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 close to 10, the nasdaq up by about

50 the treasury market we have been watching closely recently as you have seen an increase in the yields there this morning the yield on the ten-year note is up once again, 1.16%. it doesn't sound like a lot but when you think about how quickly this has moved, it's been less than a week, and we have gone from under 1% to 1.16% so that is significant of course that's nothing compared to what you watch with bitcoin. bitcoin is bouncing back this morning and there are no small moves when it comes to bitcoin the cryptocurrency actually fell to $31,000 yesterday after it hit a new high of $42,000 on friday this morning, it's up by about 8%, a gain of $2,800 back to $35,000 in change, and again, andrew, it's not like watching paint dry when you're looking at bitcoin. >> it is so far from watching paint dry. i don't know what the -- is there an opposite phrase but we'll talk about it. meantime, house democrats -- what did you say, joe?

>> watching paint grow would be the opposite, which isn't rocket surgery, i think is that -- who loves mixed m metaphors. >> no, but it is a walk in the cake. >> using your noggin. >> barking up the wrong neck of the woods. let's talk about what's happening in washington this morning. house democrats are introduced articles of impeachment against president trump accusing him of inciting an insurrection last week when a mob of his supporters attacked the capitol. now washington is bracing for more protests and eamon javers has the latest for us this morning. good morning to you. >> good morning, andrew, washington is facing a security crisis and a political crisis at the same time in the wake of last week's violent attack on the capitol building let's start on the security front as members of congress are slowly beginning to realize that

the threat is not over here of violence from trump supporters in relation to the inauguration and other events that are coming up in washington what we saw from the fbi yesterday was a warning of possible armed protests at all 50 state capitols starting on january 16th all 50 state capitols expected to possibly experience armed protests the fbi saying that the armed groups are threatening to stage an uprising if congress were to remove president trump one congressman now providing information to reporters saying that two capitol police officers have been suspended and as many as ten to fifteen are under investigation for their role in the riot, whether they in any way aided and abetted the rioters who stormed the capitol on wednesday the president, meanwhile, supported an emergency declaration for d.c., allowing additional federal assistance. all of this coming as the secretary of homeland security chad wolf resigned yesterday in the wake of last week's events so we are without even an acting

director of homeland security at this point meanwhile, on the political side, democrats are moving forward with an impeachment effort today, they are expected to vote on a resolution calling on mike pence, the vice president, to push forward with the 25th amendment, and remove the president from office immediately. failing that, and that is expected not to go anywhere because pence does not seem to be leaning in that direction we think there will be an impeachment vote by the democrats on wednesday it will attract quite a number of republican votes, not clear how many republican votes at this point some senate republicans are imploring the house now to keep the articles focused specifically on trump's incitement of insurrection that's the sort of impeachment article that could garner republican support in the senate as well. but senator joe manchin, a democrat of west virginia says the impeachment effort is ill advised and there's question about whether there would be enough votes in the senate to convict and remove the president

on a charge of inciting insurrection, so we think that this process will begin on wednesday. not clear when it will end, before or after the president's term in office comes to an end at noon on january 20th, guys. back over to you >> hey, eamon, before we let you go, we have obviously seen a parade of companies come forward over last 24 hours we'll probably be talking in a little bit about bill belichick and his decision to distance himself, again, from the president, and what's happened in washington. i'm curious just what the emotional reaction is to the extent that you can measure it both at the white house and elsewhere right now. >> you know, we've got a sound bite here that the control room had teed up from a republican congressman from last night. he was on the news with shepard smith, describing what he said could be the violent reaction to his votes in congress.

i think that captures the emotional reaction as well as anything why don't you take a listen to that >> 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 >> that's the stark reality, andrew folks who try to kill us is what members of congress are expecting in the wake of their vote here on impeachment, and removal of the president of the united states. that's where we are as a country. it is a bleak thought. it is an accurate thought. and the prospect here is that the end of this pro trump violence, this is not over at this point >> hey, i know there's been a lot of talk about how long those -- how long the fundraising will actually be impacted and i know there's been specific talk about whether republicans can fund raise with rick scott being the one that

leads the national republican arm of this right now from the senate, he voted against ratifying some of the state's votes, and that's particularly, look, a lot of these companies have said they're not going to give any political money all the way around it's amazing when you think about how much money was just spent in georgia what's the real impact how long do you think this lasts and what is the senate, what is the house doing about it, if y anythin anything. >> there's not much they can do about it the companies are the ones that decide how they spend their money. you see companies dividing themselves into several camps, the first camp, we're not giving any money at all, a pox on their houses, forget about it. i'm told some of those companies are taking a pause on political contributions as they try to get their policies straight in terms of who they're going to support and who they're not. some of the companies might further define what they're going to do with their political cash you're also seeing companies that are saying they're simply not going to donate to anybody

who voted to reject the electoral college results saying that that simply is a bridge too far in this democracy, and those are the people we're not going to support some of those companies putting a cap on that saying that's for one election psycycle. two years for house members, six for senators we have seen one company demand its money back, saying we supported these candidates that was a mistake we want our cash back, so there's a variety of responses here from companies. all of that is damaging politically to those members of congress who are going to be affected some of the calculus, frankly, is there's a swarm of people online who could fill the gap, the people that you saw storming the capitol have behind them millions of supporters, and those people have been writing checks the president has raised something like $200 million in support for his stop the steal effort since the election. that type of fundraising prowess online might be able to offset

sort of the establishment corporate donations you have seen getting pulled this week. >> eamon javers, thank you witn. thanks becky? >> thanks, andrew. in the meantime, deutsche bank says that it will reportedly no longer do business with president trump or his companies. that's according to "the new york times". the bank is considered to be trump's most important lender with $340 million in loans outstanding to the trump organization and i believe those loans come due in 2023, 2024 in the meantime, new england patriots head coach bill belichick said that he will decline to accept the presidential medal of freedom from president trump in a statement, belichick said that he was flattered to be offered the country's highest civilian honor but would not move forward with the award after the tragic events of last week belichick described himself as

an american citizen with great reverence for our nation's great values, freedom and democracy. joe. thanks, becky. in other football news, in case you're wondering, alabama beat ohio state to become college champions. devonte smith had three touchdowns in the first half, it was a record championship for nick saban celebration afterwards in tuscaloosa, might make you cringe in the age of covid, as fans flooded the strip in tuscaloosa there it is. when we come back, officials hope that mass vaccination sites at stadiums and theme parks will help ramp up the speed of vaccine delivery in the united states we'll bring you a special report right after this. and later, we have a big lineup from the jp morgan health care conference, the ceos of eli

lilly and pfizer will join us later in the show. "squawk box" will be right back. when my love is away, ♪ this cnbc program is sponsored by truist securities e? ♪ ♪ how do i feel at the end of the day, ♪ ♪ are you sad because you're on your own? ♪ ♪ i get by with a little help from my friends, ♪ ♪ oh, gonna try with a little help from my friends. ♪

welcome back, everybody. the covid vaccination rollout

has been slow. nearly 9 million people have received their first dose. to try and help speed things up, mass vaccination sites are popping up across the country. contessa brewer joins us right now. she has more on that front and contessa, good morning >> becky, good morning to you. mass vaccination sites are crucial from the white house administration is to reach its goal of 100 million shots in the first 100 days, and those improvised shop factories are opening up coast to coast. in new jersey, retail's loss is a big gain in the fight against covid. a shuttered sears store, an old kmart are mass vaccination centers. you have the crowds returning to sports stadiums, not to watch but for their vaccines cars in slow lines at the bristol speedway in tennessee. san antonio plans to process 60 people a day at the alamo dome dodger stadium is opening up for shots this week, and the nation's largest stadium, the big house at university of michigan has no fans

instead, front line health care work skpe workers and high risk students are getting their shopping hoping they can move to the next in line this week but they're only scheduled to receive 4,000, and all of those, becky, are needed for second doses so no new shots for now. remember field of dreams if you build it, they will come. well, a lot of the organizers worry they'll come, and then there won't be any vaccines to offer. becky. >> what is the hold up with the supply at this point because we keep hearing about how there's 22 million or 25 million that have been distributed but only 9 million that have been given out what's the problem >> it's a great question and i wish there was an easy answer to it we heard yesterday from new york governor cuomo he said, look, we have a million doses on hand, we have 4 million people who are eligible right now to get this first front line shot so at this point, if we're getting 300,000 shots in per

week, it's going to take us 14 weeks just to vaccinate that first tranche of front line health care workers. never mind people who are older, you know, you've got essential workers in grocery stores and restaurants, some who have conditions that make them vulnerable in florida, becky, we're hearing some counties telling seniors, look, thanks for registering, we'll call you, don't call us. because right now, we don't have the shots on hand. >> it seems like no easy answers and, definitely some hiccups at the beginning. thank you very much, it's great to see you for a closer look on this, we welcome dr. kavita patel, a primary care physician, a brookings institution fellow and an nbc news contributor. she formerly served in the obama administration thank you for being with us this morning. it seems like a bit of a tangled mess what do you do if you don't have enough supply, and you have more

people showing up. how do you prioritize that >> good morning. one thing is clear that there's a complete lack of coordination. you're seeing it play out in that very conversation where you have, you know, entire states ready with people even identified through electronic means, but you don't have necessarily the throughput planned and you're absolutely spot on that we've got about, you know, 26 million doses that have been delivered through operation warp speed, through the federal government, to states, but only about 9 million that have made it into people's arms, and candidly, everybon 1, day, a lot of that bottleneck and throughput limitations are around staffing. if you can actually increase the staffing, that we could get to 10,000 doses a day, and that's actually what many large stadiums and hospitals claim that they can do in some of these states however, to your point, they need to have the supply from the beginning, becky, we've seen a theme that the supply has been

far reduced from what states had originally expected, which has caused them to pivot essentially what we're seeing, which is rationing out this, and when we've got a narrow window where we have people who are incredibly high demand on one side, the worst thing that we can do are create these bottlenecks through actual throughput bottlenecks, not enough people or places, as well as the supply bottleneck. >> we speak pretty frequently with dr. scott gottlieb, and he's been a big advocate of just jumping straight to the retail pharmacies, whether that be a walmart, a cvs, a walgreens, because they are pretty well ves versed in giving these vaccinations do you think that's a good idea or i start thinking about how do you get it out to the 12,000 stores you might be dealing with at that point? >> i think dr. gottlieb is exactly right. look to the people who do this on a daily basis when you look at the hundred

million flu shots that have been given out over the last 18 months, becky, we're really talking about retail pharmacies, as well as pediatrics offices. don't forget that we've got a lot of community based physicians who are well equipped to do everything, becky, from drive by vaccination sites or setting up parking garages to make it easy and safe. and remember, they also know who these families are we don't have a pediatric vaccine approved but we've got an incredible mechanism to get this out i think what you have seen in the united states was officially an incredible amount of concern about the ultra cold storage requirements from the pfizer vaccine as well as some concerns about potential storage issues for other vaccines what's playing out, however, is really the theme of a lack of coordination and communication the retail pharmacies can absolutely be a solution to this if we don'tsoever t solve the po what you heard, if people are signing up, getting e-mails

saying please wait, we'll let you know, we could be dwindling in that public will, to get these vaccines as soon as possible we need to do this while we have an incredible amount of concern, not just across the united states, but the entire world is focused on vaccination efforts and we need to kind of pull through and show some success so that the american people who are already fatigued from this pandemic don't continue to kind of have doubt in the infrastructure that can bring some of the light at the end of the tunnel. >> let's just hope, doctor, because time is of the essence, let's hope there aren't places that are ready that they don't have the right people that qualify to get the vaccine, and they're all kind of sitting around with, well, i don't think it's like that yet, i think there's plenty of 75-year-olds waiting in line, but the virus doesn't know who's old and who's sick, and, you know, we're trying to get to herd immunity

the worst thing in the world wouldn't be if a bunch of 40-year-olds, if everybody was sitting around, and they don't have the right people to do. do everybody we're going to do everybody eventually, and we're so worried, and i'm not pitching myself, but we're so worried about the line jumping or the qualifications or they're cheating over here, everybody who gets vaccinated is a part of the solution to getting to herd immunity do you know whether it's happening where there's just not enough demand from the people that are allowed to get it sot vaccines aren't going out >> no, not at all. joe, you're absolutely correct i think that when we had all of these advisory groups come together, look at the evidence and meet about prioritizing who should get the vaccine, even myself, i've got training in public health. i have led vaccination campaigns. i thought the cdc advisory committee's recommendations were sound. they were trying to get to the highest risk people. what i think you have seen play out, joe, is exactly that.

you have seen complex algorithms, and candy lidly, cly user interface on the sites to get a vaccine that have made it incredibly complicated we need to make this as simple as possible. you have seen new yorkers, food wo workers and others who said because of the complex requirements they're not in the high priority group, and that public sentiment where people are just completely kind of, you know, they feel like they have been left out, that's exactly what we want to avoid. i think we need to make this much simpler, move this into settings where people can get this as easily as possible, and clean up the complexity, as well as put out some clear communications if you're of a certain age, this is the time window in which we believe you will be able to receive your vaccine and right now, unfortunately, joe, depend ongoing where you live, that time window can vary from next week to two months to three months from now.

that should not be the way that we roll out this vaccine >> why i mean, why is there that big of a difference between the states? is it based on the demographics of the state you live in is it based on states getting fewer number of shots, more essential workers in some states that's crazy. >> i have looked at the data from states, a couple of themes. some states have had an incredible tight control where they have not kind of allowed these retail pharmacies as dr. gottlieb mentioned or even area hospitals to have the majority of the vaccines they really have been concentrating them and putting them in certain counties or leaving it up to the counties, becky, which have varied in how they have done the rollout second is you are seeing a variation in the referee fu sush

priority health care workers refusing to get the vaccine, as high as 40%, in our own area in the district of columbia, we have seen some refusals in certain populations. it is a combination of not getting the amount that they thought they would from the federal government or not having the clear communication about the initial amount, combined with a very up even approach to the actual rollout on who would get the vaccines and how many they would get, and then third, having a very kind of core awareness of the uptake, even in that high priority population, which gets back to joe's point, that i think that if people want this vaccine, we need to facilitate getting it to them. we don't want to skip the line we certainly don't want to allow for people to, you know, use their finances to get it when they shouldn't we should make this as liberal as possible to obtain the vaccine. >> when you see folks say they don't want to take it, especially people in the medical community, is your sense that this hesitancy, if you will, is something that will be overcome several months from now. they're going to see millions of

other people who have taken it, and taken it without problems or do you see this as a longer and larger problem because if half the country doesn't ultimately take this, we will have a longer and larger problem >> it's a great set of questions. on the note of health care workers, andrew, i have been working with colleagues across the country to try to understand just that. we're seeing come initial themes that in general, there is still a great amount of misinformation even amongst health care workers about this v messenger rna, and whether that can interfere with the dna of your cells it can't people are very confused and don't have clear answers the second theme is exactly to your point that they don't want to be in that initial quote unquote guinea pig phase they would like to see how people who have gotten it. i have received the vaccine, you know, how i have done. do i have any problems or detrimental side effects i haven't and so i agree that i think a large portion of them

will have higher confidence, but that's all the more reason that we should make this vaccine as widely available ads possible i do think, andrew, to your point, once we get over this initial demand, right now, the demand far outweighs the supply so to speak, and osupply is bottleneck at distribution once we get past the initial demand, a third or half of the population that desperately wants this, we are going to have people that are incredibly reluctant. we have to have clear communication about this vaccine, and unfortunately, we still haven't seen, as you have noticed, we have seen headlines about the chaos of the vaccine distribution, and not as much attention focused on people's questions and concerns about the vaccine itself. >> that's a good point dr. patel, thank you so much for being with us this morning we really appreciate your time >> okay. coming up, when we return, walmart announcing amove into financial products

planning a new fintech start up with one of the backers of robinhood. we've got the details next. and news just out, an s.e.c. filing hedge fund investor has taken a passive stake of 111.8 of consol energy as of december 30th, at sckthto up a little over 10% right now we're back in a moment

welcome back to "squawk box" this morning, walmart planning to create a fintech start up with ribbit capitol, like i'm kermit the frog. one of the venture capital firms behind robinhood, it will

develop unique and affordable products for walmart employees and customers. walmart already offers some financial services including alternative payment plans for customers on a tight budget and a prepaid debit card with no overdraft and monthly fees and no minimum balance required. joe. >> yes, ribbit, i like that. what is that, there's a name for it is that onomatopoeia, is it not? i think it might be onomatopoeia onomatopoeia, onomatopoeia yeah, i think it is. shares of tesla fell by nearly 8% in yesterday's session. that means we are on billionaire watch again, and none of us have to worry around here elon musk's net worth fell by $13.5 billion with the drop in the stock moving him back below jeff bezos, according to an estimate by forbes it's weird, isn't it

there's an ev car maker, with solar implications and maybe settlements on mars, and then tl there's the internet of money. they move bitcoin, they move the same now that can't be good that's just where. >> they move together now, sorkin, they move together now why, what do they have in common what do they have in common? >> speculative. >> that's it >> same investor base, exactly. >> coming up, fallout for twitter over the decision to suspend president trump's account. did you see -- i'm not going to say it i sent it to you, becky, my favorite tweet in history that i was just arguing for vaccines to be rolled out for 40-year-olds like myself, that i was arguing for it to be rolled out for 40-year-olds like himself: i love this guy. i don't care what you say about me we show you how the stock is

reacting as we head to break, here's a look at yesterday's s&p 500 winners and losers, we'll be right back i made a business out of my passion. i mean, who doesn't love obsessing over network security? all our techs are pros. they know exactly which parking lots have the strongest signal. i just don't have the bandwidth for more business. seriously, i don't have the bandwidth. glitchy video calls with regional offices? yeah, that's my thing. with at&t business, you do the things you love. our people and network will help do the things you don't. let's take care of business. at&t.

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twitter stock coming off steep losses, it fell more than 6% yesterday

its first trading session since suspending president trump's account. investors concerned it could hurt the decision. joining us is henry brlodgett, ceo and cofounder of insider we don't need to go over the private company versus first amendment issues, twitter can do whatever they want we just need to know whether as a business decision this could eventually present a problem, and i heard it argued, frank was doing "worldwide exchange," and someone said, you know, twitter -- so trump with 89 million followers, that's a big chunk of business, but justin bieber, one of your favorites, i know, henry has acted as a bl b believer, he has more than that. is it the end of twitter if they don't have trump is it material for earnings. >> first of all, thank you for having me on

no, tgs nit's not the end of tw. anytime a company makes a decision like this, it was obviously a very difficult decision that certainly would have a near term negative impact on engagement. there's a question about what the long-term impact is going to be i think in this case, it's going to make it better for twitter. it's going to be a better service. they upheld the standard that is a perfectly reasonable low standard, don't incite violence with lies. that will actually shape up everybody else who's on the platform it will be a more civil and pleasant platform, as a result of that, and i think that will be good for the business long-term. >> so when we saw apple, google, and, you know, amazon, aws, all decide that parler, almost decide together that parler was not going to be a -- basically not going to be in business anymore. do you ever start to worry about the power that these companies have with what we're able to

see? and it was pointed out yesterday that that could eventually be politicized and to the detriment of things. >> i think it's already been politicized, and i think that ta lot of people are worried about the power these companies have if you look at the decision that each company made, it's a decision of employees and shareholders to say, listen, we do not want to help people incite violence with lies. period and we're not going to play. and we're going to unplug you, and yes, then there's another question which is wait a minute, wait a minute, wait a minute, are these companies too powerful, can we let them make that decision. that is a different decision that's for congress to pass laws or regulate them, however they want, but right now, working at these companies to see what they are facilitating is a seriously difficult thing to do. it's why all of the companies probably had a rebellion within

the companies saying, listen, why are we doing this, and by the way, it's not just twitter and facebook, and the tech companies. you've got many other companies that are just saying we are not going to do business with donald trump anymore after what happened and texas, this morning, i believe, said look, we don't want him coming to our state this is not just tech companies that are doing this. lots of entities within our economy and society are saying enough >> down the road, henry, one of the concerns i have is, okay, so let's take a month from now, actually maybe it's not over a month from now, even though the inauguration is january 20th trump's gone, and now we're just back to the normal fighting that we do. you know, hopefully cordial, the fighting between the parts of this country, one obviously there is a division among how to go forward politically there always is. do you remember w? do you remember how much flak w

used to get? i remember reagan, how much flak, so it's not going away there's going to be divisions. how do we know that one side doesn't get, you know, gets the short end of the stick from here because of the management of these places, because they lean one way or the other, and they can do whatever they want, it's their company, but and maybe it hurts their business, that would be self-correcting, the market forces would correct it, but should the government be involved with that, making sure it's a level playing field all the time >> look, i think that the companies have drawn a very low bar right now, which, again, is for now don't incite violence with lies. >> if it's not about violence, if it's purely about ideology. >> so let's look at television networks, for example, there are many wonderful television networks out there that are happy to host civil people who

are conservatives and liberals and it's the exchange of ideas that is actually what is very interesting to watch it's how you learn and so forth. yes, in terms of opinion shows, networks will have their leanings and they try to separate opinion and news, but i think that there is a difference between the two, and newscast very important, and when i see people talking about, oh, the ban on conservatives, that is ludicrous, joe, we have been around for a long time conservative did not used to mean what it is occasionally used to mean right now, and if the partisanship is between two reasonable -- >> poor becky, because it's always rutgers, i'm talking about. it's not rutgers, it's condi rice i wish it was another school if the people that decide condi rice is too controversial to have as a speaker ever run these social networks or ben shapiro

or take your pick, i've seen some on the college campus, i have seen some of the most innocuous, at least in my view, maybe they aren't, but i have seen some of the most innocuous people that are cancelled, henry, they'll do it don't be so naive. you probably would do it with where you lean. >> coming after me personally. look, first of all, there's this story that facebook is so against conservatives. if you look at the top ten posts on facebook every day, they have overwhelmingly what you're describing as conservative ben shapiro is in there every day. facebook is not tamping down conservative what they're saying, again, is something different, and yes, of course it's a concern, but none of these companies has a monopoly on communication. none of them it's the same as television networks there are lots of them there are many ways to get your message out there. i think what's happened here is a lot of businesses and, again,

this is beyond just the communications platforms, it just set a very low bar. we've got to stress that enough we are not going to help with that anymore and i think admirable. >> i'll be watching you, just so you know. >> i know you will i'll be watching you joe, you would not have someone on who was doing that. you wouldn't >> i got you on that i got you on that. i cancel culture, i just don't want it taking over everything, henry. i'm sure i can find something to cancel you for you have red hair or something both my kids have red hair, i'm kidding. i'm not going to cancel you for that i love redheads. we'll see you later. i want you to watch. i want you to make sure because you allayed a lot of my fears. i don't want to be lulled into a false sense of security. see you later, thanks. >> sorry about that, becky,

there i go with the condi rice give me ood oanother one, but t was such a good one to use. >> that's a hard one to overcome anyway, when we come back, much more on the markets this morning with futures in the green today after giving back some ground yesterday. dow futures right now up by about 77 s&p futures up by 10 the nasdaq up by 43. and later, don't miss our exclusive interviews from the jp morgan health care conference, including david ricks, ceo of eli lilly, the company's stock soared yesterday after promising early results for an alzheimer's an, , and when we say soarwe me soar, you got to check out that chart we'll be right back. competition beat us, again. how? they have a better finance system than we do.

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some more news to tell you about this morning google is being sued by a you tube rival video sharing site rumble is accusing the tech giant of abusing its power by unfairly rigging its search algorithms to put you tube above rumble in search results got to consider that this might be a situation that they're piling on, knowing big companies are being closely watched for all of their behavior on these things google barely budging on it. to medical equipment suppliers are reportedly in tops to merge steris and cantel medical are discussing a mostly stock deal an announcement could come as soon as today. you see cantel medical shares up

by about 10% andrew. okay coming up, when we return, the yield on the ten-year treasury note up for six straight sessions up next, we're going to have investing ideas for a rising rate requirement "squawk" returns with that and more in just a moment. this cnbc program is sponsored by baird visit bairddifference.com.

welcome back to "squawk box. six straight sessions of rising yields now for the benchmark 10-year treasury right now some stock picks for your portfolio in this rising rate environment joe taranova is here, cnbc contributor. great to see you it has risen it's risen remarkably. who's the beneficiary of all of this long term >> good andrew

the beneficiary is the equity market long overdue there's optimism surrounding reflation and i would suggest there's more to come we had a very similar type of behavior leading up to president trump's inauguration in january of 2017. if we reflect back, the 10 year went from 1.80 to 2.60 from president trump's election to inauguration so it's a very similar optimistic type behavior there's certainly more room to the up side. keep in mind the dividend yield on the s&p sits currently around 1.55% and i think it encourages a reallocation out of bond funds where you see significant allocations towards treasuries as example the agg, which is the aggregate bond etf has 40% exposure to treasuries i don't want to sit in that allocation anymore that's going to come into the

equities market. >> are there specific companies right now that you actually think are going to be winners as a result of this we can talk banks, things like that, is there something we're not thinking about >> well, andrew, yes i think there's two strategies that are very important and we'll get to some specific stocks, but from a strategic perspective, i think the most important question you could be asking yourself right now, i think andrew, you know this given what we're seeing with spacs bitcoin, the way we're pricing the emerging growth stocks, you need to think about what is your risk. as example, keep in mind this morning zoom video is doing an offering, okay that's going to obviously place some pressure on the stock you need to ask yourself those questions. i believe moving towards an equal weighted strategy is the right move to be implemented moving away from market cap weighted if you're looking specifically in terms of sectors, you could

find opportunities within all of the sectors. if you look at financials, i don't want to think first about money center banks, i want to think about wealth i want to think about gathering wealth, i want to think about managing wealth and i want to think about pricing wealth that takes you to goldman sachs, morgan stanley, black rock or maybe a small cap research financial like fact set which is fds. that's where you're going to find opportunity look at health care which we kind of forgot about last year let's move a little bit away from search for yield which is where biotech was presenting let's move towards make a merck and big pharma type of name. >> joe, let me ask you a question i've asked many people lately this idea of rotating. is it -- are you concerned that there actually will be a real rotation meaning people will take their money from these other places, which is i think what you're advocating, and move them effectively into these other

areas to their benefit and to the detriment of the stock prices of these other companies or do you think it's a little bit of an opportunity where you are keeping some of your money in these other places but maybe adding to these new places >> well, i think you're utilizing diversification within the equities market. that's the optimal strategy. the source of capital that is going to present new buyers in the he can wiequities is identi the bond market. i want to be very strategic and careful that i'm focusing on quality. i want to be careful when i'm approaching the equities market, i'm not looking back at the faangs, i'm looking broadly at the universe everybody is talking about energy let's look at investments in natural gas. we're all talking about industrials and materials. thinking about materials and gold what about agriculture which takes you to a name like bunge,

bg, steel dynamics, stld i want to incorporate diversification into that portfolio strategy. >> don't just live in tesla and bitcoin as we -- joe, we were discussing unbelievable >> no. that time has ssed. >> joe kernen was discussing the correlation between bitcoin and tesla. it might very well be correlated. >> what did we decide, taranova, too late for happy new year? >> i haven't seen all of you, but happy new year to the three of you i miss you. >> happy new year. >> i don't think it's too late >> okay. >> not sure the expiration want to make a name for yourself in gaming?

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proceedings. the latest from washington. big tech under pressure over its crackdown on the president as questions of potential new regulation surface once again. the second hour of "squawk box" begins right now. good morning and welcome back to "squawk box" right here on cnbc. i'm andrew ross sorkin along with becky quick and joe kernen. u.s. equity futures at this hour 2 1/2 hours before the markets open the dow would open 73 points higher, s&p 500 opening up 10 points and nasdaq opening 50 points higher. president trump will make his first public appearance since inciting riots as house democrats call on vice president pence to remove him through the

25th amendment eamon javers joins us. >> reporter: good morning. there are real security concerns in washington as members of congress get briefed on additional threats one republican member on "the news with shepard smith" saying he expects the violence is not over yet here's what he says. >> i am expecting there will likely be more political violence my expectation and the expectation of some folks i'm talking to who are trying to vote our conscious on this is there will be folks that try to kill us. >> reporter: at the same time, congress is moving forward with impeachment, we expect today the house of representatives to vote on a motion to invoke the 25th amendment to pressure the vice president to do that that doesn't have any legal standing and the vice president has given no indication that he will invoke the 25th amendment and remove the president so failing that, the house suggests they will move forward with an impeachment vote as early as 9

a.m. tomorrow to consider impeachment articles or an article against the president for inciting violence, but how that fares in the senate is an open question. senator joe manchin of west virginia a democrat pumping the brakes a little bit calling that move ill advised not at all clear how quickly the senate could move. does not seem likely at this point that there's a process by which they could move with a senate trial, which is, remember, required by the constitution and then move forward with the removal of the president if there are the votes to support that before the president's term ends at noon on january 20th so a lot of unanswered questions. it does look like we're going to be moving forward in washington with the impeachment of the president starting as soon as tomorrow >> eamon, given the sources you have in the intelligence and security world, if in fact there is more unrest and it comes with violence, how do you think that would impact potentially either

an impeachment or something else >> reporter: well, i mean, i think that you're already going to see a number of republicans voting for impeachment as a result of the violence these were people who were running for their lives from a crowd that was, you know, at least theoretically capable of violence last week against members of congress who didn't see any members of congress assaulted in that attack, but the crowd was chanting hang mike pence. they sent up a gallows on the senate lawn area that's terrifying stuff. i think that affects the psychology of members who are, you know, considering how they're going to vote here we also got a warning yesterday from the fbi suggesting that there could be armed protests in all 50 state capitols starting as soon as january 16th. so that also is terrifying stuff to see that potential threat of violence spreading across the country. that's a scary moment for republican lawmakers who have to consider their sort of legacy to

history as well as their short-term political futures all of that is in the mix here i talked to one former senior administration official, andrew, who says he thinks there's room for an investigation here as to what exactly rudy giuliani, the president's attorney and the president himself knew about plans for that attack before the attack last week so there are some within the president's circle who are concerned about what planning went into this and who knew what before the attack and would like to see an investigation. >> eamon, before you go, there was a remarkable article in the washington post yesterday. for those viewers who haven't had an opportunity to read it should that went into great detail on a moment-by-moment basis and the efforts undertaken to get the president to publicly tell his supporters effectively stand down and how long that took and what took place behind the scenes, but i'm curious if

there is more efforts now being undertaken in a similar vain ahead of what might be additional unrest? >> reporter: in terms of getting the president to take action >> right >> reporter: we saw the president authorize federal assistance to the district of columbia that's something they were able to move the president on there is real concerned about the inauguration will there be violence the other thing that's really concerning, i think, is this idea that, you know, members of the capitol police have been suspended. other members of the capitol police are under investigation for whether or not they supported this insurrection. so the real -- another real fear here in washington is thedegre to which the police forces have been penetrated by this ideology, ideology of protests and violence and to what extent can lawmakers and the incoming

president rely on them for their safety that's a real fear here and it's unclear how deep that goes but i think lawmakers want it answered. >> eamon javers, thank you as always look forward to talking to you again very, very soon. thanks >> you bet. here's what's making headlines at this hour small business confidence fell sharply in december. the monthly index from the national federation of independent business fell down 5.5 points the nfib points to the resurgence of the pandemic and the impact of restrictions to contain it. poultry producers, tyson foods and pilgrim's pride struck separate deals with poultry buyers to settle price fixing allegations. the two companies and others have been accused of colluding to keep chicken prices artificially high. organizers of the detroit auto show are shifting gears this year to deal with the

pandemic the show, which usually takes place at a convention center in downtown detroit, will instead be held outdoors at a racetrack in nearby pontiac, michigan. it's scheduled for september. eli lilly surging about 14% after its alzheimer's drug shows promise in a small trial lilly ceo david ricks will join us after this break from the jpmorgan health care conference. "squawk box" will be right back my retirement plan with voya keeps me moving forward... even after paying for this. love you, sweetheart. they guide me with achievable steps that give me confidence. this is my granddaughter...she's cute like her grandpa. voya doesn't just help me get to retirement... ...they're with me all the way through it. come on, grandpa!

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let's go now to the jpmorgan conference >> eli lilly ceo david ricks thanks for being with us the news of the week your alzheimer's data yesterday, you know, really encouraging though a mid-stage study tell us what you found and what's next, how long the path forward is to get more data? >> thanks, meg, for that as you know, alzheimer's is really the only chronic disease where we don't have a disease-modifying medicine,

something that can slow or stop it it's the fifth leading killer in america. this is a serious unmet medical need as you also know, we've been at this for some time over 30 years the company has been working and mostly failing to demonstrate results yesterday represents the first time we had a successful study and to our knowledge successful study in the field where you hit a prespecified primary end point in a disease modification drug this is exciting donomab is the name of the drug. phase 2 study so it's small but that makes the results somewhat more remarkable. in the past we've scaled up alzheimer's studies not doing phase 2 to prove the concept but going right to phase 3 in big settings attempting to overcome the studies to measure the performance. here we did a small study and detected a difference in cognition and what's called the activities of daily living, the function of patients this is a glimmer of hope for

people with alzheimer's and of course we're investing in another study and we'll be speaking to regulators about the right path forward to expedite this medicine in the marketplace. >> we were just showing there, you mentioned you've been working on this for decades. you and i have talked a number of times over the years when you've had these heartbreaking failures there was solonezemaub in 2012 and these are targeting the amyloid plagues in the brain they said this was called into question 11 years later we're still talking about it and you're still trying do you have any sense of this will be right this time? why after 11 years and all of these failures is this still the right path >> it's a great point. maybe just to step back, meg in a year, last year when we saw

on display this industry spin up and produce medicines and vaccines in record time, this is sort of the other end of the spectrum it's more of a normal one where it takes decades of progress to get a breakthrough we were always tantalized by the difference between the placebo arm, active arm and all of the studies targeti ining amyloid ae couldn't predict it. it's hard to measure, progress is slow moving, probably accumulates over decades prior to symptoms being exhibited. it's a challenging disease to study and find medicines that work what's unique about donomab for us, the bar is high but it was a statistical significance, it's the deep and rapid clearing of the plagues. patients had no detectible plague by the end of the study

many of the patients had no detectible plague within the first period of measurement. this is a profoundly more powerful and potent mechanism to detect amyloid plague. >> david, just more on that. i know the patients saw this incredible removal of the plagues, that's great news they also saw some deterioration and much less deterioration. when they stopped taking it after the first 6 to 12 months when the plague was cleared, they were put on a placebo when they stopped taking it and started taking the placebo, did the plagues come back? was that the reason you saw the deterioration that came with that >> no, that's not the case, becky. amyloid plagues accumulate over 10 to 20 years prior to symptoms so it would take that amount of time to re-accumulate. we don't detect for the patients

who discontinued donomab, they did that in a blinded way. they didn't know they discontinued we could not detect the accumulation of plague in the 18-month study there might be undetectible micro levels but mostly we did this because we wanted to approve the amyloid hypothesis that's what the study, in fact, showed so while 32% slowing is impressive, it's not 100% as you're pointing out. there's other problems in the brains of alzheimer's patients but i think with this we can say with some confidence that amyloid clearly plays a role when it's addressed aggressively in a study like this >> do you think there's any possibility that the fda would see this study as one on which you could start a regulatory process or do you expect to have to finish another pivotal study,

which i think analysts are pegging may not happen until 2023 >> well, we don't know that's a judgment from the regulators they weigh unmet medical need, which is as we just discussed, quite significant here along with other factors as you pointed out, this has been kind of a treacherous field to prove results so it's natural there will be some skepticism about results. we're going to present them publicly and present them in a peer-reviewed journal as rapidly as we can to help with that problem. we'll show the state and the fda in the coming days and weeks and they can guide us would there be under their statutory authority a path to expedite to patients like they do commonly in oncology and use a second study to reinforce or should we wait for the second study for us it doesn't matter we're committed to the second study anyway we'll make a few changes to that design it's already underway.

we started it last summer in the case where we were worried if we didn't start it we couldn't enroll it if there was another drug on the market it's enrolling well. i suspect enrollment will pick up this week as well i want to encourage caregivers and patients to consider enrolling in the study that's how we move science forward. so many patients have given their time and ultimately their life studying alzheimer's disease. we need more volunteers to make more progress for the next generation i'd like to plug that here as well >> trail blazer alz 2. people are very interested in the trials i have to ask you about covid of course the opposite end of the spectrum in terms of speed of development. you have covid drugs how concerned are you about the new strains, particularly the one associated with south africa, about how well the

single antibody will still work against it >> thank you, meg. as i've said, it's been miracle science. our scientists have worked so hard last year i'm so proud of them to produce as you say not one but two euas and medicines to treat covid we're waiting on the combination approval from the fda now. under review the u.k. variant gets a lot of press because it's spreading, probably 50% more contagious although there's no evidence it's more lethal it seems clear that the single antibody from lilly and the cocktail from regeneron will arrest that just like it does the normal variant we haven't done a clinical study to that effect but we have pre-clinical data that's highly suggestive it's not going to be an issue there's a variant in japan that's likely impacted successfully with our antibody

combination and therapy. it has more dramatic mutations to the spike protein theoretically it could evade our medicines. you need to work and i think there's an op ed from dr. scott gottleib over the weekend. we need to work with a much more rapid cycle time to deploy new antibody combinations which have a large library of these antibodies that are sitting pre-clinically we could think about a very expedited path to study them in a month or two and then authorize their use. that would be -- seem to be a smart thing to do as this virus mutates. so we have an armamentarium of vaccinations not everyone will get the vaccination and respond. we need medicines for the long term we're talking to the fda long term now. >> one of the issues with the anti-body drugs is people weren't getting them have you seen any improvement

over the last month since this issue became more clear and people getting access to these drugs, the right -- folks at the right time. >> we really have, actually. so lilly shipped over half a mill doses of these antibodies down to the hospital system, the front line deployment. we produced over 1 million and have deployed those in the u.s. and other countries and initially you saw in the course of 5 to 20% immunization at the state level. that's climbing. in particular some large states like texas and arizona, big outbreaks have really stepped up and dramatically increased their numbers. maryland from the get-go was off to a great start wisconsin is doing an excellent job with sort of public pop-up centers to get the infusion so we're seeing good deployment other states, alabama, i'll point out, runs out every week and gets refilled. so there's quite a range we wish all states could learn from those practices and really use this medicine. the benefit is it keeps patients

out of the hospital, particularly seniors we know if you're a senior, you have covid-19, you end up in a hospital bed, the outlook is not good we want to prevent that. >> all right david ricks, thanks for joining us this morning. a lot to talk about. we'll be listening to your presentation later today at the jpmorgan conference. >> thanks so much, meg. >> guys, back over to you. >> okay. great. meg, thank you, as always, for bringing us this great parade of interviews. meantime, when we come back, should investors be concerned about president-elect biden's tax plan a closer look at his made in america plan and whether or not companies will be on board meantime, shares of zoom, they're falling in pre-market trading. this after the company announced a $1.5 billion secondary stock offering check out the futures right now. closing in on 2 hours before the market opens green arrows with the dow

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a provision of the tax proposal that could receive bipartisan support is the made in america plan. it has its critics robert frank joins us with more on this. this is one that probably didn't receive as much attention before but obviously everybody is looking a little more closely at the entire plan given the outcome of georgia last week what's this one all about? >> reporter: this is one piece, as you mentioned, that actually could get some at least in principle support from both parties. so he calls it the made in america piece of the tax plan and it includes both a carrot and a stick to get companies to invest more of their profits in the u.s. now on the carrot side is a 10% tax credit for investments that support u.s. manufacturing so that could be investing in a new factory or preserving an existing plant this would create a 20 to $30 billion a year windfall for major u.s. manufacturers that would be like the auto companies, boeing, chip makers, building materials, all the

manufacturers would get the benefit of that tax credit now on the stick side it would effectively double the tax rate paid on non-u.s. earnings of foreign subsidiaries so that would hit companies like apple, facebook, google, netflix, microsoft all those companies that locate a lot of their intellectual property in lower tax countries to get that tax benefit. now you would also impose a 15% minimum tax on global book income those two taxes on overseas profits combined would cost companies or raise revenue, depending how you look at it, by about 70 to $80 billion a year so that is a significant sum and it's why the tax foundation and other conservative groups basically say, look, call it what you will, this is a tax increase on big companies, not good for jobs, and ultimately not good for investment. that's why you have both sides taking opposing views of this piece of the tax

>> the tax foundation you would expect to speak of about this, have the big multi-nationals actually spoken out at this point? >> reporter: not yet you know, they were very outspoken with the trump tax cuts which, of course, cut in half the tax on overseas profits so they love that. it did repatriate about a trillion dollars in cash that was brought back to the u.s. so you would guess they would be against this but we're so far down the road in terms of even getting this as part of a bill we don't know how much of the biden tax plan is even going to come to the floor of the senate and house at this point. probably not until after the pandemic bill so it's just not clear enough or concrete enough a plan for companies to react but i suspect they will. >> yeah. not to mention that these are a lot of the same big tech companies that are facing potential additional regulations so they may want to lay low for now. robert, thank you. good to see you. >> thanks.

still to come on "squawk box" this morning, the fallout from last week's capitol hill chaos and the role of social media. we're going to discuss that and more and what's next for big tech check out the shares of amazon the company is working to remove qanon-themed products from the online marketplace amazon coming under fire for having apparel and related items following last week's attack on e u.s. capitol "squawk box" will be right back. ♪ ooh la la by cherie the moxie showerhead speaker. only from kohler.

welcome back to "squawk box" this morning overnight twitter said it suspended more than 70,000 accounts this morning associated with the qanon conspiracy while facebook said it would ban stop the steal content. joining us is christopher wylie, cambridge analytic whistle-blower one of the first people banned from facebook and we have global chair of news at twitter and former president and ceo of npr. good morning to both of you. chris, i'm going to start with you given that you lived in thee time yourself personally so the question is who should

deci decide. >> sorry, i missed part of the question i think you're asking who should decide who gets to be banned >> exactly who should decide? should this be the government or the ceos or companies themselves >> yeah. i think what we're seeing is the emergence of, you know, dominant players on the internet that have utility-like features without the corresponding obligations of a regulated public utility in my case i was banned when i blew the whistle on what was happening on facebook to u.s. laemp but at the same time we also see all kinds of other people being banned now. i think the real fundamental question is not whether or not the government or private companies should decide, but that we should create an ecosystem and rules which makes it clear what is acceptable and not acceptable on these platforms. and to a broader point, when you

regulate utilities and other technical sectors, you know, we call it big tech, but aerospace, you know, pharmaceuticals, all kinds of companies are also big tech, one of the things that we require companies to do is implement testing -- safety testing and quality testing of their products before they implement a widespread release into the public. i think one of the things that we're seeing is what happens when a company does not do due diligence on its own products prior to release algorithms, you know, play a really big role in spreading this problematic content and in that sense, you know, i think if we were to implement more utility style regulation of these companies, they would be required to do testing of these products to understand their behavior prior to releasing them to the public. >> hey, vivian, let me ask you this we've been wrestling with this on the program for the past couple of days

do you look at these companies, twitter and the other social media companies, as a public square, as a place where you will -- your view ultimately will be sensored by a company and is a freedom of speech issue or do you say to yourself these are private businesses and they can make their own decisions >> the technical matter, of course they are private businesses and can make their own decisions but they are also public squares without a doubt i want to separate the current emergency we're in from the medium and long-term solutions that we together need to grapple with over the course of the next year we are in a moment of national crisis there are people who are using these platforms right now to organ armed insurrection where we know from intelligence that has been reported that there are going to be ongoing attempts to assassinate public officials and cause widespread havoc this is a national emergency and

i think the platformsare doing exactly what they need to do to stop -- to preserve our democracy and stop that from happening. that said, when we get past the crisis, there is going to be a reckoning that needs to happen around how -- what we do with this kind of weaponization of platforms for people to organize for violent means. >> vivian, let me just follow up and ask you this i should say up front i think there's a false equivalence even with the question i'm about to ask and it pains me to ask it but i'm asking it because i see so many people online saying things like this they say, well, you know, there might be protests and unrest or worse this week but look at the unrest that took place over the summer look at all sorts of other scenarios. as i said, i think of it as a false equivalence, but what do you tell those viewers >> of course it's a false equivalence. we're talking about the first amendment protected rights for

people to express their opinion to gather, to protest and attempts to overthrow the government, which is effectively what we're seeing with this insurrection these individuals are trying to overturn a lawfully conducted election for the president of the united states so, i'm sorry, false equivalence doesn't even begin to get at it it's sort of a ridiculous concept. >> hey, chris, you were talking about trying to set rules of the road, if you will. the question is can you really set rules of the road that can be followed in real tieme given that this is a real time medium? >> yeah. so i think this really gets to a really important point, which is that we really need to bring silicon valley and these digital platforms into the norms of regulation that we see in other technical sectors.

so what i mean by that is when you look at standard practice in other sectors, testing of behaviors of new technical innovation is often a requirement prior to release into the public and so when we look at the, you know, long standing behavior of some of these algorithms to disproportionately preference disinformation, hate speech, et cetera, this shouldn't be caught in some kind of due diligence process on the platforms when we ask the question how can we regulate a technical sector, we do it all the time and so just because it's, you know, at scale and it's in real time, that doesn't give these companies a pass to say, well, it's complicated, we'll just leave it there imagine if we let another technical sector use that excuse we wouldn't accept it. >> the entire business model is

complicated. i'm not making excuses, i'm trying to think technically how you can do it. >> sure. >> it's one thing to regulate a media company and the conversation we're having -- >> it -- i don't think just because it's complicated is an excuse you know, these are companies which are making profit off of this really problematic business model and this problematic technical setup. just because it's complicated -- i don't care if it's complicated. it has to be fixed and my point to any of these companies, you know, to that point would be, well, if it's complicated, why didn't you do testing prior to releasing it to the public why didn't you do, you know, a diligent job at what are the potential risks of harms that you may be exposing to individuals or society prior to release of these products? >> hey, vivian, you've lived inside the belly of the beast or the belly of the bird at

twitter. does jack dorsey get it? is it possible to do what chris is recommending? >> yes, it is certainly possible these tech companies have some of the most brilliant engineers at scale in the world so i think it's -- but i think we need to look beyond just the technical issues do the ceos want to -- do they get what's going on? yes, without a doubt they get what's going on and it's complicated because you can't disaggregate the impact on their commercial business models and the impact on their reputation and the risk of regulation, particularly with democrats in the white house controlling both houses of congress so, yes, they get it i think we're going to see serious action we need to get past this current moment of emergency that's going to extend but i also want to raise a point. it's not about the platforms the bigger issue is the cloud computing and app stores that's a much bigger crisis to

the platforms than just the individuals on them themselves that put them out of business. >> vivian, we only have 30 seconds. let me ask you about that, which is do you believe that now -- now -- has the responsibility, quote unquote moved up the stack now that google, apple, aws are having to effectively police the apps are they going to have to do that across the board? >> it's a moment of reckoning now. it's moving all the way up the stack including to the companies that are deciding whether or not they're going to continue to put their ads, whether they're going to support politicians this is really a moment of reckoning across the board that is going to have to come to some kind of resolution very soon >> vivian, chris, thank you guys so very much for joining us this morning and offering your perspective. talk to you soon becky? when we come back we've got stocks on the move this morning and then market historian jeremy siegel on the markets and what investors need to know about right now. he'll join us in a little bit. later this morning pfizer

ceo albert bourla will join us from the jpmorgan health conference "squawk box" will be right back.

. welcome back to "squawk box. a few headlines this morning deutsche bank will no longer do business with president trump or its companies following the january 6th assault on the capitol according to a person familiar with the matter who spoke to nbc news. walmart and investment firm ribbit capitol will create a fintech startup. ribbit is the firm that backed trading platform robinhood and personal finance company credit karma. astrazeneca's vaccine could come by the end of january

andrew >> okay. thanks, joe. when we come back, wharton school of business professor jeremy siegel will join us after the break. we're going to talk stocks, tech stocks, inflation trade and so much more. in the meantime, take a look at futures this morning. a little under 2 hours before we open open up 71 points higher s&p 500 looking to open up 10.5 points higher. ckft ts.ba aerhi ehicle is almost at the finish line today we're going to fine tune the dynamic braking system whoo, what a ride! i invested in invesco qqq a fund that invests in the innovators of the nasdaq 100 like you you don't have to be a deep learning engineer to help make the world a smarter place does this come in blue? become an agent of innovation with invesco qqq

welcome back to "squawk

box. i want to get over to dom chu with the top market movers. >> good morning, andrew. let's kick off with shares of aflac. the biggest premarket gainer up 3% relatively thin volume so far. the supplemental health and life brand. they got a $53 price target. they think investors are underappreciating the outlook. and there's a strong covid recovery play with vaccine rollouts leading to more sales efforts. next up shares of charles schwab due in part to an upgrade by analysts at bank of america. it goes up to 68 bucks from 52 they think schwab's poor business trends and growth remain healthy then we have shares of nio which are over 2 million shares of volume not helping matters downgrade from neutral to buy.

it gets raised to $68 and change from 46 and change they cited among other things more competitive pressure from the likes of tesla and the possible slowdown in sales for the coming months. remember, this is a stock that has gained nearly 1700% in the last 12 months those shares down very, very small 1%. >> dom >> yes, joe. >> i don't have a golf question for you, but i have a broader sports question for you based on the stocks that you just talked about. are you prepared for this? >> i'm -- well, as prepared as i can be for your questions, joe. >> do you know who the spokesperson for aflac is at this point >> do you mean one of the spokespeople or -- alabama football coach nick saban? >> you do. he's on all their ads now. >> yes. >> he's on all of them now he's getting better. a little stiff but does it matter and i think that's why the stock's up as a spokesperson after last night, that's 7. 7. has anyone ever won 7?

no one's ever won 7. >> you look at his legacy compared to fair bryant's. he's a fantastic coach, a lot of championships there. devonte smith, the heisman winner he didn't play the second half 3 touchdowns, 215 yards. that was a ludicrous half of football by a football player. >> who's going to get it one of my producers said the giants have to get him we were talking about a lot of business news. that was business. >> i think he was a top 15 pick and last night it made him even a top 10 pick. >> trade for that and try to get him. i don't know, it would be good if he had a great quarterback with him too anyway, i thought i'd mention that it's business. aflac. nick saban is the front person at this point. like in a band, like axle rose >> we have a trivia question from them at some point in your show. >> yes, we do.

aflac. aflac. >> i like how the duck takes the pointer, joe the duck takes the pointer and circles his shirt. kind of throws him out nick saban -- really but saban was talking ied with bryant until yesterday amazing. >> it is guys, joining us right now to talk more about the markets is wharton finance professor jeremy siegel jeremy, great to see you this morning. i think i want to go back from what i think i'm nderstanding from your notes, we spend so much time talking about the incoming administration and what the changes will mean, i think you're more focused on what the fed is going to do with the markets? is that an accurate assessment >> or what the fed has already done i was on the program last may and said this unprecedented increase in liquidity in the money supply was going to feed the market in 2020 and in 2021

and, you know, the new set of stimulus, the expected more stimulus under the biden administration is going to need mo feed more liquidity. i do believe there will be tax increases. they're going to take away in other words, biden is going to say, yeah, we're going to keep business booming but it's not all going to go to the corporations we're going to take some of that back that's the balance, but the market wants to look at the favorable side right now, which is the stimulus, and it's already in play. it's going to happen it's going to boom the vaccine is being rolled out, slower than we want but it's going to be a big boom this year and that's what the market is expecting and i think they're right. >> you mentioned that the market is tending to focus right now just on the additional stimulus that's going to come, what the fed is doing, they're not paying attention to the taxes just yet. do you think there will be a pull back or the gains we're

seeing, do you think that's valid even with the tax increases that we do anticipate will come? >> i think the rise is going to continue i mean, the trajectory there are some people out there that said, oh, no, he's not going to be able to get the tax increases. it's too close at 50-50. he will get those tax increases done i don't think it's going to be the entire -- i'm almost certain it's not going to be that entire plan that he put forth before the election, but a lot of it will be there. we know about ups and downs in markets. at one point later on people are going to say, whew, maybe we got too excited and i think we'll see a cooling off at that particular time, maybe even a correction in the market that still looks probable for me

i think the treasuries are going to be the single worst >> you see interest rates. the ten year spread. the level hit. >> 2% on the 10-year high. in 2022, i really think far above the fed target it's 2 and a half.

they don't have the ability. >> bonds are looking like the worst place to do that the major reason why it was anticipated. in hours you're.

>> there is no alternative it's going to grow and grow and grow. >> i think it's worth trying to figure out. >> maybe not and, you know, again, there's going to be compromise there's cooling off.

biden put forth and the unemployment it shows the democrats don't want to have personal spending this year. we're going to see right on that >> number one on the agenda. >> professor siegel, thank you we hope you to have it >> coming up

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>> watching the push by house democra democrats. are we about to see it, a coronavirus vaccine, we're going to talk about the jab. >> good morning to "squawk box."

u.s. equities. >> jeremy siegel. we've done fine historically and anywhere near 3% still seems pretty friendly for stock prices, becky. >> yeah. as jeremy pointed out, it makes stocks all that more attractive as you're getting out of bonds and fighting inflation you can't keep it in cash. in the meantime, here are some of the stories that investors are going to be talking about today. house democrats planning a vote tomorrow to impeach president trump unless he resigns or vice president mike pence moves to force him out of office using the 25th amendment

trump faces a charge of incitement of insurrection after a group of supporters he's been speaking to rushed the capitol five people died as a result of the violence in the meantime the fbi is warning of possible armed protests in washington and state capitols in all 50 states and the run up to president-elect joe biden's inauguration the national guard has been authorized to send up to 15,000 troops to d.c. the corporate response to last week's riot continues facebook is banning the phrase stop the steal from its platform pointing to its use and organizing events disputing the election outcome that could turn violent. twitter says that it has suspended more than 70,000 accounts devoted to sharing content from the qanon conspiracy movement. qanon are part of the mob that stormed the capitol. they are removing some qanon products from its site. before it winds down, the trump administration likely to recommend allowing more people

to get the coronavirus vaccine that's according to a source who spoke to our own meg tirrell meg tirrell joins us with that and also a very special guest. meg? >> reporter: well, thanks, andrew that change in policy could come as soon as today we are hearing that the administration plans now to recommend to states that they open vaccinations to everybody age 65 plus. this was first reported by axios. we are now seeing also reporting from bloomberg saying the cdc director will send a letter to governors to this effect today so we should hear more about that that amid pressure about a slower than hoped for vaccine rollout. joining us is one of the premiere vaccine makers in the pandemic pfizer ceo albert bourla and so much more from the jpmorgan health care conference. thank you for being with us this morning. talking about the idea that more people could become eligible to get a vaccine, that just puts more pressure on you and moderna

to manufacture these doses tell us about how the manufacturing is going and your confidence in being able to keep up a steady pace >> thank you very much, meg. first of all, let me say if this is true what we are hearing, this is very positive. i think this is exactly what needs to be done and i think so far i don't think that we have an issue of offering less vaccines than the countries frankly need we have much more than they can use right now so i think the main bottleneck right now is to make sure we ramt p up operations to administer vaccines when it comes to our ability to manufacture, yesterday our partner already announced what i'm going to announce also myself today, that we are very confident that we will increase dramatically our production for this year up to 2 billion doses and we feel comfortable we will be able to deliver that. that was the result of multiple

steps that we took but this is where we are right now so i feel very comfortable that the context we have with this government we will be able to deliver on schedule. >> well, you just mentioned you have more vaccines than are being used right now, and that's sort of mind boggling because we thought it was going to be the opposite problem, everybody would be pounding down the door and there wouldn't be enough supply what can you tell us about how much you already have made sitting there ready to go once the gates are open we do understand that the policy change today could include releasing some of the doses that are being held for a second dose >> yeah. at the end of last week, of 2020, for example, we had already manufactured more than 70 million doses and we had released from there, because there's a quality control that we need to release, around 50 million doses. then we manufactured more the first week of january. right now i think we have

released 33 million doses and we have, let's say, half of what we have manufactured sitting on the shelves. >> it sounds like from your increased forecast for how much you can make this year, now up to 2 billion doses in 2021, that's up from 1.3 billion, we understand some of that is because of this fortuitous finding that there's an extra dose in those five dose viles, that accounts for 20% of that. your manufacturing seems to be going better than you expected should we be expecting an increased pace of output for you on a steady drum beat throughout the year >> yes this is what -- i'm very confident this will happen much higher than what we had forecasted before and to the tune of going from 2 billion we have 6 doses in the vile was the result of data but also we generated and we submitted to all regulatory authorities

the six doses have been approved by fda, european authorities, w.h.o., israeli authorities, you name it, so basically the entire world is using our six doses we have done tremendous steps to improve production of lipids, production of the drug substance in our manufacturing sites we did a lot of things actually, i have to say that what our manufacturing team did was almost another miracle following what our research team did to bring this vaccine in such record time they are scaling up manufacturing in speeds that we didn't think that were possible so they are also making the impossible possible. >> yeah. albert, that has been no small order on either of these fronts. we've been absolutely amazed what your scientists have done, what the manufacturers have done in being able to get this out there.

when you talk about the 50 million doses that you alone residential released last year and you consider that's not the only vaccine out there and then you realize only 9, maybe 9.5 million americans have gotten a shot to this point, we talk all the time about the bottlenecks where are the bottlenecks that you see? >> to make sure the market was global in the u.s. we offered to u.s. 20 million doses but as you said, today less. bottlenecks in the execution i think they are gearing up to fix them i think it has to do with how centers operates with states it has to do with some of the policies that they are implementing there are reasons but they are debatable. bottom line, they are trying to improve right now this because everybody feels that this is way behind what they wished to be. and i feel confident that within

let's say a month or so we will be able to reach the level that we always wanted. >> albert, it's meg again. you know yesterday the governor of ichigan, gretchen whitmer, wrote a letter to secretary alex azar requesting permission to buy 100,000 doses directly from pfizer do you think that that would step in could you do that with permission from hhs, sell directly to states could that fix some of these bottlenecks? >> i don't know if that would fix some of the bottlenecks but it looks like the governor believes so. right now we can't it's up to hhs to indicate to whom we can sell as you know, we operate under a special emergency use authorization in the u.s. so if they permit us to do so, we will, but they need to agree on it >> albert, it's a small issue,

but i'm curious just from a corporate governance decision what you made of the decision by moderna and their team to go ahead and vaccinate all of their senior level employees, their families and also their board members and their families >> it's not appropriate for me to comment what moderna or any other company are doing. i respect all of them enormously i'll tell you what we do and what we do -- i didn't get the vaccine. we had to receive the license for me to get the vaccine because i'm now without knowing or without wanting it a public figure but to enhance the confidence by me taking the v vaccine but i didn't do it because, you know, what if someone was telling you you do it, you cannot do your colleagues, you cannot do so i feel the same. why should i do it when my leadership cannot do it and why

the board should do it when our other employees cannot do it right now we received the license to vaccinate in pfizer the essential workers and the essential workers are the people that are working in the manufacturing sites, producing all these medicines and the research sides and we started already doing that this will be a number of 30,000 approximately people of the total of almost 80,000 employees and contractors that we have in pfizer and we do not plan to vaccinate -- prioritize, let me put it this way, our executives or board members ahead of our essential workers. my -- my doctor told me it's not nice to capitalize ut the l. we'll wait our turn. >> i think there's going to be a lot of debate especially if

you're an essential worker, albert what's to come next around data around the vaccine you haven't stopped working on it when are you expecting data whether it prevents transmission what do you expect about the durability of the transmission i understand you and your partner biontech are working on new formulations so it's more stable, stored not in those ultracold freezers tell us what's next. >> all of those are very good questions. i believe that beginning of february, somewhere there we should know about the -- your first question was about the -- >> transmission. >> transmission. we should be having an update to be able to know if that is the case regards new formulations, yes, we are working on new formulations for months back we were started designing the life cycle of this vaccine, what will be the next

better we're thinking how to make it more effective frankly, we reached a level of effectiveness that can go better so right now we are focusing all our efforts to make it simpler to transport which means you can use not ultracold chain but with a different path of temperatures, although also this has proven to be done given the logistics to transport the vaccine. the duration -- and i wanted to finish by saying the duration of the activity is something that we don't know yet. i think we will monitor all of the subjects for two years to see for how long they remain protected and we will release this data when we have it. >> albert, the unfortunate step

of cutting the line, i hope it never gets to the point where some of the slow rollout that we're seeing, that you're even talking about, isn't because there's not a 75-year-old or a fireman that needs it. hopefully there's always lines and there's someone to get the vaccine if the vaccine is available. you can imagine if that's not the case if you had taken it an of your employees, everyone who got it suddenly is a person who can't give it to somebody else and every time you don't do it when it's sitting there on a shelf and there's no 75-year-old just sitting there waiting to get it, there could be someone that's old and gets it from one of the people that you decided you didn't want the stigma of the cut line and dies from it. so it just seems like the -- once again we're talking about the perfect being the enemy of the good, we should do all we can to get the people who need it the most, but anyone who gets

it, even if it's inadvertent or somehow out of the guideline, that person can't give it to somebody else all of a sudden. do you see what i'm saying i mean, this hyper awareness of who should get it and who shouldn't. that's fine as long as that's not a part of what's keeping it from being rolled out more quickly. >> i think you have a very good point and i believe there are a lot of people that are telling me the same. keep in mind, that i didn't expect that we would have more vaccines in the first months than we are administering, which is a very good point that you are raising. also keep in mind that more or less now we are moving already vaccinating 30,000 employees so i think the time will come that i will get it i can't tell you how much i want to get it and how much i want to give it to my family, but as i said, i felt that demonstrating some -- some let's say humility

or demonstrating some respect to the order was essential for me, and it is who i am >> albert, we have to let you go, but we always have you on and we can't resist asking you a million questions about the vaccine because it's what's going to get us out of the pandemic you are presenting at jpmorgan and you will be talking about the company and the transition choose your favorite pipeline product that you want people to know about that pfizer is working on as well >> if someone asks parents choose your favorite child, how can you do that? i think there are so many in all areas, but i would say that our vaccines pipeline is fascinating. i would say that we are about to launch our first new generation

and i'm very excited about that. the dmd disease, the muscular dystrophy program now looks like it's not only best but also first in class or could be, could be, best and first in class, so we're very excited about this program so there are so many that we need maybe the entire time of your show to discuss this pipeline so many diseases with significant solutions. >> absolutely. albert, we know you called your vaccine effort project life speed and we're sure you're applying the rest of the speed and focus to the rest of the pipeline thank you for being here >> thank you very much >> meg, once again thank you and thank you for bringing us, as i keep saying, this remarkable parade of interviews and the parade continues on cnbc today

from the jpmorgan health care conference meg's got a lot coming up. ceos of know vart tis, labcorp ceo will be on "closing bell." the ceo of twilio weighs in on the industry backlash on president trump following last week's riot at the u.s. capitol. first, a few of this morning's top stories. deutsche bank and the biggest headline, not going to do anymore business with him or his companies following last week's raid walmart and ribbit plan to operate a new fintech stock. stay tuned, you're watching "squawk box" and maybe more otto motto peya

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still to come this morning, we keep asking the question but that's because it keeps needing to be asked. can anything stop tesla's meteoric rise. we'll ask another question, is the sector significantly over valued stay tuned you're watching "squawk box" and

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we've got some news just breaking to tell you about las vegas sands says sheldon adelson has died from treatment of nonhodgkin's lymphoma he was 87 years old. he had a huge influence on las

vegas. had a huge influence on politics he was one of president trump's great supporters becky? >> yeah, obviously shocking news to hear this coming today. again, sheldon adelson passing away at this point we're very sorry to hear it. let's talk a little bit about some other news out there today too. the electric vehicle sector is one of the hottest parts of the market and it's not just tesla take a look at some of these stock moves. chinese automakers lee auto and xping have doubled while battery maker quantumscape has grown nio has risen too. joining us is gordon johnson, the founder and ceo of glj

research and gene munster. i'll start with you. let's talk about the sector. do you think the ev sector is over valued? >> i want to start with an important learning that i've had in tracking these transformational tech themes and it's they tend to take much longer than we anticipate to come to fruition and in the end they tend to be much bigger than what we ever could have imagined i think a great textbook example, and i think an indicator about how to think about the ev market is think about what happened at amazon. it went from $3 to $90 and then it blue up and went to $7. today it's $3100 perfect use case so when i put this together and think about ev and autonomy, this is a massive market the transportation market, car market's 2 trillion. the bodder transportation is an additional 2 trillion.

$4 trillion. that compares to the smartphone market at $500 billion it's understandable the enthusiasm around the stock. this will take longer than people think i would put it altogether, becky, and say this. if you're trading these stocks for a one-year time horizon that is a dangerous endeavor. ultimately if you're investing in these companies for three plus years, that's wise. >> gordon, you've got a much dimmer view of all of this you think it's gambling at this point. gene makes the point if you are looking at it short term you could face pretty significant ups and downs along the way. what do you think is longer term for the ev market overall? >> i think the ev market is a massive bubble let's take tesla if you look at europe, we have sells for this year. europe, u.s., china. europe doubled in size this year tesla actually saw its total volumes in europe fall why is that important? europe is the only market with

competition. when you see competition tesla is being outsold the id 3 which is vw's new ev3 is selling more and the titan and the audi etron are selling more than the s&x in the luxury market if you look at the ev market it's only 1.8% and that's despite 4.7% in 2009 despite billions of dollars of incentives take a step back and look at nio. this is crazy. nio stock is trading on a market cap of 98 billion above vw nio sold 47,000 cars this year nio is going to sell 175,000 evs. another thing is you have to look at the details. nio is effectively promising people a free battery if they buy their car. that's roughly 30% of the cost of the total car look at the margins of this

company. you're talking about margins that are going to be grossly negative buy this stock for three years we think people are being misled and we think as the competition comes in, we think guys like tesla and nio who can't match the manufacturing prowess of the vws and gms are going to literally get crushed. what's driving this market really is you see a lot of retail traders trading options that shouldn't be. you sign up to a robinhood account, you put in $2,000, you talk about 11 times leverage if a guy puts in $1, the guy riding that option has to buy $11. that's driving the stock market. that's enabled by the fed. when the fed cuts rates and stops all of this money printing into the market, we think you'll see a number of bubbles explode including the ev bubble. >> that's a lot to kind of go after and -- >> i'll take one piece of it. >> is it the stimulus checks and the fed that are driving these

>> let me maybe go back and take one piece that is a passionate view i can appreciate what's happened in europe. tesla's cars are too expensive for many countries in europe right now, that's a problem. that has impacted market share ultimately they're going to continue to reduce their car costs, their existing lineup and come up with a model two eventually that's a year or two away. i think that will revert they've maintained 80% market share in the u.s maybe instead of going line item by line item i want be to bring the conversation back to a very big picture. this is how i think about investing. is the car industry going to be turned in the next decade? this is the substance of the tee bait is will tesla and nio and some other companies have tech leadership i think they fundamentally do. we break down these cars we look very closely at what the other auto companies are doing and i think volkswagen's made a

lot of progress but i think the other car companies are going to have a tough time and you start to layer in apple is going to come into this market too. this is not hype around what's going to happen around transportation it's going to be the most obvious and impactful way that tech is going to change our lives in the next decade yes, there will be massive swings in some of the stocks i see a new form of leadership coming out of that with companies like apple and with nio, tesla >> let me just ask you, gene if we do see more and more adoption of ev vehicles, even if we meet some of those really rosie expectations, how much of this is predicated on the idea that tesla or nio or these other companies will control the market share what does that mean? are you thinking that the gms and toyotas are not going to be able to get any piece of this? >> they'll have a piece. you'll see companies that have been around for 100 years be a much smaller piece i think that some of them may

even go away in a decade it was blasphemy to think that nokia and blackberry would go away when apple got into the market that was i think an important learning for me. just because companies have been around for a long time doesn't mean -- those companies are complicated. their work force structure, dealer networks, technology they have, they're not software poor networks the vertical integration has been a powerful plus for tesla, nio, it will be for apple when they get into transportation i just think when you put all of that together, yes, to answer your question, i don't know where -- who is going to be the winner within these other companies, the existing auto companies, but i suspect they're in a tight place and it keeps getting tighter and last quarter overall auto was down 5% less la up 61% i think that's an indication. >> gordon, letme just ask you really quickly tesla and the other ev companies have defied all odds, every

argument you laid out against them, they run right through it. would it surprise you if they continued to run this entire year >> i've got to disagree with that if you look just at stock price, yes. i want to focus on gene keeps talking about technology everybody said tesla has a technological advantage over the years. that's completely false. they don't make their own batteries. they buy from catl, panasonic. anybody can buy the batteries. i can send you five tests where tesla doesn't outrange other automakers he's saying tesla is going to rule the day -- >> i was looking for a quick answer on the stock. we're out of time. >> no, i just think, again, if you look to europe where we see competition, tesla's market share went from 20% to 7%. that competition is coming to china where their market share went from 25% to 12% and you'll see it in the u.s. when you see competition, tesla is getting beat. when you say they're beating every estimate elon musk said in

2018 they were going to sell a million cars next year. >> gordon, i'll ask you next time for a quick answer on the stocks >> they missed the estimate. you need to focus on what's happening versus just the stock price. >> except for the investors care about the stock price and that is very difficult to track which way it's going to go anyway, gentlemen, thank you both for your time gordon and gene, good to see you. coming up when we return, the tech industry's patience with inflammatory rhetoric from president trump wearing thin over the past few days could the next chapter be a partisan divide from customers and tech firms they think is on their side ideologically we'll have a conversation debate when "squawk" returns. ♪ ♪

welcome back to "squawk box" this morning right here on cnbc. facebook, twitter, other social media companies have either banned or restricted president trump in the wake of the siege on capitol hill. meanwhile, apple, google, amazon have kicked alternative social network parler off the internet. talking about the worrying possibility that different political camps could get pushed to different sides of the internet each with their own

platform and products is twilio chairman and ceo lawson. ask your developer it's great to see you, jeff, this morning congratulations on the book. i have so many questions about that, but before we even get to that, i need to ask you about what's happening in the valley right now. specifically, if you can take us behind the scenes of your own actions as it relates to parler over the last, say, 72 hours >> absolutely. look, i think it's pretty straightforward. actions matter words matter in the society for the functioning of society and that's why companies have terms of service, acceptable use policies to say, you know, what can you do how can you use these products and you know in the offline world it's pretty obvious. you can't run into a movie theater and yell fire. you can't walk into an ice cream parlor and yell racist epithets

and expect to still be a customer of those places online companies are doing the same thing. >> what's so unique and interesting about this is the responsibility or this decision making has moved up the stack, if you will. it's now gone to the landlord in many ways, and that's somethin we haven't seen before it used to be that the manager of a store, if that's the analogy we're going to continue to use, would decide who to let in the store now we'll talk about whether the landlord believes the manager of the store is responsible >> well, it's really the same concept, right because if a company is hosting content that is essentially doing the same thing as -- you know, that you prohibit, what do you do if they in good faith are going to police that content and try to control it, that's a different story. but if they say, look, we're not going to control it, we're not going to attempt to control it, then they are responsible for

the content on their sight in the eyes of a terms of service or acceptable use policy. >> what do you tell viewers who say, look, it doesn't seem like these things are being looked at in equivalent ways there's all sorts of hate speech and other terrible things that go on on facebook, on twitter, clearly on places like sick nal and telegram which are encrypted so the platforms the landlords don't even know about it. >> well, i think there are differences. there is a difference between a company who prohibits that speech and policing it, yes, is difficult and imperfect. if you attempt to police it, there's a difference between that and not attempting to police it or saying that that speech isn't welcome on that platform the other thing i would say is doing all of this with all of this content out in the public realm where you start to indoctrinate other people, you could sign up for many different services like parler and within minutes be subject to this content without looking for it that's differ than the private

communications of a small number of people in which there is more of an expectation of privacy >> what was your conversation like with the parler team as you were effectively threatening them and then eventually taking them offline >> well, when we let them know that they were in violation of our terms of service and we gave them several days to migrate, they voluntarily suspended their integration with twilio. >> and separately, what do you make of this larger debate that seems to be happening, we have it on the screen as a red and blue internet, that somehow some day we are going to have a -- not just a splinternet between the west and china but a splinternet right here in the united states with certain companies, maybe oracle taking on more conservative voices. is that a straw mat or is that real >> i think that's a straw man. we're not talking about red

versus blue, republican versus democrat there's a wide spectrum of voices that are legitimate, welcome, needed in a society to function well. you need that plurality of voices in order to function and have the best ideas actually emerge from that what we're talking about from here is hate speech, threats of murder, things like that that is not really normal public speech that we are used to in our society. this is fringe stuff and what we are trying to say is look, the minority, vast minority of people engage in fringe talk of hate speech and murder and overthrowing governments that's what's not allowed. i'm pretty sure that most rational people would agree that that type of content, most of which is illegal, should not be part of these mainstream services >> jeff, let me connect the conversation we're having right now to your book, if i could, in a way, which is one of the things that's spectacular about your book. you have an amazing story coming from aws building this story which is worth $58 billion, more

maybe. you know, one of the things you talk about is how the cloud changed everything and effectively allowed startups to build off of these platforms and companies like yours and others have given them features and things that they couldn't do on their own. as a result though, companies in a very unique way are reliant, both in good ways on companies like yours but also reliant potentially in bad ways insofar as there's now a control factor that's very different than it used to be when you had your own server, when you had to build your own product in fact, the only person you probably had to deal with was the landlord >> well, the issue -- >> many landlords if you understand what i mean >> there were always landlords people used to have cages where they rent servers. there's always people you have to interact with every business has dependencies, vendors, people they work with you know, i think to have common

standards of decency for a society to function is just normal that's always happened the thing that's changed though is that in the modern digital economy pretty much every company needs to become a builder of software to win we're witnessing a darwinian struggle of companies to win in this digital age the way they do that is by building great digital experiences on mobile phones and websites the way we as customers experience most companies now is a digital one. in order to win in that world you have to build software think about companies who win in this digital age, companies like amazon, google, facebook now every company and every industry is having to go through that transformation. that's what people talk about when they say digital u unlock actually making that possible? software developers. ask your developer in my book is

the playbook of how to unlock this talent. interestingly enough -- >> jeff, can i -- >> uh-huh. >> one question though about ask your developer, and i've dealt with this myself as a layman who's not a developer who's trying to work with a developer, it's often very hard because you don't -- for those of us who are not steeped in it, you can ask a developer to try to do something you want, they can explain back what they want to do, how they can do it, but when you don't have the same common language or understanding of what to actually required, it's very complicated. >> you are not alone in that observation. in fact, this book is written for you. this book is for executives and other business leaders who aren't technologists to give the common language of how do you work with developers to do what actually you both really want to do in fact, developers and business executives i find have the exact same goals, to build amazing

products that will win the hearts, minds, wallets of consumers. what ask your developer creates is how to go about working with developers the good news is you don't need to understand the technology to be successful in working with developers all you need to do is share the problems that you're trying to solve with those developers. what's the business problem? what's the customer problem? and then unleash the creative's problem solving inside the developer's to go build amazing things and that's what's so cool about this mindset you don't have to be a technologist to pa experiences >> jeff lawson congratulations. the book is called "ask your developer. thank you for coming on. look forward to talking to you again. >> thank you. >> joe coming up, much more on the markets. futures right now as you can see have moderated some of their gains. we'll have jim cramer's first take on the day.

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for a changing world. ♪ch-ch-changes let's get over to cnbc headquarters and check in with jim cramer jim, we spent a lot of time on the show this morning talking about vaccines, where the bottlenecks are, when we can anticipate more dosage, when they can get out to the right

number of people there are so many problems with it i know you've been following it closely too. i still wonder if you think gett maybe in february or right after this where we have an actual glut of vaccines, and not a glut waiting to go into people's arms but a glut of vaccines because everybody who wanted one early on got one when do we hit that point? >> i had emergent bio on last night. they're kind of a company that makes a lot of vaccines in conjunction with companies that are wanting vaccines in scale, and they were very optimistic that by the end of february we would see this dr. gottlieb said this it's hard to believe, but when i listen to the excellent pfizer interview, making it isn't enough warp speed worked to make companies insented to build something that wouldn't otherwise make money

we haven't figured out the back end. my hope is the disorganization ends and we start putting the vials in before they go bad. j&j, confident they'll have something mid february or maybe eerlier when they report you can only be heartened by the fact that the companies themselves have done a good job, but the president made it to a state by state system. some states are good some states are bad. it sounds comical. are you in a good state or bad state? can i move to a state? we're a federal country. i mean, if someone is doing something good, maybe everybody should do it but we've all kind of accepted mediocrity it's our time to be able to say this is absurd and that's what it is. that you have the vaccines, but the people can't get it. it's really pretty silly >> yeah. i hope this changes. i know you have been watching the jpmorgan health care conference very closely.

i listened in to some yesterday, too. i mean, never been more interesting or exciting. never been prouder to see the progress at some of the companies. >> science is great. the distribution of science is terrible >> right jim, thank you we'll see you in a few minutes when we come back, what to watch in the markets when the opening bell rings today plus, what sectors are teed up to dominate 2021 our next guest has a few ideas quk x"ilbeig bk.

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breaking news on covid-19 vaccinations a seep your trump official telling cnbc that new guidelines will be issued today that will expand vaccine eligibility to everyone 65 years of age and older. the official said a focus by state on health care workers and nursing homes has created a bottle neck, and that the states need to expand eligibility the guidelines set to be announced at a news conference today. becky, so it's done in new jersey are we going to get a call, 65 come on in the calls i get -- >> we're not going to get a call 65 come on in. >> you two won't, and me being 40, i won't. but seriously -- >> i think this is great news. >> yeah, but do they follow it my question is do they have to follow it? >> i have no idea why it takes them such a long time to get up to something that's common

sense. >> my question is do they have to follow it that's my question am i going to get a call that says it's no longer just 1 a >> no. the states all get to pick and choose what they want with this advice that's the problem we need this to be federal mandates and say you have to do it this way. >> i don't know what it means. they're saying you should do this, but when they're still stuck in 1 a and 1 b is 75 they're not even there yet in new jersey all right. let's get to the markets now joining us now is paul makes, portfolio manager at independent wealth solutions management. i have no idea how old you are i would never ask that i think it's boarish and not nice, paul, but i will ask whether you think the reopening trade is definitely going to take over this year and supplant all the winners from last year

i don't think you necessarily think that >> that's right. first of all, the answer is 38 now -- >> again >> dog years, maybe. >> for the second bit, the average tech stock in 2019 and 2020 was up over 40% so i don't expect those returns to continue, but if we were to get together a year from now and we're looking back at 2021, i'm fairly confident that among the 11 economic sectors that comprise the s&p 500, they'll do well again may not be number one, but i think it will beat the overall market, and by default, beat most other sectors when i talk about tech, it's not just the semi conductors, the software and hardware companies we're familiar with, but also within consumer discretionary you have the e-commerce. folks like shopify and driven by

amazon within the communication services companies, you have companies like facebook and google, and the reason that i worry a little bit more relatively speaking about those companies is because google and facebook as we know are under regulatory assault but overall, i think it's going to be another good year for tech not the same kind of absolute returns but on a relative basis, we beat the market again >> you could be famous more famous so we got to remove some of the letters in the common acronyms put together a new one with a vowel somewhere so we can pronounce it what would it be >> i don't follow you. say that again >> really wasn't that tough. fang stocks. you don't like facebook so you don't like some of the letters in the faang stock acronym can you give us a new one and what would it be >> yeah. so within the faangs, i do like amazon

i do like apple. not so much the others now. >> okay. that sounds like aa. >> and the other stocks that i like, i'm a big fan of semi conductors driving the technology sector going forward, because they are a cyclical beneficiary, and my favorite, joe, is micron, mu they do memory chips and right now supply is constrained, but demand will explode particularly with the ramp of 5g wireless last year the company earned about 3 a share. at the peak of the next cycle i think they earn 12d a share. also another -- >> real quick. five seconds >> so the last one that i like is probably alibaba which just like facebook and google in the states is under regulatory assault by the chinese

government >> good. all right, paul. >> once they resolve their issues, it could do very well. >> very good you started at the beginning of the phone book and stayed there, but we appreciate it all right. we'll see you tomorrow make sure everybody joins us squawk on the street is next >> good tuesday morning. welcome to ""squawk on the street"" i'm carl quintanilla with david cramer the house is set for impeachment proceedings and the u.s. is expanding vaccine eligibility. our road map begins with the corporate backlash more companies distance themselves from president trump.