their toes because there's been a calm and there goes the volatility >> keeping all of us on our toes kristina, thank you very much. kristina partsinevelos that does it for "the exchange." don't leave your seats "power lunch" begins right now kelly, thank you very much it certainly does start right now and welcometo "power lunch. here is what's ahead happening right now president biden hosting his first very high-profile meeting with private sector executives. a who's who of ceos. the issue is cyber security, and we'll speak to an expert who says there's one area of this growing threat that is not being sufficiently discussed and that is supply chain security and an advertising powerhouse apple's ad business could grow a lot faster than people think we'll talk to an analyst who has the numbers to prove it and fizzling out

the once sizzling hard seltzer market hitting a summer slump and it could knock 30% off boston beer stock price. we'll dive into that call later this hour. kelly? >> tyler, thank you very much. and hi, everybody. here is your midday market check. the dow hanging on to an 84-point gain. the s&p crossing 4,400 today just about two points below that the nasdaq building on gains above 15,000 that it first climbed above yesterday. up about a tenth of a percent lagging just a touch in case that gives you the sense take a look at what's happening with treasury yields we have a risk on, reflation, whatever you want to call it today. you can see the spike higher in the last couple of hours for the ten-year treasury note 1.34%. sending bank stocks higher airlines and casinos and shares are sinking. the company responding to allegations disputing the integrity of the alzheimer's

drug data. one of the biggest concerns on wall street is about profit margins being compressed a lot of people warn higher input costs would hit corporate america's bottom line. that's not happening for a handful of retailers bertha coombs has the numbers. bertha >> reporter: kelly, retailers say they're facing supply chain cost head winds and conventional wisdom may make you think that's going to hit their profit margins. but it's not dick's sporting goods blow-out quarter fueled by record sales at mostly full price, even some price increases. the ceo crediting the switch away from print to digital advertising in part for allowing them to be more strategic when it comes to markdowns. the result growth margins of nearly 40%, up five points from a year ago, six points from 2019 at urban outfitters a similar story. record low levels of markdown at their flagship urban outfitters

unit and anthropology stores and on the call executives say they've raised prices on higher ticket items to recoup the higher supply chain costs. 37.6%, up five points from a year ago and five points from two years ago in 2019. luxury retailer nordstrom supply chain disruption has meant shortages in some categories and less discounting even with the anniversary sale during the quarter. it's not paying off as much. gross margins came in at 34.6% beating expectations flat with 2019 even as net sales were actually down 6% from two years ago. dick's today touching a fresh all-time high after those blow-out results clothing stores giving back a bit of concern about how they're

going to fare with supplies going into the holidays. >> we'll talk more about that, bertha thank you very much. our next guest faces investment decisions around the ability to expand bertha talked about companies able to do it. the president and chief investment officer i want to get to the supply chain and the margin question in just a minute. you are skeptical of the skeptics who believe this expansion will be short in duration, three to four quarters you say three to four years. why? >> all we were trying to do is take the behavior of last year's economy and market and superimpose that on a recovery meaning it was a sharp decline that should be followed by a sharp increase and then return to some nominal 2% growth rate something dramatic changed

during this experience and we are going to see evidence the buildup of cash on people's balance sheets, there's very little consumer debt and corporate debt and a proclivity to spend more money and consume more that is a behavioral change and all of these things combined will push us to a much longer expansion than the one that most people would have assumed a couple quarters ago. >> there's pent-up demand and balance sheets are in good shape for the consumer right now let's get to that question of mar margins. it's your view that companies, yes, will see commodity pressure yes, they will see labor price increases. but, no, it's not going to affect their margins all that much why? >> well, start with the fact it hasn't yet we have the biggest -- 90% of companies beat expectations in the previous quarter and that's a heck of a statement. it's never happened before you have examples like the retailers today is another --

that should be a business that should feel that pressure from supply chain and other commodity prices but they didn't. and our view participate of this longer expansion trade or way of looking at the world there's just not enough supply in the entire system right now to respond to the embedded demand there and it will take years to meet. by doing that companies don't have to promote as much so you don't need to spend as much advertising your product there's competition to actually buy products today that won't go away in a quarter or a year. that's part of the longer and stronger mode we think will drive margins not just for retailers but industrial companies. margins to rise rather than to fall >> if that's the case and that

has to mean they're raising prices for consumers or end users, whoever they may be >> yeah. there's no question that in the cases where -- let's use the example of a car business. there's two cars demanded for every one coming off the lot or assembly line. people are willing to pay more for it you are already seeing that in end pricing. you will see that through the cpi and other nominal rates of inflation but not in a sustainable way. you will have this burst >> great as always to see you. this guy doesn't age >> they say that about you >> sure. >> good to see you >> you and me go way back. >> a long time thank you, man >> no problem. >> pivoting to apple, investors know about the strength of its iphone units and the ramping up of its business. one area our guest says is being overlooked and it's the ad

business apple's ad revenue growing from $2 billion to $20 billion. what does it mean for the stock? the analyst behind the call. it's good to have you. even $20 billion is not that much for a $2.5 trillion company. >> yeah, apple has the joy of really large number at this point. i think what it does do is show you a better metric, this business could be running at 50% margins so the impact to the bottom line could be 10% profitability and monetization could help you through the business >> and that picks up on a discussion we were having. tell us what you think investors would pay up give us some examples. >> if you look at the valuation metrics, the bigger ad businesses get paid.

the bigger thing apple will be if the story can pivot $1.6 billion that apple will monetize through ads and services the way a luxury good retailer gets or apple is being perceived as more of a technology hardware company. >> a couple things to ask you about. one is hypocrisy, if apple has cracked down on ad tracking across apps and yet is monetizing its own -- is advertising itself with growing importance and primarily through the app store itself most of these ad dollars are coming from ads. they're advertising on the app store and interfering with other companies' ability to monetize their own ads through the app store. are they going to have to come

up with a better narrative >> this tracking of data to lower the playing field, some of them are very benign and can monetize one would be can we make the app store itself more of a content discovery mechanism? today most people that go to the app store use it as a transaction mechanism. can you make it more of a discovery thing? can you monetize apple maps or apple tv, which has no ads to your point, can you leverage what's happening with at&t to build a better ad business that can compete with the current ones i think that one becomes more

challenging because you have to walk a very fine line between consumer privacy and monetizing that install base. >> your numbers really get my attention. $2 billion in ad revenues today, maybe $20 billion within three or four fiscal years you described part of it that's 10x obviously and that's a significant money. the history of companies that are coming from out of nowhere and challenging two very strong incumbents like facebook and google, the old rule is you don't want to be number three in a two-horse race >> a very fair point the analogy i looked at when we did this analysis was amazon, if you go back to amazon's ad business it was probably around 2016 >> and they did it >> and they did it very well >> there's a precedent

the other thing for apple is people are using the install base more and at&t and this idea of requirements they put in has almost made it more difficult to pay and offer in the current playing field and does that help apple. does it make it more difficult and could help apple >> thank you for joining us today. let's go, president biden is meeting with business leaders and experts to discuss growing cyber security threats let's listen in. >> across the software industry, all the while improving security for all americans. we've launched 100 day initiative to launch cyber security across the electric sector they have resulted in more than

150 utilities that serve 90 million americans being deployed and -- or committing to deploy cyber technology securities that are extending that initiatives to gas pipelines as well because cyber security is a global issue, we've rallied g- nations and countries who harbor ransomware criminals i might add i had a summit with vladimir putin and that we expected him to hold them accountable as well. because they know where they are and who they are that's another issue we'll be discussing so much today we updated nato cyber policy for the first time in seven years and today my team has hosted a meeting bringing together 30 of

the nation -- 30 nations to step up in their fight against ransomware but the reality is most of our critical infrastructure is owned and operated by the private sector and the federal government can't meet this challenge alone. so i've invited you all here today because you have the power, the capacity and responsibility, i believe, to raise the bar on cyber security. thank you all very much and i thank the press for being here we're going to go private. president biden, we're just making sure he's not going to respond to any questions, everything from afghanistan to

the other top issues of the week he was meeting or is meeting with top ceos and experts to discuss cyber security let's bring in eamon javers for more color here. >> reporter: the reporters in the room trying to get the president to answer a couple of questions. he does not seem to want to take the bait afghanistan is one of the issues but in terms of this meeting today the goal of the white house is to do that public/private partnership we hear so much about in theory and take that and turn it into something in practice. they are including huge heavy hitters to ante up, to offer some deliverables in terms of security an adviser said one of the things she's looking forward to is hearing how the companies plan to build cyber security in to the software and hardware that they sell from the outset rather than having to go back and patch and defend later

we might hear some announcements later on the workforce shortage of about 500,000 workers, the white house says, those jobs are empty they would like to film them and ramp up training and all the things you need to do to bring workers in this industry like so many others right now across the country facing a severe worker shortage a lot for them to discuss. you see the white house reverting to form here in kicking the press out. that's a sort of standard move the previous administration would let them hang out and film the whole thing. in this case they opened up at the top for what they call spray, out goes the press and on goes the meeting >> i thought it was interesting you have among the attendees really the intersection of the two industries at which the united states may be preeminent. one is the technology and internet industry represented by apple and google and microsoft

and on the other hand the financial services industry represented by jamie dimon and brian moynihan that intersection tells me this is a financial services issue as well as -- and a risk to them as well as a risk to the internet and equipment providers. >> reporter: financial services has by many accounts the most to lose in terms of cyber security because you're dealing in digital accounts and the idea of hackers getting into banks, deleting accounts, that's just a nightmare for the banks. anecdotally we talked to cyber security the banks have among the best cyber security professionals anywhere in the world. in thaerms of the output, i don want to jinx them or try to get

hackers to try the back door they know what's at risk they've been dealing with bank robbers for generations if not forever. and they know what they need to do and by all accounts they've been doing a pretty good job at it we'll see if they can add value today. >> eamon javers will be following this for us for much of the day david kennedy is the ceo and founder of trusted sec you say one of the important issues that they will undoubtedly discuss today is the security of the supply chain and specifically of the software supply chain i don't know what that is. what do you mean when you refer to the security of the software supply chain >> yeah, that's a great question so when you look at how we trust our computers, right, everybody has an iphone or an android, they may have a windows

operating system or mac operating system, they facilitate software and push updates out and things to that effect just recently earlier this year we saw an attack against solar winds which is an i.t. monitoring company the russians allegedly use to go into and then basically hack other companies including microsoft, cisco, vmware, some of the biggest companies out there. they use the trusted process through updating to attack very large organizations breaking our trust model and we've seen ransomware groups take advantage of this. another company in the managed provider service industry went down it's a major exposure from our software supply chain because we're reliant on technology and our businesses that if one of the big companies gets hacked it is now literally everybody getting hacked now which probably presents one of the largest security issues we have and we're going to face today

which is why we need federal and private sector cooperation to really tackle these issues >> david, i'm glad you brought that up. i was thinking about this case study as it relates to what the people in the room can do to sort of fix this problem so you have a third party vendor providing back office software to dentists office and accountant firms they get hacked or ransomware attack and they go down. what could the people gathered in the white house right now have done to prevent this from happening? >> it comes along understanding -- for example, let's take microsoft they're continuously pushing out code for updates for software as a service platform all of these different areas and so is google it's really important that we look at how these attackers are breaking in pushing these updates and we detect these earlier on so that we can respond much more effectively to these threats as they come along.

it's really on the vendors, the manufacturers, the producers of the software to ensure their code integrity is there so you can't impact large-scale organizations. we've never had the reliance on technology today in an interconnected world is progressively expanding even further. now you have a platform where you have one of them and all of them it's a major concern that i know the federal government has, that private sector industry has working together collaboratively is the best way to solving that and versus something like solar winds where they had several months in their infrastructure before they're detected which allowed them to launch these attacks. >> we look at that 180% up ransomware in this year. it's interesting the way you describe the supply chain. now i kind of get it let's say i'm going on my chase bank account it's not just chase, it's all kinds of other vendors and

suppliers at every point of the creation of that software, the updating of that software. all of those little touch points are vulnerabilities in that chain. let me talk to you about one area that i think maybe we have looks obviously at the power grid have we looked closely enough at the vulnerabilities of hospitals and the health care system i see in some of the research that half of all hospitals have been hit by ransomware just so far this year. >> i was a little bit disappointed in the meeting today. you have the financial sector, which obviously has oftentimes led the charge in security and some of the largest corporations providing the technical backbone or some of the largest technology fronts. you look at some of the struggling industries right now and hospitals and the medical field is one where we see such a large increase in ransomware

they're ripe picking for them. a lot of times they don't have dedicated security the systems themselves are antiquated and can't updated because of loss of life or real finicky when it comes to updating things for surgery. the medical field is one of the largest hit from ransomware groups that we see and are continuously working day in and day out trying to help these folks. it's an alarming state right now and critical infrastructure needs its attention but you also look at the medical field and it's one we need to take focus on as well >> david, fascinating conversation thank you for being available to us today we look forward to seeing you again soon >> anytime thank you so much. >> you bet coming up, seltzers, summer slump. say that ten time quickly. sales of the bubbly alcoholic sales fall shares of boston beer will go flat by 30%. eawh "weyst behind that call is ahd enpor lunch" comes back after this.

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combined company would likely be run by the western digital ceo david golkeller. >> wow that's a huge move especially for the memory names that were depressed lately coming up, there she buys. bitcoin whales are jumping back into the crypto market and buying in. they say that's why prices have been heading higher. we'll have the details later in the show plus, up next, delta versus delta. the airline joining the list of companies requiring employees to get vaccinated with a penalty for those who don't comply don't like surprises? [ watch vibrates ] proactive notifications from fidelity keep you tuned in all day long. so when something happens that could affect your portfolio, you can act quickly. that's decision tech, only from fidelity. (vo) unconventional thinking means we see things differently, so you can focus on what matters most. that's how we've become the leader in 5g. #1 in customer satisfaction. and a partner who includes 5g in every plan, so you get it all.

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welcome back i'm rahel solomon. here is your cnbc news update this hour. more than half of florida's 2.8 million public school students must now wear a mask in their classrooms school districts defying a ban from above ron desantis. the board voted for a mandate after nearly 2,000 students tested positive since the school year began also in florida, funeral homes working day and night to honor the dead, one says the influx of bodies is worse than during the first wave of the pandemic south dakota attorney

general taking a plea deal for charges in a fatal hit-and-run last year. prosecutors say he will avoid trial. details of the plea agreement have not been released and an appeals court has upheld the conviction and sentence of the first person in the u.s. to get the death penalty for a hate crime dylann roof was found guilty when he opened fire on a bible city group his crimes, quote, qualify him for the harshest penalty a just society can impose kelly, back to you >> thank you very much let's turn back to markets the dow is hanging on to about a 90-point gain. the s&p just a point under 4,500 which it first crossed earlier today. the nasdaq up about 0.2. in terms of today's power movers, the lithium stocks all in the green today about 3.5 to 5% gains but they're coming off a pretty crazy run albemarle is up. express shares sinking

the company reporting an unexpected profit. it beat revenue expectations look how the shares reverse lower down 8%. and the home construction names are higher again today toll leading the way up more than 4% boating out earnings and revenue citing low inventories in the housing market and low rates lifting the whole space today. tyler? >> thank you, kelly. delta airlines, goldman the most recent mandating employee vaccinations or pay a health insurance surcharge of$200 a month. goldman sachs requiring all people entering its office in september have to be fully vaccinated the companies joining names like microsoft, disney, cisco, netflix in instituting those employment mandates. we will continue to track where companies stand on this issue. still ahead on "power lunch" the nasdaq trading above 15,000. the index hitting 1,000 point milestones at record rates but can it all continue?

we'll get a technical take on that one plus is hard seltzer fizzling out boston beer seltzer has gone flat we'll be right back with more. icy hot. ice works fast. heat makes it last. feel the power of contrast therapy, so you can rise from pain. if you're 55 and up, t- mobile has plans built just for you. feel the power of contrast therapy, whether you need a single line or lines for family members, you'll get great value on america's most reliable 5g network. like 2 lines of unlimited for just $27.50 a line. only at t-mobile.

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to the bond market where yields are climbing today. back above the interday. rick santelli at cme rick >> reporter: yes, tyler, it has been a wild session. if you look at five year, and i think five year because we had $61 million and hit the marketplace at 1:00 eastern. as you notice on the chart at 1:00 eastern rates went up there's a nervousness as to whether there will be new information on the taper in lieu of the questionable notion of how the delta variant is going to affect jay powell and company and that has shown up in a much less aggressive auction. the two-year note auction was very strong. if you look at 5s, 10s and 30s you can see how they have turned up all at two-week highs two-year note should they close,

that would be a 1 1/2-month high if we look at ten-year notes right in the middle july 2016, 1.36 to the left you see that little bottom on the left 1.39% those are the areas we're bucking up against and they are solid resistance levels. finally the kbw index against the 10 year notes week to date a rise in interest rates makes banks quite happy. kelly, back to you >> love that chart of the ten year rick santelli. the nasdaq is holding on to 15,000 is the index about to hit an air pocket our next guest says the charts point to some september volatility let's bring in the managing partner and founder of fairly strategies what are you seeing? >> last week for the nasdaq 100 we saw the 20-day move lower briefly. when that happens it does tend

to precede pullbacks it put us on guard for any loss of short-term momentum in and of itself it does suggest that the up trend may be losing skin to some degree as we get into this september period it's the worst month for the major indices over the past 10, 20, 50 years and that includes the nasdaq 100 so it tells us not to sell stocks here but maybe be hedged to some degree >> the chat we were having last hour, he's all in on the value trade, on banks, on this whole idea if you want to call it reflation or reopening or what have you, in saying that's why he thinks something like the nasdaq would be positioned for a reset. how do you think -- again, the fed, jackson hole resets, are all of these headlines feeding into a repositioning and maybe value to sort of put it that way leading the way again?

>> yeah, i mean, you could make the case for that for sure looking at the financial sector which sets up very positively going into the jackson hole meeting. we're seeing some fresh short-term breakouts there look at goldman sachs, morgan stanley. there's some redeeming technical qualities and then something like apple is the heavyweight in the nasdaq 100 and it does show some signs of short-term upside exhaustion not a big sell signal, but it's outperformed and looks like it could start to tire in relative terms. that could be a drag on the major indices. by no means does that mean we're expecting a big correction but could have volatility. we're watching high growth benchmarks, which has managed to hold up above key support this week we're watching the 115 level as long as that level holds we'll feel pretty good about

high growth if it's taken out, a return and that would be an issue >> this is a very rare time, katie, where even i looking at the nasdaq chart, can see what you're talking about here because the nasdaq has been moving up in stair step fashion over the past 12 months but it either then pauses on a step or takes a step back before moving two steps higher is there a catalyst that you have your eye on that would cause the nasdaq composite, as we're looking at there, to take that pause is it buyer fatigue or what? >> the charts don't answer that question, unfortunately. they can reflect on what the momentum is doing. what i'm watching personally to suggest it becomes worse than what i am expecting which is this consolidation, another one of those stairs, and as it stairs step higher in a healthy up trend, i'm watching the vix

if the vix takes out the resistance on the chart right around 25, if that's taken out, well then perhaps we're getting into more of a high volatility regime and i think that can be associated with more significant corrective price ak. if you look back at the breakouts the nasdaq 100 index had over time especially the one late last year, it does target higher prices from current levels even before year end, even close to that 16,000 level. perhaps we'll be talking about that later this year >> i like that the charts can tell you what had h they can't tell you why. nice point >> it's nice but maddening katie stockton another faang stock creeping to the 2 trillion club. watch out, sending a technical warning sign we'll have another one right after this

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welcome back to "power lunch. google parent alphabet edging to a major milestone looking to join the $2 trillion mark cap

club alongside apple and microsoft. alphabet is the best performing faang stock by far this year, nearly double the gains of facebook but can this red-hot stock continue higher? matt and boris, good to see you both boris, i'll start with you you say it would be a mistake to sell this stock on valuation concerns tell us why. >> yeah. i think of all the faang stocks this has the best quality of running. it's a company three quarters of a trillion dollar run rate with still 50% gross margins. it dominates search. youtube gets more minutes than broadcast tv it has a very strong growing cloud business expected to grow 40% overall next year. the ace in the hole to me is waymo. automated driving is a skeptical topic but they're testing cabs even if it's a limited run

fleet-based type of product, it's still going to be very transformative, incredibly high productivity to me if they can monetize that asset, it just adds yet another reason for why google is going to be a great stock to hold for the next fiscal year >> matt, you're looking at the fundamentals -- the technicals, i should say the stock is trading well above its 200 moving day average you're not sold on this chart. >> there's no question google is a great, great company i think it will do very well, as boris said, over the longer term short term, however, it is overbought even the best companies stocks get ahead of themselves on a short-term basis if you look at the weekly chart, the weekly rsi is pushing at 85. that's the most overbought it has ever been. and not only that you look at it versus its 200-week moving average, almost 98% premium, 200-week moving average. the next closest is 76%.

so it is very extended on a short-term basis i'm not saying people should sell the stock and shouldn't short it, but those who like the stock will be able to avoid chasing it and able to buy it cheaper in the weeks ahead. >> and that's "trading nation. head to our website and follow us on twitter. up next a truly bad day for boston beer. down grading the stock, getting bearish on hard seltzer. get the play on truly saying the stock can drop 30% did they pout this one out too late that must be powur >> truly poorly written. and now the latest from tradingnation.cnbc.com and a word from our sponsor. for entries into breakouts some traders use buy stop limit orders placed above resistance levels unlike regular buy stops, buy stop limits turn into limit

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welcome back some more headlines from the white house cybersummit. microsoft announcing it will invest $20 billion over the next five years to increase efforts to deliver advanced security solutions. they'll also immediately make a $150 million purchase of technical services to help governments with upgrading security protections how do we expect to see more headlines like this dribble out as they try to do what they can to battle ransomware and cybersecurity problems boston beer sliding today on the back of a downgrade to sell from neutral at cowen. hard seltzer sales continue to fizzle trading in its 52-week low cowen noting for the first time in their data, seltzer sales have started to decline across the industry so as the seltzer craze, is it truly over? joining us is vivienne azer, author of the note

welcome. is it that seltzer sales are declining or they're just not growing as fast as analysts and others had expected them to? >> thanks for having me on, tyler. no, seltzer sales are actually declining. and that's really what the -- the slowdown has been evident over the last couple of months, and that's why we maintained a market perform rating. large numbers which suggest that hard seltzer would slow in particular, given how strong trends were last year at the height of covid. the category growing over 300% it's why it was the best idea in 2020 but we downgraded it from an outperform to a market perform at the start of the year being concerned about deceleration and category growth the nielsen data we got yesterday for the four weeks ended august 14th showed the category declined 0.4% year over year in dollar terms >> what happened >> it looks like a couple of issues

boston beer company did call it out on their earnings call where they downwardly revised estimates. there is a household penetration issue. the chairman jim cook called out and we were able to confirm that from our proprietary data. our data suggests that hard seltzer penetration is over 50%. and the category -- similarly, you're seeing a lotd. >> let's talk about prepared cocktails for a moment if this will be the next big thing, which are the leading brands, ananies would benefit from that? >> sure, kelly it looks like high noon has been a key beneficiary of that trend. they are the market share leader in the canned cocktail segment

as well as cutwater p. i thought high noon was the seltzer. i've been telling everybody it's my favorite seltzer. >> it is vodka based >> that's good to know i've been giving it to my parents. >> i thought you were going to say giving it to your kids >> in that case, vivien, what other stocks merit another look a in a positive way or investors should tread wary if this category shift is going to accelerate >> certainly we remain constructive on constellation brands, the maker of corona and modelo beers, the mexican imports. that category continues to be an outperformer in the broader beer category, modelo in particular, posting notable share gains despite inventory tightness across the board in beer also should be a beneficiary of the return to the on-premise which accounts to 10% to 15% of their sales. they participate in the hard seltzer business but it's l por.

it doesn't really present down side risk for estimates for constellation brands >> kelly seems to know a lot about these things that's very good vivien, thank you for your time. we appreciate it for more on this call and others, head over to cnbc.com/pro and pop a can >> now i have to think, what is -- so vodka disqualifies it >> i guess it's not a -- >> it's great, though. still ahead, why growing activity from bitcoin big shots played a role in bitcoin's recent strength. we'll explain more after this.

bitcoin's biggest investors getting back into the crypto market as prices recover kate rooney has more on the crypto whales. kate >> we're seeing more bullish behavior out of the bitcoin whales as we call them that's the term for an investor holding more than 1,000 bitcoin or at least a thousand bitcoin just under $50 million worth at this week's prices new data from blockchain firm showing they're getting back into the market as the crypto prices recover in late july the bigger investors have steadily increased their holdings that ticked up higher into august it continued this week as bitcoin crossed that $50,000 mark it did start out as strong buyers to kick off the year if

you look at january there. but whales took a step back as prices briefly dropped in market and then take a look at april. the chart coincided with bitcoin's peak around $60,000. they sold there at the top and bitcoin later crashed down to about $30,000 in the month that followed that whale activity has been linked to price action this year, especially the 28-day moving average chain analysis tells me this has been a driving force in the crypto market. chain analysis found as the bigger investors acquire more digital assets, prices typically rise over 28 days and when they sell, the prices tend to fall. bitcoin did hit a three-month high this week continuing that steady climb since mid-july. it's trading near $48,000. just under $49,000 today >> do we know anything about the behavior of these whales are they looking to trade and make a quick buck or is this a buy and hold group

>> it's interesting. one of the other data points is that these larger investors tend to hold on to about 75% of the bitcoin that they own. they may be selling a little bit, but it really jives with what we learned from high net po worth individuals getting into it they're not really looking to make that quick trade. >> thanks, kate. >> thanks for watching "power lunch. "closing bell" starts right now. thank you. welcome, everyone, to "closing be bell." i'm sara eisen the s&p 500 hitting a new intraday high and small caps again seeing strength as we head into this final hour of trade. >> i'm wilfred frost let's have a look at what is driving the action today financials are in the lead as treasury rates move higher ahead of the fed's jackson hole meeting. the 10-year