for spending the time with us, and bob pisani, thank you for being with us as well. and final trades, jon najarian and steve weiss? >> carg, steve, i bought it. >> teradyne. >> carrie? >> american tower. >> thank you, everyone. >> and now, ready to testify about the role in the reddit boom, and we are going to talk to both sides ready to grill the ceo. and miami is considering a number of initiatives about the bitcoin and paying employees and paying taxes and capital investments in bitcoin and we will speak to the mayor about that initiative ahead. and the texas energy

nightmare. and so, jon, what is happening overall in the market? >> well, it is key parts of the market that had been momentum-type stocks and sectors over the past 12 months. looking at the dow, flat on the day, and call it up six points and the s&p is down .33, and the real underperformer off of the lows of the session is the nasdaq composite and roughly one-third declines there. and the rising interest rates and you heard it from cathie wood there in the previous hour, the valuations of many of the momentum type stocks and in the sector are coming under question if the interest rates continue to rise in a quick fashion. if you are looking at the 10-year treasury yield, the last trade there, and at one point today, we did get above 1.3%, and just about 1.33 was the day's high on the 10-year

treasury note, and this is the highest level since february of last year. something to keep an eye on. and the interest rates in mind, and the valuations playing a role with the valuation markets the i da, we decided that the exchange today with the screen of the dividend stocks of the s&p 500 that pay more than the 10-year treasury yield. if you are looking at the s&p 500, we looked at the dividend yields above 1.3%, and roughly where the 10-year is now, and they have also had to have had positive 6 and 12 month price depreciation and not just driven by stock declines and the market caps are $100 billion or greater, and the mega cap names out there, and 25 names past this screen, and here are the five that were the biggest ones out there. and that is a 5% yield there with agi and broadcom which is a chip stock yielding 3%, and u.p.s. is 2.5%, and jpmorgan is

2.5%, and those are the top five stocks that passed that yield, and don't worry if you want the rest of the 20 stocks on the list, go to twitter at the domino and at the cnbc at the exchange, and we put all 20 games up there. >> i don't know who doesn't want to see the rest of that list. it gets to the core of the questions i have in this. and with more of the 10-year, it is time for the investors to break up with the bonds? let's welcome in nancy tangler, and marco who is the chief investment strategist for the clock tower group. nancy, what about it it is not the ton of sense to put a big percentage of the portfolio in bonds right now or does it? >> no, i agree with you, jon. we have been making the argument for some months. if you are looking at where the bonds have traded since is the august low in yields and prices,

they are off about 6.5% while the stocks have continued to rally. we run four large cap strategies all of which have the yields above the 10-year, and two are dividend growth strategies and two are growth at reasonable price, and the best way of playing this markets or playing the investments is that your income grows and the list that dom mentioned i would pick and we own this stock, and we own many of them, and i would pick abbie and the ones that are among the fastest dividend payers in the market. >> marco, are you on board with that how should investors be weary or not in the likelihood that they would be paying the dividends at the income level now >> i think that broader problem with this strategy, and i agree with the bonds, there is a problem of risk/reward with

these yields, however with the past expansion, it has afforded the investors the comfort of risk parity strategies where you could basically hedge any sort of correction with the long position in bonds. that does not exist any more, and risk parity and we have reward disparity, and so it is to purely alpha and you are seeing that today. nowhere to hide. i think that the message for investors is that, well, u.s. equities did well in the last cycle because they are really built for the inflationary cycle and inpeptepidness, and we need seek other leverage for this type of expansion. >> what about, it nancy? if you want more safety than dividend-paying stock, do you have to go to cash

>> no, i don't think so. the managements of these companies are setting the dividend as a portion of what they believe is the long-term sustainable earnings power is. so if blackrock is raising the dividends at 30% or t. rowe at 20%, then we know what is happening there. and so we have a convertible strategy, and no equities and so it is balanced quite nicely and put the protection there. so you can't expect to make the money with the bonds after a 40% bond market and rates at a historic low. there are some portions of the bond market that you can make money in and not across the board. >> what about it, marko? are there bond funds or e, the fs -- etfs that you can trust to keep up with the low rally

>> when the yields are coming in massively, and pockets at the emerging markets and frontiers, but the way to think about the future is that the dividend paying stocks are the bonds, and for high returns, you have to seek emerging markets and commodities. >> all right. thank you. marko and nancy. with the stocks moving on today, and out with a note today predicting a 10% pullback ahead saying that the investors should start to look for stocks with strong pricing power like microsoft and go to cnbc.com/pro for the full list, we have a look at the bonds up for auction, and we check in with rick santelli. >> hi, jon. yes, $27 billion of the 20-year notes and the 10th auction that we brought back the 20-years last year if you will recall and this is the worst of all of the auctions. the auction came in 1.92%, and the one issued market looked like trading 1.29, and priced

horribly and the bid to cover is 1.25 is the lowest of the nine current shaungs and 54.9 which is the lowest of all of the nine auctions. and so the only directs is the only one above, and 1.29 is going to dealers so that is a big chunk stuck in hands of the dealers. granted the rates are not going up forever, and as a matter of fact we had a big reprieve today, the mid-130s is a good place for the 10-year yields to stop, and that is the key bottoms for 2012 and 2016. back to you, jon fortt. >> that is a lot of smart stuff on bonds, rick santelli. >> and now to the important national story, the deadly winter storm leaving millions in texas without power and sending the energy prices higher. brian sullivan is going to join me with the latest. brian, what is going on? >> well, i wish i had better news. the latest is bad. 1.3 million people in texas

without power according to power outage.us. 3.3 million and those are probably households and multi million more people, because those are electricity customers. the situation is so bad that the mayor of houston suggests that you boil all water that you might consume or even bathe with. now, if the stove is lectric, you can't boil anything, because you don't have any flame, and if you have gas, it might work otherwise, and some are worried that the water is contaminated, but houston is 2 fourth largest metropolitan area in the united states. nup up in austin, not much better. aed the primary energy provider said that folks should not expect to get power back for another day or two longer, or longer is the words there. and the confluence of problems

there. certainly, you have electricity that we talked about yesterday still traded at 10,000-plus percent mark-ups. >> wow. >> a trade done today at the 9,000 cap, and jon, i want to put that in perspective and i want to steal paul sankey's research data. the price of electricity is traded at the equivalent price of $15,000 for a barrel of oil which would be jon, are you ready? $850 roughly for a gallon of gasoline. that is what some electricity is still trading for in texas >> that is the equivalent of $1,000 for a bundle of firewood for what it does. i don't know. but, brian, my structural question is here, that i have been reading all sorts of stuff how this is about texas' independent streak that got us into this situation and the

power grid being cut off from other areas. are there structural changes that you get the sense that people that you are talking to that are likely tom come out o this lord willing that we get through this >> i mean, the answer is probably going to bleed into power lunch, but i will do the best i can. they had this problem in 1989, and they had a big report in 1990 saying that we have to solve the winter problem and had nit 2011 and a big report saying that we have to solve the winter problem, and that is my texas regulator voice. they have had it before and nothing new. part of the problem to your point is that they have their own grid it is not the entire problem, and listen, everybody is looking for somebody to point the fingers at. and i tweeted today, can we get the heat on and then fight about it. some people are my side, fossil fuels rule, and the renewables are terrible, because the wind

turbines are down, and there are gi gigawatts are down, and it is all true. and pipelines freeze, and people are living out in the cold, and piles of coal are frozen solid, so anything that could go wrong went wrong, and in the meantime, 3 million households are sitting there freezing the what's off while people are dithering about whose fault it is. solve the problem, and then worry about it. >> take care of the people there. >> i apologize for getting worked up. >> the human lives are the most important, but tell me also, because we are, the business channel, but are there publicly traded companies involved affected by all of this? >> by the way, i wish this wasn't coffee, but i am throwing

that out there, it is. so the four biggest the san antonio commission, and austin energy and you have vistra, the biggest and the tick ter nrg and then you have nextera which is wind. if you have power and you can make a fortune, and they have taken the stuff down on purpose, and nrg is a trader, and so nextera is one of the hottest stocks which is all wind over the last two years or so, and those are the names and the companies that you have to pay attention to. i am sure that regulators will be coming to calling to them and ercot and all of the other things the, but it is a confluence of events down there in texas that unfortunately has 3 million households sitting in

the cold. don't know when they will have heat again and worried. >> they have to get power and heat to texas. brian, thank you. >> coming up, robinhood heads to d.c. and the ceo is set to testify in front of congress about the reddit fueled mania. and we will talk to members of congress about some of the questions they plan to ask. and apple is taking the fight across the pond. and tesla may be adding to the fight and bringing bitcoin to their business. mii mar talk to the yoof amabout the fight ahead. this is "the exchange" on cnbc.

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welcome back. the house financial services committee is ready for the first hearing on gamestop mania tomorrow. the focus is short selling, online trade platforms and gamfication and the impact on retail investors in the hot seat is going to be the ceo of robinhood, and the ceo of reddit, and keith gill, and joining me right now is the representative brad sherman, a democrat from california and rich hill, a republican from arkansas.

gentlemen, thank you for being with me, and congressman hill, to start, what is the big outstanding question here? when we first heard the calls for this testimony, there were questions about what exactly robinhood was doing and why, and we have a few of the answers, but what are the big outstanding questions for you? >> well, thanks for having me, jon, and it is good to see my good friend brad sherman. we appreciate the democratization of trading, and more people participating and trading, and that is a good thing, but we want to understand why they had a capitalization problem. in the midst of the gamestop day, and amc, robinhood was clearly undercapitalized that caused a problem in the clearing firms, and that is a key issue to look at, because it affected the transactions by consumers,

their customers. >> congressman sherman, vi questions of whether this is a democratization of something, because this is more about trading, it seems to me, than it is about investing, and part of the reason perhaps why robinhood did not have the money in reserve is because it is not charging people, and it is not trying to make a lot of money in different ways, so are you comfortable with the robinhood structure and what that encouraging the retail investors to do? >> well, i am not a fan of the day trading, because it is bad for the ratings, but i believe that the investments should be boring, and i epitomize that. i am concerned that robinhood is a glorification of the gamefication of investments. i figure that if you want an exciting video interface, you should go to gamestop and buy video game, and don't go to robinhood and buy gamestop. but i think that it is picking

up what french had to say about the capitol, we have an antiquated system where if the customer of robinhood wants to buy the stock, robinhood's capital is posted for a period of two days. we either ought to go to a much quicker settlement process or some system where it is the customer's capital and not broker's capital that is put up in some escrow for two days, but to tell the brokers to take risks in order to serve the customers waits for the days when they refuse to take those risks. >> congressman hill, i wonder your take on the structural implications here. i mean, whether it is the democratization or not, and that is open to argument, but we have a system now where the retail investors are being encouraged to do riskier and riskier sorts of trading after the market has been on a spectacular run. is that is going to come up at the hearing or more about the mechanics of what is going to

happen with gamestop >> i think it is going to come up in discussion. it is an important issue. investing is a long-term issue completely connected with your personal views and your personal time horizon. and some of the points that brad made about the gamefication of investing are potentially harmful. they are subject to caveat emptor that they understand what they are doing, but i would look at the qualifications that robinhood is using in the algorithm, and are they qualified to be trading in options and to participate in the stocks that have a low price, say under $5. what about the quall ificationst be on margin these are all questions appropriate to educating the consumers that use the robinhood platform, and are they ready to be in investing, and learn that

it is not a game it is a long-term opportunity to save and invest over to long haul. >> congressman sherman, i have to say that this is 2021, and we have a democrat from california and republican from arkansas on tv calling each other friend, and it is going to sound like ironically and basically agreeing on something, and is this pointing to getting something done when it comes to the economy and business in congress >> i think that on matters that are not front page or partisan, yes, but i don't see us voting together on a gun bill, but i would like to comment that at this hearing, we have to look at the payment for order flow model, and the difference between the bid and the ask. >> we will take what we can get.

we enjoy the bipartisan moments when we have them. thank you congressman brad sherman and congress french hill. now, coming up, while congress is looking at reddit and robinhood, we want to wager on the simple yes or no questions about the future events we have the details, and if you live in one state and work in another, your taxes this year, they could get messy if home is now your office. we will look at why. the exchange is now back in two. ♪♪ ♪♪

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welcome back to "the exchange." let's get a check on the market. the dow was down 184 to the low, and the s&p and the nasdaq having the worst day. the discretionary and communication services are the leaders and information and technology is the biggest laggards at the moment. the biggest individual movers are shares of biotech technology is higher on the news that it is expanding the vaccine technology with glaxosmithkline and other therapies for other diseases. and wingstop is lower. and other sales of the wing products is the head wing there. and shares of la-z-boy is lower, and with the guy dance of the higher costs of the profit with

the company announcing the departure of the ceo at the end of april. and now, let's get a news update from rahel solomon. >> hi, jon. this is what is happening at this hour. let's start with the white house saying that johnson and johnson has a few million of the doses of the vaccine available for distribution and that is despite closing in on the authorization of the food and drug administration. the man who inspired the film "hotel rwanda" is being charged on charges in rwanda. and he is hailed for saving the tutsis in the rwandan genocide. the husband of queen elizabeth, prince philip is being admitted to the hospital and not covid-related. and plants were shutdown thursday due to the utility

crisis in texas, and that is not the only issue n. austin, the long lines forming at grocery stores as people rushed to buy essentials as they are waiting for power to be restored. tune into the news with shepard smith to learn more about how that state is handling the crisis. jon, back to you. >> thank you, rahel. now, ahead, why one analyst says that square can rally another 20%. and apple takes the battle overseas. bitcoin is taking the battle to miami. that is ahead on "rapid fire." and just ahead, more of our honoring of black history month, and we have akhbar gbajilamia.

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let's catch up on a few stories that should be on your radar. it is time for "rapid fire." and here to break down the headlines is bob pisani and julia boorstin and burt, a developer. and so now, looking at fortnite, there is a complaint with the european commission saying that the 30% cut that apple takes from the app store purchasers is anti-competitive. and so it was kicked off of the app, because they launch their own app payment, and so then it responded with a spoof and lawsuit of its own. so i want to go to you first on this one, and whether it is north dakota or the eu, i mean, the coalition for app fairness

is going after apple. >> yeah, absolutely. and, you know, these lawsuits in europe have had effects before, so spotify famously filed the anti-competition or its competition lawsuit against apple in the eu first, and we have seen apple slowly open it up in response. and so this is the default on the home pod, and you can listen to it on the apple watch. and so these european suits move faster and exert a little pressure, so it is going to be interesting to see how it plays out given that there is a lawsuit in the united states. >> julia, is that going to work? apple has a lot of money to fight these kinds of lawsuits. and bull market for lobbyists either way >> apple does have a lot of money, but it has made some concessions lowering someof th

f fees for some of the developers and apple is fighting on two ways, and not only fortnite, but spotify matched the companies fed up with paying the high fees, and then you have to ad-supported apps such as facebook who are pushing back on the operating change that makes them harder to target advertising so apple has the hands full here, and yes, they will fight it in court, but they are likely going to have to make more compromises. >> bob, the end of the line when they are attackedt the federal level, and the state level and the eu or a sign that they are so strong and nothing can stop them >> well, listen, this is who controls the flow of money controls the world. apple has a successful ecosystem because the users like me and you, jon, we feel that it is safe, relatively secure, and it works. and they are not going to give up much control if they don't have to. with that said, all of this stuff going on in the eu is a

backdoor way to rein in the u.s. tech giants, and it is a inevitable and we have seen it throughout history starting with standard oil and going up with company like ibm, and it is a natural evolution going on, but apple is going to be fine. >> and neither standard oil or ibm is a trillion dollar cap, and make of that if you will. and bob, i want to get your opinion of deutsche bank, and the firm is raising the price target to street high of 330/share, and deutsche bank is saying that it believes that square was a recovery play last year, and even bigger in 2021, and they cite bitcoin to be a promising area, and the fintech area cash app and they are looking at the profit growth the reach as high as 85%, and the new price target implies nearly 20% upside from here you can see the shares of square up 700% from the year low, and

down a little bit today, but bob, bitcoin, cash app, and that is not what square is at core. i mean -- >> no. >> is that the reason to be excited about -- >> well, it gave -- >> tell me. >> it is not what square is about, but you have to admit, it is helping to drive the whole thing to bitcoin. first off, you had the pandemic driving. then you had stimulus driving spending overall, and just look at the payment apps in general. not just square, but paypal or venmo or western union all doing bigger here, and by thinke eers- big thinkers, and we just had on cathie wood, and one of the biggest holdings is square. and so it is also holding in the next generation internet fund that she has as well, and so people who are innovative and forward thinking like cathie

wood think it is forward moving with or without bitcoin. >> and so, people like jack dorsey running twitter and square, and he was talking about after kicking off president trump off, and now the attention to square, and what do we make of dorsey and the bitcoin and the value of the companies >> dorsey loves bitcoin, and look, it is remarkable that he can run the two public companies for as long as he has, and forget about how much square is up from the lows this year, but if you are looking over the last 12 months, square is up 225%, and so we are talking about the meaningful growth in what i would say that dorsey has tapped into here is the idea that people want to have digital access whether it is to conversations on twitter or to payments with square. this is a company square that has seen an acceleration due to the pandemic, and yes, it is going to be getting another boost from the stimulus, but this acceleration, and the trend

that we have seen due to the pandemic, and people doing it virtually is going to be sticking around, and dorsey is going to benefit from it. >> do you believe this is what square is for? >> well, the transition around pandemic is what is here to stay and what is snapping back? my thought of consumer apps and it is a hard road to get people to sign up for a new app or change a behavior, and the pandemic has made people pay virtually and it is easier so when you are actually going to end up going back to the restaurants and doing the classic square transaction and in person again, you are going to be saying, why am i using my phone than plastic and the united states is way behind in virtual payments, and this is a big opportunity. >> and so check out the decoder podcast with nilay patel. and are you feeling lucky? we will soon let you bet on

simple yes/no questions, and that platform is going to allow you the wager on future events of economic developments to the weather. some sample questions from the website, will turkey join the eu will real gdp increase in quarter? is 50% of the population going to be vaccinated for the covid-19, and that is going to be launching next month and it comes with charles schwab, and, julia is everything a gameified platform is that what we are reduced to >> well, my question is does this appeal to the robinhood traders talking about the gamestop on reddit is this appealing to people who want to bet on sports that maybe their favorite sport is not in season, and people can gamble on everything what is so interesting about this is that you don't make a bet and play it out, you can trade these bets, and this

company raised $30 million and they were approved by the commodities trading commission, and so this is a serious venture to trade on the bets it is remarkable, jon. it is going to be interesting to see what happens on this platform and how popular it is. >> nilay, i only like it if i can sure bet. nilay, maybe you didn't hear that. go ahead, bob. >> the answer to your question, jon, yes, everything is gameified and we should be concerned about this. this is no longer who is going to win the super bowl, and you put up three questions, and my question is if every gaming app is going to extend into every possible aspect of your life. it is no longer who is going to win the super bowl, and now you can bet on whether the quarterback is going to make a completion on the next pass, and everything is sliced and diced into infinite varieties, and so we all go down the rabbit hole of infinite speculation on silly

items frankly, and to sound a little retro on all of this, but it is a slippery slope. you were right, jon, everything, everything is going to be bet upon including whether or not texas makes it through the weekend or any other endeavor that you want to put it on. >> we don't want to leave that to chance. and ev battery maker quantum scape is having a very good day. they had reported a loss of $700 million in the fourth quarter, but the investors, they don't seem to mind. and the stock is soaring and they plan to build a facility in san jose, california, where i used to live, and intend to produce battery cells by 2023. and so the ceo saying to address the risk in maintaining an ambitious schedule. >> i don't want to diminish the task ahead, but at the end of the day, we feel that we have a

schedule that is in fact achievable, and we have the cash balance and the valuation of the customer support that we need to pull it off, and we are going to do our best to make it happen. >> and nilaya $20 billion market cap at this point? have we seen stuff like this before >> the history of the battery is slow. it is iterative improvement on the core technology, and we have not seen core technology improvement past the lithium technology, and if you are the company to develop this, then everybody is to look to decrease density and increase the charge times and you drive not only in evs, but laptops and phones and everything else that requires a battery, and you are in the prime position to capitalize on that for a long time, and i can see why the money is going through the companies, and they

have one technical breakthrough and not a distribution breakthrough, so that is one of the places that we are always looking for the paradigm shift instead of the iterative improvement. >> so on calshi, you are betting no. so thank you, all. miami is known for all of the beaches and the night life, but the mayor suarez is hoping to build up the reputation as crypto-friendly city. he is going to far as to pay the workers in crypto. he is going to join me next. because when it's decision time, you need decision tech. only from fidelity.

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>> we have had quite a bit of breaking news in cybersecurity, and imon javers has more. >> yes, jon. over at the white house, the new secretary of security anne newberger is offering up the

scope of the solar winds cyber breach we saw over the last few months and she called it likely russian origin and said nine federal agencies and as many as 100 private sector companies have been compromised as a result of this hack. that is the first time that we have been given the scope of the damage here. she said that about8,000 entities downloaded the malicious software at the core, and even more malicious than the ones that have been compromised as a result of the attack. the u.s. government is formulating the response, and not clear when the government is going to name russia if this is who it was, as the entity if this is who it was and respond it to, and the government is tightening up the cyber defenses and closing up the loopholes that allowed this malicious software to get access in the first place. so a sense of the scale of this, and the 100 private sector

companies is important, because we have not seen the public disclosures from nearly that many public companies. so it is potential that here the damage to corporate america is much broader than the investors may know at least so far, jon. back to you. >> thank you. deeply concerning, eamon javers. >> thank you. and working from home is easy enough until it is time to do your taxes. a lack of commute iseang lvi some how to file, and how much money they will get back. and now, you can watch us live on the go by using cnbc app. we will be right back. h ibm. a hybrid cloud approach helps them personalize experiences with watson ai while helping keep data secure. ♪ ♪ ♪ from banking to manufacturing, businesses are going with a smarter hybrid cloud, using the tools, platform and expertise of ibm. ♪ ♪ ♪

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miami is looking to attract tech companies and entrepreneurs. its latest incentive is to move to a bitcoin and cryptocurrency hub, the city commission just passed a resolution to study transfer to bitcoin for transactions mayor suarez, thank you for joining us. >> it's good to be here. >> what's the practical incentive for a using bitcoin in this ways, beyond the fact it's

buzzy right now? >> i think the fact that buzzy is important we are positioning ourselves as one of the most tech-friendly cities in the momenter wee seeing people flying from high-tech cities and states around the country the fact that our weather is as good as it is this time of the year s. our city has been reducing in crime, those all form a new narrative for miami, that we are going to be leaders in a knowledge-based economy the bitcoin part of it is making sure that people understand that we're going to be crypto-friendly in miami we're going to allow our employ companies to be paid by crypto, for our residents to pay feeses in crypto, and look at the possibility of investing into it i look prophetic when i began this crew says, this was in the 30s, now it's breached the 50s, so it makes me

look good certainly with my accountant. >> what happens if it moves the other way, as bitcoin has been known to do, though. you know thursday it's at 50, and then on friday when the employee gets the pay it's at 25 what do you do then? >> first of all, i don't think there's going to be a 50% swing in value that way, but the intermediary that would trade out of the position and it will be an instantaneous tray when the employees gets paid, instantly they get pate in bitcoin, so there will never be a wild he -- so it could be a reputable he company, to ensure there won't be losses. they can bear those losses now our employees, not the city. >> i do -- we've seen some crazy moves in bitcoin both up and

down, you southern of wonder what happening there, but mayor, you've been building a lot of buzz around getting companies and entrepreneurs to move to miami. what is the next big moment, you think, in this rebranding that you've been doing so successfully on social so far? >> we've been working on major announcements that hopefully in march we'll be able to announce in terms of major hedge funds coming to the city and a make technology company that will announce a large footprint in the city they're big, big companies, big international companies, one is a $70 billion hedge fund the other is a very well-known technology company that just about everybody in the world knows the name of. those are the things we are working on now we're also creating initiatives based on technology equity, making sure everybody in our

city has an opportunity to experience success it's a singular moment in our history and we want to capitalize on it. >> all right miami mayor francis suarez, quite a move you've been making so far we look forward to some of those announcements you have coming next. >> thank you, jon. now, commuting to another state for work can be a drag, but work from home is becoming a different kind of headache for employees on the tax front robert frank is here with more on that story. robert, what's the trouble with the taxes? >> there's a lot of trouble with the taxes, jon covid has just scram abled where millions of americans live and work that's just created a huge tax headache for those trying to figure out which state to pay and how much now, accountants say the first step is to count your days if you live and work in a state other than your tax domicile, you may be subject to income tax

in that state, depending on those state rules. that's why you also need to check each state rules on covid re relief most stays they have waived any claim for income tax on temporary residents, but some have not released details, so you've got to make sure when you document any move or you plan to move, you leave a pay trail. if you're in new york, you left no florida, you want to avoid new york taxes, you have to show proof of when you intended to move there are billions at stake. new hampshire is actually suing massachusetts, which continues to tack -- who used to commute, but in and out haven't now that case is before the supreme court. same for new york, which continues to tax former commuters who haven't set foot in new york state since march. over 400,000 people used to commute from new york -- from new jersey to new york before covid, s&p 500 estimates new york state will take more than a

billion dollars in tax revenue and more from connecticut for workers who still remain out of state. this is just going to be an issue long after covid. >> what happens with this tax issue after we get out of this covid situation and people either continue to work from home or are back in the office i mean, i imagine states will be playing tug of war over this revenue. >> absolutely. that's a great way to put it the tax code is not built for this future where a lot of people permanently work from home new york, the way it is now, if you report to google in new york city, but you're going to work from home in north carolina, new york state will tax you for every single day you are paid. that just doesn't make sense everyone is looking to the supreme court to answer this question and there could be huge tax dollars at risk for all the

states, depending on had you it goes. >> i can imagine commercialis asking people to come back into the office chgethat ask it for "the exan." the fed minutes are out in just a few moments. president markets will look for any tapering "power lunch" has them, after this quick break for smarter trading decisions. fidelity. flexshares etfs are built with advanced modeling. to fill portfolio gaps and target specific goals. strengthening client confidence in you. before investing consider the fund's investment objectives, risks, charges and expenses. go to flexshares.com for a prospectus containing this information. read it carefully. the lexus es, now available with all-wheel drive. this rain is bananas. lease the 2021 es 250 all-wheel drive for $349 a month for thirty six months. experience amazing at your lexus dealer.

here's aj! when are you going back into the office? i don't know dad... ♪ well we have a safety net. we'll be ok right? ♪

hi, welcome to "power lunch. glad i could join us for the hour the ten-year yield continues to ri rise, and bitcoin flashing through 51,000 now, and there's a rush on wall street to profit from the cryptocraze we're going to talk about one company that is take on grayscale's trust. and wild weather sweeping is the country the. we're going to talk to