good morning bitcoin bouncing up 10% after another weekend selloff. the cryptocurrency dipped below $32,000. 3 1 and change. milestone in the space race. virgin galactic with the first flight in years. and lefty became the oldest golfer to win a major. it is monday, may 24th, 2021 "squawk box" begins right now. ♪ good morning welcome to "squawk box" here on cnbc i'm becky quick along with joe

kernen and andrew ross sorkin. we are coming off two weeks of losses for the s&p 500 and the dow. the nasdaq was up a little bit last week. this morning, you will see really strong green arrows dow futures indicated up by 150 points s&p futures up 21. nasdaq indicated up by 85. then if you look at what has been happening in the treasury markets. you see the 10-year at this point looks like it is yielding 1.68%. not budging much at all. that volatility in bitcoin did not take -- i'll repeat that the volatility in bitcoin did not take the weekend off plunging yesterday down 16% this was something to pay attention to yesterday morning fell under $32,000 this morning, it is bouncing back up 10% all the way back to above

$36,000. this is something to behold. declines and big moves that come yesterday morning, twihings were atwitter on twitter. ethereum was at $4,000 a few weeks ago. substantial moves. it was the lesser crypto that got pressure yesterday >> 16 or 17? ethereum it was way down there. dogecoin hanging in there. >> dogecoin back at 31 cents. >> 31 cents. ethereum was $100 in the last 12 months it seemed cheap at $2,700 down from $4,100. it is all relative. >> a lot of this came from what we heard on friday from china, but additional rumors that we will see that implemented.

the comments by the chinese regulators and how it was communicated down to the provinces and if, in fact, mining, genuinely does get outlawed in china. how does that effect this? i think that was yesterday's event to the extent it can be explained. it is hard to explain. you are looking for data points. if you spent time on someof th reddit boards or other places, it was quiet that felt like the underlining issue for this week. i don't know what we will hear this week. >> we will figure out what we will do. $10,000 transfers. we know about taxation gensler. is that a positive or negative that he is well versed i cannot figure out if it is good or bad. >> it is a positive. >> if it gets regulated -- regulation could arguably be a

good thing long term for the cryptocurrency. >> right it legitimizes it. you know the rules of the road at least >> right >> and maybe that's what we need meantime, a company that was a spac i don't know what gary thinks of this virgin galactic completing the first space light in two years on saturday. the spacecraft was carried up to the altitude of 40,000 feet and released from the carrier. it accelerated to four times the speed of sound it performed a back flip and returned to earth landing at the runway of space port america in new mexico the company has to meet two more faa milestones to receive a license for conducting regular

space flights. if it all happens, we could be on a trip to view space. shares surging the past few days after the company announced plans for the flight avoiding maintenance issues which threatened to delay the test you are looking at the stock up 26% in after hours trading we will see where things begin the day this morning joe. >> he is like buck rogers. i'll still pass for a while. no bungee jumping. no roller coasters definitely no back flips in micro space. >> micro gravity is what they call it. >> back flips. >> i don't know what i was saying i don't know what micro gravity is i don't know what micro gravity. maybe it is a specific place. >> tiny gravity. >> exactly

we just had the ceo on from ryanair. this is shockshocking the country's president sent a fighter jet to intercept one of the passenger planes it was traveling through belarus air space. ordered to land at the capital air traffic controllers told the pilots there was a potential bomb threat on board that was a rouse to force the plane to land. when it landed, the authorities in minsk seized and arrested a journalist the president's press service ordered the plane to make the u-turn and land. the journalist was living in lithuania in exile accused of disorder in belarus ryanair apologized to the passengers for events and what it said was outside its control.

talk about personal privacy and just the rule of law and things like that. we take it for granted can you imagine anything like that happening in a western nation >> this is something nato is focusing on and eu this is a big deal >> i'll say. i'll say in the meantime, gas prices are on the price back in the united states. according to the survey, the national average jumped 8 cents to $3.10 over the last two weeks. it is up more than $1 from a year ago that jump comes from the ten-day closure of the colonial pipeline along with that surge and corn prices by the way, this is the time of year you normally see gas prices spike with the driving season. that is with the drawdown of covid cases and people getting back outside here is the story of the

morning for some of us your husband sent me an email, becky. >> i was watching. >> i cried i admit it we love lefty. he used to be a friend of show i played with him for four days once he wasn't my partner, but was in my group great guy. i love him just like he seems stops for everyone along the way. made history won the pga championship at kiawah at the owecean course. i say the course one 6 under. you saw brooks koepka. phil is 50 the oldest to win a majim major his second pga championship. the other pga at baltusrol

phil, if you remember, at winged foot, had that tournament won, at winged foot he has not completed the grand slam the open, the u.s. open, the pga, the masters he won everything but. you know where it is this year he is from la jolla. he is from torrey pines. i guarantee you, winning the major is not easy. he has the old blade putter. i was thing about it over the weekend. it was hot on a hard course. no space flights so many bunkers and horrible places i found myself. that is as scary as i want my life to be >> the crowd was unbelievable. >> did you see them at the end weren't you thinking covid and

how great it is we're out? >> yes. >> that is what made people cry. you can finally get out and celebrate. phil looked like he got tackled at one point >> they looked like they took his club away from him >> i think he liked it he dug it. it's been a long time. it reminded me of years gone by where you saw the crowds following seve or things like that it was really cool really amazing. >> you see tiger tweet phil and phil tweet back? wished him congratulations phil stated he hopes he gets back on the road to recovery quickly or something along those lines. that was nice to see watching that, you wonder how tiger is feeling he has to be watching and wondering if he will ever make a comeback like that given the accident >> did you know seth standing

behind phil during the trophy presentation he is smart. he got out of the financial business and focusing on the pga. you know him, andrew >> i don't know if i do. >> you never met seth wa he used to be on the show once and a while. he is running deutsche bank. it's been five years and i need prevagen does that work prevagen >> i don't know. the jumble peopble keeps goi this. >> i don't need side effects. coming up, stocking s pointg to the gains and california set to lift covid restrictions on june 15th. we get an update from dr. scott gottlieb in the next hour.

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ask how to get a $500 prepaid card when you upgrade. call today. stocks posted the first back-to-back weekly losses since february joining us is valerie grant. greg branch. managing partner at veritas. reading through this and i think

both of you are at least aware of the "i" word. inflation. we are seeing more and more talk and signs of inflation greg, i miss interpret how concerned you are with things. you seem to think inflationary expectations are under apprec appreciated. are you concerned with it being transitory >> i am concerned. one of the primary legs of inflation has yet to kick in we look at the housing comp component. home prices and rents lag 12 to 15 months. we have yet to see that kick in enforce. the prospect we are not raising rates until 2023-2024 has been

s summarily dismissed. i think we will see rates raised next year. the challenge will be when does the market start to anticipate that and digest it and what are the opportunities we can take advantage of when that happens >> valerie, inflation in the past within range is not necessarily bad for stocks i think sometimes it can be good for stocks companies can raise prices we are at such low levels and we have been here so long that no one is talking about '70s hyper inflation. once you see any type of inflation, do you worry about the fed? we are still addicted to all of the cheap money. even if inflation only goes to 3% to 4% and stays there, that may not be bad it is bad because it takes the

fed out of the picture or brings the fed into the picture >> i think we definitely have to monitor the monetary policy as mentioned previously it is very difficult to predict how the fed will act i think, for me, the more important issue yois trying to unpack the parts of inflation which is transitory and public we are looking at other disruption which is leading to inflation. energy prices are rising as well i think those are transient. we will see aggregate supply increase to meet demand. one area where we will have inflation on an ongoing basis is in wages and labor costs what we saw is pre-covid, many companies were over earning by paying lower wages and benefits

to employees right now, what we are hearing from ceos and cfos is they are having to raise wages to incentivize people to get back to work. >> you are still finding value and growth areas, valerie? not either/or? >> i don't believe it is either/or. growth stocks and value stocks are working on different days of the week i think there is a lot of opportunity for companies focused on innovation and trading at high multiples. they will likely earn into the multiples. also the value stocks have been phenomenal in terms of the recovery as the economy has

reopened it is nice to keep exposure to both because at various points in time, both sectors are working quite well >> greg, will we have a summer of discontent? we're in the middle of some pullback duoldrums or con consolidation or have i got that wrong? >> we don't know yet we have to see what the may data looks like i agree with valerie with the multiples, but consensus is light in the back half of the sectors and many individual growth stories we can get performance in the back half driven by the upside revi revisions. in the near future, if we have a beat on this cpi that we just witnessed, now we are talking about 5.5% to 6% year over year

inflation. we have to start wondering and we have to start digesting if it will average out above 2.2% or the level the fed said they are comfortable with we will go through the fits over the summer >> greg branch, veritas. very good. veritas. you are the managing partner excellent. make sure i get all of the titles right people on the radio say whothe heck was that? valerie grant, senior portfolio manager. thank you. >> thank you for having me >> you're welcome. andrew. coming up when we return, a tough pre-trial ruling for elizabeth holmes details next ahead of the theranos' founder's trial. as we head to break, a look

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they do. they really do. mmhmm. workday. finance, hr, planning and spend management for a changing world. welcome back to "squawk box. a ruling in the case against theranos' founder elizabeth holmes holmes faces multiple counts of mail fraud for deceiving investors and patients and doctors about the blood testing technology she pleaded not guilty and faces

trial in august. the trial date was pushed back because she is due to give birth in july. a case a lot of folks in silicon valley are focused on. another event, skjoe, that s fantastic, that a lot of folks will be paying attention to in silicon valley and maybe bidding on >> about time we have the first nft. launching it today for two causes ten years ago, today, cnbc lost a friend when mark haines died he is remembered for a lot of things certainly for the haines bottom when he called the low on march 10th, 2009 >> i think we're at a bottom i really do. >> in honor of mark, we are auctioning off the nft of the famous call of 2009.

also selling a set amount of tokens for anyone who doesn't want to participate in the auction. it is online at mintable.app/cnbc. it goes live at 9:00 eastern and ends at 10:30 wednesday morning. all proceeds go to autism speaks, a favorite charity of mark and financial literacy. go to mintable.app/cnbc. we are purchasing carbon offsets to make sure we have no negative impact on the environment. becky. >> hold on i'm going to bid, joe. just to create a floor maybe i'll be the winner i think of this as a charitable donation to autism speaks which

is a wonderful foundation. and the council for economic literacy i was thinking a floor of $1,000 or $5,000. the question is, do you think i get out-bid at those prices? is this going to go for $100,000 >> $5,000. >> can i win with 5? that's what i'm trying to figure out. >> do you want to win or you want to make sure someone out-bids you >> that's good by the way, i'll be -- no, no. i'm in i'll make the donation either way. the donation will go to autism speaks and for financial lit literacy irrespective. >> when you said you put a floor on it, i hope you are not talking ground floor, sorkin

you should be at the 100th floor starter. sears tower. >> you have to put in 1$100,000 i have to buy ethereum to do this i have to work that out during commercial break do i have to buy ethereum first? >> you have to check it out on the app. >> i can use my credit card. it opens the market up more. >> it will work. what's that little security code >> what? >> what is that little code? that security code did you know it? >> don't tell him. on the back of the credit card >> why would i do that >> i don't know. i wondered just interested. >> i'm trying to give money to autism speaks and you are trying to give away my credit card. >> so, no, no.

if you said it quickly >> i'm glad we're doing this i can't believe it's been ten years. >> ten years shocking >> it is >> that puts -- mark i remember the first day of "squawk box" like yesterday. we had the big electric board that said "squawk box. another guy not with us. joe batataglia thank god we have kids the only reason to grow older. watch them grow up when we come back, getting workers back to the office we will talk about the challenges employers face from hybrid work models "squawk box" will be right back. >> announcer: executive edge is sponsored by at&t business

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good morning welcome back to "squawk box. look at futures. we will open higher.

140 points higher on the dow s&p up 20. we will show you cryptocurrency. it was mild over the weekend bitcoin dipped below $32,000 up right now at $36,000 which puts it on this screen up $9,000 a lot of folks with paper hands over the weekend and maybe some with diamond hands ethereum up 13%. again, if you look at the chart, on a relative basis, things have calmed down remarkably becky. thanks, andrew as offices reopen, employees may choose to continue working from home at least part of the time the hybrid work model may not offer the advantages for all workers. joining us now with more on this is tom gimbel. tom, this is the perfect day to have you here to talk about this

front page story on "the wall street journal" say bosses questioning people who work at home are questioning their hustle what is the answer to the question >> it is a long and complicated question the answer is really skills are always going to be the dominant measuring stick. if you are the best of the best, you will do what you want, so to speak. in a very low unemployment rate like now, employees will have more say however, if things get into a standard situation where unemployment is at a more traditional level and if companies stop making the profits they have been making, which has been huge, right after the pent-up demand from last year, if they get to normalcy, it is an empl employer-driven market and skills and value diminishes and companies say get your butts back in the office

this is the way it is. >> i feel like that is starting to play its way out. this summer may be a little different story. you hear most offices in new york and looking at labor day is the day when everybody is ready to come back to work. >> exactly the tuesday after labor day. when i talk to ceos and heads of hr every single day. at least 60% of the workweek will be in office for the majority of employees come tuesday after labor day. >> even if it is 60%, that is a big difference from two years ago. if you have 60% of your days in the office and 40% out, that's a bit of a big change. it will require some massive restructuring for offices the way you set up and everything that comes down from when employees are in and bosses are in. >> i'm not sure i agree with that line of thinking, becky

you want all of your people in the office for the 60% you will still have the percentage of people coming in on mondays and fridays you will have client glitches and business units dipping and they need to get together more often. i'm not sure the office landscape will change. maybe a 10% footprint reduction. i believe the office space will be fairly similar to what is historically been. if you think where we were six months ago, people thought we would never been new hain the o for 20% to 30% of the time i read the article at the conference last week the majority -- ceos get bashed a lot. the stock price doesn't go up and they make millions of dollars. i get it they are paid to have vision in the future not just six months, but one, two, three, four, five years in the future what they are saying is we are

seeing down the road which is a need of people to work together. if we asked everybody what they want they want to not exercise and eat pizza and ice cream every day. leaders have to do what's best for the employees. >> i like what you are saying about the tuesday, wednesday, thursday that is when you see the collaboration? that is like a five-day weekend almost >> if people aren't working. the biggest challenge we have not heard people talk about is a year ago over summer when productivity started to grow, you could not go out or go to a ball game. now we are going into the summer of remote work where people can go wherever and do whatever they he want. we willsee if productivity dips if that happens, you will see five days a week faster than people envision it >> oh, my gosh productivity, you think productivity went up

a lot of us was thinking productivity was stronger. it was because there was nothing else to do >> why do you think those are exclusive? i think people are taking it seriously and they had nowhere else to go >> you don't think people -- this gets to the heart of it employers who think you are out of sight, you are not producing. that wasn't the case over the last year. a lot of studies come back and shown that employees were more productive than ever you don't think that will last when there are other distractions that comes back to the paternalistic view of things >> i am a father of three and e entrepreneur and lead a company of folks when you look at the situation and i talked to two ceos last week they said the ironic thing or

not so ironic is the last year has shown how the productivity level is of employees. everybody's productivity increased. why wasn't it high before? there is a lot of dilly-dallying going on i'm not saying it only goes on at home. it goes on in the office with watercooler gossip longer lunches people walking around. however, when you are doing it at work, you are with coworkers and building collaboration that is what the ceos are talking about. not as much relationship building when you are at home with your neighbor instead of your coworkers >> tom, i don't disagree with you. i agree. the hybrid life will come and go quickly. the question i would ask is, it does seem a big distinction with new york and chicago and big

cities and the valley which has taken almost a remote first approach to life i want to say there has to have been lessons heard during the pandemic how productive people can be from home and the like and why you think and maybe it is a paternalistic thing and the boss and power. i think people will want to be in the office because of approxiproximity and power. why do you think the lessons, which i thought were observable two and three months ago is disappearing quickly >> let me get to the valley in two seconds. when we are talking about people and where they want to be, human beings by nature, tend to be judgmental and hypocritical. i need my kids in school so they can be with their students and other students and the teachers and interaction. you should come to work to be with your manager and coworkers.

no, no, no i'm good enough i don't need it. we have a paradox that is fascinating and it is a longer piece than this. in silicon valley, developers have been able to work remotely for years. number two, when you have start-up culture, it is attracting the best talent and having to put the vc money to work as fast as possible when we hear facebook and apple and those companies wanting to bring people back in the office, that is different from the start-ups because they have to put the money to work and they have to get as much talent as fast as they can because the machine is not fully running yet. >> tom, it is great to see you this morning always enjoying conversations. maybe one of these days we'll have one of these conversations in person again. >> i look forward to being back. thanks for having me on.

>> see you later joe. thanks softbank ceo out with a new warning of the tokyo olympics. and later, don't miss transportation secretary pete buttigieg with the latest. you can watch or listen to us live anytime on the cnbc app ing turkey hill chocolate chip cookie dough creamy premium ice cream and chasing fireflies. don't worry about me. i'm fine. you can't beat turkey hill memories. dave doesn't need a posh virtual receptionist, because he cloned himself. while his clone watches the phones, dave can work on his code. and lead his team. dave trusts his clone like he trusts himself. so, in summary, we're going to sell the company. who's in favor?... perfect. but if cloning isn't an option for you, just get posh.

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welcome back to "squawk box. masa son of softbank warning about the dangers of holding the olympics in tokyo in 2020. he is expressing concern calling japan a vaccine laggard. he says it is slow in the inoculation drive. it could put people's lives at risk not the first time he made that warning. he did it first here on cnbc on may 12th >> i am very much afraid of having olympics. not just for japan, but for many countries. they are having a tough situation. i don't know how they can support sending athletes

>> joe, becky, the polling in tokyo right now is getting worse and worse. we are looking at 70 and in some cases over 70% of the population don't want the olympics there. it is a danger to them and dangerous for the athletes it will be complicated to pull it off the ioc will have a lot of rules in place to try to make it happen safely. part of the argument, i think, from the folks in tokyo proper, is to say the amount of energy and resources spent on the olympics can't be spent on trying to deal with covid the way they would want and as fast as they want this will be a large issue in about two months when the olympics take off, if, in fact,

they do. >> japan has fallen behind with the vaccinations it has not been on the forefront in terms of the countries getting these things done. >> they are far behind. >> when you look at the olympics, i think they have taken a ton of measures. i believe most, if not all of the athletes, will be vaccinated before they come you will not see the crowds like in the past. everybody who comes in will be confined to the olympic bubble where there are restrictions on the movements. it is not free flowing to come and go as you please >> that's very, very true. it is unclear about all of the athletes obviously in places like india and other countries and questions of variants. will people access -- in the united states and lots of countries, there are plans to make sure they are vaccinated.

the whole thing has a big question mark over it. we will see. of course, nbc, the big b broadcasting partner of the olympics we are looking forward to the olympics happening and happening safely when we come back, apple ceo tim cook taking the stand on friday to defend the app store policies we will talk about the courtroom drama and what it means for the apple shares next. now it's, "network, network, network." so you need a network that's built right. verizon business unlimited starts with america's most reliable network. then we add the speed of verizon 5g. we provide security that's made for business and offer plans as low as $30 per line. more businesses choose verizon than any other network. we are open and ready for you.

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if you go through, let's call it the equivalent of an app store credit card, the transmission cost is about 2%. that's what credit card companies cost for putting up

the whole system and do all of that stuff that's what they charge. to the person -- >> then, why -- >> to the producer, let's say. here app, apple says, oh, no, 30%. 30%. >> that was barry diller on "squawk box" on friday, blasting apple's app store fees but ceo tim cook defended the app store's business model and he took to the stand to wrap up the antitrust trial with epic games. joining is tom forstmann from d.a. davidson. tom, i appreciate you being with us i've been following the case you heard what tim cook had to say, if you were to handicap the outcome of this case right now, what would it be >> i think in this case, apple wins the battle. i still think there's risk of losing the war, to the step that the commission steps in.

but at this time, i think apple has a strong case. >> tom, i'm with you, i'll call it right now for apple, if i was the judge. just based on the market deposition, i always thought that epic was not the right company to bring this case, because the majority of games are actually played on consoles so you can't define the market as simply being on the phone you said something very interesting just then which is, they might win this battle, but they might not win the war what elements during this case came out do you think might be helpful tour putting the government when apple brings a similar or somewhat similar kind of case? >> that's a great question in my opinion, apple's own admission charging a different for smaller scale. 30% the first year, 15% thereafter in instances where they have a

strategic relationship with amazon, they charging 30%. so apple by its own admission, or by its own decision, charges lower rates on its app store, and i think that opens the case for the government regulation. >> tom, when were things -- barry and i when we talked about this even gdisagree on this isse which is, they are the store, though -- when you try to compare it to a credit card, it's a little different. they're a distribution mechanism. if you create a distribution mech mechanism, shouldn't you be able to charge what you want? and all of these companies are making their apps specifically for this store under these terms. it's not as though the terms are getting changed out of their favor. they're getting induced into doing this at one rate and then somehow getting changed on it. i wonder from a legal perspective, whether you think there will be a long-term deal

for a case >> excellent points across the board there. in particular, i have a hard time thinking about apple's own data, 30% and 15%. and their gym store, on sony play play station i think they're a store, they're a distribution, if you look at the data, 100 million to epic, 100 million to apple, i don't think that's exorbitant at all >> there could be issues to make the case, i'm not going to tell you there aren't the question is whether they're successful and if they are, what that looks like and if you're investing in apple, what you should price in? >> excellent points. you think about the excess

influence that amazon and google have on consumers' lives you knock about the nonhardware revenue that's been a key driver of shares in the last 12 months. i do think 30% could go down, on the neck of having neck tiff impact on the stock. i just have a hard time believing it goes from 30% to zero, for example. >> would you buy it at $126? >> absolutely. >> tom, appreciate it. appreciate your perspective. looking forward to seeing you very soon. becky. >> thanks, andrew. when we come back, an update on the pandemic with dr. scott gottlieb, as cases reach the lowest levels in almost a year "squawk box" will be right back.

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futures pointing to a higher even, following the market's struggle for gains last week we'll get you up to speed on what to watch this monday morning. covid cases hitting their lowest levels since june, as folks get ready for the unofficial start of the travel season dr. scott gottlieb will join us with the latest on the pandemic. and jobs were key at the height, an now as they try to

resoap, small businesses are struggling to find openers and key economic growth as the second hour of "squawk box" begins right now ♪ ♪ good morning welcome back to "squawk box" right here on cnbc andrew ross sorkin along with becky quick and joe kernen take a look at the u.s. equity futures at this hour we look like we're going to open in the green about 120 points, s&p, nasdaq up 86 points and we'll share a little bit of bitcoin in just a minute, that's trading $36,000 after a wild drive over the weekend. it's making headlines. and more americans vaccinated against covid, the nation's business economists are predicting that the best economic growth in 37 years is about to happen. a survey for the national

association for business economics shows gdp growth of 6.5. that will be the best since 1984 in march the group had predicted a rise of 8.4%. the gas prices continue to rise the lundberg survey puts it at $3.10 compared to $2.05, i felt like a cheap skate at the pump and volatility with victim toe. despite reports of ceo elon musk with series of tweets, the prices are higher this morning, $36,356. down from over the weekend at $32,000. coinbase remains on watch as the largest trade continues to trade in a volatile manner,

reflecting wild swings in the digital currency you can see kind of what's happening with that. that bigger deep that you see may also be because of investigations taking place. watching to see what happens on these things to see how crypto is regulated from there on out. from the public offering it's traded down since then but you did see that huge spike after the trading began. and shares of moderna are higher in the premarket. the company struck a vaccine production agreement with south korea's samsung biologics. samsung is into biologics. in a move it said will allow it to provide covid-19 vaccines in the third quarter. nov novavax, sk biosciences. did you guys see the front page

piece on the samsung family art collection and they got a tough tax bill. the founder died, i guess, last year >> yeah. >> their tax bill is $11 billion. $11 billion tax bill so, they've got 23,000 monets, picassos and dalis. >> wow >> not just those three, but that is an example that is quite a elecollection amassed over a lifetime of the founder. >> they've got to unload that to pay the tax bill >> part of it -- yeah, i'm not sure exactly how state taxes work in south korea, obviously but that's something -- just that sheer number. >> christi's, like what are they thinking at the auction houses right now. >> an avid collector, obviously. it would be neat to do that, i got to admit, to be able to buy

whatever -- any monet that you'd like i've -- i've always asked the guy for a suitene, i loved over in paris, i saw it and they just -- there's none for 800 bucks. there's just no way >> you're out of luck. >> i asked they laughed at me it's not going to happen i don't own any. >> you're not going to be able to buy a seat, you're not going to be able to buy a seat on this rocket either. vergen g n virgin galactic cone its first flight on saturday it then fired its rocket engine and accelerated to more than three times of speed of sound. it performed a slow back flip and micro gravity at the edge of space. and then returned to earth landing at the runway of space fort in new mexico, the company

has to meet two more milestones in order to receive a key for conducting spaceflights. and this flight avoiding a possible maintenance issue that threatened to delay the test if you look, shares up pretty sharply. if you look back before, there had been pressures with the delays that had been there again, for the one week, it's up by 59% joe. and washington is looking for ways to fix the semiconductor shortage and there's growing calls from both sides of the aisle to ramp up production domestic lick, ylan mui joins us. good morning >> good morning, they've will be holding listening sessions on the shortage qualcomm, dupont and other, came to washington, d.c today, rimando is headed to virginia to meet with the ceo of one of its manufacturing facilities there long term the white house and the industry agree that the way

to solve this problem is to incur domestic ship production the senate is supposed to vote that would give the bill 52 billions over the next five years. the industry said that would spur ten major new fabs and create an average of $185,000 new jobs a year. senator mark warner and senator john cornyn have been the two most vocal advocates for the chip industry on capitol hill. it's wrapped into a broader package of legislation and cornyn is warning that the addition of wage requirements could turn off republicans both are meeting at the micron facility today that is a good sign from ultimately getting support from both sides of the aisle. guys, there are still a lot of details that need to get ironed out, we'll be speaking with

micron's ceo sanjay morosa back to you. >> >> ylan, what are the chances that it ramps up, you can get started and never too late >> yeah, yeah. there's sort of an acknowledgement that, you know, washington is probably too late to the game to fix the current shortage but in order to prevent this in happening again, need to have the manufacturing facilities and supply chain in place in america, in order to prevent the shortage in the future so, that's part of what this conversation is about right now. even getting the bill voted on this week. it's starting to look, perhaps, a little dicey we'll get to more information on that once the senate reconvenes later on this afternoon. this has been a major priority for both republicans and democrats. i know senator schumer in

particular has been hammering this with both sides of the aisle. there's a lot of momentum to get a big piece of legislation that tackles not only the chip industry but sort of more broadly the way america can confront the economic threat so this would be a major bipartisan win if they can do it, but certainly, a heavy lift for capitol hill >> okay,i ylan, thanks. when we come back, u.s. covid cases hitting their lowest levels from june of last year as americans gear up for memorial day weekend. dr. scott gottlieb is with us. the dow futures up 120 points s&p futures up by 18 the s&p and the dow were both down, the last two weeks in a row for the week nasdaq managed to eke out a

gain, it's indicated uagnsp ait by 80 points this morning. "squawk box" will be right back. the day where everything goes right. or the one where nothing does. with comcast business you get the network that can deliver gig speeds to the most businesses and advanced cybersecurity to protect every device on it— all backed by a dedicated team, 24/7. every day in business is a big day. we'll keep you ready for what's next. comcast business powering possibilities. wondering what actually goes into your multivitamin? at new chapter, its' innovation, organic ingredients, and fermentation. fermentation? yes. formulated to help you body really truly absorb the natural goodness. new chapter. wellness, well done. cal: our confident forever plan is possible with a cfp® professional. a cfp® professional can help you build a complete financial plan. visit letsmakeaplan.org to find your cfp® professional. ♪♪

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we'll keep you ready for what's next. comcast business powering possibilities. the u.s. is now reporting fewer than 30,000 new daily covid cases for the first time in almost a year this comes as almost half the population has already received at least one shot. joining us now to talk more

about it is dr. scott gottlieb he's the former fda commission and serves on the boards of both pfizer and illumina. his latest op-ed in the"the wal street journal", talking about keeping action plans active. scott, let's talk first about the numbers. fewer than 30,000 new cases a day. the reality here is the situation is probably better than those numbers suggest, right? >> i think that's probably right, because there were 13,000 cases yesterday. sundays are usually slow but a lot of the cases we're turning over right now are people with asymptomatic, we're doing a lot of home testing. when people do testing at home, when they get a positive test, they'll redo a pcr test. the number of people being hospitalized for covid has dropped substantially.

the case numbers have declined substantially. the a lot of people involved with covid most likely to get in trouble with it have been vaccinated if you look at hospitalizations, they're still high, they're coming down, they're at the lowest point since last march, since the beginning of this but they're still high because that includes people hospitalized for a long period of time from covid. >> do you think we're able to lick this? or are you concerned there's a bit of a resurgence in the fall? there's so many people getting vaccinated, maybe it's a race between those vaccinations and what we see this fall? >> yeah, we have to understand what resurgence looks like it's unclear what that really means. i think it's going to be a resurgence it doesn't mean it needs to be a spread across the country that causes us to do major things in terms of shutting down, masks, closing businesses i do think we'll see pockets of spreads, outbreaks in some

cities probably not in the fall probably not until the late of winter, december, january that you start to see enough cases build. i don't think we'll come become in september and have a lot of cases, october, november if you look at last year, it wasn't until late november that you get a buildup in cases this year, there's likely to be more hopefully, we're coming off a summer where there's not a lot of spread. really, it's looking towards december and january where cases build. we might have a challenge with flu as well. we haven't had a normal flu, we may have more epidemiological spread of flu. the twin risk of a worse flu season is possible especially with a mismatch with of c coronavirus, certainly more spreading, but not on the scale we've seen in the past >> let's talk a little bit what that means for, let's say, elementary school kids who haven't gotten vaccinated yet. it feels normal outside on the weekends, maybe a lacrosse game,

a track meet you're just out and about. but when the kids come back to school in the fall, are they going to have to wear a mask >> i think it's likely the case. a lot of school officials start the school year, masked, largely out of a sense of uncertainty. it's not because the risk is substantial as they come off the summer into the fall i think it's because school districts aren't clear what to do cdc is not going to put out clear guidance or nothing to hang their decisions around. but the risk is going to be low. the only setting where you might want to contemplate kids wearing masks is in confined spaces congregating together. that describes a lot of classrooms right now certainly, when kids are outside, i don't think they should be wearing masks. cdc has to revise their guidance for camps where currently they recommend that kids wear masks in camps i think that causes more problems than it solves. prevalence is going to get very low. some point in june, 1 case per

$10 10 100,000. right now, we continue to stall out. and a level that cdc describes is very low transmission >> hey, scott, i don't know if you heard us earlier, we were talking about comments from massa-son in tokyo, we were talking about the polling inside of tokyo, whether the olympics should happen. we're two months as of yesterday, two months to the opening ceremonies of the olympics if you were advising the ioc, would you say they should go ahead with the olympics? >> japan's had some challenging rolling out their vaccine. i don't see why they can't create a contractorive bubble around that environment. trying to vaccinate whoever they can and making sure delegations are as vaccinated as they can be coming into that environment we've seen other sports venues

create protective bubbles around the sports league. now, i recognize olympics is a much larger scale and you have much more diverse populations coming into those venues, but it should be possible to pull this off safely >> scott, i heard anecdotally, some of the big centers around new jersey where they're doing lots of vaccinations, actually, you don't need them anymore. they're closing them down, obviously, you can still get the jab at other places. it's kind of slowing down to a trickle but are we above 50? in your view, where are we really going to top-out? and then what do we do, and how much of that -- add that to the people that have already had covid and doll we need to worry again? are we at herd immunity at that point? >> yeah, we might get to 60% of the population, maybe a little better than that by the fall i think it is going to slow down we're picking up about maybe 2

million new people a week right now. it's probably going to slow as prevalence declines as the risk, perception of risk declines. people might as wait until the fall to get vaccinated there are people vaccinated return to school and work. as we get to the summer, i do think rates of vaccination are going to decline we're picking up a lot, vaccinating kids 12 to 15. about a million of them. we've been flat since the announcement of cdc. where cdc said if you vaccinate, you don't need to wear a mask. i do think flat is better than we would have been, we're not up, we're not down right now, we're at about 50% of the american population. 60% of adults have at least one shot i think president biden has said he wants to get to 70% by july 4th. that's a stretch goal. they might make it, 75% of a adults by july 4th

as we get to july and august, we'll pick up more back into the fall, 60% to 65% of the public has been vaccinated you have to layer on to that people infected while it doesn't provide as good protection against reinfection, but it does provide protection against infection. we are getting close to some acceptance of herd immunity. the population with the rate of transfer is very slow. >> scott, two questions, i want to get to your op-ed about how we prevent these pandemics from happening in the future. at least how we better prepare ourselves to deal with them. but first of all, the reason behind -- or, you know, how this pandemic started is becoming more and more of an issue. a new story out that suggests there were three people from that wuhan lab who got very sick and that kind of lends some credence to the idea that this was man-made, this was created in a lab and accidentally got

out. not something that happened in nature fm. >> right, and this is consistent with the state department bulletin that said there were illnesses in that lab. now, we know three of the people who were sick b based on this report, were actually hospitaled the timing of that would put it sufficiently early it could have triggered this pandemic. and more cases sort of occurred in the october/november time frame. so the time of these infections would put it within that realm i think the challenge right now, the side of the ledger that supports thesis this came from a an animal source hasn't budged and aside from the ledger that alleges this could have come out of a lab continues to grow people a year ago said this probably came from nature, more than likely a lab. maybe a year ago, that statement made a lot of sense because that was the more likely scenario we haven't found the intermediate host.

we found no evidence of this virus in an animal anywhere. the closest we found was a penguin in march in 2019 we haven't found the true source of the virus with mers and sars, with those epidemics, we haven't found the intermediate host. it's not for lack of trying. i think the ledger on the side of the lab continues to grow and the question for a lot of people are going to be when are too many consequences too much when does it seem there's too many things suggesting this could have come out of a lab right now, you know, there's more and more circumstantial evidence certainly i don't think we'll ever get to the bottom of this, unless we have a whistle-blower, assuming it came out of a lab, i'm assuming it did, assuming we have a whistle-blower or regime change in that lab, i don't think they're available anymore. >> scott, let's get to the

op-ed. this is very important, the idea of what we need to be doing to prepare ourselves for a future pandemic it's not building up these labs and manufacturing capacities, it's making sure they continue to be used >> right the old playbook, and i was around the bush administration when we started to put these together and the idea we were investing in these facilities, and we had a warm base what we call it. with johnson & johnson and zdeno chara, and vaccines facilities that hasn't been used yet. it was a facility in north carolina sold to i believe the australians that haven't been used for this covid vaccine to date it's targeted mostly to flu. and really haven't been consequential to this. we need to create a hot base

basically overbuild current facility where is the government has the call option on the facilities the government as the ability to a company to say, we're going to take over your facilities. you can either use frozen flies of your active ingredient in preparation for an emergency or hopefully overbuild the facility so we need a hot base, not a warm base. >> real interesting. scott, as always, it's good to see you. we'll talk to you soon, okay >> thanks a lot. >> thanks. okay coming up, 22 states ending jobless benefits early we're going to debate whether or not the benefits are to blame for the workers' shortage with the former white house chief of staff mick mulvaney. and later, transportation second pete buttigieg is joining to us talk about the latest revisions to presidentid's ben infrastructure plan. all coming up right here on "squawk" when we come back

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today for two great causes ten years ago today cnbc lost a great friend when mark haines died he was a fixture at cnbc from the show's launch until the day he passed away he was known for a lot of things but something called "the haynes bottom" from march 1999. >> the bottom. >> in honor of mark, we're auctions an nft from that famous call of 2009 we're also selling a set amount of token for anyone who doesn't want to participate in the auction. it's all online at mintable.app/cnbc. all the proceeds go to the autism speaks. >> this a carbon neutral event

to make sure we have no negative impact on the environment. andrew did you get your bid in yet? >> i have not. it doesn't look like i can do it -- i have to wait two hours >> that's 9:00, right? >> 9:30. >> you set up, you got online and checked out? >> i have to wait, but i will be in with a bid, one way or the other. whether i'm the floor or high bidder, we will see. but it goes to a good cause which is the most important part autism speaks, of course, and for financial literacy >> that's right. all right, we'll be back more "squawk box" right after this

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welcome back to "squawk box. i'm dominic chu here with your "market minute" on this monday morning. we want to keep a close eye, first of all, what's happening with the nasdaq composite. it did close on friday around its median term, we'll call it, average price trend line 13,470 is where we're at right now. we want to keep a close eye on these levels because over the last couple months we've been fairly range bound

on the nasdaq, in the area to watch here, a battle between bulls and bears with regard to what's happening with the nasdaq overall. a couple places to look over the last week. this may not be as conducive to perhaps the bullish narrative in the market, but over the last week, utilities, the best performing sector in the s&p 500. meanwhile, the s&p 500 is relatively flat. and energy is the weakest perf performer, down by 4%. it's something that traders paying attention to. we'll see if that dynamic pays out. and a few stocks to watch on the market trade a couple of interesting moves, we'll start with virgin galactic up 19% on that successful test for their spacecraft coinbase global gets a newly initiated on goldman sachs, they think that volatility and crypto

currency to help and tesla gets a 584 rating. and in the premarket trade there stocks in the green. we'll see if that sticks around when the opening bell happens, joe. >> you said, in the green, are you trying to get me to ask you about greens or fairways or -- >> bunkers. >> were you making your own history or were you watching? >> no, no, i was watching. i was intently watching. phil has been on this program before, right? on "squawk box." >> many times, yes >> it's interesting for me to see somebody like him whose undergone transformations, certainly a physical one in the last few years has found the fountain of youth at 50 years old what he just did >> what gets me, i fully remember, here we go, i walked to school uphill both ways i remember a 17-year-old kid

that was a phenom to play on the tour and win early now, i've watched his whole career now, he's an old guy, the oldest to win a major >> here's a great observation from our colleagues over at golf channel. this is shane bacon over at golf channel. he tweeted out something very interesting to me. this now makes phil mickelson the oldest major champion. we've heard the headlines, but did you know, joe, he's also the most recent amateur to win a professional event on the pga tour, way back in arizona. >> right >> yeah. >> you knew he would win when he hit that shot, holed out of the bunker, right? >> yeah. >> did you also notice the way he swings at his drives, you're supposed to be balanced. he's a beast >> he's a beast. >> did you see how many yards he had in that 510-yard 18? >> it makes me want to drink his

brand of coffee. >> it was good it was good. crazy stuff happens. all good, crowds, everything >> mickelson for sure coming up, unemployment benefits were a god-send, but now people staying home and collect. we'll talk about that issue. a reminder, you can watch us live, on gthe go, on the cnbc app. we're coming right back. lately, it's been hard to think about the future.

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welcome back, everybody. let's take a look at what's been happening with the s&p futures up by 18 points this morning dow futures up by 100 points and the nasdaq indicated up by 83 last week was a pretty rough week for the markets we did see a lot of turmoil, lots of downs and a little bit of up. nasdaq eked out a positive week although the dow and s&p were down for the second week in a row. again, green arrows across the board on this monday morning joe. >> thanks, becky a growing number of states are ending those extended jobless benefits early

while some say cutting off the benefits are economically short sided. others say they're to blame for people with their time we're joined by mick mulvaney. white house chief of staff, and betsy stevenson who served in the obama administration as a member of the president's council of economic providers. he's a professor at the university of michigan ford school we'll start with you would you say they're still necessary, the extended benefits or do you feel that not only are they not necessary anymore, but they're actually hurting our efforts to get back to full employment >> joe, i think they still are necessary. we have 8 million fewer jobs than we had before the pandemic hit. if we were on the same growth trajectory we'd been on prior to

the pandemic, we'd have 10 million more jobs today. think about that, that's 8, 10 million people who are without work we're seeing improvements every day. we're seeing the number of new people filing for unemployment insurance is coming down and, you know, we're seeing the kind of improvement that people are getting back to work but if you cut off benefits, what you're doing is leaving 8 million families without enough money to support themselves. i promise you, you could cut off benefits tomorrow, and you're not going to see 8 million people employed the very next day. so the issue is, how are we going to treat the people who are still suffering, who are still struggling who are going to have to take a little bit of time to transition into new jobs. i don't think that the benefits are really holding us back right now. on the flip side what they're doing is preventing a cascade of problems that will happen if we have people not paying their rent not putting food on their table. that's going to cause hardship for the landlords and the businesses that are -- that

receive from these people. >> you point out we're not pulling the rug out, we're not taking out the normal employment benefits that exist, just the ended part and i'm wondering, nick, there are a lot of jobs that we don't have back. but that horrible, much lower than expected jobs numbers we got a couple weeks ago, maybe we haven't gotten back those 8 million because that's part of the problem, people aren't taking the jobs that are available because it's easier to stay home? >> yeah, joe, a couple things, on language, when people use the term cut off benefits that seemed to be that we're cutting people off high and dry. that's not true. you used the right term, the extended benefits. to go back to the original question, are these extended benefits helping or hurting?

betsy could be right, they could be helped. but some of the republican senators discontinuing that could be right as well what's unique about the american system, and she's right, florida and going to come back faster than south carolina. which is why our governor got rid of these extended benefits what's the key point here? betsy is right on this, we want to get back on that trajectory where we were before covid how do you do that go back to the same policies before covid yes, covid was a shock to the system, a crisis we have to do some thing -- i think we did too much -- we have to do some things to get on track. if you want to continue on that trajectory, go back to what we had during the trump administration, lower taxes. and the biden administration is doing the opposite that's getting lost in the discussion >> can i just be clear, though, we are actually cutting benefits off for some people. because it was the extended

benefits that gave independent workers, gig workers benefits for the very first time. prior to this, often 1 in 3 unemployed people received any benefits at all. so, when we take benefits away, it's not just an extra payment, it's actually millions of people get zero payment >> i think that's probably right, but i think it gets to the what the bigger issue here is this is not about a short-term sort of fix for covid. these are folks that want to change the way unemployment works generally. there are folks, it may not be betsy, but certainly people in the democratic party who think it doesn't pay enough to begin with i think it could be permanent, to use unemployment benefits as a back doorway to get a minimum wage at a higher level that's not what this should be about. this should be about covid and the things we need to do to get back on track after covid. and what are the policies we take going forward right now, the biden administration is going in the wrong direction in both taxing and regulation

i don't think we'll see the same type of job growth under the biden administration as we had under the trump administration because the policies are different. >> betsy, we hear from workers, employers they can't get people to come in a lot of them are offering higher wages than prior to covid. there is a point where it doesn't make economic sense for some businesses to offer any more than they're willing right now. and people just aren't coming. they're just not coming in, in service industries, we're hearing again and again, restaurant workers you don't think it has anything to do with the ability to maybe make what equates to $50,000, $60,000, $70,000 at home why would you bother to get dressed every morning? why would you bother to get child care why would you bother to do that, if you could make after tax, more than what you're making in a job? it just seems illogical?

>> can we be clear, you're absolutely right people who are going to be making 16,000, $17,000 a year working full time can make more on unemployment benefits right now but we're not talking about people really pulling in $50,000, $60,000 a year after tax in unemployment benefits remember, unemployment benefits themselves are taxable so, let's just be a little bit realistic here there's a transition that has to happen people have to get back to work. i think you need to focus on the fact that some people are still hesitant to go back and do the normal things they were doing. they still fear what's happening with the virus they don't have a lot of confidence we just had the cdc say, look, it's okay. if you've been vaccinated, you're very, very unlikely to get a bad case of covid. go ahead, take your mask off start going back out and doing things but we're seeing hesitancy, i think that's way more important than any other unemployment

benefits >> mick, have you done the math? it's not 16,000, or 17,000, it's predax -tax that equates to $500 does it not? >> and it depends on the programs to go back to betsy's point this is a fundamental conversation about unemployment it's not about covid unemployment is not designed to protect people against fear. it's designed for people who want to go to work and willing to go to work but don't. that's not what we're doing right now. we're subsidizing people to stay home if you want more unemployment, subsidize it we need to get back to the policies we had before and the unemployment programs we had before >> all right there's a lot that goes into it, betsy, that's for sure if your kids aren't in school, then how do you -- can't afford to go back there's a lot of things, fear. i guess it's the sum of everything

maybe. maybe. mick mulvaney, thanks. betsey, thank you. coming up, it's been a bumpy ride for tesla despite record deliveries in the first quarter and wean going to talk about the sliding shares ev maker. and don't miss pete buttigieg to discuss the president's infrastructure package and the transportation package unveiled over the weekend that would increase funding for highways, roads and bridges. "squawk" returns in just a moment [typing sounds] [music fades in] [voice of female] my husband ben and i opened ben's chili bowl the very same year that we were married. that's 1958.

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welcome bax to "squawk box" this morning, tesla's stock notching a milestone on friday, but investors are not going to be celebrating after the longest losing streak for the company in more than three years since march 2018 joining us is george johnson, the founder and ceo. gordon, let's talk about where things stand as of now you know, i'm not a bull or bear i'm a bull on elon musk, personally i think he's fantastic i don't know where the stock really should be my question is, what do you think the proper value for the stock is >> well, i think what we need to look at with tesla is we need to

be real, the full piece for tesla is completing falling apart. number one, tesla is supposed to be a growth stock in q1, 2021, rev news are going to be down. in april of this year, china sales down 66% month over month. the rest of the industry was up roughly 13%. so they got killed in china. if you look at full service technology, they ranked last basically by every independent guidance that looked at them and if you look at "consumer reports" just this past weekend, they completely eviscerated the safety of tesla's self-drive remember, without those credit cells, they lost money every single year of their existence they're trading at 1,000 times earning versus 12 times for the rest of the auto industry.

looking at valuation, this company is an automaker. there's a significant downside with the stock more than $67 a share. next year, that's where it will be >> let's talk about that, you believe the stock is worried about $67 a share? get there. explain that because the other piece of this is, yes -- look, we've all talked about the credits for quite some time and the value of those credits. are you arguing the credits are gone again >> andrew, we discussed it many times. stil stillantis, credit, unexpectedly said we're done. we're buy nothing more from tesla. they said we're done we said all along, andrew, you pushed us on this, but we said, listen, these credit sales are

going to disappear we haven't heard anybody talk about that then you look at next year, right, two quarterss ago, the co said the credit business is going away you look at the competition, the f-150 that came out last week. the battery 170 kilowatt hours of battery versus tesla's model 3 which has 61 kill awattowatts of battery. it looks like ford has the technology on battery. the audi 2 q4. ford, the mustang, there are cars coming that are going to challenge tesla. they're losing market shares this is a company on the downdrift from market shares to

revenues to earnings this company is really losing and i think people keep looking out into the future. but when you look at what's happening today, the outlook is quite dismal >> gordon, though, are you suggesting the company is not going to continue to grow? because i don't think anybody is making that argument i think the question is just how fast they grow >> right that's my point, andrew, yes if you look outside of china q1, u.s., europe, rest of the world, excluding china, their volumes were actually down sequentially, again that q1 growth in china, 10,000 units incrementally, q1 versus q2 of last year, and in april, the first month of this year, they got eviscerated in china. their sales in april down 66%. we had it combined, sales combined up 13% month over month in april if you look at what's going on in china, just this past weekend, china basically said we're not allowing tesla cars in

our compounds anymore. if you look at the news cycle, it's been extremely negative against tesla. everything from fst, to accidents, on the technology, to the brakes failing, et cetera. these are all in state-what affiliated news sites that china is putting out daily we think there's a problem >> gordon, we got to run, every time you come on, of course, the tesla bulls come out and say, why do you let this guy on tv? what's going on here just for transparency sake, do you have -- what's your position, to the extent you have any position related to tesla? >> well, listen, i'm an analyst, i can't invest directly in stocks i've covered. keep in mind, the bulls are saying -- >> that's the answer to my

question i wanted you to ask the -- i didn't want you to say anything, i wanted to have the proper answer on the record so you don't own any stock long or short stetesla, right >> i can't as a sales side analyst i can't. >> absolutely. absolutely gordon, appreciate it. >> thanks, andrew. coming up, president biden lowering his infrastructure proposal from $2 trillion to 1.7 trillion we're going to talk to transportation secretary pete buttigieg on the move, to work for a bipartisan deal, giving a shot at that plus, final arguments being made in the apple versus epic epic battle. epic battle. we're intogog talk to the henry bloga for his take

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♪♪ good morning futures are higher as we get ready to start the trading week and so are cryptocurrencies. bitcoin and ether snapping back after a sharp weekend selloff. lower price counteroffer from the white house on infrastructure we're going to ask u.s. transportation secretary pete buttigieg if this is as low as

president biden is intending to go and apple's courtroom fight with epic games. is tim cook's business model about to suffer a serious blow the final hour of "squawk box" begins right now ♪ good morning, welcome back to "squawk box" on cnbc. i'm joe kernen along with becky quick and andrew ross sorkin u.s. futures, triple digits now. gains for the dow that we're indicating at the open in an hour and a half, the nasdaq indicated up about 90 the s&p, about 19. treasury yields, well behaved again at 1.6 and change. 1.61 this morning. major cryptocurrencies are in the green this morning after weekend selling.

bitcoin at $32,000 ethereum at 1800 and crypto moved on the news that u.s. and china might tighten fines. the true battle between fiat and crypto, our balance on the latter that was in response to what people thought about him being angry about the cryptocurrency markets. those are the latest let mes, b bit bitcoin, 3500. >> thanks, joe a bipartisan group of senators unveiling a transportation package for the weekend that would increase funding for ever highways roads and bridges. however, this is different from

the infrastructure bill. late last week, the white house trimmed that level it's unclear if that reduced level will garner any republican support. joining to us talk about that is transportation secretary pete buttigieg. secretary buttigieg, thank you for being here today it's good to see you >> good to be with you thanks for having me on. >> let's talk a little bit about whether there's likely to be any bipartisanship when it comes to this the president himself has said he would like to find out, at least decide if there's a bipartisanship he's given it a deadline of maybe memorial day so, where do you think things stand at this point? >> we continue to be hopeful about the bipartisan approach. we've had lots of conversations across the aisle and have been talking to people in both chambers and put forward a counterproposal on friday that reduced our original position by about half a trillion dollars moving closer to the republican

counteroffer that's what we've done now we'll see what they come back with obviously, a process like this will have a lot of ups and downs and twists and turns but we don't have a lot of time. we really need to make progress here because as the president often says, inaction is not an option every few days it seems we get another headline about some piece of critical infrastructure in this country not doing what it's supposed to do. a reminder how urgent it is for to us get back on track and go beyond what we have in the past, if we want the u.s. to actually win the future >> your plan has tom down by $500 million as you said but it's still about $1 trillion more than what republicans are offering in the counterplan. it's a huge gap in funding and areas they'd be willing to address. the republicans said they'd be willing to address something when it comes to tralal sense of infrastructure, bridges, roads, those types of things, even

broadband. but what the administration is kind of asking for is a much bigger picture, you're suking about issues like remediation of brown fields, caregiving to the ageing and construction of hospitals. these are areas that the republicans have said they don't consider this to be infrastructure they're not willing to do this in one bill. are you going to get to the point where you say forget it and move on? and if that's the case, you'd have to have the votes in the democratic party, do you have that at this point >> well, we'd really try to do this together. i hope we don't get too wrapped around the axle of these definitional questions look, we think that all of these things ought to be part of the infrastructure policy. you don't have to agree on that. i imagine if i were a republican senator and the democratic president came along and said we're going to remove all that

part i'm thinking it would be a strange categorization, but i'm still going to vote on it because it's the good thing to do if it's a good policy, let's come together and get it done. >> i think the republicans would probably question whether they think she's are good policies. maybe not something like lead pipes. but when you're talking about expansion of electrical vehicle structure. and the expansion of brown fields, environmental sites, they can look at this and say i can absolutely agree with this, but not with that. let's put that aside let's get to the point whether you have the votes in the democratic party, to get this passed can you do this through reconciliation at this point >> well, again, our strongly preferred approach is to do it on a bipartisan basis. there's tons of support for this not just with democratically

elected officials but democrats and republicans. when the jobs plan was unveiled it had enormous support and continues to among the american people it's an example of one of these moment where is sometimes washington doesn't reflect the way the american people feel i think it can move in that direction and that's exactly what we're focused on as the talks continue over the coming days we have come closer in terms what we put together there's definitely distance. we started very far apart. what we know, sigh hear legislators, republicans and democrats talking about their sharedence of urgency it do things, not just roads and bridges. things like pipes, internet and more this is the point where we're going to decide whether america is serious about winning the future or whether we're content to not even be in the top-ten you can't go through all of this trouble just to hold on to 13th place. this is a krogs roads where america is deciding whether we in fact want to lead in the 21st

century. if we do, we literally need to put our money where our mouth is >> i think a lot of these programs are popular when you poll voters, when you ask them how to pay for it maybe a little less popular but i'll go back to the issue, do you have the votes in the democratic party right now to do this through reconciliation? >> again, that's a theoretical exercise when we haven't even turned to that mechanism right now, we not only have a lot of democrats excited about this, but we've got a lot of republicans excited about this there are negotiations going on within the house and senate. over the weekend, a bipartisan plan that's part of the foundational baseline bill on the highways and surface lights were announced with bipartisan support. progress is happening. there's a lot of give and take right now. that's natural what we can't do is stitt sill i do want to mention, when you asked the american people on the proposal to pay for this, support for the plan actually goes up. it's actually more popular when we talk about how we propose to

pay for it because most american as agree with the president that ordinary americans are paying plenty in taxes. but a lot of corporation ever not paying their fair share. >> yeah, usually pretty popular when you ask people how to pay for it and when it doesn't include them, they're okay with it republicans have come back to this idea that used to be a bipartisan issue, that is to have things like the user fee. the gas tax that we have seen over the years that has not gone up, not increased. as you have more and more people using electric vehicles more people get away without paying those fees would you ever consider the idea of a user fee, gas tax, or user fee for electric vehicles to help out, at least, in some way to pay for the infrastructure? >> that's not in our plan. and the reason is there's a simple and very important principle for the president here which is that no one making less than $400,000 should have their taxes increased by this plan again, he believes most

americans, ordinary americans, are paying enough. more than enough right now but the other thing i think is really important to point out is you don't have, you don't have to, in order to fully fund this bill remember, we have gone so far in the direction of giveaways to corporations and the wealthy, that we've now reached the point where you could reset the tax rate to a level that's still lower until my lifetime. closed the loopholes to create incentives for profits and jobs overseas and have more than enough to fully pay for this bill now, if they're prepared to come together in other ideas we're interested in that actually an area that could be an interesting slice of this is how we mobilize private dollars to be part of the solution that's not enough on its own, but certainly, being createively about financing is a spart thing to do in the 21st century to really put as many resources as we can to work improving the infrastructure of this country we can't just tinker around the

edges and we definitely can't do what we've always done because then we'll get what will we've always got, and it's just not good enough. >> you know, there was some progress going forward, janet yellen talked about how it's important for her perspective to get a global minimum tax it certainly looks like moving towards a 15% global minimum tax. if that's the case, you have to wonder what our country is going to do in terms of what they charge multinationals. could that be brought down to less than 21% so americans are at less of a disadvantage? >> again, a lot of complications with how a tax would interact with a sticker rate here in the u.s. let's be clear with no global minimum tax and tax rates that were northern of 30%, or 40% in the u.s., the american business was very competitive the president's plan calls for

28%, a level that's been lower for most of our lifetime let's look the other ideas that we're eager to hear. we just need to make sure they're specific enough to get the job done and that they keep fidelity with the president's promise that he intends to keep, not to raise taxes on most americans. >> would you say that memorial day is going to be the deadline? are we ticking with that deadline to see if there's bipartisanship or do you think it could stretch beyond that? >> we continue to think it's really important to have major progress by memorial day and, of course, that's coming on up that means there's a lot of pressure on what we're dealing with this week and the next few days to get something done obviously, you know, that doesn't mean that a bill will be passed through both houses, reconciled, brought to the president's desk and signed. but it does mean that we really need some forward motion here. we can't just string this along.

i think the american people will lose patience with us. and i don't think the president has patience to go in circles. but what i'll say, so far, we've had very good, above board, good faith and meaningful conversations about where republican senators started, where we started, and how to get closer together. reducing our package by $500 million is a very meaningful move in that direction and we're eager to see how they respond with a counter >> secretary buttigieg, i want to thank you for your time today. good to see you. >> thanks for having me. >> joe >> thanks, bec coming up, what's at stake for apple in that antitrust trial that wraps up? first, we head to break, here's say few of the morning's other headlines. vaccinemaker moderna striking a production deal with south korea, samsung biologics the deal will allow it to provide its covid shot to markets outside of the u.s

and masayoshi son warning of potential damage in tokyo, in a series of tweets, the softbank ceo called japan a vaccine laggard. less than two months before the game begins to put people's lives at risk. stay tuned, you're watching "squawk box" on cnbc together with a dedicated advisor, you'll make a plan that can adjust as your life changes, with access to tax-smart investing strategies that help you keep more of what you earn. and with brokerage accounts, you see what you'll pay before you trade. personalized advice. unmatched value. at fidelity, you can have both. ♪ more than this ♪

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♪ cnbc's disrupter 50 list will be unveiled tomorrow. it's going to have a lot of new faces, julia boorstin joins us now with a preview, julia. >> well, joe, this year's list will look a lot different than past year's lists, because there will be newcomers. that's because there are a record number of companies that have graduated from the disrupter 51 that no longer private, they no longer qualify for the list 12 companies have gone public among the 50 on last year's

list, including a number of consumer facing, airbnb, doordash butterfly network and goodrx to insurance companies lemonade and root insurance three companies, snowflake, and c3ai those companies with a benchmark of disrupters that have gone public, up 78% over the past 12 months, compared to roughly 45% gains for the nasdaq position to the ipos, kabbage and beautycounter. and there are "stack"s, better, grab and so fi there were a record number of nominations, 1500 with the most

competitive list ever. we're unveiling lists tomorrow on "squawk box" tomorrow morning. and we'll have interviews, stories throughout the trends, throughout the week, on different shows, on cnbc, guys >> thanks, julia some broad ones you expect to be on the list, not just new people, but new names we should say. >> well, what i would say is that -- you know, i can't giveaway any companies on the list, but we are going to see an acceleration of trends in place last year. certainly, fintech, artificial intelligence what are things starting to happen before the pandemic that the pandemic has solidified and accelerated. technological trends at the beginning that have become more commonplace because of the way we live our lives. more fintech health tech. >> kind of a who's who, when you

look at the companies on the disrupter list it pays off to pay attention to these fledgling companies. >> that's right, joe >> they don't stay fledgling for long thank you, julia boorstin. becky. when we calm back, allianz adviser mohamed el-erian is going to give us and weigh in on a volatile weekend for bitcoin at the top hour, you don't want to miss liberty media's john malone. they're talking all things media, warnermedia and the last week big deal. this is an interview you've got to stick around for. stay tuned you're watching "squawk box" on msnbc. one of the many things you can expect when you're with amex. (vo) nobody dreams in conventional thinking.

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it is a new week on wall street, so let's go over to cnbc senior market's mike santoli after a fullback in rolling bear markets everything from spacs to meme stocks to cloud share yet, we're in the green, mike. >> yeah, i think that's the resilience the core market, let's say, as a lot of these pockets of excess get swept away look at the s&p 500 over the last six months. it can act as a bit of a time line of these mini blowups

gamestop and tesla peak. all of the meme stocks had say crash. here you have the blowup in the stocks, evs, all of that stuff that rolled over from mid-february that caused a pullback, not much more, and you can go isinto archegos and the overall market has rotated away from these areas of damage and drama take a look at the nasdaq 100 against the dow this year. it kind of has a sort of -- tells a similar story here of course, the nasdaq has been the big underperformer one thing i'm looking at here is this big pocket of outperformance by the dow, back in march, mostly you see it's kind of widened out similarly here you wonder if in fact you might see something similar where you did get a big bounce in growth, in tech, because it has become a laggard group. this is a roughly similar setup,

i'd say. just to get into some of the crypto-related stocks and how they've compared with the incumbents this is fun. you see the wild moves in blockchain and micro, right? just a core in equities. 150 and 300% guess what, they're now down below where bank of america and goldman sachs are performing this year. basically the kinds of institutions that crypto, in theory, is supposed to be countering, andrew >> mike, the question is if these minis can't be damaging, what can we see? a possible catalyst in the broader direction if that's in the offing? >> yeah, it could come down to tightening, that could mean actual fed tightening or the credit market is a little unsetted obviously, the inflation story,

it's been digested in the short term i think it's going to have to be macro that impinges on the liquidity story. because earnings are going to be probably fine, it's just the question whether they've gotten priced in, in the short term keep in mind, for as resilient as the market has been, it's gone nowhere in five or six weeks. you had periods where it had to digest the big moves from the market >> mike santoli, thank you mike just mentioned the stocks tied to cryptocurrency.let's take a look at the coins themselves after a crazy weekend of selling elon musk and his twitter account playing a big role our next guest saying he doesn't expect cryptocurrency going away joining us it mohamed el-erian from allianz

there's a correlation between what's happening in crypto and the stock market >> i think the volatility will continue to roller coaster, the up and down, with trading in the 30,000 to 44,000 price range in a week, that's etomnoenormous and there's two types of wars going on one is between public sector adoption and private sector and within the public sector, the elon musk u-turn has raised doubts on what was incredible confidence in accelerated private sector adoption. we are going to continue on this roller coaster as to the broader issues, in a narrow sense there shouldn't be any contake be institutional participation is limited. bank's balance sheets aren't exposed. they live in a different ecosystem from stocks and bonds. however, to the extent they reflect what mike just said,

which is by national conditions, that's what we have to keep an eye on any change in financial conditions can create contagion among many markets >> mohamed, you talk to big institutions all the time. do they look at this and say opportunity, i should get in because there's a dip here, it's lower than where it used to be i was a little frustrated where it was or do they look at this and say, maybe it raises questions about the entire quote/unquote classic class? >> some look at it and think opportunity, but think of opportunity in two competing ways some of them see it as part of the risk mitigation bucket that this is a noncorrelated aspect others reject that saying it's way too volatile and then some of them see it as part of the risk-taking bucket but they're looking at this. they need to be assured thatted

volatility is going to come down you take on a lot of reputational risks when you adopt a new asset club that's what it is, a new asset club it's not going away anytime soon but not quite as retail option >> what do you make of what's happening in china what do you make of prospect of regulation in u.s. som there are some people on twitter saying it demonstrates it has value there are others who say it's going to kill it, there are others who say it's going to credentialize it >> you have to take it seriously, it's going to be a negative than a positive for decentralized currency why. one is government's way of payment. two, is governments understood

that they should be in this game i think china is trying to make room for a centralized digital currency they want to occupy that space you have to carve it out of a decentralized one. and that's what they're trying to do. i don't think that the regulatory approach is going to be a great facilitator of higher prices i think it's going to continue to pay this forward by private sector adoption. at the end of the day, it will exist, but a lot depends on whether the public sector is willing to give up and the policy implementation. there are big issues here, andrew >> other question i want to ask you, we hear about companies, colonial pipeline and others shoo have paid ransom. i heard anecdotal with about companies buying bitcoin, putting it on the balance sheet and because of worries that they

might actually have to pay ransoms in the future. what do you think of that? >> so, i haven't heard about this, but if it is true, there's going to be another reason why governments will be nervous about private decentralized crypto so, you just spoke to one of the other elements they're worried about which is not seeing enough into the payment system. and that's something that for all sorts of reasoning, including national security, governments don't want to give up that easily that's why you see that resistance going on right now. >> but, back to the first question i asked you about correlation. let's talk about the market right this second. because we are in agreement this morning, things do look better as we mentioned some of the crypto stuff looks better. and i do think there's a larger question, longer term, whether you think the stuff should be considered correlated, uncorrelated and when we'll actually know one way are 0 the other. . >> so, we will know when there's a change in financial conditions, as mike said

when there's a change in the confidence that the marketplace has in the liquidity paradigm that is supported by ultra-loose monetary policy for a long time. as long as that paradigm stays in place, we're going to see certain rotations. but we're not going to see a major move down. if, however, there is doubt, inflation being one, the federal reserve changing its policy spending and others, these are all possibilities. not probabilities. possibilities. then you'd expect a major move and i'd suspect we find all sorts of things are correlated >> okay mohamed el-erian, it's good to say. we should say, i don't know whether we're calling this the bottom or top. maybe it is the bottom there's an nft being sold by cnbc to celebrate mark haines' "the bottom" there

>> i remember that day >> we all do it was a very big day. hopefully some good can come of that today to raise money for good causes. joe. >> all right thank you, andrew. coming up, did tim cook help apple's case when they took the stand in a potentially game changing antitrust trial last week insider's henry blodget will weigh in just ahead, "squawk box" coming right back you need a financial plan that fits the way you want to live in retirement. a plan that can help grow and protect your money. now or in the future. with an annuity in your plan to help cover essential expenses, you can live the retirement you want. the right financial professional can show you how. this is what an annuity can do. ♪ ♪ this is what an annuity can do. tailor made or one size fits all? made to order or ready to go?

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♪ virgin galactic completed its first spaceflight in two years on saturday. the spacecraft the vss unity was carried up to altitude to 44,000 feet by a carrier aircraft and then released. it then fired its rocket engines and accelerated to more than three times the speed of sound it performed a back flip on the edge of space and returned to earth. the company has to meet two fda milestones in order to receive a key license for conducting regular spaceflights but shares of the company are surging over the last couple days as the company has plans for this flight, avoiding what they say a

possible maintenance issue threatening to delay the stock you see that stock up 10% today. with more americans vaccinated against covid-19, the nation's business economists predicting the best growth in 37 years. a surge have a for business economics see gdp growth of 6.5% this year. that would be the best since 1984 in march, the group had predicted a rise of just 4.8%. meantime, cnbc launching its first nft today for two great causes ten years ago today, cnbc lost a friend when mark haines died he was responsible for the launch, until the day he passed away he's known for a lot of things but for what's now known as "the haynes bottom. when he called the low >> i think we're at a bottom, i really do. >> and now to that, we're auctioning off of an nft of that

famous call of 2009. we're selling a set amount of tokens for anyone who anyone who doesn't want to participate. it's at mintable.app/cnbc. proceeds go to autism speaks a greater charity of mark's and council for economic education, which works on educational literacy check it out @mintable.app/cnbc. it's a carbon offset with no impacts on the environment lots of questions about bitcoin and ethereum, cnbc paying tribute as well. becky. >> a great tribute to mark, hard to believe it's ten years, but it has been ten years.

when we come back, the epic games/apple trial is expected to wrap up today. tech expert henry blodget will join us for his thoughts stay tuned, you're watching "squawk box" right here on cnbc. don't forget to subscribe to our podcast. you'll get interviews, original content. and behind-the-scenes access look for us on apple podcast or on your favorite podcast app, and subscribe to squawk pod today. ld, i'd ten-x everything. like our lunch. (laughs) amazing! see it. want it. ten-x it. in business, it's never just another day. it's the big sale, or the big presentation. the day where everything goes right. or the one where nothing does. with comcast business you get the network that can deliver gig speeds

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welcome back to "squawk box" this morning some reporting from my newsletter this morning. and it involves going back in history, the originally deal for at&t to buy time warner in october 2016 shortly before that deal was announced can be revealed this morning that disney's ceo bob iger placed a call to warner's ceo jeff yuccas to purview a merger together. at the time, yuccas said it was too late iger hung up and called rupert murdoch. if you think of all of the mutations, and undoing it and to sell it in part to discovery and everything else that

happened remember, we reported on our air when rupert murdoch tried to buy time warner as well. but a little bit of -- maybe -- we'll never know what could have happened but there was a moment clearly where disney could have actually bought time warner a little interesting fact along the history time line of media >> everybody looked at everyone at some point. they're all looking at each other. who knows, anything that could have been different partners, they all got to worry about how similar things are, the overlap and everything else. but did anyone think it was going to be discovery/warnermedia? i was trying to figure out a name >> they still are. it's not like this is done they're all still looking for each other >> what's the name got a name for zaslav? >> i think there permutations of

warner-discovery, discovery-warner, right? >> i suspect mondelez, that's taken >> you don't think it's a completely new name, do you? >> i don't know, z-media >> maybe plus. all of these things have plus at the end. >> how about plus plus >> blodget, let's ask him, barry diller weighed in only the ongoing epic versus apple, what apple takes in from in-app transactions is simply too much. >> it's irrationale, 30% i mean it makes no sense to pay -- look, i make something. i offer it to you. these people basically, in the middle, provide a service.

but that service has an anaanal. >> joining us insider's henry blodget. do you have a new name i gave you a couple minutes? >> warner -- drop discovery. discovery can keep its network name but drop it >> warner, it's got a lot of identification, obviously, old hollywood and everything else. barry -- i wonder -- you know, barry doesn't like giving things away, i don't think. i wonder if he could get 30% on something, if someone said, barry that's not fair. give me 5. he would say okay. do you think that he could keep taking 30? >> i think henry would keep taking 30. >> me too.

un in my notes, henry, this is my favorite, it says here that epic, their lawyers attempted to show that apple was motivated by profit considerations. yes. now, if they can prove that, i'm not sure what's going to happen. but far be it from any company to try to go down that road. does that hold water i mean, of course, that's what they're trying to do but what does the remedy look like to you at this point, given what we saw last week? >> i think what barry was getting at, and that was a terrific interview, by the way, is it feels like too much. this is something that people have said about apple's app store from beginning 30% just feels like too much publishers have been saying the same thing so there is a sense that it's too much what's fair? i don't know something more reasonable than that, perhaps. and i think the broader story is, as becky alludes to a little while ago, big tech and apple is very much big tech

it's going to come under increasing scrutiny, regulatory scrutiny, monopoly questions and so forth and ultimately, you know, the more reasonable they seem in their positions, probably the less exposed they are there. but i think that, in this case, we'll see where it comes out it will be interesting. >> i can't take the fair wording, i'm ready to ban from the lexicon, everybody uses it for their own devices, the "f" word >> yep >> and nobody defines it nobody defines it. it's not fair -- like you said it's not fair. so, how about, you know, they deserve something to bring the customers in but then do you think -- i agree -- i don't know, i seem to agree with tim cook on a lot of these things but after they're already there, are they supposed to link people to other place where is they can go to get -- do they really think they're going to do that, that's what they're going to do

instead of trying to keep it on the app store? of course, that's what they're going to try to do do they need to give up their ip and let it languish wherever it can get it at a quarter of the price? >> i notice tim crook intelligently said, look, if you want to do it this way, you can do it the other way. you don't have a right to maintain a profit margin, so if there are other ways more convenient for people and maybe other companies, i think that's better but i think, to your point, there's a lot to what apple -- apple said it. apple built the platform completely they do control it they do have a reputation in the market as being the best the experience is great. they want to control that. so, there's a lot to that, too i think this is going to be an incredibly intricate argument and very interesting to see where the judge comes out. >> well, that's the thing. the body language and sort of

the comment from the judge do you think that if you were apple, you'd be worried? sometimes it doesn't go that way. judges just -- you know, they ask the tough questions. they posture a certain way,and then they don't necessarily come down that way. they just wanted to cover those bases. do you think that apple needs to be worried, given what some of the comments were from judge gonzalez-rogers? >> yes, i think so i think, certainly as an apple shareholder, which i've been for a long time, it seems very possible that the judge could say that's too much. you have to reduce the commission or force something else i think again and again, especially with corporate litigation, this takes years let's say there's a decision that's startling that apple doesn't like, they will appeal it for a long time and i also don't think for apple, let's say they were somehow forced to go to 10% or 20%. that's not debilitating to them

at all it's a little bit, but it's not a huge deal. so, i don't think it's that much of a concern, but i wouldn't be surprised, based on the judge's question >> henry, two things, i've always looked at this, there's a legal case here and a public policy case, potentially, in the future that isn't this case. on the this case on the legal arguments, as i've seen and i've been listening now, i listen every day, it's crazy, to this case, due hear arguments being made, i think, of what might be described as a true moan polmonopoly or even fd which is somehow to say these developers are being induced to work on the platform, one price, and then sometimes the price is getting changed later, one of the things you do hear though is that different developers are being treated differently so for example "fortnite" on one side is paying 30% when people are doing in app purchases but roblox isn't because they've been somehow determined to be an

experience and the question is whether you think that a judge will try to actually get involved with that debate those are actually business arguments. one guy came in one way, another guy came in another way, and they knew what they were getting themselves into, but whether you think that a judge will try to get involved, or whether the ftc or fcc or others later on bring a case around things of that nature. >> i think that gets at the larger point, which again, these are such complicated questions, and there are often good arguments on both sides and i think as you rightly point out there, it's ludicrous to say one is a game and one is experience, that's ridiculous, so that will take a while, i'm sure there will be lots of grounds for appeal, but i'm sure from apple's position as they treat everybody the same, again, to go to the judge's favorite word, fairer, than arbitrary distinctions about who is what and so forth but obviously apple was trying to carve out in the trial this

sort of game categorization as being something different. >> they did say, you know, if you have time, you can ask henry about bitcoin. but i'm not going to you know why, henry, anybody who puts a range that is worth between a dollar and a million, you're useless look, what good is that. >> well, at least give me credit for saying it is a perfect asset for a speculative bubble we've certainly seen that. >> your range is a dollar to a million, what is an investor supposed do about that, henry, you know better than that. >> i will tell you what they're supposed to, do unless they like speculate and a lot of fun to speculate they just watch the show from the sidelines. very entertaining. nobody has to speculate. >> no, you don't all right. enjoy being poor, henry. thank you. >> thank you >> all right we'll see you later. becky? >> anybody who bought bitcoin,

most people, unless you bought it for a few days in january, you're down for the year so let's see let's get to cnbc headquarters, jim, we'll ask you about crypto, but first let's start with apple and the app store. is it a monopoly do you think it gets busted up here >> i think if you want to take part in the app store you're going to make a lot of money, if you try to do it yourself, you probably can't because apple takes its share because you'll do better particularly as a small business person just casting with them, and the big guys may think it is unfair but the vast majority of smaller people, two million developers are thrilled because 30% is their take, that means you get 70% of something, versus 100% of nothing, so i think that the small business person should be the focus. and the small business person does very well with the app store. it's not talked about. the big people are focusing on, and none of the big people like it and they can go do it

themselves and see how they do. >> what did you think of the judge's questioning. it was a little more aggressive than i had anticipated >> i agree i mean i think that, you know, look, apple is the biggest, and so you know you're going to be the toughest on them but i think apple is a great case. i really do. you don't need apple the problem is, is that the other guys have not stepped up to challenge apple and that, i don't understand why. because it's such a lucrative mark why can't amazon say you know what, we're going to do this and you will be able to start your project on amazon, in a way where they just blow it out. where ammon just puts billions behind it but they haven't done it yet. still waiting. >> i was going to ask you about bitcoin but they are wrapping up. >> why >> i think bitcoin - >> something about it. >> some of these exchanging pay a fortune on your bitcoin. so why not own bitcoin you get 5% interest on bitcoin what's the matter with that? how they do it

i don't know a lot more from jim coming up in a few minutes. we'll hear more. jim, good to see you also, another reminder for you at the top of the hour, don't miss david faber's exclusive conversation with liberty media john malone on the warner media/dcoryea quk box" will be right back.

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we're a little more than a half hour until the opening bell on wall street dom chu joins us with a look at the morning's top biggest pre-market movers. good morning. >> we're checking out first of all, what is happening with shares with some of these analyst calls out on the move. first of all, hewlett packard, getting some analyst upgrade action over here, you can see those shares up about 2.5% right now. also interesting moves here for campbell soup as well. those shares moving to the down side on a downgrade, again, so watching campbell soup there as well and then beyond meat is an interesting one here, a double upgrade from underperform to outperform, over at bernstein. they like some of the trends there for them to be a reopening play in the coming quarters. so you got hp, hamp bell soup, beyond meat, kind of making some pre-market moves alongside the ones we already told you about

with regard to wells fargo initiating tesla and goldman initiating coinbase, and keep an eye on those particular moves in the pre-market session back to you. >> dom, thanks beyond meat. oat milk you may never eat anything that comes from a natural living thing again. if that's what you want to do. a final check on the marks we're up about 142 points now. on the dow jones and the nasdaq has gotten even stronger as the session has gone on this morning. now up 105 points. i haven't looked at, have you guys seen arkk are we looking on that we were thinking that the markets were keying off that for a while. cathie woods etf i think it's back over - >> $105. >> 105 kind of made a base, didn't it maybe that's what we're looking for. and the 10-year, which, harkening back to that stabe lation, we have definitely

stabilized, three months that the 10-year has stabilized and the question is, is it stable because it is transitory inflation or stable because the fed is buying all of it? we'll know some day. guy, happy monday. tomorrow is tuesday. and next monday is memorial day. so we have a three-day weekend coming up. i'm already thinking about that. make sure you join us tomorrow "squawk on the street" is next good monday morning, welcome to "squawk on the street" i'm carl quintanilla with jim cramer and dave faber sell side conferences and fed speak and bank testimony, dow coming off two straight weekly losses our road map begins with the crypto rollercoaster bitcoin rebounding after a wild weekend that took it back down to 32 k. my