>> it's mostly been the bond market deciding on how we feel about these things maybe some of the travel issues. i don't think it is a big issue now, but you have to keep one eye on it. >> we are out of time here on req closing bell. i'm melissa lee, and this ""fast money." tonight, back from the brink tomorrow marking one year since the covid bottom we'll take a look at what turned out to be some of the greatest buying opportunities and find out if there is still buys right now. plus, chips and dips, is semis surging today. should you scoop some beaten down names up. later, gearing up for gamestop option traders are making big bets ahead we will break down the action. but we start with a party on wall street. stocks pushing higher to kick off the week with all three

major averages finishing in the green. the big winner gaining one and a quarter percent. but could this party be coming to an end? this is spring break in south florida. people packing the streets, things getting so out of hand, miami beach declaring a state of emergency, enforcing curfews and restrictions to limit the partying and crowds. all this as covid cases are back on the rise in half of the country. 27 states reporting a jump new jersey pausing any further reopenings and over in europe, germany and england, extending their lockdowns in germany, poland and other countries are introducing new measures to curb the outbreak is the market exposing covid risks and getting too bullish? >> hey, mel. we look at everything through the prism of the market, right it is important to make it clear that we don't want anybody to get sick we understand what's happened

over the last year i think it's important to say that because people can slice and dice our comments however they want. with that said, in a perverse way, i think this might be bullish for the makt why? maybe they will slow down buying yields maybe people will reinforce their belief that the fed is going to be there regardless and by the way, we have been through this before and the markets learned how to deal with it of all the thing with i'm concerned in the market and there are many, this isn't at the top of my list and it clearly isn't at the markets either being at the bigs closed at 19 today for the first time in probably 13 months. >> yeah. tim, you brought up the vics being below 20 earlier in a call today. >> a year ago, we're going to do all these lookbacks and have a great segment on what you want to invest in a year later. guy is bringing up great points about how fear has inspired unprecedented policy response. so the fear of removing unprecedented policy response is

the markets have anxiety what gives me anxiety is you get to a place where the year of mulligans that we had which was then on 2020 and really 2021 earnings is something that you are going to have to, you know, address by the time we get to mid-year i think we will have to unless you slow down the pace so everything guy caveated with this, we care about the world's health a lot more than we care about the stock market i do think you have a case here where the market is going to be fine with bond yields coming down because there is -- you know, there is more fear of less opening. and i think unfortunately that's just the market we're in again, i am not worried about the environment. if anything, i do see 7% gdp growth and a labor market that's 4.5% and those are the feds numbers by the end of this year that will be very, very strong backdrop >> i know what it sounds like between what guy and tim are saying that it maybe perversely sets up for a win-win situation. we are either wildly successful,

the economy reopens, gang busters, demand is there, the stock market goes higher, or you have a reopening that has stutter steps and maybe the bond market, the yields slow their assent and markets don't have a thing to worry about >> i think that's probably wha the market is saying right now just a couple different things we showed that clip of spring break in miami i don't think it's just 20-year-olds that feel that way. people are ready to get out and do things. so when we do reopen, i think scenes like that are likely to be maybe not as wild as that, but people are ready to get together go out to restaurants. go out to movies and shows and whatnot. that is the reopening trade. the caveat there is that has to be stronger than any of the tailwinds. so rising rates, inflationary pressures and all of that. for now the market appears to be saying, yeah, earnings growth will be a lot stronger than any inflation concerns even though that is a tail risk. so i think that's what the market is doing.

the one thing i would note, though, which is kind of interesting today. we talked about it at the top of the show here. the nasdaq started to rally. now, that is where, you know, some of these names are idiosyncratic growth so maybe there is that rotation. so maybe the market is worried about covid shutdown and you're starting to rotate into the tech sector. >> yeah. i was going to point that out. i noticed james noticed that as well, but we had a lot of the stay at home trades do well like zoom and peleton the cruise lines and airlines, particularly jet blue with more exposure to florida really get hit hard today, james. so maybe the market is tipping off to some concern about what is going to happen >> right we study conversions andy ver against in the indexes and correlations and when the indexes stop moving in the same direction, eyebrows are raised today we saw a recovery and a rally in the s&p as well as the

nasdaq but a continuation of the selling that began last week in the russell and the small cap. it was just the opposite for the first two months of the year tech and the s&p were showing weakness and small caps and value caps were rallying i think that money is looking for a place to grow in this market today and there has been so much bullish sentiment for so long now, this backdrop of a reopening trade and the reassurance from the fed that protection will remain and there will be a tempid movement of moll tear policy as we see how things go. all this in the face of new cases and pauses to reopenings and pauses of announcements of going back to normal there is a lot of uncertainty here but there has been so much money made in that bull market that that money wants to find a place to keep growing. and the energy of buying will consistently follow through wherever it can find a home. >> tim, when you take a look at what was going on in the airlines in conjunction request what we saw out of florida, did

that make you concerned? even though we're talking about the markets broadly here, this could have a specific impact on some of the names that you own in terms of the airlines >> well, delta at this point, i'm long boeing. i think boeing is very much of an airline trade as we know. i mean traffic, not necessarily even some of their own specific issues but i think you have a case where the rally across the airlines was so extraordinary over the last -- if you look at that jets etf, you can see the move we have had over the last six weeks. i am of the view that airline valuations aren't terribly interesting here the sentiment around today europe has had us concerned over here europe has been a leading indicator in terms of what's been going on with the virus what's different is that really and thankfully it's proud to be american time. what's gone on here in terms of vaccinating this country and

what's gone on with some of the biggest drug companies in the world, look, i don't think we're in the same situation as they are in europe in some cases. i don't expect -- first of all, people are going to be responsible. people are going to do the right thing. but we are opening and ultimately if you're back to your airline trade, if you liked airlines on friday, you like them today you're not doing anything different. i'm tell ing you i think airlin valuations are not terribly interesting at this point and that airlines have proven to be great trading stocks with that in mind, i'm dancing at the near. >> that's a good way to put it dancing near the door. you're still inside but close to stepping outside there guy, how would you interpret what the market is doing because it seems like one day you are in tech stocks the next day -- you know, it's just -- the rotation is on and on and it seems to churn >> yeah. i mean, it's clearly on autopilot. i think it's all predicated on buying yields and accommodations

out of the fed most people knew this going in, but jet blue priced a $650 million convert, which is 10% of their market cap and the stock price -- by the way, good for jet blue for taking advantage of the huge move in their stock. jet blue traded up to the levels that we saw february of last year i mean, so for all intents and purposes, the stock was basically right where we were before this entire thing started, which is pretty remarkable if you think about it obviously that weighed on it to answer your question, ifs that simple. if you think, as i do, by the way, that bond yields are going higher, i think this is just a pause and the nasdaq will continue if you think for system reason we have stopped here around 1.7% or so and headed back lower, then it's all systems go once again. it really comes down to your view on yields i think yields go up from here. >> our next guest has the market ignoring risks to the reopening trade.

mike, always good to speak with you. reading through the notes, it sounds like the thick that you're worried about is not necessarily a rise in case load. but once the economy opens that demand will far outstrip supply of whatever it is, services, of goods, et cetera >> yeah, that's right, melissa look, we try to worry about things that people aren't worrying about so now everybody is focussed on rates. that is what we were concerned about back in january. i agree with guy i think rates will eventually go higher, but we had a heck of a move and everybody is focussed on it. part of today's trade is the rate thing came down a bit and the tech stocks could breathe. but the new leadership is clear. it is crystal clear to us. it is a rotation into reopening procyclical value, whatever it is, that's the new leadership. and it's been established. it really got accomplished today that vaccines were announced back in november i don't think people are

worrying about a recurrence of the virus because we do have an answer to it we do have vaccinations. yeah, europe has been behind the curve, but they will get there u.s. has done a good job here and we'll get passed this. so the market is moving forward. now just like last year, the economy was horrible, but the market was great you look forward and now i think we will be a bit surprised people might be surprised that as we reopen there will be cost pressure i think a lot of companies will have a hard time dealing with that not the end of the world but it's going to be more difficult. it is going to affect probably small cap companies more than any others negatively, which is why we downgraded that space last week. >> hey, mike, so you're talking about bottom up factors -- i'm sorry. go ahead, brian. >> no. go ahead, tim. >> okay. so at what point are you really looking at valuations, mike? and, you know, your role as a

strategist is to not look at anything in a vacuum and you are talking about market factors i'm concerned when folks like you and like us can only be focussed on eps and dynamics at least in a static environment, all the things remaining equal when do you think that's going to be when these valuations make no more sense and the mulligan is over? >> i think it's been happening, right? that's basically our call for this year is that rates markets finally adjusted higher. people can no longer ignore that stocks are stretched now, they went after the big growth stocks first. okay, fine now they're going to go after some of these more speculative areas. some of the reopening stocks have gotten ahead of themselves. i think it's happening right now. by the way, that's usually what happens at this stage of the recovery you have the recession valuations expand during the recession. rates come up and valuations come down. that's normal. this time we have parts of the market that are really stretched. that means you probably have net

negative pressure on the overall index, small cap stocks, some of the expensive areas and you have to be cognizant of that. the trick, as you know, being a portfolio manager is finding idiosyncratic stories that with gain that. multiples will get compressed this year at the index level, and that's normal, probably 10%, 15%. >> hey, mike so you're talking about this multiple compression i imagine a little bit that has to do with some of the inflationary issues that you were talking about, some of the shortages that we're seeing. but what is the trigger in your mind for when that multiple compression, which sounds like you think is going to be somewhat benign turns into something maybe a little more violent? >> yeah. >> what should investors look for to say, okay, that's the trigger? >> like i said, i think in some of these really expensive areas, that trigger is already -- that

rate move has already got people's attention i'm comfortable saying right now a lot of these stocks are made their highest for the years or have made their highest for years, plural. if you happen to invest in very expensive parts of the market, you're on warning right now. you need to be careful with valuation because i think those stocks may not recover this year at all. >> always great to speak with you. thank you so much. >> thank you. james, what do you make of the inflation pressures that mike was talking about >> they're real. you know, if we look at commodity and the steepness of the rally, we see there is a lot of crowding into those things. i have been watching corn. i have been watching palladium, a lot of the sectors that were hammered when the virus first came out we saw auto production go to zero in china. had a trickle down effect. inflation is real. however, we know that the fed is going to protect us and offer

support. we know that people will get stimulus checks. so it's shrugged off, i think. ultimately, when we get back to normal and the fed starts to walk back or at least reduce its indication it will come in and provide unlimited support, we will see these stocks come down. but i think that ultimately this is a risky area in the commodities base as it relates to inflation. >> i think the way mike had put it was obviously it's the right way. he's mike wilson, morgan stanley. but in terms of hitting small caps much more, small caps can't pass on those price increases to consumer as well as larger corporations can and absorb that cost of whatever it is by just taking some off the margin >> yeah. no question. and, you know, you ask mike what the trigger was for him or what it will be the trigger for me and we'll see if it's right or wrong for me it was getting through one-and-a-half percent on the ten year it's really manifesting itself you just brought it up

on a decent tiptoe day, the russell was down 1%. if you look over the last couple years, i mentioned this i think on thursday, the russell let us up by a two week head start and let us down by the same amount it is interesting to see if that's going to be the case here i think it will be extraordinary hard for these companies to pass on those costs and i do think, like james said, i think inflation is absolutely here in spades it is just a question of when the market acknowledges it, and i think we're pretty close to that point. coming up, all aboard a $25 billion deal find out if our traders are booking a ticket on the megamerger in the transports. later, the ultimate comeback kids six stocks that tripled. ila some of these names are stl buy. we'll bring you the trades when "fast money" returns

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welcome back to "fast money. shares of kansas city south everyone agreed to be bought by pacific railway for $25 billion. it still needs approval from u.s. regulators. b.k., you on board with this deal >> yeah. you know what is interesting about this deal, you think about

this reshoring effect, right so things will likely be more -- transported more by trucking and rails. and the one thing charlie munger always said this, they're not making more railroads. the cost to do that is outrageous so this i think is actually a pretty good deal but it is a longer term type of deal where these companies will do well over the past couple years. >> canadian pacific has tried to do this before do you think regulators approve this one they are the two smallest of the seven north american railroads but still. >> yeah. i think a lot of -- look, this has been carefully thought out and so unanimously voted through by both boards i think there is some sense this is a deal that could get done. it got done at a level that made a lot of sense and probably could have become a lot more expensive. i like the deal. i like the upward pressure it

puts on multiples in the space i like the pricing power i like the efficiencies. look, i like the charge. transports ultimately, if you look at the iwt, this is the great charts off the low of the crisis on a five-year basis out of a stall really going into covid, this has been just a great sector to own. and companies like fedex and, you know, ups. but when we talked about the airlines which may be a little more tactical. but in case of the rails, these companies have gotten better and more efficient and i think they're a place to stay. >> i know you like the name. it is very creative. canadian pacific kansas city do you like the deal, though >> you know, it's interesting. i don't think it's -- you know, i don't think it's coincidence this deal was announced during this administration. quite frankly, it is funny kansas city southern is a name we talked about four years ago, i believe, and probably one-third or so the price that we're talking about now during the trump administration and all

the rhetoric around mexico and stuff. we talked about it glowingly then it is hard to really be as e no, ma'am marched of it now given this valuation what i will say is, yes, i like the deal i'm surprised at how poorly federal express continues to trade. listen, i thought it was a great quarter. you are talking about a stock that should have at least a 16 multiple on the back of the $20 they will earn exyear, you should be talking about a $320 stock for my opinion it leaves me scratching my head. if you want to find a place to be, it's federal expression. >> james, jyour favorite transport? >> i study the indexes the transports broke out all-time high today. this is the time when mergers and consolidation happens at the upper echelons of bull markets this is expected but i don't want to directly invest in any specific transport name.

>> got it. we have a lot more ahead on "fast money. here is what's coming up next. stocks have surged in the year since the markets pandemic bottom but is there still an opportunity in these soaring shares plus, semiconductor stocks higher today but still down big from their recent highs. we'll break down which scktos could still be worth a buy we have all that and more when "fast money" returns one day, you're gonna take a hit you didn't see coming. do you stay down? or do you get up? [announcer] and this fight is a long way from over, leonard is coming back. ♪♪ ♪♪ the world around you may seem like an immovable, implacable place.

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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. the big day already with historic action by the federal reserve. also waiting on congress to vote on its stimulus plan some time today. >> the dow wiped out all of its

gains for president trump's election. >> right now the down is down about 575 points there are now 40,000 cases of coronavirus confirmed in the united states, putting it third behind china and italy as testing ramps up >> welcome back to "fast money." that was the scene this time last year. tomorrow marking one year since the march bottom take a look at how far we have come the s&p is up 71% since then if you bought at the bottom, you are lucky enough you have made a lot of money, especially in these names. etsy, discovery and l brands they were great buying opportunities back then. are they still great buying opportunities right now. etsy up. 73.3 guy, is it still a buy >> yeah. you're not going to believe. you have heard everything i said for the first 20 minutes of the

show now i'm going to say something people will out me for it's coming off a pretty solid quarter where you see margin improvement. even margins came in at 31%. i think the street was looking for about 25% up from 20% in the same quarter last year you have user growth you have seen sell-offs of this magnitude. you have seen moves like this at least four times over the last year, year and a half. so it's not unprecedented. plus, you have somebody like elon musk out in the bleachers tweeting back in january, i kind of like etsy so we're one tweet away from another 10% move despite valuation, i think you can still own etsy here. >> a lot of people are sitting at home with nothing to do and now they're hooked on etsy they got a whole new market potentially here. >> right yeah potentially. but how many crocheted trifts can you sell

it's not that i don't like etsy. it's just the easy has been made, number one number two, we talked about the pressure for inflationary pressure do you think that crow sheaer at home will be able to pass on the extra cost to that other person at home that's looking to get that i just think it's not an easy trade at this point in time and it's likely the most vulnerable to all the macro headwinds we talked about. >> it is more than just crocheted items on etsy by the way. discovery is up nearly 300%. back then 5.8. today 26.1 so, james, you like it here? >> i do. i like discovery because of a few reasons. one, they're getting onboard the streaming train and discovery has a ton of content they have a very loyal base of fans they were somewhat flat over the past year. what we did with february earnings announcement, we saw that there was a great pickup

there, out performed to the upside and there is a huge pocket of value here called online education. what we have seen happen over the last year has really disrupted the way we lived and obviously the streaming revolution was one thing but we now know how to work from home and the need for online education and discovery has a pocket of value here they will roll out products and services for interactive tools that i think will add creative production to their earnings in the future i do like the stock. >> guy, there is going to be a lot of competition for time once the economy reopens. >> yeah. >> let alone streaming products specifically >> yeah. i hear what james is saying, and he has been spot on with this. the concern i would have this with as opposed to etsy, with etsy, you have seen fits and starts to get to this point. with this name, it has been a straight name since november from 20 to 80 with nary a

pullback i think we will see a significant downdraft. maybe it comes in an analyst downgrade. but this is a great story that's gotten too far too fast for me. >> next up, this is up 534%. back then it was 23. today it's about 14.5. so, b.k., what do you say? >> you know, of all the names we're going to talk about, this is the one that i don't like the least. does that make sense i mean, what you have got here is a copper and gold play. what i'm concerned about is the copper part of the play has gotten way ahead of itself, and i don't know if that's going to be something that happened -- that we can't in the next, let's call it, six months or so. it's not that i don't like free port again, i think the easy money has been made. if i'm going to play this theme, which is basically buy any hard asset that's not nailed down, i would rather now rotate into

gold which hasn't had the run that freeport has had. >> in case you missed it, he doesn't like any of the stocks we're talking about. you don't have to wait you don't have to wait and find out. tim, what do you think of fcx? >> all right so, b.k., negative and negative. that means positive last time i checked. bringing two negatives together. anyway, he's right to feel as if the copper part of the story has been a -- you know, a major driver here. copper is near 13 year highs copper of all the industrial metals and most based commodities has the best supply demand fundamentals in seeing favor out strip supply cop every is mined in some volatile parts of the world. and the lack of investment and infrastructure in mining companies means copper could go higher everything we have set for the rest of this show means demand

outstripped supply i kind of like this story. i stay long in this story. and here is the other thing. you don't buy commodities when they're cheap. you buy them when they're expensive. that sounds like a b.k. statement, and it is and it's true in my experience. >> using b.k. against b.k., i like that. let's look at l brands up 514% since march. today it's at 14%. tim, you like l brand? >> boy, this is tough. it's tough to reach in and grab this thing and obviously it takes guy going in and buying a lot of scented candles at bath and body works think about what's changed for this company first of all what happened from covid, this was a restructuring story that was fast forwarded as a function of covid. so they made some very difficult decisions. they did some massive restructuring. guess what now rent is cheap. and it abounds and it's everywhere and there is a lot of vacancies they can lock

in for very cheap. i know this sounds crazy, but they will actually be growing. they talked about and gave fourth quarter guidance -- excuse me, first quarter guidance on fourth quarter numbers that upped importance 50%. they also started talking about a shareholder return plan. so this is a company with some brands and clearly a turn-around that's well in place j.p. morgan threw a $78 target on it. i'd be long. >> the travel city is making for the white house. we have the details. >> travel companies urging the white house to partner with the travel city to develop by may 1st a road map to lift inbound international travel restrictions travel companies arguing that the risk of covid-19 transmission while flying is low and looking to exempt individuals from the international covid-19 testing requirements while avoiding the

vaccine to be a prerequisite to travel most non-u.s. citizens from europe and brazil have not been able to enter the u.s. for almost a year. so this specific road map could be a big boom for the travel industry we are waiting a response for the white house. >> all right thank you. obviously this could be very big news, guy, for the travel industry at the same time, we were just talking about how there is a third wave going on in europe. so that is a concern, too. >> yeah. i don't think it's clearly -- this is not going to happen overnight, but the fact they put this in place, it speaks to everything tim has been talking about to and exceed yeah i think there is ways to play it i would keep a key eye on a name like jet blue trading. but the downstream names still work for me it comes down to names like exceed yeah. >> coming up, the pot stocks on pyre fire this year plus, it's game on for gamestop

after a monster rally this year. how option traders are getting ahead of the game on earnings this wee chorfa rk.mu me stight after th. s and target specific goals. strengthening client confidence in you. before investing consider the fund's investment objectives, risks, charges and expenses. go to flexshares.com for a prospectus containing this information. gohealth has blossomed from an idea in a chicago apartment nearly 20 years ago to a listing on nasdaq today. we help seniors compare and shop for medicare options in their areas using licensed, trusted advisors and an online platform. gohealth has compounded at 52% a year for 20 years. we believe we're just beginning to realize the opportunity to improve access to healthcare for consumers.

we've got a market flash here in quantumscape down 10%. the company planning to sell 13 million in class a shares right now. again, the stock is plunging on this news. the stock of note was up 8.5% in the regular session. i feel like this is a name that's futuristic, it's solid state batteries, it is a khaki wood feeling name. what do you think? >> yeah. yeah so i think, first of all, on any of these secondary offerings, i tend to be a buyer because now you know the story you know the supply is out there. it's down 7% but the way this stock is traded, 7% is actually not that big of a deal in this name so i think, you know, listen, if you could get this thing closer to the $50 rather than $58 right now, i think that's where you probably want to scoop some up. >> semis surging in today's session, but it's been a rough session for this trade

all well off their 52 week highs. let's get to josh lipton with more on this chip dip. hey, josh. >> melissa, check out the eta that tracks the chips. finished in the green today. down 8%. taiwan semi all down roughly 5% no softening in end market demand here. instead, he said some of these names have enjoyed remarkable runs and up 150%. some profit taking he says is expected also, matt says, there are worries about interest rates moving higher, which often impacts valuations of growth stocks bernstein asked an important question what happens, he wants to know, when this ship shortage ends do chip customers keep orders or

do they have to go through a period of digestion? the truth is we don't know but in the meantime, his top picks include nxp, broadcom and invidium. >> thanks, josh. guy, that's a good question closed by a top chip analyst there. what does happen once this chip shortage ends? >> she doesn't know, far be it for me to know, right? i'll say this, i think that will clearly be a concern because it fall into the same trap when people get all pulled up on these chip names only to see the cyclicality of them and the modization that we have seen before but i think we're not close to that yet i power pitched amd trading 80 now. that's still the place i would go, just in terms of what lisa has been able to do there and the growth potential they have over the last six months. >> i think you like invidia?

>> yeah. it's interesting i saw that today there is a couple things here that you have going on with nvidia one is obviously the gaming demand that end demand is not going away there is the potential they will be able to pass on any price increases. and then secondarily, you know, a lot of this kind of chip shortage may have been priced in nvidia has been going sideways basically since september. it is at a really interesting point. you do need to be careful. right here i think you play this one for a bottom and maybe a break-out to new highs. >> james, you like any of the chips? >> i like the chip sector overall long-term, medium term as b.k. said we have been going sideways from the leader here. not just sideways. we saw a lot of pressure in the sell-off over the last month, and that pressure was the first pressure of that magnitude on two and a half years and, so, something is going on

there in terms of an exhaustion of let's just say e fusiveness in this space. so much demand for these chips, so much potential. but that drove them up there in the first place. the sector is a good sector, but medium term, look out. >> coming up, we'll take you to the front lines of the cannabis trade. why he thinks this year could be a major turning point for the entire industry. later a $4 billion string. we'll see when gamestop reports earnings toromrow. we will break down the action when "fast money" returnsment. hey, dad! hey, son! no dad, it's a video call. you got to move the phone in front of you like..like it's a mirror, dad. you know? alright, okay. how's that? is that how you hold a mirror? [ding]

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welcome back to "fast money. legalization gains momentum across the u.s just last week, new york governor andrew cuomo said the state is close to moving on recreational use meantime, the senate is set to take up the safe banking act later this week. a bill which would allow cannabis companies access to the federal banking system and help eliminate the dangers of doing their business in cash let's talk more about all of this charlie, great to see you again. >> great to be here. >> which has the bigger impact for your business? you have dispensaries already in new york, so you would benefit

from opening up that market. >> yeah, yeah. i mean, if i was going to -- if i had to rate which would be larger for either cresco labs or the industry of new york or the federal change, i think you have to go with the federal change. you can't down play the importance of a state like new york passing adult use legislation. we'd love to see the safe act make its way through congress and actually get implemented so we're optimistic for both that's the good stop that we're in. >> what is the first thing you do if that safe act passes >> you know, safe is a -- it is such a dynamic component because access to capital has been so difficult in this industry this is an industry that is the fastest growing industry in america. increase to 320,000 plus full-time employees in the industry last year that's up 32%. this is an incredibly fast moving dynamic industry that we have a hand tied behind our back

withoutaccess to traditional banking. the unlock for a company like us would be of course bringing cost to capital down, making it more traditio traditional, financing real estate cap x projects with traditional or more traditional rates than are currently available. but the real unlock here, too, is the social equity, social responsibility dynamic of access to capital as this industry is developing and all of these state laws are being passed that incorporate these inclusive diverse components to them, access to capital is still the biggest gaining issue for anybody to get into this space >> hey, charlie, it's tim. let's talk about some stuff. first of all, you guys are in 7 of the 10 biggest populus states in the country you're in 7 bi$7 billion markets you have had a slightly different approach to wholesale distribution and essentially the wholesale door sale and how you are positioning a company in a

world where the audience understands the cpg story. cannabis is the most exciting cpg story for many years talk about how you are set up to take advantage of that. >> couldn't agree with you more. it was one of the few things really apparent to us when we first looked at this back in 2013 whether it knew it at the time or not this was going to be branded and packaged and sort of delivered in a traditional way that cpg is for us, we always prioritized those middle two verticals of the value chain. it is really important to own your entire aspect of the supply chain today. but prioritizing that branded product sale is critical you are seeing it as the industry develops. these state programs maintain a tight control on the amount of supply and the number of suppliers that are in the space and points of retail are just going to continue to get more and more and more. it is a great small business opportunity. that's where tax revenue is

actually collected, is at the register so we have always had our sites on making sure we made branded products and we get them as many products as we can. >> charlie, great to catch up with you good to see you. thanks so much the ceo of cresco labs tim, you run a cannabis etf, cnbs, do you think that the gains in anticipation of the safe act have happened or once that passes there are more gains to be had? >> yeah. it's a great question because it has such a big year for cannabis already. but the response to that news, some of that could have been priced in on the georgia run-offs on the expectation you were going to have the control to get legislation pushed through. but, look, the biggest investors in the world are not in this sector right now three of the biggest companies in the sector will report. the bottom upstory is so good.

the bar is high, frankly but you still don't have that log of capital in this industry. so, no, i don't think it's priced in. i think there has been a lot of good news. it's been an amazing year to invest in cannabis, the second half, i'm biassed, i'm long. i think it's going higher. >> all right coming up, game on for gamestop. the company's first earning report same the reddit revolution. plus, a bitcoin backslide. what fed chair jay powell stju said that had them reeling today. "fast money" is back after this short baek that's great, carl. but we need something better. raek has no penalties thator advisory fee. and we can monitor to see that we're on track. like schwab intelligent income. schwab! introducing schwab intelligent income. a simple, modern way to pay yourself from your portfolio. oh, that's cool... i mean, we don't have that.

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welcome back the reddit rebellion is not over yet. in fact, we could get a mayor twist when gamestop rushing earnings tomorrow. the stock is up nearly 1,000% this year alone. what are the expected earnings here >> yeah. right now we saw outstanding calls of 3:2 a move of 30% higher or lower. that's a $4 billion market cap swing. the most active put options were the weekly 100 strike.

trading for $2.30. it looks some option traders are betting the bottom will fall-out >> james, what do you think? does it matter what they say tomorrow does it matter if they meet or beat or whatever in. >> yeah, i think it does matter. i think there will be a mean reversion back to normality from earnings announcement reaction the traders will be ready to bounce i think they would love to see pressure on this stock this stock has taught us so much about the power of the crowd and the new generation of traders. i think if the stock can sell off on negative news or news that could be perceived as negative, they will look at an opportunity to buy it back up. i think there will be a lot of volatility that we have been studying on these to suggest a major move is coming so we do think that it is going to respond to earnings and we think the crowd will come back in and bully this stock around to their will. >> guy, what do you think? >> yeah. this is one i'll sit on the bleachers and sort of watch

like, you know, the old knicks of the '90s when you just watched with jaw agape because they were that impressive. that's what i will be doing here with gamestop. if earnings don't matter in this store, but to james point people are ready for the sell-off, so you should be ready as well. >> thanks for that more options, turn into the full show friday at 5:30 p.m. eastern time what the fed chair said about the currency that got b.k.'s attention today when we come right back. sponsored by think or swim by td her trade. before we board. excellent. and you have thinkorswim mobile- -so i can finish analyzing the risk on this position. you two are all set. have a great flight. thanks. we'll see ya. ah, they're getting so smart.

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sponsored by interactive brokers. welcome back to "fast money. we have a bitcoin alert for you. listen to what fed chair jerome powell said about bitcoin today. >> crypto assets are highly volatile, see bitcoin and therefore not really useful as a stored value and they're not backed by anything they are more of an asset for speculation. so they're also not particularly in use as a means of payment it is more a speculative asset

that's essentially a substitute for gold rather than for the dollar >> brian kelly, what do you think? >> yeah. i think 2017 called and wants its criticism back that's what i think. i mean, those are old criticisms of bitcoin that have been proven it's just -- it's ridiculous here is the good thing is the fed does not see bitcoin as a threat to the dollar if you are worried that the fed might see that and might do something, that's all you need to hear. it is all systems go for bitcoin. >> time for the final trade. let's go around the horn tim? >> yeah. 2017, it was a great time for intel if you think of the company. they're about to hit all-time highs ironically i'd stay in that trait, intel. >> i like nvda, buy it. >> what tech correction? twitter is up 20% year to date.

>> guy >> yeah. dollar general did what we thought it would do. dollar gen into the final portion of this week. >> all right thanks for watching "fast money. we'll see you back here. meantime, my mission is simple, to make you money i'm here to level the playing field for all investors. there's always a bull market somewhere and i promise to help you find it. "mad money" starts now hey, i'm cramer. welcome to "mad money. welcome to cramerica other people want to make friends, just trying to make you money. my job is not just to entertain but educate and teach. call me or tweet me @jimcramer the market rarely moves in a straight line. tech stocks have been hammered