bitcoin and we'll talk more with you quite soon about bitcoin and whether it continues to rise or fall meantime, a quick file check on the markets right now. as we head into the first trading session of the new year. the s&p 500 looking to open up about 15 points higher and the dow up 101 points and nasdaq up 58 points. make sure you join us tomorrow "squawk on the street" begins right now. good morning, happy new year, everybody. i'm david faber along with jim cramer, carl has the morning off. let's look at futures as we head to the first opening bell of 2021 the year's first trading session looking like those from last year we are looking for a higher open the road map does start with the record rally stocks, as i just said, pick up where they left off last year.

plus, we've got that covid c conundrum. more than a million americans passing through airports this holiday weekend. finally, as you heard mike novag novagratz and tesla half a million deliveries and stock up over 700% and seems, jim, ready to start another year strongly getting back to starting strongly and let's talk about your comment on the market his last comment there, as long as the fed stays where it is, one would imagine the speculative runs will continue in that case he was talking about tesla and to a lesser extent, bitcoin. >> that has become the consensus view nothing wrong with the consensus view at the beginning of the

year there are issues that are very much at stake here if the senate goes democratic, which is certainly a possibility, then i think we would have to rethink about how we feel about the, mat, david. obviously, i think that puts tax issues right front and center. should have taken some sales last year. also, david, i think that putting everything on the fed, once again, says that earnings have to be good. i think uppearnings will be goo for a lot of companies but i want to see the vaccination be good what is going on in the market is a belief that we're going to vaccinate and that it's going to work i think that's terrific, if true but at the certain point if so many people are at the hospital. hospitals so far are not around the country are different levels but if we don't get a better distribution vaccine and we delay a lot of what is supposed to happen in terms of the economy then i think a lot of companies are going to miss their quarters >> yeah, i mean, we're back to the subject, obviously

we spent a great deal of time throughout last year which is the movement of the virus through the population and you mentioned it, as well, jim, a lot of icu units and a lot of different hospitals are not at capacity, but are approaching it the front line workers doctors and nurses and everybody else in these hospitals have been flat out for so long. they're exhausted and there's concern whether they can even keep up with what continues to be an influx of patients, even while people are getting the vaccine but not at the rate that we had hoped they would. >> look, i'll call it. the vaccination process was supposed to be terrific. we were supposed to get 20 million people vaccinated by year end we were supposed to be able to make it so there is some pattern. there's 50 patterns. nobody knows what's going on we have no idea what is happening. everybody keeps acting, even including dr. fauci, i like him, as everything is going well. david, if it is going well, why

don't we know what's going i mean, we did four million people we have a lot of people in this country and we all keep acting as if everything is going well i don't even know if j&j comes out with one that works and it's one shot and i don't know how it will get in our arms total disorganization and complete clown show. we can't get to the people at nursing homes and the people most logical, people at the hospitals. we all act as if everything was fine da davi david, if you and i were running this thing, it would be better we all act if everything's going and everything's right you know what, why is the resistance to talk the truth >> we might know the right people doing less to help us execute it you know, on your point, it's not a function of the availability of the vaccine which had been a concern for some time, it's more a function of getting it into people's arms dr. gottlieb was on "squawk box"

as he often is and he talked about doses being stockpiled and he's not sure why that is the case >> i don't think you need to be stockpiling all these doses. i think people should be getting the second dose and should be getting the second dose largely on time but we should be pushing out more first doses now and be using the future supply that will come on the market in january to administer the second doses. you need to stockpile something if you want to make sure a smooth transition to the second doses. >> you don't need to be stockpiling when you can't get the first dose in people's arms, jim. >> no reason to stockpile. it's a total clown show. we know that the medicine is somewhere. we know that the vials have been shipped somewhere. we have no clarity of the process. we don't know who is supposed to get it and who isn't there are, obviously, lots of vaccines somewhere if you wanted to come up with a more stupid way to distribute it, i don't know how you would we've got army to private sector

to private sector to private sector to public sector and back to public sector with record keeping back to public sector to private sector this is so stupid but no one wants to say it. it's almost as if we're all pretending it is a giant disney movie. by the way, i think disney goes higher here. there is no way anybody can come on and be credible and say this isn't a huge joke but they're all so afraid to call it a joke. why am i not afraid? november i called it out as being that it would be total chaos. you know, no one wants to call chaos because then suddenly you're breaking. look, the president was very forceful this weekend. he was forceful with georgia officials. >> yeah. trying to find those votes >> i struggle. i struggle >> you do. listen, as you point out, the federal government has dumped it to a large extent to the states and many of the states are simply not in a position to be

able to execute this, given what they are dealing with. they don't even have the budgets to do these things >> you have a state? of the 50, do you have a state >> do i have a state >> do you have a state that knows. >> i think some states like everything else in this crisis, some states are doing better than others. it's left to the individual states to make their own plans some states are doing better than others, jim that's where we stand with the vaccine distribution at least we have half a million doses a day. >> we have the military handling it right now but you know what, it's not goegto goe gogoing to be in the military. i am going to say nebraska in there. who came up with this other than someone who wants it to fail >> i don't think that anybody wants it to fail there is also this question, as well, of people refusing to take the doses. you all heard some of the anecdotal information about

nursing home workers and the governor of ohio talking about that last week jim, it's not going as well as we had hoped we all know that >> how about the therapeutics, david. we're stockpiling therapeutics what, they don't really work the regeneron worked well for the president for the united states that's being stockpiled. david, this is the opposite of when i got the polio vaccine when i got the polio vaccine there was a sugar cube at my high school. we had a lot of high schools the next day, no polio in the country because everybody had to take it but that was a different time. now we have red states, we have blue states and we have governors and i don't know i find it bewildering. how about that >> i hear you. i'll give you one more, one more quote here let's listen to chief adviser to operation warp speed get his take on where things stand take a listen.

>> we know that for the moderna vaccine giving half the dose between the age of 18 and 55 half the dose which means exactly achieving doubling the doses. therefore, we are in discussion with moderna and with the fda, of course, ultimately it will be an fda decision to accelerate injecting half the volume. i think that's a more responsible approach based on facts and data to immunize more people and, of course, we continue to produce more vaccine >> there you go, jim that at least is a positive, wouldn't it be one dose >> that is the man i said would address directly told me, i said it would be chaos and he totally disagreed with me. he's wrong next here's an idea yeah he's wrong next give me someone else the regeneron drug

the fda said it works. they did super consideration they went through the whole process. we can keep people out of the hospitals but it's disappeared so, once again, these people and the reason i said that next. let's say these were ceo, wall of shame wall of shame. where's fauci? why doesn't he say enough equivocation wall of shame. but, no, because they're involved in some sort of operation. we revere them david, none of these people are capable of being a ceo of a fortune 500 company. but because they are in some sort of position, we say they're okay you know what, david. >> wow, you are really going out there. maybe very well that could be the case >> number 500 in the s&p. >> sometimes government has delivered for us certainly in the past but this last year it has not covered itself in glory. >> dynamite, world war ii.

terrific polio. saving a vaccine very well a lot of other times man on the moon. but these people come, a two-solution two-arm solution that moderna thing hello. watch this, if j&j comes up with a billion vaccine, i think you should go to another country yes, it's that bad but, david, those georgia people who are denying the red coats i call them, i know we call them red states the red coats, that's the focus. >> yeah. i know there are plenty of people who have noted the fact that the president, obviously, he's got another, you're going to get it big. another 15 days in office. i'm trying to overturn and also an election as opposed to dealing with the crisis not to mention the russian hack which i like to come back to because the national security implications of that continue to evolve or devolve whichever way you want to put it, jim

it's frightening we still don't really know the breath, the scope, the depth and the implications of that intrusion by the russians. >> no. but, look, i think that, obviously, a lot, we haven't even heard was this on prem going to cloud totally on prem? should we put it all on the cloud so it doesn't happen again? is the cloud secure enough if we use a cloud strike solution and it went up very big after it i can't figure that out. the tesla of cybersecurity it's much more of the studabaker cybersecurity. i get confused, david. i just know there is absolutely nofingerpointing committee about who did this we're supposed to have security but, once again, let's get an etf and buy that >> we missed it. we were focused on securing the election which we seems to be quite successful at. >> it's 11,000

what do i need, dave snud. >> 11,780. >> i don't know what the exact number would be. but then you have to move on to other states, too. georgia is not enough for you. >> david, is this like a je solution >> all right we're 13 minutes in and we talked a lot about that and not a lot about the markets and tesla. come on, 13 minutes into the show and we haven't discussed tesla. we'll get to that after the break on the record number deliveries in 2020 we have that flare deal, as well we have mgm's move on a uk gaming company all of that coming straight ahead. new year's resolutions come and go.

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well, tesla shares doing what they do on the rise this morning posting record deliveries in 2020 above what analysts were forecasting although just shy of elon musk's target of half a million cars the best performer on the s&p. it was up over 700%. its market value is approaching $700 billion this morning, jim it is a name we talked about so often last year for obvious reasons and one i expect we will talk a great deal about, as well >> look, some reasons for it to go up. the numbers in china are very good this could be europe was year.

it is a momentum stock let's say it was a semi conductor company. what it basically has done is come up with the 386 it had the 286 and now it has the 386 and the 486. if you go back to a chart of intel during that great run that became the microprocessor and went from 18th semi conductor to number one semi conductor company. we always were willing to take it up on every single iteration even with the 46 each time the stock went up. and that's kind of how you have to think about this. you can't think of it as a really expensive stock, you just have to think about it, which it obviously is you have to think about it by iterations if you think about it that way, it makes sense to people who are watching it go up. the people who are buying it, i think, look at it like that. they look at musk as a super andy grove and that way you can justify it i think you and i are saying, david, it is tough to find a

way. but you just view china as an iteration and that is 386 and view europe as the 486 and the rest of the world as the truck and then you can figure at least some confine, some metric that makes sense. >> right i mean, jim, we've made the point many times s it's not jus tesla when you talk about larger cohorts and whether they be other vehicle makers and also incredible performance or nikola and quantumscape and romeo power that just came public through a sp spac, as well. >> where art thou. >> the young man who is the ceo is very impressive i'm not sure why quantumscape. >> you created him >> it's funny, they don't

compete against romeo, they actually put together the packs themselves and have some very significant investors as does quantumscape you know quantumscape is looking down other than the fact it was up so much >> well, i don't know. look the eagles should have won and they chose not to. anything can happen. >> anything can happen i'm not sure why quantumscape is going to be down 28% >> is quantumscape a bargain at these prices just under the umbrella of tesla because it a better battery and during the old days using that analogy and amd is superior to intel. so, anything can happen. remember, this is a battery company that had $40 billion valuation and clearly i would say, once again, a lot of enthusiasm, david. a lot of younger investors really like these stocks >> lock ups. >> lock up expiration. >> lock up expiration.

david, the robin, a lot of the people we can't call them robinhood what should we call them like lock ups. the merry men like lock ups. the merry people like lock ups because it's supply just like they like the supply with the cruise ships being when the president was exercising his right to say nice things to the georgia republicans. i think, once again, there's a fantasy world going on and i'm trying so hard to be a part of it, david. it's a big world after all and the merry men have their way right now. >> and they do and they may for some time which brings me to another -- well, sports betting and online gaming >> there was a pipe register this morning quantumscape. why can't the merry people have their way?

the king david, it's a connecticut yankee in king arthur's court hey, twain twain. i'm taking twain up i'm bidding twain 40, no, take twain 45. >> i can do all that just from the comfort of his own home or wherever he is imagine when he gets back to the studio tomorrow. all right, you have to stop talking. we have to take a break. catch your breath. >> i'm at ome, this is great >> go, have some more coffee or whatever else you can do over there at home. get ready for your mad dash, would you, please. we're back after this. ♪ what do i do when my love is away, ♪ ♪ does it worry you to be alone? ♪ ♪ how do i feel at the end of the day, ♪

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all right. time for the mad dash and he had a chance to catch his breath very briefly airbnb is what you wanted to focus on >> the preponderance and share taker and traffic now, if you list, you get very quickly five days you should be able to get booked secular winner in an enormous 1.5 trillion adjustable market i find it more positive. more door dash ones and i love airbnb i think it should go higher and, david, remember, when you have these stocks that are let's call disrupters, again, very hard to value. you just say, buy it that's what people are doing >> you think they're well positioned to actually do that, even at this level and given the performance of the stock from the ipo price? >> yes i think they are because they, we don't, i don't see any sign that right now the, we're going

to be an end to the pandemic as long as the pandemic is on, people trial airbnb and come out and realize it is a much less expensive way to be able to go somewhere. it's one of these things not unlike what forest discovered the company that makes air stream and a lot of the big rvs, it's a good way to travel airbnb is being showcased by the lack of the ability to get the vaccine out and the trialers like it. >> alternative accommodations. aa >> david, i figured it out you had 320 million people, 320 million people ahead of you. i don't think that's a problem are you okay with that >> no problem. 2023, i'm ready. >> i'm trying to arrange it. i'm going to put you down. maybe, david, maybe a box of it will fall off a truck. >> it could. it could i think that's, you never know >> don't you think it's kind of

like harry li. >> i'm going to remain hopeful that we fix these problems >> i love your attitude. i was hopeful last night we would lose >> being a giants fan, as well, i was hoping for a different outcome. the enoping bell is a few minutes away and we have a lot of m&a to get to which we will do right after this break.

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welcome back to "squawk on the street." a minute to the opening bell which gives me time, jim to ask you the question which i always like to ask which is the key, if there is one, to this market this morning. >> well, when i look things over, david. i'm going to come back to a financial. we have a series of upgrades that are significant from b barclays morg david, this last leg of the market was led by the financials some people feel it was led by the oils because the oils went up if you look at the s&p 500 the

last 50 names were almost all oil and goldman and morgan had a big run. are we beginning to see a differentiation between the companies that are far more oriented towards sticky help of individuals. i'm happy to have the money centers, but this is what i'm watching goldman/morgan >> it's funny, no longer have the year to date performance in my column for that everything is zeros. but that will not be the case beginning right now. as we watch the realtime exchange right back here at our headquarters, of course. and we were looking for a higher open we seem to be getting that of course, the nasdaq was the great performer last year. somewhat 44% in terms of its gains and the s&p also up 16% and a number few could have expected at the depth of the crisis itself but of the market, i shouldn't say of the crisis because, in fact, the virus is worse than ever and that is worth mentioning despite the vaccine being available. the virus is killing more people and hospitalizing more people in

this country than it has throughout this pandemic >> yeah, i know people have been saying i've been soap boxing about the idea that that's happening. i'm actually just trying to articulate the bear case the bull case begin to straighten out j&j starts being able to vaccinate and the fda is listened to by the national institute of health which it's not right now on regeneron and then we're okay. david, there is a sense that retail is coming back. i know matthew boss from jpmorgan who's so good once again, says you have to buy lul lu lulu and vanity fair and tapestry and you have to buy l brands and american eagle. so, i'm looking at and some people feeling very good about the, let's say old mall names and, david, remember, the last week was not good for the zooms and not good for a lot of the companies that you and i talk about as the new blue chips.

they didn't seem all that blue chip i also want to point out, david, a critical bernstein, a critical bernstein piece on boeing saying enough is enough 787 problems and cash flow trajectory not like what it was and bear said december is a record month buy it. boeing weighing on the dow i always wanted to say that. such a great cliche. weighing on the dow. i can say it >> you can say anything you want and oftentimes you do. >> no. >> another name, we can come close. ppalantir down today >> remember when, david, the top analyst on wall street

and now the reddit guys love it. i once said something bad about it david, i was better what hormelcould do with the pumpkin spam so i'm watching palantir closely. i can't believe you had paypal on without me. >> not me. "squawk alley" they have they have schulman >> happy new year, dan >> every so often people don't come on with you, jim. you mentioned your one-time idol the barstool sports guy. yeah you don't talk about him as much >> dave. >> dave. >> he's not as involved. he's done unbelievable sports stuff lately >> i mention it because it gets me to this mgm deal. potential deal did you see this in the uk >> yes, that's exactly yes. you saw it for what it is. gambling. >> you are following closely that i'm just starting to get on to which is the growth of sports

betting throughout this country where more and more states are legalizing it and online gaming where you're not thought to get as many states onboard but certainly a decent total addressable market people talking about a $30 billion market here in the u.s. for sports betting alone, jim. then you add in gaming worldwide and sports betting you know, who knows. $200 billion opportunity and we have all the major companies getting involved mgm the latest they had tried once before to buy this entain at 12.85 and came back at 0.6% of their shares let's call it 13.75 and they're saying 13,83 for entain. they confirmed they received the offer and you can see what the premium was. they are the only potential buyer because they have the jv in the u.s. that excludes any interest because it does include to reject potential deals and the like we'll see whether the deal

happens, jim but, again it points the spotlight on the growing importance for these traditional gaming companies of having a significant online presence in sports betting and in online gaming >> yeah. look, the genesis for this is, david, barstool but remember nationed teamed up with him for additional stock david, there is a grudging recognition by networks that maybe they ought to start doing it they're going to be too late draft kings i do a program for draft kings, they're way ahead does fanduel get purchased i don't know there is still a sense network of unease. when adam silver says it's okay. where is the unease? the answer is high bound thinking every network in the end has to have a gambling network. but most of these companies in

this business believe that it's beneath them you know >> well, you know, from a business perspective, perhaps it shouldn't be it is a uk takeover. they have 28 days. we'll see what happens mgm i tell you want to buy this thing and the hope is they will end up with this all stock deal. iic is a part of this, as well remember they bought that significant stake. it is fascinating. already up enormously on it. it was the summer when they stepped in barry diller, of course, behind that, as well. they're also a part of this deal that is fascinating. iac to say, hey, you want cash we'll give you cash for your shares and then they would become a larger holder of mgm which they seem happy to do. wow, quite a year overall itself >> look, it's been unbelievable. the issue here how do you get traditional tv to

even think about gam blbling whn they mentioned the line. >> 5g is going to bring this stuff to life on so many people's phones in so many ways and you have this cohort these younger people who are more familiar with this than they are any tv anyway who are betting. who are betting on games betting on all sorts of stuff. betting on whether the eagles would take out jalen hurtz for some reason. >> if you're unwilling to uctaabouctatalk about the line and fantasy they're hopeless i hope you're listening to me. you have to say, wow, gamblers are going to be bummed out something that recognizes that people are gambling and the fake world is not talking about it. i mean, give me a break. when you look at what's going on out there with younger people,

they're not watching traditional because traditional is unwilling to say the eagles are not favor favored. how can these networks continue to avoid it. and the answer is, they're watching and they're saying, cramer's off his rocker and meanwhile the draftkings people and mgm is trying to hurt the earth. you don't want to be left behind in this gold rush. >> all right speaking of, well, not gold rush let's talk other deals here this morning because there are quite a few of them, jim we'll have the ceo of one of them on. let me get to teledyne and flir. 38 bucks a share in cash $4.5 billion credit facility to help finance it and first full calendar year and expect to close middle of next year and that might have flir shares up quite nicely we could take a look there at how they're doing and importantly as we always like to point out in stock deals, you

have to look at the shares of the acquirer, as well. and see what's going on there. so, we've got that >> i like that transaction >> broadcast cameras when you watch a program based in britain, they always seem to have the cameras on everything well, flir does that it's kind of the way the future. our country is behind when it comes to the cameras thermal imaging is really important. flir has been left behind in the group. barely up last year as opposed to a lot of the other cybersecurity companies. a great deal by teledyne and i have to tell you this is, again, a leoncooperman name that is working. it's a buy >> jim, just something i want to put an end to because we followed it the contingent value you remember, of course, for cbr holders to get the $9 payout and bristol myers to pay out close

to $8 million they needed three different approvals and they didn't get the one they needed on by the end of last year and it's expired trz there's a look at bristol myers. we can't even show you the other one. >> people didn't think it would happen because it was the end of the year and that is why you would think bristol would be up. >> there was still hope that the fda, you know, that they would give the final approval. doesn't mean it will not get approved, but just didn't get approved in time >> a manufacturing issue and the analysts right now have not been in favor of bristol myers and made a big acquisition involving. and they're not part of operation warp speed and they're kind of just right now in a holding pattern, disappointing versus the others even though i always revered the company and think that it is worth more. here's your 3% yield >> the other deal, jim, of

course, is centene >> michael >> you know when we come back we'll have the ce, of centene. first, though, let's get to the bond report and give you a quick take on how charts are looking right now as we kick off the new year there's a look at yields across the board. ten-year 0.943 as we await construction spending data due out at the top of the hour and we should point out the yield on that ten-year note coming off the biggest one year decline since 2011 let's look at the dollars we finish up here lowest level since april of 2018 that was also an important story you could see what the year of last year at least looked like we'll see if that continues in this year's trading. we're back right after this. ed .

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take a look at shares of centene and magellan health heading in opposite directions ceneten even on the morning that

on the announcement that they will acquire the health care provider for 2.2 million michael neidorff joining us. good to have you with us in the press release announcing the deal you say this acquisition accelerates our diversification strategy and enhances our ability to build next generation capabilities in our specialty care business by leveraging our scale and investments in technology. all right. explain to our viewers what acxhaa actually means >> okay. it's a mouthful, isn't it. we have some major new technologies that are coming and our size ahas allowed us to develop it and it will allow magellan to use this technology to continue to serve their customers effectively. let mejust kind of frame it. we have a company health care enterprises that has an independent board and allows us to do companies like this where

they maintain their independence and firewalls between us and then and their outside customers stay very comfortable. it's headed up by sarah london that's important this just increases our total capability one thing that i use as an example is we believe that as you move forward in health care and you have to integrate it we're doing very vulnerable populations. so, for example, you have a newly diagnosed diabetic and they're with their endocri endocrinologist and their families may need help that will allow us to enhance that and put all these systems together and take some of our other technology and just create a more advance health care system >> this moves you must more into behavioral health and mental health which, in particular during the pandemic has become a critical area. >> yes

it's a very underserved market and it's been suboptimal and this gives us a very broad network to work with as do the other customers. we see this as a very positive step in improving health out outcomes which in longer term and shorter term will reduce costs significantly. >> michael, jim. always good to see you happy new year >> likewise. happy new year to you, sir >> okay. so, we have, i don't know, a constitutional crisis and perhaps a new president in just a few days he is, obviously, very much involved with affordable care act. a lot of what you've done should dovetail well with the affordable care act including this acquisition how do you feel that it could be modified a bit and that it might be something that americans

like >> well, i think americans have liked the affordable care act and i think that we have a present administration that understande ess the importance everyone having access to affordable care and we're not worried about what it's called and everything else. we had conversations with them during the campaign and i'm very comfortable that he and his vice president want to see health care access there and they're going to focus on the quality and all this will play in very well for us in how we're helping them deal with the most vulnerable populations >> one of the things that has changed in the health care system is telemedicine i know you do telemedicine yourself what is the cost of a visit to a doctor versus a visit to a doctor on your handheld? >> i don't have all the exact numbers in front of me but it's a smaller percentage. but we're going to be

structuring it based on how long that telemedicine consult is if it's a five minute and they look at the rash and say it's nothi nothing. if they're talking to an internist or cardiologist, you pay more they go into the office and you're going to pay more for that, obviously. so, it will be a scale and what's most important is the access we're very access and the physicians and the primary care physicians are becoming fewer and fewer because the procedural guys can do much better than primary care so, anything we can do to help make them more efficient, we'll be right behind it >> why magellan health as opposed to potentially trying to build this business on your own or smother e some others out th may be available >> the network they have really a superb network across all 50 states they have some other disease

management that we used. we have been a customer of theirs for probably a decade so we know them, know them well. they have a radiology product we have been very successful with they have, they're working on an oncology product we have been

>> are you disappointed with what you are seeing? >> yes i am i think things could be done better thinking while there are private services available maybe just an example when a private industry does things a little better than the government at times i had contact with somebody who said the logistics was better to get out. we need to get it out. in the wartime we move missiles

and everything very quickly. this is a different product and project. yes, i wish it had happened closer and i do believe the new administration has put together a team that maybe has a better shot at getting it done. >> we hope so. thank you for your time. >> thank you >> we are going to take a quick commercial break stay with us

an> shares of paypal have more th doubled see what they have to say about the recovery we'll be right back on "sqwawk on the street.

time for stock trading a name we haven't talked about in a while we have to the new nul, a terrific ceo. i think it is a 4% yield look at this thing upgraded to a buy but one of the most quiet come backs than we've ever seen. i like the stocks and the idea of a lot of outdoor camping

products i like that it is better run >> it took some time to recover from that acquisition. you said previous management, carl icon got involved >> they did a good job they've been doing a great job mavl positive note today. fantastic ag and cloud play. doing some pretty good stock picking working. i'm excited about them the merry men. >> you love those merry men. >> that's the new name the ratted people, bar stool people, the people in my buy whatever we want to create and the gamblers what is the line on nul getting

to 25 between now and let's say march? >> i don't know. >> a series of great quarters. i used to say the word stupid but i'm turning over a new leave also when it comes to trying to get on the cloud i've missed everything missed you guys. this is really exciting here people cannot tell that i'm not at the office. my lovely wife, lisa she's right here she did my make up i did pretty darn good i don't know. >> you look good >> i've got some bad macane.

it is clear. i feel like a 13-year-old. >> a lot of us wish we could feel like a 13-year-old. >> so much ahead of me >> happy new year too. >> i love you man. >> right back at you good monday morning to everyone else out there carl has the morning off let's get you a look at the markets. you can see what appeared to be an up open has become a down the last year is down ever so slightly starting with the dow and the s&p new highs down from where they were. will it continue in 2021 >> last year's best stock on the

s&p. tesla reporting at a new all-time high. >> it has been three weeks since the rollout and a firsthand account of how that process has been or hasn't been working. >> given the red arrows you just saw, what can they expect? mike santoli has a look at what past years might show. it does feel like something for everyone in the market here. looking at the headline over the column here. similarities to the 2010 recovery we've been talking about it quite a bit. break this down. >> exactly

we have the post recession forces the 60%, 75% gain matches up almost perfectly from what we saw more like the late 90s all those things have to play out in different parts controlling interest rates to where they might be. the market bottom of 1942 before it was clear what the out come of the war would be all of those

things in the mix getting the better upside. how hot is too hot for the fed to handle. >> we kick off the new calendar market maybe it is the right thing to do. >> when you go down and we've seen the rotation underfoot as you see the reopening recovery trades is there more room to run in that just after seeing what was lost in that performance. how does that happen

is it because banks and industrials see it happen. we also see a lot of activity and people are on board psychologically or receipt torically. every time he says back to get into more cyclicals and he gets more resist tense on the in between as we are not necessarily willing to make that the bet. >> let's continue the conversation happy new year good to have you with us >> happy new year. just because we turn the page on the calendar do you think we are expecting anything different in 2021 from 2020 >> if i had a crystal ball, i

would tell you if i had been on this show a year ago, i don't think we would be talking about covid-19. i think we all learned your ability to peer into the future. the spreftd virus, social equity and fairness it feels like in 2020, the first few days it will take a while for that to burn off is that going to continue? or is it more reflective of a healthy market

>> private companies we've seen get themselves financed and they have a moment where they think oh, my the access is sometimes between life and death you realize actually being public is a benefit. what you've seen will continue for the for seeable future as long as the markets continue to do reasonably well, we'll continue to see that for sure. >> happy new year. good to see you. >> we would have been talking about oil prices surging it is incredible what a year has

transpired does this feel like 2010 to you? >> in 1942 which was the year my father was born. don't know that i have much insight on that one. the markets are always looking towards the a analog does the equity market feel like 1999 and 2000. this is very different this is a different time we have collective noojd what the fed did in march it will fit very quickly enabling the companies to finance themselves it is hard to say that this year

feels like or 2020 feels like any previous year. it actually feels like we've got significant hope we have tremendous amount of things in the long run what we've said to our clients rotation in the short term if you look at irrefutable trends that play out 3 to 5 to 10 years they will play out. how much hinges on the senate runoff in georgia and the out come of that election? >> one of these features will go to the republican. the market likes where the skak tiff branch are not in the same hand if it turns out we have two democrats elected, we'll see reaction to that i would say this, irrespective

of who controls the house or the senate, we'll see significant fiscal spend there will be things that happen because at the end of the day, the republican or the democrat the businesses, they need help in order to bridge the gap before they get back to some form of semblance. that may be an opportunity for investors to really get involved here it won't matter whether it is democrats or republicans that control the house or senate because at the end of the day, some of these trends are irrefutable. >> esg because it was a key area of focus in 2020, it did seem to elevate to a new level are you hearing more from ceos

is important in the way they think about the future >> no question about it. you think about sustainability and a push in the part of companies to be carbon neutral and a lot of push to spend there. sn not going away anytime soon. something to do from a moral standpoint and business standpoint the right thing or they'll get left hind. >> we'll see you a lot in 2020 >> still to come, tesla will hit an all-time high

we'll breek w dn doakowthe latet the s&p is down a third a percent. get this, biggest decline in two weeks. stay with us

>> today marks three weeks since the first shots went out to vaccine workers. now hospitalizations at record highs. >> since it has been three

weeks, some have been getting second shots today as the overall roll out has been a lot slower than many have hoped. hoping to get more shots out not that many shots have been distributed throughout december. the cdc says 4.2 million vaccines have been administered. we expect an update later today. they should get up to 20 million this week. >> in terms of the states, there is a big difference. some less populous states are seeing more population covered like alaska and maine. it is the bigger states that are administering more this is really a state by state

thing. israel is blowing the rest of the world away vaccinating more than 10% bahrain started earlier as well getting almost up to 4%. the uk and u.s. approaching 2% these numbers are a few days old. starting to talk about these things and having the moderna vaccine at least for people ages 18 to 55 we know it induces the identical immune response to the 100 microgram dose this could increase the supply the more immediate question is can we get this out to those

the question there forget supply and stockpiling. that's not the issue getting that stuff here into people's arms is where we have the problem. >> you know, these first couple of weeks have been rocky they do expect the pace to pick up over the holidays we've gotten over the initial question of how to store the hope is that the pace will start to pick up in addition to long-term care facilities and watching that these will start to increase. >> good to have you back to the spotlight and the aerospace and defense sector

ita, that's the ticker under pressure following what was a tough year for these stocks check out shares of te teledyn. a deal focused on vertical integration around defense rb baird put it this morning really another build out deal in the trend of the year. we've seen a number of them in recent weeks not including lockheed martin a couple of weeks ago. stay with us today we're going to fine tune the dynamic braking system whoo, what a ride! i invested in invesco qqq

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welcome back tesla hitting an new all-time high shy of the target of 500,000 let's bring in bernstein senior

analyst with the outlook for the stock. thank you for being with us today. >> what do you make of the delivery numbers i realize just shy of the couple 500,000 that musk had forecast we did have a pandemic in the middle of this and key manufacturing shut down too. >> sure, it is a very notable accomplishment to grow units 36% to ramp new facilities the question always is what within expectations. i'm a little surprised with stock as strong as it is today most people expected tesla to be able to deliver with this target there was speculation last week they might eclipse that target >> stock is trading up $742 a share. you've got an underperform

rating >> the stock is up almost 80% since it was included or announced it would be included in the s&p estimates haven't changed at all. the stock is really appreciating, we believe largely on momentum. what reverses that is difficult to call. a rotation towards value rated stock. if tesla is not able to deliver against expectation, you'd likely see a material pull back in the stock that would pull back in the

units since 2021 the company will in all likelihood set its target for the year we'll see how that stacks up those are probably the most material things. a disappointment no in relative expectations or broader market expectation. >> i can remember the mid to late 90s where analysts would look at amazon and request they didn't get it i wonder is that what the skas would be you can do all the models they'd want p. what if they are the leader in battery and new effort is that not being taken account

of by you? i think that's what you have to believe in the current valuation for the upside as a car company, it is difficult for the valuation. still very difficult to justify the valuation. you have to believe they are the leader in autonomous and maybe they have that enlightenment same thing on battery technology does tesla come up with a unique battery they can license in the industry one has to believe in these kind of things. the valuation today is pretty close to the entire industry

>> it is $700 billion for a company making 7 million to a company making 80 million. you have to believe there is something extraordinary about tesla beyond a big and profitable company >> i'm skeptical about this $180 price target last year, i think if you were betting against this stock, you've lost money or not made money if you did not vest in it. that being said, i realize the competition is another key part of the story here. in china, you are starting to have the company deliver its cars you do see other ev makers more focused on the chinese government on propping up those companies, how big a risk is

that >> there is some risk there. the good thing about tesla and the ev market is, we are really on the early beginnings. between 80 to 9 # 0 million units globally they could be 20, 30 times bigger than they are today even if tesla lost shares, saying it is going to go to 15%. that would take 30% off. if the market is growing 20 fold, tesla could be even bigger if it lost its share that could be the beauty is that tesla could have very, very healthy growth and potentially losing its share all about expectations a lot built in if tesla did start losing share or the chinese government put in

place certain incentives unique to oem and certain products to build at the rate being modelled >> thank you for joining us today. speaking of tesla, check out shares of the bat ray maker quantum scape down 33% today the stock had been a huge performer after going public in november some investors harolding the rival to tesla concerns over valuation in the development time line. we've talked about it as well. they came up and said basically the same thing about their technology a month later and the stock went up. it was $120 a share.

those were a unique structure they can come up with a million reasons why. down 33% we'll be right back. workday. got to do something. workday! i think i got something. work... hey, rob, you're on mute. hello. [all] hey... there he is. workday, the finance, hr, and planning system for a changing world. ♪ch-ch-changes

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good morning i'm sue herrera. we are seeing new restrictions in europe today. scotland will go into a new lockdown beginning at midnight with people ordered to stay at home for the month of january to tackle the escalating crisis there. first minister there said the situation is extremely serious adding the new varient accounts for nearly half of new cases in that country scotts will now be required to remain home except for essential purposes britain began using the new vaccine by astrazeneca and

oxford today being the first country to roll out the shot the 82-year-old dialysis patient was the first to receive today at oxford university hospital. in the united states, restriks are being lifted pennsylvania restaurants may reopen today at 50% capacity social distancing and masks will still be required for employees and customers and those serving alcohol on site but end saled by 11:00 p.m. you are up to date u.s. hospitalizations continue to hit record highs the vaccination is slow. distributing 14 million doses. short of its goal with just over 4.2 million doses being administered the fda commissioner at duke and ceo at baptist health in

jacksonville dr. caleb, i'll start with you the fact that we have this big divergence in terms of numbers and what has been sent out to operation warp speed and dose wide to make it into people's arms where is the bottleneck? >> it is concerning but we should recognize that massive deployment like this often goes through the faphase where we len how to make this work. it is not just shipping but managing getting the right dose with the right people delivering it it is come kwon mon to have thio and the hockey stick phenomenon. it takes off if you have multiple sites

if you have one site, a lot of others are doing it at the same time that doesn't mean you should let out and that the entire chain will get more functional >> hockey stick. interesting to hear that and something to look forward. i'm curious what you are seeing on the ground at baptist college in terms of the ability to administer vaccines to staff, and what you are seeing more broadly in the community on the ground there >> here we have a team on the ground doing the work and prioritizing and following the centers of disease prevention and state and local guidelines

this is a logistic call heavy lift for all of us we are following the executive order including other health care workers of those over the age of 65 and put them at a higher risk for covid-19 >> what are you seeing in terms of covid patients right now at your hospital and in the general area you operate >> in florida and here in jacksonville, much like cases are increasing over the country. we expect this increase to continue we are looking at a surge on top of post holiday surge. right now, we are able to

maintain staffing and equipment. our teams are doing an amazing job. physicians and nurses are doing an amazing job having the opportunity to pivot and provide vaccinations to the community as well. >> dr. caleb, back to you. there does seem to be some resist tense in terms of hospitals and long-term care facilities and getting the vaccine. is that a concern? >> retired from alphabet now and google health, people go to us

to get that information to make a good decision. that is completely understandable we need to overcome it with transparency and keep people up to date with the pandemic. what you heard from the hospital right now is happening around the country. we are in the worst phase and need to get the vaccine out quickly. >> to wrap all of this up, i'm curious what you think about the debate emerging in the uk and around as well with one dose versus two doses and whether one dose works as well as the other. >> it is -- as a clinical scientists, it is fascinating. as former fda commissioner, i've thought about this a lot there are arguments on both

sides. we are in a period of uncertainty. my view is when we are in a period of uncertainty, we need to stick with the data we have with the two doses one of the critical issues is getting the vaccines out there we would probably all agree that two doses are better >> and half would be even better maybe you could give two half doses. the clinical thing about the second dose is that it increases the response up to 10 fold to combat the virus, so it is really important >> we'll leave it there.

dr. caleb of alphabet and bret, thank you. we'll look to steve liesman now and first comments of the year from a fed official steve. >> good morning. chicago fed president charlie evans, the first out of the box with comments saying it will take years to get back to the levels above 2%. says policy will be accommodated for a long time he doesn't change theout look at all and asset purchases for the year ahead and looking for the new year on the cdc update on the gdp growth and boosting

estimates for the spring take a look at the numbers here. 4.4% to end the year, 2.8% for the first quarter. that's pretty good that is flattered by the stimulus bill. it would have been lowered you can see the second or third quarter. the relative forecast there is quite a bit higher half a point on the third quarter. a look there at 2021 all of those well above mow ten shal at green capital and one of those forecasters said the risk of the negative gdp coming from income restraints have been eliminated by the stimulus bill. remaining at the supply side on other travel and hospitality

looking at the full year we get it back and then some for 2021 at 4% that is significant rebound. writing warmer weather and vaccine roll out should alleviate some of the pressure even if it takes a while for the vaccine to reach a large share of the population. >> the challenges ahead getting the vaccine distributed and return to the rule they are avoiding and covid policy is economic policy morgan, your interview absolutely key to the outlook. talking policymakers and the vaccine roll out >> steve, happy new year thank you. >> as we head to break

a check on the markets major averages are lower to start the new year the first time many major averages have fallen the dow is down 4 in30pots now the s&p is also down .6% 3,733 is your level there. stay with us

>> is bitcoin the biggest bubble in this market more on trading nation more "sqwawk on the street" coming up.

turning now toeunice yoon and how the death of one chinese billionaire is shocking that nation >> thank you, david. all the trappings of a hollywood thriller a 39-year-old gaming tycoon was reportedly poisoned by one of

his deputies he founded a company called yuzuu probably best known for smash hit strategy hit, game of thrones, winter is coming. well-known for other ambitious works. he had planned to work with netflix's and the creators of game of thrones to adapt a popular chinese novel here called three body problem into tv he had hoped and believed he would be able to make the skify thriller into china's version of star wars. police have a suspect in custody. people close to him believes it his former film chief. the talk is that they had worked through disputes and that chu

ended up poisoning him with a neurotoxin commonly found in a puffer fish put in medication. some saying we could potentially see the schedule delayed >> my gosh, what a story thank you for bringing that to us happy new year stocks are lower today to kick off the new year with most s&p sectors. morning the worst so far are real estate and utility sector were two of 2020's biggest laggards so nothing has changed. including nrg, the largest utility by market cap.

back to you. thank you. after the break, little ceasars annoy deal with doordash we'll be back.

little caesars pizza and doordash added more stores throughout the u.s. and canada:little caesars ceo joins us now david, you had a partnership you expanded it. what did you see that made you want to do that with doordash? >> doordash is great it's been very successful. and then we were talking to doordash and they said let's expand to the doordash marketplace. we tried it, tested it, worked well now the customer can order either way, through the doordash marketplace or the little caesars app. >> what did you see when you tested it and said this is worth doing? we hear plenty of restaurants that say it's just -- it costs them a great deal and that the margin actually sinks as a result with partnering with doordash you're not seeing that >> what we've seen is new set of customers that buy on the marketplace. it's different from our core customer on our app. so bringing in the new customers

is very important to us. >> david, it's really amazing to me it seems fortuitous that you implemented this touchless pizza pickup process in late 2019, a couple months before this pandemic struck in the u.s so that technology was sort of there and ready to go. i wonder what you think that the mix is going to look like not only for companies and your franchisees and touchless and dine in? >> we were very fortunate. we implemented a piece of equipment called a pizza portal which allows a customer could come in, touchless, opens a compartment to get their piz yachlt a. we use that same technology to get the driver at doordash our piz yachlt so pizza. so it is touchless for the doordash people as well. it certainly came through for our customers. >> half the states in the u.s. are implementing a minimum wage

increase to kick off 2021. the fact you implemented this technology and essential automation through this touchless process, how closely are you watching the increases and what does it mean in terms of overall workforce >> well, you know, workforce is so important to us and staffing is so important to us. in fact, we need people. we need crew members we need managers, we need store managers we're hiring tens of thousands of people. we pay competitive wages regardless of what the minimum wage is. i think it's really important. there is opportunity in the pizza business i started as a manager 30 years ago and here i am, many of our executives started in the stores there is great opportunity for store managers >> what do you see in terms of sales right now? you know, we would imagine a lot of people have been home and that they would be up. is that the case >> yeah, holiday season is good. you know, with delivery, it's been great our delivery sales are way up. of course, our carry out sales, they struggled a little during the pandemic

but pizza portal and delivery boosted overall sales significantly. >> and we always like to ask about raw materials. anything we should be aware of in terms of what goes into a pizza or doing okay on the cost side >> costs are pretty good right now. cheese went up had spikes in the middle of the year has been a little better recently so commodities are good you know, things are great overall. i think i'm really looking forward to a good strong 2021. hopefully without so much drama as we had in 2020. >> this conversation is making me hungry. we see this vaccine rollout across the country, i realize the vaccines that have been approved have been approved under emergency use authorization. that is not an official approval yet. the fact there are conversation that's are taking place in board rooms and among ceos of companies that are especially consumer facing like yours is. are you going mandate vaccinations for your staff when the time comes >> you know, we haven't made that decision yet. but certainly we're going to encourage our people to get the vaccine. hopefully we'll be towards the front of the line with our crew

members. we think it's important to keep the public safe. we have taken extraordinary measures to ensure crew safety and public safety from plexiglas and masks and cleaning stores. so very important to us to keep our stores safe and clean for crew and customers >> all right appreciate you joining us. thank you. >> thank you so much want to che want to check the markets. we started the session up briefly. now we're down broadly you can see the dow down 1.3%. the s&p 500, 1%. the nasdaq, best performer but still we are losing ground here. broad based selling other than the likes of tesla and on my screen at&t which got an upgrade today. not much in the green at this point. >> yeah. that's right i mean the dow and s&p 500 started at fresh record highs. and now the fact that we're seeing this sea of red, i think

it's the worst day for the dow now. biggest drop since october 28th and for the s&p 500 since mid-november, november 18th. taking a look at this, i think it's first time we have seen major averages start a new year lower on first trading day since 2016 but perhaps again not surprisingly given the conversations we've been having about all the risks out there, valuations ahead of the senate runoff election in georgia tomorrow the outcome of that and then, of course that, jobs number that is watched very closely later in the week by wall street. >> yeah. many things for investors to be concerned about. of course, they did not seem to be overly concerned about those same set of factors towards the end of last year we're seeing the speculative names continue the declines. but we pointed out many times we're in force during the last few weeks of the year. we mentioned quantumscape a few times. we're seeing weakness. we see overall weakness

throughout do have walmart up, costco is up, morgue an stanley. but again, for the most part, we are seeing a broad based decline. things can change quickly though as you well know >> that's right. every s&p 500 sector is in the red right now. in the meantime, a big hour coming up on "squawk alley." a really big hour. two exclusive interviews with the ceos of paypal and discovery. it all starts after this break don't go anywhere. hey, dad! 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 and $0 commissions for online u.s. listed stocks. don't get mad. get e*trade and start trading today.

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good monday morning. it is 8:00 a.m. at google headquarters in california and 11:00 a.m. on wall street and "squawk alley" is live. ♪ yeah,