we have a portfolio that is representative of the broader economy, and we're seeing it everywhere >> reporter: he does, however, believe inflation is transitory. you can watch the full half hour interview at deliveringalpha.com. this is the delivering alpha season >> we have weeks of this it's like football season. thank you for bringing that to us we appreciate it leslie picker. >> and on september 29th the biggest names from institutional to sovereign funds, private equity, venture capital and so much more economic and political thought leaders. register today at deliveringalpha.com. tyler? thank you very much. and let us roll the animation. wouldn't be a show unless we had the animation for "power lunch." welcome on a beautiful monday in september. i'm tyler mathison here is what'sahead. plugging in, democratic lawmakers want to dramatically expand electric vehicle tax credits and do it in a way that

would give an edge to union made electric vehicles, electric vehicles made here in the u.s. we'll dive into those details and making the grade, investment in education technology has soared and so has the stock price. power school, the ceo will be along to tell us if this is a pandemic pop or a longer term shift in education spending. and monetizing the metaverse, which stocks are best positioned to benefit we'll even explain what the metaverse is >> we're in our own metaverse. the dow is far outperforming the other major averages today, up 124 points. the s&p down four. the nasdaq is down 41. that tells you how tech is underperforming today. and oil is touching a six week high sending the energy space higher marathon up 7% occidental these are all mopping the top gainers in the s&p 500 and there are reports private

equity firm apollo approached tronox with an all-cash oil. 15% pop. i believe those reports are yet to be confirmed. in a year and a half the markets have gone from pandemic bottoms to record highs. more than 50 so far this year. these cycles usually take a lot longer to play out to mike santoli and a look just how to play this sped-up cycle mike >> reporter: we started making new highs a few months after the covid crash in march of 2020 we're 30% higher in the s&p 500 right now than we were at the peak before that downturn with the pandemic we've gone a long way in a short amount of time valuations as well we're now about 21 times what are expected to be peak s&p 500 earnings over the next year. it's a high perch, one year out of a decline in earnings like we saw back then. equity exposure among investors. they're basically also near

record highs clearly we do not have the same down side reset you get in a long, grinding recession policy moves are a big part. the labor market acting tighter than you might expect. it took five or six years from the last recovery for that also, more job openings than we have unemployed americans. that's a new twist are we now bracing for a withdrawal of all the policy help that we've got and, in fact, explains this rapid recovery with the fed looking to tamer maybe on the fiscal side, congress getting a little bit uncertain as to whether it wants to meet last year's total for stimulus all that stuff together i think explains some of the indecision and misgivings at this transition point toward the middle of the cycle that's only a year and a half old. >> is it possible we're not in the mid stages of a super fast cycle, just the beginning of a normal one >> reporter: it could be, yes. the case for that is the policy

in the system has been so strong and is raising nominal growth with such a head of steam right now that it will carry over a long time. another piece of it is the fed is in a different nodemode right now. and i think the staged global reopening is another unknown aspect here. we're going to get another kick maybe at the end of the year -- asia reopens after high vaccination rates. i think that's all to the good also very important to note this doesn't go by a calendar cycles wax and wane along the way. it's not as if there's a preset clock we're watching here. >> michael, we appreciate it mike santoli if you're looking for higher returns and lower volatility, our next guest says your best bet is mid cap value the russell mid cap value index up 20% this year joining us to talk about how to do it senior portfolio manager with american century

investment michael, welcome let's start by defining what we mean by a mid cap stock, and then you can get to a mid-cap value stock. what size are these midcappers >> tyler, it's really changed over time as the market has continued to really increase when i started my career over 20 years ago, talking about mid-cap stocks, $5 million or $10 million. that's no longer the case today. you have to start at the low end around $5 million but going up into the $30 million, $40 million range. >> these stocks obviously as capitalizations have grown, the upper bound has gotten higher. what about them and what about value stocks in this bracket are so appealing right now >> so there's two different questions, tyler what's attractive about mid-cap stocks they're survivors. they're gone from being small

companies to mid-cap companies, they're offering product or services to consumers that they really want. they're going to grow faster than large-cap companies but will have better balance sheets and typically better returns on capital and better scale than the small cap brethren relative to small caps and also to larger caps because they're going faster but there's a consequence or a positive outcome sometimes. they're acquisition targets for larger cap companies because they're growing faster or fill some kind of niche we don't buy them for our customers but that's what ends up happening >> exactly a couple of names, michael, that we have here, advanced autoparts, zimmer artificial hips and knees, also conagra brands why do you like conagra brands and how long do you expect the

inflation to persist >> sure. so we're not sure how long it will take place, six months or six years. we hope it's the shorter and not the longer conagra has strong market foods but the inflation is there we think they can offset that, albeit with a lag, because their peers will have to offset prices as well and that will give them room to raise prices as well the company has a good balance sheet at 3.8% dividend yield and we think their pricing will catch up with the supply change induced inflation. but it's a pretty cheap valuation. >> let's talk about advanced autoparts. this is a sector in and of itself that a lot of people favor right now for reasons having to do with the age of the average car and the desirability of buying used cars right now

because new cars are really hard to get so are used ones but i usually hear about o'reilly and autozone, less so about advanced what makes this your choice compared with those? >> that's right. a lot of it is surrounding valuation and the opportunity as value investors we're looking at the chemer end of the universe advanced auto is a structurally good industry. the number two market share player and the real opportunity, tyler, is they're at 10% and, as you mentioned, autozone and o'reilly, they're offering in the upper teens. we think there's no reason that gap structurally exists, so we think that advanced auto will over time be able to close most of the gap and are under earning today. as that gap closes, the earnings power should be materially higher than it is today.

and you talk about inflation, we think that buying autoparts is usually nondiscretionary which gives them quite a bit more pricing power relative to other industries and you are really seeing that today. if you take the normal offering margin we think the valuation is very cheap with a good balance sheet and dividend yield we think it's a good risk/reward. >> we have to leave it there zimmer, biomet holdings is basically a baby boomer play for men and women like me, right? go ahead, say it say it, michael. >> i think you're okay, tyler. >> thank you we appreciate your time. coming on up, power school is getting high grades from wall street the stock soaring. the ceo will be along to discuss its first quarterly report since the ipo and the future of the ed tech industry. plus, industrial companies are warning of supply chain disruptions and higher inflation. so which stocks may be best

positioned to handle the growing risk our "trading nio tm llatn"eawi take a bite out of that one. if you ask suzie about the future, she'll say she's got goals. and since she's got goals, she might need help reaching them, and so she'll get some help from fidelity, and at fidelity, someone will help her create a plan for all her goals, which means suzie will be feeling so good about that plan, she can just enjoy right now. that's the planning effect, from fidelity.

welcome back to "power lunch. i'm dominic chu. coverage on 17 internet-focused names based on a ten-factor framework including market share dynamics, unit economics, regulation expectations, et cetera among the buy rated stocks are mega cap names like alphabet and

amazon and facebook as well as ride sharing companies like uber and lyft goldman's view on the other social stocks are more mixed with snap getting a buy rating, though that stock is tracking for its worst day since july pinterest gets a neutral rating and twitter a sell for more of that goldman call head over to the cnbc pro section. tyler, kelly, you can read more on that story. shares of powerschool powering higher, up more than 80%. 80% since going public at the end of july. as a traditional ipo, by the way, not a spac. powerschool reported a 41% rise in revenue 37% increase in subscriptions, has a big reach with more than 12,000 customers in more than 90 countries, used by more than 45 million students i'm going to keep reciting numbers here until we just get tired of it. hardeep gulati, welcome.

good to have you with us >> thank you, tyler, for having me on the show >> revenues are up very sharply. profits, i guess it was a net loss, but it was a much more narrow loss than in the year prior. let's talk about how persistent you think this business can be everyone can understand why educational software did so well during the pandemic, but you're in this for the long haul. make the case you can keep growing, maybe not at this level, but growing >> absolutely. we actually have been in business more than two decades providing cloud-based technology for school districts we not only have 12,000 customers and reach almost 70% of the u.s. and canadian students one of the key things is the mission totality of solutions. school districts need us for running their operations class schedules, funding, making

sure teachers are getting paid we are the fabric of the actual instruction, whether you are in the classroom or hybrid or remote learning. in terms of the school environment, more than 15 million students use across the globe in terms of homework and instructions are done more smoothly we also have a college career life solution which is leveraged by access to 40% of the high school students in the u.s. and canada the fact of all the core companies we provide and empower teachers so making sure every student can be proved. >> i am quite familiar with it and didn't know it was your product. it is an excellent, excellent product that helps people as they go through the college search so if you were to segment your business, what percent of the software product is directly educational as opposed to those kinds of backbone products where

you tell what my schedule is, what forms i need to fill out, those kinds of things? segment it for me. >> what we do is around the cloud-based technology and the community and analytics which ties everything together so when you look at on average school districts use two of our products we have a lot of opportunity for us to broaden and provide the full capabilities. when you look at the segment of the core, of enrollment products, about 40% of business but a classroom and community products which make up the growth you mentioned we've seen that balance across all of our products and what's exciting is what's ahead for us. we are unique, an opportunity we have with the school districts

coming over the last year has been how we can help them with this transformation so not only can handle this disruption but provide education for every child and personalized education every child deserves that is what we are excited about. >> whatever you do, i went on this morning because my son is in a high school in new jersey here, and i have to fill out a form every day vouching that he's covid free as far as we know make your product easy, please make it easy to use. i don't know whether your products are easy to use that should be the focus so all parents can understand it and navigate the product easily. let me close by asking you, and congratulations on a marvelous stock run since your debut six or eight weeks ago, why did you choose to go the traditional ipo route when a spac route was presumably available to you? why did you go old school?

>> let me comment on your first comment, tyler you are absolutely right one of the first challenges we see in education, districts are using different technologies and teachers, be parents have to deal with all the different logins and what you have is the whole child problem. districts don't really understand all the challenges the child is facing. the same thing for parents that's the mission we've been talking on for unified technology which connects the dots, brings it together in a seamless experience parents like yourself are not frustrated having to deal with making sure they can be engaged with their child we expanded enrollment across the entire statement in that state. we are working with the state department on that

follow-up questions, we do have a lot of interests across the board. the brand appeal we are the k-12 leading technology in scale and brand awareness, we felt not only the 45 million students, the parents and the teachers wanted to make sure that our awareness across the board is available to everybody we have the fund for traditional ipo and we also have some te teacher retirement funds opportunity ahead for us to continue making a big difference in education >> hardeep, thank you for being with us and educating us about education. hardeep gulati, thank you. >> he can smooth the way, three more years, a seamless experience >> i want him to tilt that program so it benefits mack. >> i'm sure they're working on it further ahead, a lot of

about virtual reality and the metaverse. we'll talk about that. up next, freight rates are jumping 27% year on year in august what will it mean for the holiday shipping season?

welcome back i'm rahel solomon, and here is your cnbc news update this hour. oklahoma's pardon and parole board voted 3-1 the governor should commute the death sentence of julius jones to life in prison. he said he was framed by the actual killer in a 1999 shooting death. the case was profiled in an abc documentary. u.s. capitol police say they arrest add california man who had a bayonet and machete. both are illegal in washington, d.c. police say the vehicle had a peck tour of an american flag instead of a license plate and covered with white supremacy symbols. a 12-year-old stabbed a slender man. and now in boston two

parents, former casino executive and former staples and gap executive john wilson are accused of paying hunls of thousands of dollars to get their children into college by falsely claiming that they were athletic recruits. you are now up to date tyler, back to you >> thank you very much, rahel. the dow coming off the boil just a bit there. now up 100 points. nothing to sneeze at just one-third of a percent it was higher earlier the nass back about half a percent, also negative let's look at treasuries and see what the yields are doing today. there you see -- let's focus on the ten year at 1.32%. so up a little bit from where it was a month and a half ago let's look at oil, shall we? it is at $70.37. higher by 65 cents or about a full percent and there you see it is not as high as it has been. and a look at rad ware

it is in talks to sell itself to the private equity firm siris capital. they have reached a record, kelly, in 2021 >> it's been quite the space to watch, tyler some of the other movers shares of virgin galactic down 4% after delaying their first commercial research space mission after a third party supplier warned of a potential defect other names pulling back like rocket lab down 16%. black sky and momentus as well down another 4% today. for more on this call and others head over to cnbc.com/pro. now freight rate costs are on the rise the biggest increases in more than a decade. frank holland is here with the latest numbers frank? >> reporter: u.s. freight rates

in august increased 27% year over year. that's the biggest increase since 1990, the first year on record, and there is no sign of a decline in sight freight shipments increased 12% year over year 4% over august of 2019 it's been largely driven by retailers, trucking inventory in ahead of the holiday season and even some manufacturers. trucking extra orders of semiconductors to try to mitigate the chip shortage rail is a cheaper way to ship but container volumes have declined because of a shortage of the chassis used to haul containers away from rail yards. a key transfer point going west to east according to the intermodal association pushing even more freight on trucks and those trucking rates to records. >> it's safe to say this is the best pricing environment forever and for shippers this is the most challenging cost inflation year in history.

>> the biggest container shipper, j.b. hunt, expected to benefit from the increased power. any truckers for big box stores along with freight forwarders like expediters all are performing the s&p year to date. back to you. >> frank, we're always talking about supply chain issues, at least since the pandemic, the rails, trucking, containerments. where else are we seeing these bottlenecks? >> huge bottleneck at the ports, kelly. 125 ships that are anchored off of u.s. ports. 49 alone off of the port of los angeles. so, think about it, all that volume is just waiting to come into the u.s. and then it's going to face even more bottlenecks as it goes from the port on to trains and trucks with capacity so tight as it is. >> frank, we appreciate it frank holland. ahead on "power lunch," spending to save the world, the

house releases key details on its spending package including higher than expected clean energy tax credits, but the debate is already brewing over how to pay for all of it growing up in a little red house, on the edge of a forest in norway, there were three things my family encouraged:

kindness, honesty and hard work. over time, i've come to add a fourth: be curious. be curious about the world around us, and then go. go with an open heart, and you will find inspiration anew. viking. exploring the world in comfort.

introducing xfinity rewards. our very own way of thanking you just for being with us. enjoy rewards like movie night specials. xfinity mobile benefits. ...and exclusive experiences, like the chance to win tickets to see watch what happens live. hey! it's me. the longer you've been with us... the more rewards you can get. like sharpening your cooking skills with a top chef. join for free on the xfinity app and watch all the rewards float in. our thanks. your rewards.

speaker nancy pelosi and house democrats are trying to come up with a $3.5 trillion spending bill that will get enough votes to pass and they also have to figure out how to pay for it all ylan mui is looking at the revenue makers, what sounds like a polite way of saying tax >> reporter: that is right they leave out some of the

administration's key priorities, the house plan, for example, would raise the corporate rate to 26.5% instead of the 28% that the white house initially wanted the capital gains rate would jump to 25%, though biden wanted to match it 39. %. the carried interest holding period would be extended from three to five years, but the white house has called carried interest a loophole that should be eliminated altogether now other administration proposals that didn't make the cut, getting rid of stepped-up basis, minimum tax on corporate book income and changes to irs reporting rules. house democrats make up the money through new ideas of their own like a three percentage point surtax, raising the tax on tobacco and nicotine and new rules for taxing cryptocurrencies still, the white house was supportive of the house plan saying it meets the president's two core goals it doesn't raise taxes on

households making less than $400,000 a year, and it unwinds many of the trump tax cuts in 2017 helping to fully offset the cost of that $3.5 trillion spending package guys >> so let me ask a couple of quick questions here the idea of reducing the corporate tax below where the president would have it at 28% to something, i think you said 26.5%, if that is the opening offer here, doesn't that suggest the corporate rate might go lower from that? it's going to be maybe higher than it is today at, what, 21%, but certainly lower than 28% >> sure. and that, i think, is the moderates in the ballpark of about 25%. so this entire package really seemed to be tailored to being something that could pass but still raising the revenue they need to pay for their priorities the major differences between

what the house has proposed and then what the white house has proposed they're all going to have to come together and meet in the middle, but they're starting from a place not of how much can we tax to get the most revenue possible but where are the lines that we can draw so that we can get the most number of democrats? >> quick follow on the senate and the most powerful man in the senate, joe manchin, who says he is nowhere close to a $3.5 billion plan in his head >> that's right. democrats are still arguing over the scope of the spending. one of the things they have been discussing is should they fund a few things for a long perpd of time to ensure that they really last what are their priorities? or do they try to put everything into the pot but only fund it for a short period of time so they can save money and hope when the programs expire they don't get killed off at the end of the day that's some of the philosophical debate going on as they try to work out the details >> ylan, thank you very much

now clean energy stocks are higher today on a provision within the spending package that expands tax credits for evs, or electric vehicles. the way it's written favors the big three automakers u.s. union-made cars will get up to a $12,500 tax credit. that's $5,000 more than the incentive for other evs. gm is dealing with its own battery issues with the bolt the managing director at capital alpha partners, james lucier do you think this will survive $12,500, is that an unprecedented sum? >> that's the size currently with an augment. we have a really astonishing provision here where with other tax credits you take an 80% haircut if you don't use union labor for the developers i would be inclined to think with the administration that wants to show an unprecedented

bias towards unions and unprecedented focus in policy maybe you could force through this differential where you get an extra $5,000 for union-made vehicle using domestically sourced stuff. the reality is it is designed to give labor unions a strong incentive. >> it's interesting to see the commentary where people are trying to figure out where their cars are made. who is making them if nothing else this will have to be a big educational process. tell me what you think the net result will be, how many more evs will be sold and how many by the big three? >> this will provide a strong incentive. it says no car which costs more than $54,000 qualifies the language at that says sedans

need to cost less than $54,000, that pickup trucks need to cost less than $74,000 needs to come out. the ford f-150 is $90k >> you think it will come out? >> it has to or the plan won't work >> people will say the plan favors the wealthy >> i happen to live in a wealthy neighborhood and, you know what, three people on my block have teslas because it's what they call a superior good the reality is that if you have a cutoff set so low, set as low as $54,000, it's not going to help that much i think that senator stabenow had a cutoff of $80,000. >> james, i guess the question is what is the goal here if the goal is to help -- if the goal is lower emissions and push the u.s. quickly down the path,

you want the more wealthy to subsidize that than the burden to fall on letter earning people >> you do, indeed. you have to understand the optics here. they say they faze out thetax credit for people making a lot of money in fact, it doesn't start until over $400,000 a year if you are a member of a couple making $800,000 a year, you can still get part of the tax credit i think it's ridiculous to have a faze-out that starts at $800k and limbing the value to $54,000 for a sedan. >> and i think we should highlight this is just one part of the overall -- what would you say is the most important concept here is it the use of production tax credits? what impact could that have on the grid getting cleaner in the years to come? what do you think are the most striking efforts here? >> well, yeah, i would agree there's a very strong effort here for electric vehicles, the

electric vehicle tax credit estimated to cost $34 billion precisely because of this limit. this $54,000 limit for passenger sedan. the ways and means bill only gifls an estimated $17 billion for tax credits. for the renewable energy, the clean energy, that's anywhere from $150 billion to $250 billion depending on whether you look at the house estimate, the senate estimate or the white house estimates. >> and what do you think the practical impact will be within just a couple of years' time that my grid provider might be using a lot more solar and wind >> yeah, i think the key goal is really to do everything they possibly can to get the grid to 80% carbon and free electricity by 2030. they can't have that written into the bill because of the way the process works but they literally plan to spend $150

billion to encourage electric distribution companies and to start buying renewable energy from developers so that the tesla when you get it or the gm bolt when you get it is actually fueled with electricity so core thing number one is decarbonize the grid and create an internal u.s. supply chain for all aspects of electric vehicles from iron and steel to batteries to other components. >> and as you mentioned like we've said the clean energy stocks are seeing a bounce today as the plans are outlined. thanks for joining us. james lucier with capital alpha. >> covid and giants like 3m are warning inflation could be worse than previous thought. our "trading nation" will discuss those issues next. plus, cnbc's delivering alpha is back bringing together the

biggest names in the investment opportunity from top institutional and sovereign wealth funds, venture capital and political and economic leaders. you can register today at deliveringalpha.com. it comes up in about two weeks' time, september 29 after my dvt blood clot... i was uncertain... was another around the corner? or could things take a different turn? i wanted to help protect myself. my doctor recommended eliquis. eliquis is proven to treat and help prevent another dvt or pe blood clot. almost 98 percent of patients on eliquis didn't experience another. ...and eliquis has significantly less major bleeding than the standard treatment. eliquis is fda-approved and has both. don't stop eliquis unless your doctor tells you to. eliquis can cause serious and in rare cases fatal bleeding. don't take eliquis if you have an artificial heart valve or abnormal bleeding. if you had a spinal injection while on eliquis call your doctor right away if you have tingling, numbness, or muscle weakness. while taking eliquis, you may bruise more easily... and it may take longer than usual for bleeding to stop.

seek immediate medical care for sudden signs of bleeding, like unusual bruising. eliquis may increase your bleeding risk if you take certain medicines. tell your doctor about all planned medical or dental procedures. what's around the corner could be worth waiting for. ask your doctor about eliquis. [slow electronic notes fade in] [fast upbeat music begins] what's around the corner could be worth waiting for. [music stops] and release. [deep exhale] [fast upbeat music resumes] [music stops] i became a sofi member because i needed to consolidate my credit card debt. i needed just one simple way to pay it all off. it was an easy decision to apply with sofi loans, just based on the interest rate and how much i would be saving. there was only one that stood out and one that actually made sense

and that was sofi personal loans. it felt so freeing. i felt like i was finally out of this neverending trap of interest and payments and debt. ♪♪ new projects means new project managers. you need to hire. i need indeed. indeed you do. when you sponsor a job, you immediately get your shortlist of quality candidates, whose resumes on indeed match your job criteria. visit indeed.com/hire and get started today.

welcome back to "power lunch. 3m warning inflation in the third quarter is hotter than expected however, higher costs for raw materials is not the only headwind for the industrial. covid throwing a wrench in global supply chains following a similar warning from vertiv. it has been affected by a shortage of fan blades and semiconductor equipment. let's discuss further with the "trading nation" team. mark, no doubt these supply chain concerns weighing on industrials, currently the worst performing sector this month >> yes, hi, seema. i think it's important to be very selective on what to buy in this group and you mentioned a couple points in regard to supply chain and covid i would add a third to that and

the u.s. dollar having bottomed out in the month of may was very important in causing a relative peak to the complex. these companies that have a high percentage have underperformed since that time and we're talking boeing, caterpillar, de deere, 3m. it's really difficult. when you look at relative charts of the rgi, so stripping out those heavyweights and looking at an equal weight basis, that really peaked out in the month of may/june and has broken down in relative terms versus the s&p. so for the near term it's going to be difficult to own the industrials until we see some evidence the dollar really rolling over my technicals still suggest the dollar likely can move higher in the weeks and months to come, so that could be still another headwind for this group. >> okay. how would you size up 3m in comparison to some of its other peers? >> we downgraded the industrial

sector to market weight from overweight in july based on signs the equal weighted sector wasn't showing the same relative strength that it had through the first year of the recovery and so while breadth was breaking down, especially in a name like 3m, which is now breaking to the down side, specifically 3m fell below its june low to complete its top it also reversed the up trend that it had been in. overall could be supported by the bull market that we think is still intact over the long term but lookslike repair is needed and with that down side risk into the 170s. >> all right there you go thank you for your perspective today. you can catch us online and on twitter for more "trading

nation." >> seema, thank you very much. monetizing the metaverse it may seem like fun and games, but there's big money in virtual reality. which companies will help build the digital future and which stocks will benefit next and now the latest from tradingnation.cnbc.com wedge patterns signal inflection points. two converging trend lines slanted down wards conversely a bearish wedge occurs in a down trend and consists of two converging lines going up

the metaverse. it's considered the next evolution of the internet, expected to reach a value of $280 billion by 2025, according to research firm strategy analytics. we have the senior analyst at jeffries it's great to have you a lot of them are the somewhat usual suspects this is not a hypothesis

about -- espectly roadblox, maybe even snap. >> you're already seeing the early formation. i think you're already seeing it today. if you open up your snap, you roll down the streets, the ability to understand where your friends are, are they shopping in a certain spot, walk into the shop and make try a shirt on virtually without even going in the dressing room, right there's a whole new breed of new applications being born both on the consumer side and the enterprise side that will unlock some great innovation that will make our lives a lot easier. it's going to take a long time there are a lot of companies that will have to come together to create this world there's a lot of promise snap right now, to us, seem like they have the early foundation nailed more than anyone. clearly facebook is making a push as well, but we think there

are going to be various degrees of vendors with different impacts in the new world >> what is the metaverse >> think of it as the next generation of the internet, tyler. think of it as a new immersive way. if you open up googlemaps, you see a street well, what if you could throw the headset on and i was your broker, you're looking for a vacation how i can walk you down the street, walk you into the local coffee shop, the stores, walk you throughout the community, and you can see it in a virtual environment. there are many use cases, where we can meet and create a richer world, whether it's for play or whether it's for work. i think there's an incredible number of applications that, you know, we're really, really are first stage. >> when you describe one world, you know, we sit around and talk

about this, ty, the metaverse. people say we're buying our nfts because we're going to display it in the metaverse. it's just an aspect of sim city. there's going to be competing metaverses that's why it's interesting. does one just have to win? how will they all talk to each other? there are people say the way that epic wins the battle with apple in the long run, fine, you can win the battle with the app store, but we're going to build a better mess averse and win the war. >> all of a sudden they want to launch a concert i took my kid to the concert on kigo on friday think about the digital merchandise, everything you could sell, subscriptions. there's all kinds of different things you can get out of this so ultimately i think it's going to be a group of vendors that benefits

mark zuckerberg called this out on the last earnings call. it would be like nvidia in the semi world, facebook, hardware providers that you'll have to put glasses or headsets on to start this off companies like unity, that so we're really early, and, again, there's going to be a payment component to it, the civility to change and buy things in this virtual setting. so i think, again, we're really early, but it's certainly promising. i think snap right now has the best shot at creating this already. >> you know, quickly, brent, i can see a medical application for this as well. >> absolutely. think about virtual medicine, and, you go through -- like we're already doing a lot of our medicine virtually, but there's

an incredible thing to put a headon, do a checkup and do a review >> yeah. yet, you know, go through all lines, right it could be a bike manufacturer teaching you to do basic maintenance on your bike every industry will have an application. that's what's so exciting. so, yeah, a long way to go >> got to leave it there thank you, brent, brent thill, we appreciate it. up next, how a fake press release had real consequences for walmart and lite coin.

you have the best pizza in town and the worst wait times. you need to hire. i need indeed. indeed you do. indeed instant match instantly delivers quality candidates matching your job description. visit indeed.com/hire

i wonder how the firm's doing without its fearless leader. you sure you want to leave that all behind? yeah. stay restless with the rx. crafted by lexus. experience amazing at your lexus dealer. [uplifting music playing] crafted by lexus. ♪ i had a dream that someday ♪

♪ i would just fly, fly away ♪ dom chu is here to explain what happened. >> it was crazy. things just didn't sound all that right, kelly it looked official, but there was no commentary or the developers, but that fake press release claiming walmart would start accepting -- shot that alc tony sharply hirer. before more --, lower on the

session. more than anything it's the latest example of how it might be easy -- and what this fake story might do to cat alaze regulators into punishing bad actors that's what struck me. and what can be done about it? don't you pay just a couple hundred buck -- aren't -- they had everything down to the date, knew exactly what they were doing. this is a crime, isn't it? >> which country are they in this could be somebody in the far reaches of the world, putting something like this out there. cyberthese days is tough liticoin is closer to $12 billion.

it's the 16th biggest. dom, thank you very much thanks for a watching "power lunch" "closing bell" start right now. >> see you tomorrow. welcome, everyone, to "closing bell. i'm wilfred frost at the new york stock exchange. the dow in the green on this first trading day of the week. the s&p and nasdaq are lagging, as we head into the final hour of trade let's look at what is driving the action right now oil movies -- moves higher work from home names like zoom and docusign are lower nike weighs on the dow after an analyst downgrades