♪ good morning dow futures pointing slightly high per nasdaq futures slightly lower. can you say ten-year over 175 again yields moving. you. we'll show you what else is moving in early trading. new details on the archegos margin calls that rippled through the markets. we'll run you through a very bad week for some very big bets. and the moves that banks made to limit their losses plus, we have an exclusive interview with a mysterious buyer known as metakovan who paid $69 million for that, digital artwork. it's tuesday, march 30th, 2021 "squawk box" begins right now. ♪ walk with me now go with me now ♪ good morning, everybody. welcome to "squawk box" here on cnbc i'm becky quick along with joe

kernen and andrew ross sorkin. and we're watching u.s. futures as already yesterday was a bit of a mixed day for the markets. you actually saw the dow close higher another new record up by 100 points s&p and nasdaq down. s&p just barely but the nasdaq does come under fresh, down by 79 points. this morning, that trend is continuing the dow futures indicating up 78 points or so s&p down by a point. nasdaq indicated down by 62. of course, the treasury market really something to sit up and pay attention to the yields at this point for the ten-year sitting at 1.763% so, we've been in that very tight range, that goldilocks range that the markets like. 1.6 to 1.7, you go beyond that range, everybody pays attention. right now, 30-year at 2.45%.

and two-year down to 1.154%. let's bring up the "squawk" stack. so many stories in this. we had a discussion what it would wind up looking at we'll keep it now for the dow futures, nasdaq and the ten-year because that action could very well drive the nasdaq. and see if the dow continues to outperform of course, viacom and discovery in there viacom up 3.6% discovery up by 1.6% of course, we're continuing to watch and dig through what happened with archegos andrew >> you know, thanks, becs. i'm thinking i kind of want to add -- i mean, it's not huge numbers but, you know, morgan stanley or maybe a goldman to this list. >> goldman, yeah >> i don't know. i don't know >> we're at credit suisse this morning, right >> we can show you credit suisse

and nomura have actually moved in larger ways but we're watching all of it why don't we give everybody a quick update where things stand as of now. >> andrew, i like the goldman and morngan stanley, too, becaus they're not moving you read the scuttlebutt, i think archegos said hey, can you guys hold off talking about this before we do anything. and morgan stanley and goldman, they're like -- did you see, there's a commercial, i'm pretty sure it's not going to happen. tracy -- >> yeah, tracy >> if you see a bear, the one thing you don't want to do is run. and he goes -- everybody stands still and he turns around and takes off. that's like the goldman and morgan >> yeah. >> let's talk about this, and then -- >> goldman is like, let me give you a couple details on how that

all went down. because for better or worse, i spent a good portion of yesterday trying to understand the ticktock of it all >> me too. >> let's do this here's what we're learning at this moment in terms of these margin calls that caused all of these ripple effects. we're learning how some of the banks helped bill hwang make large leverage bets less than a decade he was punished for his part in the insider trading scheme by the time nomura and credit suisse announced they had had faced losses that could be highly significant, goldman and morgan as joe and becky were just mentioning had already finished unloading their positions. but in terms of how this happens, it's a little more complicated than a bank turning around and saying how. what was happening, you saw some of the big chinese names that bill hwang had been in balling precipitously. by midweek, you had the viacom

situation which is also something they owned and obviously discovery as well. it was at that point that the bank started to call and make margin calls, effectively saying you can come up with the money it was less clear as the week went on that they could come up with the money and, yes, as joe just said, they were saying, please give us more time now interestingly, some of the banks including goldman contractually have to give their clients time in fact, they have what is called a margin account. that meant they would have to give 24 hours' notice effectively to, quote, cure the problem. that's what would happen be they'd have to cure the problem. however, morgan stanley and credit suisse, the way their accounts are set up are different. they can almost actually almost unilaterally call a default, if you will now, the second a bank called a default on an archegos, it creates a cross-default, if you

will, for all of the banks so that then effectively the stampede begins. and that's what happened so, you had banks like goldman sachs and others who wanted to get out, who couldn't effectively. or couldn't press the button say go, they actually had to wait for credit suisse and morgan stanley to go first. which raises some questions why credit suisse, since they were one of the first to go, to to get out effectively, or call the default didn't get out of more of these names themselves as fast as goldman and morgan appeared to have we'll see. >> goldman and morgan had to be bracing for this and been prepared for it and just ready to move a lost faster which is something that goldman is known for. >> it appears goldman was waiting to do this they wanted to >> yeah. >> and morgan stanley -- interestingly, you look at who is running those banks and also their role in the financial crisis i'm thinking of james now who

has seen the crisis. david saw the crisis >> yep >> and other firms at the time, credit suisse now and some of the others, i'm not going to make judgment about risk management but nonetheless, i think they were all on it, so to speak, but not clearly on it enough in terms what credit suisse and nomura are now dealing with they also had potentially even bigger loans outstanding so it might have been harder for them to get out as quickly so -- >> my other question, andrew, i don't know if you found this in your reporting but i wasn't able to figure this out yesterday at what point did all of these banks realize that this guy was basically using the same stuff for margin loans at different places at what point did they realize, oh, my gosh, it's not just us, it's here and here and here. he had six different prime brokers he was working with. >> it's funny, i think more of themunderstood it than didn't,

at least by midweek. there's -- at the moment -- >> midweek, when did they figure it out, a week ago >> that's what i'm saying at least a week but i would also say at the moment it doesn't appear that there's actually real allegation being made that they were lied to yet now, we'll see maybe that will change but internally, as you talk to people, nobody is saying that archegos said, you know, didn't tell them about one piece of this and only told them about another piece. that may come out in the end because of the way total return swaps work and how some of this leverage is being applied. so, we'll see how it all plays out. >> just the fact -- >> to get inside of goldman sachs or morgan standing, they would not tell you they did not understand the completeness of the picture. >> i mean, if they did understand it, that baffles me even more, if you understood in

some cases he was leveraged eight times and some cases 20 times if you understood that and you went ahead and gave some of that leeway for it just raises the question of what has happened to the oversight. i'd be shocked if they knew that for a long period of time just because that's crazy why would you basically be in bed with those people if you realize what he was doing. what that guy was doing was just nuts >> i'm trying to glean something that we can learn from this overall. i'm not coming up with a whole lot. i don't know, a week from now, i don't know if we'll ever mention archegos again no, i think we learned that leverage is really -- >> leverage is really bad. >> leverage is the match that lights the fire every time >> the other thing, the other change gets me is that we wanted all of these stocks that were being run up in gamification, we wanted the companies to take advantage of that move and now we're seeing there's

someone that's not going to be happy. and it's not fair and they're holding the bag. the people with viacom, they should have known. it's caveat emtour that what's they should say. it's not that easy to do that. they shouldn't -- they shouldn't be able to do it there are repercussions and people are going to be unhappy and feel like they were sold a bill of goods. you probably should have known better we're having nathanson on. earlier, he wrote this report like a week ago saying, yeah, we picked discovery and viacom. yeah, pretty good calls. pretty good calls. we never thought it would go to 100. never thought that viacom would -- it was up ten times although from the lows, from the lows but they had no idea that it was going to be suddenly -- they

thought, yeah, well, we were right about the streaming. that wasn't it, really that might have started it >> right >> but, joe, i'll connect -- if i could, connect what bill hwang was doing to reddit. because if you really understand the trades what was actually quite clever about it and it goes to the idea of who is really behind all of this stuff, he was surfing on top of them. and he was taking advantage of the fact that these were highly shorted names. and he could do it as a total return swap because it would have the same force. there is a gamestop piece to what he is doing >> it's not clever when you see how -- >> too clever but -- >> i appreciate that >> by a factor of like 5 it's a little too clever by a factor of 5. >> yeah. >> one lesson that si would say we can probably take out of this more specific to leverage. leverage is always bad

leverage can always come back and bite you i guess the bigger question is what happened to the regulatory oversight of leverage like that. it used to be that you -- you know, you couldn't be levered more than 50% on a stock the federal reserve sets these rules. wall street has come up with ways around that with different things that you can trade, swaps, futures, different items like that. >> what happened to family outfits need to file a 13f but they never do. >> right required to file one but they don't. >> what has happened to that regulatory. >> where is that law on the book -- i think there are a lot of laws that are on the books that just aren't enforced or that just aren't adhered to >> that gives you an idea that you have a lot of work to do >> like the irs and the resources to go after stuff like this >> anyway, notoriously, i don't know whether more money helps or

when they are what they are. >> that's the show, guys, see you later. >> and they figured out that they can get back something like $7 for every dollar they put back on enforcement because if you know the cops are watching on whatever beat you tend to be a little more on the straight and narrow and not take risks with things. >> right just don't run if you see a bear just don't run >> good-bye! up next, a look at some pandemic stock plays that are hitting new highs despite the receipt opening of the economy got that story next. then coming up at 6:30, we have an exclusive interview with a mysterious buyer who paid $64 million for the man known as meta --how do you say his name, joe? >> metakovan -- it's like he made up a name

what's his name. >> we're going to be like 1980 'rtching "the miracle on ice" wee just going to say tr and stick with it. that's what al michaels said "squawk box" will be right back. if you wake up thinking about the market and want to make the right moves fast... get decision tech from fidelity. [ cellphone vibrates ] you'll get proactive alerts for market events before they happen... and insights on every buy and sell decision.

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that the uptick in coronavirus cases could mean another surgery on the way >> i have a view, we have so much to look forward to, so much promise and potential of where we are and so much reason for hope but right now, i'm scared. i know what it's like as a physician to stand in that patient room, gowned, gloved, masked, shielded and to be the last person to touch someone else's loved one because their loved one couldn't be there. i know what it's like when you're the physician, when you're the health care provider, and you're worried that you don't have the resources to take care of the patients in front of you. >> in the meantime, president biden called for governors and mayors to reinstate mask mandates to help avoid a fourth surge. however in the midst of all of this, there is good news, a cdc report released yesterday confirmed that the moderna and pfizer vaccines are proving highly effective in preventing

infections in real world conditions both symptomatic and asymptomatic we went through some of the data on that. it is incredibly impressive and definitelygives reason for hope investors in the meantime are continuing to show that pandemic beneficiaries love names like home depot, target, trading near all-time highs. as a matter of fact they set all-time highs yesterday these were stocks across the board. it was impressive to watch home depot, target, dnr and joining us stephanie, a cnbc contributor. o and stephanie, i was catching the list, all-time highs of ipos going back for decades darden, carmax, snapon, otis,

whirlpool, all of those pushing to all-time highs. what are you thinks as an investor and which way are you trading? >> good morning, becky people are migrating from the cities going to the suburbs. we're hearing from companies like halten and millennials are starting to buy because of liquidities, extra checks in their pockets, the savings rate. this isn't a theme going away. i do watch the mortgage application numbers they've been coming down. new home sales fell 10%. tough compares but healthy the whole plan for housing there's only two months' supply out there so that's the reason home depot, they're just crushing it, right and this hd supply acquisition that they did, the mro in division sector and the economy,

it's up $51 billion total addressable market so the pro is doing well the consumer is doing well they're doing great in terms of operating leverage target, i mean, brian cornell has just done an absolutely terrific job they're taking market share. remember, we talked back in february, i think, the comps were up 30% in january up 20% in february so they're clearly taking share. on top of that, he's doing a great job on the margin fund i actually think -- i actually own stanley, black & decker and ppg. they're off the beaten path if you will i think you continue to play this theme and there's a lot of ways to do it. >> that's my question, stephanie, for the ones -- we can talk about ppg and stanley plaque and decker in a moment. when you talk about big name companies that have done so well they're not off the beaten path. >> no. >> they've done incredibly well. do you thank you trend

continues? that these are things that are going to say, okay, vaccines are here, covid gets knocked down. we're back out and changing our patterns do you think niece things are set to last long beyond the pandemic >> i do. if you look at the purchase index, it's up four weeks in a row and that is telling you that jobs are more important than rates, right so as jobs continues to improve, then people will start to spend more and they are spending on their homes. so these companies at the same time are just doing a trick job in terms of efficiencies and market share gains and spending in the right places right? look at what brian cornell has done at target he totally has changed in terms of what they're offering to the consumer and i have always said if you can offer what the consumer wants the consumer is going to buy, right so, i do think these trends are in place we do have tough comparisons we've got to watch valuations always that's why i say, we can kind of find some of the names that

maybe haven't participated as well but i still think these are core holdings that you want to own and they're just called compounders. >> and then when it comes to ppg and stanley black & decker, these are just derivative plays that you kind of look off of this, people haven't necessarily figured out yet? >> yeah, i mean, stanley black & decker was a terrible performer last year. i own it it was a terrible perform 0er, it kind of hurt but if you believe tools and storage continue to be strong, 30% of tools and storage atstanley black & decker is home depot and lowe assess so you're going to get exposure there but you also get exposure on the industrial side and energy side i haven't always said that stanley black & decker is a stay-at-home and go back to work kind of name the valuation is really very cheap. ppg, and also, industrial, coatings, aerospace. they did two acquisitions. and they've completed two

completed two acquisitions year to date. they have another two to close and that will be synergistic and i always like a special story like that company. i like those two names and these other ones if as well. i think you can own a whole basket if you will >> steph, it's great to see you. thank you. >> good to see you, thank you. okay, coming up on the other side of this break, we're going to bring you a new update from bill ackman onmassive spacs. and foxconn posted a lower than arr.cted profit on its fourth qute a decline of 4% versus a year ago. we're back after this.

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welcome back to "squawk box" this morning bill ackman says that his spac pershing square holdings does not expect to announce a profit. down from the all-time high in february ackman said he's likely to launch a second spac, in fact, after the first one finishes a deal pershing square posted a record year in 2020, returned 72% on its investments held by a credit hedge ahead of the market collapse we talked about it a lot over the last year. hedge fund has returned 5.9 so far this year through march 23rd but hard to see what he's going

to buy you know, early on, we talked about airbnb and bloomberg he's got a lot of money. it's the biggest spac out there. and given all the money that's chasing so many deals it's hard to see what he's going to come up with but -- >> how much, andrew, how much did he have? i didn't realize it's the biggest. >> it's the largest spac in history. i think it's in the order of $5 billion. i can tell you exactly but -- it is -- it's the biggest out there. and as a result, the kinds of targets it has to go after are so much larger than just about anybody else it's a very small universe of companies that he effectively has the opportunity to buy it makes it more complicated >> i guess herbal life out of the question for -- >> yeah. >> probably. >> all right coming up, we have an exclusive interview with the mysterious

buyer that paid $64 million for artwork created by the artist beeple 4 billion? >> it's 4. wanted to set the record straight >> this man is known a metakovan. i want to be known as flea, is that taken that's right it's taken by that one guy louse, lice. here's a look at the s&p's winners and losers

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♪ good morning, everybody. time to wake up. time for some breakfast. we are serving up the "squawk" stack this morning

you're going to see after a mix dade for the market it's yesterday where the dow was up by 100 points but the s&p was down slightly. and the nasdaq was down more significantly, it's a repeat of that this morning. nasdaq futures right now indicated down by 0.4% but the dow futures, dow not only up yesterday but set another record close i think that's the 17th that we've seen just this year. in the early part of this year dow futures indicated up another quarter percentage point we're keeping an eye on viacom and discovery. the stocks bouncing back after the big, big runups they've seen in the last couple months. discovery up by 1.5% viacom, premarket, 10% the ten-year note is the one we're watching, yields 1.771%. as those yields picked up yesterday, and today, those are probably responsible for the declines that we saw the pressure in the nasdaq andrew >> thanks, becs. meantime, we have -- i'm so

excited for this a first tv interview with the crypto-investor who bought the $69 million nft at christi's for that, we want to get to robert frank >> andrew, good morning. well, the world nose him as metakovan. he's the mysterious crypto investor who paid $69 million. his real name is vignesh sund sundaresan he's the founder of the metapurser nft project, vignesh, thank you for joining us this morning. >> thank you, thank you. >> so, the question that everyone was asking when they saw these headlines is why would anyone pay $69 million for a jpeg and a hyper link? >> sure. sure i think that -- this is a

significant piece in artistry, and sometimes, these things take time for everybody to realize, but i'm okay with that i had the opportunity to be part of this very important change of shift in how art has been perceived for centuries. this change is media that means there's going to be hundreds of thousands of people around the world is going to adopt this median. to monetize art. and there's going to be a movement around it and the fast piece of movement around it is going to be quite radical in the future also so that's part of why we paid so much >> and in a sense, you paid whatever you originally paid for those roughly 42,000 ether that

you used to purchase this. what do you think you originally paid for the ether you used to buy this and when did you first start investing in crypto? >> sure. yeah, i've been in the crypto space since 2013 it's not that simple to define what i paid for it, because i've been like a maximum lister in this kind of median. polka dot, even flow is something that's very recent the money i paid for this piece at the end of the day, but it's not what i initially bought. so it's all a period of time and it's worth $69 million to me >> and just to give people a sense of your success, you didn't start out as a crypto

investor with a lot of money how much did you originally invest in crypto, you must be worth, what, hundreds of millions? are you a crypto billionaire at this point >> so, i didn't start with any money, actually. so, i didn't -- it's not like i put in my savings. i started working for crypto, right, like once i discovered crypto i've been day in and day out working with crypto since 2013 only 2013, i made multiple stock tips but along the way the more important thing was the knowledge acquired about all of these companies that were growing in the space and the opportunity it gave me to enlist in them, not have equity, because that's still very hard to get into, right like it's -- it's only for a few people to get into the equity lines of a lot of companies but crypto gave me an opportunity to buy the space in high-growth

technologies, right, like in the early stages so that's how mostly i made my money. yeah like my net worth, you know, it depends on the market, but, yeah i could say, i -- i don't want to give a specific number to my net worth that varies. but what i can say, most of money is not in nfts it's in other crypto >> hi, thanks so much for being here, vignesh. >> thank you >> we've been speculating that whoever bought this was doing it because they wanted to diversify their assets and have something else to put it in something besides some sort of crypto. is that why you did it >> actually, it's definitely larger than that nfts could become an interesting asset class. and i think that's something that only time will tell us.

and as to whether that will work out. but for me, i think the model of art and how history, and in history, who have been patrons to the art and cultural and art just in general, has now changed. right. this is this new capital that is now available across the world and i think the more important thing to focus here is to look at, you know, like artists, a new form of art that's going to be supported and that's one of the reasons why i got into this auction. because that's my focus into the future also. like i'm very interested in supporting artists, from various backgrounds from across the world. and that's what i'll be doing through the metapurser fund also >> vignesh, last week, we had yellen and powell both -- i

don't know, said some concerning things about crypto, bitcoin specifically i know you probably saw it we had to move from 60,000 back to 50,000. and everyone wonders are we headed to one of those moves that we've seen in previous years. today, it's back to 60 it's up another 3% today immediately, in the last two or three days it's gained another 20%. it's not a currency, but guo think that -- it is a currency, but i have trouble trying to figure out how you'd use it. but do you think that there are concerns about a yellen, a powell, regulators around the world to somehow harness this and just pull the rug out from all of the crypto investors, or is is it all too big and decentralized? >> i definitely think that the

movement has been growing over the years, and we've had the space to grow and experiment a lot over the past few years. i mean, even more tighter in the previous few years in the previous two years, i think we have to find that we've seen the positive impacts, definitely, before something happens in terms of, you know, that have made deciding ideas because initially, it was all just negative news about crypto and what it's being used for that is in the activity that is in the news, right and i hope this kind of art movement also happening on top of crypto will be looked at more of something that's important to the world and allows the consultation of various regulators in the world. because, yeah, are you going to ban art also, right?

like, that's the big question here, to various countries because like an artist in a country like philippines or india can make their $12,000 on the internet and this movement has made it easy i think what crypto meant obviously today it's very different. i think all of these government regulators definitely can look at this and look at possibly it could tell them. >> i want to go back to the auction for a second and take us through your mind, when you walked into the auction -- i mean, you didn't walk in, virtually, if you will, did you have a high price? do you have a price in your mind do you say i'm not going over this you saw it go over and you said, okay, i will go over did you say i will go to $100 million? just tell us as you're watching the price go up, what you're

thinking >> sure. sure so, at christi's, the way the auction works, you cannot really -- there is always a max, right? like they're the ones who set a maximum limit on your account. so, it's not like you can just walk in there and just keep placing the bets and the other part, you cannot just put a high. it's always 250k on the previous bid. that's how it works. when i was speaking to christi's before the auction, i had the idea it was going to be quite competitive. yeah, we did make sure we had a high limit i do not want to disclose what and i talk about it now because it's -- you know, it's now done and i'm happy that we could acquire it for what we paid for it but, yeah, definitely i was very

motivated and ready to go even beyond what we paid for it at this auction at that point and i just believe that it is a part of the history, artistry. >> vignesh, one last question, and we thank you so much for joining us today what do you think that $69 million beeple will be worth in five or ten years? >> so, because of it's an nft and because it's purely digital and it's the starting piece of this whole movement, it very much depends on how it's going to go. how this movement is going to go but it's not going to be like it goes back on christi's and it gets resold. it there will be multiple prongs to it. and you'll see that, you know, it's going to take its own life. that's what makes nfts very interesting because it may not

be a piece of art, it can be other things i know i'm speaking vaguely now, but there is -- a lot of this also with the nfts without disturbing the sanctity of the piece. i don't want to be reselling it anytime soon or probably even ten years from now i'm not thinking about reselling the piece. >> great vignesh, thank you so much for joining us >> thank you thank you for having me. >> becky >> that was kind of amazing. we have billionaires who come on who look like they're coming from their yachts and fancy things on their walls. vignesh doesn't look like he's living that way. he looks like he's living like warren buffett we'll see. some are being charged tens of thousands of dollars for

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coming up, what to make of the media stocks caught in the archegos frenzy. where do we go from here top analysts join us next to

talk viacomcbs and discovery "squawk" will be right back. cal: our confident forever plan is possible with a cfp® professional. a cfp® professional can help you build a complete financial plan. visit letsmakeaplan.org to find your cfp® professional. ♪♪

welcome back we are going to talk legacy media. stocks remain under pressure, viacom, cbs and discovery both fell on trading yesterday. not nearly as much as the prior week amid forced liquidation of those positions linked to archegos capital joining us now is founding partner of moffitt i don't know if your ears were burning but reading some of your pieces before everything hit the air conditioner last week, you

were feeling pretty good you were feeling pretty good, weren't you? you know, we never recommended discovery before but we did a pretty good call there and viacom -- >> it worked out >> you were like wow we are great. we are great look at the returns we just delivered with our recommendations on discovery and viacom did you have any idea what was going on behind-the-scenes at that point, michael, or were you trying to do it on fundamental >> so, we have clients with the biggest positions in the world not one of our clients was calling us up say buy these stocks it was the weirdest move we've ever seen. both these names were at some point just on their own, right it was the weirdest things we've ever seen in our careers, basically. they are working without any real support from our client

base >> the offering that you saw, you probably thought it was a good idea. in hindsight do you think that -- what do you think -- you don't think it was a good idea >> we put a sell on viacom a day later. we rushed it out very large note. couldn't get it timed. i thought they were popping their own bubble we put a sell on viacom thursday of last week because they needed to raise money but announced to the world that their valuation they had was unsustainable and ridiculous so, great for them they raised money but bad for them they wiped out a firm and created a bubble which won't happen against. >> morgan stanley underwrote that $3 billion offering yet they also were working with bill

at the same time and worrying his own accounts they should have had perfect information on this. >> it was bad banking. it was a bad decision, obviously. we couldn't identify that's why that size of that offering at that price was so aggressive, right? like there wasn't support for that offering. someone should have said look guys the past month of trading has been one firm that's levered five times that would have been helpful for the company to make that decision i think you talk to discovery, they would have said we have no interest in doing that we talked to them that day, that week they were interested in doing it it's a great question. why didn't morgan stanley put the brakes on this idea for viacom knowing what they know about the demand side of that offering >> you went back -- you go back to a buy on viacom after the

fall >> no. we're selling viacom buying discovery the big pick the you're the is this is a tough transition for these companies. you have a great business model in the traditional cable bundle now you're going into a different model that's very capital intensive, it's just a tough transition we thought discovery had an easier time. but viacom's valuation never made sense and joe, like we rolled that note it would double within 90 days that's not normal. >> yeah. for whatever reason. all right you called me joe. michael from now on i really would like to be known as metakernen we got to go metasorkin >> by the way i need to correct

my correction on bill ackman i have it at 5 billion, 4 billion. now 4.7 plus bill has a billion in it so probably closer to six for what that's worth. when we come back two big hours ahead. we checked the media names caught in the crossfire the. we'll dig into the banks invoedndlv a how goldman managed to move faster than its rivals we're back after this.

breaking down what went wrong at archegos capital and asking whether or not it could happen again plus questions this morning about bill wang's mystery charity. and one is warning higher inflation and higher rates as stimulus checks reach banking accounts jeremy siegel is here to tell us what he sees cdc director warning that the united states is heading for what she calls impending doom as covid cases rise

that's despite new data that shows moderna and pfizer vaccines are highly effective in preventing infections. the second hour of "squawk box" begins right now. good morning welcome back to "squawk box" right here on cnbc i'm andrew ross sorkin along with becky quick and concern u.s. equity futures at this hour, still about two and a half hours before the market opens right now but things looking marginally down on the dow off about a point. maybe it will turn around. we'll call it flat nasdaq off about 90 points s&p 500 lyrica okano to open down about nine points joe? >> not big gains but the dow was positive up 50 or 60 nasdaq was down. things worsened in little bit.

average goss capital burned banks and founder w er will wang maintained a low profile questions are arising about a mystery charity. not going to be a mystery after you're finished here, rocket >> yeah, joe we'll ask more questions bill wang' charity called the mercy foundation it has $5 million in asset one of the 100th largest fupgss in the country but almost unknown in the broader charity world. the foundation's latest irs filing shows it purchased shares of several private offshore entities all of which lost money. it also had a large morgan stanley swap loss investment that lost $5 million regulators say this is very unusual for a charity. he did donate one very

profitable investment in amazon. in 2018 he gave the foundation, amazon shares worth $30 million. he bought them for just under $10 million. that's a $20 million gain. he avoided the capital gains now the foundation had over 16 million in grants in 2018. so he's been very generous with this money with 5.5 million going to the fullerfoundation, 2 million to the fuller thisologyical foundation, museum to the bible and a lot of big gifts to schools we should be very clear this foundation, $500 million he has been extremely generous with this money every year. a lot of questions, though, about the way it has invested its assets and whether those investments are related to or perhaps serving his family

office investments >> that immediately is sort of the feeling because it's so bizarre. to run your charity the same way you're running your crazy hedge fund which we now know is, you know, there was some big bets being made and that's normally what you might think for the way you would have a foundation invested and then immediately begs the question, synergy, if you will, symphony between the positions. >> yeah. exactly. especially when i talked to some former attorneys general yesterday and attorneys who specialize in this it's the offshore private entities when a foundation has a fiduciary duty. in addition to an elaborate morgan stanley swap loss that generated a loss of $5 million

all of those, maybe he'll go back and say these were great investments at the time. it's just so unusual for a foundation to make those kinds of investments usually they are very plain vanilla conservative investments just to preserve capital and grow it so you can give more away >> all right, robert robert metafrank it works with anything, really is it good for you robert metafrank metasorkin >> i love it i'll take it i'm going metasorkin we'll discuss archegos fallout thank you both for being with us i should mention goldman sachs and morgan stanley avoided those losses before the archegos margin call and for that let's start with you explain how that happened? because we were talking in the

last hour how it appears credit suisse got caught flat footed even though credit suisse and morgan stanley called the default on this at the same time why? >> andrew, nice to be with you i think this is a case where being slow to act is the same as being wrong. so the street has $30 billion worth of stock trying to unload starting friday. morgan stanley and goldman sachs were the first to do so. goldman sachs unloaded 10.5 billion on friday alone. something that they transmitted to their clients and so i think this is just a case where everybody is heading for the exits. risk management dictates that you act fast >> so, bethany, i have a feeling we've seen this movie a couple of times together over the years. the question is what do regulators do about it

the sec calling a meeting to discuss it >> i was just going say some things never change and as much as goldman has changed over the years, here's an instance where they haven't changed goldman was well coullateralized so, i do think even if the fallout from this seems contained at this moment it does when you look at the complexity of some of the financial instruments that were involved here like these contract for differences that really aren't that well understood and all these years later prime brokerages don't have that much insider visibility into what a big firm could be doing across

its relationships and this firm was unique in the extent of those relationships. you wonder, has anything changed? are regulators on top of it? >> i'm curious where you land on this we talked about this in just the last hour. standpoint stan acted as the underwriter to the viacom offerings, $3 billion offering which appears to have exposed problems of where the market was on viacom and, therefore, discovery and put pressure on will wang's firm morgan stanley was also dealing pretty much at the same time with some of the problems of bill wang's firm were they conflicted did they give bad advice to viacom or bill wang? >> i think they would say what was the old goldman line if there's no conflict there's no interest they would say it's different parts of the firm.

and that it would have been a conflict of interest to disclose either one but it kicked off a mess >> andrew, as others have reported, the primes got together on thursday right? they got together earlier before this fire sale spilled out into the public view. people knew this was an issue. so it is really hard to understand why nomura and credit suisse sat on their hands. morgan stanley and goldman sachs had already been out i think you can claim they had this unfair head start on thursday before the sales. people were aware of the situation and they decided to act or not act in some cases >> well let me ask you, i'll ask you the question that becky asked me, do you think that all

of the prime brokers and the banks that were managing their trades understood the full extent of the leverage that bill wang was working with? meaning did each know they were lending oftentimes on similar securities and if they did, isn't that a problem >> well, you can't know with 100% certainty about the extent of somebody's book across the street, really so there's that part of it what can you do then to protect yourself well if you're goldman or morgan stanley, morgan stanley is the biggest and goldman is number two in global prime broker you'll have demand, more collateral, be more conservative and cost of capital venue extended to these people will be higher as bethany noted, nomura could be outside of the top ten. credit suisse is number 70 local prime broker when you're smaller you have to

lean on price. if you're morgan stanley or sack sacks you'll be disciplined and have better terms and conditions that protect you when things go south, andrew. >> bethany, history may be repeating itself in the short term are you anticipating that prime brokers are heavy in stocks right now for example and forcing them to take some of it down do you think we'll see pressure on the market unto itself as a function of this >> i don't really because i think the bigger prime mortgages like goldman and morgan -- goldman didn't lose money because they were full colaateralized what's interesting here too when you look back at bill wang's reputation he was regarded as a guy who didn't have any fear of taking outside operations,

didn't have respect for risk management and had this 2012 blow up where he had to settle overcharges of manipulation of stocks so you also wonder what were these guys doing this wasn't like this came out of nowhere, right. >> thank you both for helping us try to understand what is a complicated situation. hope to talk to both of you very, very soon. over to you, metaquick >> that's my name. when we come back documentary filmmaker ken burns on the shift to streaming and the state of the movie industry right now before we get to a break let's get a check on markets right now dew future have turned down yesterday the dow closed at another new record it was up by almost 100 points this morning indicated down by 20 points and that's a reversal from where we were an hour ago

s&p futures are down 10 and a half and nasdaq is under even more pressure down by 90 points because of where you see the 10 quk x" wld "sawboill be right back. no one likes to choose between safe or sporty. modern or reliable. we want both - we want a hybrid. so do banks. that's why they're going hybrid with ibm. a hybrid cloud approach helps them personalize experiences with watson ai while helping keep data secure. ♪ ♪ ♪ from banking to manufacturing, businesses are going with a smarter hybrid cloud, using the tools, platform and expertise of ibm. ♪ ♪ ♪

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that they bought taking tens of thousands of dollars from their bank accounts without authorization or without warning. customers told cnbc they faced a frustrating run around when they sought refunds cnbc reviewed bank statements to confirm these stories. several customers are still waiting refund or commitment for a refund days after the double charge and it did create havoc with their personal lives in terms of overdraft fees, availability of cash, all of those issues you can read more about this story on cnbc.com. but guys i don't know how you do that how you get to take money out of a bank account without being authorized >> i think what happens, unfortunately -- i haven't seen all the documents but i assume what happens is you're given some kind of permission to do it but not really >> right >> i don't know. i don't know

>> you may have a fight on our hands. it's from the greek, mu, epsilon and it means above or transcending so, i mean if you have it before your name you're more than just sorkin, i mean -- metasorkin >> metakernen. >> what would be meta-"squawk"

>> today is a good example >> coming up, documentary filmmaker ken burns. he's probably metaburns. then later market watcher, jeremy siegel on the president's stimulus package and why he's expecting a much higher inflation. gee, i can't figure out why. we'll be right back. >> announcer: time now for today's aflac trivia question. what was the first u.s. coin to have "in god we trust" engraved on it? the answer when cnbc "squawk box" continues pset with that unexpected bill from her back surgery. aflac! let's see that one more time. (beep sound) oooh, right in the wallet! ouch! aflac! aflac would have paid jill cash directly to help with expenses health insurance doesn't cover.

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1864 i would not have guessed that all right. another pandemic milestone, according to the motion picture association, the number of streaming subscriptions worldwide reached 1.1 billion in 2020 for a close are look how the pandemic shaped how we consume contend let's welcome documentary filmmaker ken burns. his latest film "hemingway" premiers on pbs april 5th through april 7th. it's going to be available to stream for free on pbs platforms. ken it's great to see you. thank you for being here today >> thank you, becky. great to be back >> you're an incredible filmmaker, an incredible historian. looking at what we've lived through the last year, i just wonder how you're going to kind of deal with this huge event i know you called it the fourth greatest event in terms of the pain and suffering that it's caused in our history for the

united states. how do you look at it already even though we're close to all of the events that have happened and haven't escaped it yet >> we haven't escaped it yet for somebody in the history business you need ten years, 15 years, who knows the way things accelerate, faster than that it's three viruses at once the covid virus of the year. 402-year-old virus of racial injustice, white supremacy and also the age old very, very human virus of lying, misinformation, distortion, conspiracy and all of those working at once. the greatest threat or at least revealed how fragile our democratic institutions are. the interesting thing is i've been with pbs since the very beginning of my professional life and we were totally suited for the pandemic we just went into action

we reached every classroom in america. we have, in essence, the largest classroom. we started offering things, broadcast, but also streaming right away and we saw a total uptick in not only the audience but we saw the increased sense that pbs has as it's been for years the number one brand in united states. now, because i spent my entire professional life with pbs, i'm sort of part of the tortoise and we've given the hare new running sneakers for the last few years. the streaming situation, the documentary world has really, really opened up i think in end pbs will also have the best science, best nature, best performance, best public affairs, best children and i'm told the best history programming on no longer on the dial really i think positions us in a good way but it's the golden age right now. >> what did you see at pbs,

because i'll admit we went back. we had so much time at home and went back and watched the national parks series again and went through that. we have it on dvd. i'm guessing pbs app must have had a lot of extra activities for people at home to take their mind off of what they were dealing with >> it's huge a year ago when we realized baseball season was going to be cancelled i just said let's stream my baseball series. as it turned out the season wasn't cancelled but it was kind of a deformed and abbreviated one that didn't satisfy everybody or most teams. and i think as we approach opening day it's extraordinarily fraught with the possibilities because we seem to be, you know, that wave, we're on our surf boards and that big weave is coming up the fourth one, you will recall. i think we're well suited to do that the reason i stayed with public broadcasting since the late '70s

so i'm a long hauler as they say is because i've got complete creative control and they give me time. i could go say for my vietnam or country music i can go to a premium cable channel or streaming service and say i need $31 million to do each of those. that's basically what the budget was, huge. because of what, how we do it. and they would have given me the money but wouldn't have given me ten years to do that which is what i needed. and we're ramped up now even in covid working on eight different projects at once we'll have four part eight hour series on mohammad ali to compliment the biography of earnest hemingway which is coming out next monday and streaming for free >> let's talk about "hemingway." what you found, what's different. he seems to be a subject so closely studied and so many of us know so well.

what did you fine that was new, that would surprise people, that maybe changed their perspective on things? >> well, i think when you get 100 years away from when somebody is writing at their best it's important to dust it off and remember why he's an extraordinary writer but i think the thing about "hem "hemingway," there's a myth about him. this big brawling, hyper masculine guy, toxic mass can you line guy, big game hunter, outdoors hunter, deep-sea fishman, lover of woman, brawler, drinker all those things are true but it hides a deep inner life which we were able to get through, penetrate the mythology that he helped to construct about himself, a lot of it fraudulent and get to some sensitivities, some anxieties and vulnerabilities that remind us how topical he is now. he wrote a couple of short

stories up in michigan that put himself or put the reader in mind of a woman who is being, how shall we say, toxically being manipulated by a male. all of a sudden that re-arranges our own molecules. he's interested in his four wives cut their hair short he grows his long. you have an interesting character. what we've done is exposed the fraudulent myth and got to the interesting real person and the turbulent and in end as we all know tragic life of earnest hemingway. but what remains undeniable how spectacular his write is and how he changed american writing and literature in the world. he's the most important writer in the 20th century. i can't wait for you to see it it's super complicated

>> ken, i want to thank you very much for being here. we missed you but good to see you and good to see this new contend you have coming out soon thank you for your time. >> lots going on thank you. >> thank you andrew >> thanks, becky still to come this morning, jeremy siegel will join us for his take on all this volatility that's taking place and the uptick on virus cases and the vaccine. dave can work on his code. and lead his team. dave trusts his clone like he trusts himself. so, in summary, we're going to sell the company. who's in favor?... perfect. but if cloning isn't an option for you, just get posh. virtual receptionists who can answer and transfer your calls,

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welcome back to "squawk box" i'm here with your market minute early in the trading week but there are some shorter term things developing right now. first of all, check out what's happening with some of the moves in re-opening type trades. oil and gas stocks like obje occidentsal, american airlines, in the last couple of weeks they have been strong but oil stocks, airline stocks down pretty big. maybe some momentum coming out

of those re-opening trades some spike in covid cases. lockdown in europe watch what's happening with mega cap stocks in s&p 500. we'll highlight three of them. apple, amazon and microsoft. over the last week these three have contributed nothing to s&p. these three stocks are 15% of the s&p 500 and roughly almost 30% of the nasdaq 100 as well and then you guys have the "squawk" stat, we have the stat. this etf holds many questions. viacom, cbs and discovery all are up in pre-market trade nomura holdings is down 2% today. watch for those names in trading tied to the archegos thing "squawk box" will be right back.

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dow and s&p 500 are higher for the month. joining us now for an update, talk about what's possibly ahead, jeremy siegel professor of finance at uniuniversity of pennsylvania's wharton school. i want to talk about these tax hikes that are coming and the stimulus but all in you think that maybe the stimulus counteracts any of the head winds from the higher taxes with the market ending up for the year but not gang busters but maybe 10% even after these gains we've seen for the past year >> right the stimulus is unprecedented. it's too much, in my opinion, because i do think there's going to be a lot of inflation this year far and above the fed target i think this is basically good for corporations will have a lot of pricing

ability, control, and prices and demand will be there profits will be high biden administration is going to take away some of those in higher taxes i definitely think this week we'll get a biden announcement of the infrastructure bill with the tax hike he's not going to get all of them but he'll get about half of them but the corporate profits are going to be so good that i still think stocks are ending up this year >> so you figure that compromise that we've been talking about on corporate taxes, 25% gets done you think that actually gets done on a bipartisan basis >> you know, i think joe manchin is controlling a lot of this i think a lot of moderate democrats to go to 25, you know, they thought they negotiated at

25 under trump and all of a sudden the republicans came out with 21% bill. it sort of went hey, this is what i had they want to go back to 25 i think they will take away the reduction in that top rate from 39.6 down to 37 that trump negotiated however, you know, beyon tapping social security and a number of those other things, the modern democrats are not for. i do think this is going to be along party lines. i think it will be a 51-50 vote. they got to get manchin on and he's for the moderate increases with an infrastructure bill. so i think that, that is what's going to happen. >> yeah. they may do the estate tax this is an article >> an estate tax trump doubled all exemptions on

that and that was not what the democrats wanted i don't think we're going back to what we had, let's say, five years ago, six years ago i think biden williamsported 3 million. it's going be more generous than under trump. >> may be the step up where they finally start -- >> and the step up of basis is also going to come again don't forget the republicans got the trump vote the through on party line the democrats say, you know, we're going to roll a lot of this back along party line i do think state and local government cap will be significantly loosened there are a number of democrats up in the northeast that say hey that's for my support although biden wants to restrict that

deduction not at the top rates, a lower rate so there's going big battle on those coming up. i think they will be liberalized. >> amazing because it benefits the high end >> that's one thing democrats have to squabble that. a lot of them are not happy about it the northeast states are being challenged, shall we say people moving to the no tax state of florida and everything like that. and they need to get some competitive back and i think they will make the argument on that score >> if freights go up because of inflation which you're looking at you might see a different stock market leadership, a commodity type issues and land and -- it may not be so good for

tech if rates are going up because of inflation you see >> i think the rotation is going to continue. look, i think this morning, we hit another high on the ten year last year, on your program i said that the 40 year bull market in bonds is over. and that this was going to be the worst year for treasury bonds in decades and i don't think it's over yet on that. the longated cash flows of tech are not suited the dividend paying stocks, listen, where your going to go for yield today? you know, my feeling is that dividends, you know, paying stocks, which have been ignored, we know for many, many years are going to say, hey, i can't go into a ten year treasury, even at 2%. inflation is four or five, which

could it be moving at that level by year end, you don't want to be in fixed monetary assets. >> going to be all classrooms in september? >> i hope so i mean, we just got to real life news that's been coming out, the vaccine really does work and i think that that is really going to really re-open this economy this summer. in a very, very strong one >> okay, jeremy. >> thank you, joe. >> kind of like people being home but i guess it's better if they go back i mean, in our individual case thanks, jeremy siegel. >> thank you, joe. >> you're welcome. metasorkin >> thanks, metakernen. coming up dr. patel talks about

the latest headlines take a look at the s&p 500 this morning. "squawk" returns right after "squawk" returns right after this this is how you become the best! [music: “you're the best” by joe esposito] [music: “you're the best” by joe esposito] [triumphantly yells] [ding] don't get mad. get e*trade and take charge of your finances today. everyone wakes up every morning to a world that must keep turning. the world can't stop, so neither can we. because the things we make, help make the world go round. they make it cleaner, healthier, and more connected.

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of uninterrupted recording. all powered by reliable, secure wifi from xfinity. gotta respect his determination. it's easy and affordable to get started. get self protection for $10 a month. i'll reflect on the current feeling i have of impending doom we have so much to look forward to, so much promise and

potential of where we are, and so much reason for hope. right now i'm scared i know what it's like as a physician to stand in that patient room, gowned, glove ed, masked, shielded and to be the last person to touch someone else's loved one because their loved one couldn't be there. i know what it's like when you're a physician, you're the health care provider and you are worried you don't have resources to take care of the patient in front of you >> following that warning, biden once again urged states across the u.s. to strongly reconsider a mask mandate >> i'm urging my call for every governor, mayor and local leader to maintain and reinstate the mask mandate please, this is not politics reinstate the mandate, if you let it down. businesses should require masks as well. failure to take this virus

seriously, precisely what got us in this mess in the first place. >> joining us right now is dr. kavita patel, primary care physician. good morning to you. there's so many mixed messages going on right now we're hearing that from biden on one hand about masks, we're hearing great news about the efficacy of the moderna and pfizer drug. we're having states opening up at the same time we're having age limits brought down so people can get the vaccines we're being told people with vaccines can meet in person with other people with vaccines but maybe not with people who haven't had vaccines just make sense of all of it if you could try to break it down for what has to happen over the next let's say four to eight weeks. >> yeah, andrew, you're not the only one confused clearly

because i would say everybody including public health officials are confused what message, schools open, schools closed first we have to look at the data and trend we're seeing in certain states as you covered before, states like new jersey, new york, michigan, we're seeing rising. it's reminiscent of the early part of the pandemic as you recall that we had kind of this regionality to the surge and that's essentially what we're seeing, parts of new york city, for example, that have been completely dominated by a concerning variant, 1256 for the concerning mutation, spike protein we see across all the variants on the other hand we have texas, florida that eliminated any restriction and have seen rises but not to the proportion as the northeast and midwest states >> is that an outdoor versus indoor situation, meaning it's still cold on the east coast and

people are having dinners in people's homes is that what you're thinking the distinction is >> right that's definitely a factor combined with that, andrew, i do think two combo there is the climate combined with the fact even when there were restrictions in new york state for example on restaurant indoor dining capacity, there was very uneven enforcement i can tell you just looking at mobility data you can tell people were indoors when they were supposed not to be indoors. i do think spring break and frustrations have forced people into settings and then in places like texas and florida in the southeast where you have an opportunity to conduct business outdoors, likely more safe, as well as local, you see miami mayor, the miami beach mayor, local jurisdictions have clamped on masking and used police to

enforce masking. you see the trends across every state. every single governor is trying to beat biden's april 19th deadline that's a good one for opening up eligibility. texas is the first one to open eligibility to anyone 16 and older to receive the vaccine can you go online right now to try to get a vaccine, spots are limited. that supply should improve over the next four to six weeks especially if we see newcomers coming in with an eua application. you can imagine, i would say probably by may you could have a choice of a vaccine. that's going to improve the situation. but we're going see cases rise and you heard the doctor talking about impending doom p.m. she's reflecting something dramatic that we're not seeing across the entire country she's seeing data and concerning data out of india and other places where there's double mutation, south america and i

think that's what causing everyone and especially her, the cdc and her agency to raise red flags. >> doctor, she was depressed i was depressed reading. i don't know whether to believe this guardian piece or not and we worry about whether this is a flu situation where we get a new vaccine every year they were hyphyperventilating o everybody. because it will take a while to vaccine the whole world there will be plenty of opportunities for variant to arise with the vaccine coverage is much lower in record than the developed world. that will give the virus plenty of time to mutate into more infectious and more deadly virus and we'll need another vaccine in a year from now the message is our technology suited to that i don't know if we can produce

enough to do this every year quickly. but we'll be able to modify it is that really what our future is >> i hope not, joe if we look at past pandemics and just the nature of viruses like sars, we do see they move from pandemic to endemic and that's where we know it can be concentrated to a country or certain set of countries that's the hope with a global vaccination effort, even if it's not 100% across the globe we can restrict the kind of progress that these variants and it brings up -- joe you're bringing up an important point that w didn't have a year ago, genetic surveillance we were doing less than .1% of coronavirus samples were getting genetically analysis by their genetics that set a goal of 1% to 5% which is putting us on par with

other countries. we're in a better place. i'm not as dire about the future will we need more regular vaccines possibly will we be in this permanent state of limbo no i do think we'll see the globe opening up more slowly you're seeing british, bc was locked down because of the p-1 variant. they should have heeded the warning we had that we're seeing vascular-- variants. >> for those business leaders who are watching this morning and considering re-opening their offices, there's a number of big companies that have already done so, others who are planning to bring interns in this summer and the like inside, obviously, obviously hopefully natural happens after everybody is vaccinated do you recommend that do you think that if they do that everybody should be mavericmasked even with the vaccine. what does that look like in the

summer and what does it took like in the fall and winter of next year? >> i think if people are vaccinated that there's going to be kind of layers where they will still want to have some sort of screening or symptom checking because you can still get the coronavirus just not as sick from it i do think that we'll have people returning into workplaces any business of any size should be thinking about a way to symptom screen, make sure sick people aren't showing up and to consider masking until we have enough of the country immunized that's this summer the fall should look different with people being able to have more mobility without masks and especially in a business setting where they can actually do, again, still some monitoring of people who are sick, getting the message to employees that if you're not vaccinated there's going to have to be different combinations for you and if you're sick you should not show up to work i think it will be a different fall but no masking and the ability to conduct business regularly.

>> i do hope that's the case thank you for your wisdom and help with this today appreciate it. we'll see you again. becky? >> thanks, andrew. when we come back, much more on the fallout from the archegos margin call and utsunomiya ripple effects on the markets. plus tesla was a big winner in 2020 but the stock is not faring so well in new year we'll talk with one analyst who says it's only down from here. down 2% this morning trading just below $600. "squawk box" will be right back. 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, revolutionized, immunotherapy. pd-l1 saved my life. saved my life. saved my life. what we do here at dana-faber, changes lives everywhere. everywhere. everywhere.

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♪ good morning we are learning more about what went wrong at archegos capital management the fund whose demise is being felt across wall street, banks banks are feeling about the firm's founder who is on the hook for losses. we'll bring you the latest details. rough start to the year for apple and worst for tesla. an analyst will tell us whether there's reason for optimism in q2 and criminals are stealing identities to get covid loans

and then opening online investment accounts in victims' names. part of what authorities is saying is a money laundering operation. we have an exclusive report you can't afford to miss final hour of "squawk box" begins right now. good morning and welcome back to "squawk box" here on cnbc i'm joe kernen along with becky quick and andrew ross sorkin i couldn't do it i couldn't do meta"squawk" i thought about it i bet mega is from the greek too. meta and all these prefixes. never think about. you can see now triple digits down on the nasdaq as treasury yields once again get to some

intermediate highs that we're seeing i saw 177. not as bad 1.75 let's show you the "squawk" stat i happened to notice a 1600 handle on gold and i'm still scratching my head about what the heck that means when gold is down 1.5%. down like $30. it just never -- you know i thought 2,000 -- i thought gold was a lock at 2,000. we just heard jeremy siegel again talking about sharply higher inflation from all these commodities doing well and it just seems like gold has lost some luster in terms of -- >> bitcoin is the new story. >> that is that's up 3% how long is that really going to last i mean 4,000 years for gold, maybe longer, right? probably

that it was valuable probably goes longer at least four. what have we got, 12 years, 11 years. has it really taken that mantel? we'll know some day. i'm not ready to say at this point. i don't know gold we used to play that all the time if you have it, hold it and have a canadian maple leaf or even a bar. there's a reason you can feel the value in it when you hold it okay >> not the same as an mft? >> doesn't seem to be. you know what, people might have a pretty neat mft but the very first one could be, if it does become something i see what he was saying to get the very first one that went for big money that maybe even adds value. i don't know what have you got? you think five years from now

it's worth -- >> i'm not saying he's wrong because clearly the guy has made a lot of money being very early in crypto, doing that since 2013 he's made a ton of money doing that i don't get it i say that about a lot of pieces of modern art. >> if you were listening to him didn't you think that he's already starting to think of ways that he's going to somehow monetize this? maybe he'll sell pieces of the pieces i sort of -- you sort of got the idea he was going to find other ways to do -- it sounded to me like there was a grander plan than just holding it as a piece of art i don't know >> probably. yeah probably who knows? i understand where he's coming from and what his thoughts are on these things personally, to me, i don't get it >> it's no crazier than the art

that we saw in london. but there's some crazy art out there that's worth something it's a person's unmade bed had an ashtray next to it. and butts in it. i try to like it i tried to like it i tried. and i always forget what's his name with the line across, right up >> the three lines, the sherbert looking thing i forget his name too. we always point to that and say, yeah, my kid could do these things but, again, we're he neanderthas when it comes to these things. >> i'm at least one above them, i think i'm cromagnum. >> maybe let's get to southeast story that investors will be talking about today at least we think they are it is finally, finally here, goods are once again moving through the suez canal have a

huge ship that blocked the waterway for nearly a week was finally refloated. the chairman of the suez canal authority told reporters the backlog of 422 ships that were given the okay to move can make their way through the canal in three and a half days. global trade is expected to be impacted all told a company that helped free the ever given said tens of thousands of cubic meters of sand were dredged and 13 tugboats were used in the days' long operation votes are in from amazon warehouse workers who are deciding whether or not to form a union. it will be reviewed starting today. counting may not begin for a few days we could see challenges to those results. a lot of people think likely no matter the outcome amazon has discouraged the

voters from unionizing check out sarasota from bi bioentech. pfizer had predicted 2021 output of somewhere between 2.3 and 2.4 billion doses. you're talk about a big increase and that stock bioentechnical is up this morning. andrew >> we're learning more about the man behind the archegos capital management fiasco, the firm whose demise in last few days is still being felt across wall street we have a look now at bill wang and his fund, eye-popping leverage funds >> andrew we can call it a fiasco especially as we're learning more about what exactly happened and the ripple effects. bill wang flew too close to the sun by taking on an insatiable

amount of risk when several positions turned against him it didn't take much to take his firm into turmoil causing tens of billion of dollars into force selling the risks he ran defied logic. "financial times" reported banks were lending to archegos at ratios as high of 8-1. in some trades ratios were as high as 20-1 that means it would take a very small move downward in a name to wipe out the whole position. now, it's also reported that he ran a book that was heavily concentrated as well as illiquid a spokesperson said this is a challenging time for the family office of archegos capital management our part naerns employees. all plans are being discussed as

mr. hwang and the team determine the best path forward. >> so what happens next the fun, how much money do we think he lost himself we haven'tcle can you lated that, have we? >> there's no way to know. no real efficacy filings to piece together information on him and how big the fund really was. there was a reuters report that said he managed about $10 billion but his exposure including leverage was something closer to $50 billion. so it's impossible to really know how much of that was his money specifically, maybe some of it was friends and family other employees of the fund. so it's really difficult to tell at this came point but it's clear especially at this fund's peak he was just producing tremendous returns,

absolutely billionaire style unclear if he still remains at those levels or, you know, significantly lower. >> i'm going with lower. great to see you >> i'm going lower >> in meantime, we send it to becky. >> thanks, andrew. let's talk more about this story. joining us right now is a professor of finance and economics and stanford graduate school of business she is an economist and an advocate for better government and accountability in the private-sector and in government and that sounds like a fit for what we're talking about what the do you think happened here you've been watching things like this, dissecting issues like this for a long time >> what happened here is a variation of things we've seen many times before. people take risks with other people's money borrowing and then borrowing

magnifies the risks. and this was all hidden and obscure and, you know, there's always some banks involved and the banks are investing other people's money by the way their leverage is way more than hwang was. but too early to say >> so, what happened into the big to fail. we think we fixed too big to fail we make sure the banks have enough capital around to take care of problems around. except this doesn't seem to be an issue that will break any of them bad news you're a shareholder of credit suisse or nomura. goldman sachs and morgan stanley say this is not material to what they've seen >> that's fine they are certain to fail just because the there's no crisis doesn't mean there's no problem. when we discover there's a

problem, we didn't see it coming or see that position or this position so, yeah, i mean, you know, they have more capital and this is not a big thing. you know, the thing about these incidents is they show us just how big the system remains and just how leveraged now, you know, taking on leveraged bet is not necessarily always the most productive investment you know, here we have institutions telling us they are, you know, making the economy work, but you just have to start wondering when that's what's going on why the system is so, so dangerous. so fragile that's what i wonder about it's not like it will -- capacity is basically saying there's a lot of risk we don't know about

here's these banks that didn't know what each other were doing. so they and the regulators are telling us they have enough capital, risk based capital but don't know what the risk is. >> well, let's go back to that because the capacity and the lack of disclosures, i think that's certainly fair game and probably something that regulators could and maybe will take a look at some of these issues but what specifically? i mean leverage -- we knew what leverage was going to be required by the federal reserve when you start coming up with these different contracts, you can get around some of those things maybe that's the issue maybe it's that. maybe it's not following the rules that are on the books, if this hedge fund or family fund was supposed to be filing things and it wasn't, if it was trying to get around the idea it had 10% in any of these issue, maybe that's the problem maybe that's where we should be paying close attention >> there are multiple issues one is about sort of the

treatment of the derivatives and what is considered acquisition if it's a derivative it could be equivalent except for definition of things or precisely where the assets lie in a given moment the bet is a bet and its leverage the it's derivatives it's treated one way. equities, it's treated another way. the notion that something is economically equivalent is treated differently for disclosure especially when you try to manage a large company like some of these broker dealers is problematic in terms of archegos, itself, yeah something that's really a hedge fund because it doesn't manage other people's money it manages its own people that's okay. we don't worry as much about people losing their very own money. however, here they were triggering other people's money impact and the people who manage these other people's money, meaning all the broker dealers

were themselves certainly big ones with disclosure requirements and so it becomes and issue of accounting. becomes an issue of sort of systemic risk to some extent, to the extent that everybody was doing the same thing but it's enough to kind of show you what might be lurking. >> that's another issue. call this a family office. okay if you have $20 billion in assets you're managing, $10 billion, levered up and operating more like $50 billion it becomes a question of when should that be revealed to regulator, to make sure there's more information in the broader market about what's happening. >> exactly exactly right. your initial money and leveraging through the markets and your overall, therefore, footprint on the market. >> i want to thank you for your

time i think these are issues we'll be digging through it's pretty complex in nature but it does get to the very central heart of whether the markets are safe or not. thank you for your time. good to see you. >> coming up, what went up might be starting to come down, at least in tech so says bernstein analyst. toni sacconaghi. check out the shares of starbucks. down slightly. half a percent why are we talking about starbucks? because today is the company's 50th anniversary it opened in 971 in seattle. the public went public 29 years ago. the stock is up just 40,000% since then stay tedun you're watching "squawk box" on cnbc

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stealing identities to get covid loans and opening online investment accounts in victims' names. federal authorities say it's a money laundering operation we have an exclusive report, steal and conceal. you don't want to miss this. it's next. u'ay tuned yore watching "squawk"

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there's a new wrinkle on an old scam criminals defrauding the government of millions of dollars are finding a surprising way to multiply their stolen cash as eamon javers reports they are using stolen ids to get pandemic relief money from the government and then using those same ids to

open online investment accounts. it's a cnbc investigation, "steal and conceal." >> to me it looks like they are trying to money launder scammed money using my name to do that >> the crime began last summer somebody stole mark's identity and filed bogus paper work to get a loan the fraudster opened a bank at chase account and opened another account with the stock trading platform robin hood. call it steal and conceal. authorities are seeing more criminals committing this kind of type of double-decker fraud first they steal the money from government programs and then pump it into investment accounts to hide the source of the funds and plus up their gains. ultimately they hope to turn knit to hard to trace cash but authorities say that victims are left with a huge headache. >> that's exactly what i'm trying to find out is what are they doing with these funds?

what financial transactions are occurring under my name, under my social security it's been a pretty big ordeal. >> a law enforcement source tells cnbc at least four investment platforms, robin hood, td ameritrade, fidelity and e*trade are being targeted by criminals and the money is coming from the government's paycheck protection program and economic injury disaster loan program. special agent in charge won't discuss specific companies but he tells cnbc more than $100 million has been funneled into investment accounts and says the platforms are making it harder for law enforcement to trace the funds. financial crime expert explains the massive scale of the pandemic relief funding has created a frenzy of fraud. >> i would call it the financial crime bonanza act of 2021 because it presents organized criminals and even run-of-the-mill criminals with a golden opportunity to rip off millions and millions of

dollars, enrich themselves rather than that money going to the purposes that congress lays out. >> this detective of the coral springs police department in south florida led the investigation into mark's case and is part of a federal anti-fraud task force. he explains that a new breed of criminals is simply doing what comes naturally. a lot of people that are doing these fraud are younger he tells us platforms like robinhood are easier to punish money in and out. for mark he's worried about what other fraud could be going on in his name >> my good name means everything to me. i worked my whole life i worked for 31 years for the same company i got boys, i got a family, i want their names intact as well. >> we reached out to all four investment platforms, robinhood, td ameritrade and fidelity all say they have tough anti-fraud protocols for verifying information and confirmed they've been working with law enforcement combat what appears to be an industry wide problem

e*trade did not respond to our calls and emails and chase where a fraudster opened an account the bank said it flagged that account as fraud and blocked a transfer of funds to robinhood back to you. >> still happening what can the platforms do to be even more vigilante lanlt? >> law enforcement want that constant back and forth communication with platforms so platforms know this is going on, communicate with law enforcement when they spot potential bad dealings here and keep that level of communication open and really make sure they know their customers, know who is coming in here that's the capital if fraudsters want to get in platforms, up their gains on the stock market depending how it's doing that particular week that they've stolen the money and then if they can they want to convert that to cash and that involves either atm cards or it involves using these debit cards where criminals can go various points of sale all around the

country and either cash out the money or purchase products with it to continue that money laundering process, joe. >> all right thanks thanks for that report hey, guys, becky and andrew, did you guys read this the supreme court is look at gol goldman assertions of integrity. trying to figure out if they are liable for a class action over false statements customers come first they won't do anything that benefits from us we know from the nature of that business they are probably violating it right away. >> i thought it's funny. we've been writing about this in deal book every morning for weeks. >> deal book deal book. deal book. am i on your mailing list? where can find that?

where can i see that >> you can sign up online. >> i can sign up >> we'll get to it you, joe. >> the core of your business might be a problem classic. all right. all right. when we come back, forecasting a healthy jobs report this friday. might it be even better than we were anticipating. steve liesman has some real-time data you have to here. >> right now we'll head to a break. this programming note. don't miss cnbc's race and opportunity in america a special tomorrow evening amid the rise in anti-asian violence in united states we'll look at the economic and social challenges facing the asian-american community also talk to a live range of business leaders about it all. it starts tomorrow, 8:00 p.m. eastern time

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economists are forecasting a strong jobs report this friday real-time data suggests it may be even stronger than they are anticipating steve liesman joins with us the latest road back barometer and steve what your hearing? tell us a little bit of good news here. >> well, yeah. how about that everyone on wall street looking for seven figures. that's true when it comes to the march jobs report buoyed by high data some think this could be a million jobs march data from home base tracking employment of 60,000 businesses and hourly employees shows worker hours worked rising nearly 9% compared to january. number of employees on staff rising by nearly 7%. number of business opened rose by 2%. the vice president of data for home base tells me we're seeing job creation and economic activity significantly higher than you would expect during this time of year. this is not a big hiring time of

year among the high frequent data it has done a good job of weighing the upside and down side it's a big part of the reason that several economists predict a million jobs or more in the friday report compared to the average estimate of just 675,000. jim o'sullivan told me yesterday, i wouldn't be surprised if it was above a million. either way, we're at the start of some incredibly strong job data restaurants and bars, hos hospitality and entertainment are leading the way. home repair is picking up. other data supporting the call ukg measure of shift work, they had its best month since september. also noted strong manufacturing jobs becky tomorrow we'll get adp jobless claims on friday which is another supporting factor and then i think we'll be in the office on good friday giving you

the jobs number. >> i think we are going to be here steve, how many of these million month additions would we need to get back to a normal rate of unemployment >> so the unemployment rate will be different than the job growth number as you know, but you have to do nine or ten or 11 or 12 of these in a row there's 9 million fewer jobs you have some job growth that you have to hit in addition to rise in workforce. the workforce is already rising. numbers like these and strong numbers will bring forward to that day we're back to full employment many people think it's sometime next year. janet yellen said that but perhaps by the end of the year we can get back to better employment or recapture what we lost in february >> that would be excellent news. i'll be impressed. you said it for the first time

we could be looking at these million a month additions. here we go let's see what happens friday. thanks, steve. >> hoping for seven figures, becky. >> me too. >> meanwhile, we're going talk tech right now apple and tesla been joining big run ups in their stock prices last year apple finished the year up 80%. tesla soared nearly 750% in a year so far in 2021 both stocks have taken a bit of a tumble. apple is off nearly 10% while tesla is down 15%. is this a good buying level for investors? that's the question. and toni sacconaghi is here. a bernstein senior research analyst covering u.s. i.t. hardware that's the question. you look at where things have come down to and let's make some distinctions between apple and tesla or maybe not >> sure. well thank you for having me,

andrew look, i think the context that you set is important, which is we've had a spectacular growth market for equities over the last three years in particular and that really crescendoed last year and tesla was very emblematic of that from my perspective we have pre-elevated valuations amongst the most expensive technology stocks the top 20% of technology stocks are trading at 17 times ryevenue this is the highest we've had since the technology bubble. we're seeing some of that growth rally interrogatories towards value. we're seeing some of the drop come off of that growth value. the most expensive tech stocks have underperformed the most this year. so that's what we clearly have seen with tesla. it's valuation is still very, very high relative to traditional automakers, relative to, you know, discounted cash

flow even assuming very optimistic assumptions the sentiment in tesla is really an amplification of the market the we continue to have a rotation towards value tesla will underperform more than the rest of the technology sector and growth stocks given how spectacular its run up was and given where -- and given where its valuation remains. >> so let me ask you this. for those investors who have been holding tesla and doing remarkably with it, those holding apple and have held apple for a long time and seen it perform so well, do you tell them to give it up >> yeah. from my perspective i think returns for tesla over the next several years will be difficult given the starting place in its valuation. so tesla, i would be tempted to give it up yes. i would be looking to, to sell positions in tesla for apple, i'm not sure there's

a catalyst in next six months. had a great run last year. the challenge is that its valuation is at six or seven year highs, and perhaps more importantly there's no real catalyst so what happened last year was people were very excited about the iphone 12 cycle. you had a great tail wind from work from home that really helped the ipad and mac business a lot of that reverses you have a good iphone cycle great mac spend and ipad sales and now a tough compare on all of those the question is at a valuation at a six or seven year high relative to market for apple what's the catalyst for it going high center i think apple is an attractive, you know, reasonably priced story over the long term. i'm just not sure it's going to out perform over the next six to nine months. >> here's the question just the six to nine months. let's say that's a short term take on this, though

if you could take your money out of apple, out of tesla and had to keep it in tech land, companies you cover, you would put it where >> well, look, i think more broadly, a lot of people ask this about faang and how do we think relative to faang. our observation in this, this is a house view, bernstein covers the other bank stocks is when we look at the valuation of apple, it's trading above the valuation of facebook and google and pretty close in line with microsoft. so if we were looking to migrate within large cap tech at bernstein we have out perform ratings on those other three bank stocks simply because we think their growth prospects are better than apple's and trading at or below apple's current valuation. so i would say within the context of va large cap tech, you know, as a firm that's what we would be recommending >> what do you do in ev land

>> i think ev land is very, very tricky if i kind of step back and i look at the aggregate valuation of the broader automotive sector, it's basically doubled over the last year now, a lot of that is tesla may be 60% increase of tesla but you still had the market go up about 40% or 50% from other ev, new ev entrants so you have a marketplace that's becoming increasingly competitive. the number of new competitors entering this space is tremendous, both domestically and overseas in terms of pure ev players. you also have the traditional amps running up ev product you have an try that's more competitive and yet, you know, when we look at the aggregate market capitalization of that the industry it's more than double and that doesn't resonate with

me my belief is that global automotive industry is a hyper competitive industry always has been. no one has more than 10% share local market preference, tremendous innovation in terms of electronics and safety. but margins haven't gone up for automotive companies so what we're seeing is we're seeing a big up in entire space and that just doesn't resonate with me. i think 25 years from now there will be fewer cars sold and i'm not so sure the margins necessarily going to be better because it's such a competitive industry >> give your take on fintech and crypto paypal will be accepting crypto today. i could be wrong a lot of those stocks have been on a run themselves already. >> yeah.

so it's not based directly my personal view is i struggle with, with crypto currencies as a medium of exchange i struggle to really find what intrinsic value there is in a crypto currency. so personally i've struggled with the run up in crypto currency and part of it may be is i continue to follow it closely. but when i can't answer those two questions, it's difficult for me to endorse it >> okay. great to see you appreciate your perspective on all of this stuff. talk to you soon >> have a great day. >> few >> joe >> all right, i won what he would -- what crypto books he was reading in trying to figure out the intrinsic value. if he could name any of them coming up jim cramer's first take on the trading day ahead. the global pandemic has

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whereas keeping a lot of cash in your bank account can really almost end up being nothing. you have these dollars over here sitting in a bank drawing practically zero interest. i mean, you have to keep cash but you don't have to keep everything in cash and you don't have to put everything in the stock market and you don't have to put it all in a bond market. you do a little bit of everything and then you sleep at night, and don't worry about it. in fact, i sleep better with gold than i do with the stock market because it's tangible, it's there. - if you have bought gold in the past or would like to learn more about why physical gold should be an important part of your portfolio, pick up the phone and call to receive the complete guide to buying gold which will provide you important, never-seen-before facts you should know about making gold, silver and platinum purchases. - [narrator] for faster wealth protection, request a digital version of our complete information kit,

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with some of the action in apple. we just had toni sacconaghi on did you ever figure it out it's not down too much but maybe thinking it's something related to foxconn >> one part that was robust is cell phone but everyone is worried about chip shortages apple is fine. look i listened to toni and i think he makes a lot of sense. everything seems to be very soggy. i just feel, toni sacconaghi, i like that. but i feel can you get in, get out. is it worth it maybe the service revenue stream is strong. yeah i know last year of great compared to difficult. i find for retail people to trade in and out of april sal big mistake. i think you have to be prepared for a drop beyond what it's already fallen then again you say to yourself what happens if you decide to abandon alphabet now all of a sudden everybody loves alphabet or facebook if

you feel the hearings didn't go well i just find these are just core positions. you pick one two of them i respect the fact that apple can go down short term but short term is six months andrew raises a good point six months is not a long time. and i think for our viewers to get in and out way too hard unless you're a hedge fund, hopefully not one that blows up everybody. >> yeah. the rest that we're dealing with today, the fallout, jim, in thinking about it, i'm not sure what type of conclusions to draw from archegos other than leverage is still bad. still the cuts both ways but i don't know the whole viacom stock sale, i'm still thinking about it and i would be so upset or i would be hurt. i think i would be hurt if i were someone that gotinvolved at those much higher levels. because it seems like somebody

knew you were being sold -- is it caveat emptor >> yeah. you're right when you see a stunning move like that you got to believe somebody knew something. do people know about gamestop going from 30 to 400 by the way gamestop i got hand to it them they are hiring unbelievable people if they do something, i have to admit they have the team they hire people from amazon, hiring people from google. hiring top notch people. maybe you have a plan our wouldn't go. i'm more optimistic about gamestop and the banks because of the way interest rates are going and some of these chinese stocks, step up with buy backs but it's a moment where i totally get the nature that there's just too many question marks to buy things. if interest rates are up you got to sell the nasdaq it's become kind of of ritualisc

the banks plays the game they are not archegos. although we would like to know who checked off the leverage i mean someone should be fired particularly at credit suisse. did you ever notice these foreign banks they never have a handle on credit risk? >> it seems that way they acknowledge it's a b word the losses and that's material >> what are they doing, joe, trying to pick up business so lower their standards? >> it's sad when you've got, you know, four or five, six banks involved and you see people with plenty of advance notice that just ran for the hills and you're still sitting there if everybody got caught that's one thing but when your peers are out and you're sitting there holding the bag, you need some new people watching the store.

>> right do you think that hampton's prices will come down. a lot of these people were caught up. or do you think you should buy the jittny >> i have a problem with that one road that leads out there. >> why jersey road that leads o. >> you're down there in no time. >> what i'm saying although you can't be seen as those restaurants. there are some really fancy ones out there. to be seen. >> i got some great pizza places i'll take you there any time spaghetti and clam sauce, fantastic. >> excellent all right jim. we will see you in just a couple of minutes i found out portny visited a pizza place in short hills right near the post office i'm like oh my god he was out

there. >> didn't say hi. >> i almost thought oh my god a star is in town. >> see you in a couple minutes coming up. what to watch when the opening bell win nrings. ting time. 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 ♪

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futures are slightly lower approaching opening bell dow down about 16 points joining us silva toblanski. chief investment officer i think the thing is stay the course >> stay the course is a good way to put it. there was already a pretty big rotation to cyclicals and the value names and i think some of those are lookingth frothy now pick your spots there. and then look to the fangs that have been beaten up. i know they haven't done

anything for a long time i sort of disagree apple is a massive value play now. they have a strong balance sheet. investment services, perhaps ev. they always sort of come up with something. amazon microsoft, these names are looking cheap to me right now. and then think about disruption, technology, innovation, the fourth industrial revolution so stay the course but look to the future. >> interesting way of putting it so there will be -- opening trade eats not finished in your view there is some room left in the stocks but you might combine it with some of the companies that had a niche during the pandemic which gave them an advantage so they reopen but they keep that the progress they already made digitally. >> absolutely. we're seeing all these surveys where 70% plus employers are going to stick from remote work

from home environment. you need cybersecurity and cloud and all these thixz to move into the future and all these company t amazons, microsofts, googles, are doing other thing we don't talked ab about. there are things they aregoing co-in the future that i think will rise their stock price over time so it is really a long game and when you think about the markets and see these names are so far off or far off enough anyway from their all-time highs, i think there are decent entry points there >> and you don't necessarily think you need to choose growth or value >> i do. i think that, you know, the pure rotation of cyclicals in value has gotten a little overdone i was running charts on some of the top hotels and casino names and they were above their two, three year highs in a lot of

cases but, you know, on the airline side international travel still shut down and closed. you have room to run there when that opens up. some of these entertainment types of names could be interesting. and then you have president biden who is going to be dumping a whole bunch of money into infrastructure so you could certainly look at those names on dip days. the caterpillars and deeres and things like that i think it would be a mistake not to think about the future and investments there. >> thanks for your insights this morning. >> thank you >> see you >> well, dominick chu has a look at some of the pre market movers lot to choose from. >> first of all an earnings mover. mccormick shares spicing things

up this is the maker of seasonings and condiments, reported quarterly profits in sales topped estimates 4 1/2% upside. shares of paypal up fractionally around 75,000 or so shares of pre market volume. a new service allowing customers to pay for services using crypto currencies it will give you the option to convert your crypto into the traditional money. those shares up fractionally and then we're going to end on shares of yelp thinner volume so far. the online review site is upgrade to a buy from neutral by

citigroup. shares up 4% in the pre market >> if you happen to have some bitcoin or ethereum. do you think you would go on to y yelp, would you ever use your crypto as a currency >> i would try it initially. here is what i would say there is a restaurant locally to me in connecticut that i went to the as japanese sushi restaurant that advertises the fact that they will take your bitcoin as appointment for your food. i was thinking, how do i pay for my sushi with bitcoin if i go about stewing that on -- >> but you've heard the story about the guy who bought a pizza

in 2012 and now is like $120 million pizza or something. >> i want to go back in time and be that guy and say i'll do it for 5,000 bitcoins >> from one little sushi okay great to see you, dom. >> likewise. >> join us on the meta squawk, guys tomorrow >> transcended >> "squawk on the street" begins right now. good tuesday morning futures are up moderately here as the market continues to weigh the fall out from the margin call road map begins with that margin call shares of discovery and viacom reversing they're week long tile 10 year yield hits 14-month high