it is 5:00 a.m. at cnbc global headquarters. here with your top five at five. we begin with rally risks, stocks facing a slide as tech giants fall, and that weighs on the overall markets, but today, futures they are slightly higher. and president trump entering his final week as commander in chief once again finding himself at the center of impeachment proceedings. we're going to bring you the very latest from washington. and big tech under pressure over its crack down on the president as questions of potential new regulations they surface once again. and walmart looking to get into the fin tech game, teaming

up with one of the firms behind the very popular robin hood app, and interest rates climbing higher, could this derail the red hot housing market it is tuesday, january 12th, 2020, and you're watching "worldwide exchange" right here on cnbc. ♪ sweet home alabama where skie are so blue ♪ ♪ sweet home alabama >> good morning to you, i'm frank holland, in for brian sullivan we start with congratulations to alabama, crushing ohio state in last night's college football national championship, and notching its 6th title under coach nick saban we'll have highlights of that match coming up, and here is how your money and the global markets, they're setting up their day. a big win in alabama, remains to be seen. we're starting with the futures in the green the nasdaq, seeing the biggest gains, a bit of a reversal from yesterday, and as we mentioned, stocks snapping their new year's

win streak yesterday the dow seeing a slight dip with the s&p shedding over a percent. the nasdaq a big laggard this is shares of tech giants, hammered on fears of potential new regulations amid the crack down on president trump following last week's capitol hill riots shares now this morning however in the pre-market, they're actually up. twitter, a reversal here, down about 6% yesterdayme up over a percent and a half facebook over a 1/2% tesla falling nearly 8% yesterday as investors took profits in the high performing stock that drop marked tesla's first negative day in 12 and worst performance since september. we have to do the check on bitcoin, we're always watching bitcoin. we see it's actually up over 4%. the crypto falling to $31,000 yesterday after hitting an all time high of $42,000 on friday all right, let's go worldwide now. juliana tatelbaum is in our

london newsroom with the look at the early trade over in europe >> good morning, the early trade in europe, we are seeing increased demand for the cyclical parts of the market as you can see, the best performing sectors, travel and leisure up about 1.3%, alongside banks up 1%, retail, oil and gas, and technology. this has come at the expense of some of the more defensive parts of the market. health care down about .2% household goods, media and utilities the most defensive sector in europe down .8%. risk on trade we're seeing come through today, and part of that could be because we've got positive news on the vaccine front i want to highlight for you. let me take you to astrazeneca, shares are trading lower this of course is a health care stock, defensive, down 1.7%. the news this morning, the european medicine agency says it has received a request from astrazeneca for approval of its covid vaccine.

the eu drug regulator says it will look at the quality and efficacy of the jab, it will accelerate the review process and deliver a decision on approval january 29th. this is very important for europe because the european union has ordered 400 million doses of the vaccine so it would make a huge difference in the vaccination rollout underway here in europe frank. >> thank you very much for that look at the early trade over in europe now to the latest on the covid-19 outbreak. bertha coombs has that and your morning's other top headlines. hey, bertha. >> another grim milestone, the death toll in the u.s. from the virus has topped 375,000, as the ceo of moderna offers updates on its vaccine. speaking at the jp morgan health care conference yesterday, stephon says immunity from his company's treatment should last a year he added his company is confident that it's well suited to deploy a vaccine based on the

new variant of covid as well, and moderna does not expect to have clinical trial data on the covid vaccine in young children until 2022 twitter has announced that it has now suspended 70,000 accoun accounts associated with the far right, qanon conspiracy. the accounts were sharing harmful content, and were primarily dedicated to spreading conspiracies the company previously announced it would close accounts sharing qanon content. amends, mooazon, google, mi, are pausing contributions to the political action committees in the wake of last week's capitol attack they join a growing wave of big businesses that have suspended or are reviewing their campaign donations with many saying they would stop donating to republicans who objected to the election's certification process. frank, back over to you. >> bertha.

thank you very much. let's stay with the fall out over last week's violence on capitol hill with lawmakers in the house laying out a time line on a potential vote on impeaching president trump tracie potts joins us now from washington >> reporter: frank, good morning. today we'll see president trump for the first time since that riot publicly. he's headed down to texas to the border wall, and while he's doing that, lawmakers here will be taking their first steps to remove him. >> donald j. trump incapable of executing -- >> after one republican blocked it >> i object. >> objection is heard. >> reporter: the house of representatives plans a roll call vote today asking vice president pence and the cabinet to remove president trump for inciting violence against the government if pence says no, which sources say he will, the next step is impeachment. as early as tomorrow, it would make president trump the first president to be impeached twice. >> we have to stand up to this man who incited a violent riot

at our nation's capitol. >> i do not see how that unifies the country. >> reporter: getting 17 republican senators to convict the president is an uphill battle. >> they know the votes aren't there. i think this is so ill advised. >> some republicans saying keeping it simple about the riot, not the election, might work president trump met for the first time with pence since the capitol attack he's declared a federal emergency in d.c. allowing law enforcement to beef up inauguration security. there's already talk on social media of armed protests. >> mass civil disturbance is something we plan for. we have contingencies in place. >> acting homeland security secretary chad wolf resigned and the fbi is warning law enforcement across the country to expect protests at every state capitol. two capitol police officers have already been suspended ten or fifteen others are under investigation for their actions during the riot, frank

>> tracie, thank you very much for the latest out of d.c. back to the markets, stocks looking to bounce back after sputtering at the start of the new trading week as investors grew worried about stocks stressed valuations, and big tech shares got hit on new regulation concerns. joining me now is rob morgan, director of market strategy. rob, thanks for being here. >> hey, frank, good morning. >> so rob, you know, we're a long way from full employment, we're a long way from the fed's goal of 2% inflation, but you actually think that's a good thing for equities, can you kind of explain your thesis >> absolutely, frank the fed is basically promised over several sessions now that they're going to continue to print money until they reach the duel mandate that you talked about, full employment, 2% inflation, and we're a long way from both of those things. that's great for equity markets. and i mean, in some ways, it's bad news is good news. also, too, you know, and of

course that covers the monetary policy front the jobs report on friday was the worst we've seen since april of last year and the same day president-elect biden called on congress to provide more fiscal stimulus now, covid stimulus, so we're kind of in a sweet spot of stimulus right now from both the fiscal and the monetary standpoints. >> so you're unconcerned about the printing of money, what does concern you? >> well, you know, obviously from the standpoint of full employment, we're a long way from that. we may be a little closer to the 2% inflation than we thought i think a couple of weeks ago, most market analysts were thinking that we're a long way from that, but some of the recent reports are showing we might be closer to that. but i think probably a little premature to say that's

happening. >> let's look ahead to financial earnings this week the best performer over the last month, and number two over the last quarter or so, what are you expecting to see when banks do their earnings later this week, and what do you think could move the market higher or what could move the markets lower >> yeah, well i think in regard to financials in particular, i think we're going to see some decent earnings, at least, you know, beating lowered estimates. and in fact, financials are one of my favorite sectors that i like going forward you know, and as far as the market as a whole, you know, it seems like, as i've already mentioned, we've got these double barrelled stimulus packages coming our way, not only from the fed but also from the government that should continue to provide an underpinning for earnings overall going forward, and i certainly wouldn't underweight stocks here. i would market weight stocks. >> speaking of, you're

overweight on large cap stocks, and under weight on small cap stocks where are you bullish, i'm surprised, the russell has been the outperformer, are you antirecovery, give me a sense of what you're bullish on >> that call that you just mentioned there, liking large cap growth stocks over small cap value stocks, it's mainly related to interest rates, the dollar, you know, the fed's going to keep rates low. that should continue to pull, you know, have downward pressure on the dollar, and that's going to help big cap multinationals nonanti-recovery, it's just more kind of the mathematics of it all, how it would play out and then in regard to other areas where i'm bullish, i have mentioned i like financials as far as the sector, consumer staples and energy also look attractive as well. >> we're seeing crude hit an eleven month high here, do you see energy continuing to have strong gains and is that also

tied to the recovery or is that tied to industrial manufacturing picking back up again? i know we get the ism later today. >> yes, ism manufacturing out today and i think as, you know, obviously with energy, we certainly saw a cratering of demand at the height of the pandemic, and perhaps we're at the height of the pandemic right now. but, yeah, we should see demand pick up going forward. >> rob morgan, thank you for being here we really appreciate it. when we come back, china ramping up covid vaccination efforts despite growing concerns about the safety and efficacy of those drugs. we'll go live to beijing with the latest. google facing fresh legal troubles over claims of power over you tube. ased biden administration prepares to take control we talk to one white house adviser about

the key agenda items they need to address a busy hour, when "worldwide exchange" returns. right, okay. ? right, okay. ? 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.

and welcome back to "worldwide exchange," a live look at hong kong where the sun is just setting right now. beautiful city i have been there one time myself great place to be at at nighttime. however, we're just getting started here on cnbc all right, china is ramping up its own program to get covid-19 vaccines out to the masses with the goal of vaccinating 50 million people in the coming weeks, but new questions are mounting about the safety and the efficacy of the state-run

treatments eunice yoon joins us now from beijing with much more >> reporter: thank you so much, frank. china is already about a fifth of the way there, inoculating 9 million people so far. the goal as you said, is to vaccinate 50 million people ahead of the big travel period around the lunar new year holiday. that's by mid february already medical staff, essential workers, government employees, they are all the priority, and the targeted age bracket is between 18 to 59-year-olds china's strength is in its logistics. health workers have been trained up and are on stand by at community clinics, as well as makeshift stations employees are told to corral their staff and get them to the stations and millions of doses free of charge are being shipped to cities across the country. the problem in is china is with the vaccines because again, there are a lot of questions

about the safety and efficacy. there hasn't been a whole lot of information shared on the data very limited, and especially internationally. people here have been saying they would like to see an international peer review. we don't have it over here, and then the other interesting development specifically with this program, frank, is that everyone who is vaccinated as part of this program is also being kindly reminded as part of the paperwork not to discuss their experience with this vaccine. so that doesn't necessarily help with trying to ease concerns about the lack of transparency around these vaccines. >> we do have peer review here in the united states, and we have a lot of data about these vaccines but there's still a lot of vaccine hesitancy how worried are people there about the safety of these vaccines, is it the lack of transparency or are there other concerns >> people are worried about it

a lot of it is around the lack of transparency, and people, as i said before, said they would like to see data and an international peer review. a top epidemiologist indirectly addressed concerns, saying that b beijing has been very good at non-medical interventionist strategies, such as lock downs and moving aggressively to stamp out outbreaks. he said now is the time to prioritize getting a vaccination because there's a fast mutating virus that's out there and potentially could come back into china. his point is overseas he doesn't expect the pandemic to subside until the end of this year, so he said for china, and for the chinese to get ahead of it and to really be protected, there needs to be a whole lot more people vaccinated even if they are concerned about the efficacy level of these vaccines. eunice, that variant of the

virus causing concerns globally, even in china where they have seemingly recovered a lot faster than we have. still on deck, president trump facing financial fallout from the capitol hill riots as one of his key banks overhauls how it does business with him. stay with us, much more coming up today's big number $88.5 billion. that's the total payments the federal reserve sent to the treasury department in 2020. evusealy 2/3 jump from the prio yr. ♪ hey you, yeah you. i opened a sofi money account and it was the first time that i realized i could be earning interest back on my money. i just discovered sofi, and i'm an investor with a diversified portfolio. who am i?! i refinanced my student loans with sofi because of their low interest rates. thanks sofi for helping us get our money right. ♪

welcome back, it's 5:21 on the east coast a live look at new york's times square, the lights are there, the people are not new york remains sleepy on this tuesday morning. let's get a check on other top headlines, nbc's phillip mena is in new york with the latest. hey, phillip. >> frank, good to see you. good morning the fbi is raising alarms about potential for more armed protests before joe biden's inauguration the beautiful is warning police nationwide that protests are being discussed on social media for every state capitol by week's end with more violence possible in washington if congress takes action against president trump. new england patriots coach bill bell check says he was flattered to be offered the presidential medal of freedom but declined to receive the award, citing the deadly riot at the u.s. capitol last week as

part of the reason that he would not accept the medal in a statement, belichick said continues efforts of social justice, equality, and human rights outweigh the benefits of any individual award. finally, alabama and ohio state battling it out on monday night for college football's national championship. the buckeyes would keep it tight early with the help of jeremy rutger, but ohio state just did not have enough. that guy right there, devonte smith was on fire. he was the star of the game and the star of the season for alabama. he proved why he was worthy of that heisman trophy. he ended up having 215 yards and three touchdowns in the first half alone roll tide, alabama wins it 52-24. and that win gives nick saban his 6th national title as alabama's head coach, and his 7th overall, so frank, that makes nick saban, it means he has more titles now than any other coach in the history of college football he just passed the legendary

baird bryant with that number 7. >> i heard you with the roll tide are you actually an alabama fan, i know you're a texas fan. >> i'm not too much of a fan, but i always appreciate greatness, frank, and alabama is certainly that, and no matter what you think about them, they sure do know how to win championships. >> definitely. i was there when they beat notre dame in the college championships. they're on quite the run if they're not a dynasty, i don't know who is. >> them and the uconn women, they have had a role in the 21st century here congrats to them. congressional democrats ramping up their efforts to impeach president trump. you can watch us on the cnbc app "wor "worldwide exchange" back in a moment it's moving day. and while her friends

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. good morning, futures pointing to a slight bounce back at the open after stocks started the week by snapping a win streak washington watch, house democrats introduce an article of impeachment against president trump for inciting last week's capitol hill attack. and six trading days into 2021, the big market story could be rising rates. we'll talk about what this might signal for the stock market, and what it could mean for industries like housing. it's tuesday, january 12th, and you're watching "worldwide exchange" right here on cnbc ♪

♪ welcome back to "worldwide exchange," i'm frank holland in for brian sullivan here's how your money and investments look right now as we're halfway through the 5:00 a.m. hour stock futures up slightlimey. yesterday the nasdaq was the biggest lagger, today seeing the biggest games. stocks snapping the new year's win streak the s&p shedding over a half percent. the nasdaq the big laggard yesterday falling 1% shares of tech giants, amid the crack down on president trump following capitol hill violence, shares in the pre-market in the green. we're seeing twitter up 2 1/2 almost percent after it dipped about 6% yesterday facebook also up over 1/2 percent, and of course we have to do that check on bitcoin. right now, the cryptocurrency, it stands almost half a percent. it fell to $31,000 yesterday, however, after hitting a new all

time high of $42,000 on friday other big stories, bertha coombs, the lovely and talented, bertha coombs, she's back with some of the day's headlines. hey there, bertha. >> you can be nice when we're not talking about sports meantime walmart is creating a fintech start up so hip the retailer is going to partner on the project with ribbet capitol. walmart looking to reach customers who don't already have a relationship with a traditional bank or financial adviser. google is being sued by you tube rival video sharing site rumble which is accusing the tech giant of abusing its power by unfairly rigging its search algorithms to put you tube above rumble in search results and facebook says it will remove content that contains the phrase "stop the steal" from its

platforms. the company says it's looking to stop any misinformation or content that could incite violence ahead of the inauguration we may be getting a new administration, it may be a new year, but these tech giants continue to be in people's sights as to how much power they have. >> absolutely. after what we saw last week, i think a lot of people are rethinking what we should and should not have online definitely a very divisive issue there. bertha, thank you very much. let's stay on the topic of politics yesterday house democrats introduced an article of impeachment against president trump. eamon javers joins us with a look at what's expected today. hey, eamon. >> good morning, frank, the capitol today is in the grips of two simultaneous crisis, one, a security crisis, the other one, a political and impeachment related crisis as they try to figure out their way through that series of events, and let's start with this crisis around security as the capitol becomes

increasingly aware there's a threat here, a serious threat of more violence from trump supporters in the days and weeks to come. there was a republican congressman on the news with shepard smith last night who laid out exactly how the congressmen feel in the wake of wednesday's attack on the capitol. here's what he said. >> i am expecting there will likely be more political violence, and so, you know, my expectation and the expectation of some folks i'm talking to who are trying to vote our conscience on this is that there will be folks who try to kill us. >> congressman there saying that he expects there are folks who will try to kill him as a result of his votes to certify the electoral college results. so take a look at where we are in terms of the security picture overall. the capitol and state capitols across the country are now bracing for additional violence as the fbi warns of armed protests that are possible at all 50, all 50 state capitol buildings in the days to come. two capitol police officers, meanwhile, have been suspended and ten to fifteen are under

investigation for their roles in the riot on wednesday last week. under investigation for whether they followed proper police procedure, whether or not they in any way aided and abetted the rioters who stormed the capitol billio building the acting homeland security chad wolf resigned citing recent events even though we have the security crisis, we don't have a full-time secretary of homeland security during the course of today, we're going to see a resolution on the 25th amendment, an impeachment vote likely tomorrow, even as there are concerns in the senate about whether or not that impeachment vote could move forward in that chamber, frank we'll see where we go from here. >> certainly a lot of activity down there in washington does the administration, do they have a take on what they would like to see happen do they actually want to see these impeachment proceedings continue or do you believe that would overshadow the president-elect's agenda >> look, biden has been cautious to say that this is something

that congress must make the decision on, but of course if the senate is locked up in an impeachment fight, right as biden takes office, that's going to make it tricky for him to get all of his various officials confirmed for the cabinet positions he selected them for, tricky to move forward with his 100 day legislation. all of that takes political oxygen out of the room democrats on capitol hill are terrified by what happened last week, and are demanding serious action be taken. i don't think you're going to stop the house at this point from moving forward with impeachment as soon as tomorrow. >> yeah, some dramatic words from that michigan congressperson not an exaggeration based on what we saw. eamon javers, thank you very much. i'm joined by andy blocker, head of u.s. government affairs at inves cco, and special assistant for legislative affairs in the clinton white house. thanks for being with us. >> good to be with you >> i was reading your bio, you

have three decades in d.c., i'm sure you have seen a lot of things happen that you can tell me about, maybe you can't tell me about, the riots what is your take on the markets just kind of shrugging it off >> frank, in my 30 years in washington, i've never seen anything like this, and i think right now we're all just trying to get our heads around what happened and my conversation with members of congress, they were terrified on that day they were at risk. their lives were at risk and so i think that's the take away, the good thing, though, on the positive side is that despite the capitol breach, our democratic system held congress finished its work that day, that very same night to certify the election, and right now, despite the security concerns, i think with federal law enforcement, both state and local at the ready, i think we're poised for a peaceful transition of power, and i think that's the key point when we're

talking about the markets. the markets saw that our democratic system held, and so that's why you haven't seen these big gyrations. >> let's focus on that transition the markets saw their democratic institutions, they held up, but they have also heard talk from the biden administration about potential tax increases. can you talk about foresight, how do you see tax increases and are there potential policies that could have a dramatic impact on the markets. >> i think you're vezeroing in the right point. the real headline is democrats won the senate, and with democrats winning the senate, that gives the biden administration a chance to implement some of its agenda, and as you know, frank, he's focused on covid-19, and that means covid-19 relief. we expect that package to be larger than it would have otherwise been in a flipped government, and we expect it to give state and local government help as well as more relief for

individuals. we also think, even though we have 40 plus, you know, infrastructure weeks during the trump administration, i think we can actually get infrastructure relief, and then that comes through your question on tax increases. because you're going to have to pay for infrastructure relief, you're going to need some tax increases, and we think first in line, corporate taxes. and so depending on how much they want to do, how big the package is, you could move to personal taxes as well we see that a little bit later in the year. >> andy, speaking of paying for this infrastructure plan we're all expecting to see come, do you see any parts of the market that would especially benefit from that. i would imagine industries, materials, any other parts that you think would see a boost from this infrastructure package? >> any growth stocks, i think, that's basically, you're putting the reinflation trade back on, and with that, i think with covid-19 relief, infrastructure, it's all in that direction, and i think the tax increase part really comes in on the back end of that.

>> so i think we all want to look forward, but we have to take a step back, and talk about this impeachment proceeding or just being dropped either way, which one would have a bigger impact on the markets in your opinion? >> well, i don't really think impeachment is the story when it comes to the markets but it does look like impeachment will not only be the story that dominates the last days of the trump presidency, it could also be the story that dominates the beginning of the biden presidency, and the key here is to make sure that if they do impeachment, that it doesn't get in the way of the biden agenda, and i know on your previous report with eamon, talking about being concern about that, congressman clyburn has mentioned, hey, let's do impeachment in the house, wait 100 days, that's going to be hard to do, but it's out there in case they think it's going to get in the way of the agenda i think they can walk and chew gum at the same time, but we'll see. >> you're saying it's not the big story when it comes to d.c.

and the markets, you say it's the senate flipping over, but we're not going to see the impact at least for some time because stimulus is going to happen i think we thought that the senate, whether it was republican controlled or democrat controlled would go forward with stimulus. what other things do you see this democrat controlled senate doing that might shake up the markets or move them higher or lower. >> yes, frank, first and foremost, it allows president biden to get his cabinet in place quickly with democrats in control, pretty much assured to get most if not all of his people in place. that's going to help him with the function of government with covid-19, there's a split government and democratic controlled government in the senate is you're going to get more, so the market's going to like that, the fact that it's going to be more fiscal relief than less. especially with state and local governments getting relief, and small businesses and individuals. >> andy blocker, from invesco,

we appreciate you lending that 30 years of experience have a good day. >> thank you. we have seen big jump in interest rates to start. the impact this could have on the mortgage market and housing. that's coming up next. but first, as we head to break, other top stories, deutsche bank will reportedly no longer do business with president trump or his companies, his most important lender, with $340 million in loans outstanding to the trump administration. the u.s. announcing it will collect tariffs on aircraft parts and wines in germany after they failed to resolve a dispute with the eu. and two medical equipment suppliers are reportedly in talks to merge the "wall street journal" says steris and cantell medical are discussing a stock deal. stay ted you're watching "worldwide exchange" here on cnbc

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cantel medical a programming note, cnbc will have coverage throughout the day of the jp morgan health care conference, including interviews with some of the sector's biggest names, the ceo of eli lilly, pfizer. and labcorp. perhaps no industry is more sensitive to this than house they have helped keep costs down for buyers as home prices continue to rise due to high demand and tight supply of homes on the market. let's talk about what's ahead

for marketing with mark fleming, chief economist at american financial. thanks for being here. >> good morning. >> i think the thing we have to talk about right away is affordability. i'm reading "the washington post," 55% of homes in q42020 were more expensive than they have been in the past relatively, according to that metric, is affordability going to become an issue here? >> those houses are largely more expensive because as you mentioned, we have had rock bottom low mortgage rates, 2.65, 30-year, will drive a ton of house buying power, and you know, you don't buy the home necessarily based simply on the actual value ofit but how much it costs you per month, and when those mortgage rates are so low, that cost per month is also lower, so that demand dynamic is affordability is driven by the monthly payment, and that's as cheap as it's been in terms of the mortgage rate at 2.65% recently. >> how much is the market being juiced by the at least belief we're going to get back to full

employment at some point or have a recovery sometime in 2021? >> i think it's interestingly, the ten-year treasury yield which the mortgage is benchmarked off into is now rising above 1%. i could have sworn it was a year ago where we were shocked it had gone below 1%, so this sort of idea of a high ten-year yield at well below 2 still drives very very low mortgage rates. even though mortgage rates will likely rise a little bit, they will still buy any historic standard remain very low the purchase side of the market will be less affected by that. there will be a lot of impact on the refinance market which is more sensitive to rising rates we would expect to see fewer refinance transactions. >> the virus has been a catalyst for a lot of people to move out of urban areas, buy new houses, buy furnishings and things that have spurred the housing marketing and supplementary businesses

with the idea that a vaccine is going to be widely spread at some point in 2021, we mostly believe that, how does that impact the housing market? >> home has been the penultimate stay-at-home stock netflix, and other things were popular during the pandemic, having a home to watch them in is also pretty important, and that dynamic of demand will still be there clearly, though, you know, a healthy economy driven by the vaccine rollout, and not having to worried about a pandemic anymore, that benefits everybody including the housing market sentiment is lower now around purchasing homes and selling homes, not because of something really in the housing market, but because if you're a seller, would you really want to open your home up for sale right now? and if you're a buyer, you're really struggling with the idea of finding something to buy because none of those sellers are making their homes available for sale so you can't buy what's not for sale, and people don't want to list homes for sale because of the pandemic right now. >> we're showing a chart of new home sales, and we saw like a

big spike in july and june is there another big spike coming in the springtime we often have talked about the spring home buying season. are we going to see that again in 2021? >> i think so. demand for new homes and building of homes is very strong, and that's not just a pandemic situation, but ten-year deficit now of not building enough, which is one of the other reasons why we have such a tight supply lots and lots of demand for home sales and while the labor market report showed last week showed a decline in the construction side, we actually hired more there's a lot of demand for new homes, and i expect that to continue next year or this year. >> when we talk about demand for new homes, are we talking single family homes in the suburb or people looking for space, because this variant or see more lock downs, which one is it? >> clearly single family, lower, mid-priced, sort of first time home buyer homes in the suburbs are the most popular and that's, again, not just pandemic related, the fact that

millennials are ageing into the first time home buyer age of life, and they were already sort of making the shift to the suburbs because the lifestyle choices that are made along with owning a home make the suburbs more popular that said, any housing is good at the moment given the shortage of overall stock supply that we have today in the united states. >> yeah, definitely a hot market i know some people looking for houses they say by the time they put an offer in, it's already sold. mark fleming, we really appreciate your time thank you. on deck, tech stocks coming under pressure amid controversy about policing content, and expectations of more regulation. what investors need to know n t next. and if you haven't subscribed to our podcast, "worldwide exchange," check us out on apple, spotify, and we will be right back for smooth, bright skin or your money back. olay. face anything.

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welcome back, let's take a look at big tech after social media stocks got hit hard

yesterday after carrying out bans on president trump and various far right voices those moves adding fuel to cause increased regulation in that sector for more on all of this, i'm joined by jason weir, partner and ceo of albion financial. >> good morning. >> tech is trading higher in the premarket. yesterday we saw it get slammed, twitter down 6%. other names outside the social media stock get hit, including alphabet, amazon, even visa. in light of all of this, are you still bullish on big check. >> we are. i think it makes sense to continue to own high quality companies in the portfolio you know, i don't know whether tech is going to outperform this month or next month, relative to value and cyclicals, but what i d do know is it's important as an investor to continue to have a sector, visa, way outside of the social media poll and really has nothing to do with what we're seeing regarding regulation, and bans or whether it's google

that's a little bit closer to that sphere with you tube and controlling content on you tube which is important you know, we think that these companies with high returns on capital, and that are leaders in their space still make sense you don't have to have all of your portfolio in technology 100% exposure doesn't make sense, but continuing to have these investments for two, three, and five-year time horizons is wise for investors. >> we want to continue to talk about investing in tech. we want to bring in alex canterwitz, founder of big tech technology, and a cnbc contributor. it's hard to talk about big tech without talking about social media. the rise of what many people call far right leaning apps like parler, and another one i have never heard of called gab, in a sentence or two. can you break down what all of us should know about these apps. >> i think something we need to pay attention to is what happens

when big social media companies like facebook and twitter start banning folks. they don't just leave the internet, they go elsewhere, and they're finding their way to free speech social networks, places like gab, places like parler parler is offline, but gab is still online, which basically their strategy is we're not going to moderate as a policy. so there are no content guardrails there and that's where a lot of this activity, stuff like the qanon, and some said even planning of the storming of the capitol have taken place inside of these alternate, you know, free speech social networks like parler and gab, and they're worth paying attention to my big thing is history doesn't end with a ban on twitter. >> so jason, i'm going to turn things back over to you, alphabet, google, amazon, other big name companies, facebook and twitter have decided there are some guard rails and it doesn't seem investors agree with that

is that a long-term take with investors because those stocks closed down sharply yesterday? >> this too shall pass just like the regulatory risks we have seen over the last few years, alphabet, google had a big target on its back google's all time priority, yesterday's dip. over the short run, these are things investors pay attention to, and traders get nervous about, but at the end of the day, the tail winds behind the backs of these large technology companies that are by and large outside of the twitter ban fold that certainly aren't playing in the parler and gab space, i mean, sure, amazon cut off the computing power to parler, you know, over the last couple of days, i don't think that's going to impact amazon's story, and ecommerce and cloud. i will say that these large technology companies that we prefer, whether it's a visa or a microsoft or an amazon or a google, et etera, the really defining features of all of these companies is they're taking friction out of the

systems in which they operate, the industries in which they operate. that's encouraging non-linear type behavior. for example, with amazon and ecommerce, i don't know about you, but i see a lot more boxes on my doorstep over the last five years, and indeed during the pandemic it's encouraging us to shop with amazon because they make it so easy when you own companies like that, and technologies that are innovative, good things happen over the long-term. >> boxes, the pouches with the bubble wrap, i think we're all ordering a lot more online. >> so much of it alex, i want to turn things back over to you. the president has been kicked out of twitter but he was a big attraction for social media sites. how does a twitter, a facebook and these other sites, how do they make up for the attention that someone like the president or even so called far right groups with garner >> i think they're going to be just fine. one of the things about, you know, a company like twitter or facebook, they either give you realtime information or help you

connect with friends and family. and just because one user isn't on the service anymore, doesn't mean the demand for realtime information in twitter's case or connecting with friends and family in facebook's case is gone you know, early on when donald trump was, you know, making a lot of noise on twitter, and his candidacy in the early stages of his presidency, i did some research and actually found that he wasn't making a major difference in terms of usage on the platform, so think about the news cycle, more and less about the news maker and i expect these companies to be able to navigate the potential loss of engagement from the absence of donald trump easily. >> interesting insight there that the president's presence on twitter doesn't really increase usage, even though he had about 89 million followers maybe the president doesn't increase usage of twitter or facebook, banning him had an impact on the stocks, is there a way to hedge some of the things we have seen through an etf or some other way

>> i'm not sure there's a way to hedge any bumps in the stocks. there's certainly ways to get exposure to a broader technology theme that not only avoids some of the pitfalls of banning and free speech and one party versus another. that's again, owning companies that regardless of what one's view on regulation may be, you know, have strong enough tail winds at their backs, they're continuing to grow their earnings and cash flow and revenue at a pace faster than the market you look at the large tech company, the cloud etf that has a collection of 50 or so mid cap cloud and cyber security work from home stocks that we think that has a nice theme for the next few years there's ways to get exposure to technology you don't have these potential problems with twitter. we used to own twitter it's a great platform. i use it a lot i don't think just because

donald trump is not tweeting that's going to impact their business model if justin bieber left tomorrow, would we be talking about this, probably not he has more followers than donald trump if you want to know what trump is thinking, you get that outside of twitter. >> we have to run. we appreciate that insight into your musical tastes. thank you very much for skroijo us that does it for us here on "worldwide exchange," "squawk box" is up next. nature's bounty unleashes something exciting. say hello to a drug-free way to ease stress. stress comfort. a gummy supplement with lemon balm plus saffron, to naturally boost your mood. stress comfort from nature's bounty.

good morning, stocks snapping there 2021 winning streak yesterday. but futures pointing to a rebound this morning and bitcoin is bouncing back from yesterday's selloff president trump facing impeachment charges once again we'll take you live to washington for the latest and walmart is partnering with a robinhood backer to create a

fintech startup. details are straight ahead it's tuesday, january 12th, 2021, and "squawk box" begins right now. good morning, everybody. welcome to "squawk box" here on cnbc i'm becky quick along with joe kernen and andrew ross sorkin, and as joe mentioned we're watching the u.s. equity futures this morning yesterday we did see a break in the four-day winning streak we've seen for both the s&p 500 and the dow but it wasn't by as much as we had seen when we were watching the futures earlier in the morning. dow was only down by i think it was a third of a percentage point, maybe a little less than that the s&p was down by about 2/3 of a percentage point nasdaq was hit a little harder, down by 1 1/4% this morning there are green arrows, dow futures up 65 points, s&p futures up by clos