welcome to "power lunch. josh brown is going to join me for the hour in just a minute. here's the 2:00 takeout. the dow hitting record highs even with the number of americans filing for jobless claimson the rise as wall street waits for president-elect biden to unveil his stimulus plan later today

and twitter ceo talking about banning president trump, and then we will talk about the social dilemma facing these companies. and then a new space etf sending it higher. we start with stocks at record high, and for that we go to dom. >> the nasdaq as well, and throw in small caps and transportation stocks, and the dow industrials and nasdaq get their yellow stars up over here because they both hit record highs. we are seeing a bit of catchup trade trying to happen with the white line, and that's a long way to go to catch up with the s&p 500 and the nasdaq composite. take a look at what ishappenin with regard to other themes we are seeing the semiconstructer stocks hitting record highs yet again, and a lot of highs in that

group, applied materials and others in that space, and you can see it versus the s&p 500, the chip stocks up a whopping 66% in the last 12 months ago, and then the ipo part of the market continues to be red hot at this stage we are looking at posh mark. it opened up for trading massively, at the highs of the day we were at 104.98, and just shy of 105, and it priced at $42 a share, so it will throw in what is happening again with another part of the market and that's petco, both ipos up big, and you get the theme, you wonder whether or not it's going to cool off anytime soon watch the ipos back over to you >> what do you think >> we have not hit that point where people are, like, i have

had enough now it's day after day, and almost every one of these gets a double almost automatically, and it's like you get $200 for passing go that will stop at a certain point and if you would have asked me to guess when, i would have guessed over the summer and we are nowhere near where people have had enough, and they will bring deals to the market so long as the demand is as powerful as it right now >> what do you think about the etf hitting a high -- >> when people talk about value these days, what they are talking about, off run without even realizing is it a combination between financials and energy and maybe a little health care. those are the stocks that tend to be devalued stocks just given the multiples they carry, and it's an industry and sector story than a story all of a sudden saying i am tired of growth stocks, right huge moves in refinery stocks and some of the integrated oils

looking good, and the banks continue to follow-through for the most part, so that's what the value story really is, irl >> we got a big spike in jobless claims meantime. 965,000. it's the highest weekly total since august and higher than expectations we also just heard from fed chair jay pea powell. he acknowledged a rise in inflation is coming and that's the forecast of many economists but down plays its significant >> the real question is how long it it be persistent, and it's unlikely to mean persistent lely high inflation

>> powell noted tremendous slack in the job market from unemployed americans and we got fresh data on that today with new jobless claims climbing to 165,000. even small states like new mexico, maryland and arizona seeing increases of 10,000 or more first jobless claims. there's reasons the numbers look worse than it is, and you have claims being srvolatile the government did add back in the $300 payments, but the real reason looks to be the economy and the surge in the virus an economists said the impact of new restrictions, they are appearing now. risks are skewed to the down side, especially in the service

sector and claims add emtphasis to the relief >> steve, i want to go to this stimulus itself and the immediate affects that we are seeing michelle myer, who i know you know at bank of america has interesting research out on the credit and debit card spending of stimulus recipients i think it's over the first five days from january 1st, 30% higher than the increase in the population, and they note it's a 20% jump from january 1st, which is four times the december average growth we know that this money come into the system is being used immediately, and we know it's being used locally, and probably some of it is leak into the market caps of tesla and bitcoin but will allow for that. if we are going to counteract the adverse impact of these new

restrictions, this is clearly the best and most affective way to do it, though, you would say, correct? >> i don't actually agree with -- necessarily with checks to everyone, josh, if that's what you are asking. i am not exactly sure how president biden will do this i am always in favor of people needing this money getting this money, and i would take the bigger jobless checks and base it on the state's unemployment rate, but i am getting crazy thinking that you should bring it down as the unemployment falls, and i am not a fan of checks to everyone, and i would raise the limit of those getting it, because there are some people where the cost of living is much higher, and that said it's generally used, a lot of it, however, as much as 50% ends

up being saved >> or paying down credit card bills. that's true, too >> that's true that's not a bad thing >> yeah, that's a good jumping off point for our next piece of the discussion is that president-elect joe biden today is expected to unveil his coronavirus economic relief proposal it's expected to cost trillions. the stimulus is part of the conversation there as well, or checks, i should say, and for that we go to kylah on what we know and for more. >> reporter: it will be an evening atkddress in which the president-elect will roll out a rescue package, and it will be in the range of 1 to $2 trillion, and it's expected to include an increase in the amount of those direct checks you were just discussing, funding for vaccine distribution, contact tracing and testing, and school reopens across the country and aid for

state and local government and all of that is according to people familiar with the package. and now the december drop in unemployment underscores the need for the first package and the second package that will come after that will focus on long-ter long-term stabilization of the economy. >> it will signal the need to begin working on those investments and recovery >> he says the administration will pursue both of those efforts aggressively, one after the other, but sources on capitol hill say it's likely this first rescue package will see broad bipartisan support whereas the larger later package is one where they will need to lean on the slim democratic

majority through a somewhat obscure process called reconciliation >> that's where i was going, we have a new congress and democratic led in both houses but by a slim margin, and what that will mean in terms of getting that legislation through? >> when they want to use the tool of reconciliation, where they get a limited number of uses in a fiscal year, and they will want to make it count this package is going to be much larger, but it's likely to be the one that includes more politically toxic type of pheph mechanisms, supported among the democratic caucus and less in the republican caucuses, and it will be largely bipartisan

issues >> we were just talking about the stimulus, and checks to people and more immediate impacts of that, and will we see an extension of the unemployment benefits as well, and what does that data look like versus checks to people who in many cases may still actually be employed >> i don't know that we have what you might call dissegregated data with what they did with the money, and people out of work, they tend to meet that money where people at work would tend to save it and invest it. i think josh was only half joking that some of the money ends up in tesla, and i didn't think that was crazy didn't larry think this morning say there was some sort of re -- >> i was not joking. >> you weren't joking, but it was funny the way you said it.

it will have a direct impact, all states red and blue states need help and that will keep them from laying off workers and putting state workers in the same employment line as people who are in the private sector, keep them out of the unemployment line and keep them employed and let the private sector go back to work first and then you can deal with whatever state issues you have over time, but the government should not make things worse. >> all right we will continue to see d.c. and see what comes out, the details, those headlines, tonight thank you both for joining us ahead of that. coming up, twitter ceo talking about the dangers of banning trump. plus, bitcoin racing back. booming from 2 to $20 billion

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forced to focus our actions on safety, and what drives our policy enforcement above all and he goes on to say there are clear ramifications for this it's quite a long twitter thread, actually joining us, founder of the center of humane technology, tristan harris thank you for being with us today. >> thank you for having me >> there's a lot to dig into here, but first i want to start with your reaction to dorsey's tweet thread, and he said i feel a ban is a failure of ours ultimately to promote healthy conversation your reaction to not only the moves by twitter and facebook and the other social companies but also to, i guess the way dorsey is trying to think about it, given the fact that we do have business models that have in many ways promoted the excho chambers that led to this moment >> you said it, the business

models that led to this moment while i likely agree in the end that this should have happened a long time ago, it's not about one account or one person incitingviolence but it's abou a whole business model about inciting violence, and so long as this is the business model it profits from the speech, and today there's a report on facebook, advertisements for military grade tactical gear was showing up next to the posts about insurrection, and one of the t-shirts said give violence a chance wouldn't you think somebody at twitter or facebook would be looking at these examples? the business model is automated programming, meaning each of us get our own channel and it shows us what will keep us clicking. if hate speech keeps us clicking, it shows us that

there are shows where they can't have a human being at facebook looking at each and every one of the posts. how was the scale and the division-incurring speech, and i think dorsey is right, the ban is a little too late and if anything it calls for a moment that is almost like a constitutional -- in the digital world. with technology the private technology companies are eating up public institutions and public areas of concern, so when youtube eats saturday morning cartoons, and software eats the world it deregulates the world and puts it autocratic worlds, and what we want is to make sure we keep those protections we might have lost. there's two ways to fail here.

one is you can have no digital articles of impeachment, and there's probably conditions for impeachment once you have a digital nation, and the question is should those articles of impeachment be decided by a mark zuckerberg or jack dorsey, or a constitutional process, and this is the result of ten years of not having a constitutional process and having a business model, logic that is about furthering the problems. >> josh, i am a former power user of twitter, a sometime user of facebook and instagram and i am on the border of, let's say, millennials and jen x, but depending on who you are talking to and what i am wearing that day. is there evidence that the next generation is handling this stuff better than the boomers? the way i look at this, the boomers, facebook came to the boomers when they were in their 50s and it over ran them, almost like when the europeans showed

up onshore all over the western hemisphere with smallpox and had nothing in their immune system to protect them from social media, and it destroyed a lot of brains now i feel like the younger generation, they are savvy with it, but maybe i am wrong is there any evidence this problem will work itself out >> i appreciate this question, by the way i don't think anybody has ever asked it >> i am very bright. >> there's obviously evidence that it tends to be the less digi digi digitally savvy, we all experienced the cultural immune system, hopefully more of us

did, to realize the chain letters were propaganda and the equivalent of hearsay, and now our younger populations, are they better with it? i think slightly better, but i don't think that it's as easy as are we clicking on fake news or not. one of the clearest examples of this during the election, i got called in to do a detroit story, because one story was not a fake story, but it was an image of ballots being stuffed into a box and the box was not ballots, it was a camera box, and it was from earlier so it's not fake news but fake context. so many of us look at an article that was three years ago, and we don't realize it's three years ago, and then we say that's the

latest on climate change when it was three years ago. how do we have a cultural immune system, where the power and the level of awareness on all of this, if you have the power of gods without the wisdom of gods, you bump your elbow like zeus and scorch half of earth, and that's what social media is granting to too many of us >> we have seen the rise now, and certainly it's getting talked about more now of other companies, so you see parler get pulled down, and then there's mewe, and folks like you promote getting on a signal for encrypted conversations, and as you see some of the big stall

works tkcracking down on the conspiracy-theory related groups, or groups inciting violence, does it become counter productive because it's pushing users to go to the smaller sites? >> there's always two ways to fail one way to fail, for a long time on facebook and twitter, there was a big debate, do we shutdown some of the fringe groups, but we don't want to be the arbiter of truth, and then the way to fail there is you end up amplifying all the conspiracy series, and this morning these qanon folks who lost their

spouses, they are going down a rabbit hole and it's sad then if we don't do anything, we will send them off to the private increpted platforms where we don't know what is happening. now we roll the dice and we are running that experiment. i don't think i can tell you what is going to happen. certainly the concern is you move into the darker corners where you can't monitor what is going on, and one of the tech techniques is to infiltrate these and see what is going on, and then it's a message where you are sharing it to ten people, and then ten millions of people, and i think qanon growing to millions and millions of people believe this now, and it's total rubbish, and that's what is scary, the size. we have a cult that is a huge chunk of a huge major political party now.

>> we will leave it there. >> did we solve it >> keep asking questions >> thank you, and good to have youon. still ahead, the space train blasting off we will explain why a new etf has the whole group shooting higher, and that's straight ahead.

welcome back this is according to a new sec filing it's boosting shares of virgin tk galactic even two spacs are surging new providence acquisition, which is taking broadband satellite startup sat and science public, and you can see big moves there. it's not the only space news of the day either we have one name an investor should not be seeing in public,

and that's jeff bezo's launch, and it was about two hours ago and a trip that lasted ten minutes, and it was built to carry space tourists went 62 miles above earth and back, closer to finally doing just that with space tourists, and that's eventually going to happen onboard today we had a dummy mannequin named man aquinn skywalker. >> it's scientific and not science fiction. look at what is going on with the space docks. this is very reminiscent, and i

was around when the internet became a topic in 1998, and so there's five or six publicly traded space plays, and they are huge because everybody is front running kathy woods. she will launch the atf and raise millions of dollars. i feel we are at a point if she said she was about to invest in egg salad, people would start to buy chickens that's what is going on right now, won't last forever but she's having a moment and i like it cool to see. >> yeah, and let's do andrew, too. >> yeah, that's where i was going to go. i was going to say, there's another one that has holdings,

and and our parent company, comcast, and that stock or the etf is up 6.5 percent on this news, and the biggest day in terms of activity and value since that launched in april of 2019 >> good for them it should be, if it's a big category there should be multiple products that investors can choose from. >> there's private market interest and now we are seeing it spillover into the public markets. and bitcoin seeing assets grow from $2 billion to $20 di billion in 2020. we will take you to trade school when "power lunch" returns s rig, not what's easy. so when a hailstorm hit, usaa reached out before he could even inspect the damage.

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welcome back, everybody. i am sue herrera this is what is happening at this hour. the cdc reporting more than 11 million americans have received their first dose of the coronavirus vaccine. west virginia and south dakota are the states with the highest portion of the residents

vaccinated, and alabama and georgia have the lowest vaccination rate next month's pebble beach golf tournament will not have the pro-am events due to the coronavirus. people with coronavirus antibodies may still be able to carry and spread the virus even though they are immune france is lengthening its nightly curfews to slow the president of covid-19. starting today -- saturday, i should say curfews will go into effect at 6:00 p.m. nationwide and that's two hours previously for much of the country. you are up-to-date morgan, i will send it back to you. >> sue herrera, thank you. we have new details about how moderna plans to test the long-term protection of its vaccine. for that we go to meg terrell.

>> we learn moderna plans to test a booster shot of the covid-19 vaccine one year after the regimen. so folks still got those two shots four weeks apart, and now they are testing giving a booster shot a year later. the company talked about that at the conference this week, and i just got a participant that said they received outreach about participating in the booster study. it's unknown given this is a new virus and this is a new vaccine and new vaccine technology, and moderna ceo telling me he thinks the market will resemble the flu market where you might need a booster every year and in a few years they may need to tweak it for new variants of the virus, and it was already up 3.5% back over to you

>> meg, could they give us the flu booster and the flu shot with the coronavirus booster in one shot, or not necessarily >> it's certainly possible that down the line they could formulate a vaccine that could both of those antigens in it right now we just don't know, and they would have to test it and make sure it's safe. it's something to consider moderna is getting into the seasonal flu shot market as well >> i won't be the first person to test that combination, but hopefully they can do it it has been 30 minutes, so let's go back to the bitcoin market. bitcoin is climbing back towards $40,000. the recent surge has seen money rush into the bitcoin itself and also in the bitcoin investments. let's bring in kate rooney now for those numbers. >> we have new indicators of institutional interests in crypto currencies. they saw assets under management

rise 900% last year, as wall street used it as a proxy. it ended with more than $20 billion and kicked off with 2% the p the investment product saw an 870% rise in assets. gray scale says this was driven by hedge funds and pension funds and endowments t the average size of the commitments more than doubled in a matter of a couple months. this come as high profile money managers warmed up to bitcoin, and we had some others, and backing from those guys gave investors confidence to buy bitcoin, and it is part of the climb to $40,000

>> indithank you. i am joined by ceo of grayscale investments. >> thanks for having me. >> given the numbers you just released, i am curious this makes sense to me, right, especially with institutional money coming in, it's a way to have exposure to bitcoin, you don't have to own the coins and it's more liquid, and you don't have to worry about forgetting your passwords as we talked about yesterday, but for the crypto purists, in some way it gets away from what the crypto was created for in the first place. you see the bitcoin growing and evolving especially with the institutional players getting into the mix >> what we saw throughout 2020 was a crypto market unlike what

we saw in 2017 this market has matured, and also the market dynamics, there's a two-sided market there's options and derivatives and lending and borrowing, so when you have those kinds of dynamics that play in the market, it's drawing in a lot more from the institutional community, and certainly grayscale, like you said, we brought in over $5.7 billion, and that's over four times the amount of money we raised in the previous six years combined. institutions are showing up for this class in a real way >> you were sitting in my office a year ago this week or this month, and you told me exactly how the next rally in bitcoin would play out, and it would be institutional in nature and the case you made for grayscale, for your product was that you had something that was worth more than anything else, which is a ticker symbol and or a q sip,

and if you don't have one of those it's very hard to get institutions involved because they want to own this stuff at custodian brokerage firms they work with and trust, so you nailed it and that's how this year played out. one component of the asset management industry that has not yet come in and this is probably due to fears about regulation is my component, the wealth management side. now we have family offices hedge funds, and they are in, and we have large asset managers, they are in when do you see financial advisers start to make use of stuff like grayscale, bitcoin trust, and other products that give them the ticker and q sip to be involved at the broken level -- >> i think it's a great question, josh >> i am really good at this. >> the number of enquiries that

grayscale is getting every day, it's coming up in conversations with their clients, whether it's client directed saying they want exposure to bitcoin in general, and other advisers like you have gotten bit by the crypto bug, and we are fielding a huge amount of enquiries about this, and so i would venture to guess this year you will start to see the emergence of a lot more participation from that community, and the biggest aspect of it is education. we are super committed to developing educational resources and have quite a few on our site, and particularly for the financial adviser segment, but you will see more of that coming up this year >> we have seen repeated attempts at etfs that have been shot down by regulators, but if they were to finally start seeing bitcoin or crypto, what does that mean for grayscale >> i think from our feed, a

crypto btf is a matter of when and not a matter of if if anything from the kinds of numbers that we are putting out and the community should be digesting this, that in fact investors, be it retail investors, hedge funds, nobody is really waiting for a crypto etf to emerge before p participating in the class, and i think that's a big d distinction. today the data was not spectacular. we did not see drops in the claims, and the export and import prices were higher than we expected, and we see stocks doing well and interest rates doing well, and look, zoom, zoom, zoom, and much of that was when we discovered what next

trillion dollars the next president would like to throw into the mix, and then religion thrown into about how that is going to cost and servicing the debt, and then you want to watch these areas, we are on high yield and low prices of the day, and do you realize boon yields are going down and it's the widest it has been in two months, and a two-week chart shows us why the dollar index is doing better with the next currency j.b., back to you. >> thanks so much. intel is again higher. building on the big jump from yesterday, up 14% just this week it's only thursday the whole chip space has been on fire, up 50% in six months, and one top technici ss anaya correction is coming that's next on "power lunch. stick around

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welcome back to "power lunch.

simi simi con -- semiconductor stocks up, and could they be heading for a breather matt, i will start with you. you don't think the rebound we are seeing can last. tell us why. >> well, yeah, i mean, this is not calling for a major top by any stretch of the imagination, and in september i was saying rotate within the text sector and getting the fangs out and into the chip stocks but now i think they are due for a breather and therefore, just look at the stocks semiconductor index. it's not trading at almost a 100% premium to that moving average, and you have to go to early 2000 to see anything close to that kind of a premium. you look at one key stock, it

has the biggest by far, more than twice than any other stock, and it's so over bought, it's relative strength index is at 90, and it never has been that high and not even that over bought in 2000 these things are due for a bit of a pull back and it will be healthy, and maybe short term should take a few chips off the table and then long term can buy them cheaper in the weeks ahead. >> nancy keeping these valuation concerns in mind, what is one stock you would own in the semiconductor chip stock >> we would be focused on the stock that we do own, lam research it's going to be bullish for that stock, and you see it in the price move today and we think matt is right, they are due for a breather and then we would add more funds to that

name, and quickly, intel, you have to take a fresh look because we have great management that will also be bullish because we think this ceo will be more likely to outsource to taiwan semiit. interesting thoughts there thanks for joining us on trading nation head to our website for realtime analysis and on twirlt you can follow us as well. morgan, back to you. >> chips off the table i got that one two more ipos soaring in their debuts, posh mark, and petco is one of them a dog "power lunch" we'll be right back. >> now the latest from trading nation.cnbc.com from a word from our sponsor.

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welcome back to "power lunch. we've got two new ipos today, posh mark, which is up 140%. and petco, up 60%. another set of crazy moves josh is over at the telestrator breaking them down for us. >> i almost feel like the crazy moves are owe bliker to at this point. it is an ipo double it. why not. i want to talk about petco this isn't the first time it has come public of the it has been public three times after getting taken over by a private equity firm each time we like to call this catch and release. valuation of $4 billion. they have a ton of debt because again it is a private equity retread. and they lost money for the first 3/4 of 2020 which in and of itself is not terrible but it is hard to lose money on $3.6 billion in sales not exactly sure how they managed to do it

the question s are you buying it because it is a ipo or do you want to be invested in petco there are other pet-related investments out there. i want to show you a couple of them zoetis spun out of pfizer deals with animal health, farm animals and companion animals. and they sell anti-effective vaccines it has been a winner could continue which youy, this is probably a better comp. chewy is predominantly involved in selling you things for your pet. red hot business, almost a $50 billion market cap i like their one's positioning on digital more than anything petco is doing finally, idexx labs. a health company, deals with positive livestock and pets, gets 38% of its revenue from outside of the u.s. market

i would look at some other pet plays. there is fresh pet, et cetera, bee yes, it is a hot theme but is the dollar amount you allocated to that hot theme best served in effectively a 30-year-old retailer that's not even the dominant on line, not even number two? that's why i would shy away. an ipo of 65% doesn't excite me. i don't get out of bed for anything less than 100%. >> i feel like i am keeping my local petco in business with all the fish we are going through. you have to be a chemist to keep an aquarium running. >> i don't know why you would go with would have. but we wish them well. >> to your point, though would, seeing other names, affirm went public yesterday, doubled. up 80% right now dash, and airbnb moving higher, too. to your point, it is like 50%

is -- >> what even is that >> yeah. all right. just speaks to where we are seeing the flogt this market, right? okay stocks are generally off of their highs. the dow is up .1 -- not right now, it is hovering near the flat line. pot stocks, till ray showing we yourly don't show year to date stocks on january 14th but it is up over hupz in 2021 it is up another 9% right now. we'll be right back.

look at this game stop this is one of the wildest short squeezes we have seen. >> looks like a video game chart. >> speaking of chewy it looks like the founder of chewy is now involved in game stock on the board of directors. that was enough to spark this. >> stocks in the final hour of trade. fading gains, close to the flat line that's it for "power lunch." "closing bell" starts right now. >> thank you morgan and josh welcome to "closing bell." i'm sara eisen the dow is up just 20 points nasdaq is trading at record high russel is jumping. let's look at what's driving the action one hour left of trade trillions of new stimulus or just hundreds of billions? investors are awaiting president-elect biden's economic plan coming late they are afternoon. johnson & johnson helping cyclicals,