now at 30 times expected earnings for this year, you for example it's expensive speaking of the treasury yields, we are seeing that up about .1%. 175% higher now than the dividend yields for the s&p 500, tyler. >> all right contessa, we will see you tomorrow thanks for watching "power lunch," everything "closing bell" with sara and wilf starts right now. >> welcome to the "closing bell," everyone. i'm wilfred frost along with sara eisen volatility back in a big way on wall street. stocks plunging after wednesday's wild turn around sends the dow to a record close. feels like a long time ago treasury yields spiking the ten-year touching above 176% hitting its highest level in more than a year that's putting serious pressure on the nasdaq. today's selloff comes despite upbeat day, fewer jobless claims and goods orders

and a breath taking surge for game to be during yesterday's show when the stock doubled in the final few minutes of the day. there is a reason why we call it the most important hour of the trading day. in fact, many reasons why. 59 minutes left, sara, game stop still up 62% not much else is higher. the nasdaq is down sharply. >> yeah. we have proven it every single day, including yesterday when that sudden spike in game stop happened on today's show we will have much more on game stop's rise and the mark's fall when we are joined by alfalfa one's dan niles. tom lee from fundstrat stephanie link -- plenty of investments advise heading our way. this afternoon is shaping up to be one of the business yegs yet and we get results from airbnb,

doordash, virginia galactic and nikola kate rooney has the game stop latest, mike santoli tracking the markets. and ryan gates from dough which caters to retail traders mike, game stop is surging and yields are back up again, tress res are up. >> the treasury market has been search forth the pain points in terms of yield and the speed in which we get there in equities that caused selling in the middle of the day in treasuries, 1:00 when the treasury auction for seven year debt didn't go well that's when you saw the flush. we bounced there here's the s&p just above 2800, we have found stickiness there what we are doing is going back to january's highs

is that an area where maybe we can get ratification this uptrend? it is similar to what happened back in january when we go back to december's highs. i doesn't always work this way but it is not uncommon for the market to go back and test and see if it finds buyers in those areas. you talk about game stop take a look at some of the areas that are on the whip end of small investor appetite. micro caps up 24%. interactive brokers of course a huge direct play on the excitement of smaller traders, up 23% draftkings as well a. spac, no less and also obviously a sports betting place. this is still a market with all of this kind of energy running through it did want to take a longer term look at long term treasuries the tlt, etf, 20 years and above in terms of maturity this is a massively dramatic and steep selloff in bonds yields very high if you look at readings of how

oversold it is on a technical base, it is extreme. similar to this back here back in 2016, 2017, similar to what we saw also in 2007. i am talking about more of the oversold readings. it doesn't mean it shoots higher and rates go back to where they were, but perhaps we are getting to the point for the risk reward for owning longer term treasuries at least for a break in this trend might be close at hand. >> tesla down 7% apple down 3%. the arc innovation fund down 1% for the week mike, the question is, does the rate spike continue? and really, what i am asking is what is exactly behind it? there is a lot of talk of inflation. couldn't it just be a mark that is adjusting to improved growth prospects? >> that's exactly what it is the market is in a jagged way with a lot of -- a little bit of tumult along the way adjusting to the better growth outlook, more fiscal stimulus

gdp estimates for this year are way above where they were just at the beginning of the year all of that stuff is getting filtered through the rates market in terms of where treasury as trading and relative stock market if you think the job is the price economic growth higher you are selling the secular growth stocks to the benefit. it doesn't mean we are going in a straight line. we are probably getting to the point where there is give and take one of the reasons for the action today is the cycleareas they look like they needed a rest they are getting a rest today in terms of pullbacks today it doesn't lock seamless rotation it looks like a broader markdown across the board. >> nothing is working. all sectors are lower. consumer discretionary hardest hit, down 3%. news coming in on hp, spiking moments ago and then being halted josh lipton with the details

what's going on. >> hp earnings results crossing earlier than expected. i have got results for you, q 1 eps, 93 cents a beat revenue up, also stronger. street was closer to $15 billion. for q 2 her looking for eps between 84 and 90. street was at 61 for the year, also better, 315 to 325 designating into the segments, pcs, $10.6 billion, and intd wering $5 billion. i had a chance to catch up with hp ceo to talk about the trends he is seeing and we talked about pc command in 2021 what does it look like as the vaccines roll out and the world hopefully returns to normal. he sounded confident saying pc is going to stay strong for the foreseeable future people realing how important the pc is to working and learning and playing. more people, he is going to bet

here is going to work this the hybrid model from home and office even post pandemic. i asked him about chip supply constraints for the pc, is he feeling that enrique telling me they are feeling it because the market is so strong. the market is about 40 45% bigger than before the pandemic. it is hard to respond to that from a supply perspective. hp could have done better, he suggested the me if there was more supply. they have been on a strong run of 25% in the past three months. halted for now we will bring you more headlines as we get them. >> josh, thanks for those numbers coming early one of the rare stocks that is higher as we spi speak. while the market up theibles, game stop is higher, exploding higher for the second straight day echoing the frenzied moves we saw in january. kate rooney has more for us on the wild saga of game stop >> that's right, wilf.

retail traders are helping to revive game stop it is up more than 60% today in just two days, it added more than 5 billion to its market cap. this whole game stop spark really reignited yesterday in the final hour of trading as people on reddit started talking about that stock according to think um a data firm that mentions mentions on sold, talk of game stop ticked up around 3:00 a.m. wednesday. total mentioned doubled by 6:00 p.m. as you can see, that coincided with the stock move. reddit stock went down during that time. as for expectations for what caused this range from the cfo departing to a tweet from ceo showing an ice cream cone and people are speculating that means coen is looking to fix reddit collar to mcdonald's ice

cream machines that often break down and he is coming in to fix it a lot of talk on that tweet. game stop is seeing its biggest advance since january 29th that is the day robinhood first restricted trading on that stock. it is not just game stop today check out shares of other meme stocks amc, nokia, and koss, all up despite the broader selloff. >> the dow is back down 525 points, 2.3% down on the s&p nasdaq more than 3% lower. joining us now, back to game stop is dough chief marketing strategy ryan grace. thank you for joining us if you had to work out or try to explain to people why you think game stop surged as it did 24 hours ago, what would you say is the key reason. >> thank you for having me we have to ask the question, is this market structure or one supported by fundamentals? i certainly understand a lot of

the excitement around game stop from the fundamentals standpoint, ryan cohen coming in there is potential for it to become an e-commerce provider. or participate in e sports while there is excitement for fundamentals on the other hand if we ask ourselves, is this another short squeeze? i argue it is different this time around. the short percentage, or the percentage of the flow that's short is down 140% to roughly 40%. i don't think it is going to be the same scenario if that's what some investors are looking for most importantly we need to respect the volatility in this became when you look at the options market, there is a 400% implied volatility over the week we could see the stock trade down to 60 or up to 230. i think given that volatility it is important the size investments accordingly. >> ryan, are you seeing your clients react very quickly across matters of minutes when things start to move >> well, we are certainly seeing an increase in participation in

some of the meme stocks for example, but when you look at the peak in january we are still about 25% lower from there while there is some excitement around what's going on in game stop through conversations with our customers many of emthem are more focused on the rise in interest rates, how is it going to affect the tech sector. also, why is gold moving lower with the dollar here they are focused on game stop but really across the macro space as well. >> and bitcoin, holding up proving resilient here in this selloff, ryan. what about some of the other stocks i think you said in the notes that amc was actually a bigger focus than game stop, or more widely traded? >> when we look at our customer base, participation in game stop but amc seeing a little bit more activity maybe that's due to a little bit lower volatility could be a lower price point as well we are certainly seeing activity our customers are participating in a market well beyond just

some of these individual names. >> amc has actually gone negative, down 2.3%. ryan, thanks for joining with us that color, we appreciate it. when we come back, the major afternoons are deep in the red today as we head into the close. the dow at a session low, down more than 500. we are heading back down as we speak. down 493 on the dow. when we come back, investor dan niles weighs in on the plunge in the nasdaq whether he is buying the dip in big tech you are watching "closing bell" you are watching "closing bell" on cnbc. discovered the pd-l1 pathway. pd-l1. they changed how the world fights cancer. blocking the pd-l1 protein, lets the immune system attack, attack, attack cancer. pd-l1 transformed,

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44 minutes left of trade the dow is down 534 points the session low was down 590 sector heat map. s&p 500, down 2.4% shows the weak seasons broad every sector is lower. the hardest hit, consumer discretionary.

and technology communication services as well they usually march together. they are all lower utilities faring the best, down only .9% everybody else is down more than 1% for more on today's selloff, let's bring in dan niles from alpha one capital partners when you joined at the end of last year and gave your picks for this year you did not include some of the beloved hot technology stocks and you were worried approximate this stareio, higher rates putting pressure on valuation. is this playing out as you expected >> pretty much unfortunately. i must say as you remember, sara, exiting last year, the ten-year treasury was at .9% and everybody was thinking about the fed keeping rates low at least through 2023 there was no real -- well, there were some building signs of inflation, but moet people weren't really worried about it. but if you looked at the data at the time, it looked like there was a lot of commodity inflation

in the pipeline. we have charts on our website, dan niles.com, and you can see some of the thing that we are concerned about. auto prices, used car prices up 10 to 15%. commodity price, copper, you know, nickel, or even agricultural stuff, corn -- soy beans up 50 to 60% and this is with the economies globally really shut down. what happens when all this opens up, middle this year when we hopefully have vaccines and are getting on airplanes going to hawaii and going to movies, et ce cetera, it is going to get a lot worse i think. >> so that your stillcurrent posture? or have you seen enough pain in places like tesla, down another 7.5% today, nvidia down 8% despite putting up a pretty decent quarter any enticing buys amid the wreck. >> absolutely not. i mean i don't know how anybody can think tesla is enticing when i think their revenue growth last year was 25% or so.

i may be off but the stock was up 700%. so the problem right now, the only tech pick we had if you remember coming into this year, and you put it beautifully you said it is so unsexy, was oracle it was trading at 14 times, it had been given up for dead, had no revenue growth for the last three years and it is hitting a 52-week high today for us, the areas of tech that are interesting are the ones where you can hopefully find gems within the rubble because most -- you know, most valuations are at all-time record highs aboutf you look at market cap to gdp which is one of the slides on dan niles.com that's sitting at 178 tomb the market cap of the united states stock market divided by gdp. at the peak of the tech bubble that was sitting at 1.4 times and the average over the last 50 years is .8. this should make you really nervous because of that. the other thing that should

scare you is that, you know, normally people have a balanced portfolio between bonds and stocks so if stocks go down, then bond prices typically go up that's been going on for arguably 40 years, and at least since the global financial crisis this. one should care you because bonds are selling off along with stocks and that's going to cause major issues for trillions of dollars of portfolios that are managed with the 60/40 mix or so between those two. and that can cause further derisking causing stocks to go down and that's what bothers me. >> dan, clearly going long, jp morgan and the xle was a good call they are up 19% and 31% respectively they are not as much in the eye of the storm in the selling today because of course they are not in the tech sector, there are multiples aren't as high and rising rates doesn't hurt them and may help them. they are up a very long way. are you now happy to take profits each in those names,

too? >> that's a great question, wilfred. i mean, you mentioned the xle. it is up 30-something percent. the thing was, it was down 37% last year. to get back to just even, i had needs to be up about probably 60%. you are not even close on that and if you look at the banks, jp morgan in particular was down 9% last year. the good news is these were sectors that were hated last year for good reason, ten-year treasuries got down to .35%, banks can't make much money lending at those low levels. energy was hammered as oil prices went to negative 35 in april and a lot of the companies were on the verge of bankruptcy. i think that's the good news is people still in general if they own them they generally own them reluctantly if they own them at all and tech for good reason, because it benefits the most from low interest rates because it's long duration asset, those things have sky high valuations

and a lot of people still own them so i think that's where you need to be very, very careful looking forward. so we still like betting on inflation, beth on ting on highr rates, betting on getting vaccinated, eating out, going on vacation, that's not good for the stock market because rates have to go up and that's been an argument for 40 years, at least since the global financial crisis. >> even though the fed chair said dan many times this week in his two days of congressional testimony that inflation, likely to be transitory, not a big threat. >> yeah. >> it has been super low for a long time there is a lot of slack in the economy and he is not planning on doing anything with rates and not planning on tapering the bond purchases program. are you betting against that >> absolutely. that was a fantastic question,

sara i am glad you asked it for those of you who have been doing this for a while you might remember 2007, when ben bernanke chairman of the federal reserve -- his famous statement was, we believe the sub-prime crisis is well contained that was the summer of '07 i think we found out it was anything but well-contained n. terms of transitory impacts of inflation, the problem is, you can't grow a -- you know, an orange tree overnight. you can't build a new zinc mine or a copper mine overnight and especially in this environment where people are focussed on green energy oil and gas, mining those things -- the supply is going to be severely restrictive. so it should really worry you that you have got, you know, a lot of these metals as well as oil up so much year over year when demand is so much below normal levels and you know that governments around the world won't let supply ramp up

as for the fed, i mean, they had no clue that we had a financial crisis in '07. thinking this is transitory, that's great for them in an ivory tower. but last time i checked people had to go to the store to buy food and groceries and people had to drive places. you know, i never agreed with the inflation metric that they use anyway and i think it is a problem for some of the people who can handle it the least well, where food and energy are a big portion of their budget. >> to what extent is game stop's performance over the last 24 hours causing today's selloff with degrossing and everything else and what is your position on game stop as we stand today, if at all >> yeah, i mean -- i think the problem is is that when you talk about the markets and you look at certain pockets of the market and the so-called meme stocks as well when you see a rationality in those faces, it has to make you really worried about companies with real businesses like tesla.

sara asked that question earlier. tesla, we all know, is going to be a much bigger company in the future than it is today in terms of revenue the problem is -- i think i have said this before, if you go back to 2000, amazon had -- in 1999, at its peak, amazon was trading at $106 a share and did $176 billion in revenues. in 2021 the revenues went from $1.6 billion to $3.1 billion the stock went from 106 to 6 at its low from peak to trough while the rurves were doubling that's because the stock had run up so much in the late '90s. i think that's the problem you have got right now ridiculous valuations in certain sectors. you brought up the meme stocks you know and that should make you concerned about the real companies like the amazons of this generation, including amazon, i guess, as well as tesla, of what could happen if things start to unwind because

you had 4,000 internet companies going to zero after the tech bubble broke and that affected the real companies like amazon. and you should be concerned about that if you know your history. >> thank you for joining us. >> my pleasure. 35 minutes left in the session. we are down 2.5% on the s&p. 590 points on the dow. 3.5% on the nasdaq essentially session lows with 35 minutes left in the session. still to come, we will talk more about the selloff and whether the volatilities are here to stay mike wilson will join us later in the search. areck out some of today's top seched tickers on cnbc game storngs ten-year note, top of the list, no surprise back in a couple s storngs ten-yp of the list, no surprise back in a couple t storngs ten-y, top of the list, no surprise back in a couple o storngs ten-y, top of the list, no surprise back in a couple p storngs ten-y, top of the list, no surprise back in a couple , storngs ten-y, top of the list, no surprise back in a couple

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. losses picking up steam with just about half an hour left of trade. nasdaq down 3.3% time for a cnbc news update with rahel solomon. hi, rahel. >> hello good to see you. here's what's happening at this hour, everyone four people receive their first shot the pfizer biontech vaccine as part of president biden celebrating 50 million vaccines being given since he took office a report is out that says the murder of khashoggi was

ordered by the saudi crown prince. >> the next step is for the president to competent with the king we expect that to happen very soon as you know we committed to the release of an unclassified report that would come out from dni and not fromthe white house. our administration is focused on recalibrating the relationship. >> tonight on the news with shepard smith an in-depth look at how that report could affect u.s./saudi relations >> that's a singing tiger cub at a zoo in siberia the zoo sayswhen he was a cub he started making sounds like that to attract the attention of his mother and he clearly has not stopped it has brought quite a few visitors to see him. wilf, back to you. sort of sounds like you when i sing and i don't know about you, i still make those sounds to get the attention of others.

>> i was going say singing is generous i like the video clip but it didn't sound like singing to me. >> you have got to watch the full length version to really get the melody. >> thanks. session lows moments ago just picked up a fraction off those lows, still down significantly, 275% on the s&p 500. we heard a bearish outlook, reasons to be kaurs, at least from dan niles let's bring in tom lee of fundstrat global advisers. i have a feeling you are going to be more constructive, perhaps, than dan. my first question is, yields rising, vix spiking, game stop of course surging as well with therefore talk of potential degrossing elsewhere which factors are most at play for the selloff today and which worries you the most >> i think it is sort of a cumulative set of effects that broke the camel's back today

i think really going into this week a lot of investors were overweight tech and growth stocks and as you know, they have been really tired and underperforming this year. i mean, they are flat in an s&p up 4%. then with the rise in rates, i think people got even more nervous about growth and i think the game stop today -- it certainly looks highly correlated to the vix, as we said the our clients, i think is giving people echos and nightmares of mid january. i think it contributed to a big ris risk off day does it sort of change the trajectory for markets i don't think. i think the underlying economic data continues to be really good the advice to our clients continues to be add to the epicenter exposure, to cycles. energy is up -- [ no audio ] -- making trades. >> what would make you change that view, tom

are technical levels important to you, if we see a further sort of breakdown of the broader uptrend, would it concern you? are you still focused on the fact that reopening is coming and policy generally remains pretty loose >> i mean, there is -- you know, the epicenter stocks are 30% of the market two thirds of the market is growth you don't want to panic out of growth stocks. so i think part of that is, you know, there is a level of interest rates -- i don't know the level -- that gets everybody nervous. but you know, we are forgetting the fed has a lot of tools left. it is not as if interest rates with rise without concern. the other piece is of course if there is risk to the reopening that's why we have to watch covid really carefully, and the variants the vaccine is pretty effective, but you know it has been uncertain for the last year and it is really difficult to make forecasts. >> tom, looking at session lows

down, dow is down 594 points we are weakening into the close. a lot of down volume today the nasdaq is getting hit hard it is down more than 5% for the week down more than 3% on the day what do you do with some of these big cap tech names like apple which have really thrived during the pandemic is this their business and their stocks. is this a time to buy them, 7% nasdaq off the record high. >> yeah. >> or do you continue to stay away. >> well, i think there are two parts to that. the first is i think the vix spike today is pretty telling because it -- as you know, you historically want to buy a vix spike, meaning you get near maximum risk off i think this is actually an opportunity to be long equities because of the spike but do i recommend people get into the nasdaq or into cyclicals post that spike? i think the real strength today

is on the cyclical stuff i think people should be adding to their cyclical exposure, not necessarily go back into these super high momentum, very expensive, really extended growth stocks that led 2020. >> so, do you think stocks, tom, like tesla are due a big pullback and now that we are experiencing the sort of first relatively prolonged drawdown for that stock, coit be proliferate in a much more meaningful way given the extraordinary run-up it had in the first place and given the role retail traders played and the fact it hasn't pulled back yet. >> people probably won't agree with us and probably oent think we are each on this planet we have to keep in mind, growth has outperformed since 2009. and then growth, relative performance to value parabolic

in 2018 and 2019 and then went super nova last year where it is super extend, it has made people really wealthy it made a lot of careers, so people don't want to give up that growth sort of trade. but if interest rates are rising, you have to ask, you know, in the summer when people go to disney and they see the theme parks open and -- are they going to run back home and buy netflix? are they going back to the gym are they going buy more peloton stock? i think we have to remember the psychology of the economy is going to change once everything is reopen. people are going to discover there is a lot of great businesses that they thought were dead and they want to own them and today most institutions are underweight cyclical stocks. >> final point on bonds because that is what is driving a lot of the action and the selling pressure on tech and really overall today. what do we make of these levels? obviously, in absolute terms

they are still pretty low. but rates are climbing fast. what do you think that is? are you repositions in the portfolio -- i know you like cyclicals -- to get exposure specifically to rising -- [ no audio ] >> yeah, it's -- you know, i don't know why rates are rising. there is many reasons it k. it can rise because it is smell real growth. it could be rising because it is smelling inflation it could be because there is net sellers now. we won't know for a year u.s. interest rates are pretty rich relative to the rest of the world. i think it is creating a natural lid. i think at the end of the day if someone is trying to say this is the y mark republic or runaway inflation that takes a long time to create. i think rise in interest rates doesn't have to signal a lot of scary things even the fed has pointed out in their understanding, it is

rising for the right reasons i might agree with that because the rise in rates is also being led by a rise in commodity stocks, by energy and a rise in financials if this was an inflationary risk developing, you would actually see a risk-off in the tone of equity relative performance. and actually, it has been a very pro cyclical trade that's been really very well outperforming and widening to me, it might be an economy opening central per risk. >> tom lee, good to have you on on a day like today. thank you. >> thanks. >> as we are looking at the markets making you? session lows, the dow is down 650 points here, weakening into the close, 2% more than that for the nasdaq, down more than 3%. there is the picture it has been weaker all day long. and we just are making new lows here i want to draw your attention also to shares of work house this is the utility ev company based out of cincinnati, ohio,

shares spiked moments ago on a report that house democrats vowed to stop a newly announced practice between the postal service and workhorse competitor oshkosh. remember, that contract was to modernize the postal service fleet it had been announced earlier this week workhorse plummeted 50% on the news h to announce a new corporate update and give a news conference on this looks like shares are trading a little bit higher. they were unhalted just on the news that this might not go to oshkosh or if lawmakers are able to sufficient flee block that. we will keep an eye on the story. momentum stocks in focus this afternoon earnings from airbnb, doordash, virgin galactic, nikola and many more we will bring you the numbers as soon as they hit. as we head to break a check on bonds this is the center of the market focus today. yields surging the ten-year briefly spiking above 176% after continue tepid demand at an auction

we are back to 17545rit 0 ghnow. yields causing consternation, we'll be right back. and in an emergency, they need a network that puts them first. that connects them to technology, to each other, and to other agencies. that's why at&t built firstnet with and for first responders the emergency response network authorized by congress. firstnet. because putting them first is our job.

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welcome back there is the s&p 500 for you not much green on it, as we have been saying throughout the show. down 2.8%. the dow is down 2% and the nasdaq is down 3.8 the low of the session was down 670 on the dow we are down 650 as we stands all 11 sectors currently in the red. the worst performers down 3 to 4% phil lebeau has breaking news on boeing. >> check out shares of boeing. they are under pressure, near the lows of the session. they are being fined $6.6 million by federal aviation administration, $5.4 million of that $6.6 million is having to do with them failing the meet the terms of a 2015 agreement. at that time they were fined $12 million. basically, it comes to insuring that they are following all the protocols that are agreed to or were agreed to in 2015 when it comes to the safety of

production, making sure that they are following all the guidelines that were established as part of that agreement. as we know, there have been problems with the 787 dreamliner that is at the heart of what the faa has been looking into with boeing again, they have agreed to be basically settled two of the cases that were against them, civil penalties for $1.2 million. in addition another $5.4 million a. total pine of $6.6 million from the faa against boeingfor these production safety lapses guys, back to you. >> phil lebeau, phil, thank you. we are all over the selloff on wall street, bun stock that hit an all-time high earlier today is twitter we will tell you why next in the "market zone." also, shares of game stop surging once again today here's a check on that stock as well as some of the other meme stocks koss up 14%. game stop, up 40%. we'll be right back.

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[ding] don't get mad. get e*trade and take charge of your finances today. >> announcer: the "market zone" is sponsored by etrade trade commission-free today with no account minimums. ♪ 14 minutes to go in the trading day. we are now in the "closing bell" "market zone". commercial-free coverage of all the action going into the close. cnbc senior markets commentator, mike santoli, is here to break down these crucial moments of the trading day. and today we have got high tower chief investment strategist stephanie link on a thursday as well selling off hard into the close. it is a broad based selloff a. lot of folk us on the bonds. ten-year is hitting its highest level, briefly topping 1.6%.

rick rieder was on today here's his take. >> when you lift interest rates this fast, this quickly, this money of a move, it introduces uncertainly. that's the thing markets can't stand. that is uncertainty. >> steph, what are you doing on a day like today >> i am not doing much i was kind of prepared for it, this sort of a rotation, not this extreme, but, look, this is the i think this you have been talking about rates and rotation all afternoon. it is spot on. it is the reason the markets are unsettled. up 50 basis points in four weeks time on the ten-year that's very, very fast i think they are going up for the right reasons, because liquidity is starting to find its way into the economy and we are starting to see much better results in terms of economic data we have already been able to see good data in manufacturing, housing, auto, some parts of the consumer now we are getting like a durable goods number today i took a double take on the

aircraft orders, up 6 % year over year, over 389% month over month. i know it is a lump series but durable goods were better today. gdp provisions were better, initial claims were better, on top of all the other dairt we talked about over the last several week i think that's why the rates are back up. if it continues at this level we are going to have chopiness. but the recipe for value versus growth is higher growth a little bit of inflation and higher interest rates that's what we are getting and that's why we are seeing this rotation i have been prepping my portfolio. 70% is economically reopen kind of names i still own some technology. but very select, and i am underweight technology at this point. >> mike, clearly yields are rising as we have been discussing for a while now not just the long end of the curve, and not just steepening today. >> a lint of a shift the most dramatic selling was this the shorter maturity. two, three, five year

maturities we have been taking heart in the fact that it has been a steepening curve in the yield curve and maybe inflation going back to normal i think what it's really just doing is causing trading stress, just the persistence of the moving rates and now it is affecting this part of the maturity curve is creating a little bit of unease in the equity market as well. again, it is not different than saying we are having just this messy rotation where you are going to hit bumps along the way. but i do think that's one of the source if you believe the market at this point it is starting to pull forward the date of the first federate hike even though it could be helping for mechanical or technical reasons because players are on the wrong side of the raid right now. >> gamestop is surging again it was up 100% in yesterday's session. it is pulling back as we

approach the close, only un26% today. it has been halted multiple times during the session amc and koss two other favorites among the reddit trader cohort amc was up $11, it is now down giving up all of its intraday gains, down 11%. all over the place again. mike, is this a sideshow -- it's a exciting sideshow. >> it is a feature, i wouldn't say it is a cause but a faint echo of what happened. at this point in january we didn't have the exact same setup with extreme shorts and oversized positioning in the counter-points and the losses. it seemed like why not try it. obviously a dramatic move in a short period of time but you lost force here, also it has not really pulled in a lot

of the other stocks. we will see f. there is some kind of a germ of a fundamental story in here we ought to know sooner than later unless it is just kind of another social media effort and basically people trying to recapture the momentum >> i knew the trading action is crazy, steph, but is there an opportunity here they have got an activist investor who helped found chewy, a few board seats now, who clearly pushed out this cfo, according to reports is this any type of fundamental story you can draw is this is it too difficult given the back and forth crazy action >> i think it is too difficult i don't want to be involved in this kind of trading act i want the focus on fundamentals of obviously when this started to explode higher i obviously did my homework to see if there was something there, was there something fundamental that changed at the company the stock bearcally budged when the activist came into the company, right so it is going to take a long

time they have to plow tons of money just to keep up with the competition. they are nowhere close so i think this is one -- not only is the action very, very scary assan investor focusing on fundamentals, but the fundamentals just don't justify it so i will let other people play along with it. >> i would have been surprised if you said you were jumping in as well. twitter, a rare winner in the tech space today after issuing a bullish revenue go julia boorstin with all the details. >> that's right. twitter shares rising today after the company shared its long term goals. the company announcing its goal of at least doubling its annual revenue from $3.7 billion in 2020 to $7.5 billion or more in 2022 also saying it aims to reach at least $315 million monetizible daily users by the end of 2023 that's a 20% compound annual growth rate from 2019. now. as its investor presentation

today the company also giving insight into a potential paid service that it is exploring with super followers the idea is that users could pay to get exclusive content from people they follow on twitter. the company also unveiling new communities, those are groups similar to facebook's groups guys, shares are up about 4% >> julia boorstin, thank you do you like what you hear, steph? >> i am not surprised by what i hear i used to own this stock i sold it. i had a great gain in it i am a little bit bitter that it kept going higher. but i would say this, the monetizible d.a. use were up -- they actually said 20% on a cagr basis. that's kind of what people were thinking they would say. operating margins, 20% that's kind what have people were expecting and ebitda margins of 40 to 45% over the long time also kind of what the whisper numbers were. i am kind of surprised here's where i think the stock

is kind of interesting only 29% of the sell side have buys on this i looked at the faang names and you are up to 75 or 98% of the sell side have buys on these things clearly, everyone is in the same boat with fang it was the right trade for certainly last year and the last several years. now i think it is twitter's turn i think you will see upgrades and money chasing it. >> shares of airbnb sinking ahead of its earnings reports. seema mody has more on that? wilfred, airbnb down nearly 10% ahead of its first report as a public company expectations are high, now with a market cap of $110 billion larger than any other lodging and hospitality name and it comes as pretty much every other company has reported bad numbers. the ceo of booking holdings saying he continues to build out

home inventory for booking.com the key number for room night growth it if they can report positive growth it will be the first company to do so. in light of a strong start for the year to the banks we had news out of the credit suisse banking conference today and i would note worry not getting massive interest -- and we are also getting guide that trading revenue will be down year over year, maybe that's to be expected given how strong last year was but it makes you think given the run-up in the start of the year that the banks have had, whether they are due a bit of a pause themselves >> they could. the xlf is up 14 year to date and handily beating technology,

which is only up 2% year to day. i think what they had to say, all of them were similar, trading and investment banking fees are going to be higher. yes, they have -- you know, they had a really great fourth quarter, but i actually think that comparisons get a lot easier so i was very encouraged there i think the companies are being conserv conservative, as they should clearly steeper yields would help all of these companies. of all the ones that i own, bank of america has the most sensitivity to higher rates and a steeper curve. i think that's why it has done well i own wells fargo, morgan stanly i thought morgan stanley comments today were amazing in terms of e*trade and the momentum they are seeing in new accounts i think there is a lot to be excited for. if they take a pause, that's okay, maybe it is an opportunity to buy more. >> i am watching the major averages mike and the action we have seen. we have seen a rally back of 100

points only down 500, it was down 650 moments ago. are we tracking yields they are higher on session cooled off from the 1.60 on the ten-year. >> we are off the highs in yields the s&p today actually didn't trade down to the low where it was on tuesday so it held in this general area so we did bounce again off those low 3800s. i don't know if that's going to have significance. but that's where we are trading. the lopsided pain is in big cap growth because you have financials and energy and industrials very overbrought coming into sprinting into this week that's why all of this is backing off? what else are you seeing in the market internals, less than two minutes to go of trade. >> it is skewed to the downside right now. looking like seven to one decliners vas advances on the new york stock exchange. that's clearly decent washout type numbers overseas, emerging market stocks and emerging markets bonds are

starting to feel a little bit of pain we have this global rise in yields that's taking a toll that's a week to date basis. volatility index is registering some stress right now. i mentioned earlier the bond market seemed like it had gotten clenched up. here pushing 30le on the volatility index when that starts the recess, that's when you get the buy signal not when it stops going higher when it goes down and creates a spike on the chart that's the better time to say the fever has broken >> 274% down on the s&p 500. 550 points on the dow. 1.7% the low of the session was 670 we are off that low. the nasdaq is close to its low, but also off it. down 3.4%. health care and utilities top. at the ott some, tech, consumer discretion father and communication services all down 2.4 to 3.4% or so. the dollar up a little bit today. oil is managing to hang onto

gains. gold and silver both down a bit. the vix spiking a lot and yields spiking significantly. big decliners. tesla down, amc, and gamestop has given up much of its gains to be up only 20% at the close there goes to bell down 2.4% on the s&p 500, 1.8% on the dow and 3.5% on the nasdaq. >> worst day of selling for the months welcome back, everyone, to "closing bell. i'm sara eisen here with wilfred frost and mike santoli, mike santoli, cnbc senior markets commentator. take a look at how we finished up the day on wall street. a wave of selling. dow, s&p, nasdaq, russel, all sharply lower. the dow was down 670 at one point in the final hour of trade. s&p 500 lost 2.5%. every sector finished the day weaker

technology, though, bore the brunt of the selling eye of the storm here. the nasdaq down 3.5% that's been a theme. it is now down more than 5% so far for the week as those rising bond yields lead to questions about overvaluation. russell 2000 index of small caps also hammered. down 3.7%. the worst day of the month for the major averages we will talk a lot about that. but is the selloff turning into a buying opportunity morgan stanley chief u.s. equities strategist mike wilson will be here this hour to weigh in. plus get ready for a wild hour of earnings we will get results from airbnb and doordash, first time those companies are reporting since going public as well as numbers from momentum stocks like fisker, the ev company, virgin galactic and that's not all. hp, et ceteray, shake shack

earnings, we have instant analysis of all of those results coming up for you. joining us today, stephanie link is still with us first to you, mike, on what we make of this yield spike and how damaging that could be for stocks with now the nasdaq 7% off the highs. >> the persistence and the acceleration in the gain and yields because it is a cliche that people say the level the yields doesn't matter as much as the speed it takes to get there. it the change as lot of people's calculation of relative value. that's why i think the heaviness in the large cap growth stacks that has been a factor ads yields started going up started getting a push at the same time the weakness cooperate be absorbed by the cyclicals and finances which do better in a better growth environment that yields are signaling but you are not going to have

the baton handed off seamlessly every day. also some of the things that we talked about have been in the background which is a tough seasonal stretch in the last half of february and a potential at some point out of equities into bond because you have had this diverging performance that could put a bids in fixed income that could stabilize thing especially with large cap tech that is looking unloved. >> on that note, steph, do you get tempted to buy into the big tech names that pulled back. maybe not tesla, but apple is down 15% in the last month well, i have actually been trimming facebook and microsoft and adding to alphabet that's the kind of name i want to bet on this year. a lot of it is because they have now shown two quarters in a row of operating leverage, margins beat by 500 basis points last quarter. up 70 basis points, crazy numbers.

it shows you leverage in the model. i think you are going to see continuous travel. i am picking my spots where i add to and it i am i don't have weight in terms of communication services and i am underweight technology in general the names i want to own in technology on a pullback are more semi, semicap equipment nachlts they are still up way too much, wilf they are up double digits on the year lamb research and nxpi broad com, you get a 3% dividend yield. i want to own those because i like their end mark. again it is a play on the recovery and the reopening i like those stories better than your typical technology names. >> in all the trading action and the selling that we saw today, gamestop -- will be at where gme finished it was soaring today, up 40, 50%, just another day, mike, this whole reddit retail trade was reignited. it closed up 18.5%

well off of the session highs. how does that factor into what happened >> i think there was a little bit of a sense of here we go again, and maybe you have to be a little bit defensive about what it could mean if you have a bunch of these stocks really with high volatility doing tremendous amounts of volume and really destabilizing other parts of the market -- destabilizing the motorcycles of people that are sort it. that's what happened last time around i think we showed through th fade of this stock is there is chasing money on both seeds of this this they bought at 400 and they are holding at 40 are not feeling as smart likewise those who shorted if we don't have a story about why this started a the company level and it didn't spread across a cluster of stocks but

it could be because the overall market was for sale today. >> the earnings stampede begins. let's get to nikola results. >> shares of nikola moving up and then coming back after reporting a fourth quarter loss of 17 cents a share. that was smaller than what the estimate was out there let's be clear, there is not a whole lot of coverage on nikola. so the estimated loss of 24 cents a share, that's not something you could hang your hat on and say wow they beat the estimate they are still a prerevenue company. as i look at the release they are talking about the progress they are making in terms of the trade battery electric vehicle, semi they are working on again, no revenue and a loss of 17 cents a share for knick what for the fourth quarter guys back to you. >> thanks very much. >> which i guess looks better -- go ahead, wilfred. >> i was going to jump in and mention the headline numbers for salesforce a feis beat. $5.8 billion in revenue. the forecast for for $5.7

billion. adjusts eps coming in at 104, 20 or 30 cents ahead of forecasts there. nice beat there. they will be focused on the guide which i have to look at. a pick up as they beat on both li lines. mike santoli, take your pick of some of these that are crossing as we speak, doordash also up 3% in after-hours trade. >> serum hasn't been a great performer. a new generation of cloud plays have come out there especially since the slack play has come out. it looks dowdy at only 10 times revenue instead of 40 where a lot of the other ones are playing. it is sort the incumbent and not the upstart. al big switch. >> you liked marc benioff, he will be talking to jim cramer

later a. rare buying opportunity in salesforce? >> i like the ceo very much. and i am looking forward to that interview. i am looking to hear what their forecast for demand is if it is better than 16%, which is what they guided, i think the stock will act better. then their guide for next quarter is also 16% for this particular component that's what this stock trades on, not billings and bookings. it is this figure. let's watch and see what they say. i do like the story. i had it, i trimmed and it sold out of it and took my gains. if it problem weak, this is a well weather, a compoundser. if you get an opportunity, at ten times, it looks reasonable than some of the other names out there. >> as we wait for new numbers to cross. oil, down 2% today oil prices themselves were remarkably resilient especially in light of a stronger dollar

day, up again. >> yeah, what was going on today really did not extend that much to the commodity area although gold was certainly lower it just seems like we are in this period right now why you have the supply disruption and it's anything that trades along the lines of floebl demand coming back. remember, that's kinds the backdrop of what yields are up to so it seems like it has little bit of a tail wind for that reason i would say impressive as well because it didn't trade very well like a paper asset as it sometimes do on a day like today. >> i want to talk about the rise in rates, mike which is obviously the latest concern of the market. it is global, which you mentioned and the fed has really played it down. >> yeah. >> the fed chair had opportunities but didn't seem concerned about it but the speed of the move is what is particularly noteworthy here is it going to have to prompt a response by the federal reserve?

what stops it is i guess what we are wondering. >> i don't think it directly requires a response at this level. i would say, again, if the five-year and the three-year yields start to really price in in a persuasive way a sooner than later rate hike the fed might want to come out and reiterate that the market doesn't have that right, that they don't anticipate something like that. maybe they will get concerned about that piece of it but i think the consistent message is it is now, 1.5% i don't think is a level that would have been a trigger. we have gotten here sooner than we thought a lot of forecasts were for the end of the year. i think the fed is hoping the market settles down and they don't have to come out and jawbone it. >> beyond meat sliding in after-hours trading after numbers are released kate rogers. >> beyond meat moving lower by 5% q 4 numbers here, bigger loss than had been anticipated. loss of 34 cents per share

that kparts to analyst estimates of a loss of 13 cents per share. revenues also miss for the quarter coming in a $101.9 million compared to estimates of 1. $101.2 million also noting seeing reduced demand in its food service channels of course ongoing due to the covid-19 pandemic that conference kicks off at 5:00 p.m we will bring you any other headlines. >> thanks for that you turned it around it was down 8% now it is up 13% mike, a massive swing there, clearly folks betting more on the outlook than the quarter itself >> yeah, focused on the outlook. it was $192 i think at the end of january so it has a big slide heading into this number you know, you tell me what it trades off of? it trades on the scarcity value

of a pure plant-based protein publicly traded stock as far as i have been able to tell and the expectation force uptake but there were concerns about discounting and a more crowded marketplace. we will see if this persists >> spiking now, 8% doordash results are out deirdre bosa with those numbers. >> hey, sara shares have actually turned negative since putting out those results. remember, this is its first quarter as a public company, receipting expectations on revenue and gross order revenue. 938 was expected that of growth of 225% year over year marketplace gross order value, $8.2 billion, also better than expected reporting a gap loss of $2.67. a necessary lot of $312. that includes ipo costs including stock based compensation it is likely that analysts are trying to work this sort of to

their estimates because with the first quarter for a company it is always tricky in terms of adjusted ebitda, though, and this is the preferred metric for the gig economy, that was positive for the third quarter for doordash, $94 billion, nearly meeting expectations the company also providing some guidance for the quarter and year ahead, expecting gross order value in the range of 8.6 to $9.1 billion in the first quarter. so sequential lower growth, however still an improvement as the economy is expected to open back up.a full year range of 303 billion in gov and a q 1 adjusted ebitda range of zero to $45 million so the company does expect to stay profitable on this measure in q 1 and for the full year they are guiding zero to $200 million in adjusted ebitda the stock is bouncing around it is down 7.33% at the moment.

>> the beyond meat numbers crossed at 4:10. 4:13, three minutes later another announcement came out, which is why this stock turned around kate rogers what does the second one say? >> we have two separate announcements from beyond meat with yum brands and mcdonald's announcing they are entering a three year global strategic agreement with mcdonald's. part of that it is going to be the preferred supplier for the mcpatty in the mcplant, the plant-based burger that mcdonald's is testing around the globe ask. the company separately says it is entering this global strategic deal with yum brands to cocreate plant based menu items at kfc, pizza hut, and taco bell. that would explain the turnaround in shears here in after-hours. of course two important partnerships with two of the biggest restaurant players in the industry here. >> jespecially mcdonald's, highl

anticipated. but making it formal. brings from etsy, which are a blowout. etsy reporting earnings of $1.08 per share. the expectation was 59 cents per share. almost double what the analysts were expecting on earnings on revenues, too, a big beat, $617 million, estimate was more than $515 million. etsy is really seeing explosive growth here. during the pandemic, and as we are coming out of it they use this metric, gms, gross merchandise sales to reflect what is happening on the site. up 118%, $3.6 billion. the expectation was more like $3 billion. this is a company that posted 129% revenue growth. as far as guidance they are not giving anything for the full year in light of the covid-19 uncertainty. but they are giving numbers for the fish in terms of guidance and. it looks like a beat there $168 million to $178 million on adjusted earnings. better than expected revenue,

513 million to $536 million on revenues in other words, they expect the growth -- -- the gross merchandise sales is going to continue to grow 115 to 125% during this first quarter, which far outpace as lot of these other e customers players that we have heard from, like wayfair. they continue to bring in a lot of new buyers and they are seeing a lot of habitual buyers or people that have been on etsy buying more. don't miss the ceo he will be on "squawk box" tomorrow morning steph, you have got a lot to chew on there. what stands out to you >> well, the gms, obviously, a very good number so the whispers were 70 to 90% growth over 110 i think you said is just astounding. and the guidance is also really terrific i think what's really important on etsy is -- people -- they had a brand recognition issue. people don't what etsy was until

we had the pandemic. now people are on line and they are familiar with what etsy can deliver and what they can offer. it is a fabulous company, so well run and they are really benefitting from this. let's see what happens when we all go back to work or get back to normalcy. outstanding numbers. gms better than anybody is posting. >> airbnb also out deirdre bosa. >> the other newly public unicorn. investors responding better to that shares up 2.3% the company continues to show resilience, posting better than expected revenue, $759 million versus $749 million expected losses per share of $11.24 a q 4 net loss, $3.9 billion that is bigger than the street was expecting. that does, however, include ipo costs. stock based compensation and another charge relating to warrants ebitda profitability was much better than expected

$21 million loss versus a $121 million loss expected. remember guys that airbnb over the last year dramatically reduced its work force and fixed costs. leaner, more focused on home sharing versus hotels and real estate remember, too, it has been a positive cash flow generating business in the past it also saw average daily rates increase 13% in the quarter. no outlook here. the company is saying that it is too early to predict overall recovery trends for the travel industry however they are saying that the year over year decline in q 1 revenue is expected to be less than that of the fourth quarter. shares are up 2.7% now and remember, guys, this company went public at an ipo price of $68. now just below $190 back to you. >> thanks for that don't miss jim cramer's exclusive interview with airbnb's ceo tonight, 6:00 p.m. on "mad money. that wraps up a wild after-hours

session of earnings and market discussion stephanie link, thank you for joining us. >> thanks thank you. >> great to see you. up next, more analysis on today's huge slate of earnings, including airbnb's revenue beat from analysts who have buy ratings on the stocks. plus we will break down virgin galactic results, plus, mike wilson on whether rising rates fear also continue to take a toll on the market as we head to break, some of the biggest losers in the nasdaq 100 after another selloff for the tech-heavy index today

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♪♪ more earnings on a busy afternoon. virginian galactic numbers out. >> shares down more than 8%. the company reporting a bigger loss than forecasted 31 cents a share compared to estimates of 24 cents a share. also a prerevenue company. those revenue numbers are not really meaningful at this time the company also saying their pipeline of potential customers remains pretty much flat, 1,000 customers paid a $1,000 refundable deposits. also enrollees in its future astronaut program. they will have a new ceo effective march 1st. shares down 7.5 -- actually

6.75%. back over to you >> now more than that. frank, thank you shake shack results also out let's get to kate rogers with those numbers. >> better than expected q 4 here for shake shock. loss per share coming in at 3 cents. that compares to what analysts were projecting a loss of 11 cents per share. revenues also beat, $157.5 million, compared to estimates of $157.3 billion. same shack sales as they call them right in line, down 17.4% for q 4. we should note shack performance in the suburbs is better than in urban areas and city same shack sales in suburbs were flat and the cadence sems to be improving in january that conference kicks off at 5:00 we will bring you news between now and then. >> shares of airbnb moving higher after reporting earnings moments ago. for more, tom white from d.a.

davidson and angela xeno tom, did they improve the resilience you were looking for? >> i think you have to say they have the two things that stood out to me looking at the numbers. one, the revenue outperformance. revenues declined 22% year over year, excluding the impact of fx the street was expecting a down 35% number yes, certainly resilient, if you compare their performance to other online travel like booking holding or expedia, both those kbs revenues from down 60% airbnb down 22%. the other thing that stood out is there has been a lot discussion how travel recovery hasn't been linear people would like to see a steady improvement in trend.

airbnb talked about the first quarter revenue growth forecast does show a moderating pace of further moderation in the revenue decline. there seems to be more linearity in the airbnb company than some of the other companies in the space. >> your comments, angelo >> i echo those comments it showed resiliency relative to the broader travel space down 22% compared to what we were looking at, 34% looking at the gross bookings value, significantly better than what we anticipated. we would have liked to have seen a 2021 outlook but definitely didn't anticipate one. managing cost extremely well amid the pandemic. and you know, i think they are very well positioned kind of going here into 2021 as we kind of start seeing that recovery into the second half of the year >> so how, tom, did they prove

more resilient than the rest travel sector? what sort of pivot did airbnb make and how does that set them up for post pandemic >> i wouldn't say they made any pivots the anything the pivot was just focusing on the core and that's really focusing on hosts, first and foremost. also, this idea of just sort of local experiences and really kind of sticking to that coordinating of what airbnb started with the way i like to think about it is over the course of the pandemic airbnb went from being a true alternative in the eyes of a lot of people who are looking to book lodgings to now being really kind of a standard or a typical way that people are going to look to travel. so we think they are positioned pretty well post pandemic. as i said, great new customer acquisition opportunity the pandemic has been for airbnb and the pandemic has also opened up new use cases we think for this business, things like work

from home, work from -- rather, work from anywhere, that i think could provide solid tail winds here for the business in the future. >> tom and angelo, thank you for joining us let's get to fis cars' numbers. phil lebeau. >> we know their prerevenue much like nikola. so there is no revenue but the loss for the first quarter this is the first earnings report since going public for fisker. what is interesting is what they say about reservations for the new risker ocean, that's going to be their first vehicle. currently stand at 12,467 reservations they say the daily reservation rate is up 400% since october when they first said hey we have got to ocean and it's on its way starting production in the fourth quarter of 2022 bay the way they say they are still on schedule the start that production at the end of next

year >> phil, thank you we are getting breaking news on at&t as well julia boorstin with the details. >> sara, at&t's long expected spin-off of its video business is happening at&t and tvg are forming a video unit, direct fv, at&t, tv, as well as the company's you verse unit it will be called directv. at&t says the company has $16.52 billion. it is at the higher end of proj projections. expectations were that the company would be valued at $15 billion. at&t will own 70%. tpt will own the remain 30g%. >> there will be an investor

call on this prosecutor at&t at k p.m. eastern up next, mike santoli looking at the state of investor madend for equities amid this huge market selloff day. "closing bell" will be right b back 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? ♪

stocks finishing the day sharply lower. the dow dropped 560 points let's go back to mike santoli for a look at supply and demand in the market. >> both are up of course we are talking about the supply in the form of new equities, ipos, including spacs. absolute values in the last months high in comparison to history. market value those we are not too far from peaks in the average part of the last decade. still below the peak where we were in 2000 also boston chicken was an ipo in the sberl '90s. let's look at the demand side. mutual funds heavily allocated

towards equity flows continue to be strong. fully allocated in terms of equities versus fixed income and cash right now yeah, you can always go higher but it is not as if people are underinvested there. how about younger people trading in shorter term bursts, robinhood. look at the results of a survey doichl bank did of investors this is based on how long somebody has been trading. newer traders at less than 12 months, do you use leverage in your trading more of them do as opposed to those who have been doing it a longer time. 60% saying if we get more stimulus checks maybe more action coming from there hard to say whether it is going to carry the overall markets. >> boston chicken, a real trail

blazer. >> when netscape went company it was crazy. we had to resort to compare it to boston chicken and snapple a lot of the consumer product boom ipos that had come years before. >> there we go up next, nikola and fisker higher after reporting we will discuss the reaction and discuss ev stocks straight discuss ev stocks straight ahead. we made usaa insurance for members like martin. an air force veteran made of doing what's right, not what's easy. so when a t, usaa reached out before he could even inspect the damage. that's how you do it right. usaa insurance is made just the way martin's family needs it with hassle-free claims, he got paid before his neighbor even got started. because doing right by our members, that's what's right. usaa. what you're made of, we're made for.

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after hours ev movers, nikola higher after giving up some gains though, actually,

after reporting nearer than expected loss for the qukt risker also higher, up more than 2.5% after its first-ever quarterly report joining us, bush managing director of equity research. dan, obviously these earnings don't matter we have don't have revenues on either of these companies. what are investors teeing off of what should we be looking for in these results? >> it is all building the framework for what's going object the next few years for both of them knick larks it is about the partnerships from a hydrogen perspective and building out the factory in arizona i think that continues to be steps in the right direction you look at risker, this comes down to fosse coms and the partnerships these are laying the groundwork to get us back to the golden age of evs investors are looking for signs who are going to be the next players. riskers is going to benefit from

the green title wave and nikola, despite the tidal waves they have gone through seems like they are emerging on the other side with positives. >> how was the fisk er faksa announcement >> amazing they jumped into the deep end of the pool with them in the ev dating game, there is a thesis that risker could be involved in the apple ev initiatives. when you look at foxconn that's sort of the gold standard. it's hoousk huge positive for risker on the ev side. >> talk us through the valuations on both of the names when you are looking so far into the future and building on this momentum you are getting from announcements like a deal with foxconn? >> it is really going to the next five or ten years, what deliveries could be, what the market looks like. we believe it is a $5 trillion

market over the next decade w. the green tidal wave this the u.s., you look at risker, what this could ultimately do, they could get 2, 3, 4% of the share of the ev market when you look at nikola it is about hydrogen and the semitruck market globally they continue to be a pure play there. in spite of all the headaches we have seen, investors are betting they are going to have a big market share, which is going to be a significant market. that's really the key to what's driving the stocks >> and potentially your positivity as well talking up both names fisker up 6% now after hours dan, thank you. coming uprising rate fears sending stocks sharply lower today. mike wilson will be here with a take on the wild volatility and where he sees opportunities in where he sees opportunities in this market.

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time for a cnbc news update with rahel solomon >> hi wilf hello, everyone. here's your cnbc news update word that former u.s. olympics

gymnastics coach john getert is dead by suicide hours after he was charged with human trafficking and sexual 15u6789 he had been scheduled to surrender to authorities today but didn't show up michigan's a.g. calls it a tragic end to a tragic story for everyone involved. the head of the capitol hill police acknowledges there is not a lot of love for the tall fence installed around the building after last month's riot but she said it does need to stay for now. when president biden addresses a joint session they want to quote blow up the capitol and kill as many members as possible. police say it was a 9-year-old who intentionally called 911 to falsely claim that shots were fired in a pennsylvania elementary school this prank prompted a lockdown of the entire school district. hasbro is out with a new create your boato head family kit. no one in that family is saying mr. potato head. the toy maker saying it wants

everyone to feel welcome this the boato head world so it is officially dropping mr. from the toy title. if you see potatogate trending on social media, that's why. >> oh, yes, it is all over social media rahel solomon thank you. coming up, big selloff on wall street today, the dow well 560 points mike wilson, the chief u.s. equity strategist at morgan stanley joins us next to discuss what to do about it.

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emerson. consider it solved. we have news on pfizer's vaccine. meg tirrell has the details. hey, meg. >> hey wilf, the fda saying it is allowing pfizer's vaccine to be shipped and stored for up to two weeks at more normal freezer temperatures of that's after pfizer submitted data just six days ago showing it can be stable at those more normal pharmaceutical freezer temperatures this of course should allow for more flexibility in the transportation and storage this vaccine when for longer periods it needs to be stored at minus 94 degrees fahrenheit. so two weeks at more normal freezer temperatures for the pfizer vaccine a. quick turnaround from the fda less than a week should make things easier getting this vaccine around the country and the world. >> let's hope. meg, thank

meg tirrell. all of the major averages finishing sharp will he lower for the day with the dow, s&p 500, nasdaq all posting their largest declines of february joining us now by phone is mike wilson, chief investment officer and chief u.s. equities strategist at morgan stanly. mike you have been writing lately that the market has looked fully valued. now that we have seen this big selloff, do you buy dip or do you still say stay away? >> look, obviously, there is always stocks to buy and always stocks their vulnerable. but the index level our call has been pretty bull because we were convinced rates were going to go up i am surprise it took this long. of course when you have all of this sort of pent up movement when the dam breaks you get the big moves like this week in rates. we want rates to adjust to where they should be based on the economic outlook which is

robust once that happens we can move forward. i don't think the rate ad adjustment is done and some concerns we had are not completed. for example, there is leverage in the market. meaning institutions or retail participants are levered right now, it has been a one-way market, not a lot of short-term risk i would like to see the leverage come down as well as rates kind of stabilizing here. then that would give me a signal that it is time to get more aggressive at the index level. in the meantime we like a lot of stocks that are levered to the recovery. >> that's what i wanted to ask, go beneath the top line. what sort of sectors do you want to be in as we go through this adjustment process on the rates as you call it. >> the things that are going to do the best this the near term are going to be defensive sectors like we saw today. however we are not excited about that area. we are continue to favor areas

that are levered to economic growth and rates going up. banks, materials, some of the industrial parts of the economy. even some of the cyclical parts of the technology. we have been overweight semiconductors and hardware and underweight the software enter nate space because that's the area that's most vulnerable to the rate rise. >> do you think the pullback is related to gamestop in any way does it make it potentially more temporary. >> first of all, all pullbacks in a bull market are temporary it will ultimately be a buying opportunity. the trick is figuring out how deep the pullback will be. i don't think this particular one is over. look, i think the situation in january, i think that was a one off. i don't think that's what's weighing on the market right now. i think we have moved past that. i think what we are dealing with now is an interest rate environment that's mispriced that needs to ajust and this excess leverage that has gotten into the marketplace because it has been such a great initial start to the year. >> just going back to those

sector picks that you like, energy, banks, for example, are you in any way concerned they, too, have run up too much this the short-term >> oh, yeah. there is no doubt. i mean, those sectors have run up as well they need to correct, too. it is not as if these sectors are going to go up if we have ah banks were down. i think that makes sense they ran ahead, too, but ultimately we're trying to look at six and 12 months we're not trying to trade for tomorrow we're still very much in the camp that you want to buy reasonably priced growth stocks. >> good to see you, thank you. >> thank you >> up xtne, whether reopening >> up xtne, whether reopening with weigh o [music: “you're the best” by joe esposito]

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shares of door dash sinking on the back of earnings. we caught up with the ceo. why is it sliding? >> actually, i pointed out to him that shares were sinking on the results, and it was the first time he'd actually heard where the stock was since they came out

i asked him about post pandemic. he pointed to reopenings haas year in texas and georgia and how their business continued to grow i also asked him about commission caps. he said that everything we know about price controls are temporary in nature. he doesn't think regulation is going to be a huge head wind in the future i did speak to one analyst who said that ambassadors may be disappointed by the ebtda. >> we're going to check into some big moves some big moves a selloff fosion time, you need decision tech. only from fidelity. you need decision tech. sometimes, you want speedy but reliable.

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a quick check on the biggest movers door dash better than expected revenue. etsy shares surging on both the top and bottom line and first quarter sales guidance nikola corporation up. virgin galactic, a loss in line with expectations. sales force beating profit and

revenue estimates. ities, the winner of those names. a lot of them coming up later as well >> there's a big line of guests coming up later on some of the earnings movers. you have to check out "mad money" tonight twitter cfo made a lot of news today. do not miss jim cramer, what he calls night of the tars. foot locker due out with results tomorrow morning we'll have the ceo to talk about it plus max levchin will be with us tomorrow a lot of big game guests over cnbc over the next few hours as we wrap it up, rising bond yields continues to be the theme. it doesn't appear to be going away anytime soon.

then there's earnings and companies are being punished or rewarded look at etsy, predicting another hundred percent growth or smuker today which showed staying power. and best buy on the other hand >> yeah. exactly. investors' willingness to just bet that basically they remain in some kind of sweet spots for those kind of businesses the market has been somewhat in charge here. it's been a rapid repricing. has punctured some of the higher flying crowds. spacs are down as a group. the complex down 15, 20% a hot of people thought that was something that was needed. nasdaq 100 seven percent off the high we would not be surprised to see money flowing back into those

growth areas you have amazon that's done nothing for seven months we'll see if those stocks get rediscovered at some point >> tesla up over the last 12 months tech, consumers discretionary, the worst performing sectors, health care, the best. we're out of time on "closing bell." "fast money" starts now. >> i'm melissa lee and this is "fast money. guy adami, tim see mohr, jeff mills. all three major averages finishing the day deep in the red. the nasdaq plunging more than three and a half percent for the biggest loss since objects every sector lower rate shock the yield on the treasury node hitting 1.55%, its highest level since last february. so i