teams. he can write down the entire $2 billion purchase of the clippers over 15 years. the team owners responded by saying, look, these are the rules. all we're doing is following them >> i think the write down on the clippers might be okay i'm an nba fan. "closing bell" starts right now. >> have a good weekend. welcome to "closing bell." i'm wilfred frost. a very happy friday. the dow and s&p, and nasdaq on track for record closes. let's see what happens. >> i'm courtney reagan in for sara eisen let's look at what's driving the action it appears to have stabilized. financials are leading as banked get a bounce off those yields. san francisco fed president mary daly warning the economic recovery could be at risk because of the delta variant

jeffrey sherman joins us to discuss the big move in bonds and why he says we have overshod to the down side rich and branson and jeff bezos get ready for lift off, and we will discuss how big the space industry could be. with peter diamandis, who has a future ticket. >> mike santoli is tracking the market action. ylan mui has the details on president biden's latest executive order. mike, let's start with you. >> regaining what was lost yesterday and more most -- even though we got the shakeout yesterday, we sauce a morning reversal on thursday, which seemed to give people confidence it wasn't going to be some kind of open-ended flood of selling. you couldn't really script a

bers kind of more orderly up trend. we didn't really relieve the index level, but that may be not necessary for a while if in fact we have these rotation below the surface. now, this is basically the medium and large-cap stock measuredsh and what i love about this is it's like a lot of charts here. and in the last couple months, the lead has narrowed, but they more or less just converged. that's happened with growth versus value and right now they're both going up in concert today, but it's very interesting we sort of have tested the resolve of those people who say, hey, this is a recovery market. we want to play cyclicals, we want to play small

we want more risk content in our portfolios so far it's not fully buckled, those trends how about globally this has been a much more stark pictures here's the s&p against the emerging markets, as well as the china large-cap market china is more than a third of the eem, the emerging markets etf. this time of year, going ahead through the end of the year, you tend to have emerging markets do a lot better whatever outperformance they tend to log is in the second half of the year also going along the lines of values and cyclicals coming back. >> mike, in your first chart, you showed us the uptrend. even with the fits and starts we've had this week that felt possibly like the beginning of a new trend, we're still going up. >> yeah, all the corrections

have tended to be localized. and not really marketwide. in fact, it's the second longest stretch we are on right now without at least a 5% pullback over the last five year, only exceeded by 2017 into 2018 mike. >> thanks so much. president biden signing an executive order today. ylan mui has the details and how it could impact business ylan >> president biden made the case that growing corporate consolidation is bad for consumers, also lower wages, less job mobility, and fewer small businesses >> i know america can't succeed unless american business succeeds let me be very clear capitalism without competition isn't capitalism it's exploitation. >> the executive order he signs spans more than a dozen federal

agencies there are 72 access or recommendations targeting, as biden put it, big ag, big pharma and big temperature. it also calls for a ramp-up for scrutiny the business community is sounding the alarm over the administration's move. the u.s. chamber of commerce is disputing the idea there are too many businesses that are too big. they called this a government knows best approach. back to you. >> ylan, how enforceable is this >> well, legislation does have more power, wilf, but as you put it, it's not going anywhere on the hill right now in terms of the issues that president biden laid out in the executive order, the ftc and doj

are independent agencies and can make their own decisions, but they were standing by the president as he made these announcements. it's very likely they'll try to carry through what he asked for. jeffrey sherman is here to discuss what's driving the move in yields. what he says is the biggest risk to the bull market you're watching "closing bell" on cnbc.

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guy the uss ten-year treasury yield bouncen back earlier today, it was said that yields could go low er. >> i don't see any resistance until we get to 1%, and then i don't think that that's that significant. z, meaning, you know, there is a support for yields so they don't go lower, but it's not exceptionally strong technically it looks like we're going back to the lows, which would be 65 basis points

>> i think we put in the sec ullr lows in reits there's been a big change in dynamics in relieving some of the research ratio requirements, which has created some demand. you have seen that throughout the second quarter that -- so, you know, when i look at the fundamental data, it's hard for me to agree on the idea we're going to retest those lows at this stage >> it seems there's been a lot of negative headlines out there.

just really a pickup, it seemed to entice buyers it's puzzling when it but i want to remind so when you look at the gdp forecast, we're still talking about a -- so on a real growth page, these look extremely overvalued and yes, inflation has been talked up to transitory, there's some pieces of inflation that will be transitory, but also pieces of inflation that have yesterday to materialize, which are more sticky. so think housing prices, think about rent we just saw what president biden

signed on the executive order trying to make a more competitive wage landscape we were, well friday, we go ahead if you look at headline -- it's 40 to 50 basis points >> there really isn't this reason to be this nerve out, so to answer your question, i think we're seeing for demand pickup, on the hedge basis, both in treasuries, and corporates make some sense i think because they're in the center, they're looking for some safety

>> do you think that policy is appropriate right now? >> i think you see a lot from the so there was a lot of the noises made at the last fed meeting. there's massive dispersion around uncertainty where policy lib in 18 months' time the fed minutes this wee, there was no consensus whatsoever. >> really since most of my career you look at the year-over-year numbers, we're back above trendline growth, and we're supposed to get there. they also are talking about the

labor market i think what you're seeing is people need places to put money to work. also the consumer is flush as well that's where i think you've seen this bank demand that's caused a bit of this rally. we don't think you should by increasing the -- in fact it's time to reduce some of that, and then also that means reducing some of your exposure to investment-grade corporate bonds. how quickly could yields drive

again? >> i think everybody's going to dig through the hood, wilfred. we know the numbers will be large, some of the largest we have seen. when you look as some of the core pce that the fed uses or core pci, these are at 30 and 40-year highs. that will not stop in the short term i'm simp theic that supply chains are constrained, and they will work out, but not in a month or two i think the housing market, misa big piece of cpi, will start to march upward if we get back to pre-crisis levels, it's about 1% higher so i think the bond market will say, wait a second, what have we been doing here? ultimately, do i really want to lock myself in to getting these

negative real yields even the five-year treasury seems like a bad play to hide out. >> is it concerning to you the yield surf is flattening at this point? >> i think much is made about it, right? penal say, my gosh, the curve is flattening, what is happening i think we all agree that growth is not tenable at 8%, 9% real on real, so yes, it's going to slow the fault risk is extremely low. >> what you have to think about, many -- were talking about steep

ners, play the front end of the curve, and benefit from the rise -- as soon as the fed came into play rhetoric was hawkish just because it went up to two hikes by the end of 2023, that's nothing that's going to curtail growth at this stage i don't read a lot into the flattening we have a bit of technicals to go through so you always see a decline in treasury balances. there's a local of technicals, too wovgy for this segment, but we think those are clearing up, and through time this would be marketing trades more, on

quality of supply and demand, as we finance more of these fiscal policies. >> jeff sherman, thank you very much for joining us. >> thanks for having me. straight ahead, rbc getting bullish on the dating scene. they just initiated coverage of match and bumble and how big they think the dating market can grow. and today some of the top searched tickers wel rhtac 'lbeig bk.

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welcome back just under 40 minutes left in the session. let's have a look at some individual market movers stamps.com it's expected to close in the third quarter. it's up 64%.

rbc initiating coverage of match and bumble the firm session the $8 billion market is in the earl innings of secular growth those stocks moving higher today. it is time for a cnbc news update withd dom chu in northern california, hundreds of firefighters are still battles a fire that has closed 200 square miles of a national forest. they'll get for help from the weather this weekend tr triple-digits temperatures are expected in southern california all the way up to idaho. ? petersburg, russia, coffins stacked at a crematorium officials say the deaths have tripled since the beginning of june. and on a far happier note,

at the london zoo, a group of meerkats, choosing the home team to win it all in the 2020 championships, flags of england and italy were placed in their enclosure. they knocked down the english one first to make their choice i trust the meerkats, just like i trust the puppies. >> was it very clearly explained to said meerkats, they needed to knock it down? >> i think it's a meerkat intuition thing. >> this is making me more nervous, dom, than confidence. there's just so many questions. >> if i were you, i would be nervous as well. >> cnbc's main italian soccer fan, morgan brennan, tweeted it earlier today as well. so may the best team win, but

hopefully england. dom, thank you very much coming up, a debate over booster shots. pfizer says it's time for a third shot, but the cdc and fda say not so fast. how shipping companies are preparing for what could be another roll-out of those vaccines. ten-year bouncing a bit, closing around 130 yesterday we're up around 136. ♪ ♪ experience, hyper performance that takes you further. at the lexus golden opportunity sales event. get 0.9% apr financing on the all 2021 lexus hybrid models. experience amazing.

shares of biodome up, the agency would like the office of the inspector general to review the approval process for biogen's alzheimer's drug, specifically how interacted with the company. that's down by more than 3%. the cdc and fda say people don't need a booster just yesterday. >> but great news either way. >> pfizer does have good news, it showed if you get a third dose of its original vaccine, you can boost antibodies up to what they called encouraging levels the questions between the fda, cdc and pfizer come down to

pfizer saying they are more convinced with new data that we will need boosters 6 to 12 months after the original vaccination, basing it on real-world data. even though it remains high as we've been talking about that's why they're saying this third dose may be needed six months to a year after the first vaccination. we caught with the head of israel's biggest hmo about how they're thinking about booster shots in that country. >> we should give them the third shot of covid for the most aggressive patients. for the general population, i think it's too earl. probably yes, not in the next month, month and a half. probably we're talking maybe october. obviously we needs to understand what is going on in the next weeks in israel. >> israel, which has led the world in vaccination efforts,

really folks that human osuppressed may need the booster first. the fda and cdc are trying to emphasize, as of now fully vaccinated americans do not need a booster shot right now really, guys, trying to emphasize these protect against severe disease, including against delta, and they're trying to get as many people to get their first shots as they can. guys >> will it matter which company's booster shot you get do you have to stick with the same company very unlikely. we're already seeing the mix-and-matches here in the uk and canada and there are tests running here, really figuring out what

that looks like, but with other vaccines like the flu vaccine, went dough know which one we get. >> we're all so aware of what covid vaccine i got, but no idea what flu vaccine i get every year for more on how shipping companies are getting ready to transport those potential booster shots, frank holland has more for us. >> u.p.s. announced announced the adding of storing those time of materials u.p.s. and fedex partnered with each other and the government to distribute vaccines, now they're in a cold war of sorts to be the leader of cold-chain ships both have the facilities u.p.s. says it's focusing on other temperature-sensitive

pharmaceuticals. >> probably 50% of drugs today in development are biologically der derived, from organic material, derived from proteins, all of them remember temperature con control. >> the demand for cold-chain capacity is forecast to increase 24% over the next years. straight ahead, the s&p is up around 16% for the year, could we see a correction coming in the next two to three months? our next guest says it's a strong possible. >> later the space race is heating up, as sir rich and branson prepared for his flight this weekend peter diamandis has his own ticket we'll ask him how big the industry could become. we'll be right back. ♪ and a man's gotta learn to take it ♪

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the s&p trading higher today, on track for the sixth weekly gain in seven weeks is a correction coming cameron dawson joins us. thanks for joining us here today. i guess that's a great place to start. mike san toldi started off by saying we've had some fits and starts however, it sounds like you think that won't be the case for long >> the first message is, don't panic. a 10% collection is -- incur capital gains, but it is enough to be patient putting capital to work so we think there are two camps of thrivers that could debt

dereich a correction the first is technical, the second is fundamental. the technicals are pretty straightforward. we know we're in year two of a recovery we also know we have some --, and the technicals do raise some questions. the fundamentals might be a little by more interesting for investors, because we think we have to appreciate that we have a fading tailwind from both fiscal and monetary policy growth if we look at things like into money supply or the fed balance sheet, that growth is slowing substantially. when you add on top as well peak data, so things like peak pmi, peak car sales, housing sales, that should provide a headwind as well, as well as a stronger dollar, which will possibly create higher volatility the last thing to remember is earnings expectations are really high we have actually seen the

largest increase in earnings expectations going into the second quarter of earnings season on record al an all-time high, and with record inflows into the equity market, we think it's a rather hard environment to surprise to the up side. >> you also think it's going to be hard to make money in cyclicals. you're watching machinery versus waste storks explain why this is a metric you pay attention to, this is a fantastic one, because it looks intrasector. what we saw is machinery stocks, are the most cyclical of the industrials, waste stocks are the most defensive what's really interesting here is this ratio peaked out within days of the pmi hitting a 40-year high so when we hit that 40-year high in the pmi, cyclical stocks were trading not only at all-time high valuations, but they had

just rallied over 150% so this gets us to one of my favorite mantras, which is when the going gets good, we get going. >> what level of pullback would you need to see if the headline indices advised your clients to be buying equities fairly aggressively again. >> we think a 10% to 15% pullback is viable we don't see something more nefarious coming, because credit remains fairly benign here, despite the market volatility. so, you know, let's not forget the high-yield spread, when you take out cpis went negative. so the market doesn't seem to be anticipating some kind of economic recession, and cycles simply don't when saving rates are this high or the inventories are this low all in, i think a s10% to 15%

correction is certainly viable >> let's get your take on the faang group, president biden putting in an executive order, asking the government to take a closer look at the way we view these companies and their ability to grow and compete. what do you see think that that or erect factors will mean, the faang stocks and surrounding members? >> we've seen the faang stocks be rather impervious the reality is the profit they are able to make far trumps the amount of fee that is they have to pay, you know, against the regulations. we also think that faang stocks are getting the benefit of the defensive inflows. they proved in 2020 they can be the all-weather stocks ear not seeing money flow into things like utilities and staples like you might expect.

it's going into the small cohort of indio sin crattic growth drivers. >> good to see you thanks for joining us. >> thank you. still to come, shares of general motors jump on a new call, and wall street gets bullish on credit card companies. don't forget, you can watch or listen to us live on the go with the cnbc app we will be right back. we're right by session highs set for three report closes.

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just over 14 minutes left in the trading day. we are now in the "closing bell" market zone, commercial-free coverage through the close today we have charlie with us as well mike, quite a healthy bounce from those lows yesterday, matched by equities and yields absolutely very much in sync across the board. though it's interesting and you this we only went down a percent or percent and a half front of an all-time high, why is that enough for people to reload and buy it i think, one, the conditioning of the fact that when the market does wobble a bit and credit is not acting up, it doesn't seem like there's other strode building, not macro driven are more yield driven, fine so it

does shows there have been a lot of profittaking going on, and some stocks did probably seem ripe to bounce what's fascinating is it's participating. this is not an either/or day. >> what do you make of the action today in right of what we have seen over the last week is it all technical? or some fundamentals at play here >> hard to say, but obviously interests rates, the ten-year going to 125 made no sense, given what we're seeing with inflation. that move down clearly made some nervous that the bond marked maybe knew something and maybe people cake to their senses corporate earnings are going to be about, so those value stocks

bounced back nicely today. would you be tempted at all? >> not only do we think inflation will be high, it already is high. we're already reporting the highest core inflation numbers we have recorded since 1982. the rate we've had the last two months has been 0.4, 0.5% per month. so we think we are in very h high -- we are already in high inflation range, and at these levels, the bond yields make no sense at all it's being reported that the company is in talks for coverage of envelope games.

apple has had a run, year to date up only 9%. >> it's had a lock time of doing nothing. as i said before, there was a lot of kind of drive powder in these stocks i also think apple trades as one of these bond-like behemoths. >> this is the name where i can look back and kick myself for not buys it became a value stotts

there's a lot of names like motorola that should the dominant phone and weren't it's not todays, but i am tempted occasionally >> the one we love the most is oracle followed by microsoft, oracle trading at 17 times earnings, with a wonderful cloud business 17 sometimes earnings, that's a value stock in this day and age. not growing as fast as some others, but a great up side to the possible -- that movie had that's the big cap tech name we like the most.

mike says this will be an inflection point for the company. it makes that the second bullish analyst on gm. >> tesla still has a massive valuation, whereas the legacy companies still screen out looking very, very cheap the unanswered question is exactly, over time, how much they're also needing to keep up with the attrition of their internal combustion install base

it's a more complex story. it makes sense they're not giving credit for a piece of the future, and one of the reasons tesla has been done is they no longer have a monopoly on this idea. >> does gm look like an att attractive why to play the ev market or is tesla the way to go? >> yeah, i think gm and ford are investable, where maybe they weren't previously we still in this space prefer borg-warner, which has a strong powertrain business on electric vehicles we love borg-warner. >> it sounds like you invested them in the past no. >> it's the classic analogy. >> i know, i know.

>> the nasdaq up nearly a full%. have he changed at all >> yeah, a very significant driver of the drop in yields if you just looked at the market implied expectations, they have drained away whether it's back people are interpreting what the fed said in june as we are going to get out of in front of it and not let things run very hot, so that wild overshe'ding scenario is not necessary, who knows or they're saying they'll probably keep inglass under control, so i do think that's been a big factor here the big question is, is it all

just counter-trend, a bit of a diversion from the overall trend in terms of value, leadership and higher yields. charlie, ahead of that cpi nu number. what are you advising more broadly? >> we just think that's wrong. i mean, i expect the crowd and the consensus, but in this case, everything we are see is higher inflation. we've had nothing but positive upward surprises on inflation, and we think that trend will continue wages are heading up the money supply is heading up oil prices are heading up. less globalization the economy is very strong there are just no factors pointing in the op sid direction. we think the factors, the forces will push inflation higher, and we think we'll -- >> what is the single-best

inflation play in your portfolio that you recommend, charlie, to people watching? >> you know, i say it every time i'm on with you, but it is mosaic, the fertilizer company that, in general, wilf, you want to buy stuff in the ground, hard assets that's what mosaic is. it will benefit from the strong agricultural economy also the other way to play it is real estate. hard assets are where you want to be. you want to avoid bond substitutes, and you want to avoid tech which will not perform well in an increasing interest rate environment wall street is getting bullish on credit this comes after we saw too bullish notes on american express earlier this week, and morgan stanley named it its top

idea charlie, if you're looking at the financial space, a bit rounded out from credit cards, saying a square, or a shopify, a tech payment company, what would you be most interested in? >> we're going to look at very high quality, sleismt banks, money management firms goldman sachs continues to be strong so we would stay away from the high multiple fintechs and go with the -- bank of oklahoma will do very well in an inflationary environment. >> mike, we'll get a read on consumer spending next week. i was thinking coming into this, the banking coming back of late, an easier setup on the share

price there, though they're bouncing today, but it's pretty tough. >> people of pretty much on board with the idea. the credit profile on the consumer side looks agreed so that's been a tailwind as well i think that's the question, even with some of these credit card stocks, just because of all these things going right you know, you always have to wonder if the market has gotten to that place. with the traditional banks, i still do think they rebuild a bit of value, in theory that are embedded in the stocks should be more modest. the financial group one of the biggest laggards for the week. >> it's been hard to find consistent language. the s&p factor did have a flush

to the down side, so it's not as if people have been complacent i know there's been talk of a slowdown in capital markets activity in the second quarter, so it's probably something that will be on people's minds. >> up 4% today, but still down even with that gain, 1% for the week mike, internals? >> very strong today, as we know, for a couple weeks, it's been a consistent quibbles with the market yesterday was actually quite negative, but if you look at the up versus down volumes on the new york stock exchange, it's well over 80% to the up side.

inch amount zone versus energy, it's that laggard growth names, the energy sector so you have amazon going up more than on the week as a whole. we were up above 20, creating a spike on the charges, it's a bid of a buy signal. >> showing that the cyclicals have been the worst performers, but the best performers today. still down 3.5% all 11 sectors are higher today big tech also playing a part that's why all three are higher by about a% the nasdaq is

pushing to join the 1% club today. quite remarkable under yesterday. welcome to "closing bell." i am courtney reagan the nasdaq and russell 2000. a alsoed energy outperforming today, thanks to a raleigh in oil prices were now up more than

50%. >> coming up, on whether he thinking crude can keep heading higher at they get set to head to the starts. >> it's a mini shake-up. i notice it was almost nothing the fact that people are a bit hesitant to believe we can continue to -- you do have these shakeouts of hot or low conviction among

we had an extreme run in yields. something similar harp so we'll see how it goes a week add friday. we had another flawless one-day rally, and it doesn't have a lot to say so nothing says this is the way the rest of the summer plays out. what is your take for the rest of this year >> yeah, so we're a bit more cautious on tech going forward we have reduced or overweights there and the rely la torrie backdrop shirting. that's sort of our stand right now.

we know jackson hole -- doug they need to change their language ever so slightly? >> there's what i think they should do and what i think they will do. so they say that they think inflation is transitory, so they should be spending signals, i don't think they're going to do that i think they're being pretty -- >> if it is hot is that just

going to speed of market all over again >> no, i don't think people are being completely comfortable about it. >> we're still in that window where the data can be explained. that he diminishes the farther away we go so arguably the pendulum could swing the other direction. on the other hand, when the market thinking the fed will be on the inflation case the numbers now don't necessarily mean higher yields so i don't think people will shrug off a high inflation reading.

we're in the camp as well, that some of this will be a big more persistent >> having said that, we think that the fed is only going in a do not harm, do no harm kind of back drop. chair powell has said any lightening up of policy already methodical and transparent everyone we think the timing to get to taper is some time away we they they'll start having conversations, especially if we continue to go high inflation prints, but it's taper first we're coming from the high 120 billion a month pace, and after all of that, there's rate hikes. we're still some time away from rate hikes themselves. >> tech stocks are mostly higher

earlier today, despite president biden's crackdown on the sector. josh lipton has the details. >> intended to reshape, targeting big tech by scrutiny of mergers and encouraging the ftc to establish rules on surveillance and the accumulation of data in other words, it doesn't impose its will, you know, laterally, instead here frequently calling on independence agencies to take away , for ring andthey hail big

tech almost as much as mitch mcconnell does i have to admit so far, it hasn't gotten a lot of attraction >> why do you think that is? with these big names and there -- why is it that these just shrug it off so often >> i think we're seeing some push and pull here i think there's some nervousness that folks who stay at home longer, that the technology dots will have in boost due to that.

mike, is the amazon technical breakout being done now? >> it's nods always the kind -- of fundamental information i do think the big are tangible potential impact of the executive orders is on companies that might sell to big cap tech. it seems like it will be a chilling effect, and in itself doesn't hurt the big guys, but if your business model was to get to scale and sell, that might be a bit of a hitch. we have a news alert ylan mui has the details for us.

what's going on? >> courtney, president biden spoke to russian president vladimir putin this afternoon, and he reiterated the united states will take any action to defend its people and its critical infrastructure. a senior white house official said that president biden underscoreded need for russia to take action if they're operating on russian territory, even if thought directed by the government, but the assessment of russia's response will take time to play out, and biden believes ongoing discussion will continue at that level the administration is also disproviding fuel, but the white house emphasized this is an ongoing security campaign and the u.s. government and federal agencies will need to modernize their operations to meet the threat

>> is this a threat to the overall markets? >> i don't put it on the top of my list, i really don't. i think, you know, the thing we all have to worry about is i believe and the market believes were on the other side of covid. if we end up being wrong, that's not going to be pleasant that means i'm wrong about my earnings outlook and i put the odds of that at 15% to 20%, but it's a long way higher than zero. >> thank you both for joining us still to come, billionaires in stockpiles. richard branson is celt to take off this weekend jeff bezos will also tao soon make his trip. peter has a ticket himself to fly on a future virgin blackive 'light wel discuss how big space tourism could become

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the countdown is on. richard branson is set to fly to the edge of space on sunday. they'll text the priority experience, make space tourism one step closer for those of us on earth the unity 22 mission will be the 22nd flight test for the vss unity joining us is peter diamandis, he has his own ticket to flyhow important is it do

you think that he's first the fact that he's going first, as an owner of virgin galactic, before putting all of those who purchased tickets is the important one here, saying i believe in this technology richard is about a decade older than myself. we both got the same space bug on the end of apollo and "star trek". >> there's a space tour itch

value. jeff, like myself western in collection at the same time, had the same passion, that really again got sparked by the apollo program. space tourism is the low hanging fruit. it's the equivalent of barnstorming after charles lindberg flew across the atlantaic. there will be three or four companies on that but the real value is going to be be yod just the tourism, taking humanity to the month. >> they are unique quantities in space. if we look almost like the original european explorers, look towards the new world for land and timber, tobacco we're

going to start to see an eek on system not just on earth, but around earth that's what sparked this entire space flight revolution in 1996, to get that economic engine going, because there's trillions of dollars to be made out there. >> i wonder what a mortgage rate is on the month right now. we have a supply problem here. in all seriousness, how big truly could space industry be in the near term? obviously we're talking about hundreds of years, i don't know that that's happening in the year 2030. >> if you look at near term, you know, from private consumption of space tourism flights, you know, we are in the potential for tens of millions it's a luxury advent tur travel.

if there are thousands of people traveling per year times a half million dollar ticket, you can do a math there. that's the kind of rate. then we're going to orbit. one of the companies i cow founded is taking eight clients to the space station uses the russian soyuz at $250 million a pop. space exis starting to do that now. listen, on the sub-orbital flight, you're going up to 100 kilometers, back down, that is 50 times easier than going to orbit. going to orbit is 50 times harder with more energy required not everyone can pay a $50 million price tag and take weeks of training, but if you look at

resources? space, right, we're going to start to mine resources, liquid oxygen, hydrogen, eventually materials that will be used in that economy we'll start to see this economy hit in the next 20, 30 years i think tourism is near term, then government dollars to the moon and mars, and other marketplaces later in the decade >> which are you a bigger believer in and bigger investor in, space or crypto? [ laughter ] >> i'm a bigger believer and investor in the health and longevity field. that's most of my investments these days the companies i'm building is how do i add 20, 30 healthy years in my life i want to live long enough to get myself to the moon and to mars but crypto is a very different -- crypto for me is about where i put my assets versus space is where i'm making an investment.

there is a massive marketplace as well for global communication networks we're seeing starlink and all of the other networks being flown out of china, europe, the united states, and those are global coverage for connectivity. massive markets are there. there will be some time before they hit hundreds of billions, but the long term is these are trillion-dollar markets. >> peter, as we are looking at sir richard branson going into space this weekend and jeff bezos toward the end of the month. mr. bezos has recently stepped down, but he's a high-profile individual, certainly a large shareholder. is it a risk is it something that you would rant let want someone like jeff

bezos do if you're the amount zone board >> i think jeff and richard will do what they want to do. do i think it's safe absolutely not only is it safe from a perspective in that it's been done over and over again, and this is not 50 years ago, where we're test flying an apollo or americaie or gemini capsule, and the only way to get data is to fly it and see if they work. they have been done in super computer models in high fidelity i think everything has been reliably operated over and over again. i would go in a heartbait. i know hthousands of friends who would go with 1996, we announced a $10

million x prize for space flight virgin black g galactic, what's remarkable is it took 17 years from the time this technology flew to get commercialized the reason is for safety virgin galactic is flying with two incredible pilots, and jeff, as appropriate for jeff bezos, of amazon is flying with a capable a.i. at the controls >> peter thank you very much please come back. >> a pleasure. hi, mike. >> we were just talking about the credit card companies and how they do have these tailkinds, this week we got a report on consumers credit month

over month so it seemed alarming as if consumers were starting to get reckless, but it's actually not. all we're doing is starting to come back in the early 2020. in fact, with this huge gain we're not back up to the longer term trend in what consumer credit is doing. more son, it's what is costing households to service the debt it's actually low. look where this is this goes all the way back to the '80s we have never been lower in terms of what it costs on an annual basis to keep the debt floating it's tough for the overall economy. to get into any trouble, when this is the case to have a lot of loan losses, in what it says a lot of lleyton spending power

there. deceleration of growth, and maybe a slowdown ultimately we're still talking about a lot of things that are working in the economy's favor >> corporate balance sheets feel strong at the moment, but there are some areas where you could start to see company es feel the pinch a bit, but we're talking years away. >> most likely years away. large companies have extended the maturities out, so it's not as if they would happen all at once, but yeah, at the margins you'll have borrowers fall by the wayside, step function higher in rates. >> thank you very much, mike santoli. it's been a wild ride for oil prices after a rough start to the week chart experts on whether the

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the company/sproot victoria's secret, and that the l bran will be renamed bad@body works. it will trade under vsco, slightly confusing when we're talking about the trend, but the company, of course, is undergoing a number of changes, doing a rebrand, moving away from angels and vs collective, a collection of seven women of various background, shapes and -- there's a big task at hand victoria's secret has been a brand of a very sexy lingerie company. rebranding that will be difficult. i don't think it's impossible, but separating the company is something that needs to be done

so the successful part can be refocused. is victoria's secret going to command a premium multiple >> i think there's some potential here perhaps victoria's secret can change with the times, too have i different i was one of those ones, it may not be the right thing, but it could be hard to make that image change so maybe they'll prove me wrong. the commodity has seen strong trends tom mcclellan is editor of "the mcclellan report." thanks for being here.

it's been a busy week, largely driven about what's going on with opec. what do you forecast for oil prices here going forward? >> there's nothing like an opec meeting to get everything excited. we're seeing the near-month futures are up way above the further out months that's indicative of a short-term supply squeeze. it puts it into backward-ation, chet the other jazzy con-tango and that's a lot harder to recover from when you're in con-tango, you can see buying crude and renting a tanker to store offshore, you could do that in backward-ation. when you see a high backward-ation like we're seeing now, it's an indication of the

near prices at the to which. people are not believes that the current price is a legitimate one. that's you will why you're seeing in the near month continues higher, but oil stocks are not. the oil stock analysts and traders are looking at the rest of the curve, say, yeah, it's great to be selling crude oil prices in the near month, but you're not getting much further out. that explains some of the difference between the oil stocks and the commodity itself. >> obviously there's a lot of enter relatedness between a lot of the commodities, of course, but you really watch the moves in gold and believe that portends what will happen in the oil market what is the gold market telling you now? >> the movements lead similar movements of on lat of things. the correlation between gold

forward and interest rates is just doing great i forwarded a chart to your folks, compares the gold price shifting forward 20 1/2 months to interest rates, this only shows a small segment of time. it's been working a lot longer than this. the drop in interest rates that has been getting a lot of attention, mortgage brokers are going crazy. this is all not onlial, this is all exactly as gold told us would ha up. we're just echosing that, and we have a major inflection point at the end of july, when the yields hit bottom, and we see a big, big up move in bond yields going into the rest of 2021, through all of 2022. gold topped occupy, because i chopped off the right side of it so interest rates will have to do the echo of that big uptrend in gold prices from 1400 to

2000 we got a big increase in interest rates that's coming, but not until the start of that point at the end of july >> what about the s&p 500, tom is it going to keep making new record highs through the summer? >> for a little while. we're all trained to sell in may and go away. but the first year of a presidential term is different what you're seeing right now is a comparison of the s&p 500 to how the stock market behaves in the first year of a presidential term rather than topping in may, it's normal to top in july, july 19th yesterdayal, but take it with a grain of salt.

a few remember, the fed is providing a tailwind to the market i do expect an important inflection point, ideally july 19th, but everybody will be talking about how qe will keep on going, and the up trend, and what are you doing getting out of the stocks? don't be a fool, don't miss out. when they're only giving you upside projection, that's when you know the top is near you know, you're near bottom we're getting close to a top, but today is a good effort to try to get places up further towards that tom, real quickly, what's your take on the dollar >> the dollar should be headed

higher the commitment of traders' report, they're net long the dollar, now in a huge way, but in a decent way, and they're usually right. gold has had a slight upturn, a bit iffy looking on the chart. silver is not confirming, but gold itself is doing well this week i'm expecting more up side, not hugely, but more up side for the dollar. >> tom, good to see you, thank for joining us. >> thank you still ahead here, big technology founder alex kantrowitz much more still to come.

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it's time for a news update with leslie picker hi, leslie here's what's happening at this hour.

president biden addressing the recent cyberattack linked to russia, clarifying what he expects russian president putin to do about the attacks. >> i made it clear to him that, that the united states expects, when ransomware operation is coming from -- though not sponsored by the state, we expect them to act indcaitlyn jenner holding hr first press conference she did claim to be the leading republican challenger, though no independent polls shows that. in spain, the ruling coalition is arguing over how much meat people should eat. a member of the far left party called on people to consume let meat due to climate change

a minister called it unfair to spain's meat industry. the prime minister even weighing in, saying how much he likes a well-cooked children's hospital. well, th-- well-cook chop. how steve balance mer, dave tepper, and others are using their teams to save hundreds of millions thanks to a tax hoople it's an interesting story, coming up after this

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keep your feet fresh with gold bond foot powder. i president biden signing an executive order regarding big tech encouraging the ftc to ban or limit non-compete agreements alex, thank you for joining us what do you make about the sentiment behind this executive order and the order itself and the teeth that come with it? >> the sentiment behind it i think is most important. it's happening in this moment where we have congress writing six antitrust bills going after big tech, and the ftc installing leena kahn, who has

traditionally been skeptical of big tech's power, to come after them i think this is a signal to add more momentum to those efforts the actual executive order itself i don't think is that impactful. it reminds me of an april 2016 executive order from president obama, about restoring competition in america did that do very much? no so i think we should be skeptical of how impactful of the executive order, but very serious about the momentum going against big tech today >> we've seen see the ftc have its powers highlighted, perhaps limited in recent weeks already. are we talking about the only real way to rein them in is by legislation then >> i think the legislation will help but i wouldn't necessarily

say their power is being fully reined in. when the judge threw out the case against facebook, the judge said, ftc, you can amend it and bring it again the state attorneys general were not allowed to do that because of a statute of limitations ---ation i think the ftc has more power than it's being credit for with leena kahn at the helm, i think it would be more effective than in the past, though admittedly, that's a low bar. >> alex, so often you don't see the big tech stocks being shook when they new headlines come out, whether it's an executive order, or any news about leena kahn being asked to recuse herself, and it's been pointed out that it's a lot about smaller companies that had hoped to be acquired by bigger guys. why isn't there more fear for investors for what might be coming

>> not only has their stock not gone down. all of their stock went up today. i think that shows you what it thinks of the executive order. a lot of fear is already priced in and i think they might be paring back a bit, but you have to look at the history we've been talking tough about big tech phi number of years, and not much progress has been made so you forgive investors to say, okay, the white house took its shot, that was it, so let's buy more. >> thank you very much coming up next, details on the secret tax lphesoool that sports owners are using. stay with us we're not as far from our goals as it may appear.

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at xfinitymobile.com/mysavings or visit an xfinity store to learn how our switch squad makes it easy to switch and save hundreds. owning a sports franchise has become very beneficial for owners who want to save big bucks on their taxes robert frank has the details >> one reasons sports teams have

skyrocketed in value is they come with multimillion dollar tax benefits take steve balance mer he was able to report $700 million in tax losses for the clippers, according to the new article from propublica. dave tepper could expect losses from his ownership of the carolina panthers. and then dan gill bert lowered his taxable income by over $400 million through the cleveland cavaliers. the reason for these giant tax windfalls is depreciation. even though values have quinn tippled over the past 20 years storks sports team owners can amore advertise them as treating them as declining assets so he can expect the nearly there 2 billion to buy the clippers and help it offset his taxes from selling his microsoft shares team owners say, well, we're

just following the rules that the irs said forth they say depreciation is needed to yoef set the risk they take and taxes would eventually have to be repaid if they ever sell, but as you know, teams are rarely sold. so these tax savings are locked in. >> the that seem imparticular ridiculous about this is a capital gain has to be realized for them to be taxed and cough up money, and that can be avoided based on the step-up basis in capital gains, but a capital depreciation doesn't have to be realized and they get the benefit? >> well, it is realized and it is essentially rebated to the government so in other words as i mentioned if they sell the team in their lifetime and they don't go through step up they would

therefore have a lower basis because they depreciated the asset and essentially they would have to pay the government back that tax but that is only if there is that capital gain. as we said sports teams rarely change hands they are purchased often for families over generations. so yes, they would have to pay it back through that cap gains tax, but it rarely happens >> seems like an unfair loophole if you could get them to close that, it would be best robert frank, thank you very much >> i'll do what i can. >> the coronavirus pandemic shaking things up, scott cohen has the details for us >> that and a lot more we're so exciting to bring back top states after a one-year hiatus last year a few things changed since then. we'll tell you how we're adapting it for this new world coming up on "the closing bell."

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. and now to our wall street look ahead we have a lot of economic data coming your way next week. the cpi on tuesday, beige book on wednesday we will also hear from the

banks. jp morgan on tuesday, citi and wells fargo on wednesday, and american eex top state for business, scott cohen has a preview for us >> we have been ranking the states every year since 2007 until last year. there was so many moving parts this year we're back, the same basic principal. 2500 points, but in this battle between the states, a lot of the rules have changed while you were quarantining -- >> apple's investment in north carolina -- >> the states were still battling >> much of us were seeing the best times we ever have. >> but a year of pandemic and social reckoning transformed the battlefield. >> we're thinking about economic development in a new way states are recalibrating and some business owners are rethinking >> had i realized then that i

had a transgender child, we would not have moved to texas. >> you're seeing people move to where employers want to live >> you're seeing news about infrastructure and health care and the states are responding. >> a business will never choose a state to relocate or to expand in just based on subsidies the government is providing. they want to make sure the workforce is there, that their supply chain is there, hopefully we won't have another pandemic or disaster. and if we do, belle better because of this experience. >> the states are asking new questions. we are, too. you can read about how we

adapted them for the top postpandemic world i will be live in the top state for business >> i look forward to this immensely. if you not adapted the terms, would it be a different winner >> you know there is a lot of things that changes. i don't know if, since i didn't do the study two different ways, there are things we're looking at now we're looking at the pandemic and vaccination rates. so it will be interesting for people to look and think about how they looked, what has changed and what has not >> i'm not sure where you are right now, i don't know if that

pier will win any business awards, but it looks great for a friday night cocktail. >> thank you >> we'll all make our state guesses as we go along end of the week and looking to next week. we'll have the indicators coming up and the banks what should the investors be investing. >> it is a little bit of the reaction to the first round of bank earnings setting up the next one i do think that the combination of the inflation report are worth listening to we had seemingly static in the message. i'm sure that powell will reassure everyone and that it i

keep resiting the fact that things should seasonly get tougher for stocks i feel like it is something that people know already. but still worth keeping in mind that we're up more than 16% year to date. we almost doubles off of the intraday low we covered a good distance >> we're really looking forward to this. one thing that stands out to me is capital market performance. can it go on for one more quarter? but there has been market share shifts in a way over the las couple quarters that there had not been for the last five or six years. it will be interesting to see who the winners are there and i will say that next week is a

massive week we can't tease who they are yet. i'm off on monday. good luck. >> a good game on sunday night, may the best team win. thank you for filling in this week tonight, time is cooking, apple is soaring and they say break out the record caps. we will break down the starts straight ahead what it is, who it is, and why this weekend could be crate kal for the trade, then gearing up for earning. it i