shannon? >> paypal. we added just a few weeks ago. don't fear the ecommerce names it's going to continue >> all right and the good doctor. what do you got? >> thank you, scott. marathon petroleum mpc bought calls during the show a lot of them have been bought today. >> dow is at a high today, new intraday, 162 points see you monday "the exchange" begins now. thanks a lot, scott. i'm frank holland in for kelly evans. here's what's ahead on "the exchange." nearly a million jobs added in july, unemployment down to 5.4%. so, the labor market stronger than we thought? bye backs, they're back. companies are putting it to use. we'll tell you one sector where the buy back should keep rolling. the state of idaho running a $900 million surplus for

taxpayers. they're getting a refund but first we begin with the markets. kristina partsinevelos with the numbers. >> markets mostly high across the board. nasdaq down about 61 points. s&p 500 also off best levels strategists at goldman sachs increasing their year end target to 4,700 so, we're a little off on that point right now. but that represent a major upside from where we are now u.s. government bond yields rose today after a labor department data shows unemployment declines since the lowest level since the pandemic took hold the yield prices falling to that but funny how earlier in the week we saw this low of 1.12 when we were talking about deflation. look at where we are now that's why financials are leading the market, helped by those higher yields. materials boosted by chemicals and industrial metals, energy outperforming, despite crude

looking to cap its worst week since october. the restaurant sector taking a major hit. i know frank will have to go to jack in the box, cheesecake factory and red robin down for the week trading app robinhood surging today. look, up 40-some percent since the ipo, up almost 10% that's because early stakeholders filed 98 million shares yesterday, but they found out today they'll have to wait for regulatory clearance so, they'll have to wait to make that 3 billion plus in cash. >> thanks for showing us it's friday just by your attitude >> yeah! friday >> jobs report with hiring in july rising at its fastest pace in nearly a year despite growing concerns about the delta variant. the industries that are seeing the most job growth. steve, what are you seeing >> frank, you know this is fun fun is back in america or at least it was in the first part of july. and the work force that caters to our whims and whimsies, well,

they punched the time clock in much greater numbers in july than they have since the pandemic began tack a look at the numbers total, frank told, 945,000 that was 100,000 more than expected private sector, 703,000, of which more than half comes from leisure and hospitality. let's listen where those jobs are. bars and restaurants up 253. hotels up 74,000 arts entertainment, recreation up 53,000. gambling, amusement up 40,000. from a separate category here they were back on the movie sets they were back in the music studios. up 18,000 in that category leisure and hospitality was the hardest hit sector and it's coming back fast with a major question being how much does the delta variant and the labor shortage hold back hiring? well, like we see in hospitality or maybe because of it, the full job market not yet back to where it was pre-pandemic. we still have 5.7 million jobs to go.

but the three-month average of job growth, nearly 850,000 expectations for the strong pace to continue, the job market might get back to where we were in february 2020 by year end frank? >> something i want to go back to, are there any signs of the delta variant here in this job's report seeing any impact so far? >> well, the one possible impact was that maybe it was stronger but the other thing is that this survey, frank, was done before the 15th of the month or actually the saturday. that includes the 12th if you really want to be technical about it if you remember it's only in the last couple weeks of july and now this first week of august that it seems like the delta variant is front page news so, it may be something we see with slower job growth in august, depending on how much economic contraction and renewed lockdowns we have. i'm hearing very mixed signals about that with some places just

going ahead full steam without really changing much in terms of what's open and what's closed because of delta >> thanks a lot, steve what do the gains tell us about hiring and wages as the new delta variant of covid spreads across the country joining me now, michelle meyer and peter quigley. thank you both so much for being here michelle, if you don't mind we're going to start things off with you a lot of data to unpack here unemployment helped slightly, huge gains for hospitality, 380,000 jobs education had big gains as well. we'll get to that in a minute. what does this mean for the markets and maybe for some people even more importantly the potential of tapering coming this year? >> well, i think it's just as steve suggested. it's a lot of relief for the market because they were so much focused on what was going to go wrong in the economy, wrong in the data a lot of the down side risks, and then the jobs report comes,

which was, you know, really everything and more and i think longer on the jobs report, the strong overall, number of net positive revisions, low unemployment rate, increase across the board so, i think that market participants saw this as okay there's more fundamental stress in the economy we do need to be cognizant of the risks in the coming weeks because of the delta variant, but at least there was a good downation before we see that transpire in the data flow >> our kate rogers did excellent reporting on the teacher shortage around the country, lite of big gains in education there were 240,000 government jobs added last month, the majority believed to be in education. do you see worker demand remaining strong for teachers? and is there any other areayou see worker demand strong >> we see strength across all of our sectors, frank

but education, in particular, you saw an unusually high number of jobs added in july, which is as a result of schools starting tutoring programs or extending tutoring programs, looking to open their schools earlier to try to remedy the pandemic gap year that we had last year we're the largest provider of substitute teachers in the united states, and i will tell you that the number of teacher vacancies that we're seeing are really reaching alarming rates because some of these teachers bowed out during the pandemic. and the influx of new teachers is not sufficient to fill that demand so, not only are we concerned about schools reopening, but we also want to make sure that every classroom has an instructor in it >> you talk about a lot of teachers bowing out. i think a lot of people bowed

out the economy a bit because of their concerns over covid. michelle, i'll turn it back over to you we saw wages go up we saw hiring going up with the delta variant in play for the economy, the market, all our public health concerns, how do you see what we're seeing going forward when it comes to hospitality hiring, especially in bars and restaurants where the majority of that was happening. >> a critical factor for continuing to see healthy job growth is labor supply and we know that this has been a big challenge the last several months, that there's extraordinary demand for workers to satisfy the consumer spending and the changes we have seen following the reopening. but, yes, people haven't been coming back as quickly as maybe the economy would really need in order to see, you know, that pace of growth for overall consumer spending and job increase, et cetera. frank, to your question, absolutely we need to see a further rise in the labor force.

there should be a path for that, especially we're now seeing stronger wage growth we are seeing the unemployment insurance benefits expire. back to the conversation around schools, they are staffing up because they are looking to open in person in september that is leading to child care concerns the hope is that more workers come back in, they incentivize by the wage increases and that satisfies some of those demands. but you have to admit it's been happening a bit more slowly than i think we would have all liked to have seen >> speaking of things coming more slowly, ecommerce, things are very slow. fedex recently announced it's looking for about 80,000 workers. this is a couple of months ahead of when they would do their normal holiday hiring. are those workers out there? where do you find 80,000 people? >> that's a great question, frank. and not withstanding the strong jobs report, as michelle noted there's still a mismatch between

the demand for workers and the supply of workers. there's also a mismatch in the urgency with which employers need to put people to work to hire in businesses hiring managers want people now, and workers are a little more relaxed and being a little more choosey about what jobs they take there's a mismatch in terms of skills hiring managers complain that they don't findworkers with th right skills and employees complain that they can't find the right job to meet their requirements so, there really is a mismatch in the labor markets right now and you know 80,000 is a big number but all of our customers and employers at large are going to need to figure out this mismatch to try to get more people back into the work force. >> we're going to have to wrap this up in just a second peter actually one more quick question for you just a yes or no we're going to talk more about this in a second, but the child

tax credit, a form of stimulus a lot of people thought this stimulus kept people away from working. does the child tax credit influence people's decision to return to the work force at all? >> well, we think to the extent that there are working parents that have struggled with the environment, the pandemic environment, that something that would encourage them to find the reason to reenter the work force, the number of women in particular that left the work force during the pandemic is staggering so, anything we can do to incent and create opportunities for people to get back into the work force will be beneficial to the economy. >> all right we'll have to leave it there thank you so much both of you for being here we appreciate it another critical measure of economic growth, consumer spending consumers are spending and splurging across channels, and that's largely thanks to the

child tax credit linda kirkpatrick, president of north america for mastercard might be having technical problems -- >> hi, frank >> oh, there we go all fixed. linda, thank you so much for being here >> my pleasure great to be here >> great to see you as always. according to your research, consumers spending more. according to your research the child tax credit, that was a catalyst with five more payments coming up, are we going to continue to see that strong in-store buying? >> well, frank, our spending culture results do show very encouraging signs of recovery. july was the 11th consecutive month of retail sales growth and in july, 10.9% increase in retail sales that's quadruple the average growth for july. we do believe that this was fuelled in part by the child tax credit because what we saw was concentrated spending in the days immediately following the

first distribution of those tax payments on july 15. so, yeah it did have a contribution and while ecommerce continues to play a role for retail, consumers all are also -- they're returning to brick and mortar spending. >> so, we know a lot of employers are kind of rethinking their mask mandates, rethinking about if and when people should come back to the office. when i look at these numbers i see the jewelry and apparel sales are up year-over-year. are consumers saying they're ready to get the economy back open they're ready to start going back out and dressing up >> well, consumers are certainly speaking with their wallets. more than 80% of retail sales were in person, especially on the weekends in july and in-store sales were up 15% in july. and where we're seeing the most significant growth, department

stores up 80%. we're seeing apparel also up significantly, restaurants up over 60% and then of course travel. we're seeing airlines and lodging are not back to pre-pandemic growth levels, but what we're observing is that where there's an ability to travel because restrictions are lifted, there's a really strong consumer demand and desire for travel >> so, speaking of spending, there's so many more varied ways to spend, i should say there's cryptocurrency, there's also buy now pay later big move in the buy now pay later space with square. how does that impact consumer spending, and actually how does it impact your business when you see people looking to do the buy now pay later? >> we've watched the space very closely and have seen increased consumer interest in buy now pay later during the pandemic. we do believe these trends are complementary to existing

payment methods, and we do believe that buy now pay later is aligned with our strategy, which is really to offer consumers and small businesses choice in how they want to pay and be paid. we at mastercard invested early on in buy now pay later capabilities and other digital tools like click to pay and token zags and the momentum that we're seeing in this space now with digital is really a validation of this investment we're also partners with both pay and square they use our services and tools, and they also issue our products so, we're looking forward to continuing to work with them as they advance their buy now pay later efforts. and we're also going to continue to invest in this space. you can look out for more announcements from us in the buy now pay later space later this year >> we'll certainly be watching linda kirkpatrick from mastercard we appreciate you being here thank you. can you spot the common thread between ups, chevron,

alibaba and tech ron they're all on pace to end the year higher. on the other side of this break. plus choppy trading for growth after a mixed earnings report shares down more than 60% from their february high. we'll hear from the ceo about the quarter and the path to legalization here in the u.s hey lily, i need a new wireless plan for my business, >> announcer: this is "the exchange" on cnbc. ine this... your mover, rob, he's on the scene and needs a plan with a mobile hotspot. we cut to downtown, your sales rep lisa has to send some files, asap! so basically i can pick the right plan for each employee... yeah i should've just led with that... with at&t business... you can pick the best plan for each employee and only pay for the features they need.

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welcome back share buy backs are at near record levels with companies in seemingly every sector announcing plans as the economic recovery continues with a closer look at the return of the buy back, hey, josh >> frank, buy backs have been bouncing back. that is a theme we've been consistently seeing and hearing. ups announcing its board approved a new sharing purchase program, joining others like baker hughes, shell, chevron, moderna and others last year mostcompanies stoppe doing buy backs, in part because of the pandemic, the ensuing

economic turmoil, cash flow became king. now signs of a shift u.s. corporate buy back announcement totaling $683 billion so far this year. that is the second longest total on record at this point in the year so, where do buy backs go from here that's the debate. some market strategists say there are head winds certain sectors like tech and discretionary are looking at expenses they'll argue buy backs make less sense of pricing valuation. there's political risk too we need to think about. but buy backs maintain their momentum in the second half, the fed has given approval at the banks to do buy backs. what could that mean for the broader market it's another means for returns for stock. raising price targets to among the highest on the street, in part due to that bet on buy backs. one big question mark,

increasing concern about the delta variant and its potential economic impact. frank, back to you >> josh, thanks a lot. >> for more on buy backs with markets at record highs and the sectors where investors should see increased investment, we have nancy tangler we also have us paul hickey, the spoke investment group cofounder. nancy, we're going to start things off with you, if you don't mind buy backs. are there any particular sectors we should look at? and is there any common theme kind of threading together the companies that are looking to do these buy backs? >> frank, thanks so much for having me. listen, what we've been seeing that the ceo cause is at historic highs, cash on the balance sheet superstrong and then you've got this significant amount of unused credit that ceos have access to. so, we just saw apple issue a 40-year bond and use it for capital allocation and we've been writing about it -- i know others have too -- that this has provided a floor

under the market, which is why we haven't seen a major correction yet this year it's been rotating through sectors. so, i think this last earnings season, what we saw were a lot of energy companies announcing buy backs and dividend increases in tandem. and that's what i prefer to see. but in term of sector focused, i'll leave that to my other guest, my friend and other guest, mr. hick ey >> paul, going over to you, big name companies in favor of buy backs, talking about home depot, apple, microsoft, even jp moore dan. what kind of impact does that have on the companies and the broader market >> hi. when we look at buy backs, you tend to see two different -- you like to distinguish the buy backs, whether it's company funding the buy back with debt or using cash or the company whether the buyback is actually

decreasing share count or if it's just offsetting the diluting impact of stock options. you often do see that in the tech sector and you saw it -- years ago you would frequently see that the buybacks wouldn't even be enough to offset the impact of stock options. as you mentioned stocks like home depot, apple, microsoft, jpmorgan and walmart, over the last ten years they've seen their share counts because of buybacks decline anywhere from 10% to 35% over the last ten years. so, those are companies where the buybacks are really making a difference and then as -- with respect to individual sectors, it was touched on earlier in the leadup to the tsegment, i think josh mentioned it, financials financials have a lot of cash. and the financial crisis was over a decade now, so companies and banks are going to be using

that money increasingly to increase returns to shareholders and as nancy mentioned, companies will either do it through buybacks or stock dividends or a combination of the two. but you're definitely seeing the uptick in buybacks we expect to see that going forward in the financial sector. >> turning back to the markets, nancy, the dow and s&p 500 both hitting record highs after a strong jobs reports. we look at the numbers, hospitality earning obviously up is a lot of this due to enthusiasm over the recovery, and how does that impact the growth versus value trade? >> yeah, definitely frank. we expected value to get a pop today because this puts a little more pressure, some think, on the fed. i was particularly pleased to see hospitality improve. we'll see if that retraces a little bit next report but i also think that you're going to see a real pop in jobs when the supplemental benefits

go away. so, many states have already removed them and if you look at continuing claims, those state versus dropped dramatically in terms of continuing claims versus states that have not removed the supplemental benefit so, i think once we have an incentive for people to go back to work, there's just demand for workers is very high it's the supply. so, we are looking for much stronger growth in the second half than we saw this last quarter, and then we think we begin to see a slowdown. it's just the mass rate of change we'll probably then see a return to more normal levels but still elevated level of gdp. so, we like -- we're moving our portfolios toward growth at a reasonable price focused and we have been for the last four months we'll be wrong in the short term potentially but that would be the right place to be at the end of this year and going into 2022 >> another impact were interest rates. 10-year high right now, we're

seeing the sectors rise. what sectors do you see being impacted positively by that and does that continue if we continue to see the strong jobs report >> yes, that's a great point interest rates are a key driver as far as the individual sector performance is concerned i was just talking about the financial sector in terms of buyback. the most correlated sector in the s&p 500 to move in interest rates. as interest rates go higher, relative rates pick up other sectors that benefitted as well are industrials, materials and small cash these are all areas of the market that have lagged since the end of the first quarter and i think we felt a similar occurrence happen last summer into the fall where you had the big shift from packing into the reopening. it wouldn't surprise me to see some of that shift take place again where sectors that are inversely correlated to interest rates, health care, utilities, real estate and even to a degree technology so, those -- so, that could be

another shift that you've seen in the market. we've been seeing these pretty big shifts in the market on an intermediate basis since last march. i think uk see another one of those going forward here >> nancy, before we go, do you have any picks of stocks we love to pick stocks here on cnbc are there any stocks which you see benefitting from this current environment? >> yeah, actually i have three, frank. one is water treatment while in anticipation of the structure, the company just reported earnings. they had a triple play they beat, they beat and they raised and they also announced their backlog was so large and it would be a credence to margins going forward. so, that's one we like we like square for the longer term, the afterpay acquisition was fantastic. on the relative price, the basis it's not expensive, which is what we look at.

and the third name i brought to the table -- oh, my goodness, did i forget it? yeah, i did. sorry. it's friday. amazon and the reason we like amazon is obvious but it fits all of our themes so, it's not just cloud and tech, but it's consumer discretionary and where the consumer meets digital and it's done nothing for almost a year so, on a relative range. so, those are three names we've been adding to recently. >> you must be one of those people going back to the store to shop. how do you forget about amazon thank you so much for being here coming up, idaho is one of the many states returning money to taxpayers after reporting a record budget surplus at the end of the last fiscal year. we will speak exclusively with republican governor brad little about the new initiative and this stock is on pace for it's fifth straight week in gains, longest winning streak

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nasdaq composite, right now down about a half a percent here are some of the movers this hour, the ceo apologized for the carrier's recent troubles, he said a combination of staffing shortages and weather problems led to the cancellation of nearly 2,000 flights this week matching longest streak since 2018 and the decree of spirit airlines will join "closing bell" today at 4:00 p.m. shares of the linkedin for doctors, those shares down about 6% today a new story on cnbc.com highlights the spread of vaccine disinformation on that social network. the company went public in june with nearly 2 million members and is set to report earnings next week. you can head over to cnbc for more now over to rahel salman for a cnbc news update new jersey is expected to

become the latest state to mandate masks for students and teachers in schools. other states include california, louisiana and washington meantime florida is going in the opposite direction it has approved private school vouchers if parents feel their children are being bullied by safety rules, including mask mandates the california fire grew by 110 square miles over night, the third largest in california history. four people are still missing. the dixie fire is one of 100 large fires burning in 14 states on "the news" reports from on the ground in california, but fires in greece and turkey forcing thousands to flee. that's tonight at 7:00 p.m. eastern. and in afghanistan the taliban has claimed responsibility for killing the country's top media information official the attack comes days after failed attempt to kill the acting defense minister. taliban forces have captured

their first regional capital if you're a resident of idaho you're about to find a little bit of extra cash in your pocket taxpayer money returned today as part of the biggest tax cut in the gem state's history. we're going to speak to governor brad little about that next. "the exchange" will be right back adjustable has no penalties or advisory fee. and we can monitor to see that we're on track. like schwab intelligent income. schwab! introducing schwab intelligent income. a simple, modern way to pay yourself from your portfolio. oh, that's cool... i mean, we don't have that. schwab. a modern approach to wealth management.

welcome back to "the exchange." when the pandemic hit, braced for revenue in spending, but many governors are finding a budget surplus and they're returning some of that cash to the people ylan mui is here with that story and a special guest. ylan >> frank, more than 20 states have lowered taxes this year and they're doing it in a couple of different ways some sent residents their own version of a stimulus check. others expanded tax credits. 11 states across the country have lowered their income tax rates. that's the most tax cutting income taxes at one time in at least two decades, according to the tax foundation now, the list includes wisconsin, nebraska, arizona, idaho enacted its biggest tax cut ever and joining me now in an

"exchange" exclusive interview is republican governor of idaho, brad little. governor, thank you so much for join us. >> my pleasure >> so, your state andso many others have seen such a dramatic turn around in your fiscal outlook, idaho expecting a billion dollar budget surplus. what's really driving that change in outlook? >> well, we were on a great trajectory before the pandemic hit, and then we suffered a body blow like most states. but we've always conservatively budgeted, conservatively spent and that should be a perpetual mission that we continue to keep spending down. and then when this surplus showed up, we just -- the easiest thing for us to do is give it back to the people that paid it. so, whatever you paid in 2019, you're going to -- this week, you're going to get 9% of that

back or $50, whichever is greater. so, we're taking that money that we collected, that we believe is, you know, above and beyond what's necessary for prudent spending and we're going to give it back to the tax payers. we alsodid some lowering of th rates. we got the lowest rates you had since 1936, and we did some permanent property taxrelief >> so, you're talking about some permanent tax cuts in addition to that tax rebate that sounds like you're pretty confident that your state will continue to see economic growth even though we're now seeing some questions about the impact of the delta variant and what that could mean for economic activity and for potentially lockdowns in the future. >> well, we're, of course, we have the most modest of all orders during the pandemic

and we've got this rapid growth. the jobs report that came out this morning, we'll get our data soon from the states but i've been around the state in the last week, and everywhere everybody are raising starting wages, raising all wages record incomes for businesses and individuals. so, i see no indication. we are concerned about the new variant and some of the positivity rates, but we have just got a great booming economy here right now and the right thing to do is to give some of that back to the tax payers we don't know when this is going to normalize you know, $5 trillion that the federal government has put in there, there's some uncertainty there. so, we're -- we've got a very healthy rainy day fund we're giving this money back

we want to see what happens when the economy normalizes when we get through covid and the impact of all this stimulus money >> governor little, this is frank holen bach at cnbc headquarters there was a mask mandate passed in your state. i know you were not in favor of it it was done while you were out of town by the lieutenant governor don't you believe or do you believe that masks are an important part of the recovery you mentioned that your state is booming. do you think mandates like mask mandates and social distancing, are those important components of keeping that going? >> well, i've advocated for that since -- for over a year, and we continue to do it. most of the decisions are made locally between either a local health district, a city, a school board and that's our belief here idaho is a very diverse state. we start at the canadian border, go down to nevada. it's very diverse. and the one size fits all

solution but i believe in empowering businesses and local government to do the right thing. and we're advocates of vaccination and doing whatever health protocols to keep the spread down. but we are very concerned about it >> governor little, this is ylan again. how important is increasing that vaccination rate to keeping that economic boom that your state is seeing, keeping that going and what can you do to encourage more people to get vaccinated? >> we continue to message out, myself, my public health team, local government businesses, the medical community, we continue to put messages out that we don't think it's working, we kind of tweak the message to try and get better penetration you know, every day that goes by that more people are vaccinated and protected means that their neighbors, friends, family members are aware of that. and we're just urging everybody

to get vaccinated. my biggest concern, i had my state board of education in this room this morning, and we're talking about getting kids back in college and particularly kids back in school because one of the most detrimental things to the economy is if kids aren't back in school and parents are staying home with them, that will slow down the economy we want the vaccination rate to get up and protect our idaho citizens >> governor little, thank you so much for your time i know your residents are going to be checking their bank accounts over the next few days for their tax rebates. frank? >> that's a lot. i don't blame them, for money coming in. coming up, the covid restrictions dampen recreational use and the competition heats up we're going to hear from the ceo from canopy growth about that and the growth opportunity here in the u.s that's coming up next. l bus.

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welcome back to the exchange canopy shares having a choppy run after reporting earnings shares turned positive just before noon, then they went negative and positive again, after an earnings report where there was a big beat on eps. ceo david klein says that beat was due to accounting abnormalities, and investors should focus on canopy, having the number one flower and drinkable brands in canada and the martha stewart cbd line being number one in the u.s. now he says canopy growth's focus is strictly on canopy. >> we need to execute in canada and use canada as that test market to develop brands like our quattro brands, which we innovated in canada, we launched in canada. when we saw the success in

canada, we brought only the cbd version, but we brought the cbd version to the u.s >> but you have to keep in mind canada is only a fraction of the $23 billion u.s. market. klein says the company's acquisition of u.s.-based acreage has it ready for legalization if and when it happens and canopy has roughly $2 billion to spend on u.s. acquisitions >> we created the play book for investing into the u.s. market and we're going to continue to use that capability to position ourselves to be a leader in the u.s. thc market when the u.s. thc market opens it will be investing things we own but also look at things in the u.s. >> canadian stocks a bit mixed today. we see canopy up almost a percent. the broader sector still up more than 20% for the year. still ahead of car gurus higher today after earnings and strong guidance.

'ltao the ceo about growing divergence and what that means for prices "the exchange" will be right back

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all right. welcome back to "the exchange. shares of car guru higher on

unexpected earnings. revenue surged 130% year over year as the global ship shortage squeezed inventory leading to higher prices for new and used cars and car gurus leading into the e-commerce trends with the instant max cash offer with helping people sell their cars online let's welcome car guru ceo jason. >> thank you for having us >> i think we're all seeing the increase and what's more in demand used car new cars or used cars and how are prices influencing for consumers? >> all spurred by the schip shortage that began last year. so, demand is high for sure. suburbanization continues and that's moving away from transit continues so demand is high. the bigger issue is that supply

is constrained new inventory in particular is down about 60% year over year. it's been decades since we had a situation like that. production is expected to accelerate in august, but it's down right now used inventory has ebbed and flowed it declined for several months in the beginning of this year and now slowly starting to recover. so, that imbalance high demand and lower supply has pushed prices up significantly. new car pricing is up about 15% year over year used car pricing much more significant. up about 35% year over year. >> wow i've experienced that personally sold a used car for more than i was offered for it before the pandemic so -- >> that's hapening to a lot of folks. what's even more important right now -- >> so, sorry to cut you off. really quick, we'll look at your numbers a bit more 82% increase in the revenue you're getting from dealers. you don't buy or sell cars can you kind of explain your service for dealers and why is it is so much in demand?

>> the comp we had from last year during covid and q2 we gave a significant discount to help manage through the early days of the pandemic but we had grown our subscription since then. so, correct, today our core foundational business is online marketplace where we connect the largest inventory of cars from the largest install base of dealers with the largest audience of consumers. and dealers pay us a subscription fee to get access to certain tools and certain features on our site and consumers for consumers it's entirely free. what's different about our platform versus others is that we give the most unbias and transparent deal ratings on new cars we help consumers understand with used cars in particular if it's a good deal, great deal or fair deal and feed backon the dealer, as well. >> looking forward to the second half of the year, what kind of cars or vehicles over all do you

see in demand suvs, fuel efficient vehicles or is it even electric vehicles? >> electric vehicles a lot of the trends occurring before covid are continuing a small percentage today, but there's rapid growth there there continues in the u.s. to certainly be a push towards larger vehicles, trucks and suvs and i think that will continue as we come out of thisinventor constrained environment. >> all right, jason trevisan thank you. appreciate you. we are just a few weeks away from september and the fight over mandatory masking and vaccinations threatening a supply of edgeicators that are already stretched pretty thin. we'll dig intoha t next.

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and ones you hold tight. at thrivent, we believe money is a tool, not a goal. and with the right guidance, you can get the financial clarity you need, and live a life rich in meaning, and gratitude. to learn more, text thrive to 444555, or visit thrivent.com. welcome back new jersey enacting a mask manicate for students in schools just a half hour ago the debate about masking for kids has been heated since the start of the pandemic and now it's coupled with potential vaccination mandates, as well. with the school year just around the corner, some states are still looking for eachers. kate rogers joins me now with that story hey, kate.

>> hey, frank. well, we've been tracking the nationwide teacher shortage for years long before the pan dem, but covid has the potential to exacerbate the situation one in four teachers were likely to leave by the 2021 school year and 80% reported job-related stress in texas, governor greg abbott did not enforce mask mandate, but union leaders in the state are pushing for districts to make their own rules >> governor abbott needs to allow local districts and cities to make the best decisions for themselves depending on their covid situation, right we often hear about local control and, you know, republicans only want local control when it suits them and in a moment like this, each city and district needs to be allowed to enact the safety protocols in order to keep people safe.

>> unions and advocates hear that these fights can exacerbate a lack of teachers if funding winds up being pulled for schools that enforce mandates, but not all parents want to see universal masking policies put in place at schools. unmask our kids is a local group in connecticut that held a rall just this week >> it's like the finish line just keeps moving. oh, you know, if we do this, then it will be over oh, no, now it's if we do this it will be over. oh, now, if we do this, it will be over. what are we teaching our kids? you know, there's no end >> so, a lot of back and forth here between the school districts, the unions, the parents, the teachers. so much tension there, frank interesting to see how it all plays out this year. >> a lot going on. hopefully more teachers come back to the classroom. great story, appreciate it that does it for us "power lunch" starts right now. >> thank you very much, frank. here is what is ahead on "power

lunch. one million jobs created last month. the dow and s&p hitting new highs what is the best way to int invest with the labor market firing on all cylinders. get vaxed or axed united airlines is the first major carrier to impose a mandate. we'll dive into the hot button issue that is dividing corporate america and its workers. a crypto controversy on capitol hill why the bitcoin industry is smack in the middle of an 11th hour hold up on the infrastructure bill. all that and more on power lunch which starts right now courtney, thank you very much and let's get right to the markets. welcome, everybody the dow powering higher following that strong job's report earlier today 900,000 new jobs added and half point higher on the dow right now. s&p and dow hitting fresh records. nasdaq, however, moving