buyers and how they match up with microsoft teams it is going to recover significantly. >> a name for me, pete >> i will give you las vegas sands. i see option activity there. >> and nice reversal on the street, and "the exchange"ic ps it up now. >> a busy show for you the close out a very busy and volatile week. hello, everybody. happy friday. i'm brian sullivan. tech is not holding on, and it was down early on and quite the reversal and one of the once loved stocks, 20 to 30% down from the highs and it begs the question, has the fed lost control of the markets. the selling storm is also hitting the arc and the once wall street darling is wiping out the gains of the year, and the options market is telling the us that the pain may not be over. and plus, why faang is the new

faang. oil stocks are back in favor, and we have an amazing stat for you about the growing gap of energy and big tech that you have to hear. and plus, our weekly exclusive look at the biggest insider buys of the week, and what the insiders are buying the most of their own companies with their own monies, and the top five names to hear, and all of that and more to come ahead, and we have to go to dom with the crazy and some might say upsidedown market, and dom chu is prepared to talk to you of the red on the screen and the selling, and look thash that, the buyers are stepping in. >> it is green and different from an hour or two from trading so far. and symmetry within the s&p 500 because we are hovering around the 500 mark, and at the highs of the day, up roughly and down about the same points, 38, and

so symmetrical up and down trade towards upper range right now, and nasdaq is underperforming, and 12,712,,763 for the high, a now the drop of the s&p 500 is down about 38 there and down as much as 13%, so the nasdaq is a focus here. and one other place to watch, and you mentioned the energy stocks, and the oil prices are continuing to climb, and it seems that the opec countries are not doing what we thought they would do. and over six months, the 50 to 51% gains of the energy sector, and meanwhile, it is up 10 to 11 percent, and 5% off of the crude price, and up 50% of that price as well. and the arc etfs and the ticker

nkrtk, and it was down 33%, but when you have tesla, square, teledoc and roku and some of them have taken hard on the chin, and we will see the arkk can find the footing here. back over to you, brian. >> yes, good stuff. yesterday on the opec press conference and virtually i asked the saudi minister if he has a message for the u.s. energy and he said the era of drill, baby, drill is over. he does not see the oil prices coming back. and so now, looking at bond yields, they are higher again, and up 1.56 ahead. and so you home buyers, you might have to get ready for slightly higher home mortgage rates. and so let's see what is going on there, and rick santelli

there with that. >> hello. it is fascinating here, if this were not a post covid environment, and so many huge policies is brought forth by central banks, and all of the stimulus, well, stocks moving up, and rates moving up, that is the perfect elixir, but at this point in time, it is not so much, because we don't know how you will pull back some of the fed issues that have put so much gasoline in the market. look at the 10s and 30s and yes, the best levels and good nonpharma payroll day, and on the 25th when everything was spiking, we did trade above that 161 spike in the 10s and not on the 30s and opening up the chart of january 2020, the 10s were 13-month highs and the 30s at 14-month highs and one week of the spread is fascinating. considering the 10s at up at 14, and the 30s were unchanged so it is up 14 on the week, and

at 132-ish, and at the chart, it is the best levels at 5 1/2 year, and now, the 2 1/2 is zooming. from november 1st, it looked like well under 90 and awesome comeback and why higher rates. sully, back to you. >> well, when you have a job market that is starting to take off, and the economy that is opening up, and the prospect of 1.9 trillion, and getting paid into the next seven or eight year, and it is amazing what it might do, and trillion dollars, rick, it is still a big sum of money, aim told. >> well, you know how thin a dollar bill s and if you stacked it a trillion high, you will only go up 67,700 miles. so this is -- listen, i am not saying that there is not a need out there, sully, but you bring it up and i bring it up, and the markets are paying attention to it, because much of the money is not going to be spent in the

near-term oncovid-related issues, and so don't light a match, because it is going to be stretched out. >> yes, you are right, and it is going to have an impact over the next few members. i wonder if that is the actual number 87,000. now, after a wild week, the stocks are positive and green, but it has been a rough week for many investors in the higher growth tech names like salesforce or snowflake or others, and now, the nasdaq is 10% from the highs and the s&p 500 and the dow are off of the highs by 5 and 3% respectively. now talk about where to allocate money, let's bring in errol and

charles. charles, i will start with you, because you have an interesting mix of names. we are supposed to like the pullbacks in stocks and buy low and sell higher. you like a fertilizer company, and you like the new york knicks' parent, which there is a joke in there somewhere, and tell us about the names, because are they all reopen type trades? >> well, we like madison square garden entertainment which owns the real estate and not the sports team, but it owns the stadium in which the people are going to start coming back in droves nobody in the stadium, and they are going to have a lot of people in the stadium. they own also, radio music city hall, and the sphere in las vegas, and there is going to have a lot and lot of people, and there is pent-up demand for in-person viewing, and another thing is that it is quality real estate, and they are going to do a lot of things in the inf

inflationary environment, and that is what we have not seen in almost 40 years. >> wow. mike, are you that, i don't know bullish or bearish on the inflation call you agree with charles there is a lot of value in the reopened stocks? >> well, yes, there is room to go here, and given the multiples with the value of trading currently, and room to grow. given the macro economic conditions, absolutely. the spread between the value and the growth securities and still mirroring all-time highs. and keep in mind that earnings growth of the value stocks actually better than growth stocks. especially as financials and energies are coming off of the cyclically depressed lows is going to give a boost to up theside. contrast, the tech names with single-digit earnings growth into 2022 so convicted that the value is going to continue to do well into 2021.

>> then we auk about the energy, charles, and i am talking about my book, and that is the sector and the segment that i cover, and we know the boom in oil, and dom showed the audience how the energy stocks have taken off, but you still like a name like apache, so you are not scared off by the recent run in some of the, all of these names? >> yeah, apache has great assets, and they are exception to the rule. in general we don't like the commodities companies, and businesses with no sustainable competitive advantage, and only one with madison square garden and people are exploring and drilling oil, but apache has wonderful reserves here, and at $67 a barrel with wti, this is a name that will do well for the short term, and i will not own it forever, because oil is not a good goodnbusiness, but apache

good. >> and so we are raising and selling, and so how do you raise the cash that has made all of your clients what they need? >> it is the high volatility an the low securities that are going to be out of favor soon. a junk rally since the vaccine was announced in november. and junk rallies tend to be severe and also short. as a result of that, we are selling down the high volatility and low quality, and going into the higher stocks with the higher valuation, and so from the fundamental perspective, you are going to be seeing those go up more in the future. >> so without the names, and companies with bad credit ratings, and horrible balance sheets and big rallies will, because somebody needed something to buy. is that a broad stroke >> yes, lots of leverage on the

balance sheets, and those are the securities as well. they have done well since the vaccine announcement, but we are starting to see some of it come off. >> yeah. they did well, because of the threat to go to zero has gone away. and mike and charles, great discussion, a and have a terrific weekend. thank you very much. >> thank you. >> thank you. well, it appears that some state governments have figured out something that is really important about how to grow jobs allow the businesses to actually open or reopen or add capacity, and a narc aside, it is what has happened and more states ease restrictions, and more people get the jab, and hiring is about to surge. last month 379,000 jobs were added in the travel and hospitality sector, and look at that 359 of the 379,000 total, and bank of america is seeing a

rise in the consumers spending particularly on plane tekts and particularly among the older generation. joining us is michelle meyer head of ecomonic at bank of america global research. welcome, michelle, and not trying to toot the horn, but at february 11th, i was at thea airport and i tweeted that there were a lot of seniors getting and the planes and i said it is a start of the vaccination tourist business and you have some data to back up that anecdotal comment. >> we do. certainly, we are carefully monitoring aggravated spend on bank of america credit cards to understand the important trends in consumer spending. when we start to see the pivots around as you noticed the vaccinations changing the con p -- compensation of the restrictions around covid and what we are starting to see is that the older generation, 75

and above are starting about a month ago, they began to accelerate spending on airfare at a rate that is higher than other age groups. what is fascinating is that you won't see the same level of acceleration which is showing up in airfare and not lodging so people are booking the trips and traveling, but maybe to see family at the moment and not necessarily to go out to take the vacations at least amongth age group. >> and you know, michelle, michelle, and let me jump in, because -- >> yeah. >> when i was at the airport, and in n95 masks, and an older woman in a wheelchair, and she had somebody with her, and i said, i am sorry to bother you, and have you been vaccinated and are you traveling because of it, and she almost got teared up, and she said that she was going to see her family, her kids my age that she has not seen in over a year.

it sounds like your data, and my parents are coming here, and i have not seen them, at least my mother since christmas of 2019, and there are millions and the start of an economic cycle as well, could it not >> well, that is exactly right. people are looking to be reunited and once they feel like there's a level of safety after getting vaccinated, there's a real sense of urgency to bring families back together, and the car data is very much supporting that premise. as we are looking further into the future, and a greater share of the country that we vaccinated and also people to go super anxious to go to trips and leisure travel and to spend a live in a way that they didn't feel comfortable to do when they had a higher threat of the virus. >> and showing the tsa numbers, but if we could throw it up again, guys.

5 of the last 8 days, we have seen a million people go through the tsa check point, and we had a few million days around christmas and new year's, but it is 50% down from 2019, and 2020 even prepandemic. but, we are starting to see this activity point up. as we see the vaccine ollout, do you see the super cycle is of spending and the roaring 20s redux in the summer and fall as everybody is just, as the age groups are coming down, and the jabs are rolling out, and picking up the pace, it could be a boomtime like we have never seen in our lives. i truly believe that. >> yeah, we are bullish on the economy, and we have been for the annual gdp growth, and we are on the q 4 basis, and excess of 7%. what is driving that bullish

trajectory for growth is the consumer. the consumer is showing a willingness to spend, and more importantly, they are going to have a greater ability to spend in a sense of, you know, once there is a bigger reopening of the economy, and once people feel like it is safe to go back to reengage, you are going to be very, very much will see that happen, and we are getting the early signs of it. another extremely important point is that they have the finances, the support to spend as well. there is a lot of dry powder out there on the household balance sheet, and close the $2 trillion in excess savings and more coming, so they have the ability and the desire, and we think that we will see the exceptional numbers around consumer spending in coming months. >> all of those baby boomers who bought the bitcoin at 25 cents are going to be doge coin, spend it all as they travel to see the family, and do whatever the, heck they want.

and it is nice for the folks to get out to see their folks, and mom, if you are watching, i will see you next weekend thank you, michelle. >> thank you. >> you're welcome. what the options market is saying about where the stocks may be headed and why it may not be good for cathie woods arc. and also, crude, and why oil is going one way and big tech the other. and in what is a tough week overall, the biggest dow laggard, home depot, salesforce, nike. what is down overall, and the market is slightly flatter, but there is a turn coming. we are right back after this.

want to save hundreds on your wireless bill? with xfinity mobile, you can. how about saving hundreds on the new samsung galaxy s21 ultra 5g?

you can do that too. all on the most reliable network? sure thing! and with fast, nationwide 5g included - at no extra cost? we've got you covered. so join the carrier rated #1 in customer satisfaction... ...and learn how much you can save at xfinitymobile.com/mysavings. all right. welcome back. some say that options market is kind of like a crystal ball tone the stocks where the big options bets are placed and it may give us rare insight into what the hedge funds and the possibly millions of retail traders are thinking, and this week has brought big moves from cathie woods arkk investments and the smk and the treasury bonds as well, a tlt, and the, the ilp, and to break it down is chris

murphy cohead of the derivative strategy of susquehanna, and good to see you again, and number of investors who have made money with cathie woods and arc, and it has had a heck of a run, but a run from the bottom, and i am sure they are wondering where this is going to how long lit go as to the components of that index may do? >> thank you. you are a major focus on the arkk this week, and we have put 200 on the contracts and outpacing that today. to rewind, we noticed the big uptick of the hedging in february, and we saw the notable outflows a week or two ago, but one thing that caught our eyes is a tremendous shift in skew, so if you rewind to middle of december, the volatility of the upside and the downside puts

were equivalent. fast forward to monday, you know, the money volatility was around the same spot, but what you saw in the options was a big move lower in the volatility priced into the upside calls ark and big move higher in the volatility that is to supside c -- the upside clip. and so maybe with the upflow of those volumes trading recently, so looking at the arkk here trading to the upside with the downside. >> so more volatility to the upside, and more than the downside, and that is maybe what some of the holders don't want to hear. and so, on the call buying, the buying of the tlt and maybe the most boring thing in the world, and what is the action of the yield? >> yes, that is the 20-plus

bond, and the etf, and poor couple of weeks down 10% over the last five or six weeks, but what we did notice yesterday is that there was a big increase in call volume compared to the puts, and the level, and a lot of the volume is near buying and crowded short these days looking to edge the gains they have made or somebody who is looking at the bond, the u.s. treasury bond oversold, and think that it is due for a bounce back. and either way, a bond increase from what we saw yesterday. >> i want to switch gears and talk tesla. a buddy of mine buys and contract, and he probably trades with you, and he said that tesla does not trade with the market, but it is the market, and he is a delta one derivatives trader,

and so much placed on delta one, and the tesla bond strategy, and so how important is tesla to overall market in all? >> well, it is an important sentiment indicator as arkk is as well, and now that it is part of the s&p, and the nasdaq and it is going to pulldown when it is selling is off, but it is more of the sentiment end kay or the than actually improves the move down of the market, and still part of the s&p 500. if we see tesla turn around and start to rally, that is going to help the ark etf and investment sentiment, and gdp, so that is going to outpunch the weight in the s&p 500 or the nasdaq. >> yeah, very important name out next week, and could be volatile

week, and so thank you for looking into that. have a good weekend. catch "closing bell" 3:00 p.m. eastern time on monday, and not today, but monday. and a interview with everybody who they want to talk to cathie wood at arc invest who has made a lot of people at the tough time. that is 3:00 monday on closing bell. all right. coming up, are you looking for inflation? well, one place that you will find it is no argument is the car lot. what it might mean for you. plus, a fas nagt story about the rollout of the vaccine, and it is happening so fast that vets to veterinarians are being called upon to put shots in arms. kate rogers is up with that story next. and by the way, the dow is at session highs right now, and looking at the sectors that are looking at the markets this morning and as of this morning n the green, and the nasdaq back

up about 1%, and the buyers have come in on a friday. we will see if it lasts with 2 1/2 before the closing bell. backf a this. - [announcer] if you've tried college but never finished, snhu let's you transfer up to 90 credits toward your bachelor's degree. - [woman] it doesn't matter how old you are, you can do it. you can finish. - [announcer] finish your degree at snhu.edu.

in the romo household we take things to the max oh yeah! honey, you still in bed? yep! bye! that's why we love skechers max cushioning footwear. they've maxed out the cushion for extreme comfort. it's like walking on clouds! big, comfy ones! oh yeah! the world's first fully autonomous vehicle is almost at the finish line what a ride! i invested in invesco qqq a fund that invests in the innovators of the nasdaq-100 like you become an agent of innovation with invesco qqq you can try to predict the future or you can create it. like you we're driving it. everywhere. we emit optimism, not exhaust. we plug in our vehicles as naturally as we charge our phones. we. we are generation e. we want smart. clean. and safe. to also be fun, easy and powerful! ultium! a battery that charges fast. runs long. it fits everyone. nobody will be left out.

and that, changes everything. ♪ ♪ all right. welcome back to the exchange. hope you having a good friday wherever you are. we have r are having a good friday and session highs and the dow is up 350 points, and we were down this morning, so it

has been quite a turnaround session and volatile for stocks. at one point the nasdaq was down as much as 2 1/2 percent, so really a 3.5% turn for the technology stocks which is not something that you would see, but not sure what is behind it, but there is obviously more money coming in, and more buying than selling is pressure, and the 10-year is a story as well with the yield ticking down, and leading once again, the year of the oil and the gas company, and the energy stocks continue to be on fire as the price of oil continues to go up, and consumer staple, and the consumer companies as well. the cruise stocks by the way, they are actually down. norwegian, carnival, and royal caribbean are some of the biggest decliners right now. a large stock offering by norwegian, and the group as well.

alternative companies like blink, battery cells, they are down, but not as much as they were earlier in the session. a different story for the brick and the mortar and the mall-based retailers and gap is on base for the eighth straight weekly gain, and american eagle, and urban outfitters is outfer feblin -- outperforming. and for some of the outside the market, we go to rahel solomon. >> prosecutors can reinstate a murder charge against officer darren chauvin who has pleaded not guilty. and now, there is a money

laundering and fraud trial started involving cryptocurrency. the food and drug administration saying that it is going to increase the testing the of baby food after a congressional report found dangerous levels of toxic heavy met ls a of food for instants and young children. the agency shows no immediate testing shows no health risk. and eric swalwell is suing former president trump, and former attorney rudy giuliani saying they conspired to violate civil rights and to conspire for a riot on capitol hill. we will see how this is going to be accomplished and how the trump allies are dismissing the charges. and it is friday and time to look ahead of what is going to be in store for your money next week, and this is the friday

fast forward. it is the second week of march and as the weather is warming up, a chance for the tech names. but there are still names on deck, ultra, and we will get a look at the state of the small business with the nib survey, and the inflation report, and roblox, and we will also hear from disney, and also, declaring a global pandemic, texas is ready to lift all covid-related restrictions that is the friday fast forward >> all right. looking forward to that next week. as the vaccine supply is ramping up, and ramping up fast, and we are averaging 2 million shots a day for the first time ever, and another problem is starting to pop up. not enough people qualified to

actually give the shots. so facilities have gotten creative. kate, is the veterinarian that my dog goes to see, is he putting the needle in my arm >> depending on the state. the president has put out the call for vaccivaccinators, and retired nurses and doctors and other federal personnel who work with fema and that is not all. states across the countries are enlisting podiatrists and dental hygienists and veterinarians in some cases to help out with the effort. for dr. erica ball, the call to help humans is a natural extension for what she does day to day. >> we are big believers for what the vaccinations can do, and we are shepards of public health,

and we vaccinate dogs and cats for rabies and in the interest of public health, so this is the right up our alley. >> she is not alone, the human society says they are eager to join the ranks. >> if you need us, we are here. how can we assist? there is a great deal of interest within the veterinarian community and to assist to do our part to keep the human population healthy and safe as well. >> efforts from ball and other vaccinators like her are going to be crucial as the number of vaccines starts to grow, and president biden announced a vaccine for all adults by the end of may which is welcomed news. >> and a huge thaup to everybody out there volunteering, and yankees stadium is going 24/7, and you will have volunteers out

there 2:00 and 3:00 in the morning. so if you want to volunteer, what is required to do so? >> check with the state to see if you can volunteer like a podiatrist or veterinarian, and there is some in-person training t there and the doctor like dr. ball said she needed up y dates like the hep b to go out there before she could volunteer. and thank you to everybody what is going that. >> thank you, kate rogers. so from the faang to the faang, as tech is falling out of favor, the oil and gas is picking it up. we will have paul hickey up next, and pick the stock that is solving the biggest insider this

week. that is right, the exclusive look at the top five stocks, and the top one with six different executives all buying up the stock this week. there's the chart. the name is coming up. these days, we want sophisticated but simple. cutting edge made user friendly. in other words, we want a hybrid. and so do retailers. which is why they're going hybrid, with ibm. a hybrid cloud approach with watson ai helps manage supply chains while predicting demands with ease. from retail to healthcare, businesses are going with a smarter hybrid cloud, using the tools, platform and expertise of ibm.

all right. welcome back. well, technology of course was the trade of 2020, but lately, it has been like a foreigner song "cold as ice. the triple q tech is down 8% in a month. 35 stocks in the nasdaq and 100 are down more than that. on the flipside, oil and gas and it was hated and sold all year, and many stocks and companies literally left for dead as everyone pile into the esg investing, but what a turn it has been. oil and gas, the hottest trade of 2021 and get this random, but interesting stat from the folks at the spoken investment group, energy is outpacing technology by 40%, and that is the widest margin in 20 year. let's bring in the man who figured it out and brought us the stat, paul hickey of the

spoke investment group, and i don't know, paul, if the wisest oil sage out there, and anybody who i talked to could have figured out that oil and gas and energy stocks could have been this hot this year. what a turn. >> yes, brian, what a year so far and what a six months. we have seen the widest outperformance like you said going back almost 20 years, and what is really interesting is that it is a complete opposite of where we were just several months ago where tech was outperforming energy by over a six-month period by the widest margin in about 20 years, so it has been this quite quick flipping of the switch so to speak. >> and you can't say it is money coming out of technology and into oil and gas, and we don't know, but it is certainly appears that there is an element of that, despite the fact that we hear all of this about the

esg investing in literal i big funds, and system of them at endowments of university are not allowed the own oil and gas. >> that is a good point. it is a point that we made up of the small caps, and late last year, that it does not take a whole lot of capital to get the sector moving and the small cans were smaller than apple at one point last year, and energy is less than 1/5 of the size of the technology sector, so when you are getting that wide of the move, you don't need a full rotation out of technology and into energy to get this type of move. it does not take a lot at all. the energy sector is 3% of the s&p 500, and the technology sector was over 25%. so, it does not take a whole lot to get it moving when you are out of favor >> and the occidental ceo told

us with part of the interview up on the website if you have demand growing, but the inability to drill more wells due to banning on the federal lands which is about 14% of the oil and gas drilling. you will have fewer people that have to meet greater demand, which of course, we know what that means. the prices and the val you of those assets tos up. do you think that it can continue or the trend is over, pa paul >> no, the trend is continuing, and you have a drying up of the supply of assets to create the higher prices for it, or we are seeing in the market right now, too, the growth stocks which is a lot of the technology sector coming under pressure now, because think about it, last year at this time, no growth to be had or very little, and what there was, it was the technology sector of the higher growth stocks. and now, we are in a situation to move forward and some of the strongest economic growth in

decades as mr. santelli knows, there is growth all over the place, and so suddenly the scarce asset of growth in earnings is all over the place, and so the law of economics 101, more supply leads to lower prices. so, when you have these high growth stocks now which were very dear in some of the areas of deflating out of them, where the value stocks which we had a lot of them are now more in demand. >> really good point there. it is like that jimmy stewart movie where every time an angel gets the wings the bell rings, but it is like every time you make a good point, the dog barks. >> i don't have a dog. >> well, maybe it is mine. [ laughter ] well, we will go look at the liquefied natural gas, and we

will have that next on "the exchange" and bitcoin is having a wild session today and it is currently higher today by about $300 and down big and up a bit, and it is nearing the equity market. d a btsow up 400 poin n, anwereack after this. wasting . that's why td ameritrade designed a first-of-its-kind, personalized education center. oh. their award-winning content is tailored to fit your investing goals and interests. and it learns with you, so as you become smarter, so do its recommendations. so it's like my streaming service. well except now you're binge learning. see how you can become a smarter investor with a personalized education from td ameritrade. visit tdameritrade.com/learn ♪

- [narrator] grubhub perks give you deals on all the food that makes you boogie. visit tdameritrade.com/learn (upbeat music) get the food you love with perks from- - [crowd] grubhub. ♪♪ - grub what you love. dad, i'm scared. ♪♪ it's only human to care for those we love. and also help light their way. ♪♪ it's why last year chevron invested billions of dollars to bring affordable, reliable, ever cleaner energy to america. ♪♪

time for the weekly look at insider buying and the exclusive dive into the top five stocks bought by their own executives and all of the data coming from insiderscore.com, and now we will get started. number five, retailer macy's, with the board buying 5% of that stock. four, avant grid, and they are buying $1.6 million worth of this connecticut energy-based distributor. and the third is royalty pharma, and a new name to us, and the

director is buying $1.2 million of to stock, and down 19% of the year, and maybe finding value. and then crown castle with the chairman buying $1.2 million and watch this name, because it is the director's ninth buy, and the insider score says he has timed the other eight pretty well in the past. and this top stock is agree realty, adc, and six insider, and six, including the ceo, cfo and others are buying a total of $3.9 million of this name, and the stock is down 18% in just the past month, so this is a huge buy with multiple insiders on the adc. so top insider buys this week, and we will leave you with one big sell, virgin galactic is dropping double digits after the top investor is dropping all of his $213 million personal stake

this week, and he still owns indirectly some shares though through his spac, and the statement to cnbc, he said that he plans to put the proceeds towards a large invest to fight climate change, and there you go. so the crown castle, and the agree realty, and watch this segment next friday asly be back there with a big cup of coffeet that hour. now, to a big interview in the natural gas and lng world and a perfect one following a huge texas power outage and grid, and we are joined by the executive chairman of telurian and a man whose name you will see on the name of a lot of things in the houston grid, and so thank you for joining us what did we learn or should we have learned from that insane and impossible to conceive power outage two weeks ago

>> brian, thank you very much for having me today. i think if you put it in context, we now have the two largest states in the country having this dysfunctional grids and california with the blackouts for the summer, and now i was watching on one of the cnbc shows this week the governor of texas, governor abbott who regrets that they did not recommend a blackout to deal with the crisis in texas. so we have a lack of clarity of the huge source that we want to use in terms of providing the electricity that is going to be needed as we continue to electrify the energy space in the united states. this is very serious on two scores. >> your company relies that you

need natural gas, sharif, and the power plant, and part of the problem is that everything failed at the same time, pipelines and gauges and knobs literally froze as part of the surge, and so is the industry t investment dollars to make sure this does not happen again, if we get a similar winter storm? >> the short answer is no. because the regulatory environment is not there to justify making an investment today on a long-term basis but this will change the decision would be pushed down to the consumer, who increasingly will have to surge in order to secure his electricity for his own. so either they put solar panels on their roofs, or they will buy generators, as they do in california and in texas today, and use natural gas to provide

their own electricity. so at the moment, the grid did dysfunctional, and the customer in the country is starting to say i don't think i can rely on the grid i have to provide for myself there's a huge challenge with -- >> very quickly charif, i'm running out of time with this one. yesterday the occidental ceo told us she does not see oil, and i guess gas, production returning to pre-pandemic levels do you ever agree? >> she said gas production or oil production >> she was talking oil, but of course gas is a byproduct largely of oil drilling. >> no, i think gas will continue to increase. she's in a better position to figure out what's going to happen to oil. she's got one of the best footprints in the permian base,

so i take her word for oil on the gas basis, we have some room to run. outside of the associated gas, the mindset is we have a lot of gas, we just need to start drilling for it. >> charif souki, we appreciate your insight joining us. best to you and your family. take care. >> thank you, brian. still ahead, are you in the market for a used car? maybe a new car? you better be prepared to pay more for both of those options phil lebeau is up next on where inflation is really hitting. jim cramer is off next week, so we'll bring you a special show next week called "on the edge. hosted by scott waerpn, 6:00 p.m. eastern next week don't miss it. don't miss it. we're back after this.

it all starts with an invitation... ...to experience lexus. the invitation to lexus sales event. get 0% apr financing on the 2021 is 300. experience amazing at your lexus dealer. keeping your oysters business growing get 0% apr financing on the 2021 is 300. has you swamped. you needo hire. i need indeed indeed you do. the moment you sponsor a job on indeed you get a shortlist of quality candidates from a resume data base claim your seventy-five-dollar credit when you pirst job at indeed.com/promo

want to save hundreds on your wireless bill? with xfinity mobile, you can. how about saving hundreds on the new samsung galaxy s21 ultra 5g? you can do that too. all on the most reliable network? sure thing! and with fast, nationwide 5g included - at no extra cost? we've got you covered. so join the carrier rated #1 in customer satisfaction... ...and learn how much you can save at xfinitymobile.com/mysavings. all right. welcome back to "the exchange. if you want to get a gauge on certain types of inflation, look no further for the auto lot.

phil lebeau has more >> those prices are close to an all-time high, and here's the reason why the automakers and the suppliers are dealing with real cost inflation, especially when it comes to raw materials this is according to alex partner, this is an automotive consulting firm. look at the end of the chart here, that's per vehicle almost $2800, that's the raw material cost, up, what, almost $1152 year over year a stagger increase with the numbers within the numbers, specification raw materials. platinum metals, primary rhodium here, up 135%. steel has doubled in price copper up 47%. aluminum of, and this is pressuring the margins not only of the automakers, but also of their suppliers. and yesterday they have moved higher, in conjunction with the rest of the industry, because of

the belief that, look, electricity vehicles are coming, that would be the growth area in the future that's white the automakerses tho stocks have also moved up because of the ev optimism bottom line is this, brian, you will see the automakers talk about this they are really facing margin pressure some of this is being passed on to the consumer, but it's a definite problem for the industry phil lebeau, thank you, buddy. appreciate that. >> you bet. it goes quick on a friday. you're welcome that's it for "the exchange. "power lunch" is next after this quick break. i'll see you back 5:00 a.m. stn monday. have a great and safe weekend. take care, everybody - we have a location that has experienced four floods, a fire, a hurricane, and obviously now we're in the pandemic.

this is during hurricane harvey. the water was like a river. - when you talk about nasdaq, people don't think about insurance or catastrophe risk but that's a product they offer. we have 12 companies that build these models. for example, we have fathom. they are experts in building flood catastrophe models and we get it through our nasdaq platform. so insurers would be able to provide the right guidance to janice and people like her project forwards the risk and actually use that to advise the policy holder where they buy their house or where they buy their next commercial property. - now we have this predictive flood modeling that we can go to and find out if it's gonna flood there or not. and if it's not, then guess what? we get to sleep easier. we get to go on a vacation. we get to grow. this is decision tech. we g find a stock basedion. on your interests or what's trending. get real-time insights in your customized view of the market. it's smarter trading technology

for smarter trading decisions. fidelity. the world around you may seem like an immovable, implacable place. it is not. it can be bright. quiet. and safe. it's a change that will be felt from this street. to this street. to no street. and everywhere in between. all it takes is the slightest push in just the right place and that will be the tipping point that changes everything. ♪ ♪

good afternoon, everybody, welcome to "power lunch" for a friday afternoon i'm tile tyler mathisen, we'll joined by morgan brennan in a moment a rally, all of this before 2:00 p.m., and ri