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>>. good morning, welcome to "squawk alley. as we watch the markets have a nice bounce on this monday morning, the down up almost 500 points the s&p holding on to 3335 banks and energy are part of the story. banks, amazon up almost $50. >> amazon in the news this morning because they set a date for prime day. that will be october 13-14th, delayed because of the pandemic. that is setting up a unique one to thee. now october actually has a lot of action. you have prime day, that is probably in september. then you have singles day, then you have black friday.

in the mix there you have console launching happening there. it is an interesting moment for investors to think about what that means, all of that retail momentum going into q 4 and how that might play out differently this year. >> that is right, john there is so many different shopping events for the year also something that i have looked as is that the direct to consumer system, and you mightn't to and oosk of course, the darrelling, there is also ship bop so it is all leading up, john. we'll see if the pent up demand is there especially if we don't get more stimlouse coming their

way. it is not going to sustain the rest of the holiday season we know it is not just about amazon any more. >> shopify likes to get the merchants on the platform to swim in that eco system. it is a stock that i started paying attention to ant three years ago. 12 months ago it was at 300. so, carl -- >> the canadian company that could, right right now one of canada's biggest companies. i still remember when that company was valued around $10 billion in market cap. what a run it has been big commerce down today, but at 24 and now trading at nearly 80. >> by the way, the producers

make fun of all of us all of the time, that will never change let's drill down on some of the volatility market, it is good to see you again. >> hey, carl, thank you for have rg me. >> it doesn't sound like you think the pullback hassed in any distressing effect >> hood second-degree agood d day. either if mna activity or the ipo pipeline a lot of it is because academictivacademic ti -- executives, investors, thought that this run in in the july-august time frame was not

necessarily sustainable. we are essentially discounting to the run up. that mean that'stivity remains strong it is a really strong pipeline they are mentioning the product launch that is anticipates in the other events, you're going to see a lot of deal activity. so the pull back has not really affected things on the on the banking side >> we're going to look at snowflake's debut, are we going to look back in six months and think it was historically relevant >> i think it depends on your

time horizon i think the companies are very high quality we can all debate what the right multiple is. we can debate the impact of lower for longer in terms of interest rates and that kind of stuff is hard to predict what i can tell you is the companies going public right now, and you mentioned one, they're very high quality businesses doing well. covid or not covid is certainly having some impact, but a lot of the expectations in the next year seem very reasonable to me i think fundamentals win out ultimately, and i think the stocks should continue to perform well >> hey, mark, it is john you mentioned mna. microsoft brought zennamax a few days ago for $7.5 billion ever it is one of their biggest

acquisitions ever. you have that going on and you have this especially packed q4 with october being a big retail e-commerce month >> mna has been very robust this year the way that we track it with an internet digital media, we're seeing $750 in volume to date. that is up almost 2x versus thi time a year ago. there has been very big transactions interestingly enough, the two biggest sectors of economy the economy are the ones benefitting the most in the environment. so you know, i think that like i

said the activity pipeline is very robust. both around e commerce and e-gaming as we move to the back half of the year the consumer will come into focus i think we're going to have just a block buster e-commerce period amazon ramping up with record levels of ires spotify getting their fulfillment and lo guest ticks business that is new for them they are there, and i think we're going to see an amazing e-commerce season. >> hey, mark, a block buster e commerce season, is that a given, particularly given what we have seen in the last few

weeks? we're seeing confident infections rise. we, you know, the idea of more fiscal stimulus at this point still seems very untecertain. what makes you sure it will be block buster and that consumer wills want to spend? >> i think the package could have an impact but it is more of a 2021 impact. right now all of the data that we're seeing suggests continued steady high rates of and some of the improvements start to improve and plateau. and we saw a slight impact there. unfortunately it could benefit some of the stay at home companies that would benefit e commerce over brick and mortar so i think some of the dynamics that you point out, you know it is unfortunate for folks that

get sick and what not, but it could benefit, i think, e commerce in the short run. i think those are more impacts on next year >> that is a good way to start the hour for us, mark. thank you, see you soon. >> after the break, kara switchswitch switcher with the latest on the tiktok merger. we'll have more, don't go away i felt like... ...i was just fighting an uphill battle in my career. so when i heard about the applied digital skills courses, i'm thinking i can become more marketable. you don't need to be a computer expert to be great at this. these are skills lots of people can learn. i feel hopeful about the future now. ♪

here you have shares of tesla moving higher again today going up 400%. el elon musk sat down with kara swisher on her new podcast >> i think some critical mass of the market has concluded that tesla will win, i guess. i have gone on the record already saying that i think the stock prices are high. but if you also ask me do i think they will be worth more than in this in five years, yes. >> hey, kara

>> so at 140 he said it was high, it is three times that now, but he says you're good with a five year ror ri zon, right? >> yeah, we were talking before that about the long term and i think we were talking about ou covid accelerated the trends of companies ten years from today he feels they're out of danger he thought they were in mortal danger for a long time and they are reaching the scale necessary to sustain things. i think that is what he was discussing if you're in this for the long term we're the company to beat, and think think that is pretty accurate they're trying to get even more

ahead on batteries >> two years ago elon was having the worst year of his life and alternating between crying and laughing with the new york times. now two years later, the world is going through a rough patch but tesla and elon musk seem to be doing a-okay. what is your sense of him now? he is still very outspoken, but he seems to have tones down what he was saying on twitter >> not several but i think it was interesting when he complimented oil and gas, i was like who i am speaking to. he has attacked big oil. saying they were out to get him, and the shorts were in cahokcah. and he said they didn't know their industry would be so damaging to the planet he was being empathetic, but i'm

not sure you need to be. so, you know, we all like our gas cars, we used them, and everything else, but i think he thought that the era was at an end, so why not say well, they didn't know they were going to do this much damage. but that said he talked a lot about the climate damage because of emissions and things like that >> over the years you spoke to the most important leaders in tech, i wonder where elo stacks up in your latest conversation the stock is up 400% year to date, can he fulfill those expectations >> i think he is trying with the battery issue. i didn't cover, but he was mad, i guess i represented the press,

but he didn't need a prototype to show up and you know the issue is that he has been more right than wrong. so he's in this "i'm going for batteries now. i don't know if he is a tech person any more or ever was after he stopped with payx and papal. he is working in energy. he is working in transportation, solar, and neurolink about putting chips in your brains he is a renaissance man of a lot of things. some of which will work out and some won't they're all interesting concepts including tunnel boring. he didn't really compare to, you know, jeff bezos at the end of the day is selling toilet paper, right? >> well, he has his own space

thing going on >> we need toilet paper, i don't need be rude, he wants a space module and elon wants to go on to planets and you know steve jobs is selling a phone, right i don't mean to impun them, but they are big ideas, it is hard -- i don't know, he would be compared to thomas edison, i guess, he was involved in a lot of things. he was involved in all kinds of stuff including, i think, electric cars. but the ideas around them and whether or not they work are fascinating. and the tesla stuff seems to be working out better he was exhausting two years ago.

a taped interview. he has just continued to keep going with it. making a car company is hard >> he reminds me of a jeopardy player that chances the game he is doing the stuff that vcs and entrepreneurs talk about doing, he is doing all of these other things at the same time. i want to also talk to you about tiktok a u.s. knowledge blocked president trump's proposed ban this strikes me as interesting because you have these duals, it seems, between executive type branchs and judges with arguably the legislative function being left out i would parallel this to what is happening with uber in london. >> in this case as usual, with the trump administration, they just made an executive order that isn't good.

we need real policy, real policy made on everything and that is the problem here we're not doing it in a policy legislative way which is the way that laws that stick pass. and in some cases by fiat works. but he opened ims up instead of making real china policy we're not making substantive policies he picks on something that would get in the nude, did antecti t h executive order. it hurts the app, it doesn't come to a solution, it drags in companies like oracle and walmart, it's just a mess. >> so where does go? ju judges are not supposed to legislate, right the senate and representatives

are supposed to be the mature voice. does that notwithstanding this balance? are people deing elected or reelected? >> i think it would great to go back and make false, even though he controls a body of legislation, he is frustrated and he puts out executive orders they could do these just like section 230. these are serious topics we need to figure out our policy towards china, but it doesn't come by just making twitter, doing twitter and making executive orders subject to -- it's the same thing with google coming up. i hope they have a good case if they're going to do this they need a good, solid case. i think the course is a third

branch thaushould be saying if want to go this way you need to do a good job. the judge is just saying this is not solid enough if you want to make a case, make a case >> they're not supposed to so we're not going to necessarily get this sort of new rules from the courts. >> no. >> that has to come from legislative branchs, right >> like we talked about on pivot, the chinese are just waiting trump out. they're waiting for him to lose and this to end. then maybe we'll get some china policy then nothing gets done nothing is going to get done here on this it only hurts the growth of an interesting company like tiktok. so i don't imagine they want this to continue, it takes away the focus on making a better

app, and making a safe app, and that should be the goal. it seems to have gotten lost here >> kara, if we are really doing everything by fiat now then, it is one thing for google to defend themselves, but why would arkle, microsoft, and walmart choose to be part of a process that winds up in this -- >> why not if you can get ahold of this this is a very great property. it will cost them some legal fees if there is an opportunity to get a piece of an interesting company on the company why wouldn't they try to do that if there is an opportunity for an amazing business and security cloud, why wouldn't they do it if amazon is breathing down the nec of walmart, why not attach themselves to one of the more popular apps that hundreds of

millions of americans love why not? it's a pain but it is also possibly rewarding i don't play basketball, but i think there is an expression of "you're right under the hoop >> i don't, you know -- >> sharp elbows though >> i have tall children. they will play for me. >> okay, thanks so much. >> all right, carl still to come, shares of uber getting a nice boost after winning back their license we'll talk about what that will mean for the company in the near and long term.

uber shares are up

deirdre, talk about circling back to a story from long ago. >> clearly this is a win for uber, but it would have meant so much more a year ago or more ride sharing as we know has been so beaten down in the pandemic but i want to pull up their five top cities you have london, some regulatory relief, but los angeles, fran, uber is battling the law meant to make their drivers full employees. prop 22, that ballot measure, is now the most expensive here. the stakes are huge. we know this is a fierce battleground so yes they're up about 5%, but this is far from over. i mean in the grand scheme of things uber, yes, won approval in london for the next 18

months, but so much can change between now and then, john also, i'm not sure if you caught it but there was an article this morning talking about infighting, no accountability in the self driving car unit remember they these existential for the former uber ceo. he said this will make uber profitable there are rumors that investment has been scaled back or is not producing the result that's many hoped. >> so i think they're a big question mark and we know they're trading below that ipo price. >> yeah, if we're stuck in 2020 right now and what a year it has been, but it strikes me that uber has a real shot here at building some momentum it has a london ruling, a vote coming in california, we'll see.

time now for a news update and sue has that >> yes, john, thank you so much. we start with the tsa reporting a three-week high in the number of travelers going through their check points more than 800,000 travelers in three of the last four days. former trump campaign manager remains hospitalized after threatening to hurt himself. officers convinced him to come with them without incident >> in spain madrid added eight more restrictions. here at home, research shows less than 10% of americans have had the coronavirus. that study was done in july. it showed even in the hardest hit northeast areas only about a quarter of patients tested had

covid-19 antibodies. far short of the 60% to 80% needed for herd immunity >> let's hope that people stay healthy, thank you, sue. >> as we go to break, let's look at the biggest gainers on the dow this morning boeing is up more than 6%. the dow, american express, travelers right behind them. stay with us - [announcer] if you've tried college but never finished,

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alibaba kicks off their investment group today they will be in the focus ahead of the ipo that i'm told could happen by the end of october they changed it into an equity structure that gave it a 33% stake. a way to capitalize on an ipo and what a relationship it is. in the per spperspectus they say work together. that is the country's largest e-commerce company now the juggernaut itself has grown into so much more than payments there is wealth management, credit, and insurance. a business model that they call unique and without a pure benchmark in china they value it between 250 and 270 billion. that is more than most of our

traditional banks. for more on alibaba and ant, let's bring in the manager director, yussef, it is nice to see you, even with the ant edge, competition has been fierce. they are nipping on the baba heels, why is that >> for a couple reasons. first the market is just enormous, right? they had 40% margins so overtime it just brings in a lot of competition as it should be they will sit there, day one of a three-day analyst last night and there is still talk about growing the maus there is still talk about growing the monotyization of

their u monetization of the user base. it is just a very, very attractive market where you have dominant players so you have a lot of smaller competitors trying to get a piece of the action. >> so you spoke my point, though if it has the insights of the leading payments app, why don't they have more of an edge? why don't they keep that headway against other e commerce players and tell our viewers about this and why it is likely to be the largest ipo every. >>i do think they have an edge in that by leveraging they are

able to drive more users to the platfo platform they have about 800 million users, larger than anyone out there. and their adding 20 million to 30 million users per quarter that is in large part driven by aunt they have to part ways, right? what we're seeing is a reflection of that they are not a majority owner. but there is still an opportunity for them to continue to work closely through some arm's length agreement so, you know, they don't have that, i can't really think of any large player that has that kind of a potential leverage. >> is alibaba the most under valued cloud era conglomerate?

it strikes anyway we used to be talking about them in the same league, but it is cheaper than both of those. it is nowhere near a trillion. what is going on there >> i would argue that baba general generally. they put up 34% growth race. it is anlt 22% they say it tomorrow night, but for the next five years, at their range and size, that is incredible cloud, i think is a crown jewel there. but unfortunately because it is

not the u.s., a growing degree to southeast asia, it doesn't have the type of visibility that google cloud gets, that azure gets so i think the part is that look at some point we'll have to start looking at some of the parts, doing the math, and for a business that is growing 50%, we think that is worth more than what market is assigned to >> what's your faye rite metric to watch for singles day what will we learn >> growth, ultimately. that is really what we need to look at and we're looking, again, growth in the 30% range that is faster than just regular commerce the margins i would not get too bent out of shape if i see them

deteriorate a little bit the company has been doubling down on investment partly because of cloud and partly because of the new ri tail online strategy that we have so don't worry too much about the bottom line. >>. >> at the same time that number has been urn fire. it's nots a pure play, you have to look at the margins, right? >> without mar agagins you can't build a business, but bottom line growth is 30% last quarter, all i'm saying is there may be slight incremental deterioration as they double down on newer nichetives to allow them to continue to grow in the next

year or two. but over time we absolutely believe that there is a ton of leverage in this business. and look in comparison if we think of amazon in the long term, and we love amazon, we think baba has potential for margins in the 40% plus over time just to put things into perspective. >> that is interesting as we talk about value, of course. listing in hong kong but still not really in the same league for market cap as an amazon. we'll talk more about that next time thank you for being with us today. da the markets holding in there toy. looking at the best two-day since june back in a minute i felt like i was just fighting an uphill battle in my career. as a little kid i knew that i wanted to work with computers.

♪ so when i heard about the applied digital skills courses, that definitely appealed to me. you're learning how to create spreadsheets, documents, forms and surveys. i'm thinking i can become more marketable. i got to about the third course and i'm like, you know, i probably could do this for a living. you don't need to be a computer expert to be great at this. these are skills lots and lots of people can learn. ♪ i feel hopeful about the future now. it's empowering to have that knowledge that nobody can take away from you. ♪ ♪

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vehicle stocks, spacs, about covid stocks climbing among millenials >> younger traders are rushing into new stocks in recent months according to a recent study, they were buying electric vehicle stocks, spacs, an names that benefit from the pandemic they made aggressive moves into the electric vehicle space tesla deploened apple, nio moved

up 34 pots in the top 100 picks. and workhorse also good a boost up 28 spots. they also got ak kwis sits towards spacs. spaq made the list as well as they look to bring an electric car maker public nikola made the list but it dropped significantly moving down 40 spots to number 89 that was due to downgrades and a change in executive leadership other stocks that continue to make a splash. peloton went up 41 spots johnson and john, pfizer, americana all on the top 100 as they begin their phase 3 trials.

>> sports kicked off again and penn gaming jumped 34 spots. across generations it's all about big tech they analyzed more than 1.3 million investment accounts showed broad support for apple, amazon, and tesla which were all in the top five for every generation chip stocks and more joined the party jumping to multiple spots. deirdre, back to you >> semis and gen z, who would have known gghe uran the move after a guenimpgde stay with us

more and registered. squawk alley is sbak in a moment ♪ ♪

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it's full of everything that you need to know about getting started on your self-directed ira today. you'll be glad you did. people are voting all the time and facebook is facing intensed scrutiny. tim kendall told a committee last week that the company took a page from big tobacco. today he is ceo of moment. an app that help adults and children use their app in healthier ways tim joins us now

great to see you i want to start off getting your sense of what's happening with people's health and use technology >> we control or get control back of how you use your phone >> when you're already trying to get -- now you're more turned toward your product to conne connect -- >> i think the impact is that

the facebook doesn't want to arbitrate truth and i understand that they don't want to correct misinformation they don't want to correct ads have false statements in it. the problem is the algorithms sbepg sben intentions is misaligned with showing you what's true and what's correct in the world. what a outcome is for the user >> the company has in

restricting content entirely once the election really starts to roll in does that seem novel to you. how assured are you they could contemporary through on the measures needed. >> it doesn't sprurprise me they can restrict different types of connect they do it with misinformation on covid they do it with hate speech that incites violence they are able to find this line where any content that directly incites violence they can remove but if it doesn't, they leave it the problem with leaving hateful content that doesn't incite violence is it's still makes people angry it leads to violence

>> what is the solution here is there a business case for more moderation? does that come from regulation does that come from changed business model >> i think ultimately in the near term, it has to be either the company taking the accountability which they haven't done so far and then some regulation. that's near in medium term sdp >> what's the business case for that if they're making so much money, what's the business case to change? >> their consumer is getting sick society is changing and eroding. that's the business case you're right there's not a for profit business case. i think if we use a frame of what some people call stake holder capitalism which is, okay, we need to do well constituents need to do well advertisers doing pretty well.

mare brains are changing the longer they spend on facebook. if they want to look out for stake holders, they have to be accountsable for their users i don't believe that's what is happening now. i think they are disregarding the users. >> i'm not sure that my sense that facebook management believes that their product is fundamentally unhealthy. does it require an entire mind set shift on their part or >> that's my view.

>> all right >> i think that's going to be a tough sell to them maybe it's the longer term -- >> i sgdisagree >> thank you >> thank you john, it's tough using tobacco because we all know it took the surgeon general in a report to start put thing ons the sides of parkages before things changed a lot of stuff is heading o our way. we talked about the debate tomorrow ism, jobs friday we'll get micron tomorrow. that's a bit of a focus today too. >> this unusual closing three months of the year where retail is concerned a lot of the chip stuff is what's anticipated as far as demand >> a lot of questions going into the rest of the year about the

economic recovery, the first part was relatively steady but what happens as we head in >> test two days since june. the bank, best day since august. nearly every dow component is green. let's get to the half. thank you very much. welcome to the halftime report stocks are rallying as we head into the home stretch of a september 2 -- well forget the big money question for you, has this correction run its course or will the selling start again as we hear more talk about contested elections and rising tensions with china. we hav