>> kinder morgan, in two weeks they should raise their dividend i think they'll raise it to $1.25. should have a dividend yield of 6% which means the stock at 1680 should go to 2080. there i've given you and steve a lot of rope of which to hang me if i'm wrong >> thanks for watching, everybody. the exchange begins right now. and thank you, scott i'm melissa lee. here's what's ahead. jp morgan's jamie diamond says there are some risks out there that could derail the growth plus it recoveries not just shelter in, that's where the money will flow in the tech sector according to the street's number one anilous and crypto currencies hitting an all-time high. where the money is heading and if the pace can continue but we begin today with the markets. >> the big word today is stable, melissa, because we are seeing

just marginal gains and losses a seesaw if you will, but again not big moves. currently the dow just about flat on the day, s&p 500 similar move if you take a look at some of the cruise line stocks they're getting a bid right now because carnival has basically said they've seen a 90% some surge in books between last quarter and the quarter we just saw. so maybe that does mean travel is having some pent-up demand issues we will face in the coming months. off session highs, still though up about 2%. and then take a look with what's happening with tesla shares. we are seeing them slide and hover right around session lows. there's been a couple of negative headlines out about whether model s and model x deliveries could be delayed. keep an eye on tesla shares now

off 2% in this trade >> jp morgan chase and ceo jeremy diamond is very bullish on the economy saying facturs like excess savings, more qe, a potential infrastructure bill, a successful vaccine rollout around the end of the pandemic all mean the u.s. economy will likely boom and it will easily run into 2023. and on the market while equity while diamond is hopeful he says besides the risk of new vaccine resistant variants of covid-19 there's also the risk that the increase in inflation may not be temporary, may not be slow, forcing the fed to raise rates sooner and faster than people expect let's bring in our senior global market strategist at wells fargo inst institute. good to see you both

do you agree there is going to be a boom coming, it could last through 2023 and justifies where we are right now in terms of va valuations >> yeah, absolutely. when you consider what monetary policy is doing which is basically the feds telling you they're not going to do a whole lot of anything and then you consider how much fiscal spending is in the pipeline suggesting the democrats could use budget reconciliation again a couple more times, so all those things really do add up to the strongest growth we've seen in decades and we think a lot of that will flow into earnings we just don't think that's the right level. >> peter, i want to ask you about the notion of inflation, whether temporary or not and are consumers and corporations better equipped to deal with inflation especially if it's temporary, even if it's

spiked simply because they've got a lot of cash in the balance sheet, consumers have delevered, they've got record low and they can sort of survive an inflation spike. >> well, companies have been experiencing price crushes on the good side all through the middle of last year. i think now we're reaching a point where they're deciding to start passing it onto the end consumer we've seen already announcements from others that the had retail consumer price inflation is just beginning after we're already in the middle of a lot of good tightened inflation. consumers can they handle that yeah, i'm sure many can handle it but on the lower end you get inflation of 2.5, 3, 3.5, and that's absorbed in a much more difficult way. so to diamond's last point about

the possibility of inflation not being transitory, being higher than expected that's the camp i'm in >> is that a risk in your view, sameer >> it's possible, can't rule it out. but what we would say is that probably a little bit higher inflation than what we experienced probably post-great financial crisis is probably good for companies, is probably, you know, maybe a little bit harmful for fixed income investors, but at least for corporations it should actually be a good thing. it may actually lead to better profitability and maybe higher margins. >> peter, i want to ask you this question that is if jamie diamond is right, as an investor what do you buy? how do we use this information, how do we use this letter as a guide if you believe he's right? >> well, if you combine his belief that we're going to boom for a period of time in addition to the risk of inflation, you need to be in companies that

have pricing power and not all companies have pricing power. some do. commodity stocks they're going to have pricing power of course embedded in that there will be consumer related names that have pricing power. but if we're also right here on the economy and inflation, we're going to see higher interest rates which would then negatively impact the sensitivity to higher valued stocks to the changes in interest rates 1 in 75 was a trigger point for expensive parts of the market that had a pullback. they've since rebounded because yields have fallen, but it's going to be a very mixed bag because there's this belief owning stocks because it's an inflation hedge, well some stocks are but others are not. >> the issue though, peter, and i'll direct this one to sameer is the way you've described the portfolio according to the world

in which jeremy diamond lives, it is consensus higher valued tech stocks are not in favor they won't do well in a higher interest rate environment even if the interest rates stay what we've seen of late do you stick with that do you stick with what the consensus has been up to this point? >> we think some of those secular trends, so think about ordering things online, think about working from home. a lot of those are going to stick around for a while but we also think it reopening theme. we do think people will get back to travel and concerts and those types of things. what we would treel really try to do is avoid utilities, staples, health care and real estate and you can really look at those other sectors as the areas you want to focus that marginal dollar we have upgraded financials, industrial materials and energy. but we think tech do have to

play for the equity markets to play higher. >> just quickly why would you avoid health care when so many people have put off care and now returning and vaccinated and health care is relatively cheap? >> so we would say people should go toward higher data seckers. again that should do well in the tech market we're heading toward that may be a good place for some dividend yield. >> thanks for your thoughts. appreciate it. meantime there's a rotation under way in the tech sector as we mentioned some of the hot stay at home stocks for 2020 cooling off this year including 25% drop for peloton both of them hitting all-time highs today. our next guest says there's more room to run in these big tech names and some could actually benefit as folks head out into the real world again

good to see you, brian thank you for joining us >> how you doing thank you for having me. >> you rank them which is handy for tv purposes. so number one is amazon. explain to me how amazon is a ben fish when people are cooped up and also when people are able to go out. if they got even an incremental sale because people had to buy online don't they lose some of that sale when people are free to go out? >> i think on amazon it's a situation where the market in our view is overestimating the extent to which u.s. consumer expenditure on amazon is going to decelerate as the world reopens. the way we think about this is amazon in many ways is the in business of behavior modification prime is really behavior modification 101 you added a record number of prime subs last year we think. to the extent you admore and more prime subs to the base,

they earn across more categories, they shop across fewer incremental websites and we think share wallet actually grows. will people spend less in some categories as the world reopens and they start traveling yes. but don't underestimate the stickiness of the prime ecosystem, what that means for amazon's forward top line growth as well as the free cash flow they're going to generate. >> i want to get to alphabet and facebook, but i want to ask you about the conversation we were having before about higher interest rates >> we think about this a lot and our view on sort of the interest rate environment and the correction on the multiples we've seen in tech i would actually argue that a lot of these large cap stocks like amazon, alphabet, facebook already pricing a lot of this in these are companies that are going to grow 20% plus the next

few years and that are trading at low to mid-teens forward free cash flow multiples. so i don't actually think you look at the free flow cash you're going to generate amazon is that expensive and neither is facebook >> number two on your list is alphabet 10% to 15% of page surge is related to travel so that is ticking higher how much more is there to come of that >> this is great dark horse reopening trade. 10% to 15% of surge is from travel, as online travel agencies and marriott or hilton or any travel companies want to get in front of people as they're planning out their forward vacations the rest of the year they're going to spend on google search which helps alphabet. the other dance helping from a recovery perspective we think

google maps is helping the map has always been one of these utilities i would argue google has never really turned on the monetization around and it sounds like based on early discussions you're starting to get some ad revenue flowing through that map there are a lot of ways in which we think the overall alphabet ecosystem can really benefit from the ad dollar flows >> and for facebook which is number three on your list, what the is main catalyst for this stock and we've already heard from many in the analyst community about the bullish advertising trends facebook and alphabet are seeing. at what point should we be concerned that amazon actually takes a piece of that? >> good question first one on the facebook question specifically, the overall ad market remains very strong as gdp is recovering, ad

dollars are following and online destination is -- online destination number one is facebook giving the leading reach. so all of that is intact the other part in sort of the recovery aspect of facebook i don't want to underestimate is engagement should actually have a tail wind as the world reopens. i would argue as people are finally going out, going to bars, going to restaurants, traveling, enjoying themselves in different parts of the world they're actually more likely to post on facebook, share those experiences so engagement may actually get an uptick through this which is positive for the overall facebook monetization as well from an amazon perspective amazon's ad business is very impressive it's a $20 billion ad business last year we still think can grow around 40% to 50% the next few years. but the main source where those dollars are coming from we don't think it's facebook.

we think it's other off-line dollars. traditionally retailers, grocery stores for end cap placement, even other off-line channels so it's not necessarily a winner take most or winner take all when it comes to the battle of amazon, google and facebook. be aware there are a lot of new types of dollars previously off-line that are moving online as consumer behavior and consumer wallets are increasingly going online. >> so the pie is getting bigger. good to see you, thank you coming up crypto flows they're climbing a new report shows digital assets are getting more and more love from investors. we'll take a look where the money is heading "the exchange" is back right after this this is the exchange on cnbc

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welcome back to the exchange in flows of crypto currencies are at a record high coin share reporting $4.5 billion poured into crypto currencies the first quarter that is up 11% joining us now with a break down of the numbers is the chief strategy officer at coin share great to see you >> hi, melissa it's always such a pleasure to see you. >> what's your sense as to where

the money is coming from >> look, really, really consist and clear trend. crypto vesting is here to stay. there's a phrase i really like that's look into my portfolio and gaze into my soul. gold products $20 billion in outflows over the last two quarters crypto products $7 billion in flows over the last consecutive quarters this is real trend captist floating out of traditional alternatives and diversifiers like gold into bit coin. i think q2 we just kicked off the quarter and the numbers continue to show that trend accelerating >> how due think about the new products that are coming on the market, etfs, the companies filing for etfs, will that dampen volatility with bit coin with more and more entry points, more and more on-ramps so to speak into the market? >> it's been interesting to see historically the banks shunned us which is why the crypto ecosystem really developed for

the first four or five years out of the traditional ecosystem now we've seen jp morgan, morgan stanley, goldman sachs, you name it all the world's largest asset managers and financial institutions are looking to begin offering bitcoin and crypto investment products to their clients. however, at this point as we've seen coin shares we publicly listed in march, there are now a number of avenues through which investors are getting exposure to crypto currencies either directly through structured products the numbers coin base posted for their q1, $1.5 billion in the last quarter if they continue that they'll be larger than every single u.s. exchange in terms of volume and earnings that's a pretty phenomenal accomplishment, so to me it's sort of shocking banks aren't moving more quickly. and can traditional services catch up with crypto financial institutions at coin shares we say probably

not so fast and maybe not ever we'll see. >> and i'll ask you a question to that point and you may or may not be able to answer. but i know you can answer just because of all the conversations we've had in the past. investors are thinking about coin base and read the filing and see the volatility is going to be tied to bitcoin. they then ask themselves why don't are put a dollar into bitcoin as opposed to into a coin base when the correlation between bitcoin and a lot of coins is really so high at this point. it's really a bet on bitcoin at this point what do you think? >> crypto currency is now over $2 trillion market and aggregate of that bitcoin is still about 55%. so as you alluded to a lot of things in the crypto space have a data of one.

and when you're buying a crypto equity, esh exposure to a company are you really buying ecposeur to an underlying asset? crypto currencies get more integrated into the normal financial services sector is some of that volatility is going away because some of these offerings are not always directly tied to revenues and to prices they're really tied to transaction volumes or increased activity in the crypto sphere. so i think over time that relationship will continue to decline. and bitcoin's volatility in our view is part of the price of opportunity. you know i continue to believe allocating to both the assets themselves as well as some of the companies emerging in the space will continue to be an attractive value proposition and over time those two probably will begin to diverge more, but we're still in the early innings and there's still a high degree of correlation >> i'm glad you mentioned the volatility in bitcoin and the opportunity there. because one bank that shunned bitcoin early on they have an analyst that follows crypto

currency and that analyst basically said once the volatility of bitcoin reaches the volatility of gold approximately that's when institutions won't be scared to get in but at that point in a day, in a world in which bitcoin and gold have the same volatility are the best days of bitcoin behind it >> i actually think that's not the case one of the things i think is so interesting is when people analogize bitcoin to gold calling it digital gold. that's been a popular and persistent narrative, but i'd really like to kill that narrative. bitcoin is not digital gold. gold is a shiny rock bitcoin is not a shiny rock. and i say that in the bluntest way possible bitcoin is not only an asset but a building block for a new financial type of infrastructure that's global in nature, can bring a lot of liquidity and connectivity to markets. we're seeing this with a tremendous exposure of activity in the decentralized finance space. bitcoin potential in my view is much greater than gold's $9

trillion market cap, so i don't want to constrain bitcoin to the gold narrative they're two very different things >> always great to speak with you. thank you. coming up, burritos and burgers, how we've got the results of the latest survey where american teens are eating and spending their money plus brand loyalty for one of those is at a record high among teens. we'll tell you what it is. "the exchange" will be right back

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welcome back to "the

exchange." let's take a check on the markets right now. the markets are pretty flat here the biggest move in terms of the major indices the nasdaq composite down 0.2%. let's take a check on the sectors. the best performing sectors energy and communication serves right behind me materials bringing up the rear down by 1.3% and here's some of the movers at this hour. retail names like l brand, higher after the u.s. turned bullingish on these names based on the companies denim exposure and the expectation they'll benefit on new fashion trends. as much as 50% yesterday and take a look at the china internet etf that is down 4% one of the biggest losers down nearly 7% down right now

>> hello, everyone district attorney in atlanta says she will not pursue charges against the georgia lawmaker who was arrested during a protest against the state's new election law. representative park canon was arrested after knocking on the door of governor brian kemp shortly after he signed the bill into law los angeles county sheriffs say tiger woods was driving more than 180 miles an hour when he went off the road and that excessive speed was the primary cause of accident. officials say they found no evidence woods was driving impaired new details on the accident tonight on the news with shepherd smith prosecutors in new york are asking a court to throw out 90 drug convictions over a police corruption case. an officer involve in the case has been accused of perjury. the retailer says it will close fur sales over the next two years. >> coming up iphones are getting

even more popular with teens and from the nfl to the nft, all pifis nd much more in today' rad re ♪ ♪ ♪ ♪ ♪ ♪ hey google, turn up the heat. ♪ ♪ ♪ cal: our confident forever plan is possible with a cfp® professional.

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let's catch you up on a few stories that should be on your radar. time for rapid fire here with their takes. all right, first up piper sandlers taking stock with teen survey out today and we're learning a whole lot from their faverate restaurant to their favorite celebrity one of their tech favorites, apple. 88% of teens own an iphone 90% intend to purchase an iphone if they don't already have one both of these metrics are record highs for the survey these trends could catalyze further services growth. shares of apple still off double digits from its all-time high. casey, i don't feel like this is surprising >> no, we've seen phenomenon for years now. teens love the blue bubbles, the imessage bubbles and if they see a green one you're not going to be sitting at the cool kids table. i look at the survey and see a

huge opportunity for android what do they need to do to start getting into this game >> and bob, some might argue is this going to do much for their stock price because their stock price seems to be dealing more with higher interest rates versus whether or not people like their product >> yeah. but the apple watch is a growing part of the overall revenues i thought it was very significant. 28% of teens say they own an apple watch. that's a lot higher than i thought. apple watch is number 2 amongst higher income teens. their number one brand is rolex. what's the difference between a rolex and apple watch, maybe $10,000. i want to hang out with that crowd. >> i don't think i knew what a rolex was until i was in college. what do you make of this survey because part of it is services, the more people own phones the more services they can sell. and that's really been a bullish part of the case for apple >> right you mention the apple watch.

they also mention apple pay. cash is still the number one payment method for teens apple pay is next and venmo. if payments and that whole ecosystem gets more popular with this generation you could see a world where that becomes a bigger slice of the revenue for apple. but i'm shocked cash is still big amongst teens. i thought everybody was trading crypto and using their digital payment apps >> and buying nfts at the same time should we start thinking about other ways apple should innovate its business, let's say, maybe a subscription for its phone and as a way to sell services as opposed to actually selling the phone. i mean there are a lot of analysts out there who say apple's business model should evolve >> yeah, and we've seen them introduce a bundle of services last year. that seems like it's going okay. i think the bigger opportunity for apple is going to be in that next generation of hardware. we've seen some reports there may be a mixed reality headset

as early as this year. if that is true i assume the teens will be among the many people who are interested. >> let's move on here. plat announcing a $425 million funding round led by altimeter capital. this boosts evaluation to more than $13 billion visa had been agreed to by the way buy plaid for just over $5 billion last year when the doj sued to block that oo deal kate, the folks at plaid will be breathing a sigh of relief given what they're valued right now. >> that's the take away, it was a good miss by plaid the doj got in the way it had been almost a year since that deal had been announced and in the meantime you saw companies like stripe reaching almost $100 billion valuation. the partners plaid works with, these guys have grown massive amounts. plaid is sort of the middle man there that benefits as a lot of

this apps become more popular and digital adoption becomes way accelerated during the pandemic. so plaid has ridden this fin tech way, gotten a $13 billion valuation. one source tells me that's way above where they were going to go with visa so one source tells me this probably worked out for the best >> specifically the lack of regulation for fin techs versus what the banks face and that's a huge competitive advantage like plaid for instance >> remember two years ago when you and i were covering and the banks were terrified they were going to be taken out? what happened to those start-ups, most of the others got bought ut. and if you read that diamond letter which is absolutely stunning big think letter, really impressive he

specifically said we have money to make acquisitions and we're specifically looking at a acquisitions in the fin tech area >> i understand the acsquisitios may be coming but still going to be ones that are standing and like a square stock price that's really gone up how do you think about a acquisitions and who might be right like a jp morgan >> i think there are any number of these companies banks would like to buy. but increasingly we're seeing these independents show real backbone they want to be in it for the long haul. i actually think plaid now faces a tough challenge. they just tried to cash out. they couldn't, and now they have to go do the whole thing independently. so i actually think this is maybe going to give them a harder road than they would have had if that acquisition had

actually gone through even if now they stand to make a bit more money >> what's the thinking amongst these days private equity folks in terms of fin tech obviously big banks want to buy these companies but could a square for instance go out and buy a bunch of companies is there a rollout in fin tech for that to happen >> casey mentioned some of these guys have a harder road, and while the market is pretty hot in some of these companies like coin base listing next week, the market is ripe for these guys. so they've gotten a ton of sort of follow on funding if you think about a company like robinhood and a lot of investors have doubled down and put even more money into these companies because of that digital trend. if they're looking at a visa, visa is probably going to have a tough time buying a smaller startup and those really are the guys going to go in and buy. so you wonder if jp morgan and jamie diamond will have an easy time looking at one of these smaller competitors and potentially running into new

anti-trust issues. >> good point there. this is our last story i think this one is on new yorkers traveling to new jersey to place sports bets. news here, new york state has approved a budget for its fiscal 2022 that would allow legal online and mobile wagering in the state for the first time investors don't look to be thrilled draft king, pen national southeasters and mgm are all in the red. there was an expectation eventually this would happen the stocks have seen amazing run ups like draft kings which was up just this year 34% in the past 12 months, more than 300% so how do you interpret this >> you see what cuomo said he said number one i don't want the casinos running this i don't know if that was a surprise maybe it makes sense from cuomo's point of view. cuomo's point of view is why should we give all these money to the casinos let's let the state do it, let's

let the lottery system run it in new york i tend to think having casinos run it would certainly be more dynamic and more interesting for sports betters from cuomo's point of view his attitude is why should i give money to the casinos i think they're setting up for a real fight here about the future of gaming. it seems like they're in the minority most other places that's not the model they're using. >> it does seem strange the statewide want to run an operation like that. it costs money to run that operation as well. you don't want to give the money away but at the same time do you want to spend the money to create a product that already exists in the marketplace in order to make some money >> sure. to me this just seems like a good old-fashioned case of a governor wanting to maximize the amount of control they have over something. you'd rather sort of have that under your own purview than give it away to some private enterprise i'm sure the governor is betting that if this plan proceeds that he will be able to earn more for the state than through this

alternative system >> yeah. kate, your thoughts on this? i don't know if you're bet a better you don't strike me as one but you never know >> i'm not much of a better and feels like there's other outlets for people seem seems like new york is catching up to what people expected but there's a lot of other outlets for people to spend their money, speculate whether it's stocks or nfts. so we'll see how much of a wind fall this is for new york state. >> you've got to wonder once people start to get out if they want to spend as much time on a screen whatever investing in stocks to betting on sports. finally here, this is the last story. seven time super bowl champion tom brady, the tampa bay buccaneers qb is launching a platform called autograph. the company will connect big name celebrities with creators to create big name collectibles and create brady nonfungible

tokens it makes my eyes glaze over when i read about a celebrity with an nft. who cares? >> i'm in the same boat and yet when you look at the success the nba top shot has had in the past few weeks it's only natural the other names of the big sports are going to want to get in on the action i do expect least at least for the next three to six months you're going to see people taking a crack at this, seeing if the nft craze continues at pace i think the tom brady selling digital collectibles is not a bad bet at all >> bob, i know you enjoy hard asset collectibles yourself given the shots from your house with all the posters, et cetera. >> i collect old '60s rock posters and comic books from many decades ago the memorabilia business in general has been centralizing. there's no central depositories for comic book auctions, for sports auctions owned by several

big houses at this point so why not centralize nfts it seems a little early. i should note physical collectibles are doing really well including baseball cards, comic books, first super man just sold for a $3.25 million yesterday. you might say what idiot is going to buy a comic book for $3 million, but it's the first super man, someone did so physical memorabilia is doing very fine. >> and i would imagine there's a lot of salivating going in terms of nfts as a market, in terms of companies dealing with nft trading. there's now talk you can use an nft to own a slice of something. to sort of stock market aify these collectibles into nft form that seems to be the potential next step. >> that's right. a lot of these investors are looking where the digital

economy is going if people are living their lives online some of it gaming companies and people are spending their money online why not have digital collectibles and assets you can buy there's examples people buying real estate in video games and spending a fortune on things like that. i think that is sort of the next step here is people, you know, for better or worse are spending so much time online. but like you mentioned earlier will people actually want to be sitting in front of their screens a year from now, and they do have the opportunity to go out more. but, yeah, the real estate thing is mind-blowing, that you would want to buy a chunk of space in a digital word this meta verse thing is fascinating. >> you can also charge for advertising in your space. we had a whole segment on fast money about real estate in the meta verse so it is vas fating. thanks, guys great conversation all right, president biden set to deliver remarks on his american jobs plan what the message will be and why the very definition of

infrastructure is becoming a partisan issue plus more from jamie diamond's letter including his take how china sees america. is america playing catch-up to china? we'll explain that "the exchange" will be right back ...but that demands the return of small moments illness attempts to steal. ♪ dignity demands a rapid covid test, ♪ because we all need an answer to move forward. ♪ dignity demands your heart stays connected to your doctor, so you know it's beating as it should. ♪ it demands a better understanding of your glucose levels, so you can enjoy movie night. ♪ and knowing your baby is getting the nutrition he needs, no matter how you choose to feed him. dignity is not effortless nor easy. at abbott, we fight for it every day,

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president biden is expected to talk about his american jobs plan shortly for more on what we can expect let's bring in kala toushie. >> president biden is expected to ramp up pressures on lawmakers currently at home in their districts working to pass the american jobs plan, which has come under pressure from the other side of the aisle for the limited nature of the traditional infrastructure that is included in the passage as well as questions about whether it actually will produce a return on investment earlier today treasury officials said that decidedly, yes, it would be pro-growth according to

analysis from moodies, but the budget model said in each of the three decades the plan would actually detract from u.s. growth, which is a fact that republicans are seizing on in addition to the scope of the package. take a look at what compromises the american jobs plan about half of the $2 trillion price tag contributes to traditional infrastructure and add in broadband power grids and water pipes to that as well. on the flip side the biggest single line item goes toward elder care and somewhere in the middle are projects to rehab schools, housing and medical facilities as well as invest in manufacturing. today the commerce secretary joined the white house press briefing to say thatbeds is onboard, that all of that is needed and she urged republicans to come to the table to negotiate. >> every single business leader i've talked to applauds the fact that this package is more than just roads, bridges and water. come on, 35% of americans in

rural areas don't have broadband. you cannot have a modern economy without that we have a crisis in semiconductor manufacturing. you cannot have a modern economy without that >> reporter: she said that republicans should be willing to negotiate but not come to the table with a fraction of what the administration is proposing, melissa. but as the white house and as these officials talk about the broad and loose definition of infrastructure, you know, it's becoming menable in its own right and so the definition of infrastructure is going to be debated as the administration begins to argue it should begin with a lowercase "i" and incapsulate a whole host of things here. >> jp morgan ceo weighing in on america's race with china. quote, the chinese scene in america losing ground on information, technology and infrastructure in a country unable to coordinate government

policies and to give you an idea here's what china's spending plans are on that front. $1.5 trillion in 5g through 2025 $125 billion on railroad investments and building more than 162 airports. and how does this compare to the u.s. and does that factor into the president's plan >> well, the china spending outpaces and eclipses that of the u.s., but of course, melissa, they micromanage their economy and handle these things very differently than the u.s. handles them here the administration is acutely aware of china as the 800-pound gorilla on the world stage. president biden has said china is eating the u.s.' launch and the transportation secretary said china st. stepping into a leadership role the u.s. seeded decades ago and the u.s. needs to step back into that the disagreement is in how to neutralize that threat

the white house hopes that the insertion of certain provisions in this plan will bring bipartisan support, will secure some of those votes for this package. but it actually might end up doing the opposite because manyy republicans say that issue is large enough on its own to be dealt with on a standalone basis and not this package and then there is the amount of money going toward infrastructure itself and that if the goal is to meet china in a tit for tat way, then perhaps this is not the moon shot type funding to get that. the last time the u.s. did a multi-year surface transportation bill it averaged out to $61 billion a year.

this package averages to $ 7 billion over 8 years, a 26% increase so on an apples to apples basis it is not that much bigger than the u.s. has done i the past so if it's about meeting china republicans argue that needs to be structured differently. >> there's a notion of raising taxes to pay for the package and it sounds like the commerce secretary sort of backed down if you will on the proposal for 28% corporate tax rate. >> reporter: she was asked specifically about questions raised by west virginia moderate democrat manchin saying he could support a 25% rate she said that that would be open to negotiation and wouldn't go further. the administration's position is that this package is negotiable so we'll see where that ends up. >> thank you, kayla.

still ahead, more from piper sandler's teen survey and food is hot the names to buy to cash in on the teen spending trends, next

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welcome back piper sandler with the teen survey and one area where teens spend big is food. kate rogers has a look at which brands take the top spot. >> we know teens love the food piper sandler with the taking stock with teens spring report surveying 7,000 teens with an average of 16.1 years old. food is number one priority with 23%. for males the top priority for females, behind only clothing and accessories the top brands are chik-fil-a, starbucks and chipotle the survey said chipotle is holding steady and gaining traction with average income teens. starbucks is the most preferred

coffee company but its mind share is muted from prior highs. piper sandler says the brand equity is relevant social currency with gen-z. mcdonald's dipped. this could shift as the company leaned into digital engagement and celebrity partnerships teens overwhelmingly prefer limited service brands to full service brands that offer social experience and affordability factor, a part of the reopening trade, 69% plan to take the vaccine. 81% say they plan to dine in up from the fall and projects that restaurant spending will rebound as both mobility and spending patterns return to normal. >> chik-fil-a is a top spot and they do not advertise. how did that all happen?

>> chik-fil-a has brand awareness. they get into the little tifts here and there on twitter. big shift from when i was a teen and hang out at chili's. >> kate, thanks. all right. that does it for us. coming up on "power lunch," with more corporations responding to georgia's new voting law the georgia secretary of state will join to discuss. "power lunch" arstts right after this quick break when you buy this plant at walmart, they can buy more plants from metrolina greenhouses so abe and art can grow more plants.

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. good afternoon welcome to "power lunch. along with frank holland, i'm tyler matheson the fed minutes breaking right now. what were they thinking at the last meeting steve liesman is digging through that. georgia is on everyone's mind it seems. businesses are caught in the middle over that new voting law. and two heavy hitters teaming up rick caruso with the winkle boss twins. caruso will accept rent payments and more in bitcoin. he'll join