>> somebody who was in early on ethereum. >> on bitcoin as well. >> highlights the difference between knows and dogecoin. >> again, it started off as a joke it is now $84 billion. keep that in mind. >> are you going to stay up for "snl"? >> i might. >> i won't. >> from a news perspective. >> i won't thanks fortuning into "power lunch. "closing bell" starts right now. >> thank you welcome to "closing bell," i'm sara eisen along with wilfred frost. stocks are most low higher this afternoon with the dow hitting a record level, near the highs of the day. up 200 points, half a percent. let's lock at what's driving the action the nasdaq is off its highs, barely in green looking to avoid its longest losing streak since october. apple up just shy of 1%. the energy sectors having another strong session, up more than 3% driven by big cap names, conpoe phillips, devin energy. data coming in light today

private payroll seeing big gains in april jobs below estimates ism services also coming in light, but still very strong, second highest on record 58 minutes to go, wilfred. >> the dow is close to its session highs. coming up on today's show, a interview with federal reserve vice chair richard clairida. plus two great reads on the state of the consumer in america. we are joined by the ceo of hilton and denny's both. and earnings from uber, paypal, et ceteray and many others we will bring you all of those results and analysis as soon as they cross first, mike santoli is tracking all the market action. julia boorstin has the insights on facebook's overboard decision on donald trump. mike, first to you

the dow is hol-- the nasdaq is holding on to the positive two basis points. >> people feel stranded in expensive growth and frying to get out into cyclicals today a gentle version of that rotation yesterday, previously intraday we went below a long term trend line flattening it is where we are mid april, also where we were about a week later when we got the first headlines about a potential capital gains tax increase mental markers of where we are side winding, maybe correcting under the surface growth areas getting hit. one representation of this rotation toward cyclical plays jp morgan and caterpillar over the last six months against apple. all three, dow stocks.

what is interesting, the way that cat and jp morgan, the cadences are basically moving as one. saidences are basically the same it is a different percentage, but basically it is i want to play an economic recovery and inflation through caterpillar and jp morgan not so much a great secular growth play in apple. what is interesting, too, by the way, these two together are $600 billion, let's say in market cap. less than a third the size of apple. that's why the s&p 500 sometimes gets hamstrung when the large cap nasdaq stocks are not performing and leading i mentioned reflation. here's the market implied ten year inflation based on tress reinflation based securities 2.4% this is nothing but a market price. keep in mind this is not an. nichent forecast what have inflation is going to be ten yerg we were about 2.4%. that was the market's best guess for inflation over the next ten years. in fact it came in at 1.8 over

the subsequent ten years no doubt people are positioning for a more inflationary environment. if nothing else, it tells you that the market is kind of taking it in stride, repricing a little bit but nothing that looks out of the ordinary based on the past decade. >> i am glad you brought it up the charts are breaking out. and multi-year highs are seen on a number of them five year inflation forecasts. lumber prices, copper prices, mike, continue to notch multi-year highs where do you look for the inflation trade to show up in the equity market right now? >> it's showing up i think in all of those areas like industrials. i mean cat has broken out to a new high even though it is up a ton i think industrials, where there is pricing power in scarce goods that's where the money is flowing in the market. what's interesting, though, you mentioned the five-year. all of the inflation forecast is really loaded in the near term, like the three year range,

that's where people think there could be this welling up of inflation. nobody, at least in terms of where the market is now and where the money is flowing is willing to say it is going to be a runaway story for the next decade obviously we can only price in what you can potentially foresee in the moment. but i do think we have to keep in mind that these huge spikes in necessary commodities have a way of undermining themselves. at some point the solution to high price is high prices. it creates disruptions, supplies disrulgss. >> we will see how the fed is interpreting some of those moves. vice chair clarida coming up. coming up, a key decision from facebook's oversight board regarding the suspension of donald trump julia boorstin has the story. >> that's right, facebook's independent oversight board upheld the decision to ban donald trump's accounts but criticized the handling of the

decision the board giving facebook six months to make a final decision on trump's account now the oversight board saying, quote, it is not permissible for facebook to keep a user off the platform for an undefined period with no criteria for when or whether the account will be restored now, the oversight board also demanding that facebook review how the platform contributed to the narrative of electoral fraud which drove the riot on january 6th on the capitol facebook responding we will now consider the board's decision and determine an action that is clear and proportionate. in the meantime, mr. trump's remain suspended n. a statement, trump saying they must pay a quote political price. >> it has been interesting baiting for the decision, and then how it was announced today. you have got both the company itself and the board, which they themselves appointed releasing

stamtsds today and referring and replying back each other i wonder how long that sort of setup can last for the medium to long term. it is basically saying look we realize we need some kind of oversight and yet we are kind of doing it ourselves even to put aside what the decision was, but the setup that was in action today doesn't seem like it could last for the long term. >> wilf, what is interesting about this -- this is a much more complicated outcome than i anticipated. it really does seem like the board is independent if it is being so critical of facebook. there is this sense that i get of the board's true independence here in the way they are handling the situation i can guarantee it would be easier for facebook to have a ruling one way or the other. trump is suspended or not. this is more complicated the board said on a call with the media it is likely this could get kicked back to them. i think the reason they are being so strict with facebook right now and pushing this back to them and making it zuckerberg

and facebook's responsibility is because they say you need to have clear rules going forward because then it will be easier for us to be able to enforce them i think the identify is clarity in general is going the avoid more confusion and complication in the future. we have news cost crossing from washington on the corporate tax rate ylan moi has it for us. >> president biden went off skpript as i was delivering remarks on the $1.9 trillion covid rowly package. he said he would be willing to negotiate with republicans on the next priorities, the infrastructure and human capital packages when a reporter asked him specifically if he would support raising the corporate rate to 25% versus 28%, biden notably said, i'm willing to negotiate he did not rule it out however, the president did say that he does not want to deficit spend in order to finance his recovery packages. and he started to talk about ceo

pay, and where the benefit really lies. he riffed the republicans' 2017 tax cuts and i is a they primarily benefitted the rich. and he got sort of emotional as he said that he can affect the standard of living of the people he grew up with if he can provide them with a job. president biden signaling he is willing to come to the table, possibly consider a lower corporate tax rate than the 28% he had proposed. again, republicans would need to meet him part way. >> we will keep an eye on that, keep an eye on the markets as well the nasdaq down .2 of 1% now well off its earlier bounce. the dow up .4% after the break, fed vice chair richard chaireda, on the record we will get his take on the recovery, rates, and inflation and more that interview is next you are watching "closing bell" on cnbc.

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which shows will you be getting into tonight? at fidelity, you can have both. how 'bout all of them. netflix. 'cause xfinity gets you really into your shows. when one burns for someone who does not feel the same. daphne, let's switch. from live tv to sports on the go. felix at the finish! you can even watch your dvr from anywhere. okay, that's just showing off. you get all of this on x1. so go on, get really into your shows. you need a breath mint. xfinity. it's a way better way to watch. it has been one week since the feds news conference where

chair jay powell said it's the not time to talk about tapering. as the fed sees substantial progress on the economy. what does substantial progress look like? joining us federal reserve vice chair richard clarida. good to see you. >> good to see you, too, sara. >> that is the question du jour. when should we start to talk about talking about tapering what do you think? >> we don't think so right now what we have is we have good data on the economy sara a very strong employment report, a gang busters gdp report. but we are still a long way away from our goals and in our new framework we want to see actual progress not just forecast progress as we move through the year, we will get more data, we will get an employment report on friday as we go through the year and we assess that data we will be able to make a judgment about substantial progress but we are certainly not there yet. >> is there anything specific

you are watching president barkin told us employment to population ratio it is hard -- the term, substantial progress, think about how you define it. yes, we have had one good employment report, other good data as well, on service, manufacturing, housing it is a broad based picture of improvement? >> it is, but you know, sara -- you know, because you reported on it, the pandemic was a catastrophic shock to the economy. 22 million jobs were lost in two months a lot of those are back now. we are about 8 million jobs short of where we were in february we are looking at a lot of indicators first and foremost, the unemployment rate. true unemployment is closer to 10%. labor force participation and other indicators again, we are digging out of the hole that's great, but there is more to go. >> vice chair, i was wondering what you thought, the kind of intention was yesterday when janet yellen made the remarks that she made.

do you think it was slip of the tongue, she accidentally made and then had to walk back? or was she trying to sneak a message out into the marketplace. >> i have enormous regard for secretary yellen i think she indicated that she was not predicting or giving us advice on policy and i will take it at her word on that. >> well, fair enough on that front. but i wanted to lean on one word she did use, which was overheating. >> yeah. >> and whether or not, regardless of what it might mean for policy, if you now look for the rest of this year, that there is a higher chance that the economy overheats than it unde underwell. s from here. >> when you are doing forecasting office baseline view our baseline view is that we don't overheat that being said there is always risks to the outlook as chair powell indicated and i

have indicated, and others, in that risk case as we go into next year and beyond, if there are unforeseen persistent upward pressures on prices that would move inflation above a level consistent with our mandate we would use our tools to bring it down we don't see overheating as a baseline of course, in any outlook there is a risk. i would also say wilfred unfortunately there is a risk to the downside this. virus has proven difficult to bring under control. the vaccines have been an incredible development the downside risk would be if we were to get a vaccine resistant strain which certainly i am not predicting or hoping for but we have to factor in the risks on both sides. >> how are you reading the current market action? as we speak there is headline going about, inflation protected securities to 2.695. we have seen this in the three year inflation expectations, five year, ten-year inflation

expecting as what does that say to you? >> a couple of thing indeed, you had some reporting right before i got on. if you look at the forward measures, say inflation starting five years in the future, those are actually under the next five years, which is indicating that if you use those market prices, they are not forecasting a big breakout that would persist. look there will be upward pressure on prices as we reopen a $20 trillion u.s. economy and a $100 trillion global economy there is going to be temporary imbalances between demand and supply we think over time those will work out so our baseline view is that inflation is going to be close to our long run objective of 2%. but we will be vigilant. in particular as we move through the reopening phase of the global economy we have to be very attentive to that date. i think what the data is telling us now is there is going to be upward movement as we reopen but that it won't persist over a

long period of time. that's my view as well in i am trying to parse your words where are you on the dot plot? are you one of the members that expects to be raising rates before 2024 or not >> well, you are a good reporter, sara but i am a good vice chair and i am not going the reveal my dot. some folks do but the code of honor is that we don't what i will say is we do our sep projections four times a year, we will do another set in june, and september and december certainly i will go into that process as i did for all of them looking at the incoming data and updating my view >> vice chair, i wanted to ask your view on asset purchases at the moment in particular relative to maybe a year ago or in the past past do you think they are actually boosting economic activity at the moment or given the current environment out there and the positions the banks are in are they kind of a bit pointless now? >> i wouldn't say that because

we are doing them. we wouldn't be continuing if we thought they were pointless. we do believe -- again, this was a severe shock to the economy. because we cut our policy rate 13 months ago to zero, we deployed our balance sheet as a tool to support the economy. the economy needed the support last year. and we think the economy continues to need the support this year. as we make substantial further progress, at some point in time we will think about scaling back the pace of those purchases. but that time is not now and we think they are providing important support to the economy. >> but the atlanta fed gdp now model is suggesting we are going to see 13%-plus this quarter do you worry the fed could be out of step with its emergency stimulus and rock bottom interest rates at a time where the u.s. economy is booming? >> well, again, sara, it's the difference between growth rates and levels you are absolutely right we have gotten some really,

really strong growth numbers indeed, my personal forecast is this year growth could be close to 7%, which would be the fastest in about 35-plus years so those are good growth numbers. but remember, the shock was very severe, the hole was very deep having rapid growth is actually welcome when you have 8.5 million americans who don't have a job who did 13 months ago. you know, you are correct that we would expect that growth rate to begin to attenuate from these levels that would also be appropriate as we close that or dig out of that deep hole right now that's not a concern at all it would be welcome i would think. >> how much are you focus on growth around the west of the world? if it does pick up over the summer, later this year, likely of course would pick up rates around the of the of the world as well. would that change your thinking particularly about what rates and monetary policy should be here >> wilfred, i think this year is going to be an interesting one for many reasons

one of the reasons is that u.s. growth i think this year will outstrip global growth by a healthy amount again, i'm in the camp of 6, maybe 7% growth. i think europe may grow at around 4%. maybe asia, 5% so the u.s. this year is going to be a locomotive for global growth but you do raise a good point, because progress on vaccinations has been much less extensive in many parts of the rest of the world. and obviously, global growth is going to depend upon, you know, getting the virus under control in many countries. and obviously, a global slowdown relative to that baseline would impact the u.s but i think the u.s. this year is going to be one of the star pupils in the global growth comparisons. >> the bank of canada has already started tapering does that make your job tougher if different central banks,

major central banks go at it at different speeds >> i don't think so. you know, sara, the bank of canada has a mandate to focus on the canadian economy and they do a very excellent job. we have a mandate to focus on the u.s. economy again, we are going to -- we set out a test for what will be required to begin to scale back the pace of our purchases and ultimately normalize policy rates. and so, no, i think different countries are going to approach this with a different time frame potentially. but we are all trying to get to the same place and i have been in contact with officials in most of these countries in last several months we are all seeing a similar dynamic, we are all trying to get to the same place. >> finally, since you are so focused on the labor market as the fed is right now and the millions of people who still don't have jobs, we are seeing this very strong boom, and we are hearing reports from certain sectors of labor shortages even at this time why has it been do you think

that we are still seeing jobless claims numbers coming in at 550,000 a week, which is a strong improvement from where we were, but also more than double where we were prepandemic? >> it is an excellent point, because, obviously, the jobless claims numbers have been coming down, but they are still certainly elevated compared to history. we have some pams that were put in place pandemic relief programs those are also in place right now. i think what the point means to us right now sara is it is going to take time to make sense of how the labor market is going to adjust we are going to have year over year comparisons that are perhaps going to show a big slowdown in wage increases it is an interesting picture as the economy reopens. last year of course was a depressing picture as we shut down the economy this year we are reopening and we will be following it closely, that's for sure. >> well, we appreciate you coming on to talk to us about it as we all go through it. richard clarida, vice chair of

the federal reserve. thank you very much. a news alert on covid vaccine makers ylan moi with the details. >> the white house now said it supports waiving the intellectual property protections for the covid-19 vaccines that is a move that could help speed the distribution of vaccines around the world. but is also clearly already hitting the u.s. drug manufacturers. in a statement, u.s. trade representative kathy tie said that the u.s. is actively participating in tech based negotiations at the wto to make this happen. though she cautioused these talks would take time due to the complexities involved. they are still working to ramp up production, manufacturing, distribution of vaccines domestically, also working on increasing the production of the raw materials needed to make the vaccines now the u.s. and the white house are saying that they will support waving those patent protections and work with the

wto to make that happen. >> something to keep an eye on moderna down 7%, the most of those stocks keep in mind it is up 55% year to date and well over 200% over the last 12 months. still to come, shares of pell on the plunging today amid safety concernovs er its treadmill machines we will bring you that story when we come back.

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we were flat when we started the hour part of the story is moderna and biotech stocks taking a leg lower on news we just brought to you from the u.s. trade ambassador of president biden's administration saying they will release intellectual property protections for covid-19 vaccines in other words they are going the share the patents with overseas producers, wilfred, which is kind of a controversial decision there were pros and cons, and president biden made this promise early, before he got elected. and the administration has been looking at it. one of the markets against doing this is that, a, it hurts the u.s. manufacturers, which have been so critical but also, it wasn't necessarily a patent problem which was holding back vaccines around the world. it's manufacturing look how tough it is to get the vaccines out look at what happens with emergent biosolutions the plant here in the united states in charge of making jaij and astrazeneca vaccines there was a contamination problem. there were issues. it is a hard process to do, and do at scale. this is maybe part of the

solution but not necessarily what exactly is needed. >> i guess a supportive point to it would be that some of these companies already were producing vaccines without trying to make a profit, like astrazeneca, whereas others, like pfizer and moderna already booked profits making a decision at this stage is not like you have done it at the advance of the process and it sets up the share price moderna up 56% year to date. even in the face this slide right now. >> you could see some of the arguments of companies saying this this makes it less -- it will hurt innovation ultimately if this is the kinds of thing that can happen. >> i disagree. because it is a clear one off coronavirus specific yes, there is arguments on both sides. if you started the see it on cancer drugs and everything else under the sun. i wonder whether the likes of moderna and pfizer will say that's fine because we booked all this profit when other companies weren't doing that but i get your point about

distribution and manufacturing as the other short-term bottleneck i think the he request of is ends of this year and next year when we need booster shots, will it have benefitted the world as a whole. >> one hopes this results in more shots getting to more people that is the goal. >> pfizer down -- essentially flat moderna down 5%. shares of peloton sinking sharply on news it is recalling both the fred and the tread ples treadmill machines over safety concerns peloton apologizes for not acting more quickly to resolve the issue after one death and dozens of injuries the tread plus represents about 2.2% of unit sales in 2021 down 15% even if it is less than 5%, both treads put together of sales it is still a big recall, an expensive thing when they are already facing various products

bottlenecks. you could argue down 15% is a relative win given how serious this story and the recall is in both principle and cost. >> and how to fix it i think is another question peloton again down 15% tough guy. still to come, lyft shares have given up their post earnings pop trading lower at 5%. and we will look ahead to uber's results coming today after the bell. here's a check on bonds. yields moving lower. the ten-year yield around 1.58 services number coming in light, adp coming in light. very strong number on jobs and services as fed vice chair richard clarida just told us, he expects 6 to 7% growth this year we'll be right back.

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now california phones offers free devices and accessories for your mobile phone. like this device to increase volume on your cell phone. - ( phone ringing ) - get details on this state program call or visit time for a cnbc news update. rahel solomon has it for us. >> hi, everyone. here's what's happening at this hour the cdc reporting another day of less than 2 million new covid vaccinations the u.s. total now stands short

of a quarter billion doses and more than 70% of americans 65 and old remember fully vaccinated. the nfl is giving fans another reason to get their shots. it is giving away 50 tickets to next year's super bowl details on how to win a pair of tickets will be announced on saturday during global citizen's vax live consert. a woman from mali gave birth to nine babies in morocco yesterday. all the more surprising because doctors were only expecting seven. the mother, five girls s and four boys are all doing well the guinness book of world records says the current record is eight and is working to verify the first set of nanolets it is remarkable, that both mother, and all nine babies are doing well. >> that is blowing my mind thank you. >> also, how you could miscount it in the lead up.

>> there are a lot of babies to count. >> a lot of babies a lot of ultrasounds wild anyway, 25 minutes left to go before the bell. the s&p 500 is up more unanimous a tenth of a percent we have fallen in the final hour the dow up 111 points. session high was almost 200. nasdaq has firmly gone negative, down a third of 1% small caps down almost half a percent. straight ahead it's his first day of ceo and he's talking to us first. brd-new head of philip morris joins us next to lay out his plans for the company. "closing bell" will be right back sales are down from last quarter but we are hoping things will pick up by q3. yeah...uh...

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philip morris international holding its annual shareholder meeting today. the company apointing a chief operating officer to ceo he joins us now for a first on cnbc interview welcome. thank you for joining us on your first day. >> thank you for having me very excited to be here. >> you are joining this company at a moment of transition where the goal has been to transition away from being a cigarette company to smokeless future.

is that still your mission statement? if so, how quickly can you get there? >> absolutely. you know, five years ago, or six years ago, when we first laid down our strategy that we want to replace the cigarettes with the scientifically pochb substantiated alternatives, non-smokeable products, it was unbelievable by ambition is that by 2025, 50% of our net sales will be coming from non-combustible product in addition, i believe it is time for philip morris to start the capabilities that were fill filled while developing this better alternative to smoking. we also made a set of objectives that by 2025 we should be able to generate first billion dollars from non-nicotine non-tobacco products while

leveraging our capabilities in the science, scientific assessments, clinical assessment and -- deliver i hope one day is coming very soon when i will have to remind people that philip morris used to set cigarettes. that's my ambition. >> when you reach that point, 2025, and everything is smoke-free, do you think society will then view your company still as one that sells a product that's bad for society or by then do you think it will be viewed positively, perhaps even come up in positive esg screens? >> i wish that many stakeholders will start recognizing that we are serious about transforming the company, esg is very important to us and we are making progress on many other aspects of esg we have to be honest ourselves biggest single -- single biggest impact this company has on this

society are cigarettes unless we start in a meaningful way addressing the problem of cigarettes, i don't think really we will be a sustainable business i believe every day we are demonstrating we are taking it very seriously i think setting an objective of 50% of revenue in the span of ten years -- i don't think you have seen that many transformations when one company is replacing an exit product, still profitable product but we think we make the right choice it is good for all the smokers, there are 1 billion smokers around the world who continue smoke asking they need a better alternative. i think we will deliver on the objective. i am glad that i am taking over the company at this moment >> what do you make of the administration's recent move to ban menthol cigarettes i know you don't sell cigarettes in the united states but do you expect more tough regulation coming from the biden

administration is there anything that could impact you >> i think the fda many years ago laid down almost perfect strategy of how to solve the problem of smoking almost the very well coordinated strategy between recognizing on one hand what more can be done in order to discourage use of a combustible product. but on the other hand recognizing the potential of the innovations and the new products which the fda has the right to review, et cetera. i believe if we stay on the two prong strategy, on the way way federal leg regulating the cigarettes and making everything available that smokers today have available altti alternativ. scientific substantiated alternatives everybody accounts for that we are going in the right

direction. menthol is in the combustible products what do we do to incentivize consumers to give up smoking and switch to the better alternative? i am all in and support the regulations which once and forever will solve the problem of smoking i don't think we ever had such a opportunity so close in front of us you have technology, science, product, consumer acceptance, if you put all of these thing together i hope, as i said, despite the fact that i am almost a veteran of the tobacco industry i think we can end the problem of the combustible cigarette once and forever. >> thank you for joining us. the honest company has its first day of trade a late day vaccine stock selloff. those trades and many more when we take you inside the "rkmaet zone" next the s&p 500 up only .5%.

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[ding] don't get mad. get e*trade and take charge of your finances today. >> announcer: the "market zone" is sponsored by etrade trade commission-free today with no account minimums. 12 minutes to go in the trading day, we are now in the "closing bell" "market zone." commercial-free coverage of all the action going into the close. cnbc senior markets commentator, mike santoli, is here to break down these crucial moments of the trading day. today we have josh brown with us good afternoon, josh let's check the bodder markets stocks off the highs of the day. we spoke with fed vice chair richard clarida earlier today. >> we are still a long way away from our goals in our new framework we want to see actual progress not just forecast progress. as we move through the year we

will get more data we will get an employment report on friday. and as we go through the year and assess that data we will be able to make a judgment about substantial progress but we are certainly not there yet. >> mike, clearly, the fed not thinking about tapering as yet it is not really the factor of course driving markets we have had quite a big intraday slippage nasdaq is in the red, s&p up only .2% a little bit of concern giving up the gains and the bounce we saw yesterday. >> right really kind of wearing down, i think, people who wanted to kind of buy the growth group, thinking that maybe they have been discounted enough also just in general we have been kind of sideways for three weeks now. the underlying kind of leadership profile of the market is still encouraging it is still pretty cyclical. it is still telling you a decent story macrowise. but it is been going on seven or eight months it is not a secret

it is not that people are underexposed in these areas. what is interesting, the market with steep declines in utilities, real estate, and staples is acting as if yields are going up i mean it's acting as if the bond market must be pushing in that direction and they are kind of doing nothing which is fine. it is just a noisy environment as people are fully invested and we deal with the idea that we are past the peak moment of acceleration for this phase. >> josh, where does that leave us this earnings season has been spectacular. 87% of the companies that reported have beaten expectations even misses are record numbers we have never seen before. is it all priced in? is that why we are seeing muted action >> it is hard to say that it is priced in maybe by wall street but maybe it was priced in by the end investor so maybe the analysts, their numbers were not high enough but over on the buy side people's internal numbers were high enough. look at gm, a stock which i am

long having a nice day today but really rallying back to what it lost the last couple of days on no news. this is a company that put up 225 on eps versus 104. i don't know how you price in an earnings beat of more than 100%. if that's the story for why gm is not the is 60s yet, i guess it is plausible i think bigger pictures there is a dawning realization among financial professionals and investment professionals that the federal reserve regardless of what they say had he they speak with the public, the federal reserve is inappropriately still buying $40 billion worth of mortgage bonds every month and $80 billion worth of treasuries. there is absolutely no justification whatsoever for that kind of behavior. the better the numbers get on everything from employment to industrial production to housing, the more ridiculous it is going to look so these 2023 taper calls, i

would relax with that. i would say they are going to start hinting at tapering this summer and they are going to have to start tapering before this year is over. it makes absolutely no sense why anyone's expectations would be that this fed will continue to spend $120 billion every month buying the areas that are the most overheated. is there any slack in demand for treasury bonds no, of course not, sara. wilf, have any reason for us to think this housing markets needs to continue to be stimulated when we had more existing homes sold until the year 2020 than any prior year outside of 2006, which was the pinnacle of the last housing bubble? everybody knows this everybody is starting to price it in. if you ask me what's up with the lackluster responses to great earnings, i think it is because people know the taper is coming sooner than what the fed is saying. >> sure. >> you didn't answer your

question to me as to whether we need to keep stimulating the housing market >> probably not. >> well -- well, let's phrase it -- let's phrase it this way any gains that the millennial generation -- i am not doing this to do old versus young. but who buying houses right now? any gains that people between 30 and 45 years old are benefiting from as a result of ultralow borrowing costs i promise you they are losing that and then some on the price of a home. national home prices should not be up 12% plus over one year if the fed is going to keep buying more and more mortgage bonds to drive prices up even further because now people are borrowing more than ever, more than they frankly need to. the home building industry is not responding quickly enough. and you know why because it costs to much lumber prices labor.

>> they are trying to ease financial conditions and bring 8 million people back from work. >> but that is not -- lower and lower and lower and lower mortgage price is not going to bring waiters back to their jobs in tourist destinations. you know it, i know it everybody at the fed knows it. and everyone on wall street knows it so it is getting for and more absurd i am not saying it can't continue for a while but the areas they are stimulating are not the areas that actually need the stimulation. and the jig is almost up maybe that's why we have companies beating by 100% and not going higher just my guess you. >> mentioned gm. shares are getting a pop after reporting much stronger than expected q 1 profits phil lebeau will hit it for us he has more from his interview with mary barra. >> the company blue away first quarter earnings estimates earning 225 a share. the street was expecting them to

earn just over $1 a share. thanks to strong sales not only for pickups and suvs, but great margins up 13.6% gm hasn't seen margins like that for a long time. it is the guidance people are focused on not only did they reaffirm the make between 10 and $11 million. they are guiding towards the high end, close to 11 lds, if not above that q 2 will be the worst of the chip impact. not saying how much production will be lost production will improve into the third quarter and the fourth quarter. mayor 'barra says they are going to be working hard to make up the lost production from the first half of this year. >> we are going to make up as much as we can i can't say that we will make all of it up, especially when you look at how strong demand is right now, especially in the united states. you know, that's a huge opportunity. so we are going to build every vehicle we can whether we can make up every single vehicle will depend on the whole chip supply.

>> not only shares of gm moving higher, the parent of jeep, peugeot, revenues up 14% despite the chip impact. they did not release their quarterly earnings we will get them on the half-year mark at the end of next quarter back to you in phil lebeau, thanks look at the chart of gm going back ten years nothing, nothing, nothing, then boom, and responding to the better numbers today. >> absolutely statistically cheap for that entire span it's still, even after this run, because earnings are up so much, it is still a cheap stock. i think you now contend about is it as good as it gets and how do you value that on a look ahead basis. another aspect we have to be on alert for. the production cuts, gm, ford, because of the semishortage i wonder if that's going to be filtered into the economist forecasts because they punched

bay above their weight >> quid vaccine stocks selling off after the white house expressed support for waiving patents for the intellectual manufacture? reheard from the u.s. trade represent who wrote the administration believes belongly in selectual property protection but in service of ending the pandemic supports the waiver of those protections for covid-19 vaccines so you are now seeing quite a reaction from stocks like moderna. novavax, which is not yet on the market here in the u.s united stateser to a lesser extent and its partner biontech, seeing those drop precipitously it is a complex issue, but the industry has been warning that this will not solve the problem. in the longer term sense, it could deter companies from working on solutions like this during the next pandemic you know, brent sonders, the ceo

of aller began taking to twitter to say who will make the vaccine the next time? that's similar to what we heard from the pfizer ceo yesterday who argued that the bottleneck is the raw materials and that it will take time for other industries to make these vaccines obviously not a fan this news. but public health folks cheering the news today. >> is this not different, though n the fact that you do have some of the companies who did make the vaccine this time around and haven't made a profit from it? so there is the good will that existed in a massive crisis like this for some big pharma companies to still take the action to make the vaccine. >> yeah. absolutely i mean, you could also argue, wilf, even the ones that did do it on a for-profit basis pfizer is going to make $26 billion this year whether or not the patents are waived on the

contracts they have already instruct >> it wasn't taken lightly i can tell you that this is the decision were the u.s. trade repres representative she had two dozen meetings with stakeholders, trading partners, met with bill gates, with dr. fauci, vaccine manufacturers, unions, advocates. clearly, this was not taken lightly as it is a big decision and it is impacting some of the stocks. as we head to the close. one minute left in the trading session. the dow up 98 points of course holding on to gains but the session high was up 200. biggest contributors to the gains. goldman sachs, chef ron. boeing is the biggest drag, so is disney. look at the s&p 500, off the highs of the session still strength in the cyclical groups energies on top again. materials, financials, and health care green. what's red, real estate, utilities, consumer kregs father

amazon is lower. weighing on the nasdaq as well microsoft, facebook all lower, peloton getting slammed after recalling its tread mills. there is some strength in technology apple and google are higher. a split picture there. some of the chip stocks are higher as well there goes to mill nasdaq pulls back .4%. small caps pull back .3% the streak we have seen for the nasdaq, underperforming. >> enough for a record closing high for the dow remarkable split performance in that regard. welcome to the "closing bell," everyone i'm wilfred frost along with sara eisen, and mike santoli, cnbc senior markets commentator. the dow closing 20 points or 30 points or so above its recent record up .3% the nasdaq just below the flat line s&p down .4% and the sector performance in the s&p speaks as well to the difference in the performance of the headline indices energy, finance and materials

the best performing. utilities, real estate, consumer discretionary at the bottom of the pile results from uber, paypal, booking holding, et ceteray, zynga all about to be released we will have analysis when the numbers cross. josh brown still with us and -- joins the conversation mike santoli first to you. intraday action not encouraging. utilities and real estate are at the bottom not just the tech names. but clearly tech giving up gains. >> it has been a little bit of slipping into gears in this rotation we have been seeing going on for a while we talk about it being cyclical, but the pure traditionally defined so to speak reopening plays are not really what's in demand airlines have been weak for a few weeks. same thing for things like hotels so it is much more about global

reflation, consumer spending boom that stuff is till holding up. the evident are of the market has the blahs. it is a collision of relatively fully invested investors as a group with passing by the catalyst of a very strong earnings because maybe the real good news seems to be priced in and we maybe are seeing a lint of the peak of improvement in the overall macro data. >> there is this fierce debate about inflation. we saw a lot of action in the bond market today with some of the inflation break evens hitting multiyear highs. dl dl delano, how do you transition? >> you were talking about earnings and how that didn't hold up, we didn't have a rebound. we got a selloff yesterday thinking about it from an investing standpoint we have themes pushing against bullish trends the inflation fears, tax

implications may have played a part in may. but for investors one of the things you want to do here is go back and rebalance a lot of the new money and going back to defensive plays, health care etfs, broader industrials this is an area where investors can rebalance and make their new money be put to work. >> tech names that popped on the earnings down significantly the day after the close. continuing a theme we saw last week, facebook and amazon also in the camp as well. >> i would say lyft -- we will hear from uber later that's kinds of its own story. yes, they are high growth although not recently -- high growth they are considered high multiple tech names. yes, they do sort of get caught up in that story from time to time but the lyft/uber thing is way more about political developments >> are you a buyer of these

stocks, dl knowelano? >> i am long uber. >> sorry that was for delano, but i want to hear from both of you. >> delano, go ahead, my friend. >> thank you i am a buyer of uber although i missed some of their rally head winds during the pandemic driving bookings were down the reopening play is going to be a beneficiary looking a the numbers, uber has the advantage in the sense they can grow into a super app. we saw the acquisition of grow pub. i am out but i think there is an upside for investors who want to play the long term game. >> josh in. >> i like uber because they have got both legs of the business rather than just one and to illustrate what that looks like in reality, uber's gross bookings across the whole business should be 18 billion this quarter the first quarter of 2020, it was closer to 15 billion

now, when you dig into that you see delivery gross bookings will be 10.7 billion. that's verse 3 billion in the first quarter of 2020. so the deliveries business tripled. and really, i would argue saved the share price and saved the company. i like that uber has both. i was never really bullish on food delivery until the pandemic now i don't think this will be the same company without it. lyft does not have that business i prefer uber to lyft. i think ultimately this is going to be a much higher share price. >> uber up 3% now as the numbers cross. we will have them in just a moment while we wait for them, mike santoli, energy great week in fact, i have got some numbers, we are going to get to them cema has booking holding first. >> a smaller than expected lost for the first quarter. revenue roughly in line with expectations at $1.14 billion. a quote here from the ceo glenn fogle about future demand. he says we saw encouraging signs

of improving booking trends in the first quarter. that continued into april with notable strength in the u.s. while we expect there will be continued volatility in the recovery of global travel demand guys out of all the online travel booking has the most international exposure the delay in europe's recovery has been a pain point. shares are higher around half a percent. the conference call sports at 4:30 p.m. eastern. of course high interest on not just the outlook for europe but also vacation rentals as it looks to compete with vrbo and airbnb. >> don't miss the interview with bookings kroechlts glenn fogle he will on "squawk box" tomorrow morning. uber earnings are out. it is a beat a lower loss than expected deirdre. >> on the bottom line. but the top line requires a little bit of an explanation

it was a miss. revenue of 2.9 versus 3.3. the company was hit by $600 million charge to drivers in the uk relating to classification. that reclassification, excuse me gross bookings may the tell the story of rory better reached an all-time high of $19.5 billion, up 24% year over year that is better than expected like lyft, uber is making progress on narrowing losses a net loss of just -- i say just compared to previous quarters $108 million it was help by $1.6 billion gain from the divestture of atg, that's its autonomous driving unit adjusted ebitda loss of $359 million. like lyft, also getting closer to that adjusted ebitda break even uber says it should reach that by the end of the year i want to break out delivery versus rides you were just talking about this delivery bookings grew at a quicker pace in the first quarter year over year versus the previous quarter q 4 even as

the economy reopened practices addressing some of the worries that it would slow down. ride bookings were down 38% year over year. an improvement but not a full recovery there some numbers, too, around the driver shortage and the release. active drivers uber says at 3.5 million. that's up 4% quarter over quarter. but still down 22% year over year guys, highlighting some of the challenges with that shortage. but perhaps a small improvement as they spent quite a bit of money get drivers back onto the platform. >> thanks for that don't miss the first on cnbc interview with uber's ceo tomorrow on "squawk box. it is now up .6% jumping around a little bit but in the green take on those numbers for us josh >> much better than expected on gross bookings that didn't necessarily translate into better than expected revenue i can understand the muted reaction after hours but i do think that uber is a

reopening stock. and i think it is really interesting that even as the economy started to reopen we still saw strong revenues out of food delivery, which tells you that food delivery is not gob to be an artifact of the pandemic year and then everybody all of a sudden gets unlazy we are going to stay lazy. i think that's going to be a good business going forward. they get the rides back. they keep a lot of the new customers they brought on, new adoption for uber eats, and it is twice as good of a business as it was prepandemic once we are all vaccinated i am sticking with this name i think they have to fight through the political head winds. more important than anything else and fight for what happened in california to become a national model for how they deal with their drivers. >> zynga's earnings are also crossing josh lipton has them for us. >> wilf, zynga reporting q 1 results here, a loss of two cents. that is not comparable to what the street was looking for

adjusts revenues coming in at $720 million the street was closer to $686 million. that's a beat. daily active users also beat, coming in at 38 million. analysts modelled closer to 36 q 2 guidance a beat for the year $2.9 billion in adjusts revenues versus adjusted 2.48 they are buying chart boost a mobile advertising and moneyatization platform for $250 million in cash. that's going close in q 3. heading into report the stock was down about 20% from its moet recent 52-week high. back to you. >> mike, wanted to turn to uber for a second that's the big one it is up about 1% after hours. better gross bookings. just wondering what the stock is reflecting when it comes to the recovery and mobility that we are clearly seeing balanced with the fact that it is going to be

tough comps on delivery and there is some regulation risk here. >> for sure. it obviously had a good ride based on just the pure enthusiasm for the reopening on the way. so you had, you know, this huge step function higher in the stock once you got vaccine announcements. since then i think it has been churning around as the story really change as lot if you go back to when this company became public it was a mobility company and within sight was going to be all autonomous, taxi fleet, that's what it was going to be about. drivers were a transitional thing. now everybody who likes uber says, no, no, it is the amazon prime this minute, and they are rolling up all of the delivery services and it is whatever you want and we are selling the autonomous business. it is a narrative that's very much in flux it is showing a lot of the trends going on in the economy it has been a little bit of a choppy ride because it traded at $50 not long after the ipo and here we are at 52. >> -- earnings also out,

courtney reagan with the results. >> looks like we have a beat for etsy on the top and bottom line reporting $1 per share the street was looking for 88 cents of revenues $551 million that's above the $530 million analysts were expecting here they are giving us a second quarter revenue guidance that is the current quarter. it is above consensus. also guiding gross merchandise sales to grow between 5 and 15%, again, just in the current quarter basically saying there is so much uncertainty, it is hard to give guidance beyond that the company says consolidated gross merchandise sales, gms, was $3.1 billion that's up 132% year over year, but about in line about what the street was expecting there they do say the etsy marketplace acquired billion 16.3 million new or reactivated buyers. you can see the stock is sharply lower, i should say in

afterhours, down by nearly 6.5%. we will see what they say on the call interestingly, the word mask did not come up once in the press release. before that had been a very big product sell on the marketplace earlier this year. >> now i think it is mother's day gifts which are apparently doing well on etsy courtney thank you wilfred another example of a company with blowout results here hard to find anything wrong and their forecast is for their gms, a good measure of sales to rise 5 to 15% they are lapping the lockdown quarter. that represents growth even if you go back to 2019 versus 2021. some good color in these etsy results. it was good time to be a seller and to be a buyer. 1% of the sellers identify as women. 92% are sole owners. 97% operated their business from their homes. and 44% of the sellers started their business in the past year because of covid-19. >> yet shares down 7%. >> it has been a huge winner a lot factored in there.

josh brown, delano sapporo thank you for joining us this hour we appreciate it. up next, more reaction to uber results as we count down to the company's conference call which begins in a few minutes. hilton shares under pressure after the hotel operator missed wall street's earnings estimates. coming up, the company's ceo on those results and when he expes siss tvectbuneral to recover. that is a wild wild card we are back in just 90 seconds

by .7% or so after a fairly negative session they reported earnings just a moment ago joining us dan ives and danny mugarelli. >> it is clear-cut i think this is, to me, this is one of our main recovery gamesing into the second half of the year the regulatory is definitely a risk if i look at these, checked every box for the bulls, and a clear step in the right direction. >> ali >> i actually agree. i think a few things that got my attention, one is that the -- just how effectively the take rate on the delivery side has actually improved. the adjusted ebitda losses also on the delivery side also have improved even with decline on the

mobility side the take rate hasn't declined that much. all of those are positive. we still consider it as a recovery play. we have got a $67 valuation on this the upside remains attractive. >> dan talk to us about your price target and preference between uber and lyft. >> price target is $76 what i love about uber is you have the delivery as well as the ride share, and playing the global play -- if you look at the regulatory, it is more of a domestic risk. little lyft, given the choice, love uber here i think darren and the team are firing on all cylinders in terms of everything they said they would do, the recovere radio, ride sharing, and cutting costs red ink in the rearview mirror. >> dan and ali thank you for joining us. >> ubers earnings call kicks off in just a few minutes. we will talk with bradley tusk an early investor in the company

about what he wants to hear from executives as well as his outlook more broadly for tech given a bit of a selloff in that area of the market. we will also talk with the ceo of hilton on travel and competition with companies like aish -- like airbnb.

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paypal's earnings are out. kate rooney has got the numbers for us >> wilf, paypal was a beat on the top and bottom line. also reporting its best quarter in company history and raising full year guidance revenue came in at $6.03 billion. that was up 31% year over year coming in better than expected non-gap eps, $1.22 that grew 84% year over year also a beat there. and guidance, guys, paypal is raising full-year guidance on wretch and earnings. q 2 guidance also coming in better than expected this was also a record quarter for new users, coming in at 14.5 net new actives, up 21%. paypal's total user base is now just shy of 400 million. finally, total payments volume, that was $285 billion. venmo, the payments app made up about $51 billion of this.

paypal has been a beneficiary of people moving to digital 35i789s during the pandemic. we didn't get any numbers on cryptocurrencies paypal is offering that now through a partner. we will look for color and commentary on crypto and bitcoin trading on the earn earnings call coming up at 5:p.m. eastern. stock is up after hours. >> just what everythingone is wondering. hilton saw bookings improve in march and april as people are starting to feel more confident about traveling again. joining us now for a "closing bell" exclusive is hilton's ceo. good to see you. >> good to see you, sara how are you doing? >> okay. i thought the headline from your call was that you are seeing record travel leisure bookings

this summer. can you give us more color yeah we are yeah i think if you look at the first quarter it was a tale of two cities january and february were still quite challenges but in march we really did hit a point of inflection, and things started to improve materially. that has continued into april. we are early in may, but we see that trend continuing. on the call today, i was pretty on thei optimistic i would say this is as optimistic i have felt since the pandemic started in terms of where we are and what i see in forward-looking trends in the business at the moment, as you heard a lot about, it is being led by leisure. this summer we thinkly sure will be over the record leisure numbers we experienced in 2019, prepandemic. and business travel, while it is lagging is coming back it is probably about half the levels that we saw at the prior peak and group and events are

lagging, that but they are coming back. what we see is as offices and businesses are -- as businesses are starting to reopen offices, and an expectation of in the fall kids going back to school people start to travel for business again and they start to kang grate in meetings in fact, if you look at markets even in the u.s., and certainly china that's further along in recovery, where they are further along we already see business travel back to effectively 75% of the volume levels that we saw in '19 so i -- you know, we -- it has been a long year, a guess a little over a year for sure for all of us in this industry but i'm pretty -- pretty much of the mind that we are on a very firm road to recovery and that the second quarter will be, you know, far, far better than the first. and the second half of the year is going to be a step change in performance. and so, you know, our company,

hilton -- >> chris -- >> yeah? >> sorry to cut you off. i wanted to touch on the business point that you made it is optimistic it is interesting to hear that you are 75% back in china. there are questions whether that ever fully comes back, right because companies have had to operate now for so long without business travel without even being in the office. >> yeah, yeah. >> so those costs for them are being. they may not bring them all back have you adjusted your strategy factor that in >> i don't think that's -- here's the thing, most businesses -- not all businesses have done well in the pandemic most of them have been challenged in the pandemic as a result they have cut costs, including travel costs it will take time to work through that the anecdotal -- i talked to customers and friends in the business and the like. there is a huge amount to get out and travel for business and get out for group meetings and events just because it has been so long since they have done it

and they can't accomplish their objectives from a culture innovation collaboration point of view doing it virtually forever. and they are really straining under this environment if you talk to people. so it will take time it will take time, because, you know, economically, you know, most businesses have been damaged. and they are going to have to build back their travel budgets. the evidence of that -- you know, that i talked about on the call today -- that's anecdotal, and i think a lot of it is anecdotal information. but the evidence like what we see in china, if you take the markets in the u.s. that are a quarter, a quarter and a half ahead in recovery and opening up, and you look at where business travel is, again, broadly we are at 50%. and those markets we are already at 75% in terms of room night volume listen, time will tell there is clearly some types of business travel that aren't going to curb. but history, if you go way back over time and look at all of the

technology revolution that's been going on, every time it has connected the world more, sped the world up and while certain trip occasions are replaced, others come in that are higher value trip occasions for business travel. hey, time will tell. we any the evidence is there we think both over a long span of time, and the evidence is there in the early days of when we are seeing in recovery. >> chris, update us in the u.s. where you are on wearing a mask outside of hotel rooms themselves of course in public areas in your hotels and vaccines, whether you would ideally like to see guests and staff be vaccinated or not. >> on masks we have a mask mandate throughout our system. we have had that in place for, you know, the better part of a year or more, since early in the pandemic at some point, as countries get further along, my suspicion is we will follow local laws.

but for the moment given we are still working our way through this crisis we think a mask mandate is important and we are maintaining that in terms of vaccination -- i have been vaccinated my whole family has been vaccinated at this point i think it is a very, very good idea and we are very strongly encouraging all of our team members have been communicating, as i have been getting vaccinated and otherwise with our team members to strongly encourage it it is not something that we are requiring at the moment and i doubt we will. but we are going to push our teams really hard to encourage them to get that done just because i think it is the responsible thing to for all of us, whether it is our business or society generally, to make sure that we stop the progression of this virus. >> chris nassetta, good to talk to you stock down 4% but trading near all-time highs optimism there.

coming up, the ceo of denny's joins us to talk about the recovery and how rises food prizes and labor short ans are impacting his business right now. >> the first day of trading for the honest company 43.7% higher on its opening day. we'll be right back. across multiple asset classes, actively managing investments in the world's public and private markets. outscale, with the resources to serve 1,500 clients in 52 countries. and outlast, with long-term conviction that looks beyond today's volatility. join the pursuit of outperformance at pgim. the investment management business of prudential.

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>> yes sara, this is the first booster data we are seeing in humans of a booster shot of a covid-19 vaccine from moderna looking at giving a third dose, this one is a half dose, six to eight months after getting the first, two-shot series what we are finding is that the boosters do increase the neutralizing antibody levels to levels that they would want to see. interestingly they are testing both booster of the original vaccine and one targeted to the b 1351 variant associated with south africa they find when they use that one they do get higher neutralizing antibody levels against that south african strain than they do with the original booster guys, also interesting to look at here is the reacto genicity or the feeling crummy that you see after the third shot they say it is similar to what they saw after the second dose we know that was kind of severe

in terms of muscle aches fatigue and headache looking good for the boosters in terms of how well they boost the antibodies >> the feeling crummy is a phrase i like and will continue to use thanks, meg. time for a nbc news update shepard smith has it for us. >> reactive genicity writing that down. here's what is happening at this hour the cdc laying out the next steps for getting cruise ships back into operation. cruiseship operators have met all the requirements that we need to mock voyages with limited numbers of passengers. volunteers going to sea for up to seven days or cruisin lines can skip the step if they commit to trips where more than 95% of passengers and 98% of all the crew are vaccinated. a texas, a semicut in half after being hit by a train the big rig was covered with

bottled water. the track had no crossing arm to warn drivers no injuries were reported. in colorado new developments in the case of susan mofeau, the woman who went missing about a year ago, mother's day today her husband barry was arrest asked charges with multiple counts including ones against her. police haven't said what the connection is to the woman's disappearance but will have all the details tonight when the news airs at 7:00 eastern on cnbc. coming up, bradley tusk, an early investor in uber will weigh in on what he wants to hear from their call. shares of rocket falling sharply after they missed wall street revenue expectations and

issued weak guidance down 7.6%. we are back in a few minutes (vo) while you may not be running an architectural firm, tending hives of honeybees, and mentoring a teenager — your life is just as unique. your raymond james financial advisor gets to know you, your passions, and the way you help others. so you can live your life. that's life well planned.

shares of denny's finishing lower today following earnings last night the company missed on eps but beat on revenue. declining to give full year

guidance due to uncertainty around the pandemic. the stock is up more than 200% since the lows last march. joining us john miller, denny's ceo. thank you for joining us >> thank you for having me today. appreciate being on. >> we mentioned just there, declining to give guidance but in the short-term are you seeing things picking up significantly as reopening increases. >> yes, things are dramatically improving but because it is early in the improvement we are just -- it is a little early to guide for the balance of the year but you will remember that a quarter of our portfolio is in california and out west, where there have been more restrictions the lifts have been slow in coming to keep the public safe in the process of getting there, we are just now opening up dining rooms across the country. i ammist pleased to say as of the ends of april, 99% of our brand has some in-dining room capacity at the moment by all means, things are

improving dramatically day-by-day. >> top line sounds like it will continue to improve as you say what about costs whether on the labor side or food price inflation side? >> food inflation typically runs in the 1% to 3% range. wage inflation is going to be a little bit more of a head wind for the industry with a very, very tight labor market. it is a high class problem for america. we like to see wages go up middleamerica being rebuilt as we speak we like to think we are one of those places that is proud to contribute to that with a lot of living wage positions throughout our food servers and cooks throughout our ranks that said, we have a lot of training to do to get back to full capacity. we only have a third of our brand now open 24 hours. we are typically 24 hours across the country. so as we train and staff during

daytime positions to sort of staff the late night there are costs associated with that, and a higher starting wage than what we have had historically. >> i was going to ask you about overnight shifts because there was a report that franchisees of 7-elevens were asking theest companies not to require them to stay open 24 hours because they couldn't find people to work that shift is that what you are dealing with >> we all have to be in this together our franchisees run 96% of our system we have to face that current reality. we think it is a temporary setback. we are working with our franchise community and third party vendors via additional brandsing and advertising the attract top quality talent across the united states in june we expect to have a national hiring day. we are seeking to hire 20,000 additional employees from where we are today we do think that by the middle summer to late summer it will start to improve and by the end

of the year it will be fully mitigated. for now we are not requiring our franchisees to move faster than their ability to staff properly. >> are you requiring people get vaccinated or test what are you seeing as people come back indoors for dining around those safety concerns >> we see there is a mixed bag there is people that are not concerned at all, never really were there is always going to be that crowd. on the other hand there are people would are very concerned. caregivers looking after their family, kids or older folks in the household. they are more concerned and reluktdant about going out to eat. we are building our whole brand reputation around four pillars one of those is reassurance that our cleanliness protocols are in place and our staff is wearing masks and we have gone to lengths to protect our dining public and staff and vendors behind that the value message.

we are less focused on the absolute price value right now and more focused on making sure people get the quality and experience and convenience they are looking for. so value and then comfort the home away from home feel the welcome when you come into your local diners. and convenience. april we came within 2% of 2019. for the quarter it was down 20 dramatically improving as each week goes by our denny's on demand and the convenience through our virtual relationship with our consumers have stayed sticky and those sales continue to be really high, and they doubled during the pandemic despite of indining room dining opening up. >> john miller thank you for joining us with a status check there. it has been another busy afternoon for earnings shares of paypal popping 5%. etsy stock is dropping even though it will had a better

report we will dig into the moves when "closing bell" comes back.

checking on today's after hours movers uber is currently down by .4%. paypal popping after an earnings beat and strong guidance up 6% or so. etsy and fastly both down sharply in hafr hours trade. 8% and 14% respectively.

still to come. we will discuss the -- bradley tusk will discuss ubers earnings and very much more wealth is breaking ground on your biggest project yet. worth is giving the people who build it a solid foundation. wealth is shutting down the office for mike's retirement party. worth is giving the employee who spent half his life with you, the party of a lifetime. wealth is watching your business grow. worth is watching your employees grow with it. principal. for all it's worth. hey, dad! hey, son! no dad, it's a video call. you got to move the phone in front of you like..like it's a mirror, dad. you know? alright, okay. how's that? is that how you hold a mirror? [ding] power e*trade gives you an award-winning mobile app with powerful, easy-to-use tools

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shares of uber have turned around and are now lower after hours down 1.66% after reporting just a few moments ago let's bring in bradley tusk. he was an early investor, no longer is in the name. obviously, the food business is on fire here with uber eats. looks like bookings came in better for ride sharing as well, but revenue fell because of this adjustment they had to make because of a uk dispute over driver reclassification which is sharp reminder that this is an issue. >> in order for d.c. to go ahead and reclassify workers, congress has to pass a law and the president has to sign it i think with a four seat majority in the house and zero seat majority in the senate.

it is hard to see that going through. but it has been an issue different states moved forward california did it until the voters overturned and rejected it other states are looking at it it is still a live issue but rather issue than federal and global issue that most investors need to be aware of. >> how do you think it enters into the debate around uber stock and profitability it came much closer to. >> i think we're not going to see reclassification of drivers as full-time employees any time soon. if you are looking at the stock unless at a long-term basis, i think you shouldn't worry much about the impact of that so if you like where ride-sharing is headed and overall what uber is doing around uber eats and everything then it's probably a good investment. >> seeing uber trading lower

after hours, interesting that's been the theme of this earning season for big-cap tech stocks, blow out reports, a week on or day on they're all trading low what do you make of that >> yeah i think partly it's a variation of the same problem that we faced when we work or uber tried going public in the first place, which is, the private markets of which venture capitalist i'm involved in too are often steady valuations of private companies and numbers that are just way too high and by the time these companies go public there's not that much more room for growth in the share price and also, you know, when a tech start up goes public after couple years it still has that magic and hope and excitement around it, if you are have been private for ten years and finally go public all of the pixie dust is gone and a lot of the comp that normally come with ipo is not there. >> stay with us if you would, we have more on uber from deidre

bosa. >> i've been listening to the call and shares turn negative after guidance on q2 and the rest of the year says the mobility take rate is expected to decline due to more driver incentives uber already earmarked 250 million in driver stimulus he said the delivery gross bookings year-over-year comparisons will become tougher as we continue to face significant forecasting uncertainty, the delivery side of the business, that some investors have been worried about. tougher comps. people going out more. did see that effect in the first quarter. but the company saying watch out for it, we could see it in the rest of the year, certainly different from what we seen from lyft yesterday didn't talk about spending a ton more on driver incentive to get that supply back up. >> interesting, thank you. uber down 4% after-hours that's the theme of earnings, figuring

out the tough cops, who will have to face the music when it comes to the pandemic benefit that they've seen especially in your world of tech, how are you thinking of the winners and losers where you're investing privately and publicly. >> right it's a great question. the way we look at it is where did behavior change in ways where that change is now locked in take the mental health space investors in a company alma their business boomed since covid, not shocking people are getting their mental health services on the phone, online, some way, i don't think people are going back, i think most people think they get what they need with a phone call or online visit and to take the time to go there and everything else that goes away. on the other hand, food delivery, some of that seems like it will have to go down because you replaced all of the people eating in restaurants with people ordering in. you know, is some of that will filter back to the other side.

it's really where the behavioral change is and makes sense for people to keep acting this way business travel, there are certainly things i got on the plane for in the past i would not get on a plane for now couldn't do it during covid and now i'm vaccinated and even could, you know, zoom works pretty well in most cases. so it's really the belief you have and whether the norms have shifted permanently or temporary because of the pandemic. >> want to end with a crypto question with early investor in coinbase what is your take on dogecoin is it good or bad thing for the crypto space >> it's a good question. i think overall it's a good thing that it drives more and more interest into the space it itself i think fundamentally we'll have to resolve the question is crypto an asset class or currency if it is an asset class it could be understood and

regulated one way, a currency is something entirely different coinbase has validated that crypto is here to stay and is a real thing would love to see leadership out of treasury secretary janet yellen to better define what all this is. >> dogecoin had a better run then coinbase lately, i know you know, as an investor thank you for joining us up next wall street look ahead, moowvep emic winners gearing u torr erything you need to be watching when "closing bell" comes right back skirt... and sh) the world is going h so, why not your cloud? a hybrid cloud with ibm helps bring all your clouds together. that means you can access all your data, modernize without rebuilding, and help keep things both open and secure. that's why businesses from retail to banking are going hybrid with the technology and expertise of ibm.

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wall street look a heads, getting numbers from moderna, roku, shake shack, and more and don't miss verizon ceo ha n s vestberg fresh off that day and friday an exclusive with ark invest founder and ceo cathie wood super interesting after nasdaq dip and there's been tough day, she's seen big losses for the fund. not sure she's seeing much in terms of withdrawal. >> there has been some,

certainly nothing compared to the inflows of the first part of this year, january and february. but yeah, the fund is taking on plenty of water. it's that category of stocks mostly valued based on revenue growth and early in trajectories and very high concept. it's not about profits. if you look at peloton and teledoc, zoom, these stocks are down 40 to 50% off their highs but still up 150 to 200% from year and half ago so they're not value, they're not momentum they're in a growth purgatory. >> energy and other cyclicals propping up the broader indices but if it continues i guess those bigger cap tech stocks will drag down the index if it does. >> right it does. we don't know how much migration out of big league is lef out of big cap tech is left to go banks were firm until 2:30 today and then they gave way

it is spotty in terms of pockets of supply and demand with people fully invested, a little bit defensive in terms of seasonal effects. so far the trend is fine just looking a little choppy in this moment. >> a hearty final thoughts, mike, after being squeezed the last two days. >> at the ready. >> always has a nice spiel. >> "fast money" starts right now. >> i'm melissa lee, this is "fast money. tonight's trader lineup, karen finerman, tim seymour, dan nathan and naddour nad ian tonigh -- nadine tonight on fast, looking at uber and vaccine smack down, covid vaccine maker takes a big hit as white house supports waving patenet protections and later, peloton stock drops 14.5% today as the company recalls all its treadmills, peloton reports earnings tomorrow morning. we got your set up first we start with break out in