session about where it was throughout, up about 150 points. and you can see that only the nasdaq indices is lower today. got the yield on the ten-year, 1.24, and you got a pretty nice rebound in crypto, bitcoin back above 31,000. >> and it's hump day, halfway through the week. >> almost. >> that's not almost we're there. >> join us tomorrow, which is thursday by my calculations. "squawk on the street" is next good morning, and welcome to "squawk on the street. i'm david faber with jim cramer. we are live from the new york stock exchange carl has the morning off wit we get started with trading. futures 30 minutes from now is when we begin, and you can see, i don't know -- >> mixed. >> thank you >> it's the great insight we all count on

our road map starts with an eye on corporate results three down names crossing the tape, coca-cola, johnson & johnson and verizon. we're going to dig into all those companies. plus, netflix its subs fall short. the streamer, however, did forecast bigger subscriber gains ahead and did confirm its plans and gave a little detail on getting into gaming. and covid concerns, the w.h.o. is warning that the world is going into the early stages of another wave while a new study finds j&j's vaccine may not perform as well as the others against the delta variant. where do you want to start, markets, earnings, both? >> well, david, i want to talk about the concept of better than expecteds. some better than expecteds are better than other better than expecteds. chipotle was amazing they basically are making money with chipotle outside, anytime they have something outside it's

starting to have lunch inside, so chipotle was just remarkable. they could do 3 million per unit instead of 2.5 million it's company owned then let's go to hunts vesper and verizon. that's better than expected but not better than expected it's not as better as better than expected. now, if you could help me there because i'm not a word smith about this you know exactly what i mean. >> i do. so maybe you can translate my gobbl gobbledygook >> verizon shares are going to be up. we'll see. often somtimes they don't sustan it appears a composite function of lower media depreciation, loss media losses. they were getting rid of the media business so they're not losing money from it anymore, and service revenue gains from what they're calling successful 5g promotional plan upselling. >> but the actual growth, david, like there's no growth. >> that's my point that's my point. chipotle has real growth verizon has not manufactured

growth, because there's nothing. >> not at all. it's just a very slow growing business which may be getting more competitive as at&t's able at some point to start focusing solely on their wireless business, not there yet until they complete the deal with discovery. >> we have growth companies and very little growth companies j&j is a growth company with a triple a balance sheet and a quarter that was really remarkable, boosted by medical devices because people are now going for elective but more important pharma and consumer were incredible, to the point where estee lauder is worth buying off the consumer. let's contrast that with netflix. netflix has some better than expected lines, but david, there's not a lot of growth the there. >> no, and that leads to this question of -- and we're jumping all around here. >> we're talking about growth and no growth. >> of multiple and multiple compression. i'm looking at laura martin's note she has not been positive on the stock, though she's a veteran

analyst at needham, and she says there's more multiple compression ahead. how low could it to go ev to forward contracted from 9 9.1 to 8.4 >> that would be a lot >> david, when you're talking about a buyback on a growth stock, right, talking about buyback, they have a lot of fire power for buyback, and i'm thinking buyback, i don't want no stinking buyback. i want growth. they talk about the idea that at a certain point amazon pivoted they've given you these companies that just, you know, generally that pivot and start having free cash flow. >> yes, yes. >> david, i want pure oxygenated growth from growth companies. >> all right, but you're getting it -- with netflix, you're not going to get it in the united states, but they've acknowledged that, right? they obviously had a significant bump up a year ago in the midst of the pandemic. >> they use words that you don't want to hear

pull through, okay >> right >> and david, what i don't -- if you take a look at where they're gaining, it's areas where they're covid, they mentioned brazil they mentioned india >> yes. >> i want a smooth out growth story. so i come away and i say you want smoothed out growth, you're going to have to go to chipotle. you have to go to asmlf, all right? you got to go to united health yesterday or anthem today. you can't go to pseudo growth. >> understood, although back to netflix for a moment they are growing as you pointed out. that is their growth market and there's a lot of runway there. >> big runway. >> big runway. >> tam >> and gaming. >> everybody will throw tam at you, especially these companies going public via spac. >> i want to stay with these companies people want to own

and the companies that you might want to own. you're betting on a second half grade slate for netflix. >> all right in netflix you have been a beneficiary of incredible growth, and you've wanted to own the stock through that period of time. >> right. >> but you seem to be saying they're reaching an inflection point where perhaps even the shareholder basis is going to need to change to some extent to reflect much slower growth for the dominant player. the dominant streaming player with a lot of competition now out there and coming on even stronger. >> i think the competition, which i have been pooh-poohing has finally caught up. >> you do? >> yeah, i do. >> let's listen to reed hastings he had a different view, surprisingly than you do here's mr. hastings, co-ceo of the company. >> i think at least for the next several years the growth story of streaming as a whole is very intact and then you've got the secular competition story, does hbo or disney or other entry have a differential impact compared to the past

and we're not seeing that in the -- per country because they're launched in some countries and not in others. that gives us comfort. we're not seeing that in the total viewing like the nielsen measures so we think mostly all of tretr streaming is a growth story competing from linear tv and that that will be true until streaming is 50, 60, 70% of viewing. >> okay. there you have it. he rebutted you in some way. >> well, first of all, i love reed. >> of course, one of the great -- >> i always thought netflix was amazon and everybody else is just kind of number four or five now i think that disney, i think that hbo are in better hands i no longer feel that it's amazon i feel like it's amazon cloud or suddenly google cloud comes on and suddenly azure comes on. that's my comparison they all grow.

you always try to figure out the an analog the analog here is reed is amazon web services and the other guys are -- a great business. >> an amazing business and also growing its top line at an incredibly rapid rate. the total addressable market there is so much larger, and that's -- not necessarily make that analogy actually. >> i'm trying to explain why it's a hold not a buy. >> that one i didn't like. >> you didn't like my -- >> that one to aws, i lost you on that. i lost you on that. >> i thought a lot about that before. >> did you >> i feel like that is such a larger market and it's expanding. >> i'm just saying -- i'm talking about disney plus being a factor >> there's no doubt. >> but that's what i'm saying. azure became -- >> is still the leader -- >> what is this, some sort of foolproof glass? what is that >> don't touch my lucite what are you doing all i'm saying is netflix had it

to itself. how about this one, maybe you'll like this one. tesla versus ford. how do you like that >> interesting >> ford mustang wins the car and driver, pretty much sold through. the f-150 lightning. >> is still by far the dominant provider with many other companies coming along >> then look, maybe -- >> i don't feel like netflix's position is dominant as aws and/or tesla in some ways, do you? >> disney plus and hbo and he's saying that doesn't matter i'm saying -- or they wouldn't be doing -- >> gaming. >> thank you >> right >> and you talk about m&a. people say what about m&a. what they really need to do is buy take two because they want stories and take two has stories. >> listen, that would be a change they have obviously been a company that's grown organically. out of nothing ten years ago, they've created the largest

content creation engine there is. >> and the cash flow, they're making a lot of money now. >> yes >> so much money that they're returning it to shareholders that's what i'm talking about. i don't want return to shareholders. >> let's move on to a growth story you do like, which was. >> chipotle. >> let me listen to mr. -- from yesterday. he was on the "closing bell," jim, and you can contain yourself. >> it's a brisket. >> and then we'll get your thoughts brian any kol. >> the thing that i keep an eye on are the absolute dollars we're doing in our digital business because that continues to grow. you know, we had the addition of the quesadilla to our digital platform our rewards program now is over 23 million people. so i think we're going to grow in absolute dollars from here, but as our guiding rooms come back, we're seeing more people show up for lunch, we're seeing more occasions happening in the restaurant the percentages probably will change a little bit. >> all right, thoughts

>> okay. culture. you hear about how hard it is to find people. i question that. listen to this, this is from chipotle's conference call our coast to coast career day event last week resulted in us hiring thousands of additional team members if you've got a culture, you can hire thousands in a day. they have a winning culture. they own their stores. it's not a franchise they run a tight ship. david, they're digitizing as much as they can, even to the point where they have their own answering service basically. so if you have a question, they continue to innovate cauliflower, now it's going to be smoked brisket. we laugh at these. we shouldn't their menu is exciting their execution is extraordinary. $3 million for average unit volume, for money sales, and david, get this. they think they can do it 6,000 times. this is the model company in america. they have a couple -- but

they've got a couple outside of london it's an american story they barely -- they are talking about much growth ahead. delta variant, potential impact, but the fact is people are going back for lunch, which is, by the way, not happening a lot of the other quick service restaurants. >> you mentioned quincy any interest in -- >> absolutely. i thought he did a great job i think that if he had -- you know the scene in the movie "the jerk". >> yes. >> the cans. >> yes, i do. >> he doesn't have enough cans he literally told me if he had more conditions, he could have blown away the nrumbers think about that shortage of cans. >> right >> people are back, he's doing direct to consumer the smaller size form is working. it's not a gimmick they are the -- they have the most beautiful asset like model. remember, they're the smallest canning company of any of the beverage companies and it's just a share take

the hybrid model. >> although you wondered when we saw the pepsi numbers whether, in fact, coke would deliver. >> i didn't count on convenience store and cafeteria back hybrid model could prove to be good for them. people drink coca-cola at home, and they drink it at the office. before it was just the office. they feel like they have coke zero, david, is coming on. remember the comment that we got from chip bergh and levi, at 35% waist change. >> some people got thinner because they were able to work out more the other way. >> most people got fat, obese. >> get this. >> double-digit growth because of the waistline >> got it. >> i think that's fascinating. >> it's going to be a new feature here, hit the loose --

>> it protects us. >> oh, my lord, that again. >> that's faang. >> i know it's faang. >> faang's looking really good. >> we're going to talk markets by the way more "squawk on the street" from the new york stock exchange coming right up. [swords clashing] - had enough? - no... arthritis. here. new aspercreme arthritis. full prescription-strength? reduces inflammation? thank the gods. don't thank them too soon. kick pain in the aspercreme. the world's first fully autonomous vehicle is almost at the finish line what a ride! i invested in invesco qqq a fund that invests in the innovators of the nasdaq-100 like you become an agent of innovation with invesco qqq like you ♪ ♪ ♪

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be there's more uncertainty than normal given covid, delta variant. we think by far the most likely outcome is we continue on this demand recovery, and it gives us enough confidence to say we're going to be profitable in third and fourth quarter, which is an important milestone to get back to. >> stock is up ever so slightly. that was united airlines ceo discussing the company's outlook after its results came out you know, we've spent a lot of time talking about the airlines, talking about the cruise companies as well, the delta variant, what impact that's going to have. we are going to have gary kelly as often as the case joining us tomorrow. >> now, united receives 7.7 billion in funds okay there's no doubt in my mind it would file bankruptcy. >> if it hadn't gotten the 7.7 billion. >> the question is that the right amount or not, or do we just look at it as this company is going under what would it have done to national security. we would have had no airlines. >> we'd have a lot of bankrupt

airlines they'd be operating through bankruptcy. >> that's the old days, eastern airline, bran i hff. >> people express, 1981. big i look at this, and i say triumph of bipartisanship. this was a bipartisan bailout. when the democrats and republicans actually talk to each other and get something done. >> they moved very fast during the pandemic. >> our country is in better shape. and when we're doing this kind of nonsense we're doing right now. >> on infrastructure >> it pains me >> these companies you've got a screen, every one of those companies would have gone bankrupt if it weren't for bipartisan work. >> and the llarge ss of the bond market >> i'm looking at these companies and saying that's a global depression if we don't get that bailout again, come back to what happens in our country when we have unity. >> well, we didn't have unity there.

we had panic and it worked. >> panic provoked unity. >> yes >> and you did have some leadership >> right >> there was one person who voted against the war at pearl harbor >> was there >> yeah. >> so i mean, just in terms of panic. but i look at this and i say triumph, and remember, we had a very divisive president, and yet, we all knew we had to save the world. i'm just talking something positive. >> you did all of this which means what for united airlines trading now at 47 bucks a share >> they're back. >> okay. >> and if we had international, they're really back. >> right >> i think what's difficult is we keep talking about the variants david, i just think with j&j this morning, i've got a better feel on the variants >> you want to share it? >> yes >> they've got ahead of r&d who is someone i've talked to multiple times, he's a serious

guy. and frankly, i don't believe -- i think there may be flawed science to the story in the "new york times." >> that says that their vaccine is not particularly effective against the delta variant. >> it could be flawed science. they do not have actual hard facts on that. more important, david, j&j, which of course is being, you know, aggressive, slammed on this david, there's not a lot of hospitalizations what are we trying to accomplish with the vaccine >> i continue to ask that. we're trying to accomplish that, and so the question does become are we reacting to the right numbers if we start to have mask mandates and close things down i mean, again -- >> i think that the people who are antivaccination just get the j&j, one shot, you feel fine. >> wouldn't you rather get two pfizers than one j&j, come on. >> except for the places where apparently we have to throw some out, johnson & johnson is trying to save the world, and remember, they're nonprofit.

they've not getting any money, so to slam j&j like they're some sort of warmonger. >> i have to get the most effective vaccine on the market. >> penicillin to the people down there who look like ants >> i want to get the vaccine that works the best. >> look, any booster is better than no booster. >> the booster for j&j could be two pfizers. >> i'm just saying, david, what matters is hospitalizations and deaths, and they're not going up, and we should stop freaking out about the variant. there, i am reassuring us on the vari variant, and we got to move on >> yes, we do. you know why because we've got to make time for your mad dash. good to see all of you, yeah! why is jerry so... popular? it's been like this ever since we started using workday. what do you mean? it makes it easier to develop great relationships with our suppliers. now everyone, everywhere loves jerry.

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. all right, it's time for jim's mad dash, of course, as we like to count you down to the opening bell, which has about six minutes before we get started with trading. >> i search and search why the nasdaq is down right now, and i come back and say, maybe it's asml holdings, which is a dutch company that reported a fantastic quarter but the stock's not moving or starting a trend down what really matters is they talk about the demand from samsung and taiwan semi is unabated. they just continue and need more and more machinesm asml is caught up in a geopolitical struggle. the u.s. is blocking this company from selling these j gigantic bus sized devices to the chinese. it is forcing and ramping -- and i've got this from various sources -- the tension where the chinese now feel like, listen,

we have no choice. we have to figure out a way to, yes, take over taiwan because they can't get this key -- >> you can't just throw something out there like that, jim, throw over taiwan. >> there are political parties that are supported by the peoples republic of china in taiwan it would not be military it'd be squeezing ever so slightly over and over and over again. but if you trap the chinese by not letting them have their machines, i think it's ridiculous you're forcing the chinese hand. you don't want that. we don't want, david, the single greatest geopolitical threat to everything is a move, a power grab by the chinese to taiwan. it has to be prevented at all costs. i don't think president biden's doing enough to make sure it ppesn't happen, and this doesn't haen >> opening bell is coming up stay with us

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you look at kbgoogle, you lk at facebook, you look at amazon, if you believe the economy's going to grow and interest rates stay where they are, they're not overvalued there's the faang market, the robinhood market, and the everything else market i traffic a little bit in the faang market because i think they're great companies that really had demand pulled forward by at least five years because of the virus so my biggest position is google i own a very big position of microsoft, i could say the same thing about them i own a decent position in amazon and i own a little bit of facebook i missed that one. >> cooper yesterday in the halftime report his investment take you know, it was a lot of faang. he owns the largest market cap companies out there as well, which are pretty well owned by everybody. >> well, from one degree or another, but they are so under represented in the s&p you do have to have a view of them. it's not because of my genius comment that i'm about to gif y give you, but i do believe that

the companies that use these companies are beginning to come on very strong a starbucks uses these companies. you want to now be in a position where you're buying a company that is harnessing the power of fact. >> you hear it keep an eye on, that of course more green will likely be on the board. here at the big board, e-commerce software platform celebrating its ipo today. over at the nasdaq payroll provider pay corps also an ipo jim, we've had a lot of new companies come to the market that old, you know, we're losing so many companies. the markets are getting so much smaller. between spacs and straight ipos. >> look, we're so overloaded with new companies we don't know what to do with them in order to buy this -- shares in this company, you have to sell shares in something else. >> we always talk about that

you don't necessarily, it's not all one for one. >> david. >> yes. >> it may be too early to buy mr. car wash. >> really? >> but that's car wash as a service. what i'm saying is there are so many companies, david, that are equally as interesting but there's not enough cash to go around listen to what lee was talking about. he talking about buying any of these newer companies? >> he will if he can get a good allocation and flip it later in the day. right? >> that's insulting. >> no, it's not. that's how business is done. >> so insulting. >> if i told lee right now, he'd say that, of course, are you kidding me give me as much as you can. >> by the way he brought up something. there was this robinhood stocks. >> yes. >> you and i don't like to talk about them remember i stopped talking about them and the meme stocks, but a adam aaron was named ceo of amc.

it's interesting the stock is down given the fact that he's the man who saved amc. shouldn't it be higher >> dehaid he save it or did the robinhood red dit traders save it >> he managed to harness the powers i despise dallas cowboys i despise giants >> market cap of amc still hovering around 20 billion it obviously has sold off as you pointed out since they did not get the -- or did not seek to get the authorization to increase their share count >> now that he's chairman, maybe he says, you know what doover >> i don't think it really changes anything >> and how about meme stocks impacted by netflix. netflix is talking about giving games away game stop ryan cohen we still don't know his plan. >> still waiting >> waiting for gadot, waiting for cohen.

>> game stop is $187 a share right now. what do you think that stock is worth? i want to put you on the record, do you want to go there or no? >> look if it is what it is. it's a bobby kennedy stock some people dream dreams of what's now i dream dreams of the future >> right >> i'm a bobby kennedy guy. >> okay. i campaigned for -- >> he held me when i was a baby. my mother was one of those -- i guess she handed me over i don't know, that's whey heard anyway >> that says it all. what i'm saying is if you look at game stop as just a company that sells games. >> right >> hardware games, no, once the cycle ends for all the new consoles, that's pretty much it, then you're -- i don't know what you're selling and ryou can get the consoles a best buy by the way, can i just say here's a little something, a little tidbit for you my friend.

>> yes, sir. give it to me. >> corey barry is doing a remarkable job at best buy. >> oh, yeah? >> yeah, she has had very few supply chain problems for equipment that we all know comes from asia. >> yes >> and she's a master at it. by the way, do you know that -- remember when trump tried to get everybody to switch to vietnam >> yes >> harbor is not deep enough to handle any of t. >> you said that at the time i remember >> carl went over there, remember i mean, there was some -- >> we could mine harbor, but we can't dredge high fong harbor. >> i guess not. >> the point is what, it hasn't really changed much. -- >> what do we do export ban on tomatoes i don't know i grow enough tomatoes i could throw them over there. >> i bet you could >> i'm looking at, david, a

market that is resilient, but not run away after yesterday's big gains, though, it's very positive. >> we're more or less back right to where we were at the beginning of the week. >> exactly chipotle's up 121. i used a $2,000 price target the other day. >> yeah. i think that -- i'm not raising my price target. i'm not that type of superficial guy. no one's ever seen anything like it i had to say congratulations gentleman. i had to they figured it out. do you know that chipotle does so much better that they literally have the combination that you've always wanted, david. digital up and indoor up, and wait until the smoked brisket comes in >> is that going to really -- >> it's in the -- they have a stage, a launch stage and that is about to come out, just like cauliflower rice i don't know if you had that >> i haven't i don't go there very often. >> you don't go there at all

are you kidding me >> what else are you looking at, david? >> i'm looking at my old favorite, cciv >> remember cciv >> churchill. >> churchill capital for the future lucid motors. here's an interesting conundrum for them nobody's going to redeem -- as a spac holder, in order to close the deal to become lucid, you got to get 50.1% of the shareholders to vote, like any me merger. >> depending on what needs a vote in this case, 50.1%. because they have so many shareholders who are robinhood/reddit. >> right >> you think these people are going to answer a call to make a call or fill in a proxy or send something in >> absolutely not. you're right this should have been a spac report. >> did you see petter basically taking to twitter and any platform he can, the ceo of lucid, to tell them to vote. trying to find them. >> thank heavens.

>> thank you for that. >> i appreciate it >> that's going to be ill fated. >> and so if they don't get 50.1% by i think it's midnight tonight, they're going to have to postpone. eventually they're going to get their 50.1%. jim, i think it's just interesting that their shareholders are all over the place, as we know. they got so embraced by the reddit wall street bets crap, do you really think these people are going to actually take the time to say -- >> no, they don't even know that there is democrat. they're chips in a broader game. that's all they are. the men and women over there are merely players. >> do they also know when this does get done, as it inevitably will, they're going to beat 1.6 billion shares outstanding so take 1.6 billion times 2464 that's a big market cap, my friend. >> the price of ford. >> that's a big market cap >> we are get ago lot of pin

action sf a lot of what >> pin action. >> oh, you've never bowled i did a 148 last taime i played chipotle is actually rubbing off -- should that be right? it does say people are eating out at lunch that is something not confirmed by james quincey when i asked him about it david, american express is coming back. could that be united's good numbers? un united's good numbers. travel doing better, leisure doing better, marriott, okay, that is travel let's put it all together. the variant is not worrying people as much as it was monday. >> so on monday everybody was very concerned on wednesday not concerned >> not as concerned. >> okay. and the canard of the j&j vaccine may be less effective against delta, i'm telling you -- >> you question that >> i think test less effective against delta airlines. >> you question the science behind that. >> yes, i do no, the flawed science. >> there are any number of things we haven't measured yet or at least measured enough,

scott gottlieb will tell you we don't know, for example, if you've been double vaccinated but you have a breakthrough and you get covid, which by the way then you're very unlikely to get particularly sick, but are you contagious we don't know that either. >> that's the problem, you are probably contagious. you have many athletes, david, who have no idea they have covid and are playing at peak potential. do you think that's the way it was before vaccination >> no. >> that's my point. >> not at all. >> and i think people have to start saying, instead of thinking about the anti-vaxxers, say you know what, these things work very well there was no spike in deaths, even though we thought there would be we wish that it's -- that you would want to help your fellow men, dr. fauci. >> fauci's coming on "closing bell." >> listen, jim, to the extent that the concern about the delta variant has risen to the point that people who were refusing to get vaccinated are doing so, that's only a good thing >> no, there's been no evidence that because of the fear that there's been any --

>> there hasn't been >> none, i've got any -- >> so vaccines are not increasing because i've heard anecdotally they are i have the empirical. >> you have the anecdotal, and the empirical says absolutely not. empirical always trumps anecdotal. >> yes, it does. every single time. >> every time. david that's what's driving this market, and by the way, when i was at bed, bath and beyond yesterday, this is the new store that you won't go to, not the upper east side store that you wouldn't go to anyway, i see -- ooh, stock's down. it was up yesterday. i see, remember going back to my faang analysis companies that are using this for price are also able to get coupons on it there are so many things that are being used in faang, instagram continually being heard as the place that people go to sell product i wish tiktok could be bought. 70 million people go to tiktok for about 45 minutes a day. >> that's got to be one of the great advertising platforms. where do you advertise these

days they're all watching streaming there's no ads >> they're playing games remember, david, if you are availing yourself of the bountiful benefits that our governments are giving you until september, you have to fill your time, all right. you're gaming, right you're shopping. back to school shopping, if you're going back to skchool, ad kind of watching a lot of netflix, but not enough to make netflix stocks go up. >> i did want to come to a non-stock story, but it does involve jamie dimon getting a surprise retention bonus from his board of directors mr. dimon obviously one of the most revered ceos. >> does he have enough money to go into space? >> i'm not sure if he has enough money to go into space >> then he's a nobody. >> clearly the board is like stay as long as you want >> steve burke is our former boss, is i think lead director

he's also on the board of berkshire. >> can i just say if jamie dimon were to retire, that stock's down immediately 5, maybe 8% >> okay. so i want him. >> do you think by being in the job, even if you are one of the greats that there are things that generationally or somehow that you are not doing that somebody else might do who's younger -- >> you are so right. he did not understand -- no. his team didn't get fintech. >> right center now squares every day -- >> they're intermediated on that on nonpayments by the way, on certain areas of lending too. i come back to the stamps.com financing because it was just interesting all these credit funds that are now providing financing to leverage buyouts and all sorts of things. not that you're ever going to replace jpmorgan's balance sheet. you do wonder. at what point is it enough

you can't necessarily measure the things you're not getting from having somebody else be in the job even though you've got one of the greatest ceos of all time. >> if you're a deposit based company like jpmorgan and have heavy regulation, paypal does not suffer from that >> i get it. >> should they have set up -- >> you don't want to engage with me on the fact that maybe the board should be thinking about -- >> no, i'm not going there at all. >> i'm just saying >> i don't work for steven anymore. >> no. >> but i could easily say big steve is not doing his job i think he's doing his job jamie dimon's incredibly valuable. >> without a doubt, and they made that clear with unexpected retention bonus. >> and brian moynihan has done more for digital their digital platform is excellent. >> bank of america's >> yeah. >> i have canceled everybody, a lot of houses. >> you got a lot of houses my friend. >> what's your landscaping bill like >> so hideous. >> is it

>> so hideous that i feel like i got to get rid of some of the properties. >> trees must be coming down all over the place with these storms that we get. >> it's not pleasant >> no. >> thank you >> you're welcome. >> bob pisani, you can now take it away. >> thanks, david good to see you. of course 1% from the new high, folks, keep an eye on that nice to see the cyclicals rebounding a little, but we've got a ways to go you look this morning, you see energy stocks, you see material stocks, you see industrials on the upside, even beating tech stocks right now that's what you want to see. that's the sector that has had the toughest time of it. if you take a look here, you know, you were talking earlier the guys about how to deal with the covid variants it's very simple it's a known unknown that's a little annoying because it implies that we know that the covid variants are there, number one, but we don't know the impact on the economy or on earnings so it's an uncertain narrative we're just going to have to learn to live with it. it could impact us in terms of

earnings and the economy, and personally, it may not we just don't know we're going to have to live with it meantime, we've got a great economic recovery that's going on what we'd like to see a little bit is the cyclicals come back even more. remember, they've been hit father fairly hard in the last month. if you look, energy stocks still down rather notably. this is great, wer seeing oil come down. good for the inflation story, but still weakness if you own the stocks the russell, faangs, the materials, these cyclicals still down with the s&p kind of flat for the month here. the question is the market correction has been very limited. if you look at the s&p we're essentially 1% from the historic high we're back to where we were six or seven days ago. even the equal weight s&p 5001.4% from an historic high. mid caps and small caps have had a deeper correction. even here down 6% on the russell 2000, still overall pretty modest we're in earnings season, we had

12 companies today, big companies, 10 of the 12 had handy beats and we've got, what, 72 companies reporting so far. it's very early, less than 20%, but we're getting what we got in the last three kwquarters whichi about a 20% beat rate. i don't know if that's going to hold up. this is what happened. so we are repeating the prior several quarters trend where the analysts are, again, underestimating the extent of the earnings beats that we're seeing and did you see the most important thing i think is pricing power that we're seeing. heard brian aniccol from chipote on, they're talking about the potential for 10% price increases. this will keep the margins up to offset the food cost increases they've been seeing. chipotle is sitting right near a new historic high there as you see. that's important so pricing power is going to be the key to a lot of people holding their margins up finally, can i note, moderna's going into the s&p 500, and we are once again seeing that s&p 500 effect

moderna was 245 about six days ago when they made this announcement it's now essentially 300 we're talking 20% move up. this is the power of these indexes now as more and more people become passive investors that get tied to the s&p 500 if you own the s&p, you now own moderna whether you want to or not. as i said before, many times, david, the people who run these index committees are the most powerful investment people in the world today because they command a lot of money when they say moderna goes in, a lot of money goes into moderna 20% in six days. david, back to you. >> and the index funds themselves as we point out so many times, bob, have incredible influence over so many points at so many of these companies given their outsized percentage ownership when fut put together. let's do a quick bond report let's take a look at how treasuries are faring this morning. it's been a focus throughout the week 1.13 i think i remember seeing

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there it is. stop trading >> a man, the stock turned around he did avert financial collapse. he raised $5 billion in equity debt concessions so, we talked urier. what was he able to gain from the $5 billion he's ready to play offense i believe that they had zero revenue and they're still alive. so, i'm if wing to congratulate aaron for control ownership. so, let's give him his due >> it is as much the fault, as i understand it, of robin hood, of not notifying people they should vote whereas ameritrade and others

let you know, hey, vote. so, the frustration there -- i know people are upset. and i didn't mean to insult any young investors out there. i think you could argue the frustration seems to be they're not letting people know. >> i don't think mark would be putting money in that company if he were not trying to help vlad understand a single truth, which is what robin is supposed to be, verses just an app >> no real -- oh, yeah my best friend >> have you hit wrok up? the symbol because it's been acquired and we're going to talk about the strategy i want to know what he intends to do against, say, microsoft. >> that will be great. >> thanks.

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♪ good wednesday morning and welcome to another hour of "squawk on the street. we're live at the new york stock exchange carl and morgan both off this morning. let's look at markets, both a half hour into trading strong across the board, i guess, is the best way to put it >> we're about 30 minutes into the trading session.

starting with coca cola, getting a pop on an upbeat corner. venues like stadiums and movie theaters still open. the stock up more than 2% helping the dow. and chipotle, as customers return to restaurants. stock up 8.5% so far and we will end with harley davidson, beating earnings estimates but revenue fell shorlt of analysts projections more products like cruiser bikes. the company did beat on the paid subscriber growth estimates but did miss earnings expectations that's good for a 3% loss so far in the trading session joining us is founding partner michael, good morning to you >> hey

>> you know, they continue to want to say it's not really about competition from the other streaming services it's tiktok and other things but we're not overly concerned where do you come out on that, given the massive ramp up on delivery from -- well, i could sit here all day naming all the consumer platforms >> it seems obvious to me that competition is a problem everyone is raising the bar. the ease at which you can turn and come back is incredible. so, it's a different model, david, than the ones you and i have known and it's pro-consumer and going to lead to high return it seems obvious to me to be spectacle of conventional wisdom that it's going to keep growing because they have in the past. >> you said you've been around

long enough to know the d-rating of a growth stock into growth purgatory is a painful and extended period that should bow avoided. is that where we are with netflix? >> i think we're getting there, david. everyone is bullish is expecting a return to normal, 2022 goes back to what it used to be but if it doesn't, you're in the growth purgatory period. it's not been a great stock the past 12 months i feel like i'm alone in saying that but i do think that -- again, past performance does not mean that they can succeed as they have and competition's definitely getting better. >> right well, laura martin may be with you too. she's talking about lower compression. is that what you're seeing people not willing to pay the multiples they did in the past

>> i'm surprised they say that's why the stock is cheap sometimes it doesn't work that way. sometimes multiples are ten times. you have a massive d-rating. it happens if you start seeing the growth start to fade and we have a chart that shows real deceleration next couple quarters down to what was 30% growth a year ago. you're seeing it happen but there's a belief it is going to reaccelerate and if not, growth purgatory here we come >> netflix has enjoyed, since the beginning, the first movered a vanltage and for the first time it dipped below 50%, for the first time ever, of course, in the face of all this competition netflix saying it is going to

get into new areas, potentially gamer. . >> they've been successful in every transformation they've made so, consistently i'd say why wouldn't they be successful? they're talking about adding games to the mobile platform that's consistent with their own content. they're just trying to keep people on the platform longer. they saw youtube and hulu as the biggest competition. i think in part keep the consumer on netflix longer to reducing turn to create more value. i see it as a modest step. it's going to take years to see if they're successful. they've been great at whatever they've chosen but to your question it's a sign that they see growth slowing. and you see something different

to extend value to the consumer. >> if you think netflix is going to see the valuation get compressed over time what do you think for a company like disney where, at least from the outside, looks like it's something close to a netflix multiple obviously, they have other businesses, the franchises, the box office potential prrt but how does it filter through the rest of the stocks in the industry? >> we're neutral on disney because the market has $200 billion valuation. and you're right . they're using netflix as their pricing support. if i'm not supportive enough, i have trouble getting bullish on disney we think disney's going to have a tough quarter for subscriber growth er for that's been flagged by a couple people.

a big pull forward to disney plus and it's incredibly successful but narrower than it probably needs to be. not reaching people of certain ages so, we think there's a bit of a pause there as well. to your point, until i feel more comfortable in netflix, disney will be neutral in my count because it's tied to a stock that's waiting to fall on the netflix side >> in his comments, hastings said we're in a growth story in part verses linear tv. good old linear cable networks where are we on that and what does it mean for the good old-fashioned cable

networks out there that still rely on viewers? >> the second quarter ratings trends for linear networks are down in the second quarter i know the new cycle is tough but soon it will be half of the market, it just will be, given the speed of the climb it's going to put pressure on advertising. the question will be who will be able to pivot to streaming and that's where we think disney has a clear story as a pivot we'll see what happens with the hbo. and hence, we're really cautious on media as well because it's going to leave to more earnings pressure that, as people transition away from linear >> always great to get your thoughts, thank you. >> good to see you guys.

>> united airlines, another big earnings mover to watch, up more than 4% this morning pretty optimistic outlook though from scott kirby >> i would agree i think he thinks from here on forward they expect leasher to stay strong, optimistic about corporate travel and that's why their outlook for the third and fourth quarter, first of all, they expect sustained profitable corporate bookings are improving. they haven't given us an exact percentage so far they're not seeing the delta variant hurt bookings. one thing they'd like to see is a change instance from the united states of allowing brits to come over here. >> right it does seem the data and science are pretty clear that we

have similar vaccination rates, similar case rates, similar variants we're not going to prevent the delta variant from coming here because it's already here. >> they've said time and again it needs to open, whether or not that changes i'm not real optimistic based on what we see and hear in terms of the covid variants spreading across the country and it's going to be down 26% compared to the q3 of 2019 levels but this is a big improvement from the second quarter where capacity was down. and you have three on tap with american, southwest, and alaska. by the way, the airline stocks are all moving higher and we have a couple of great exclusives tomorrow. on "squawk box" we'll talk to

doug parker from american airlines and see what his outlook is they've added a lot of capacity in the second quarter. what are their thoughts on what they expect to see in the second quarter. and ceo of alaskaen airlines big day for the airlines let's see what happens when we hear from three more airlines. >> we got one of our own too, phil, not to out do you. but tomorrow, we're going to have a first on cnbc, of course with gary kelly joining us 9:30 a.m certainly we'll get a good view of the airlines from all those ceos a bounce back of bitcoin ahead of the big bitcoin conference featuring elon musk

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welcome back bitcoin climbing above 30,000, ahead of the b-word event. the one organized by jack dorsey open money initiative cofounder joins us now jill, thanks for being here. is there anything that wood, and musk, cathy wood, elon musk, jack dorsey, is there anything they could say at this event that would move bitcoin one way or another >> i mean goodness knows whatever elon musk says, it's been proven over the last six months, can move markets so i'll be keeping my eyes on the headlines out of that event. it's important to note it's going to be a fairly balanced crew up on stage together. jack dorsey is making investments in crypto and

bitcoin via infrastructure he's building out through square and desensitives areas of twitter. and wood is one of the biggest proponents who knows what side of the day he woke up on and where he'll come out it will be a balanced crew regardless and it will be interesting to see the headlines that kp from that discussion. >> what side of the coin musk will turn out to be. you bring opgood point with regard to musk because recently it wiped out all of the games that tesla had made, which at one point saw $1.9 billion do you expect that to taint his view any further about the crypto currency? or do you think he has

prupencety -- especially since it had a smaller footprint than it once did? >> we just had great news out of the cambridge center for alternative finance. a research organization that keeps track of where mining is happening and how much is from renewables and so forth. the migration out of china has had a big impact on the footprint. i think that's good news in terms of the narratives that elon musk has been spinning arounds bitcoin. we'll have to wait and see what he has to say today. there's a notion that perhaps when bitcoin dips, he's using it as an accumulation opportunity so, perhaps he'll come out as bullish. regardless, i think i have a lot more conviction and certainty

around what cathy wood and jack dorsey will have to say about it and i expect it to be positive and a bull case despite the recent volatility. >> and it will be interesting looking ahead to the second half of the year. as you know robin hood is going public they say their revenue got a huge boost from crypto currency in the first half of the year. but they noted earlier this week that they expect that volume to decrease in the third quarter in particular what is that tell you about the second half of the year outlook loo? do you expect also to see less interest involved in this area >> no. so, that's a great point we have coin-based earnings coming up. now that they're public, that will be an additional data point around crypto and retail

interest in particular in crypto the reality is prices are going to come and go demand will come and go. that's the stage we're at with this asset class kbhauts important to keep an eye on is the fact that everyone in the market, be it institutions, infrastructure providers and retailers are behaving as though crypto is inevitable at this point. and that's a marked change from other bear market cycles we've been through if you look back to other crypto downturns. it wasn't an inevtblt the way it is now that's really optimistic and bullish in the long term for those of us much launger term investors than perhaps the retail market coming and going as seen in the robin hood numbers.

>> that's certainly probably true that bitcoin's become too fwieg fail and has to be reckoned with on somelevel is there any treatment of regulators out there -- if people think it's not going to go away. we have to narrow what it can be in terms oaf money transfers or data collection or anything like that, is that a risk that hangs over the market? >> it certainly is and it's on a jurisdiction by jurisdiction base out of china, it has been a more real crackdown on minors and the crypto currency more broadly than anyone expected to come out this year. i would say in the united states and west there's sufficient regulatory clarity around most assets around crypto currency and likes of bitcoin and so

forth, that i think we can feel fairly high conviction it's not going it away the fact that they're continuing to provide clarity is a great thing to boom the industry and that's a jurisdiction by jurisdiction basis but that's the way things are trending, at least in the united states >> jill, thank you very much for being here >> thank you >> as we head to a break, let's show you shares of verizon as the company top expectations. stock was up 2% but up a bit it did raise the guidance on what it calls better underlying trends and many say these results beat expectations but certainly still key

questions about overall competition between at&t, t-mobile and verizon when it comes to rolling out tirhe 5g services around the country. we'll be back.

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j and, j have dipped slieltly recently. as the covid vaccine back in the news, earnings beat nonetheless. hey, meg >> hey, we did see the shares up premarket but getting back the gains now. they've posted a beat and raised the full-year guidance, kp commensurate with that beat. consumer medical devices and the pharmaceuticals unit particularly you saw major recovery in the medical devices business 63% reported year over year growth in medical devices. that's off a decline in the second quarter last year, when

folks were not able to go tlo hospital for elective procedures and surgeries at the start of the pandemic you're seeing the major rebound in j and, j's business they're seeing some u.s. hospitals delaying care. on squawk box, saying hospitals know how to manage their way through. and the company saying it brought in $164 million in revenue, projecting 2.5 billion for the year of 2021 but because of some delays in manufacturing, they have had to reduce what they expect to be able to distribute in terms of the number of doses this year. >> we're looking at somewhere between 5 and 600 million in production delays had an impact on the billion dose production levels

some estimated we qualified that as more of a run rate at the end of this year >> okay. talking about the emergeant bio solutions plan that has been paused, as they work through production issues. guys >> and kind of taking it somewhat in stride with the stock. thank you very much. taking a look at that first trust cloud computing group. ticker sky still down below its february highs. top holdings include amazon, microsoft and oracle s&p under pressure after raising the full year of cloud revenue guidance they say they're benefitting from helping customers transition 32 cloud. stock is down around15% omfr last year and almost 4% from

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welcome back life expectancy in the u.s. fell by almost two years in 2020. tray say that is eight times larger than the average drop in other countries. the drop is more dramatic in black and hispanic americans locolficials say more than 1.2 million people are effected by flooding. and in tokyo, heat is the problem. temperatures are in the 90s. japan's wegt wr bureau has issued a heat stroke alert for the fourth straight day. some games have begun with the u.s. women's soccer team losing

in the opening match to sweden brisbane has put in a bid to host the olympics. i guess a win is still a win just take the "w." i'll send it back to you >> always take the "w. let's get a check on the market. we're erasing monday's major losses and s&p from friday's close. >> we're above it. >> thank you >> just below it yesterday >> so, monday's been wiped out now vice chairman at b-capitol group. and let's just start with the former part because this is a very recent move for you after a very long career at goldman sachs. with why are you making it

>> i think ritsdser an interesting time in all of our lives. and i see the post pandemic period as a period that will see digital transformation change traditional industries it was a fabulous time to get myself back at the forefront of where i used to be, and a smaller and more dynamic way with emerging companies. >> right so, this firm you are now part of that has 3.5 billion in management you obviously are global where do you see the opportunity generally, when you talk about the digitizing of businesses across the board >> for me, i look at spaces like health care. there is so much to be done to make the infrastructure underneath industries more functional think of what we've experienced just in the past year.

it's left decades ahead of what it might have been if you were trying to force it in the nornlal way. things like trials that are virtual. a portfolio company that has amazing work done on clinical trials uninterrupted when you think of development for new care on things like cancer and other diseases. things were interrupted by the pandemic the digital franzformation can help us get above that >> you're going to invest at an earlier stage. when you talk about thin tech for example, we know there are disrupters that are large public companies. so, what are we anticipating that would further disrupt and disintermediate giants that are currently in place

>> so much of finance is in the plumbing i think it's easy to get caught up in the newest things facing the consumer but when you think about small business or business to business activity, there is so much more. think about contract in finance management there aren't great uniform systems for people to use, particularly for small and medium enterprise. so much more should be in the cloud and consistent and so when you think about transforming the plumbing of finance, there's so much more that i think companies need and that companies, that are innovating in the space, building new technologies, particularly in the cloud, can offer in the enterprise space to improve the plumbing and work of finance. >> along with your announcement as the new vice chairman of the

capitol, the firm said it's going to further expansion into asia, particularly into china. i'd love to get your thoughts on the region, especially given some of the recent regulatory crackdowns what are some of the risks you see in the region, particularly as relates to tech and thin tech, areas you're going to focus on >> i lived in asia many years. we continue to go through cycles as the u.s. and china try to grapple with each other, both as img portent world economic forces i think at the same time we've seen china take action recently in terms of expectations are insecurity and where it considers data very sensitive for companies emerging out of china. you have seen the u.s. do the same and you've seen europe come out with gdpr. and of course, there's an

ongoing conflict between the u.s. and china on the audit front. and i think that's probably one to watch certainly as chinese companies look to list in the u.s., i think the chill is on that for the foreseeable future accounting standards are different and the regulators are not cooperating. i think they'd make global investors very happy >> there was recent report a tabulation of all the unicorns, billion dollar valued start ups or more than billion collected $3 trillion already. can you plauzably say that there are innovative areas of these industries that are starved for capitol right now that need a fresh look and investment. is it too crowded to get going in this space?

>> i think it's easy to look at it and think it might be crowded. for a number of investors, particularly to places like venture, they'd -- they've ended up with realizations and it's time to put another round in i think the question is where have we been focusesed and where do we fleed to be in future? certainly there's been thin tech where we've been focussed and now it's on to the next level. but how much went into perhaps areas we haven't been as interested in, suchads heavy industrials? how much went into using artificial intelligence toop change how we proceed in other businesses we're taking the same technologies that have gone to the obvious place said, maybe, to us today and take them to new places where we really haven't seen them applied before

>> sheila, i know you led the esg in sustainability initiatives. i haven't heard you mention that as an opportunity. is it over blown or are there opportunities? you mentioned heavy industry i don't know if that would include doing things that can produce more sustainability? >> it would. i think that in particular is an area where venture and doing good can go hand in hand when you think about what we've seen in terms of the shift in how people are using and consuming energy and what they're thinking about renewables, now it's not just a question of whether you like them or don't, whether you believe in climate change or not. it's really about what is economic and makes the most sense. your rr seeing solar, wind, an impact really in terms of how those are changing the pricing

and dynamic in energy. as you expend that, you think about electric vehicles and the percentage that they represent in terms of their representation on the roads and in terms of the expansion. there are so many place wheres technology will help us get to the next level and i think we'll see that have a bearing and improvement in terms of sustainability improving people's lives i think there's been so much work and thinking on inequality, when you think of areas such as health care inequality, technology is a place and a way we can level playing fields for all people to get access to great health care. >> appreciate you joining us, thank you. >> thanks so much. as we head to a break, let's check out the biggest gainers on the dow.

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this planet, and you can see it, you see how tiny this planet's atmosphere is here it seems so big it's the small thing supporting life we need to take all polluting industry off earth it will take many decades. this summer's tourism mission helps us do that

we need get as good at running space vehicles as we are at running commercial airliners >> that was jeff bezos speaking with, of course, morgan brennan yesterday, after blue origin returning from space and bezos announcing he's donating $100 million each to the world central kitchen. and van jones, the founder of dream corp, saying, quote, they can give all to their own charity or share their wealth. it is up to them and it was a good explanation we gave for what it was all about, at least there's been any number of people criticizing him, billionaires in space but this is about decades from now, moving heavy industry off the planet >> to make rockets esg, or energy friendly in some way.

a lot of it is what if we just made industry on earth less polluting. as opposed to trying to export the work up there. there's no doubt you're going to find real applications and it's an advance we wouldn't otherwise have without these entrepreneurs. >> it's an interesting point and vision he did receive political flack yesterday after saying he wanted to thank the amazon workers because they're the one whose paid for it. without them this wouldn't be possible it's not too surprising to see he is making a donation in light of all of the publicity he got yesterday and just the excitement surrounding it. >> you don't want to go up i'd throw skittles at you? >> go up there maybe i get to catch them? >> 28 million bucks, you get to catch skittles >> i'm not that coordinated.

>> yes >> we'll train for it. still to come, tom brady's rtrsp thra kgsucing a new panehiwi dftin experience our advance standards safety technology on a full line of vehicles. at the lexus golden opportunity sales event. get 1.9% apr financing on the 2021 rx 350. experience amazing.

the world's first fully autonomous vehicle is almost at the finish line what a ride! i invested in invesco qqq a fund that invests in the innovators of the nasdaq-100 like you become an agent of innovation with invesco qqq show me the olympics.

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an uptick in covid cases could hamper the restaurant's recovery >> this time last week the focus was on labor and all the challenges companies face in finding workers to meet demand and restaurants are now facing a scenario in which cases are rising in certain parts of the country, at a time when things are going really well. data showed gained tomorrow. comp traffic up nearly 19% for the week ending july 11th. analysts maintain there is a lot of pent up consumer demand for dining away from home experiences. and chipotle is one example of that here's what ceo has to say when

asked about rising cases yesterday. >> obviously the news continues to carry the severity of where the delta variant is going frrt but we're not seeing major impact, at least as it relates to eating out or getting food to go >> restaurants have learned to operate in restricted and fully open environments. he told me the psr in fast food brands will once again be well positioned as they performed best in 2020 under those restrictive conditions the dart and brinking and red robin will be at greater risk of losing dine-in customers for business and ppe and government restaurant revitalization fund are closed they've maintained it was not enough to thfloat the entire

industry remains to see if more help is on the way rally. the notable lagger i care today we're driven by diagnostics, other notable laggers include illumina and intuitive surgery now the health care sector is the third worst performing sector in the s&p over the course of the last 12-month period so keep an eye on those health care stocksover all, down about .3% in today's trade keep it right here "squawk on the street" will be right back after this break.

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tom brady's nft venture autograph is partnering to create digital collectibles. joining us now for an exclusive interview to talk about all this is autograph ceo dillon rosenblith along with the co-founder matt. dillon, just talk a little bit about what you think this is

going to generate in terms of the specific types of collectibles, from whom, associated with whom and why draft kings? >> absolutely. autograph is dedicated to create the iconic collectibles. draftkings is the perfect place for our exclusive sports related content. >> matt, for a draftkings user, what will this mean? i know there's going to be a marketplace tied to these nfts that are created so how does this help or add to what a draftkings user can do? >> the draftkings marketplace is going to deepen our connection with millions of users throughout the u.s., canada and other countries. you know, by entering, we'll have the biggest platform in terms of any nfp platform out there. we'll have millions and millions

of users that will have eyeballs on initially -- through our partnership with autograph and anything that is to follow so we look forward to really hopefully innovations and shaking things up a bit. >> and the marketplace, if i understand correctly is u.s. dollar based in other words, people are not using crypto to buy the nfts, matt >> yeah. we were focused on creating an accessible experience which to us means the same draftkings account you use you can use in the nft marketplace, you can transact in u.s. dollars these are things that were barriers that we found at that time of our consumers as they look to enter into the digital collector space and while many are comfortable transacting in crypto today, a slightly bigger audience is comfortable in usb so we look forward to helping build that top of the funnel and over time, as things evolve, we

expect to see more and more users migrate towards crypto, as well >> talk about the nft market there is a sense out there and maybe it's fallen away i believe some of the nba brekts h products had some waning demand. >> auto groove's goal is to make a general collection that people truly love that brings them closer to the icons and talents. so i believe what we're doing is dependent of the larger markets and up and downs people have loved collecting for a long time. autograph is the new frontier of collecting >> how does draft kings make money from this? is it a traditional marketplace model?

are you planning on bringing in a conceivable number of revenue here >> it will cover a payment cost as well as the platform and the amount of margin hour focus is on bringing a list of the nft content that's available out there, working with autograph, they have a tremendous library of, you know, licensed contend from people's favorite celebrities in the world and we're really excited to bring that type of premium content to market. and as we introduce more types of nfp collectibles, our model will be a marketplace feed >> all right guys, thanks a lot for running through it with us appreciate it. matt and dillon, have a good day. thank you. >> thank you about with 1:30 to go. our show here, we want to go back to the markets for a minute the s&p is up .57% we are above friday's close of

the s&p. so all that concern about the delta variant, at least was reflected in the market swoon on monday has gone away >> it's definitely gone away or maybe it just got a little bit relieved from the intensity of monday bond yields have come up that was sort of the worry point that everybody was focused on. and i do think that's probably significant just to kind of set the scene of where we are. the s&p now about 1% below its record high. so, you know, we kind of had this little 3% shakeout, gained a couple percent of it back. and looked similar to what we saw in late june and early july, too, which was these very brief shake-ups. but on the other hand, didn't necessarily lead to some great, huge rally afterwards. so we're in a back and forth market still it seems. >> it does appear that value is overperforming growth. value and focus once again you've got energy, financial is, industrial webs materials all in focus today. >> almost all entirely a function of how many things were down leading to monday and that

seems to be getting a bit of that back. a lot of those groups down more than 10% >> it's important to point out we're back to 1.27 or so is the last look i had and the banks are certainly performing >> we've got some bond options coming today >> that does it for us here on "squawk on the street. tech check starts now. >> happy wednesday welcome to tech check. carl is off this morning today, growing pains or a mid life crisis, we debate earnings out of netflix and another big tech critic heads to washington. more on biden, the antitrust pick this hour and later, revaluin