fevered option and basically created a more volatile take as we went to new highs. and a lot of that i think is there are president trump tweeting about the market and taking, you know, that does all coincide with the start of pull yakz one tweet out of the blue, not sure that really has statistical relevance. >> mike, thanks so much for that 55 minutes left in the session the nasdaq is down 5.5%. now shares of facebook also moving loyer today it's going to tackle will misinformation on the platform including banning new political ads in the week leading up to the election and flagging premature victory posts.

thank you for joining us. >> good to be on your show >> i wonder what you would say today to the critics that have looked that fresh announcement and it has not achieved a great deal that provided an ad is still uploaded at least seven days before the election then it will be seen for that final week at the campaign regardless >> well, i think the proof will be in the pudding, i'm sure. people will immediately pronounce on these announcements and say the go too far or not far enough i hope people will, you know, not just buy the action and the way we enforce the policies, they're unprecedented. they're unprecedented because, you know, we're living in unprecedented times. this election is like no other time like no other they're set out today from limiting the number of messages and on mess efrpger to labelling

posts from candidates. there are moving concepts. and i think much more problems and then you seek to delegitimatize the election. it's because if someone runs an ad at the last minute which, you know, very misleading and polarizing, there are opponents and we in the media don't have time to scrutinize and answer back and that's why we confine the guardrails as they are to the last week of the campaign. >> as he said, it's easy to find some loopholes here. and the fact that you're not

doing widespread on political ads, they raise questions about whether this is a pr stunt >> that is not a pr stunt. that is a very real constraint on what the ads can be run and what ads you'll see on your news feed look, almost no one -- i don't think any major silicon valley fact checks what politicians say about each other because what politicians say about themselves and about each other is always full of exaggeratio exaggeration caricature and facts and so on. the idea that a private company sitting in silicon valley should be the sort of solar about iter of when web caricature and exaggeration becomes something which is simply not true is something that, you know, no one tried. it's almost impossible i suspect to do it

what we are ensuring is a huge level of transparency. all the hands go into an ads library, far more transparent than political ads that are run on television or radio or in the printed press. you can see who paid for political ad, who is targeting and when they're running it and different variance of the political ads. so we believe that that mixture of extreme transparency with this hard limit with new ads cannot be produced for a week up to election day hopefully will will mean the ads do what they're supposed to which is allow politicians to communicate to voters, get the voters to vote in the first place. but avoid an ad being run at the very last minute in a way that sort of hijacks the final stages of the campaign. >> i think the bigger issue here, what i struggle with and i think a lot of people do question is that this isn't necessarily an ad problem. the misinformation tackling that you've been trying to do, it

still seems widespread, whether it's, you know, factual misinformation about the coronavirus and health and vaccines, whether it's white supremacy pages. you know, whether it's militia pages with calls to arms these are still posts by users flagged many times too late. and that still get passed around to millions if not billions of people it just feels like your policies are very piecemeal and reactionary to the whole issue of misinformation. >> i don't think they're quite piecemeal or small scale as you seem to imply. i mean, we've taken, you know, since we announced a couple weeks ago the measures we're taking against q and r and other militia groups we've taen thousands of pages down we removed we label millions of

items related to coronavirus and directing two billion people around the world to a lot of information on coronavirus virus. something that we're mimicking through a voter information center that you'll see on instagram and facebook pretty will every day at the top of your feed providing people with reliable information yes, i totally accept that sometimes we don't react fast enough on individual piece of content. we're getting better and better using machine learning and a.i. systems to do so but i think to say that it's piecemeal or not ambitious i think is unfair characterization of what facebook is doing right now. >> nick, i want to pivot if i may to more broadly the impact that facebook has on polarization in society. on the 24th of september last year, you gave a speech to the atlantic festival in d.c

and in it you said while newspapers and tv journalists analyze, ridicule, rebutt and amplify the statements made by politicians, that "at facebook, our role is to make sure there is a level playing field, no the to be a political participant ourselves. i get that you personally no long rer a political participant. but aren't facebook's algorithms that push more political republican content that like that footage and more democrat content to people that like democrat footage precisely that? aren't they showing that facebook does amplify views? >> the evidence is a lot more ambivalent than that in countries where there is an explosive growth in internet and social media, other organizations actually gone down or remained stable this doesn't appear to be a causal interview

you look at the use of social media around the world between use of social media or polarization i accept which might sound counterintuitive but it makes some sense the vast majority of content you get on your social media feed is content that you are either interested in or crucially that you share with family and friends. who you are friends with on social media is the biggest signal that is used to determine how pictures of your siblings' daughter's birthdays is the first thing you on your feed and generally what we find is that people's friends have a fairly mixed view, for instance, fairly mixed political views in many ways more mixes and more diverse i had logically on the news feed than the same readers of the same often what can be quite partisan and newspapers. so i totally accept there needs to be more research and i announced and we announced at

the beginning of this week that we're working with independent researchers across the united states for the first time ever it's it's an unprecedented research project to really establish this time around in 2020 what the effect of social media is on voter behavior but the research and the evidence such as it is doesn't suggest that there is an automatic link between the use of social media and polarization >> maybe it doesn't suggest it automatically. you cited that some countries that are just growing into their internet use and might not show that but i mean clearly, america is very developed in that sense. are you saying that you accept that if it were the case that your algorithms did in any way push partisan political content on to people who have shown a fondness of that political content in the past that that would be wrong you are accepting that >> i think we're accepting we want to try to make sure that people, of course, see stuff that they're interested in, that

they engage in and find rewarding and enjoyable and we eliminate on a huge scale, i mean, we remove millions of fake accounts a day we remove or label or look at people's feed any post that leads to our so call community standards whether they're rules against everything from inciting violence or fraud. the we constantly try to get that balance right and where we get it wrong we constantly update. >> but with all due respect, i get shown endless, endless videos of arsenal players scoring goals because i always watch them you're saying where we acknowledge that we might be getting it wrong we address it i don't think you've addressed ever the fact that people get shown lots and lots of videos and content of stuff they have shown a tendency to watch. when we approach election that, is a lot of political content.

you say you don't take a position and that's the right action surely you must acknowledge that is not what is going on at the moment on facebook >> firstly, i get a lot of videos on fullham goals. >> there aren't many fullham goals, are there >> they're mostly on the premier league i draw a distinction between making sure people see things that clearly in your case, you want to -- you're an arsenal fan i take it. therefore, you engage in that content so you get more of it. the news feed is clearly seeking to try and make sure there is content whether it's about your friends' holiday or your family celebrations or whether it's arsenal goals are prominent enough in the news feed that you get to see them. the algorithm in a sense is trying to deal with a very simple problem, quite complex to solve which is this. there is an infinite things can you do as you scroll down and

look at as you scroll down the news feed. but there is only so much time, a few minutes at a time, sometimes that, you actually look on news feed. so what is, of course, ranked higher is tremendously important. the friends you have and what you engage is in a reasonable signal we don't believe it's our role as a private company to take a political stance in the political debate that's happen on our platform just as they do in any other communication media. >> in the vacuum you have to operate in, it's an impossible job to please everyone and we also accept that as you just said, the company does not want to take a specific political position and believe that you are not doing that. that said, from a pr perspective, given the role and title you have, are you the

right person to head up the department that makes decisions when going into an election that you described at the top of this interview like no other, when you tweeted in july 2018 he, referring to donald trump, dislikes everything i believe in and believes in everyone i dislike. >> i was the leader of major political party. i can hardly bury my own political views that i held over 20 years in public life. i can distinguish my own political views from what facebook z i'm not going to inflict my political views, no individual does. we have objective views. i agree with you strongly that in the long run, many of these issues shouldn't actually be decided upon by companies like facebook or indeed by people like me in facebook at all in the end, issues about the relationship between social

media and elections, for instance, this issue about how political ads should and shouldn't be run when they should and shouldn't be run, it would be more preferable if those were roles that were established by lawmakers, legislatures around the world, democratically accountable to their own voters i do believe in ten years, we will will see new rules of the road established by governments and that's only right and proper it's only right and proper that what is a relatively young industry, facebook's only been around for 15 years or so, over time like almost any new technology, it takes bate of time for the rule makers if i can put it to catch up i believe that's exactly what is going to happen over the coming years. >> my final question also is a pr related question, nick. do you feel that facebook has gone far enough? a lot of people don't, in it terms of recognizing some of the damaging effect it's had on society with regard to spreading

hate and misinformation and all these issues we've been talking about? do you feel like the response has really been robust enough, the stop hate for profit movement where loads of corporations that we cover every day pull their political ad spending and the response public response is that you expect them to come right back >> no. i don't think that's fair. i think the response has been a lot more -- look, i can only point you to objective organizations. if you look at the recent report issued by the european commission, they were having compared the way we deal with hate speech. hate speech deals with hate speech compared to other platforms, twitter, youtube and so on. we are in the lead in terms of identifying material certainly we now -- and we public every three months openly how we're improving on going after hate speech before anyone reports it to us we have transformed our ability to do so of course there is always more

to do. if i look at what facebook was doing in 2016, didn't have fact checkers we were not -- we didn't have the same community standards enforced in the way that they are now. we were not removing hate speech on a scale that we were. we were not removing millions of bank accounts on the scale that we are now we in 2016, we didn't take down one what we calil coordinated th russian style networks wet have taken down 100 over the last two years i do think people will say that it's not enough? of course. people always -- and it's right that facebook should be put under pressure but is facebook today 2020 completely different than what it was in 2016 yes, i think any fair person would say that it is >> nick clegg, thank you for joining us we appreciate your time. >> thank you >> taking our questions, nick clegg of facebook. we're looking at a major selloff

in the final hour of trade will going into the final half hour, we have the dow down at session lows by 980 points right now. almost 1,000 points decline. after the break, even big earnings beats couldn't save campbell soup from plunging today. we'll talk to the ceo about the results. and consumer trends he's seeing. you're watching "closing bell" here on cnbc this piece is talking to me. yeah? so what do you see? i see an unbelievable opportunity. i see best-in-class platforms and education. i see award-winning service, and a trade desk full of experts, available to answer your toughest questions. and i see it with zero commissions on online trades. i like what you're seeing. it's beautiful, isn't it? yeah. td ameritrade now offers zero commissions on online trades. ♪

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the s&p 500 is plunging right now along with the broader markets. down more than 4%. we have not seen a move like this in a while. we're looking at tech leading the charge lower the nasdaq is down sharply the dow now down 1,000 points. a little over 1,000 points 30 minutes left into the close technology leading the selling it is getting broad based. a lot of the winners we had seen in the market, the stay at home stocks, software stocks, technology stocks like apple and tesla all getting crushed to day in the selloff shares of campbell's soup are taking a dive along with the rest of the market this despite an earnings beat and strong sales growth in the fourth quarter

campbell's soup ceo joins us now for an exclusive interview mark, the stock is down 8% i get that broader market is selling off. the message you projected today to the street was pretty positive in terms of the underlying sales growth. where is the disconnect? >> i think, you know, in all fairness to investors right now, it's difficult moment to try to project. and as we came ourt today, we di provide near end guidance. the longer term guidance is more general in nature. that leaves investors with the short term to judge. and i think what really is going to be the tale of the tape of this moment for companies is not just the here and now but really how we come through the pandemic on the other side. and so our focus really has been around that. taking advantage of a tough moment to make the most of it by investing in marketing and really trying to solidify relationship with the millions of new households that have come into our franchises.

i think this is one of the windows where even in it times where we may be baa bit constrained oon supply, we want to make sure we're doing everything to strengthen the relationship has you pair that with the work we had already done to simplify the portfolio. we reduced debt. we're now at a level that is 12 months ahead of our plan we got an organization that i couldn't be more proud of how they executed. starting with our front line teams all the way and navigating this difficult moment. i think what we're going to see is a situation where we come through this in a very advantage position i think companies that right now are only focused on incremental sales that aren't focused on building strategy, i think, you know, those are the ones in a are going to be in bate ofa bita disadvantage >> i'm curious what you're seeing from the consumer now we've seen a bump in the unemployment benefits. has there been an effect on grocery trends and buying of your products versus what we saw

a few months snag. >> yeah. i think certainly as we work through the cycles of the pandemic, you know, we've seen some, i'd say, some positive trends, for example, on things like cooking initially, you know, we saw a surge in that behavior out of necessity. and now six months later, consumers have built it as a real muscle. and so their confidence and commitment to that behavior is one reason why expect to see that continue on in the beginning it may have been a simple recipe now consumers are able to build in their own creativity. i think that is a trend we'll see continuing i do think there is some normalization in categories more so on our snacking side than perhaps what we're seeing on our meals and beverage side. come into a high entertaining season with initially football in the fall and then into the holidays i think we'll see how that plays

out. you'll have the on going stay at home behavior kind of grazing and snacking on a more regular basis. but what we see as much of the entertaining and the party volume is onest things that we're watching very closely h-back to school depends on where you are in the country whether your kids are in school learning in person or whether they're doing it virtually signals very different levels of demand and different items and what we're trying to do is really adjust our approach so that we're able to meet the needs of the consumers in a more surgical way and more specific to where they may be or what cycle in this pandemic they're in >> i know you've been trying to resupply the gold fish ahead of back to school a bit of a supply crunch there i guess what i'm getting at, and it relates to the broader market and the environment we're in is the financial health of the consumer right now and how you particular fon ar

environment whe plan for an environment where you don't know if we'll get another stimulus with the double digit unemployment rate. and at what point that hurts campbell's >> yeah. well, i think, you know, we said all along that of the macro trends that we expect to see shaping the future and again this goes well beyond just the pandemic moment we're in has been this orientation around value. and i think for us as a company, you know, we feel and historically speaking we're pretty well positioned to meet those needs. and if you pair that with some of the behaviors i was talking before about cooking and the ability to feed your family at a relatively lower price by cooking simple meals and utilizing products versus potentially eating out or as you're making tradeoffs, being able to do it with the soup at a fairly economical but also able to meet the needs of your family i do think what we're seeing in market right now is not a major

step down but an initial what i call defensive economic behavior people are doing it in smaller, more frequent shopping trips people are thinking more specifically about each of the trips. what i do really need now versus what we were seeing a couple months ago where we were really loading up pantries. i think what we have to make sure is that our presence, our frequency and promotion in marketing is at a higher rate to make sure that we're meeting consumers when they're going in to purchase instead of just setting up that one time big time purchase. that is an early indicator i do agree, i think value is quite important as we navigate through this period and probably well into the future >> sure. mark, love to you have back on to talk more about consumer trends we've got a major selloff on our hands here thank you for joining us >> thank you for having me on. worst drop -- thank you. worst drop for stocks since

june the high flying chip sector getting wrecked in today's session. we have a look at the movers what do you see? >> so, sarah, remember semis just rocketed off the march lows, surging 80%. it is deep in the red on track here for the worst day since june two analysts did tell me some of the selloff could be due to siena, a company that bults on tickal components. the cnn outlier or the start of a broader trim so what are the potential concerns that they need to watch for in the months ahead? one chip analyst told me is price valuation and election how does that impact u.s.-china dynamics in the months ahead >> thank you for that. still ahead, some of wall street's most loved tech names are seeing the biggest dein today's session. we'll speak with an analyst that has a bold call on where the

stocks should head next as we head to break. a check on bonds which is seeing big moves as well none as pronounced as the equity markets. the ten-year yield is down 0.62%. nasdaq comp down 5.6%. we're back in a couple minutes i like liberty mutual. they get that no two people are alike and customize your car

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let's get back to the broader market liz ann saunders joins us. down over 5% on the nasdaq it's the recent outperformers and tech side selling off the

most very clear broad selloff does that suggest this idea of when tech stocks do pull back and lead to a rotation is inaccurate and if things start selling off, everything gets dragged down >> it can be a little bit of both you can see a rotation in the market you're seeing that with a huge spread between, you know, 6.5 drop in tech and energy which is the best performing sector it is still down 1%. that is a significant gap. i think can you have a combination of a pullback. by virtue of the power of the size of the big names, if they have big selloffs, they're going to drag the overall index down given that top five market cap stocks make up their own -- it can be in combination with a cyclical area. the rub there is that i think the economic data will have to stay for the most part on a positive trajectory to justify the rotation into the more classical cyclicals.

thast that's the risk if this rotation continues. >> i think what makes it scary oern a d er on a day like this is the slides come so fast and abruptly the market can't go up every single day forever fwhe we were in a very long streak so perhaps we were due to get 4%, 5% moves can be a scary thing to look at your portfolio. so what do you tell your clients when they call you and say what is happening should i get out >> that's scary. but that's the nature of a move like this. when you have such narrowness in the market and such dominance by a small dwrup of names, it's hard to pinpoint the precise time we'll see a reversion in whatever form that takes as you get more stretch, the likelihood that it happens more swiftly in a condensed period of time increases there is an appropriate risk with a small percentage of companies. when you add in not across the spectrum of cohorts in the market but certainly a

tremendous amount of speculative frenzied activity in certain pockets of the market. in just a very small options market i think that also adds to the risk that if you get a catalyst or you -- the catalyst is just that the market starts to rotate or selloff, kit pick up speed quickly. >> this is not the short term, very short term trading. you are know, we've been telling investors to maybe be more mindful of more frequent rebalancing. take advantage of moves. rebalance based on portfolio moves and rebalancing the calendar driven. i'm not sure that just today's weakness is sufficient enough to ease some of the excesses until

the short term folks this is the dip you want to buy. i don't have a clear crystal ball than anybody else but certainly the excess is to just something more than just, you know, a single day compression in the high flyers as maybe necessary to right the ship >> thank you for joining us. travel stocks holding up slightly better compared to the broader market today shares of online travel company booking holdings on a terror since the march lows up 68% from that point for more on whether this rally in the stock is reflected in consumer travel demand, let's bring in the ceo thank you for joining us recent release, 91% fall in bookings for q-2 i guess, you know, year over year perhaps that shouldn't be a surprise that could have been much worse. are you seeing any green shoots since then from that >> we talked in the earnings call that we did see some

continued improvement throughout the second quarter so that is good. of course, now we've seen a little bit of a plateauing around the world as you see either a resurgence of the virus in different areas and countries are saying we're not sure we want to have so many people traveling or not and people getting a little more concerned. when you see the rates go up in terms of infections, you see people stop wanting to travel as much so obviously what we need is a vaccine that will cure our problems >> we see numbers go down, glenn. just in the last few weeks or so since peak you have seen any pickup in activity is it that correlated to what is happening or is it going to take something major like a vaccine to bring that confidence is it. >> i think you really will need a vaccine. that makes people feel safe to travel, to get us back to where we were in 2019. it's not going to happen overnight even after we get that

vaccine. it's time to get that out and distribute it. and we say that recovery for us and for travel in general is not in quarters. it's in years. no matter what we do in terms of a vaccine, it's going to take time >> i want to ask you about the various categories within travel its no the all equal, right? airlines, are they getting hit worse than hotels? if so, what type of hotels we're seeing some leisure demand come back and not business demand so where are the relative winners and losers here in this space? >> no doubt, the airlines took it hardest people are will to travel domestically and close to home can you go to a hotel that is not so far from you. you can still have a great vacation but a lot of people say, you know, i'm not comfortable getting on to an airplane. but, of course, it difference

througho differs throughout the world in china, the domestic air business was down a little less than 30% down whereas the u.s. for that same month of july year over year, we were down almost 0 0e%. so that shows how different it can be depending on how that country is doing in terms of the virus. >> thank you for joining us, glenn. we appreciate the update up next, uninterrupted coverage of the final minutes of the wild trading day when we take you inside the "market zone. s&p 500 is down 3.8% the nasdaq is down 5.25% dow is down 900 points woday for stocks since june we're marching into the close next ine. now we've created a brand new way for you to sell your car. whether it's a year old or a few years old, we want to buy your car. so go to carvana and enter your license plate, answer a few questions,

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with us as well. we have to kick it off with the broader market and the big selloff. we're off the worst levels of the session. but we're still on track for the worst day since june 11th. the dow down more than 1,000 points a few minutes ago it's now down about 900, 879 points the selloff is triggered by technology and, mike, the nasdaq is now looking at its worst day since march. >> it could develop into something healthy and it's also a measure of how persistent and steep the angle of the asent was. the nasdaq 100 made a new high 13 straight days we're now down 5% on that nasdaq composite and we're back to where we traded last tuesday so that tells you, yeah, sure this is a sharp move in a short period of time but it didn't take you back very

far in terms of going back into the past so it's not clear to me that a one day gut check necessarily flushes away a lot of the buildup of excess. now it's just kind of a flush of hot money out of the market initially anyway but the problem is when morality goes for a long period of time and it's strong and people are amazed by it, it's going up on no news, right we're down on no news. it wasn't up on much news. what it means is the last people in had the incremental dollars are coming from people that don't want to miss that move so it's only because it keeps going up that they're in when it stops going up, they don't want to be in. so that is the initial phase of the process. it can be a healthy cleansing thing. it doesn't mean that one day does it. >>is the vix up more or less than what we expect? what are the signals that we're looking toot day that give us in i indication of whether this is just the start of something bigger to come >> it's at a higher level than we expect. it's been very twitchy to the upside so 35 is relatively elevated

what is interesting about it is it's coming from the mid 20s even though the index, the s&p 500 is at an all time high we talked about this incredibly kind of strong stampede of speculation in short term up side bets that did also feed into higher volatility readings out there. a lot of that is getting unwound today. and so that is kind of an accelerant to the move on the upside and down side >> so stephanie, how do you look at a move like today do you consider it a speed bump on the way up and all the reasons you like stocks yesterday? are they still the same today? you are prepared for something perhaps longer, more damaging on some of the headwinds that we've discussed that are still throughout very much alive in the economy in the markets and in corporate america >> well, i think today -- i think seeing a profit taking and seeing some selling today in tech and in growth is very he

healthy. we were on a huge ride it's been an amazing run i look at some of the technology stocks, apple, nvidia, amazon, up 100% to 200% since mart lows. zoom, up 267% since the march lows the point is it's very healthy to see a pullback. i think the other part what is happening no day though, sara, is we had had another day when we had better than expected economic data. i've been talking about this forever. we've seen a recovery off the lows and housing and autos, some parts of consumer. definitely manufacturing today we got better productivity better unit labor costs. better ism and even initial claims still terrible but we're going in the right direction on a four week moving average. then you nad in the ism report the prices index

when you get more inflation that is a good recipe for cyclicals and value stocks i think that's part of what you're seeing today. and i think at the same time, again, tech is way over the skis i think you wait for a pull back someone asked are you buying any tech today no, not yet. they're not down enough yet. i'm involved in the cyclicals and they are helping today offset the weakness in tech. >> they're not down enough yet let's see what dan ives from webbush thinks is this a buying opportunity grour names? i know you're a long term bull on apple 8% decliner a big buying opportunity? >> yeah. i mean, i view it -- my view is faang and tech names go another 20, 25% higher over the next six to nine months and our call really since march -- it's not going to be a straight line. we'll have speed bumps along the way like today healthy pull backs as stephanie is talking about but to me in tech, if i look at the secular fundamental drivers,

continue to be bullish i can tell you today, institutional investors, 2-1 ratio investors looking to buy the dips and what to work on rather than, you know, hitting the sort of exit on the sort of selloff. so to me, continues to be a sort of golden age to buy tech and we're sort of, you know, to us the bullish thesis remains unchanged. >> isn't it kind of a crowded trade, dan doesn't it bother you when every analyst like you is rushing to raise their price targets and everyone is saying bye and goes up every day to the crazy valuations or maybe not? we have certainly heard that before does any of that side of it bother you versus the fundamental case that you laid out? >> yeah. in terms of the overcrowding trade, i mean, there is definitely obviously clear momentum, especially when you look more narrow in tech but to me, the stronger in terms

of the secular growth drivers. 0 years plus covering tech, cloud, 5-g, cybersecurity and, you know, what i think overall some of the mosttrends and lik at tesla the but i view this as opportunities. in terms of just a rerating in tech which i still view in the sixth and seventh inning, not the ninth inning of playing out. and then that is sort of our call as we go into year end. we continue to think faang and tech stocks going another 25% higher there are rallies in the stock prices >> yeah. i think our way to view that is it's farrest through the trees the rewithin own it is not what happens in the next 24 hours in terms of encouraging investors to play the 5-g super cycle. i think this is a once in a decade opportunity for apple

these are just healthy speed bumps as we get there in terms of 150 and our bull case is 1735 you know, especially on retail side p institutional, there continues to be a massive demand i look into what is happening in the market, you know, especially in china, tesla continues to be one up. >> that was the low from today and from yesterday just broke below that. so potentially a key level according to a technical analyst at miller payback. but clearly 405 is a big one

mish mike it shows there is momentum coming out of apple, tesla and zoom which we saw yesterday a little early and then saw it today as well. what is the valuation case right now for a name like tesla? everyone said it doesn't matter until it does when it starts selling off. and then you realize a lot is momentum. >> there isn't -- i mean, there is not a near term valuation case that you point to a specific level it's about big picture, how huge can the market get and what role will tesla have right now it's becoming -- it's an unwind of, you know, clear overshoot in the stock it doesn't mean that couldn' have gone higher it takes even more incremental energy on the buy side to get a stock to continue to go up at that kind of an angle. tesla had many of the sharp

peaks on the chart over the years. and, yes, it's come back from them in the short term, it's crowd psychology the stock was up 50% from announcing the stock split >> thank you so much for joining us, by the way the is justice department is filing antitrust charges against google we have that story >> that could come in the coming weeks according to "the new york times. this is an untirely expected there are previous reports that case was likely to be broad against google this summer so laying out the charges would be the first step. a lawsuit would then get under way with the doj providing evidence of google's dominance in advertising and search. a successful suit could result in a monetary penalty. now the times also reporting that attorney general barr overruled career lawyers that pushed for more time to build a

stronger case. google shares as can you see, they're trading close to session lows >> thanks so much for that google is down much of the session. sticking around that 5%. slightly lower going back to the broader market in terms of whether we're due a rotation, whether the cyclicals can pick up some of the slack, i totally get your argument. the yield curve move down markedly over the last week. does that mean within the cyclicals that in fact banks aren't the place to be because even if the economy is picking up, the yield curve isn't. >> i think the bond market very heavily influenced with the fed. so i think that's going to keep the lid overall on rates so, yeah, do you want to be in

financial in that environment? you definitely wantto see the curve. i think over time people -- they don't believe fwht recovery in the economy just yet i think over time you will start to see believers and as that happens, i think you'll see a steeper ylde weeksk so i think that in terms of financials, i own them but in the cyclicals, inl mo'm overweight in industrials and discretionary. i think industrials there is huge operating leverage. these companies have done such a masterful job in controlling costs and restructuring and increasing productivity. we have the haves and have nots. costco again last night with the comp number for august is just huge target and walmart and home depot and lowe's, i own a fair a

discretionary for special situations there is a few reopenings like a wynn resort. >> we're down 810 points on the dow. we were down 1,000 about 20 minutes ago. it's off the lows. still pretty brutal selloff. worst day for stocks since june. nasdaq down almost 5%. two minutes left what you are seeing in the internals? >> weak but not as bad as you might think. the that points to a little bit of strength on the lagger stocks you see not quite 3-1 declining to advancing volume. the nasdaq is a good deal worse. it's more like 5-1 this is not as much of a washout below the surface. much like the raily which is narrow and concentrated in some of the cult momentum glamour names. the pullback is most concentrated in that area. take a look, too, at some of the sector moves we have as well

high yield we're seeing a little stress in credit treasuries are rallying. it's not bad on a week today basis. its not like it's broad financial stress here is both of them both to the s&p 500 vix as well as the vxn, the nasdaq version of it. it shows that buying panic options in the measures as well. >> mike, thanks so much for that we have 40 seconds left of the session. we're down 4.9% on the nasdaq composite. the s&p 500 is down 3.5% it was down over 1,000 points briefly at the low all 11 sectors are in the red as we speak tech the worst as we've been saying down 5.7%

energy the best only down 0.7% will seeing a slightly soft gold price as well. >> it's in the equity market more than anywhere else. they're down 600 points or nearly 5%. the s&p 500 down 3.5% and the dow down just shy of 3%. >> now lower on the week could be set to break that five week win streak. welcome back, everyone, to "closing bell. >> mike santoli, senior markets commentator, a major selloff today on wall street let's see where things ended up. the dow closing down 810 points. down 2.8%. the winners got sold off the hardest and dragged the do you lower. we're talking about apple, microsoft, crm, salesforce, home depot. they were the losers the s&p 500 down 3.5%. worst day for stocks since back in early june. keep in mind we were coming off

a record high. but it was a sharp nasty pullback all 11 sectors ended lower led down by technology the nasdaq got hit the hardest it's been the biggest winner it closed down 5%. 4.96%. almost 600 points there on the nasdaq a lot of those high flyers, all of the faang names, software names, chip stocks that had been leading this market got hammered today. the russell 2000 index down 3% it had been lagging all year long and actually faired better which was a theme we saw there were some winners today that held up better like airlines and cruises and energy stocks stocks that hadn't been doing well all year long we're going to talk a lot about this market. we're going to get reaction to the tech wreck when we're joined by roger mackname. see whether he thinks today's selloff is a buying opportunity for the red hot sector of 2020 so far first off, let's talk about what happened stephanie link is still here

from hightower jim cramer, "squawk on the street" host is joining the "closing bell" right now jim, we dragged you back from vacation there is no such thing as a vacation when we have a market day like today what are your thoughts on what happened and what investors should be doing? >> well, first, how you doing? you're doing a great job this last hour t of course, i was saucing. when i'm away, we always have a crash. i would tell you this, i think that there is a lot of bad money in the market. the money that only knows that stocks go up, a lot of millionaires created i'm not kidding. millionaires created i think we're so far away. i mean i got to tell you wooshgser so far away that a level that the institutions like it that you really have to wonder sara and wilf whether there is any level where companies are selling at times earnings and sales in the meantime, what do they like they're going into the open america trade. are you kidding? does america seem open to you?

is it time to take a cruise? so i don't know. i'm very skeptical about today's action other than the fact that there are a lot of people who made a lot of money and they never sold and they're being sold by margin the they're being sold by brokerage houses all they know is the stocks go higher the legion of people who know that stocks go higher is the largest i've ever seen it. >> jim, if you're saucing to day, that means you must have finished your nfl draft. so i look forward to seeing the results of that as well at some point. and in terms of your point there, retail investors have been buying recently, are you worried now that we've had a meaningful turn down there is an air pocket below that this is the start of what could be a much bigger pullback than we are used to after a decent market run? >> i am p. when you see stocks down 10% people are still trying to get rid of the stocks at the bell. when you see american express doing very well, royal caribbean, you know, norwegian,

these are the last vestage of the people that are new people they tlik go to the stocks i know stephanie will will say america's best is good i think america's best and travel are not the places to be right now. but what really does concern me is we had blowups. i know they're not big companies. major duty i know see yaen is not that big. i know zor sachlt not tha is no. these are all business to business and enterprise companies that are like a cisco. and you don't want those to start going down there is way too much in the economy that has been hot that is connected to those very small companies that no one's ever heard of burt they're bad i think are analysts tomorrow that say september is a bad month. we're up huge. and when people take profit, the people that don't have any capital are in this market, the

robin hood people, i don't know if they even know what margin is i mean to me, they think that margin is the margin of how the football team beats another football team. i think football is coming back. and that betting money is going to leave the stock market and going to go to the nfl apple, sales force, microsoft, the twhaunz got hit really hard today? >> no. i think they should stop -- >> take profit >> they should stop being greedy i was talking to a couple people they're not students but people at it longer than i have i've been training for 42 years. all of them felt the same way. we stopped taking profits. why? we couldn't take it. we felt bad. when you get that attitude with the reference that i just mentioned, the margin, what that means is there is a day two, day three. we're going to long day, you know, long weekend like i said, september is a

terrible month i didn't like what was planned today. i listened to the campbell soup interview. it is really g but what he said is please sell my stock. not very reassuring. what i say is that the beginning of this selloff was the tesla. it's with supplies there's about $6 billion worth of ipos coming there is a lot of direct ipo listings coming and there is a lot of insider selling for the if i ever time i'm uncomfortable. i never seen so much money made so easily in my life i mean there is -- you know, my friend had a picture yesterday in twitter and it had eight guys, new millionaires i swear. these were guys that would have lost money every weekend betting against the spread suddenly they're millionaires. the millionaires are create sod quickly that they're going to be taken away so quickly. i like them. it's not too late for them to take profits i think they're terrific but they hate the word profit.

>> mike, we have not had, despite today's headline grabbing declines, a big pullback yet relative to the increase what is still even an understandable relatively small gut check? >> yeah, we're back to levels we were early last week which is kind of both the good and bad news just in terms of minimal type pullback for the nasdaq, i think, would be, you know, below 11,000 and then try to figure things out that's not down from here very much you get to a new high and then they're like okay, let's make sure that is a good thing. so i don't know that we're necessarily talking about magical levels right here. it's much p more about if the biggest liabilities of this market, we've been talking about

are, you know, overaggressive sentiment and technical conditions that are way, way, way stretched, today went some distance towards taking that -- taking care of those but really not the full way. >> there were warning signs all over the place the we talked a lot about them on this show the fact that the bears basically exited the market. some measures of investor sentiment were at levels we didn't see since, you know, the dot-com craze. all of of this is writing on the wall what is the prudent thing to do. >> the russell 1,000 growth up is 25% year to date. of the xlk is up 0% year to date even with the pullback today the russell 1,000 value is down he is% year today. i worry more about the high flyer tech stocks. tlst is a lot they can do in terms of down side can you nt are a yell i value them

we have talked endlessly about total addressable market i really believe in them internet of faangs and in cloud and retail e-commerce and wearables, all that is good. the valuations of the stocks themselves more than reflecting the total addressable markets. i do worry about tech. cyclicals, they're still down. they're down 20%, 30%. financials are down 18% on the year energy which i really am not involved in, but it's down 41% on the year. so i think it's a stock picker's market you pick your spot you have a barbell i think there is a ways to go on tech i will will pick eventually because, again, the growth is there. i also want to own the economically sensitive stocks. because i do believe the economy is recovering and will will recover into next year and that will bring profit to the cyclicals higher >> how many 800 point down days do we need to see before we get a stimulus deal out of

washington >> i think that both sides think it's good for them not to get a stimulus bill. and plus they're also people that can argue including 20 senate republicans that things are better in the economy. the reason you want all the tech stocks is they do well when the economy is terrible. they're covid-19 stocks. they're not going to rally if the economy is getting better. i think speaker pelosi and mitch meadow, the chief of staff hate each other people hate each other i hated a lot of people. you hated a lot of people. that's the way it is down there. they don't really care if the economy is bad, the president will blame the democrats. it's an unholy alliance between no one i also think i listen to what stephanie said i think the economy is getting a little bit stronger.

but it's day to day. we have more outbursts we have more -- we don't get the vaccine. aren't we all tired of waiting for the vaccine? we don't get more testing and this and that, people say wait a second yshgs i second, why do i want to buy docusign is this the magic level? what the hell? these things are up so much. i can't even -- i have no idea where they would stop. at the same time, when i look at some of the cyclicals and the retailers, i can at least value them but i don't know if the numbers are going to be better next year or not without a vaccine so what i'm saying is washington is a mess. science is a mess. i still believe in science ultimately but i think i understand that when i see lily doing okay, that means the economy is slowing when oil is going down, the economy is slowing when i sue other things going up, i see stupid money buying cruise ships there's a lot of stupid money. the stupid money made fortunes

god love them. fantastic. but they have to take something off the table so that they're not going to be poor again they didn't do it in 2000. i'm imploring the younger people to watching to understand you can't keep borrowing money and say you're a millionaire become a millionaire become a 500,000 millionaire of i'm asking you, please take something off the table so you don't say, you no he what? what was i thinking? why didn't i take something off the table? that's what happened in 2000 are they better companies now? >> yes are the balance sheets better? yes. are they more expensive than then maybe arguably some yes, some know i just -- you traded with me for a long time. you know, stephanie. we can't have the people lose what they have zblfr 10 zblfr. >> 100% agree. you taught me that i sold some facebook i sold some amazon like 20, 30, 40, 50 points ago i made really good money

at the same time, i just didn't feel comfortable when especially when everyone is on one side of the game and so that is why though, jim, even though we can't tell for certain that the economy is going to roar back, i can't tell you. that i can just tell you incrementally things are getting better in certain pockets of the economy. and those stocks are not pricing in anything. they're still down so much they're not overowned. they're underowned frankly so that's why i say you want to own both waunt to find tech when it's down another 10% or so they're going to be bargains o tlut at some point but i don't want to chase right now. not down here. it's just not down enough. and at the same time, i feel comfort a comfortable with americexpress. i still like that one. >> we're top of of a mind meld people are like are they out of their minds? we worked together for a long time down 10% a lot of tech is going to be interesting. i think that i'm worried about

the banks, bank loans. a lot of things have been thrown at the banks i don't know what the upside is. there mao be a lot of four closures i thought the banks would rally on a deal. but i don't know where mnuchin is i know the sprez -- let's just say the president's -- i don't know >> the banks as well, jim, of course have suffered from yields pulling back over the course of the last week. they seem to find mainy catalyst it seems to evaporate. >> we've seen all the huge numbers. all the online trading platforms:if some of the new entrants to the market in the last three months listen to what jim cramer is telling them right now that they need to actually take a meaningful amount of profits, how much down side is there? how much of where we are at the moment in the markets has been pushed higher by those new

entrants in the last two or three months >> i think, look, it's where all the incremental energy is coming from in the cloud stocks in, the fast moving stuff. so i don't think that they really wield that much aggregate financial power. but they definitely are the source of the stuff that just won't take a rest on the way up. there emotional and it creates the movements at once. can you trade against it you can model those things it's a different type of energy in this market which has for many years now been very kind of al go algorithm. it definitely is certainly more of a source of potential down side i think in the very short term

then upside. >> jim mentioned docusign. it got crushed down 9% just returning earnings. we have the numbers for you. >> sara, easily beating the street's expectations on the top and bottom line. 17 cents earnings per share. eight cents expected revenue, $342 million, above the $319 million expected. revenue growth of 45%. as we've been talking about, docusign is one of the work from home darlings. got hit hard in the session today. still up more than 200% year to date the stock is bouncing around it was up 7% it was even in the red for a little bit i just wonder if perhaps, you know, the so-called cult of zoom is the curse of zoom they reported on monday. 350% revenue growth year over year so docusign's revenue growth of

45% looks puny to. that that's one of the fears i know jim and you were just talking about. so we'll see as the shares bounce around. i shi in and out that in terms of third quarter and full year revenue guidance also beating handedly so we'll listen on the to see if they can perhaps live up to the sky high expectations. back to you. >> thank you stops up 1.25% after hours, jim. is this a buy after what we saw today? or is it just crazy expectations still built into the stocks? >> let's put it this it way. i think it is the key to this market just like she said, if it's repeat of zoom and unbelievable number and go down it's going to be really difficult. docusign is a merger of stay at home and mortgages and that's -- you know, that's

twice blessed. and that's pretty good so let's watch that. i think that can actually tell you what can happen in with the stocks you see stocks you see siena which is a tremendous miss. we see something, you know, we saw a lot of stocks that i regard as being really good. and yet, you know, there are so many of these companies. it's like, you know, they're all selling at such amazing -- such amazing levels that everyone i presume will raise the price target docusign tomorrow we have to see i don't want to presume that it can stay up. the stuff that went great today, colds, nordstrom, macy's, those are open america stocks.

amazing. >> we'll be watching it even closer it is all over the place it's now up less than 1% jim, get back to your saucing for a little bit >> i want to say one more thing. if you become a millionaire and you're under 30, you're not a millionaire unless you take some profits. love you i think you've done great. if you have become a millionaire, it's no the so bad to be a $500,000-aire. that is my final word before i go back to saucing >> okay. jim cramer, thank you very much. a treat to get jim from vacation thank you, stephanie link to you as well. >> thank you >> good to see you we'll continue the market conversation now try to help you navigate through these crazy markets and 800 point selloff on the dow worst day for stocks since june. worst day for the nasdaq and tech stocks since back in march. you have been saying this whole thing has been fueled by

liquidity and stimulus money particularly from the federal reserve. nothing fund ally fundamentally change odden that front, did it >> no, but at some point, sara, thank you for having me, at some point you expect a pullback w he had five months of consecutive gains. we had had the best august in decades. we've had had successive records. and we've had the stock market decouple from market after market from the vix, from the treasury market and high yield market so at some point you should have expected this. what happens next? does the liquidity conditioning kick in quickly? because if it doesn't kick in quickly, the derivative markets will take this -- will take the cash market down a lot more. >> where would you put money to work in a sort of, whether it's into something that might be a good hedge or just something that will give you a positive

relatively safe return in the years ahead, mohammed. if you decide to take profits in light to have day and the equity market >> and that is the irony that is the exact irony. i know people who normally would have used treasuries as hedges who have gone into not just in vestment grade bond but short dated high yield bond feeling that the fed has protected them from any selloff the reality is there is no obvious safe negligent this market people should be doing treasuries, bate of gold and maybe a bit of high quality investment grade but it is -- there are two problems associated with this market one, technically very stretched. and the other one is it's not easy to build with mitigation in a traditional portfolio.

what about the economic backdrop it raised questions about the record setting rally about what permanent damage was done, how long it would take us to get back to normal, whether the losses from small businesses was really being reflected all of this stuff on the way up. we questioned it but on the way down, the question is has the market woken up to some of this >> so here's an irony. despite today's selloff and despite the fact that this week's number has been better than expected, the disconnect is huge if you look at the year to date numbers, you wouldn't be that worried. the s&p 500 is still up 28%. nasdaq is still up 28% s&p 500 still up 7%. and all this in an environment in which most people now believe we are not getting a v shape recovery that leads to a fundamental issue. we're going to see investor dna in the next few days

are they fundamentally based dnas like you heard jim. don't touch this market. all of you that have been in this heard like behavior, be careful. you are completely liquidity based, relying on central banks and going to buy the dip that is the tug of twhar will will play out. my gut feeling is the liquidity conditioning is still strong and if it's not, then this market comes on by a lot more >> how much more if the dna is more fundamentally driven than liquidity, how much more do we fall? >> we could have another 10% fall easily -- i want to stress if people start thinking fufunds do you look at absolute valuation or relative valuation? in relative terms, stocks seem cheap to everything else in absolute terms, stocks are expensive.

if you're in liquidity based paradigm, you'll be dominated by relative thinking. and that's where we've been. if you're fundamentally based, am i being paid enough am i being paid enough in high yield bonds? the answer is, no. you're not paying it for an economy that faces moderation the way of improvement but a rising level of bankruptcies there is also another factor that i want to bring up which is, you know, we're getting close to the election. and it's looking more and more uncertain both the outcome of who could take the white house, what -- what congress is going to look like, whether we're going to actually get results with all the questions about mail in voting and whether there is going to be disputes about them how it is reflected? what are you doing to prepare? >> i don't think it has been reflected. you know, i've been looking at two things one is the amount of uncertainty in the runup to the election and

also what happens after the election will it be contested if we have a transition, how orderly will this transition be? there is a ton of uncertainty, sara markets shrugged that aside. then there are lots of changes in the relative standing of the two candidates again, markets have simply said it doesn't matter because we are in a liquidity paradigm that is dominated by central bank conditioning if that changes, then we got -- we have to price in that uncertainty. that's why i say to you if the mindset changes from technicals to fundamentals, then this market has further to go it remains to be seen whether it will change. it hasn't in the past. the past every buy on dip opportunity has been a profitable one >> mohammed, thank you so much for joining us >> thank you >> pleasure as always. broadcom numbers are out josh lipton has them >> broadcom reporting, 5.40

versus $5.24 revenue better than expected $5.82 billion. street at $5.76 billion. for the q-4 guidance, broadcom expecting $6.4 billion plus or minus about $150 million street at $6.2 billion looking at the big segments here, infrastructure software at $1.6 billion that comes in line that is mostly enterprise software a statement here as well they reflect a strong anticipated ram notary public wireless as well as the continuing surge in demand for networking from cloud and telecom customers. more than offsetting, he says, expected softness in enterprise. conference call kicks off at 5:00 p.m. eastern. back to you. >> josh, thank you with broadcom shares up 1% after hours, travel stocks actually held up better today than the broader market despite the selloff. since reporting earnings last

month, hyatt stock is up more than 20% joining us now is hyatt president and ceo mark hoplemazian. what is going on with demand for our travelers? >> it has been on a steady recovery since the lows in the second quarter of april was sort of occupancies. they've now recovered to mid 20s to maybe low 30s depending on where you are. and they've been progressing and as we look across the globe, they are highest in the recovery is been under way the long nest china, for example in july and heading into august we saw occupancies that were in the 60s. so we're seeing some recovery that's been relatively good. it's been driven by leisure, of course but that's what we're seeing >> how much of your business is

business travel? and how do you plan? when is that going to actually come back? is it going to come back in full >> it come back for sure the composition may look different. for us about, 45% of our demand around the world comes from leisure travelers. and 55% from corporate travel, business travel as well as large groups, conventions and exhibitions and the like and if you look, most of the demand driver in this year so far in the recovery period is from leisure demand. i would say the one exception again is china we see as occupancy starts to verge into the 60s, we saw business demand coming back. and of that total occupancy, business demand represented 25% of that total, 25% to 30%. so business demand has come back i think as you look more broadly across the globe, it will take some time for business demand to

return people have to be able to get back on planes, for example, and start flying across the world again. but we believe that while the composition will change, some use cases will modify based on hybrid meetings. >> you mention people getting back on planes s that bigger problem for you right now than your customers fearing going into a hotel or a hotel room are they actually quite relaxed about the cleanliness and safety of being in the hotel? it's just the means to get there are something that is still nervous about? >> i think for business travel for sure, air travel is a key component of that. when you look at occupancies across the entire industry and the united states, they're running about 6 or 7 points lower in the top 25 markets than they are for the country and the reason for that is

because business travel is at historically low levels. and because international arrivals have collapsed. they're virtually at a smaller level. they're almost unmeasurable. so it will take some time. i think it's familiarity it's -- knowing someone or having someone that you do business with, having traveled and giving you a direct report or you actually having traveled yourself the usage rate and therefore trial rate still low only a third of americans have taken a trip that has involved in overnight stay since march. and only 38% of americans think that they're going to travel between now and ethe end of the year airlines have done an extraordinary job of making that experience safe. and so, too, have -- has the hotel industry at large. and we have through very planful and deliberate processes and procedures that we put into place. >> mark, i don't know if you

saw -- i'm sure you saw hilton hotel times square set to close. that is big news today manhattan is getting hit 200 layoffs along with that announcement my question to you really is what the permanent damage is going to be to your industry how many fewer hotels we're going to see in major urban spots. your industry has been hit particularly hard are going to be permanent it's difficult to say what proportion is permanent. if you look today as a snapshot about four in ten -- 40% of the workforce in hotels is not working right now. it's pretty significant and severe and to your question, i think there are certain markets that will take some time maybe a longer period to recover manhattan is living through i think a -- an adjustment period

to supply/demand that we experienced in in new york we don't have international travelers coming to the u.s. >> mark, thank you for joining us today much appreciated. >> my pleasure take care. >> let's pivot back to the broader markets. we're taking a look at the recent surge in volumes. >> it's been extraordinary the we're talking about how the options market has really been the epicenter of a lot of both the chase on the upside in the market and presumably precipitated some of today's selloff. i want to focus you on single will stock call options. call options on individual equities which are used to play further upside in the stock. you see this is the average daily volume on a ten day basis. it surged since june of this year or early part of this year since march. it is now overtaken coming into this week the white line which

is index and etf put options which are used to hedge. that is almost always the greater plur aflt t greater plurality. this shows the fed on itself where people just betting more and more and more and further upside the market makers having to accommodate that that spiralled higher. and i think you saw a little bit of this fever break today. and this is something that people have been pointing to as one of the signs of this welling up of speculative intensity in the markets. it's a very interesting dynamic in terms of where really a lot of this action was taking place lately >> would it suggest because that big surge came in single stock options that broader indices might be able to avoid some of the selling if it does proliferate.

>> not much. it is maze up of the individual stocks it does suggest though that the pricing of those options got out of whack people were, just to be glib about it, you're overpaying beyond face value for a hotry ticket you already have the not so great odds of winning and then overpaying for the privilege of not having that really probability bet. a lot is about, look, the losses will be taken and will get flushed away so i don't know that necessarily overall indexes have to take a lot of pain. but does it show you that maybe we'll have to rebuild a little bit of this -- by the way, it's no the necessarily easy to kill. there was a lot of fast profits turned in this area. maybe people will feel like this is an opportunity to restart it again. in a remains to be seen. >> up next, we'll gel faang infester roger mcnamee's

opinion. we'll do anything to quiet the social media giant's ctirics of that is coming up on "closing bell." icated, a lot goes through your mind. with fidelity wealth management, your dedicated adviser can give you straightforward advice and tailored recommendations. that's the clarity you get with fidelity wealth management. and tailored recommendations. ♪ i keep working my way back to you, babe ♪

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worst day for stocks today since june if you're looking at the nasdaq, worst okay since march with a 5% move lower every sector got caught up in the selling as far as the s&p 500 ease decline of 3.5% tech snolg technology is the biggest decliner communication services and industrials not far behind all lost more than 3%. let's get to bob pisani for more on what happened today, bob, and what we're watching for in terms of includclues as to what goes t >> this is about frothiness and air coming out of the market let me show you what i mean. you have apple was $120 two weeks ago. split adjusted then it goes to $137 then back essentially to $120. in two weeks you have a complete inverted v

much of the market, the tech market looks like that and nvidia was $505 five days ago. five days ago it goes to $580 then back to $505. all the way up and down. cloud stocks did the same thing. zoom video, $300 five days ago it goes to $480 and now 380s it is still up more than 400% on the year even with that kind of move cybersecurity stocks did the same thing five days ago, it goes to $160 and closes right back down at essentially $143 complete up and down a lot of the market looks like that e- commerce names, chewy, the pet supply company, $60 five days ago, goes to $70 and now back to $61. a lot of the market looks like that including the s&p 500 by the way, we closed 3454 i believe. we were that seven days ago. so the question is, is this a one day event? a multiday event the pain trade is down because

so many people are complaisant and long right now i think if you have this go on for more than a few days, you're definitely going to drag out more fed officials talking about them getting even more aggressive and you're going to hear terms of a definite fiscal deal done in congress. f. this goes on for more than a few days back to you. >> definite and if, bob. so some conflict there gi et your poi i get your point the nasdaq closing down nearly 5% today let's bring in tech investors roger mcnamee from if elevation partners great to see you thank you so much for joining us i guess we'll get to the pullback in tep tech stocch stoa moment interested to speak to you about the new facebook policy announced to day we had nick clegg on earlier in the show what do you make of those new policies are you overall delighted to see that they are taking action or critical that it's too little too late

>> it's definitely too little too late and the issue that we're dealing with here is simple. facebook's announcement is a recognition that they played an outsized role in undermining our democratic processes the problem with this is that the way zuckerberg framed the solution, it's no the just too little too late, it's really a solution designed to appease people who are not looking closely at what the problem is if we think about, you know, facebook basically looking for solution as opposed to solving the systemic problems that lead to this. and what worries me today is much less about political advertising on facebook than did the denial of covid-19 which is undermining our pandemic response it is the organization of groups private lead, the merger of those into the real world forming militias which are occupying ports of portland and

kenosha. st there are so many bad things going on facebook right now. that contribute to undermining democracy. s this little thing is focusing on a sideling. >> i guess they're in a very difficult position base odden what the laws and regulations are which is not very much and which ever way this he go, they're going to meet criticism in it both directions. so when you look at the state of play where we are coming into another election four years is past since the last one and all the problems that arows there:who is more to blame for the fact that we haven't sold this in entirety facebook or lawmakers and regulators for not changing the rules that gorve them? >> demonstratebly facebook is responsible for the problem. if you think about how our government is currently structured with trump in the white house or republicans controlling the senate, democrats controlling the house,

that was never a scenario that you would see historical change. in my mind, the issue for facebook is a simple one do they want to be for tens of thousands of deaths in the covid-19 pandemic? because our nation's response to the pan dem sick unable to get off the ground uniquely among autopsy developed countries. do they also want to be responsible for the fact that militias are organizing on their platform, they're using the platform to literally -- there are three to five million people according to nbc in the facebook groups and facebook's own data says 64% of the people who join extremist groups do so because facebook recommends that they do so:so facebook's responsible for two to three million people joining these groups it is now infected the militia and that's become an issue in the streets and people have

died the notion that facebook needs a law to tell them to do the right thing is laughable it makes me sad that employees are not vulnerable and they don't see the right panel here what kind of a country do you want to live in? do you want to live in a country where militia roam free terrorizing innocent people? do you want to live in a country where we have 1,000 people dying of a pandemic that every other country in the world has wrestled into some level of control? i mean that's -- that strikes me as insane. >> yeah. and at the same time, facebook has held up so well in the market, roger. just to bring it back to the market i wonder if if these actions you're talking about which would be much more drastic than what facebook has already offered and the kind of response that you're looking for which many are which is not what they've offered would be in direct conflict with the business and the fact that,

you know, the stocks are doing well performance is good. they seem to benefit from the open speech that is their platform >> i think you framed the problem perfectly which is that shoir holde shareholders benefited immensely. it is the business model itself. it's the culture of the company. the very things that make the stock so valuable. this election is about whether corporations will always have the right to do whatever they want or whether there should be some constraints. whether technology companies should be treated the way that the chemical industry was treated beginning in the 60s when we said it's no longer okay to pour your waste products into fresh water and dump it into the atmosphere or the pharmaceutical industry saying --

>> but, roger? i'm not sure that's what this i election is about at all i mean, the tech companies especially facebook were able to tlif thrive in the obama-biden years and trump years are just a continuation of that it's not like anyone is talking about reigning them in >> well, actually, i think in congress there is a lot of pressure to reign them in. there was an antitrust hearing a few weeks ago. it was an extraordinarily productive thing the energy and commerce committee in the house is also looking very seriously at safety regulations and privacy regulation now grant you, on the senate side, there is nothing going on there. but there are senators that are very interested. there are obviously all kinds of things going on with states attorney general relative to antitrust and consumer trust protection and things going on at the federal level i would look at it that during

the obama administration, people just generally didn't understand what the risks were of the platforms. and then the behavior wasn't the way it is today. so things have really changed. and when i say this election is about that, what i'm really saying is that president trump has welcomed the use of these platforms to cause dissent and polarization in the country. i think obama in his time period would never have gone for that and bide woen not have gone for that either. and when biden, if he is elected, he'll be faced with a situation where the people who got him elected are at the harmed parties from covid-19 and from militia and those people will be entitled to expect him to take a more pro active role again, these are very important industries tech is super important to our economy. but there is no reason why it shouldn't operate in a way that doesn't cause harm the pharmaceutical industry doesn't cause harm generally neither does chemicals now they're not perfect. but at least they have duty of

care and they do make an effort to try to be good citizens >> roger, so much still to discuss as always on this topic. we're out of time. thanks so much for joining us. >> always a pleasure thank you very much. >> roger mcnamee stocks tanking in today's session. the dow closing down more than 1,000 points we'll be back. stock slices. for as little as $5, now anyone can own companies in the s&p 500, even if their shares cost more. at $5 a slice, you could own ten companies for $50 instead of paying thousands. all commission free online. schwab stock slices: an easy way to start investing or to give the gift of stock ownership. schwab. own your tomorrow.

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♪ go your own way your wireless. your rules. only with xfinity mobile. health care back welcome back we have details on where tiktok negotiations stand

>> the one source close to the situation tells me that while a deal announcement from buy dance is delayed that the offers from microsoft, walmart and oracle are still on the table and ar r and oracle are still on the table. i'm also told while the new chinese regulations could change how the tiktok algorithm is handled and sold, that one valuable part of tiktok in the u.s. is not at risk, that's the data from tiktok's 100 million users. it is not subject to that chinese regulatory approval. if tiktok u.s. operations had to build a new algorithm, it could train that algorithm with that mass of local data the chinese government is expected to approve the deal and the new rules implemented friday could be seen as a signal to washington that china also wants a seat at the table for these talks here

>> julia, thank you. a major market selloff on wall street the dow closing down more than 800 points, first day since june signet jewelers falling. whether it's over the phone, online, or in your office, we're here to listen and provide solutions that help you run your business better. because the decisions you make have far reaching implications. and a relationship with a corporate bank like pnc can provide just what you need. as one of the nation's largest banks, pnc brings customized insights and a local approach. to make informed choices now and in the future.

signet jewelers under pressure, closed the day down 4% the jewelry company behind zals, kay, better than expected with so much of them closed during the quarter. profits also came in better. same store sales turned positive late in the quarter as stores reopened e-commerce is also helping cushion the blow of those closed stores 72% growth some questions, obviously visibility into the holiday season is an issue the ceo is telling me she is increasing e-commerce distribution throughput by five times to be ready for higher holiday e-commerce and some strength in the

engagement business. some insights from their customer data, 55% of pre-engagement customers decided to quarantine with their partners almost half said their relationship got stronger. only 7% said it got worse. zoom worthy jewelry is a thing earrings and pendant sales were up some interesting consumer insights into how people are at home still buying jewelry through virtual visits and e-commerce. >> signet down 4% in today's trade. up next, we're counting down to tomorrow's jobs report, which could be a major catalyst after today's big selloff. tune in for a special program on tuesday on cnbc. path forward, race and opportunity in when the w america

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and tailored recommendations. that's the clarity you get with fidelity wealth management. brutal session on wall street for the bulls as we look ahead to tomorrow, off that 800-point close lower for the dow and 5% slide for the nasdaq. it's jobs day. what are the expectations? is this a time where lousy economic data could move the market lower >> certainly first of all, there's nobody rooting for weaker economic

data we already have maximum easy fed. there's no real positive way to spin a weaker than expected number though there is so much churn going on month to month in the labor market that i don't think anybody had high conviction in what the consensus forecast really is. i don't know that there's anybody pinned to a precise level, but we do want to see confirmation that things still kept getting incrementally better in august that's been a big question on the consumer side of things. >> i wonder if we're going to have a catchdown, so to speak in internal equities, particularly in asia, given that this big selloff in the u.s. didn't start overnight with the futures market that might set a negative tone to start off tomorrow. >> presumably that would i'm not sure the u.s. in the morning is necessarily going to pick up the baton in that direction. it's a friday before a three-day weekend tomorrow usually you don't get one of

these real substantial one-day drops off an all-time high usually the market rolls over and had some back and forth action there's some unusual intensity to the move up and this sort of initial air pocket we got today. >> it certainly was a negative air pocket today s&p 500 closed down 3.5% the nasdaq was down shy of 5%. thanks so much for watching. i'm melissa lee and this is fast money tonight's trader line-up guy adami, karen finerman, dan nathan and steve grasso. a tech wreck rocking the markets with apple, amazon, alphabet and tesla combining to lose $500 billion in market cap today alone. plus, what the vix can tell us about just how long the pain of today's market could last and if you got questions about what to do after the selloff, we'll get you some answers