relief it's monday, december 7th. yes, that december 7th, 2020 and "squawk box" begins now. ♪ good morning, everybody. welcome to "squawk box" here on cnbc i'm becky quick along with joe kern and andrew ross sorkin. the major indexes all ended last week at record highs we're talking about the nasdaq, the s&p 500, the dow, and the russell 2,000. that's the first time that all four of those major averages have closed at a record high since january of 2018. so you're coming up on three years for that it wasn't just that, the nasdaq 100 also sitting at record high. if you were looking at other things like gold breaking a three-week losing streak and wti oil sitting at record levels or

closing at five-week winning streak it is on. you've seen big gains there. if you take a look at what is happening this morning with u.s. equity futures off a little bit but again off the record closes. dow futures indicated off by about 150 points if you take a look at what is happening with the ten year now, you'll see the yield is creeping up to 0.94%. andrew >> thank you, becky. let's bring you an update now on the pandemic and where things stand the uk now has begun distributing the covid vaccine made by pfizer and biontech. it starts tomorrow three different groups people over the age of 80 years old, front line health care workers, and nursing home staff and residents. now in the united states, the fda advisory panel will meet on thursday this week to issue guidance on the pfizer vaccine tomorrow we're expecting briefing materials for the meeting. that will give us the first hint of the fda's view of the clinical

trial data after thursday's panel meeting, it's estimated that the fda will take at least a few days to review the data before deciding whether to approve the vaccine in the 8:00 a.m. hour, we'll talk to the chief advisor for operation warp speed about it and who is going to get the vaccine, how, and all the distribution issues that are related to it. meantime, lots of other issues going on on the other side of the country. we're on the east coast, and, joe, the west coast, umm, they're hurting. >> yep waking up this morning millions of residents in california waking up to some new lockdown rules. the state grapples with the continuing surge in coronavirus cases. the restrictions in 11 counties in southern california were triggered when icu capacities fell below 15% they include business shut

downs, stay-at-home orders, as well guys >> that's right. in the meantime, joe, president-elect joe biden plans to select halve your becerra to lead hhs he's the attorney general of california and lead a coalition of states in defending the affordable care act. he previously served 12 terms in the u.s. house of representatives and this has been a pick that has received much speculation, at least over the weekend. andrew >> thank you, becky. then rudy giuliani confirmed last night that he's now tested positive for covid-19. president trump tweeted the news earlier in the day he tweeted he was, quote, "getting great care and feeling good and recovering quickly. we wish him well arizona's legislature will close for a week after giuliani's recent visit many said he was admitted to

georgetown for treatment but nbc hasn't been able to verify the reports yet. it's unclear if he had any symptoms but at age 76, he's considered to be at high risk for complications stemming from the virus. joe? >> thanks, andrew. congress is stuck in stimulus negotiations still. it's been about four months now. there's talk a bipartisan group of senators could unveil a new $908 billion economic relief bill it will reportedly include $288 billion in small business aid, $180 billion in unemployment benefits that increase weekly payments by $300, and $160 billion in state and local aid $17 billion for the airline industry it's unclear whether the new plan will win enough support, though, to get a vote.

we could hear it on the senate floor. speaking of the senate -- >> that's right. an update on the race for control of the senate. georgia's senator kell debated last night both stuck to the campaign messages and senator laffler refused to acknowledge that president trump lost last month's election in the meantime, democrat after david perdue declined to participate in the debate. he used the opportunity to speak for nearly half an hour on the pandemic, stimulus relief, immigration, and much more runoff elections for georgia's two senate seats will determine control of the u.s. senate when we come back, we'll talk about what has been happening with the market. check out the futures right now. you'll see that at this point it looks like the dow is down by about 150 points nasdaq off by 15 the s&p is off by 15, as well. of course, it's coming off

record closes for all three of those averages up next, we'll be speaking to the world's biggest asset manager which will be unveiling the outlook for 2021 mike pooil will join us next talking about a new trading outcome that we're looking at for the next year. and, later airbnb is expected to boost the price range for this week's ipo. we'll get a special report from leslie picker at 6:30 eastern time [ whispering ]

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the christmas tree in rockefeller center other news to bring you -- it's not good for new york city. goldman sachs considering planning to go to florida and create a new hub there for its asset management arm according to a bloomberg story and saying that executives have been scouting locations in south florida, speaking with local officials, and exploring tax advantages

goldman is also looking at dallas where it has been expanding, as well other investment firms have been increasing their presence in florida, including blackstone and l.a. management. you're starting to see the move potentially. unclear, exactly, how much of a tax benefit they would get because the headquarters would still be in new york so there is some -- but potentially they could move some of that. and the other issue is that arguably -- and i've heard it before, a lot of clients, especially in the sort of some of the wealthiest people in america are moving to florida, in part, for taxes but it does mean that people are more mobile than they used to be that is 100% true. 10 years ago, i didn't believe people were as mobile and i don't think they were. i think today mobility is a different story. >> two years ago -- covid has shown us. >> yeah.

and the nasdaq moves to texas, i'm heading to florida you know, you guys can come, if you want or not we're not together now but if i have no place -- >> you're not going to texas >> what did -- for me, this has nothing -- i love texas. i love texas andrew, i'm like you i love texas i would never go to florida based on any type of taxes i mean, it's nice down there nice golf courses, nice weather, nice people. >> actually, i thought of something. oh, stay where you are i was sent a sweat shirt recently i'm going to put it on because i believe it's mofor me i'll be back in a second. >> i hope there's no four-letter word on the sweat shirt. [ laughter ] the way people are feeling -- >> i just took my mic off.

>> what does it? >> i can't see it. the hood is in the way. >> new york or nowhere. >> okay. >> can you see it? >> goldman sachs wouldn't like that all right. we'll see. >> we'll see. >> don't people have some patriotic duty to their own cities a little bit is it just -- i don't know. >> who knows. >> yes i've moved around a lot. and i wouldn't mind my money going to new jersey. guys, this theme is kind of playing out in the markets all over the place it's part of what blackrock is unveil agent the global investment outlook joining us now with an exclusive look at the themes dominating the next year is blackrock's global chief investment strategies mike pyle you think it's because of discussions like this one with

goldman sachs, right >> i'm from brooklyn so i have my future -- right here. but, yes, we look ahead into 2021, i guess we say a couple of things one, like a lot of people, we see a constructive backdrop for equities and other risk assets one of the reasons we think that is so is one of these more durable investment themes over the medium term. what we're calling the new nominal. that's a view that interest rates will stay pretty range bound. even as we think inflation expectations will farm we think it's likely to be successful over the medium term getting to where they want to go around inflation that means that real rates are going to go even more deeply negative discount rates will go down further. that's a constructive backdrop for risk assets next year and over the medium term that's one of the durable things we think is going to matter for investors. >> mike, it's just that you have all the changes that have come about by covid we're now talking about the vaccines that are going to start

tomorrow in the uk and potentially the end of the week into next week here in the united states. you don't think a lot of changes that came with covid are going to go away once the vaccine starts, correct? >> that's absolutely true, as well we think, you know, more positive -- then the question becomes where to take the risk where are we especially positive because of those tail winds that have been unleashed by this year and the covid moment and what are head winds and places we continue to have conviction in are places around the technology exposures, for example. so we're overweight in the u.s. equity market, overweight in the quality factor we recognize on the back up of the vaccine there are going to be some cyclical exposures next year that are going to be big outperformers. the key there is distinguished between ones that capture that cyclical so here we're cautious on places like value and europe. even as we're constructive on

u.s. small caps, high yield, what have you. it's about the head winds and tail winds that have been unleashed. you're right. >> are you surprised to see all four of the major averages actually ended with new highs on friday >> so, not -- what we think is that the tail winds that are in place for risk assets, both in terms of tracing, what will be a positive growth outlook for 2021 ultimately when we get to the point of the vaccine, you know, we think there are going to be significant challenges over the next two to three months in terms of the economy in terms of the challenges around fiscal stimulus and that getting across the line. markets seem to be looking through that, to some degree, so the vaccine covering the back half of next year. and the discount rate environment we think is going to be important for the outlook. >> that's why you are taking a bit of a barbell approach.

you want to explain that which sort of asset classes you like. >> yeah, and this goes exactly to the question that you pos thognizing that as we get into 2021, there's going to be a pretty powerful updraft from the vaccine led restart the are going to be secular head and tail winds in place. so things like technology, that's a durable theme that has been true for many years as well as on lock in 2020 remaining overweight the u.s. is the quality factor but on the other side of the barbell, being select about the cyclical exposures that can outperform in an updraft around thevaccine so u.s. small cap, high yield, broad emerging markets on one side and then avoiding some of those head winds around value, around europe, around japan places that are more structurally challenged from some of these bigger themes.

that, to us, is the right way of constructing a barbell that will get you exposure going into 2021. >> mike, you still have to be looking at price even though you like the themes like technology, u.s. equities overall. are there price points that worry you in either one of the categories >> well, i would say we're -- that's not where we're at now. and, again, i would going to draw attention to the theme around the new nominal that we talked about and one of the things we think is under appreciated is the extent to which, again, interest rates can remain range bound inflation expectations can firm as investors increasingly get confidence in the fed going to where they want to go. that can push discount rates and even more rates more deeply into negative territory that basic dynamic discount rates ratcheting lower has beem. it's great to see you. >> thank you for having me. >> joe >> thanks, beck.

coming up, a big warning for small businesses who took aid from the paycheck protection program, including maybe a well-known quarterback who is now, actually, in the sunshine state. i mean he only signed for $50 million for two seasons but needed a little of this let's see. brace yourself for tax season. details next as we head to break, here is is a look at the biggest market decliners. this case in the s&p 500 at fidelity, you'll work with an advisor to help you build a flexible wealth plan. you'll have access to tax-smart investing strategies, and with brokerage accounts online trades are commission free. personalized advice. unmatched value. at fidelity, you can have both. unmatched value. these days, we want sophisticated but simple. cutting edge made user friendly. in other words, we want a hybrid.

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small business owners who took ppp aid could be in for a surprise and it's a big tax bill whenever i have to intro you, i have things to talk about but you have it written out. what about brady $900 plus thousand but gisele makes, i don't know, what does she make a year? he just signed for $50 million, a two many of ye-year deal the lakers got shamed -- you go ahead and do your report but i couldn't help but think about that when i saw it for the nutrition sports company or whatever it was. this is interesting. >> yeah, there were 500 sports-related companies that got loans. it was interesting they may face new taxes here not that it'll be a problem for tom brady. c.a.r.e.s. named ppp loans for small businesses but employers who had the loans forgiven could end up with a big tax penalty.

this new irs ruling states while the forgiven loan itself will not be taxes income, the expenses that the loan was used to pay for, like payroll, rent, and utilities, those cannot be deducted as business expenses. now small businesses, of course, rely heavily on those dedeductions to lower their taxable income now, an employer, let's say, who took a million dollar grant could face a tax bill at the end of the year over $300,000. since many have spent that money, they don't have leftover funds or many of them to pay those taxes. lawmakers on both sides of the aisle, of course, opposing this ruling chuck grassly and ron wyden saying if treasury doesn't change the irs ruling, they'll change it in a new stimulus bill, as we see, there could come too late.

i heard you mention there's $288 billion in the new comprise bill unless they change specifically this tax provision, i don't know that many small businesses will take this loan as a grant. >> good question it's a good question, robert we'll see. the whole notion of keeping employees on the payroll i was trying to figure out whether we should judge someone like tom brady for availing or his company availing itself to what is there to try to keep everyone employed. and i don't know i don't know we were kind of talking about it a little bit with the raised eye brow but if the rules are there for everyone, you know, maybe you should take advantage because that's the way it's written. then again, you see, you know, people -- entities like the l.a. lakers, which, obviously, one of the richest, you know, franchises in sports history you

just really pr wise, it would be better to give it back than to benefit from the paltry amount of money you got, probably just because of the bad reputation that you get. >> yeah, look, there's a single question here how many jobs did they protect or maintain because of this money? if it's the amount of jobs that is equivalent to 2.5 months of payroll and that's where the $900,000 went, fine. if it's not, you should give it back it was a rushed program. the rules were not clear it wasn't clear that you had to be, quote, impacted by covid so i think it's upon him now to say, look, here is the number of people tb 12 employed. here are the jobs we protected if he did, fine.

>> right right. okay, robert frank, thank you. for some reason, your stories have, you know, we can always i don't know get sort of water cooler gossipy about them. there's an angle that we can look at. i think you like that. it says something about you. a good thing, i think. see you later! >> okay. coming up on the other side of the break, a big week for ipo with door dash and airbnb set to day beau at boosted price ranges everything you need to know for the first trades next today's big number $1.84 billion. that's the estimated revenue for apple's app store for the month of november, accordingen ssor tower. it represents a 32% increase over the year ago period

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welcome back we've been watching the u.s. equities things are a little bit of pressure dow futures down by 128 points so you to remember all the major averages closed at record highs on friday. s&p futures down by about 14 points the nasdaq off by about 6. andrew >> okay. let's talk about some of the these ipo that are coming up this week. airbnb planning to increase the price range aiming for a potentially $42 billion evaluation it also reports that doordash expected to price at the high end or above its increased range. both ipos will bring a flood of stock to the market when they debut. and leslie picker joins us with the latest leslie >> hey, good morning two multibillion dollar ipos coming to market this week doordash set to make the debut on wednesday followed by airbnb

on thursday. excludei excludeing spacs, we're expected to see $7 billion of ipo this week since 2014, only three other weeks surpassed that volume. most recently in mid september, there was a big week of software debuts they raised a combined $8 billion. before that, the only weeks that saw greateri issuance was 2019 what is different this time around, is the billions of dollars of new stock is coming weeks before the end of the year most institutional investors lock in the performance for incentive purposes that's when it becomes imperative for them to beat their benchmark. if their benchmark is, say, the nasdaq, they're looking to gain at about 40% to beat that could drive up demand as ipos is be a source of alpha with the day one pop it can also cause investors who

are already ahead to sit the deals out to avoid any last-minute risk taking because the pop is all but guaranteed. considering airbnb and doordash upped their price ranges, it appears they're receiving better than expected demand at this stage of the game. >> i mean, the funny part about this is some of the companies, including airbnb wanted to do a direct listing, at one point. >> yeah. >> is it just -- i mean, obviously, they need and wanted to raise money but this environment it seems like you got to raise the money. >> i think that's right. you have to raise the money in this environment especially if your business is potentially impacted by the next few months and, you know, who knows what is to come with regard to shut down orders and the like i was thinking about this, too, yesterday, as i was wrapping my head around the hit. i do wonder -- with the direct listing, you don't necessarily get the same amount of interest from a listing at the end of the

year that you might get with a traditional ipo because it's the institutional investors that get allocation at the stock at what they hope would be a price that would be poised to pop on the first day of strtrading. if you have a direct listing, you don't have that incentive structure as you would with the traditional ipo at the end of the year i don't know if it changed their calculus but it could be a tail wind for their, ipo in a traditional ipo process. >> okay, leslie picker, great to see you. thank you. we'll continue the conversation now and talk about what is working in the world of big tech talking about tech gene muenster is here. let's talk about what you're expecting out of the gate this week on airbnb and doordash. >> andrew, it's representative of a shift in the marketplace. there's a fraction away from the traditional -- gross stocks. i think the idea of what worked

in the past will work in the future simply isn't holding with investors. and you look at we talk about a firm we talk about doordash, frog, and airbnb and others. even tesla, in some respects, is an ipo this year it's the first year it has gotten institutional credibility. i think when you put it together, i appreciate leslie's set up and mechanics of it she outlined very well i would add there's a bigger story going on here. it's that simple, andrew what has worked in the past simply won't work in the future. and i want to cautious some faang holders. the idea we can blindly own these stocks, i think, is misleading i think there's going to be a fracture in faang. i think you see companies like facebook and netflix simply won't perform that well. i still believe strongly in where appel is going it's a different topic we have a $200 target on that.

i want to put it together, the market is telling us something loud and clear what worked in the past isn't going to work in the future. >> question for you, did you see the story that said apple is forced to include iphone charger for not demonstrating environmental benefit? >> i have not seen that. it's news to me. surprised to hear that because the majority of iphone owners, about 70% of the sales on an annual basis are to existing iphone owners which would suggest they probably have a charger. i think it's something they probably could -- >> right. >> i should say it's not in the united states. i think it's in brazil and the question is other countries would do the same. force them to do the same. the other thing i was going to mention on apple, i don't know if you saw there's speculation that the macbook, you know, they create third own chips with the mac book with the new m-1 chip have they been returned to using

an intel chip? have you seen that that was fascinating to me, if true, over the weekend. >> haven't seen it i'm going to sate probably of that is slim to none i'm not saying for all remember they updated three of their mac models more recently with the new chip. so there's other models they may continue to use an intel chip longer than expected that may be picked up here at the end of the day, is apple has been on a 10-year progression to build their own silicon. there's advantage to that. >> and we have the line about the building of ib tell. let me ask you about tesla it's a company we talk about constantly i know you have -- i wonder if you have new views now that we're entering this s&p 500 period

you're also seeing the memos and e-mails leaking from elon musk you center to ke-- have to keep costs down i think there's going to be now pressure on operating returns >>well, they -- i think it's prudent business i think it's a sign that elon is evolving yes, they need to keep the costs down but i think the bigger picture we talked about tesla as an ipo stock this year i don't need to frame in the significance they're having on the ev market. i think what is important to note, it's outside of the cost equation, what is important to note is the tesla story will involve in the months and years to come. specifically they're going to be a car company. they're going take their tech -- they're defining and pioneering and applying it to, mas. it's a big deal. when you take, for example, insurance. elon said there's 30 to 40% of the value. the car could be an insurance. what it means is that they can start offering their own insurance and improve margins. that's high margin revenue not to mention, everything

they're doing around over the air updates with autonomy and what they can do around hvac and i'm going to lose a lot of credibility when you hear what i say next, but i believe it's on tesla's road map is a flying taxi i would not put any investing -- i would not invest in tesla based on that but the concept the company will continue to evolve and be a tech leader in the next decade i'm on board with that. >> is there anybody that can compete with tesla is there a we'll talk about it in the same sense? >> traditional auto, no. i think you'll look at companies around for 100 years you'll ask which traditional auto is best positioned to even remotely compete it's probably volkswagen followed by gm. really, there's no substance competition. again, they'll evolve outside of

cars longer term the biggest company that can compete longer term is apple i think they -- whatever their ambitions are in vehicles, i mean, it's been hrl quiet there. i'm not expecting anything in the near term but that is a tesla investor that would be the one announcement that i would cause me to step back and rethink things. >> since we're going around the hoop on tech issues and this isn't a tech company but it's trading like one bitcoin. now living over 19,000 it's staying there a little bit. what do you think the upside is? what do you think the downside is now >> i think the downside in the near term it's hard to predict it's similar to when you see tesla and the big moves up-and-down. i think if you want to speculate on bitcoin, it's not a good bet. they're trying to transform currency globally. i think there's a place for

that i think tech has a place when it comes to monetary mechanisms i think that over time, you'll see bitcoin continue to move higher what is notable about the near term move, we're seeing institutional investors. it's not the uber driver telling you need to own bitcoin. i think it's a sign that the platform is starting to move in a more credibility direction. >> gene, i'm confused. help clarify one thing i think i heard you say it's not a great speculative bet but then you thought it was going to move higher. >> yeah. let me clarify that. i think that trying to guess what bitcoin will do on a week to week basis is difficult i think that people who are trading around this and just because it's making all time highs therefore it should make an all time high tomorrow, i think it's a misled strategy i do advocate that ultimately if you believe in the theme of what they're doing, then you can

basically look past some of these what will be undoubtedly big fluctuations in bitcoin price. i think there's a long-term player here. i think long-term bitcoin is going higher >> all of those silly uber drivers getting in at 3, 4, 5,000. and now all the savvy pros getting in at $1920. makes a lot of sense >>well, i would just -- when bubbles happen, i think what happens is you see -- >> aren't the professionals, you drag in the professionals? the way you said it -- >> yeah. the stupid uber guys buying down what is that pet peter theil and i owned some from long ago. i haven't done anything with it

but, you know, prior to that you get smart guys -- i just thought that -- in the way you said it almost sounds like you're saying -- >> well yeah. >> you know when legitimate tech gets in, maybe it'll be okay if you look into bitcoin know how it works? you've read about it and everything >> i have, joe and i apologize, yeah, that was i understand your comment. dually noted i think at the end of the day, maybe a better way to say it is the base of people who are considering an investing in bitcoin longer term is expanding. i think that's positive for it longer term. >> fair enough you know, i'm not sure it's the way you said it. you're right i don't think you intended it that way that's the way it could have been taken silly guys in uber don't know what they're doing and the real guys are getting in it

they're discovering at $20,000 way to go, guys. thanks, gene. >> thank you. >> okay. >> a lot of other things out there -- >> oh, yep when we come back, a big week for the fire departme-- fd vaccine. if approved, will americans get the shot polling numbers ahead. you can watch or listen live any time on the cnbc app use a single hr software? nope.

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coming up a big week for the fda's vaccine approval process how many americans will actually get the shot we'll show you some new polling numbers on public trust. that's coming up next. stay with us

all right. big goings on in washington all the time who would we get if we wanted -- who's that person that used to have their finger on the pulse of hollywood, if we were going to do that for washington, i think it would be this guy, mike allen is the axios cofounder i thought about how to intro you. we talked a little last week you said you'd re-tweet things i tweet. i don't recommend that you've got to be very careful with tweets. >> you sounded a little tweet needy, so i'm here for you, i've got your back. >> so with that in mind, i'm going to start this, we want to talk vaccines because you've got some interesting statistics there. but let's say that you would phrase it in twitter lingo

what would be the number one trending item in washington if that was a way to look at it over this weekend? would it be the georgia rally? would it be, i don't know, you tell me, what would it be? >> no, trending is how president-elect biden is filling out this cabinet, and with the choice for hhs, with now california attorney general bacerra, of course we have long known him as congressman bacerra, a request that had come from hispanic leaders. he's starting to get the cabinet that looks like america that he had promised and a couple more big picks to go. attorney general, pentagon, a lot of conflicting advice, demands that he's getting on those. but he's trying to tell a story about the next four years and so far has cabinet has gotten great

reviews. >> great let's -- i was going to go to the notion that -- and i'm not saying that, you know, we do have, obviously an administration setting up, but we've also got this weird dynamic of a competing rally do you think that's possible on the day of inauguration? that's what i meant by sort of the gossipy washington water cooler talk. is that really possible? >> you know we don't traffic in that sort of thing so, yeah, a lot of buzz about what president trump is going to do on inauguration day and i asked people very close to him, what's the chance that president trump is going to do something graceful on inauguration day i'm yet to find somebody who will predict that, so axios has reporting that one idea that he has is, of course, the presidential helicopter is marine one until the moment

that -- as long as you're president, the presidential plane is air force one, as long as the president is aboard it, so one plan they're talking about inside is before noon while he's still president, before joe biden takes the oath, he'll take marine one, take air force one to florida, do a rally. their dream is that there would be a split screen between a trump rally and florida, and president biden taking the oath on the steps of the capitol. of course with a very small crowd, very small, mostly virtual inauguration, but tv executives tell me zero chance there would be a split screen. there's a new president, he's taking the oath. ex-president trump can hold his rally if he wants. there ain't going to be a split screen at high noon. >> well, there hmight be on one network i can think of.

>> that's right. i should say major network executives, and there's no -- this is going to be a real challenge for president biden. there has never been an ex who was out there constantly heckling with president obama and president george w. bush, president clinton, all of them laid low and were mostly quiet, no signs that the president has this in mind, and look, he said that he probably won't attend, and i thought it was very interesting, president-elect biden who's made a point to say very little about trump, and i'm told in interviews with insiders, he's to say very little about trump, he takes it as the past. he did say for the country, he should probably be there at the swearing in. it's our peaceful transfer of power. i think it will surprise people, and i can tell you from my own

conversations it will disappoint a lot of people who worked hard for president trump. >> just real quickly, only 51% of americans likely to get the vaccine as soon as it's available. but i don't know, maybe a month after those numbers could go up, you would think, once it starts. maybe not to be the first one to get the jab. >> no, they could, but this is a real problem so the bureaucratic term for it is vaccine hesitancy, and it's being tracked closely in the government but what got my attention about this, on friday, we had a poll from pugh showing that fewer than half of black americans who were polled would take the jab right away, but then you pick up yesterday's new york post, the wood of yesterday's post, first resisters, the poll of firefighters in new york who are 77% white, so a totally

different demographic, less than half of them saying they would take the jab one of their union officials saying they think they're young, they're healthy, they don't need it, but that shows that there's a long way to go in educating, building trust, and of course trust is something we're short of with all institutions right now. >> yep mike allen, axios, thank you i appreciate it. keep your ears and eyes open, and you can text me or send me a tweet like you did last week >> i'll traffic in gossip anytime you want and i'll re-tweet. >> so will we. >> have a great week >> okay. thanks, joe, thanks, mike. meantime, we've got two big hours ahead. bitcoin continuing that remarkable run up again this morning. we're going to break down what lecoro it uld play or maybe should play in your portfolio next ok, just keep coloring there...

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historic warning from the white house health adviser the winter covid surge will be quote the worst event this country will face. we have the details and reactions from dr. scott gottlieb straight ahead. and after a record setting session on friday, investors are

taking a step back as the street searches for more clues about additional fiscal aid. plus, oil prices climbing five straight weeks, we'll take a look at where prices could be headed next, also picks in the sector the second hour of "squawk box" begins right now. good morning, welcome back to "squawk box" right here on cnbc i'm andrew ross sorkin along with becky quick and joe kernen. let's show u.s. equity futures on this monday morning, about 2 1/2 hours before the market opens. we're going to be down a bit here, about 115 points off on the dow. s&p 500 looking to open down about eleven points and looking at the nasdaq down about 9 points becky. >> andrew, one of the big talkers this morning, goldman sachs is considering plans for a

new florida hub for its asset management arm that's according to a bloomberg report that says executives have been scouting locations in south florida. speaking with local officials and exploring tax advantages the report says that goldman is also looking at dallas where it's been expanding as well. manhattan right now has most office space available since 2001 other investment firms have been increasing their presence in florida as well, including black stone, citadel and elliot management guys, it's not just expanding because of the tax implications that it could mean it's also a reflection of the idea that you don't have to be in one place anymore, that you can work remote, and be all over the place, and we have learned that pretty well over there's last nine months >> it's -- winter is coming. as they said on "game of thrones" up here, and people do, i mean, there's a reason they vacation down there. it's nice. and, you know, don't you like

when people say, you know, i really like the change of seasons. i just, i really like, i do. i do i like the leaves and i like spring, and i like things like that, but in the middle of winter i also like, you know, that ocean breeze when it's about, you know, 75 and sunny. i mean, that would be pretty -- wouldn't you guys, if we could, sorkin, you just said you're low to new york. we have thought about this, have we not, if we could get remote guests or something? >> in the winter, no question, in the winter for three months, we should go down there and do the show like on the roof of some building, but in the summer, where do you want to be, joe? you don't want to be in florida in the summer. >> no, you want to be in michigan, one of those lakes or maybe maine or cape cod. the vineyard near obama, near president obama is a good place in the summer.

you know, tough to afford it up there obviously, but, yeah, i mean, i understand doesn't this have something to do with the taxes? i know we're dancing around that it really doesn't? >> that's the first thing we said is that they're looking because of tax implications. its not just the tax implications but that is number one on the list. >> it's just -- >> the other element of it, guys -- >> tawdry. it goes to admit that. kind of feel, for doing things for taxes. it's not a good look. >> it's not just the taxes, though, interestingly of the firm itself. what's really interesting and happening is it's the personal tax issue for so many of the quote talent, the individuals who they're hoping to attract and continue to work at goldman sachs and other firms who are saying, hey, we want to move to florida. we'd prefer to be down there, so it's almost -- it's as much about their own tax base as how can they attract the talent they

want there are a number of bankers who are deciding to move to places like florida and other places and plan to frankly travel from there. that's a big element of what's happening. >> i mean, it is a -- if you're a higher earner and you're in new jersey or new york, the difference in state taxes between florida and those places, i've seen people do the math that, you know those high-rises down there in some of the great places in florida, based on what you would save in state taxes or you could rent one for just x amount of dollars per month, one of the nicest ones, just without any change in your financial situation and that's why phil murphy, and cuomo, they got to think about this stuff, and i don't know if they -- it's very difficult, where they are right now with covid, and everything else but you really do need to think about net-net, what happens. what murphy go to, becky, and there's a -- i haven't seen

exactly, but it's some kind of tax on really just put it in, right? did he have to pass it it was a millionaire tax it passed theassembly, it did. >> it passed the assembly. >> a little worse than 3 >> yeah. all right. well, we can -- it's interesting to talk about. meanwhile, airbnb plans to boost a proposed price maybe we can get an airbnb, price range of the ipo between 56 to $60 a share, up from 4.50. according to the "wall street journal," giving a valuation of $42 billion. let's bring in an update on the pandemic the uk distributed the covid vaccine made by pfizer and biontech, and the first doses will be administered at hospitals starting tomorrow. to three different groups over the age of 80 years old, front

line health care workers and nursing home staff and the residents of those nursing homes. in the united states, an fda advisory panel will begin meeting on thursday to issue guidance on the pfizer vaccine tomorrow, we're expecting briefing materials about that meeting. that will give us the first hint of the fda's view of the clinical trial data. it's estimated the fda would take a few days to review the data before deciding whether toy approve the vaccine. a conversation you don't want to miss we'll talk to the chief adviser, and talk about getting the vaccines out, and how quickly that will happen and who will be prioritized. a lot of complicated issues and distribution issues as well ahead for all of us. becky? >> that's right, andrew, and in the meantime, millions of residents in california are waking up this morning under new lock down rules as the state grapples with the continued surge in coronavirus cases the restrictions in 11 counties

in southern california were triggered when icu capacity at hospitals fell below 15% those restrictions include business shut downs and stay-at-home orders. we're going to have much more on the pandemic coming up in the next half hour joe? >> thanks, beck. coming up, acting controller of the currency, brian brooks says crypto regulation is coming but nobody is going to actually ban bitcoin. they said that last week we'll hear from the ceo right after the break, and what regulation may or may not look like before we head to break, let's get a check on the markets "squawk box," we're coming right back with the dow down about 10. -- 120. 120. 120. 120. 120. 120. 0.120. 120. 120. 20

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all covered california health insurance plans are comprehensive - with mental health coverage, and financial help for people who need it. covered california. this way to health insurance. enroll by december 15th. welcome back to "squawk box" this morning the top currency regulators saying clarity is on its way >> we're very focused on getting this right we're very focused on not killing this, and it's equally important that we develop the networks behind bitcoin and other cryptos as it is that we prevent money laundering. >> joining us to talk about the crypto regulation, is circle ceo jere jere jeremy laird it's graetd to see you th-- gre you this morning

you heard the idea that regulators don't want to stop this you don't know necessarily who's coming into this next administration and how they are going to feel about bitcoin and cryptocurrencys. are you getting any kind of feedback from the transition team yet >> thanks, andrew. you know, it's really a mixed situation. i think this is a world where there's a lot of different parts of both the left and right that understand this differently, and frankly there's a lot of misunderstanding on the one hand on the liberal end of the spectrum, you have a view that somehow this is not good for individuals who have less access to the financial system when, in fact, the opposite is the case, that this technology in particular stable coins hold promise of opening up and widening access to the financial system more deeply than the existing banking system on the other hand, you have, you know, big banks and those in

congress that may by lobby aggressively saying, hey, you know, these firms in this space need to have, you know, tighter rules around them. they can't be allowed to have, you know, less strict rules like companies like pay pal and square and certainly crypto firms have, and then you've got kind of moderates both on the left and the right who, i think, are, you know, see this constructively >> let me just ask you about stable coins, and i wish you would tell me quick, actually let's do it in 30 seconds, the biden administration, do you believe they're going to be positively predisposed to cryptocurrency, and making it broader or more tightly regulated, just straight up and down >> you know, i think that they will ultimately be supportive because this is an infrastructure change as big as the initial commercial internet, and they're going to be focused on infrastructure changes that

make america more competitive, ands in absolutely going to be a core part in that. >> stable coins versus bitcoin you have a stable coin, it's had a high degree of success, the numbers are off the charts, up 500% explain to the viewers who are uninitiated what the difference is between something like a stable coin relative to a bitcoin? >> sure. a stable county like usd county or usdc is a digital currency that is backed by dollars, you know, dollars that are held in the traditional banking system, and so it's really, as some people like to say, it's a new form factor for dollars. it is a way to take the stability of a dollar, sitting inside the federal reserve governed banking system and em bay the ability to transmit it, the

same way we can exchange data content. a way to turbo charge dollars by running them on top of block chain infrastructure, and so it's really -- >> so jeremy, explain this, though, often times we hear that, you know, one day the federal reserve could decide to issue their own version of a digital version of the u.s. dollar if that were to happen, would that effectively crowd out a sab stable coin? >> i think right now, whether it's the federal reserve or the european central bank or central banks around the world, there's obviously a lot of interest this topic. there's a lot of research around central bank digital currencies. the reality is leading companies in the private sector, whether it's out of the crypto industry, circle and coin base, or major firms like visa or major internet technology firms are racing ahead to implement stable

coins as a new, fundamental innovation in how money moves around the world i think the real question is basically over the coming let's say two, three, four years, is there some convergence there are the standards that are built in industry, and by fin tax and the private sector, do those converge with the safeguards that central banks care about and is there a supervisory role that makes sense. >> let me ask you a different question how many coins, digital currencies do you think could exist in a meaningful way five, ten years from now i ask because people right now look at bitcoin as holy grail of them your coin now has had some success, is there an unlimited number if there was an unlimited number, you would say, maybe they don't have value, maybe there only are a couple of them. i used to think there would only be a couple of television streamers and apps, and now

everybody's got so many. so hard to know, but where do you land >> i think there will continue to be a very broad proliferation in token based digital assets and so just to unpack that mouthful, you know, similar to the analogy you give, no one believed that everyone who can create something was going to be able to distribute it to any other consumer in the world, whether it be content or a craft or product or a labor internet-based markets have been very transformative. in financial markets, we haven't seen something quite like that, but you have to differentiate. you have pure digital commodities like bitcoin or ether, and then you have assets that are issued that are, themselves, tied to some other asset like an underlying reserve bank deposit or equity in a company or a loan contract and so the proliferation is really going to be in, you know, basically these crypto assets

that represent real things in the real world like property and so ultimately, yes, i think that there will be very very broad proliferation of digital assets in the market >> okay. jeremy laird, it's a pleasure to see cryou as always. we look forward to following your progress with all of it come on back it's a story and conversation that's not going anywhere fast or maybe it's going somewhere very very fast but not going away anytime soon. >> absolutely. >> talk to you soon. becky? >> thanks, andrew. when we come back, with rent and other expenses harder to cover during the pandemic, young renters are moving back in with mom and dad. that spells trouble for landlords, diana olick will have that story right after this break. at 7:30 eastern time, white house health adviser, dr. deborah birx warning the coronavirus surge is likely to be the most trying event in u.s.

history. wel ar'lhe from dr. scott gottlieb about what's to come and the latest on the vaccine front.

♪ they don't understand us kids are going to make some mistaking ♪ ♪ until you're kids across the land ♪ the pandemic is forcing some renters to move back home with their parents. it's happening at an eye popping pace that sounds painful. and it's shaking up the rental market here's diana olick. >> ellen goldberg hasn't lived in her childhood home in new jersey in over a decade. when covid shut down her beloved theater industry, she was suddenly unemployed, and unable to pay rent. >> i know about half my friends are living with their parents or had to give up their apartments because they don't know how they're going to pay rent next month. >> reporter: 50% of renters are moving back in with their parents, compared to pre-covid millennials, are moving back most, up 75% >> you are a complete

independent adult, had a career you were really proud of and an apartment you were proud of, and then it's all whisked away in a matter of days. >> reporter: ellen's parents see it a little differently. >> it's been like a surprise that we didn't know we would get, and so we're looking at it as a gift. >> reporter: a gift with some surprise expenses. >> we have actually just put some more money into the house the most important thing was upping the wi-fi because now we have three people on a lot of devices. >> reporter: they're not making big changes because ellen says the minute broadway opens she's going back and beleaguered new york city will likely offer her a gift, cheaper rent. >> i'm excited hopefully it might be a renters game when i get back. >> reporter: now, ellen may be going back as soon as possible but there has definitely been a shift in the housing market nationally sales of multigenerational homes have jumped very high this year, and builders are reporting

bigger than demand than usual for multifloor plans in other words, this may not be temporary at you wiall. >> we thought, diana, that that trend with millennials to stay at home was reversing, and here we are and now it looks like, you know, what's the god father, pull me back in. i guess as quickly as some are finally moving out, they're pulling back i'm with those parents, though, come on back whatever we have, you know, the opportunity to have our kids back for like, we've got room. we miss you, you know, not that we, you know i'm torn i could go both ways it is kind of a gift when they come back and you spend a lot more time with them. >> reporter: it is a great gift, but it's actually really interesting because you did see the millennials, the forefront of the housing demand, older millennials as they started to

have kids and get married, et cetera when you talk to the builders, they have great design plans where you basically have your own apartment within the house we were seeing that a bit before the pandemic we were seeing that move now they say it's so many different people coming in wanting the different floor plans. it's not necessarily the pandemic pe pandemic driven, but going out, you're not going to buy a mul multi-gen home if you don't expect to be there for five years. >> thank you, appreciate it. see you soon andrew okay still to come right here on "squawk box," covid infections and hospitalizations hitting record highs a white house health adviser is warning the surge will be the worst event this country will face we're going to talk about it after the break with dr. scott gottlieb we head to that break, check out shares of ford, which announced it is delaying the launch of its new bronco suv until the summer, reteprleandemic lad obms

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welcome back, everybody. the uk has begun distributing the covid vaccine made by pfizer

and biontech the first doses will be administered at hospitals there starting tomorrow. in the united states, an fda advisory panel will meet on thursday to issue guidance on the pfizer vaccine for more on the vaccine latest, let's bring in dr. scott gottlieb he of course is the former fda commissioner and a cnbc contributor. he also serves on the boards of both illumina and pfizer new this morning, his latest "wall street journal" op-ed asks the question and gives answers on who will get the covid vaccine first. doctor, welcome, it's good to see you. first of all, let's talk about this, if approval is given on thursday by in fda committee, how quickly do you think americans will actually start getting vaccinated here? >> very quickly, within days, so the supply that pfizer has said is going to be available for the month of december, and as you mentioned, i'm on the board of pfizer, is largely manufactured. that supply is available and ready to go. that will start shipping as soon as the authorization comes as it did in the uk.

as soon as they got the authorization in the uk, trucks were rolling through the tunnel from europe into the united kingdom to deliver the supplies. they may vaccinate upwards of 800,000 people this week uk authorities have said that. we'll be ready to go quickly in the u.s. if the authorization comes. you'll see the vaccinations start very quickly >> we know that it's going to go to first responders, health care workers, the elderly first, but even within that, there's still a lot of questions about how you kind of doll those out there have been questions, and i hadn't thought about this before, if every person needs two doses of the vaccine, should it be the situation where you give someone a dose, and then you put their second dose on the shelf and let them wait for a month to get the next dose or should that second dose go as a first dose to somebody else with the expectation that there's going to be more manufacturer to be there in time what are the risks of each

>> my personal opinion is they should push out as have vaccines as possible with the assumption they're going to have the doses available in a month because supply ramps quickly the reality is the government is going to be holding on to doses to make sure everyone they give a first dose to can have a second dose. i don't think they should be doing that the first dose is partially protective i think you want to get as many people vaccinated as possible, and quite frankly, in a month from now, if we don't have a supply to give everyone a second dose, that's going to mean a supply disruption. i think we need to take a little bit of a risk in the sets of a crisis, and push out as much vaccine as possible this month, given that it's going to be the worst in the pandemic. and expect we're going to have the supply a month from now because supply ramps very quickly as you get into 2021 this is someplace where i disagree with the plan that the federal government has put forward. i think they should put out as

much vaccine as possible >> doctor, can i ask you something, if someone gets vaccinated or if someone has already had covid, does that mean they can't be a carrier and spread it to somebody else do we know the answer to that question yet >> not fully what the trials have demonstrated is the vaccines are effective at reducing the signs and symptoms of covid the disease. we don't know if they reduce or eliminate your ability to get coronavirus, the infection what we know is that if people do get coronavirus, the infection, they're not becoming symptomatic with vaccination you know, there is an assumption among some that the vaccine's probably already also reducing the incident of infection. we don't know that for sure. that needs to be demonstrated in clinical trials. there will be data that will help inform that question. to fully inform that question, we're going to be dependent on postmarked evidence and following patients that get vaccinated to see if they get signs of infection, just not

signs of symptomatic covid disease. >> hey, doctor, hoping you can help, frankly, end a debate that i'm not sure is a debate, but maybe it is for some do you believe that it is a higher risk to eat indoors, specifically indoors at a restaurant, even distanced indoors at a restaurant than it is to go to a big box retailer where people are ostensibly wearing masks? >> look, i do personally i think it's hard to debate that if you're eating indoors in a confined space and you're taking a mask off, people who eat indoors are talking loudly, in many cases, and again, you're not wearing a mask, you're in a confined space i think there's no question that's a higher risk could there be certain indoor settings optimized where they have taken steps to substantially reduce the risk. possibly i have gone in many big box

stores properly masked and i wear high quality masks when i go out, i will not eat indoors in a restaurant. i have been eating outdoors since the summer time, and wouldn't eat indoors in a restaurant i think the risk is too high to be in a confined space without a mask on with other people eating in that same location right now. >> doctor, let me ask you about some comments that dr. deborah birx made over the weekend she said that we are facing what could be the most trying event in the nation's history over the next few months. that's a pretty high bar when you think about all of the things that this nation has been through. what does that look like how is it different from what we're looking at right now >> i think we need to understand that what we're looking at right now is going to get progressively worse over the next four to six weeks, so infections are going to continue to grow for at least four weeks, and the number of deaths and hospitalizations are going to continue to grow for probably the next six weeks we're not going to peak in terms of the number of hospitalizations and icu

admissions for at least six weeks, and deaths are going to continue to rise for a period of time after that. we may peak to around 150 to 175,000 hospitalizations, and 50,000 icu admissions. that's not out of the question when you think about the available bed capacity, the total bed capacity in the united states, you're talking about 100,000 icu beds that includes a lot of pediatric intensive care unit beds, so when you're at 50,000, you have largely exhausted your supply of medical intensive care unit beds by a lot, and there's less than a million hospital beds in this country. when you're talking about 175,000 people hospitalized, we're going to be well past overflow, and what we did in the past waves of this infection, they were regionalized we were able to create a surge capacity, and create beds and staff beds we're not going to be able to do this this time around because we're not going to be able to staff them doctors are going to be pressed and nurses all around the nation this is going to get very

difficult, and the steps we take over the next two weeks is largely going to decide how bad that looks a month from now. there's a lagging effect of the mitigation that we take. we're really going to be locked in whatever we decide to do over the next two weeks, that's going to affect how bad this gets. we're going to be locked in at that point >> so in california this morning, there are plenty of counties where they're waking up to new lock down orders. those were triggered because of the 15% capacity left in intensive care units there is that the right move to tell people that they can't go outside once you get to those levels >> i don't know if we should put a hard metric on it because there's different capacity around different parts of the country. i do think that we're going to end up closing hospitality in a lot of parts of the country, and suspending elective surgeries. that's going to be the first thing that mayors and governors reach for. the reality is we can't ask small businesses to bear the brunt of this. we can't ask the restaurant owner to bear the brunt of the

collective action we need to take to save our society congress has to step in here, and it's hard to understand how congress and the administration hasn't stepped in to pass another paycheck protection program, provide assistance to the businesses that are going to bear the brunt of the steps we need to take collectively to fore stall disaster in this country. that absolutely has to happen, really right away. >> doctor, i just wanted to go back to the vaccine issue for a second because one of the interesting points that you've made over the weekend and others about the distribution of it is whether we should be effectively trying to save lives or livelihoods, right, that's become a bit of the debate and also trying to get the economy back on track, in terms of who should be prioritized for getting this vaccine there are some places, for example, talking about giving it to prisoners, and other places saying you shouldn't be giving it to prisoners, they were guilty of doing something. it should be given to people who are either work on the front

lines, that will help get the economy back in order more quickly. is there a way to do both or do you really think it's a hobson's choice >> i think the idea of giving it to prisoners and homeless shelters is those congregant settings become places where you have a lot of spread where it could spread quickly the fundamental debate is do you use the vaccine for maximum preservation of life, in which case you would give it to elderly individuals first, or try to use it to address some of the health disparities we have seen in how covid affects the society, and giving it to essential workers is a proxy or addressing those ills, a lot of essential workers are lower income americans who have been affected at a disproportionate rate and that's the difficult question the reality is we're going to have to make hard decisions. we're going to be rationing this for the next two to three months we'll be in a situation where there's not enough vaccine,

demands outstripping supply, and all of a sudden it's going to be a point in time there's a lot of vaccine, and governors are going to be struggling to give it all away, and where that inflection point is, i'm not sure i suspect it's somewhere around march. as we get into march and maybe april we're going to find that vaccine is widely available or more widely available, and people if they want to get vaccinated will be able to get vaccinated until then we're going to be rationing. i believe we should be prioritizing older americans to achieve maximum preservation of life, and within targeting older americans, we have to take extra steps to get it out to disadvantages americans, people in more crowded housing, in lower income communities where access to care isn't as good, and try to push it out into those communities that have faced obstacles getting access to good care and faced higher rates of infection because people live in crowded housing circumstances. they can't socially distance

they have to go out for grocery stores they can't order fwrgroceries to the home elderly individuals, and elderly individuals in communities that have faced higher infections and worse outcomes. >> we have been rely on you for for a while, and i think we will in the days and weeks to come. we really appreciate it. in the next hour, operation warp speed chief adviser moncef slaoui will be joining us to talk about the distribution of the vaccine. with ef more we have more to come. a check on the markets, whag movi what's moving in the early trading session and oil marking the first week of consecutive gains. we'll find out why the produce of crude is going. how are we going to know that? we're going to talk about where it might be going and names to watch in the sector, coming right back new projects means new project managers.

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today big week for ipos, pricing, valuations, inspector outlook on "squawk alley," 11:00 a.m. eastern watch or listen live on the cnbc app. welcome back to "squawk box" this morning a look at futures and where they stand right now. the dow looking like it would open down about 134 points, the nasdaq off about 15 point, and the s&p 500 looking to open about 15 points right about now.

becky. thanks, andrew it is the worst of both worlds for the economy. economic activity is weakening as the virus spreads, and that could spell trouble for the job market senior economics reporter, steve liesman joins us i think it's a given when you start seeing shut downs like we're seeing in california today. >> yeah, that's true, becky, but one of the most sporimportant aspects about the november jobs report is this it shows weakness before restrictions were in place in fact, around the time of the payroll survey, the percentage of states with the most severe mandated government restrictions was only a bit higher than in october. now you have the dramatic spread of the virus, more restrictions have been put in place, and forecasters, and weaker job growth in december oxford economics writing job growth showed markedly, and it poised to slow further,

particular if the resurgence prompts widespread restrictions on business and household behavior the good news is that the weak report will likely prompt senators and congressmen to heed the call for more relief the bad news, it will likely hit the economy too late to help december ian shepardson says we can see no reason why payroll growth and rebound in december or january, even if congress passes a stimulus bill. the key problem for the labor market is not the lack of stimulus, it's the rampaging virus. the key all along has been the good health policy is good economic policy. somewhere along the line, people seem to have gotten confused that efforts to stop the virus were bad for the economy it hasn't turned out that way. we got the worst of both worlds. a rampaging virus and a weakening economy. joe. >> all right, steve. thank you. we got -- i know you're aware of

this, liesman, so, you know -- it wasn't me really, but i thought we could surprise you. you're a dylan fan i guess we all are, inspired so many people, beatles some people say when he went electric, that was his down fall i don't agree. i think he needed to do that, and did fine big news in the music world this morning, universal music publishing group announced that it's purchased bob dylan's entire song writing catalog. the deal was struck directly with bob dylan, the nobel laureate who controlled the majority of his copy wrights it's estimated at more than $300 million universal music is a version of the french media company, and will collect all future income from the catalog but the deal also includes just one song that dylan didn't write, "the wait," that was a song recorded by the band but

covered and perhaps remembered by more people because it was covered by steve liesman on this network. unfortunately, it wasn't on "squawk box," i don't think, it was on later in the day, right luckily when people might have had a couple of dococktails. >> it was on later in the day. when we used to have fun around here, joe, remember that >> no. it was a long, long time >> i don't understand. i don't understand why that song is in there? is that a dylan tune >> because dylan, i guess he liked it i'm told that he liked it so much that i don't know >> joe, i want to know, were you listening to my hit that i just reported there >> what do you mean? >> joe >> was i listening to your hit i dropped a dylan line

you might have missed in the song, in the hit there, joe. if you remember what i said. >> go ahead! i said will senators and congressmen heed the call. you missed that joe. i dropped that in. >> i did miss that steve, i'll tell you a line that i have used in this environment from dylan many many times to explain things in this current environment. you don't need to be a weatherman to know which way the wind is blowing, and adjust your behavior accordingly, my friend, in this cancel culture, and you know, i think about it every day. i think about it every day and i move very gingerly i move very gingerly you don't need to be a weatherman. >> the one i keep thinking of is even the president of the united states sometimes has to stand

naked. i don't know why i keep thinking of that, joe, but that's the one i keep thinking of >> explains a lot. explains a lot, steve. okay thank you. we'll see you later. i don't want to get in your head i don't want to spend a lot of time there anyways, becky. >> i don't want to get any either of your heads my eyes. when we come back, plays in the oil patch. some names you should be watching as crude climbs at the top of the hour, senator and doctor, bill cassidy will join us with the latest on stimulus talks and the battle against covid. can anything be done, we'll find out. we're also on vaccine watch this morning, pfizer, as you know, has applied for emergency authorization of its covid-19 vaccine in india, which has the wor world's second highest number of infections "squawk box" will be right back. ♪ he that gets hurt he who has

stalled ♪ the usual gifts are just not going to cut it.

we have to find something else. good luck! what does that mean? we are doomed. [laughter] that's it. i figured it out! we're going to give togetherness. that sounds dumb. we're going to take all those family moments and package them. hmm. [laughing] that works.

oil prices rallying, taking beaten down energy stocks higher over the past month, chevron and exxon are up about 30%

conocophillips, 51%. valero, 60%, and occidental petroleum up the most soaring 85%. joining us with his energy picks for 2021 is rob zemel, a portfolio manager at tortoise. these moves were from pretty depressed levels but we have definitely seen a pickup in activity over the past couple of months, rob. your favorites aren't maybe the most widely held, but have you picked them with the notion that they haven't made as big a move or as much of a rebound as some of the others we just mentioned? >> yeah, joe, good morning at tortoise, we look at the energy sector, and see a revolution going on over the next several days. our focus is on where can investors win in the energy revolution there are two megatrends that are going to happen. ele decarbonization. our companies will focus on the

two mega trends that will happen over the next several years. >> so nextera is leading in some of the renewable areas. >> yeah, so joe, that's a good example. nextera is a classic example of one of the companies leading the way in the energy revolution, and these two mega trends, and so for investors, nextera used to be thought of as a utility. it's not our mother and father utility. it's a growth oriented company that's going to benefit from the development of solar and wind generation, but also from new technologies such as hydrogen and energy storage for investors, you get the benefits of a decent dividend, about a 2% dividend yield, but more importantly, you get significant dividend growth and the company has highlighted they're going to grow the dividend for the next ten years. led by the energy evolution type of projects. >> natural gas is a hydrocarbon,

but you see it as part of the portfolio that you want here, so one for you, it's because, why, it's much lower carbon what is chenierre, a pure play liquid gas natural exporter. it's been proven that natural gas, along with renewables have helped reduce carbon emission over the last decade that formula can be applied to other countries throughout the world, specifically in asia where coal is used more prevalently to fuel power plant facilities all over the world. so what they are doing is actually exporting u.s. produced natural gas to other countries around the world that's displacing coal, reducing carbon, and that's part of the mega trend that's happening. it's the only pure play way to play that here in the u.s. that's why we see that as a great opportunity for investors.

>> kinder morgan has a 7% yield that might raise some eyebrows but you think that's one to buy and that the yield is sustainable. >> yeah, so kinder morgan is a great example of a broader pipeline energy infrastructure in the u.s it's been around a long time, well known but the most important thing is what you highlight initially it's a 7% dividend yield, with where treasury rates are and where they're probably going to stay for a while, fairly low, they're looking for dividend yields and sustainable yields, kinder morgan is a classic example of a sustainable dif dividend yield what's happening and why it's compelling for investors, kinder morgan will build one of the last major pipelines in the u.s. for a while. there's going to be a lot of cash flow that's going to flow to investors now that the pipeline is set, and that's going to be compelling and a compelling proposition for investors going forward. >> great, rob. thank you.

tortoise, tortoise, the tortoise wins the race, we get it, see you later. andrew meantime, when we come back, lawmakers pushing for a deal on coronavirus aid. we're going to talk to senator bill cassidy subcontractfor the stimulus hopes, and the latest on the rollout for a vaccine "squawk" returns with that and so much more after this. america's been waiting for. verizon 5g is next level. unlimited plans fit everyone in your family starting at just $35, with 5g included at no extra cost. plus, you'll get the entertainment and gaming the whole family will love. 100% obsessed with "the mandalorian."

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good morning, futures pointing to a lower open to start the week on wall street. this after the dow, s&p, nasdaq and russell 2,000 saw record closings on friday that's the first time that's happened on the same day in close to three years and with virus cases surging across the country, how do we decide what businesses have to shut down and who gets to remain open it's a delicate debate, one that ties in closely with the one over economic stimulus, and it's one we're going to have this hour and the fda will meet this week to consider pfizer's coronavirus vaccine for emergency use in the

united states. with at least that finish line in sight, in just a few minutes we're going to speak with dr. monoreceive sldr. monorecei mo the final hour of "squawk box" guidance right now >> good morning, and welcome to "squawk box" here on cnbc. i'm joe kernen along with becky quick and andrew ross sorkin the u.s. equities futures as we have been reporting all morning are giving back a little ground after a pretty solid week last week, the new highs, and becky, you talked about all the different averages that were coordinated and hitting new highs. that's, you know, with the dow, the dow theory is old and people watching it, it involves the

transports, i think this is the "squawk" theory that you postulated at the top of the show must mean something is everything is hitting levels at the same time. not sure what. it means everything is on top. usually not, though, usually it means there's more to happen let's see. maybe yields, that would be the other thing. 1%, some day some day, somewhere on some planet, we will get a ten-year that's at 1.89 dlar9. i'm going to round that up to .95 >> it was not just the dow, the s&p, and the nasdaq that were at record closes on friday. you also had the nasdaq 100 and the russell 2,000. so, you know, you're talking about a lot of breadth there you've had gold prices that finally turned higher. oil prices up for five weeks in

a row. so a lot of things out there, and a lot of money that's been moving in. especially this end of the year. in the meantime, let's get you caught up with stories that investors are going to be talking about today. airbnb, is planning to raise the share price range ahead of the ipo this week. the new range would be between 56 and $60 a share up from 44 to $50 a share. if it's priced at the upper end of the new range, it would net $3.1 billion from the ipo and give the company a fully diluted valuation. well above the $18 billion that it was valued at in april when everything shut down and people stopped traveling. goldman sachs is considering plans for a florida hub for its asset management arm, according to a bloomberg report that says executives have been scouting locations in south florida, speaking with local officials and exploring the tax advantages of a move like that. the report says that goldman is also looking at dallas where

it's been expanding as well. and universal music group says that it's publishing arm has purchased bob dylan's entire catalog. that's more than 600 songs written over the course of six decades that deal directly with dylan, and although universal didn't disclose a price, it's estimated to be more than $300 million andrew >> okay. thanks, becky, we should just let this -- we just roll this music the whole show friday saw the first simultaneous record close for the dow, s&p, nasdaq and russell 2000 in close to three years does this mean we are overdue for a pause in the rally, and for that, we bring in cnbc's senior markets commentator, mike santoli who may have an answer. >> if we're getting a rest for the market, it's a well earned one. if you look at the s&p 500 over the three years since basically we last saw that multiple record highs on all of those indexes,

you will see it's a little bit extended to the up side here now, we have had this little push higher, above the former highs, and one thing to note is where we are relative to a 200 day average. it's about 17% above that. 16% above that on second 2nd this is one measure of how far and fast the index has gone. we're at the top of a general range, overshot to the downside there. basically, wouldn't be a surprise if the market were flat semiconductors, always a good leading indicator when semiconductors are ahead of the market they obviously have been again, look at this steep acceleration higher. we saw a few of these before one thing to look at if you get a pull back in the overall market and index, if it settles out on top of where the old highs were, that's really usually pretty routine we have that to watch. and volatility index, it's been a slow grind in terms of the

volatility levels this is the implied volatility of the s&p according to the options market you would expect it to be lower than it is one reason it's not is because there's ferocious buying of up side speculative call options in individual stocks. it's helping to support this all of these things working together, hey, it wouldn't surprise anybody if we got a pause here, andrew. >> mike, question, though, is it fair to say, you sthink that a lot of cash that's on the sidelines could pour into stocks from retail investors at this point? >> it's one of the cases being made goldman sachs is saying there's a trillion dollars in market funds, that in theory, retail investors could slide into stocks i would say if you look at the overall household equity holdings, it's back to the 2,000 peak as a percentage of assets you can see a little more risk taking, a little more people mobilizing, but i also think it's replacing bond holdings

right now. people are not thinking about the cash, hey, that's the next thing i'm going to put into risky stocks hey, maybe if i get better yields, i'll slide in that direction. it's totally possible for retail to embrace this market that wouldn't necessarily mean it's the beginning of a next big leg higher for stocks, guys. >> okay. mike, thank you. joe, over to you >> coming up in an interview you don't want to miss dr. moncef slaoui head of the coronavirus effort, coming up in about 45 minutes or so, maybe a half hour, next, could we actually see a stimulus deal this week? maybe. there's reason to believe the answer might be yes. as we head to break, take a look at shares of kodak, a government watchdog agency found no wrong doing in the planned loan to produce drug ingredients for the u.s. 75%, a transaction that was

halted due to controversy. remember that from a couple of months ago, it unravelled the deal, and raised questions about how kodak disclosed the loan to investors. it resulted in an s.e.c. investigation. "squawk box" coming right back [ whispering ]

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welcome back to "squawk box" this morning, china's trade surplus hit a record in november, as records surged 21%, up about 11%, a gain in october, and much higher than the 12% rise that economists had been expecting. china's trade surplus of $75 billion topped the record set in may, with a drop in imports. back then was the major factor we've got a lot more coming up on "squawk box" this morning a big debate over the difficult choices the country is facing. trying to balance public and economic health amid the virus surge. we're live with dr. monoreceive sl -- moncef slaoui. so many important questions and answers to get from that discussion in just a little bit. you're watching "squawk box" here on cnbc get real-time insights in your customized view of the market. it's smarter trading technology

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this week could give congress the last best chance to pass another round of economic stimulus before some of the key benefits run out ylan mui joins us with the latest out of washington, d.c. good morning, ylan. >> good morning, joe i have been told to expect a detailed summary of what's in the bipartisan framework, coming sometime today however, the legislative text for that does not appear to be

ready just quite yet lawmakers did spend the weekend hashing this out here's what we know about what's in the bill so far it does extend the expanded unemployment benefits scheduled to expire at the end of the year there's also money for vaccines and schools, but lawmakers are still working through the language on liability protections as well as the guardrails around state and local funding. it's also unclear if and how they'll handle another round of $1,200 stimulus checks now, on sunday, top senate democrat chuck schumer said that this proposal is far from perfect but that the ball is now in republican's court. >> we're at the last minute, we have a bipartisan compromise it should be the framework for the emergency we have now to deal with things in the next few months >> reporter: now, in addition to a covid relief bill, lawmakers also have to reach a deal to fund the government by the end of the week and the house is scheduled to leave town on

friday becky? >> it doesn't leave a lot of time ylan, thank you very much. for more on the prospects of a stimulus package passing congress this week let's bring in louisiana senator bill casinotsidy he's also a doctor he's a republican senator. thank you for being with us this morning. it's good to see you. >> thank you for having me. >> so you have been part of the bipartisan talks between republican and democratic senators who have been looking for a way to come up with this it's something that leader mcconnell has not gotten behind to this point. there are others in your party who are not in favor of this either, and one of the big sticking points has been money allocated for state and local governments. why are you in favor of that >> a couple of things, if you look at the bond rating agencies, folks like moodies, they show there is going to be this incredible shortfall for state and local government translate that it means you're laying off police officers, you're laying off firefighters, first

responders, you're cancelled projects that employ other people we're going to come out of this, but we want to come out of it with an economy that's poised pr robust growth, not an economy which is licking its wounds and it's going to take six to eight months to get back to where it should be. this is about robust growth. this is about taking care of first responders i don't want to be the guy defunding the police. >> about issues that affect not just blue states but red states too, you have seen the impact in your own state of louisiana. >> yeah, if you look at of the five states most impacted in terms of absolute dollars, two are red states, florida and texas. and my state has been terribly impacted on multiple ways. new orleans is facing budget cuts, cutting people down, reducing salaries and furloughing employees. just as an example, now, some cities and parishes and counties have done better let's just acknowledge that. under our construct, you would

have to show that you lost money. it's not just free dollars, you would have to show that your revenue sources were down. we're trying to balance, how do we support those that need it and not just give out free money. we want to be wise stewards of taxpayer dollars. >> what are the odds of this actually getting passed. you've got to get a vote in the senate first what do you think the likelihood of that happening this week is >> i think in some way, this package passes, why do i say that president trump has said he would support a $908 billion bill there's only $1908 billion bill out there, and that's ours leader mcconnell has said that he doesn't, how did he put it, i don't want to just make a point. i want to pass a law the only law they can pass is one which is bipartisan. we're the only one which is bipartisan by the way, bipartisan in both the house and the senate so if you look at what folks are saying and the intent to address the needs of the american people

of our economy, i think we actually have folks emerging to where they support our bill. >> i mean, i think that's great news, and i'd like to believe that's the case, but we've gotten snookered a few times, thinking we were on to something in the past. what are the hold up s, if everybody looks like they're starting to align right now, what are the hold ups that could snag things. >> you had an excellent, i'll quibble a little bit, you had an excellent intro on this, it's the guardrails around state and local, and liability and if you will, you know, the two parties need to come together on that i think we are i mean, we're spending hours on it every other day in terms of conference calls but hours on it in between those days, trying to hash out the material. one thing, though, i'll just quibble with, it's not a stimulus package it's a relief package. it is just to bring the direct relief that the american people need, our economy, you know,

small businesses, large businesses in some cases, and governments need to get through the next three to four months. there might be a stimulus package, but this is not it. on the other hand, i do find that if someone is unemployed, and you supplement their benefits, they tend to spend it, and that does have a stimlatory effect, but technically this is not a stimulus package. >> there is need for relief right now. senator, the idea of the liability package, the last i understood it was the democrats are in favor of saying, okay, we'll give you liability that only gets you through the beginning of next year and it has to be renegotiated mcconnell would like to see something more permanent than that is there movement on that? where does that stand right now? >> well, let's just say right now it's moving back and forth the point being at the beginning of the pandemic, there were no guidelines, and so if somebody's going to sue a bar, alleging that they were infected at the

bar, when initially we were being told not to wear a mask. and then we're told to wear a mask, but, you know, there's this murkiness of guidelines at the outset how do you decide what is your standard i'm not an attorney, but is it gross negligence, ordinary negligence, how much do you spend on causation and you can just bankrupt that small business just by the process of establishing whether or not they adhere to a safe harbor at a certain point in time by the way, what is a safe harbor, so that murkiness is what we need to clear out. we feel like it could have a chilling effect, a bankrupting effect upon small businesses so we're trying to work through that process and then going forward. again, it's moving back and forth. i do think folks are trying to find a solution. >> is there an understanding in the senate and congress in general about how bad this is right now, and if there are lock

downs that come, even if there's not, just with the virus raging, it's going to mean there's a big economic impact and help needs to happen immediately, and even if you pass this this week, it's not going to do anything until the beginning of this year, end of next year. >> first, i understand it, i can promise people working on the committee understand it. one thing that frustrates me, some folkins are saying i'm not going to go for it you're telling me because everybody doesn't get everybody, no one gets anything, and the small businesses that may go bankrupt if we don't tide them over and the family who may be homeless, and the folks whose unemployment rolls out, you're not going to help them because you're not giving them something i want to get. at some point, we have to recognize the need, recognize this is a relief package we can't do everything for everybody, so we have to do as much as we can for as many

people as we can if we do that, we need to get a pang through i recognize the hurt, the folks on the committee recognize the hurt i hope any colleagues do. >> amen. in terms of the money for the states, again, i know there's a dollar figure on the table but working around the edges, trying to make sure what it's able to be used for and where it's not, where the is the sticking points, past instances where you promised too much in the pensions >> one way would be to say you cannot put more towards your pensions than you did last year, part of the budgeting process, and i'm not saying that's where we would land. i think that's a reasonable compromise to ensure, that, yes, we putting some dollars aside but we're not going to suddenly balloon it that would be one thing. again, another thing is how do you -- it may be that the need

exceeds the amount of money that you have there if the need exceeds, how do you make sure that everybody gets kind of a fair share and state and local, i have learned that sometimes parishes and counties, and mayors don't trust their governors. they think the governors will keep all the money and not trickle it down or if they trickle it down, only to their cities but not, you know, the other cities of maybe the other party, so we're rtrying to make sure that localities have the same access, direct access to the dollar without necessarily being filtered by a governor's political persuasion >> that happened would be good, sure there's a formula and politics don't play into it. senator cassidy, i hope everything you're working for you get. it sounds like you're in the right place on all of this we appreciate your time today. >> thank you, becky. appreciate it. >> thank you . >> andrew.

>> thanks, becky, coming up after the break, a new debate over shut downs, who gets to stay open and who closes, what all this says about the need for another round of economic stimulus, which we just talked about out of wall street don't go anywhere. we're going to dig into it when "squawk" returns right after this ♪ ♪ ♪ hey, son! no dad, it's a video call. you got to move the phone in front of you like... like it's a mirror, dad. you know? alright, okay. how's that? is that how you hold a mirror? [ding] power e*trade gives you an award-winning mobile app with powerful, easy-to-use tools and interactive charts to give you an edge, 24/7 support when you need it the most plus $0 commissions for online u.s. listed stocks. don't get mad. get e*trade and start trading today.

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welcome back to "squawk box. futures right now, suddenly, we do have the nasdaq in the green. the dow is now down triple digits that could change with each tick we're down about 100 points. s&p continues down about 10 1/2. andrew >> okay. coming up, when we return. shark tank's kevin o'leary, and operation hope's john hope bryant on the public health versus economic health debate. it's a big debate. you don't want to miss it. also, our very own interview in just a little bit with dr. monoreceive sldr. ay, monoreceive sldr.

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. new stay-at-home orders going into effect in california. people in the southern part of the state as well as much of the san francisco bay area and other spots won't be allowed to gather with anyone outside of their household. supermarkets can only operate at 20% capacity and restaurants, hair salons, and playgrounds

must shut down the new orders are rekindling the debate when he joined us on friday, "new york times" columnist tom friedman weighed in on that question with this response. >> we set up this crazy debate that it was mask or job, mask or school, mask or football, and it never should have been that. it should have been masks for school, mask for restaurant, masks for jobs, and if people want to, and as you know, we talked about this, i was early on saying we have to balance lives and livelihoods here folks. >> joining us now to talk about the sensitive topic of lock downs and the economy, kevin o'leary, chairman at o shares, shank tank cohost and cnbc contributor, and john hope bryant, founder and ceo of operation hope, and bryant group ventures i'm hearing that more and more, lives versus livelihood. kevin, is it possible to thread

the needing? i will ask you that, to thread the needle between total lock downs because i think john makes the point that without getting the virus under control, you can't have businesses, and you have an economy. there's other people that say try to thread the needle, and try to protect the vulnerable because the cure might, as we have heard so many times, the cure might be as bad as the disease. if you shut schools, you shut small businesses and we lose operations permanently what's your answer here, kevin. >> i spent a lot of hours this weekend on these shut down rules specifically in los angeles where i have investments in food services i have a very simple question. how is it possible when i've spent 60, $80,000 on the back of the restaurant and the front of the restaurant to provide the seats and the heaters and complied with the city ordinance, and was just about to reopen, no tents, this is not tented this is outside, with air

flowing, i'm shut down and right across the street is a big box retailer, open service courts inside the store providing food inside of a big box. walls around it. and you could argue to me that they have hepa filters, i know with certainty they don't. you're telling me the viral load outside the restaurant is higher than inside the big box, which is enclosed. that's ridiculous. there's no science claim on this people are making accommodative science statements you heard gottlieb talking about eating in restaurants outside with a mask on so now i as a shareholder have to go bankrupt and all of the employees i have have to be laid off for the third time this is totally unfair this is just los angeles and by the way, it's not just

l.a., how come i can be open in miami in the same chain? >> i'll tell you this, i have eaten inside a restaurant, maybe more than five, less than ten times, where it was, i would say 20% occupancy. that's the only way i would do it ceilings were high the only person that i came in contact with was the waiter. the nearest table that had other patrons, whether they were talking or not was at least 20 feet away, and i for myself was comfortable. now, i don't know if i would do it where virus infection rates are now. i would be hesitant to do that, but at the same time, i have run out of a big box store where i was shoulder to shoulder there were so many people in the check out line i had a mask on. some do, some don't, but i felt much more uncomfortable there than i did at the other place. i don't think it's a monolithic argument john hope bryant, we always have

the heart versus mind argument with you what does your mind tell you we should be doing here versus what your heart tell you we should be doing. i know you care about entrepreneurs and small businesses, in addition to lives? >> you know, good morning, everybody. you know, when kevin o'leary's background is fascinating and inspiring. his mother invested $10,000 in his business after a major investor backed out, that wasn't science, that wasn't technology. that wasn't a spreadsheet. that was her belief in kevin o'leary. she knew heart would lead to head, and look at him now. look at him today. but he was the quintessential small business owner look, we are suffering now for lack of a national plan. even the vision, even the bible says without a vision, the people perish. we need a national plan, and you're going to have lumps in that plan, joe, where you have hot spots because we never got this thing under control to

begin with masks save lives and masks are also good investments. if we had a national plan, and look, you cannot have secondhand smoke in commercial places, you can't smoke in people's faces. you can't drink and drive. the supreme court said 80 years ago that the public good overrides private entinterest w you're in a commercial space we had no policy, no national approach, and we're at war with a virus, this is war, we're now playing catch up so some places are overdoing it, some places are under doing it some places are not doing it at all. we need to come back for masks for all. that's good for business i'm a small business owner, i require masks, and i think that will give people comfort to come back in the economy, and kevin will get the shareholder value that he wants. >> how does that sound, kevin. you sound like you're more, i

think, kevin, with the notion that, you know, in the united states people are going to -- not everyone is going to adhere. they're going to be uncomfortable adhering to things like this. you think people should be able to make their own decisions on this >> yes, i think by now, we all know the story of this virus we know how important masks are, and people should make their own decisions. i'm simply questioning the policy that we have. john made the same reference, and at the same time, i see in this next bill 17 billion targeted for airlines. are you kidding? you don't have to fly in an airline. you don't have to go to a movie theater. but you have to eat, and now you have to choose how you're going to do that, and we are restricting people from making their own choices about going to a restaurant outside i'm not even saying open them inside i'm only asking how can it be fair, how can it be right, how can even the science justify that eating outside is less safe

than eating in a big box retailer right across the street and i mean right across the street cars in the parking lot. thousands of them, and i have to go to zero i have to go bankrupt. what about all the people that work in that restaurant? what's going to happen to them why don't we take the 17 billion, forget about me as a shareholder, the owner of the restaurant, what about the millions of people that work in restaurants? why don't we take that 17 billion from the airlines and give it to them. these are the decisions we have to start thinking about the ppe program was a blood instrument, and as far as i'm concerned, a failure. stop funding the companies and give it to the actual employees at this point. so i'm really unhappy. i mean, i'm really unhappy about this l.a. decision if i have to go to zero, at least at the bottom line, pay the money to the employees that you forced me to fire for the third time >> this is a -- >> go ahead, go ahead.

>> hang on for one second. i wanted to say to kevin, i very much agree with you. i very much agree with the idea that the rules need to be rational and based on science and the idea that you can walk into a big box store and they're serving food, and people are taking their masks off, that makes no sense relative to shutting down. the rules should apply across the board. i just want to be 100% clear that we need to protect our small businesses the question of course is how do we protect our small businesses and to the degree that the federal government needs to step in if they're going to shut down businesses like yours, how much money they should be putting out there? i know you have also advocated for the government not to be supporting small businesses, so it's a very complicated issue. >> i said employees, andrew. i want to support employees at this point i've given up. i am going to lose 30% of my companies. they're going to go to zero, and

i as a shareholder am going to lose my money. i understand that. i'm over it. now i'm asking myself, why are we picking the employee and the big box over the person that used to work for me in the restaurant you forced me to zero in there's something really wrong here, and you're picking winners and losers, giving money to theaters you reported last week, the economy is changing so fast, it's like a chess game on steroids you just said last week that there's a major movie theater that's going to now release at the same time online that they put in movie theaters. that's code for saying movie theaters are going to zero, i get it but you know, at the end of the day, why don't we just give the money to the employees, i give up. >> we're having two different conversations. >> john, go ahead. >> we're having two different conversations. look, half of all covid deaths are black people, let's not get all indignant about your compassion for your pocket, and whether or not you're going to go zero. i'm talking about half of these deaths, a quarter of all deaths

are african-americans. one out of six people working in the big box retailers look like me half of all people black and brown don't have a job right now and run out of savings they're tired of these games we're rearranging the titanic, where there is no plan, zero we have never had masks in this country as a policy. it's been ready, fire aim. we need 100 days of masks, knock it off it's not about moneys or morals. you're not going to have any money unless you have some morals you're not going to have it. you can't just put your coacher inside of your economy we've got to flip it and put our economy inside this economy is all about our people 58% of these businesses, kevin, of the americans live, work in small businesses with 50 employees or less. unless we do masks they're not going to have a business they're almost out of gas and the stimulus that's coming needs to offset that in the short-term because that small business,

kevin, is you and me you're not going to get to wall street unless you protect main street it's not just about unemployment for individuals because the small business is the individual 92% of black small businesses don't have an employee, which means they're a self-employment project, so when you talk about the individual and the business in this example, it's the same thing. we need a national plan. i'll just operate plan kevin let's agree on something, small independent city municipal strategy is wrong. where you're clamping down in an uneven way i agree with you thatst no the smart policy but we have never had the federal government do what the government says. we're at war with a virus. we need a national plan like the new marshal plan and it needs to apply to everybody, rich and poor alike this is a rich man's virus, you and me can separate in our homes and be okay. my friends working at walmart or sam's club or best buy or the grocery store cannot

>> listen. >> kevin >> i get it. i mean, i get it, but my question is very simple, who decides? is it at the city level, the state level, the federal level tell me what the rules are so i can make economic decisions on behalf of my employees there are no rules they're not the same it's total chaos out there it's obvious that's the situation. and it's totally unfair. what am i supposed to say to my ceo? they don't even know what the rules are in l.a. county anymore. i mean, how can i help them? and frankly, at this point, at the end of the day, i agree. if we need a national policy on masks go ahead but you still haven't answered me as to why my employees have to get fired for the third time and the big box guy gets to keep his working not fair not right. completely wrong

un-american, if you want to ask me >> why is it that -- >> go ahead, i'm sorry >> we're going to have to leave it there >> no, a quick final thought, john, then we've got to go. >> i'm just saying that no one called for a virus this is not a market economy activity this is war with a virus that no one expected so of course it's unfair it's unfair that most black people are dying from this virus out of proportion to everyone else life is unfair we have to respond kevin, i believe in you, and i know you believe in america. america is not a country she's an idea. we can make her anything we want we want to be a cover for everybody, and she can be a cover for us we need to protect the small z guy. the small guy in our economy, and i know you believe that >> i do. >> kevin's got the final word. final two words, thank you, both john and kevin o'leary

john hope bryant, here's a reminder, if you have a money dispute, kevin wants to hear all sides and help you determine the best way forward go to cnbc.com/moneydispute and tell them your story becky. >> thanks, joe. let's get to cnbc headquarters, jim cramer joins us right now, and jim, it's almost impossible to come to you after a conversation like that, and not ask your opinion as somebody who is a restaurant owner. >> i never understood why the small guys got hurt and the big guys got to get away with it they wiped out the nonessentials for the essentials but i think the entire economy is made up of people, small, medium sized businesses, trying it get essential. if you can't get essential, what's the point, but i also think that john's right, a marshal plan would have been good i think everything came so fast, and there's so many different aspects of science, but we are getting there. i thought that andrew asked a very good question to

dr. gottlieb, which is that, you know, big box versus restaurant. we know this is a viral load issue. we know that this is small, noncirculation issues where you get it outside you don't get it we're starting to learn stuff where you need to be testing quicker so that we know, we can catch someone before they're infectious but again, there are just, it's a mess, and i think everybody wants to keep hiring people, becky, but everyone knows you can't hire people in small places where if people come in, you'll get them sick >> i think that leads us to the point of hoping that congress actually acts and does something this week to offer help not only to the businesses that are forced to shut, but those that are not going to be seeing the business because consumers are afraid to come in as the covid numbers continue to climb. >> they should be afraid i think it makes sense, if you can't be outside, it's the winner that's one of the reasons it's been so bad. i totally agree with you

i think secretary mnuchin and speaker pelosi are totally on the same page. business interruption insurance for the companies who through no fault of their own have had to close or are going under the big box guys do win. the big restaurant chains do win. the little guys don't and it seems very unfair to me. >> seems unfair to me too. hey, jim, thank you. >> thank you it's great to see you, and we will see you again in just a few minutes. >> thank you. up next -- thank you -- we are live wh roitconavirus vaccine effort, dr. moncef slaoui, don't go anywhere. "squawk box" will be right back.

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my illness may be invisible. but thanks to covered california, i'm not. all covered california health insurance plans are comprehensive - with mental health coverage, and financial help for people who need it. covered california. this way to health insurance. enroll by december 15th. welcome back to "squawk box. review pfizer's coronavirus vaccine. it could receive authorization almost immediately and joining us right now to talk about the vaccines on the way and whether u.s. is ready for a national rollout is dr. moncef slaoui oversees the u.s. covid vaccine and development. moncef, thank you for joining us and thank you on behalf of the public for irk wiworking as fass

you have the uk moving ahead with providing vaccines starting tomorrow literally and some questions about whether we are moving fast enough >> well, listen, i think the fda is doing their work as they should be doing. looking in depth into the data and thousands of pages and tables i'm not insinuating that the uk medical agency has not looked in depth, but we have a process here and it's very important that the fda review this file in the same way it reviews the other files of normal other vaccines that have been approved before there is a public event with the advisory committee to the fda on vaccines that will take place on thursday everyone will look transparntly into the data and those are all important steps to ensure that the significant hesitancy that exists for the vaccine is and

the solid transparent and they can trust the recommendations to take the vaccine, if that's the decision that is made on thursday or friday >> doctor, we've been having a debate on this program even earlier today about who should be prioritized in terms of getting the vaccine. the elderly on one hand, first responders on the other hand teachers have also been raised where do you come down in terms of this idea of lives versus livelihood, growing the economy and getting it back on track versus, frankly, saving people >> well, listen, first of all, this decision is going to be made at different steps and stages first, the cdc and its adviser committee is going to make recommendation that becomes official once the vaccine is approved second, each state will use or inspire itself from that

recommendation and decide within their own reality in the state who to prioritize, particularly in between the elderly and long-term facility care people and also, of course, the health care workers and first line workers. personally, on a personal basis, i would think that saving lives is something that's very important, particularly when the vaccine, but that's only my personal opinion the operation is not in the process. what we're trying to do is make available in a safe and effective way as many vaccine doses as humanly possible to be able to address the needs as quickly as possible. >> doctor, in some states teachers are not considered essential workers. where do you think teachers should be in the line, if you will, for thex vaevccine give o the role they play helpal

generations of economy but parents being able to go to work and pay their bills? >> it's very important i mean, there are so many essential workers. in effect, about 120 million people in the u.s. that are either highly susceptible to this virus and at risk of dying of it or absolutely essential to the economic and social life of our country. as i said, we're working very hard to make the vaccine doses available. i do think teachers play always a critical role to educate the country and in this particular instance to take care of the children but, again, not my decision. >> dr. slaoui earlier he said one area that he differs with the regulations handed out he would see the initial doses go out to lots of people and instead of having two doses set

aside for everybody with the understanding that the second dose for the people who get the first vaccine would be manufactured in the next month how do you come down on that >> so, we looked into that question very, very carefully because ultimately there's a dimension in there, of course. and what people have to realize is that we are not sitting here having 20 million doses. we are going to be distributing every dose that is manufactured and released on a weekly basis so it's a rolling event. and the 20 million are achieved by 3 million this week, 6 million, 3 million the week after. because the immunization schedule is three weeks apart in particular with the pfizer vaccine or four weeks apart with the moderna vaccine. by the time we have immunized maybe 15 million people comes the turn of the first people we immunized to get their second dose if we don't give hem their

second dose, we're not complying with the recommendation and, in fact, with the conditions under which we know the vaccine is 90% efficacious. so, we need to be really when to project this in time you realize actually that, we did this, maybe there is a 1 or 1.5 million doses that we could take a risk on it, but it's a risk that, you know, there would be 1 or 1.5 million people that wouldn't receive the second dose on time. the appropriate usage of the vaccine is part of continuing to build up confidence that this vaccines are effective, safe and are used as they should be used. >> doctor, you've talked about the possibility that as early as may we could reach a sort of vaccinating version of herd immunity dr. fauci said you need about 70 emergency ro7

70% of a community where you wouldn't need to wear masks or social distance. i want to tell you about a survey over the weekend of fdny firefighters in new york who say more than half of them say they do not intend to take the vaccine. they are part of the public health complex, if you will. and this is 50% of the firefighters in new york saying they don't plan to do it how are we going to get to that 70% herd immunity if that's the case >> i'm very concerned by those kind of situation we have. we find ourself in i do think that the last several months the context under which the vaccine development has taken place has exacerbated this feeling, these feelings. we plan to be 100% transparent to have as many independent experts look into all the data as can be and what we invite

people is, please, just keep your mind open listen to those experts that you trust and once you have heard the information and the data in full, then make up your mind i think if that happens, more people will take it. >> doctor, we're up against a hard break but, again, do you think mandatory requirements for certain types of front line workers and others in the public sphere to take the vaccine >> on a personal basis, i think if your role puts other people at risk if you infect them, i shou would think you should take the vaccine. >> you do not believe it should be mandated by the employer? >> if you want to have that role, you should take the vaccine. >> doctor, want to thank you for joining us want to wish you as much luck as possible on behalf of the american people and we thank you, again, for joining us this morning.

that wraps it up for us, guys. make sure you join us tomorrow "squawk on the street' begins right now. good monday morning. welcome to "squawk on the street." ium futures are just south of flat as we sell up for a very busy week with high-profile ipos and fda vaccine panel meeting and a government budget deadline and more the worst event this country will face. that's the new covid warning from a top white house adviser stocks look to pull back at the open. shares of intel under pressure this morning. the biggest drag on the dow ahead of the