it is 5:00 a.m. at cnbc global headquarters. here your top five at five stocks looking to bounce back as we kick often a new trading month amid that wave of volatility by speculative trading by retail investors. robinhood looking to curb that volatility with fresh steps to limit some kinds of trading those speculative traders now turning their attention to silver as the commodity finds itself in the spotlight amid

surging prices. president biden set to meet with a group of republican lawmakers in the push to get a covid relief package out to millions of americans and we are following a massive winter storm crippling a large swath of the country, blanketing the northeast with heavy snow this morning. i drove through it today it's monday, february 1, 2021, and you are watching "worldwide exchange" right here on cnbc ♪ appropriate song good morning, i'm dominic chu in for brian sullivan stock futures indicating a decent rise at the opening bell with the dow implied higher around 200 points. the s&p 500 up by 31 the nasdaq up by 133 looking to rebound a bit from the losses last week. this all comes after friday's

selloff to wrap up a roller coaster week on wall street amid that wave of speculative trading and volatility by retail in inve investors. the dow, s&p 500 and nasdaq falling around 2% or more for the week all three indices were down between 3% and 3.5% in that time span those losses erasing the initial gains we saw with the start of the new year the dow closing january out down 2%, while the s&p was down 1%. the nasdaq was able to hold onto some gains thanks to the big tech turn-around and continued strength, rising nearly 1.5% for that time span let's go worldwide joumanna bercetche is in our london newsroom with a look at the early trade in europe. what i can see is a lot of green on the screen. >> yep, that's it. we're starting off the week definitely in a lot more positive territory than we ended the week last week you can see behind me, every single european board is trading in the green

ftse 100 in the uk up about 0.6% a lot of the european miners are domiciled in the uk. they're seeing a boost today why? because of that silver squeeze i know you'll be talking about later on in the show cac in france up 0.8%. xetra dax in germany, up 1.1%. also italy very much in focus. the ftse mib up 0.3% we're watching for political developments this week to see what will happen with the future of the government. there is one stock i want to talk about in particular in the uk, it's caught a lot of attention over the last couple of days and that is astrazeneca. it's up -- not up a lot. it's treading water. but the big news out of astrazeneca is they agreed to supply the eu with 9 million more doses of covid-19 vaccine this quarter bringing the total to 40 million. the delivery will begin one week

earlier than expected. the european commission president said it marked a step forward after an unexpected supply cut fueled tensions between the bloc and the drugmaker. it is a story we've been watching very, very closely. there was an unexpected row that erupted between the eu bloc and the commission itself but it seems they have come to some form of resolution over the weekend. a positive for those looking for the vaccine supply in europe with that, i'll hand it back to you. >> joumanna bercetche live in london now to this morning's top stories. robinhood says it will continue to limit trading today on short-squeezed stocks at the center of last week's market volatility robinhood has cut down its list of restricted stocks from as many as 50 on friday down to just eight, including companies at the center of the explosive rallies among -- including gamestop, amc entertainment,

blackberry, koss, nokia. you know those names by heart now. the reddit crowd, the trading ones, now turning their attention to what's happening with silver. the commodity climbing as much as 8% overnight. you can see comex silver up by 11%. that appears to be related to the retail traders in reddit which had multiple active threads on silver last night the phrase "silver squeeze" was, believe it or not bs trending on twitter. cnbc has learned that hedge fund melvin capital management lost 53% of its investments in january amid that record rally in gamestop and other stocks that the fund was betting against. sources say melvin's assets under management now stand at more than $8 billion, including the emergency funding, down from roughly $12.5 billion at the

beginning of the year. cnbc reported last week melvin capital closed out short position in gamestop and sit dell and point 22 management infused close to $23 million into that melvin fund to shore up its finances. back to the broader markets now, which are coming off both a volatile friday and week amid the frenzied trading and shorted stocks like gamestop some analysts believe it's unlikely the impact of this short squeeze will ripple through the overall market jeffries saying fear signals are implying the worse of the degrossing has happened. your next guest says there are a number of ways for investors to take advantage of big moves in volatility chief investment officer from ubs global management joins us mark, thank you for joining us let's talk about whether or not we think this volatility is something that should be feared or should you find a way to take advantage of it? if so, how >> well, i think it's a normal part of the market, particularly

now. i think where we're shifting maybe from the work-from-home trade into some of the laggards from last year i think that's where we would focus. certainly there's ways to play the volatility, but of course for most investors, the best thing to do is to have, you know, enough liquidity on hand that when you get these short-term blips, you can take advantage of it to rebalance your portfolio >> how exactly does one rebalance the portfolio? what do you give into given what we've seen, given this idea there is a degrossing happening, that hedge funds and other big institutional players are trying to take down some levels of risk in their overall portfolios? >> you know, the hedge funds are forced to take down risks because they're levered up in ways that are difficult when you're getting this transition, say, around the vaccine. i think one of the things that

many investors can do, one of the things we've been recommending is moving away from the winners from last year things like the mega cap tech and towards the more cyclical plays and also looking for american investors looking abroad, perhaps more to value on the em side or value in asia >> if it's value on the em side and value in asia, where do you find it? only because if you take a look at etfs that track it, they've had massive rupps, in some cases exceeding that of the s&p 500 since the pandemic lows. >> i think one of the longer term trends we've been focused on that has, like some trends you highlighted that has flows behind it and has an investment case is around sustainable investing. for example, 41% of the flows into etfs and few actual funds in europe last year were towards sustainable investing. we see a tremendous demand from

our clients in asia for sustainable portfolios these are some of the trends i think are more durable, both on the flow side but also on the valuation side >> so, is it safe to say, mark, i mean, the idea of sustainabl finance trends, this notion here that your clients are paying closer attention to some of those types of investing themes than some of the short squeezes that have been happening in the market, not just in silver today, but in stocks like gamestop and amc, the ones that were perhaps near bankruptcy at some point in the past, which is the more predominant theme among your clients right now >> i can tell you that for most clients these longer term trends, looking for the next big thing, sustain act certainly plays into that. the next big thing is not going to be one individual stock trading below $5 so, it's these kind of bigger trends

and then within that, you know, i think they're looking to drill down and find, what are the kinds of technology and other things that are going to support green tech, for example? what is going -- what kind of tech might disrupt kind of traditional sectors and help move it towards this green revolution we see? >> how exactly does one find those opportunities, mark? i know you and your colleagues are paid by clients to hunt these out. but what types of companies, how do you play that transformation? one is the reinvent of big oil which oil companies aredoing the best at that which ones are doing the best at solar energy how do you flush them out? >> well, i think that, you know, what we do is we have -- we do have teams around the world and we look at the flows, we look at the valuations and then we do put together lists on individual names for clients. again, i think it's more about this bigger trend. for example, we have 100%

sustainable multiasset investment portfolio and that was not only our fastest growing but our best performing solution next year. i don't think you necessarily have to get in the weeds when the flows are this strong into something like the next big thing around sustainability. >> the next big thing for sure, mark we appreciate it, sir. now to washington, d.c president biden is set to meet with a group of republican lawmakers later today in a bid to try to reach a deal on a covid relief package tracie potts joins us from the latest from washington, d.c. good monday morning. >> reporter: hi, good morning. those republicans are pitching a completely different plan. it's a lot cheaper than what the president put out there, that $1.9 trillion. they're hoping that his inaugural promise of unity will

lead not only to the sitdown meeting today but to compromise. president biden has agreed to meet this afternoon with ten senate republicans pitching a new covid relief plan. >> the president has said repeatedly, he is open to ideas wherever they may come >> reporter: the republican plan is a third the cost of biden's with the same money for vaccinations, but nearly 90% less to reopen schools >> that issue is teachers unions telling their teachers not to go to work. we can get kids back to school without, you know, kind of bailing out the teachers unions. >> reporter: stimulus checks would drop to $1,000 and phase out for higher income families >> you look at the administration's plan, you could have a family with three kids making 300,000 bucks a year getting a check. many of these people have had no impact from covid. in fact, some are doing quite well others are struggling. lease focus on those struggling. >> reporter: democrats argue relief must do more. >> we cannot have children in america go hungry, people being

evicted, schools not open. we need to open our schools in a safe way >> reporter: the money can't come fast enough new strains of coronavirus have arrived in the u.s. >> the surge that is likely to occur with this new variant from england is going to happen in the next 6 to 14 weeks. >> reporter: more illness, more deaths experts say more shots are the best way to fight it there's money for more shots in both of these relief plans lawmakers trying to squeeze in a vote, at least a preliminary one, before the impeachment trial starts next week >> tracie potts with the latest from washington. thank you for that. when we come back on the show, the latest on the massive winter storm hammering the northeast right now with heavy snow and very high winds plus, the deal that never was. new details on the apparent merger talks between two very large oil giants and we talk to one housing industry insider about the

trends he's seeing and what it could mean for the red hot real estate market right now. very busy hour still ahead when "worldwide exchange" returns after this break these folks, they don't have time to go to the post office they have businesses to grow customers to care for lives to get home to they use stamps.com print discounted postage for any letter any package any time right from your computer all the services of the post office plus ups only cheaper get our special tv offer a 4-week trial plus postage and a digital scale go to stamps.com/tv and never go to the post office again.

welcome back to "worldwide exchange." after a strong year for home remodelling in 2020, expectations are for that trend to continue in 2021 as people stuck inside look to keep making improvements to their home joining me now is national

kitchen and bath association ceo bill darcy thank you for the early wake-up call this morning. let's talk about whether 2021 will be as strong as 2020. >> absolutely. good morning, dom. thank you for having me. we had strong fundamentals going into covid, and you have things like the average age of the home nearly 40 years old. they need repair and replacement. mortgage rates remain low, which drives housing demand and also drives kitchen and bath remodeling we expect a lot of growth, continued growth in 2021 >> what's driving that growth? we've know there's been a huge influx of people to suburban communities from urban centers because of the virus pandemic. a lot of people choosing to opt for any kind of life outside of a densely populated area is it new home sales is it people who are still in their homes looking to remodel what's the biggest driver of that spend in home remodeling? >> yeah, it's a lot of people remaining in their home, working in their home, schooling in

their home they have these spaces that they've been looking at for a while but they were spending a lot of time taking kids all over the place and commuting and things like that and didn't have some of the discretionary funds they're having by not going on vacation these rooms in the home where you spend a lot of time, you want to make them better so i think people just continue to invest in their sanctuary, whether that's the bathroom and kitchen, especially those two areas where we spend the most time. >> i remember, there have been a couple times i've been involved with real estate transactions and people would always tell me, sometimes realtors would say kitchens and bathrooms are the places you want to spend because it's the place that you will find the biggest return on your investment, or at least a payoff of what you've spent what exactly is the driving force behind why kitchens and baths are as important to homeowners as the way they are right now? >> it's the focal point of the home and also where you spend the most of your time. historically you spent the most time in the kitchen and even now more than ever

you're cooking your food, spending time with the family, kids are hooked up, doing their schoolwork this is where you want to make the best place in your home. now that you're forced to stay in your home more than usual during covid, why not make it better if you have the funds we're very happy -- and also on the bathroom side, people need a space to escape. clearly in this environment more than ever. those two rooms are where you spend most of the time, you want to make them better for your family 16% growth we project in 2021 up to $160 billion in sales this is a place where it's going to continue to grow and we encourage homeowners to take a strong look at this. also contractors are going to be allowed in the home more frequently in 2021 if you look at 2020 where some people still did projects, they might have been a bit reluctant to have contractors in the home. with all the positive signs around the vaccine and things coming, we expect homeowners to be even more confident to have contractors in their homes doing

projects in 2021. >> it was a big trend in 2020. it could be in 2021 as well. bill darcy, thank you for joining us we appreciate it. >> thank you have a great day. on deck for the show, the reddit retail investor is making its wave to wall street and making its way overseas. the international names seeing big bumps in trades and february is black history month we're honoring some of our cnbc contributors here is new england patriots linebackers bran be done copeland on the racial wealth gap and the importance of financial literacy >> there's a reason why this nfl player decides to take his off-seasons and go back to his alma mater just to teach a course on financial literacy the lack in access of information has caused the racial wealth gap for centuries. it's time we put an emphasis in our schools across the country, but specifically black and brown communities.

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these folks, they don't have time to go to the post office they have businesses to grow customers to care for lives to get home to they use stamps.com print discounted postage for any letter any package any time right from your computer all the services of the post office plus ups only cheaper get our special tv offer a 4-week trial plus postage and a digital scale go to stamps.com/tv and never go to the post office again. welcome back a live shot of rockefeller center we are tracking that massive winter storm making its way up the east coast, said to bring upwards of 2 feet of snow in some parts of the region and crippling travel already

we have team coverage following the latest on this storm's path. with nbc news' meteorologist janessa webb and bill karins jaque in new york city where the snow is piling up right now how bad are the conditions out there? >> reporter: you know, dom, just in the last four hours since we've been here, things have really started to pick up in the last hour. the winds are starting to crank as bill will tell you that nor'easter is starting to develop. i really wanted to show you the roadways in times square we've already seen about 3 inches fall. what happened is after midnight, things started to crank up, then things have died down. it's been intermittent throughout the overnight hours, but we're expecting to see heavier snowfall throughout the day. now, the mayor of new york city has issued that state of emergency and starting at 6:00

a.m., unless you're an essential worker, you want to be off roadways what we have seen in the last four hours, we talked to some of the plows, they have plowed these streets three to four times already and, man, things are still pretty dicey across the area what's happening right now is the winds. they have become an issue. i do want to let everybody know with the winds picking up and the potential for power outages, it's very important that you have everything charged throughout the day this will be a 36-hour event we're looking at potential power outages across the northeast we'll continue to watch it out here dom? >> janessa, i can tell you the new york city streets deserve kudos because i live in connecticut and the streets when i left early this morning were still not plowed new york city looking much better than other parse of the northeast right now. janessa, thank you fov for that. let's turn to bill karins for what to expect in the coming hours of this storm.

bill, like i just alluded to, it is conditions were terrible in certain parts that were not plowed yet how bad could it get this is we're still not at the worst of it >> i'm going to tell people in southern new england, including new york city area, don't be on the roads from early this morning until evening. we'll see snowfall rates that plows won't be able to keep up with 75 million people impacted from the storm. lighter amounts from kentucky to virginia that's where roads could be icy, sidewalks, too the high impactful stuff is north of philadelphia and going to be around new york city all day long and into southern new england later this afternoon and boston as we head through the evening hours. the snow already from buffalo to albany and boston, connecticut, northern portions of new england are already going to start to see snow by late morning the high impacts, the areas you see in the pink, that's 18 inches of snow that's a good chunk of the catskills, lower hudson valley down through the poconos

i think when new york city is all said and done, could easily be over a foot, maybe 16 inches. if heavier snow bands set up over the top of new york city, 20 inches is even possible the wind gusts, too, especially coastal areas, 40 to 50-mile-per-hour wind. if we get the wet snow in the high winds, we'll get scattered power outages. it's not super dramatic but we will see some. here's one of the things we'll be watching in new york city can we make it into the top ten list for snowfalls to get to the top five you need at least 21 inches to get into the top ten, you need 18 inches it is possible we'll find out later on today. >> i'm hoping we don't get there, bill. that's just me thank you for that we'll see you throughout the course of the day, i'm sure. bill karins at nbc. still on deck for the show, president biden and republican lawmakers set to come together today to try to get a deal done on coronavirus stimulus.

we have the latest on where those talks stand. as a reminder, can always watch or listen to us live on the cnbc app "worldwide exchange" is back right after this

futures pointing to a higher open as markets look to bounce back after their worst week since october. ten republican senators presenting president biden with

a smaller stimulus proposal. first it was gamestop, then cryptocurrencies and now silver. reddit traders pour into that metal. it is february 1, 2021, and you are watching "worldwide exchange" right here on xns. cnbc ♪ welcome back to the show i am dominic chu in for brian sullivan here's how your money and investments are looking. stock futures, as you can see, very much in the grown the dow pointing to an open that could be implied as nearly 200 points the s&p higher by roughly 30 and the nasdaq 100 -- about 120 points at this point this is all coming after friday's big selloff to wrap up a roller coaster week on wall street amid that wave of speculative trading and

volatility caused by in many ways retail investors. the dow, the s&p 500 and nasdaq all falling around 2% or more for the week all three major indices were down between 3% and 3.5% on top of what we saw on friday those losses erasing the initial gains we saw in the start of the new year the dow closing january down 2% while the s&p was down 1%. but the nasdaq was able to hold onto gains thanks to tech's continued strength it rose, as you can see there, nearly 1.5%. also watching the price of silver yes, silver. seeing big jumps overnight as the reddit-fueled boom in those shorted stocks appears to be spilling over into the precious metals market. comex silver is up 10%, $29.67 the last trade there in corporate headlines, chevron and exxon reportedly talked about the possibility of a merger last yaer a merger between the two the ceos of both companies spoke

about the idea after the pandemic led to a drop in oil prices those talks were preliminary and are not, not ongoing no comment from the companies on those reports. you can see exxon and chevron both big losers in the one-year span. walmart is donating $14.3 million to 16 nonprofit organizations focused on advancing racial inequality. this is part of the $100 million the retailer pledged in the wake of the george floyd protests as it promised to help fight racism. the cdc reports nearly 50 million vaccine doses have been distributed in the united states as of saturday morning and nearly 30 million doses have been administered. some positive news on that front. we hope that trend continues to a developing story out of washington, d.c. a group of ten republican senators is putting together a proposal for a smaller, $600 billion covid relief plan. president biden is set to meet

with that group today. ylan joins us. besides the price tag, what is getting cut? >> president biden at least appears to be trying to make good on his promise of bipartisanship here. this group of ten moderate republican senators sent him a letter yesterday outlining the framework for their $600 billion plan and asking to meet with him to brief him on those details. the letter said, with your support, we believe this plan could be approved quickly by congress with bipartisan support. last night the white house said that biden did speak directly with susan collins of maine, one of the leaders of the group. that's when he invited them to the white house for a full exchange of views. this gop plan is just a fraction of the cost of the administration's $1.9 trillion proposal there's less money for schools, for unemployment insurance, and perhaps most importantly, for direct checks. the white house also noted biden

spoke yesterday as well with democratic leadership. nancy pelosi in the house and chuck schumer in the senate. and the administration reiterated that the danger now is not in doing too much, it is in doing too little. americans of both parties are looking to their leaders to meet the moment even as biden reaches across the aisle, two sources tell me the democrats are still planning to move forward with a process that allows this em to pass a bill without gop support. they plan to introduce a budget resolution in the house today. what we're seeing is democrats pursuing two very different strategies at the same time. right now it's not clear which one is going to have the momentum back to you. >> are they trial balloons what's the point of doing something like this? is it maybe to just gauge how exactly the support would be for each one of these paths to see where they eventually want to throw their support behind >> yeah, i think that's -- you hit the nail on the head there democrats are in a tough spot

because they see there is a deadline for getting something, that is march 149, when some of the enhanced enemployment benefits expire. if they use this process to do this on their own, they have to get it started now, otherwise they won't be done in time at the same time, president biden ran on unity, ran on healing the soul of the nation so he wants to show he's at least making this good-faith effort towards republicans if they're able to come to bipartisan agreement, they can move quickly to make a new covid relief package happen. if not, they need to get started now in order to pass something by the middle of march. >> it's of huge interest to millions of americans out there. thank you for staying on top of that story for us. a new week here. we're seeing another chapter in the battle between reddit traders and hedge funds. first it was stocks with heavy short interests like gamestop, amc and blackberry, then cryptocurrencies now this morning we're seeing a jump in silver futures

let's bring in ceo and cio of morgan creek capital management. mark, it's one thing for a $1 billion company that has a short of 100 plus percent. it's completely different when it comes to a fairly liquid precious metal what exactly is the purpose of going after silver >> well, look, i think the challenge for all of us right now is markets have become much less liquid. you would think we were more liquid as we grew and had more participants but i think in certain parts of the market, whether it be small cap stocks or certain tech stocks, now you see the metal, there's not a lot of incremental liquidity and it makes for easy targets for those who want to get on the other side of people who are short. >> why silver?

why not the pgms that many people talk about here, the platinum group metals? some believe it's the lower price tag per ounce t gives them more ammunition, more ability to buy more shares, more ounces of silver is it simply that, the price of silver is only $30 compared to $1800, $1900 for gold? >> yeah, i think that's definitely part of it. i think one of the things about the small traders is they do prefer smaller price tags. this is not new. there seems to be nothing new in this world, dom. we saw the hunt brothers try to do this many years ago, corner the silver market. gold is a gigantic market, $8.7 trillion of total value around the world. silver is significantly smaller. orders of magnitude smaller. if you're going to talk an area where you think you have a chance to do a squeeze, you're

going to go after the smaller. >> how much of this -- what can be characterized, and i'm looking for your expert. on this, how much of the reaction you've seen in things like gamestop and amc, and maybe what's happening with silver right now, you brought up the hunt brothers, what exactly in your mind can be considered market manipulation versus just the market's normal activity squeezing certain people out >> you bring up another great point, dom it's clearly manipulation. when you think about low volume securities and the ability for a small number of individuals or larger groups to take significant positions that drive a stock in certain direction think about what happened to certain oil stocks during the covid crisis when the saudis came in and bought up big parts of those companies and they spiked after

the fall this has been going on for many, many years when somebody has a public platform or a pulpit where they can talk about what they're doing and other people follow on, i think the one myth, though, is that this is a bunch of people, you know, up early in their home, turning on their computer and trading a few shares that's not what drives these big moves. it's the institutional money that comes in after these waves and really pushes things if you look at gamestop, for example, the average trader isn't the one making the 50, $100 million moves it's the big institutions following on those trends. >> you hit the nail on the head here for me. i was just going to ask you, we talk about this notion like it's just retail traders who are doing this but at some points here you see trading volumes in gamestop in

the 40, 60, hundreds of millions of shares per day. that is not just retail traders. has has to be attracting some kind of mutual money i would be surprised if i was a hedge fund manager, why wouldn't i hop on this train as well? how much do you think this market activity will bring in the institutional trader, thereby, taking a way a lot of the thesis about, hey, wall street is losing in the whole thing, retail trader is winning? >> yeah, wall street doesn't lose this concept that somehow the david and goliath applies here think about it what does robinhood cost the average trader that would be zero why is it zero well, somebody is paying robinhood, oh, wait, it's the big high-frequency trading hedge funds who are buying the data from robinhood, they're then front-running, trading ahead of the retail traders the retail traders think they're

getting a good deal. look, they've made lots of money and many great stories, but at the end of the day, those institutional buyers and sellers are doing all of the big movement and i do agree completely with you, dom, that it's not the little guy or gal that's driving the price. they may be setting the target through the activity on the bulletin board that's not new either. i posted on my twitter stream last week the story of a 16-year-old who got arrested and charged by the s.e.c. for fraud for posting on a bulletin board. in 2000. 20 years ago again, nothing new in this world. >> before we let you go, it seems like forever since we've talked about the frothier parts of the market being things like in the ipo, spacs. they were supposed to be the sign things were spilling over do we still worry about the spac market right now >> what we worry about is any

company that comes to market at a bad valuation. one of the things we did, morgan creek and our partner we just launched an actively managed etf, xpsz. the idea is if you think about spacs, they're just a legal structure. like a mutual fund or any other legal structure. what matters is the underlying company. yes, there are certain underlying companies in any ipo boom, whether it's now or 20 years ago in 2000 -- 21 years ago in 2000, where you're going to see things that don't make sense. i think buying anything in the markets today that's indexed or capitalization weighted, i think, is very, very dangerous indexization and capitalization weighting are great momentum strategies, great for a bull market, great for liquidity. you had a story on where they're talking about reducing the amount of stimulus in the

economy. you think that means overvalued securities, ipos, spacs, stocks or bonds will struggle active management is key that's why we launched our new etf. >> great to get your thoughts. we appreciate it >> thanks, dom. coming up on the show, the reddit frenzy moves overseas we'll talk about the global names seeing a surge in interest and thbiermpcaone gg ilitis coming up next

these folks, they don't have time to go to the post office they have businesses to grow customers to care for lives to get home to they use stamps.com print discounted postage for any letter any package any time right from your computer all the services of the post office plus ups only cheaper get our special tv offer a 4-week trial plus postage and a digital scale go to stamps.com/tv and never go to the post office again.

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welcome back the ongoing surge in retail traders on reddit is making moves and having big ways on wall street and now it's being felt in ripple effects overseas as well. a number of beaten down stocks in europe are seeing their own rally amid this short squeeze frenzy seema modi joins us more what kind of companies are akin in europe to gamestop and amc here >> yeah, well let's go through the list the short squeeze that started on wall street has swept across the globe, in certain markets. in london you have trading212 said it stopped taking on new customers tweeting, due to the unprecedented demand, we have temporarily stopped onboarding new clients. in israel they have been urging customers to be mindful of their actions and protective of their capital. the buying does not seem to be confined to u.s. companies

last week uk theater chain cineworld surged 17% like amc, they have been hit hard by the pandemic, closing cinemas in the uk and europe last year. it's also the second most shorted stock in the uk. in uk, education firm pearson. in france the second most shorted stock, nokia in flinland the move in european names pales in comparison to counterparts in the u.s. but it suggests retail traders are evaluating companies with similar characteristics in foreign markets. one note, unlike in the u.s. where there is limited disclosure on short selling, in europe investors do have to share when they short a certain percentage of a stock. interestingly enough, back in march when global markets were selling off at the height of the pandemic, european regulators outrighted ban short selling to

curb volatility. that ban was lifted two months later. >> it's fascinating. it's almost like it's turned into an investment strategy, this idea you should play these short squeeze type companies let's focus not just on europe here what's happening on the asian continent? there are so many stocks on that side of the world up as well what's driving that, specifically in india as well? >> that also caught my eye, the bombay sensex up 8%. that seems to be in response to the finance minister unveiling the country's annual budget. in that presentation the finance minister mentioning a number of factors that investors really wanted to hear one is privatizing infrastructure, tax deductions for aircraft leasing and also higher foreign ownership in certain sectors, all part of the country's pandemic plan as they look to get out of this crisis >> i guess the one thing is you're long stocks globally, you're fine. thanks for the update. coming up on the show, from

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welcome back to "worldwide exchange." what you're seeing is a live shot of times square, manhattan, midtown, new york city you can see the snow is piling up the worst is yet to come new york city, kudos to you, you are doing a good job the streets look like they are being plowed on a semiregular basis. stay safe, everybody, in the northeast. turning back to the markets, futures indicating what should be a decently higher open. right now the dow is implied higher by roughly 185 points

this after last week's market turmoil surrounding gamestop and other short-squeezed stocks. your next guest says, that action could be a sign of structural changes ahead for the markets. the ceo and chief investment officer at decatur capital management and also a cnbc contributor. thank you very much for joining us sir, let's talk about whether or not all of the craziness is going to lead to regulators and other groups saying the market needs to change. >> good morning. as you said, structural change what we're seeing is that the millennial generation, those individuals from 25 to about 40 years of age, they are the dominant workforce, not only in the united states but globally if we just look at the u.s. market, these individuals are going to be taking in and inheriting about $60 trillion of the $100 trillion that are invested in the u.s.

what we're seeing, and this is actually going from the u.s., you mentioned earlier, to europe and asia where the millin yan generation are changing the way that we invest and we talked about this a lot in that as the market changes, wall street will change to adapt. that's what we're seeing do we need changes in the regulations? i don't think we're going to see that in the short term i think this is just a changing of the guard as it relates to markets. >> how exactly do investors like you and everybody else out there adapt to that? that new construct that you just referred to means a change of thought, a change of philosophy, a change in paradigm what exactly does that do to your investment philosophy >> what we look at, let's take an example of payments during the pandemic we changed the way we pay for things. that started about ten years ago. if you look at paypal and venmo and square with cash app, in the

last ten years, both of those platforms have gained over 60 million users. if we look at jpmorgan, a traditional brick and mortar bank, it took jpmorgan 30 years to reach that same level at the end of 2020, venmo had about 69 million and the cash app had about 60 million users that's an example of how as an investor you're looking now at the payments definitely paypal, square compared to jpmorgan is a better growth opportunity that's just one example. >> if that's one example, you don't wholesale change, you don't wholesale change your investing construct because of this you allocate to some of those themes it's not like you're saying, this is a wholesale change of the entire marketplace there are still places that you want to be from the traditional value and growth type

perspectives >> exactly, xa accountly if we look at the overall markets, and during 2020 what we saw is a lot of the companies actually started to cut back on their expenses one example is wes rock, the maker of paper products. what they did is that they actually cut back their senior management team took 25% pay cuts and also they reduced other expenses so, what they're able to do now, they're able to actually benefit for improved margins as the market recovers. so, this is an example of an industrial company that is going to do very well because of their management team. as an investor, you're looking for those opportunities that will benefit as we get into this week opening trade. >> fintech, a big theme for sure among a lot of investors thank you for joining us we appreciate it have a nice day. >> thank you. that and it for us on

"worldwide exchange. let's check out what's happening on futures 620-point drop for the dow on friday the futures indicate a 140-point rises at the bell. losing se omsteam. "squawk box" picks up with market coverage next ready to shine from the inside out? try nature's bounty hair, skin and nails gummies. the number one brand to support beautiful hair, glowing skin, and healthy nails. and try advanced, now with two times more biotin.

good morning stocks starting a new monday day higher after a pullback in january. gamestop shares are higher right now. robinhood at this point has extended its limits on buying some short squeeze stocks for today's session. and silver, that's it, silver is the next target of

reddit traders, surging overnight since its highest levels since 2013. all those commercials for the past ten years might finally be right. monday, february 1, 2021, and "squawk box" begins right now. good morning, everyone welcome to "squawk box." this is kcnbc joe mentioned there was a bit of a rout last week culminating with the big selloff on friday major averages down by 2% or more on friday for the month of january, because, remember, this is february 1st, for the month of january, you were looking at the dow and the s&p 500 both giving background for the year. they lost the gains they built up earlier in the month. dow was down by 2% for themont