options. goldman sachs put out a notice today and said that 71% of options trading and the interest in it are in options expiries that are two weeks or less that goes to show, they might be more speculative in nature >> have a nice weekend, dom. >> you too >> thanks for watching power lunch, everybody "closing bell" starts right now. >> he always does. thank you, kelly, and dom. welcome to "closing bell." i'm sara eisen stocks are under pressure. nasdaq is the underperformer today, down a full percent as we head into this final hour of trading. >> i'm michael santoli in for wilfred frost. big cap tech is ticking lower. things like apple, microsoft and nasdaq are weighing on s&p 500 the material sector now down

more than 3% on the week and vaccine names are in focus, as an fda advisory panel meets about boosters moderna, pfizer, and j&j, all in the red today. 59 minutes left to go in the trading week coming up on today's show, plenty of questions in this question surrounding those vaccine boosters, and we're going to get some answers. hopefully from the fda this afternoon. dr. anthony fauci will be joining us to talk about the advisory meeting at the fda on boosters plus, senator marsha blackburn's team is talking with the facebook mwhistleblower behind that bombshell facebook report about instagram and facebook's impact on young jusers. senator blackburn will be with us to talk about her new probe into the company and what congress can do about it first, mike tracki ing all h market action. meg terrell has the latest on that fda manual meeting on boosters what are you watching with all 11 sectors lower right now heading into the close >> this is a downside test in

the market that to a degree, a lot of people have been looking for. the s&p 500 has been choppy with the downside bias for the last two weeks, since september 2nd today, we did cut below, just by a little bit right now, the 50-day average that's about the seventh time this year that we actually have hit or gone slightly below the 50-day average that's been an occasion for these dip buy opportunities that we saw along the way here. those also disproportionately have happened around the time of a monthly options expiration we have been talking about that, this is a day that we have all of these options expiring. this seems to be to some degree playing to script. the megacap stocks really getting hurt the most. they're the one most important to the indexes therefore, the index options and futures. small caps outperforming maybe we're seeing some divergences there below the surface. why the the expiration so powerful the volumes soft single-stock options trading has stayed

remarkably high. goldman sachs calculates that the notional value the actual underlying cash value of options trading now exceeds that of common share trading right now, to a large degree and you see these clustering of exposures that are basically time for expiration. and some of the support for stocks in the indexes seems to go away, as you get closer to the expiration it's not the only thing going on, but it's something on our day-to-day basis that can have these mechanical influences. finally, we did get a report that the big asset manager, invesco, might be merging with the asset management a tremendous role. just a pure play on asset values, on the kind of health of the capital markets. there you see blackstone against black rock the market caps of these companies have just taken off. and what's interesting here is, you saw the public market proxy, which is black rock. index funds, things like that has gone up a lot, but has now been exceeded by the acceleration in the private

equity and real estate and alternative investments giant, blackstone we'll see if that ends up being a market towel for now, it shows that we really have kind of built up a huge head of steam in terms of asset inflation and participation in the market, sarah. >> we've seen healthy demand in the credit markets, as you and i have been talking about. if you think about what the big catalysts were for the week, and the big worries that wall street has, on growth, we got retail sales that aleleviated some concerns there and we got a softer api, yet s&p 500 is down about half a percent for the week what does that tell you about potential positive catalysts and what the worry is? >> i think the context has been a little bit swamping some of the near-term catalysts. the concept being, we're trying to price in some measure of slowdown nice upside surprise on retail sales. and actually, the cyclical sectors have not really been the source of most downside this week it really has been some pullback in the big nasdaq names that

have prevented the overall big indexes from staying solid we, of course, do have a very crowded policy slate ahead of us, both with the clogs and fiscal path for a new package, as well as the new fed next week all of that stuff coming together again where we were going to have some heavy supply in terms of this turnover in rebalancing and expirations. i think that's been mostly what's been happening right now. the big question is have we really gone a long way already in pricing in this late summer slowdown >> we'll see what the close brings high volumes expected. meantime, an fda advisory committee is meeting, as we speak, to talk about pfizer and biontech's booster shot, as questions swirl about who should get an extra dose and when meg terrell with the latest for us meg, how's it going? >> well, we've gotten to the exciting part of the day, if you get excited about these things, which i do, which is the discussion from this outside panel of vaccine advisers to the fda about whether we need a

booster and who might need a booster and if there's enough data to support approving this pfizer booster shot. and really, the panel appears to not be decided that there needs to be a booster for everybody over age 16. which is the question right now, that they plan to vote on. if you look at the stocks of pfizer and biontech, which are the actual makers of the vaccine that's up in front of the fda today, but also, of moderna. throughout the course of the day, you can see they're down right now and they took a real big plunge just after noon today, when evercorps isi put out a note essentially saying, he doesn't think they're going to vote "yes" on boosters today, based on the way the conversation is going. we're going to have to see how this conversation shakes out but right ow, we are essentially hearing that it looks like they don't think that the safety database is large enough, from what pfizer submitted. there are questions about whether they should depend on data that was presented from israel, for example, to try to support the need for a booster dose and just now, one of the

members, dr. paul offit, brought up the idea that he might support a booster from people of 60 to 65, but not down to age 16 there are definite concerns about the risk of my ocarditis, especially for younger men they're worried that after the third shot, we could see more of that and they're worried there isn't enough safety data to convince them for those younger age groups the vote will likely come in the next hour to hour and a half, and we'll let you know how that shakes out but this is not the final word the fda then decides, and if they vote "yes," if they approve the booster, it goes to a cdc panel next week to make recommendations on who should get it sara >> it's a nail biter and we're going to be talking to dr. fauci a little bit later on in the show, meg but president biden has already announced a policy of boosters and begins to expect rolling that out next week what happens if the fda doesn't

approve this >> so the surgeon general was asked about this at the white house's covid briefing today, and he said the recommendation to start making boosters broadly available the week of september 20th was that so people could start to prepare all of the systems that need to give boosters could start to get in place, but it is contingent on sign-off from the fda and the cdc, and it does not necessarily appear to be a slam dunk here. there is a lot of internal disagreement from the fda that is coming to the surface in this debate today about whether boosters are needed. but it does seem like fda leadership is behind the need for boosters, so we'll have to see how this vote goes today, if the fda then accepts the outcome of that vote, and what it looks like with the cdc next week. it's not as clean kcut a proces as one might hope. >> fascinating, meg. so many people tuned into every detail we will be talking about to you about it pretty soon, i'm sure thanks very much after the break, restaurant brands ceo jose cil joins us as

hispanic heritage month gets underway we'll talk about diversity and representation in the industry and what he's seeing right now in terms of eating out and the impact of the virus. you're watching "closing bell" on cnbc. at usaa, we've been called too exclusive. because we were created for officers. but as we've evolved with the military, we've grown to serve all who've honorably served. no matter their rank, or when they were in. a marine just out of basic, or a petty officer from '73. and even his kids. and their kids. usaa is made for all who've honorably served and their families. are we still exclusive? absolutely. and that's exactly why you should join.

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burger king parent restaurant brands outpacing the competition when it comes to hispanic representation of u.s. corporate employees. as of 2020, the group made up 30% of restaurant brands' corporate employee base. that's compared to rival mcdonald's, which reported hispanics as representing only 20% of its u.s.-based corporate staff. joining us now is restaurant brands ceo, jose cil welcome back to the show, jose just curious, is this a conscious effort by you to get ahead on those kind of numbers, of hispanic representation >> hey, sara, thanks for having me great to be here in part, our office is in miami. that has an impact as well on hispanic representation. but it is an important part of how we think about the business and how we think about driving outsized performance long-term, and that's having diversity and

different perspectives at the table. having a clear road map to bring different views, different backgrounds, different experiences to the table, so we make the best decisions for the business, for our consumers, for our franchisees, and for our team members so we are consciously working on an effort to be more diverse as an organization, because it makes sense from a business standpoint, we've got a game plan for the company long-term and we're now focusing on executing that plan. >> so how do you do that give us some specifics is it hiring targets, quotas, how does it make sure that it goes on and people go on to be promoted through the organization >> it's all about having -- all of our leaders have what we call a kpi or an mbo, which is making sure that for every open position that we have in the company, whether it's an outside recruit for professional hire or someone coming in from the universities for the mba program or for the trainee program or

even someone being promoted, that we consider all candidates and that we have at least 50% of the candidates being considered, coming from diverse backgrounds. either gender or minority. and so that ensures that we have the best talent and most diverse talent available for each position and we've seen since implementing that as the priority for the business. and by the way, our compensation depends on that, as well we've seen that we've had better candidates and more diverse candidates at the table and that's helped us make progress on senior management improving in terms of diverse representation >> jose, obviously, having a process in place is going to, you know, help get towards those goals. i just wonder, in general, hiring across your system, how it is right now, just given labor market tightness, difficulty of finding just workers at every level, and whether that stands in the way of those goals or just the business objectives that you have >> i think it's quite a challenging situation, mike, auz you as you know. it's widely communicated how

challenging the labor market is, especially at the restaurant level. we're seeing it as well with our suppliers and distributors so there is a lack of availability at this point, but our teams are working closely with the franchisees on the labor front, making sure that we've got tool kits available. our franchisees ensure that we're going out and looking for candidates on a regular basis, through all sorts of means we've actually implemented applications being submitted by text and improving the number of candidates coming in and are spending time in the restaurants, ensuring that we have a day set aside, at least, if not more to interview new candidates coming. all of that, ensuring that we have a very good working condition in the restaurants, so that we retain the employees that are there the heart of our business is making sure that we have great people in the restaurants alongside our franchisees, serving our guests, and making sure we're well staffed and engaged and staying close to retention and reducing turnover and having a really good

experience for team members to ensure that we have a good experience for the guests. that's critical for our business and a priority for our franchisees and for us, as well. >> finally, jose, you're the exception here i'm curious about your own story. you were born to cuban immigrants how did you make it to the top because there's still a very low percentage of hispanic ceos in this country i don't think any female >> well, sara, my parents, as you point out, they both came from cuba in the early '60s and i was born here in miami, but growing up in a cuban household, i still have -- and still actually keep to those traditions around with my family, but growing up in a cuban household, we had a very close connection to our cuban traditions we were very proud to be cuban we were also very proud to be american and growing up in this country. and one of the things that were really important for my family was hard work and education. and it's something that my

parents instilled -- my mom, in particular, who was an educator, made sure we studied and did really well in school. and she felt that was the road map, if you will, or the path to hard work, success, and education. and i think that's something that i see consistently with the families that i know and the friends that i know and the cuban americans that i've kind of built relationships with over the years. and really, most people that i've seen be successful from any walk of life, i think, really works hard, puts a lot of time and effort into it and it's one of the things that i think has helped me over the years, put your head down, get to work, and do the best you can to achieve big, bold dreams. and i think that's one of the things that i look back on to my upbringing and i know that had a big impact >> jose, if we could just get you to give us a bit of an update on the business itself. you had pretty good comp sales growth, both burger king in the second quarter i wonder how it's pacing now

we've had a little bit of a hesitation in some consumer areas and a bit of a delta surge in some parts of the country >> we shared our q2 results back in july and felt we were on the right path there's quite a bit of fluidity in the situation with shutdowns and in some cases the delta variant having an impact in certain communities, in certain states, in different markets around the world for us. so we continue to focus on serving the guests, and continue to focus on our investments around technology. we've made really big strides in terms of investments on the consumer tech side as well as the restaurant tech side, which is helping our delivery business, our mobile order and pay business, as well as our curbside pickup. these are all offpremise capabilities that allow us to serve guests, no matter what the circumstances. we know we're in a different world today. it's a new reality and our focus is making sure we keep our guests and our team members safe, make sure we keep serving our great food make sure we continue to invest in the things that make the

experience much more convenient for our guests and i think we're well positioned with our three of our brands, burger king, popeye's, and tim horton's to continue to do that in the northwest and canada sbeas well as sb internationally. we have a lot more work to do. we shared that we want to get to 40,000 restaurants organically and feel we have a clear road map to get there and that's the focus we have today. >> jose cil, thank you for joining us and sharing your story. ceo of restaurant brands international. we have about 40 minutes to go before the bell soft session to close out what is a down week the dow is unchanged for the week s&p is down about half a percent right now. it's down almost a full percent. materials getting hit the hardest, down 2% health care and consumer staples faring the best. still to come, our can't-miss interview with dr. anthony fauci on today's fda advisory panel meeting, going on as we speak about whether to approve covid

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still to come, dr. anthony fauci joins us live to weigh in on the fda advisory panel meeting for covid booster shots. plus, at marcsha blackburn'stea meeting with facebook, a "wall street journal" report claiming, quote, facebook knows instagram is toxic for teen girls. the senator joins us with the questions she wants answered from facebook's leadership team. and as we head to a break, here's a check on bonds. yields across the board higher today, ahead of next week's fed meeting, the 10-year-old up to -- over 1.37% we'll be right back.

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attention, parents you are not alone if you're having trouble finding lunchables on the store shelves right now. the shortage of the pre-packaged lunch kits from kraft heinz are leading customers to take their frustrations to the brand's facebook page with tags like, where are the lunchables and lunchables crisis 2021. kraft heinz telling us today in a statement, in part, we are seeing all-time high for many of our brands, including lunchables, which was driven in part by investments in marketing

and brand renovation adding, lunchables is seeing double-digit growth for the first time in five years the company says it's actively investing in supply chains s an working fast and furiously to get the product on the shelves no timeline, though, there shares of kraft heinz higher on the year, but down 20% from their 52-week highs. mike, they say the 90s are back. i do not know lunchables were still a thing, but according to some of our producers, it's because they have candy in them. they have reese's peanut butter cups, kit kat, that's maybe one reason >> it's a complete meal now unlike before. so what's the shortage what's the bottleneck? is it the compartmentalized package organize what? >> they didn't go into it. actually, they didn't even acknowledge it they just said it's sky-high demand and as we've seen, there's this problem between supply and demand right now it reminds me of what pepsico's ceo told me earlier in the week, which is, who would have thought

coming out of covid-19 the problem would be supply and not demand but the demand is off the charts people are going back to school, going back to work, it's a quick, easy fix that's pretty popular, i guess something about the '90s and therefore, kraft heinz is having trouble catching up interesting. >> it's interesting, for lack of innovation i guess they just had to bring back something that was popular. >> yeah, retro innovation. sara, time for a cnbc news update right now with rahel solomon. >> a top u.s. general now admits that a drone strike that killed ten civilians in kabul late last month is what he calls a tragic mistake. a pentagon investigation revealing that it's unlikely any islamic state militants were killed because the wrong car was hit. officials had originally acknowledged civilian deaths, but insisted that it could stop militants who planned the attack the city's airport with a car bomb a 2-1 decision a panel of north carolina judges has struck down sththat state's

voter i.d. law the law was designed to discriminate against black voters the dissenting judge says that conclusion is based on speculations and conjectures a school board in wisconsin has voted to require mask wearing in classrooms for students, teachers, and staff. the mandate follows the death of a 13-year-old boy who was diagnosed with covid, although the medical examiner's office has not made an official ruling yet. and brazilian soccer legend pele is back in an intensive care unit. espn brazil says he's been readmitted due to acid reflux. he had been transferred off the icu on tuesday following the removal of a tumor earlier this month. you're now up to date. mike, back to you. >> all right, rahel, thank you very much. we have less than a half hour 29 minutes left in the trading session. let's get a check on some individual movers. shares of thermo fisher hitting an all-time high its initial fiscal year 2022

earnings and revenue guidance both ahead of wall street estimates. that stock is now up 7%. has been a strong performer for some time now. and shares of curiosity stream are soaring today after jpmorgan initiates it as an overweight. the firm says an entertainment company is well positioned to benefitfrom growth in subscription streaming that stock up almost 12% on the day, sara. mike, straight ahead, the fda holding a key meeting today to discuss pfizer's application for a booster dose of its covid-19 vaccine we'll talk to dr. anthony fauci next about whether booster shots are needed at the moment we've got just about 20 -- 30 -- mo 3mitele of trading. we'll be right back.

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breaking news on the fda panel booster vote meg terrell has the details. hi, meg. >> hi, mike. so this fda panel of outsider advisers has just voted down recommending a booster shot from pfizer's vaccine for people 16 and older. however, this is not necessarily going to be the final vote today on a booster shot. right now, this committee of outside experts is discussing whether they would be comfortable voting for perhaps a different age group. we just heard one expert on the panel say she might want to talk about recommending the booster for over age 50. and earlier, we heard one person maybe 60 or 65 and so right now, this is the question the panel was asked to vote on, whether they would recommend a booster dose based on the safety and efficacy data they've seen from pfizer, six months out for the primary vaccination, ages 16 plus. that has been voted down, but it's not the end of this story we'll go back to listening to what these experts are saying

and let you know if they take another vote on a different age group. sara, back to you. >> keep us posted, meg meg, thank you meg terrell. well, you make your luck we have the perfect person to respond to that news white house chief medical adviser dr. anthony fauci joins us now dr. fauci, it's great to have you. what's your reaction to that decision from the fda advisory panel. are you surprised? >> no, in some respects, i'm not surprised that they didn't vote that it goes all the way down to have 16 years old. but as meg said, what's going on right now, which is going to be critical discussion, is going to be at what age will they consider making the recommendation for the third booster? is that going to be 60, 50, 40 we don't know. and that's the reason why we just need to wait and wait for the deliberation and the decision of the advisory board and then what the fda will do in taking that recommendation or

not. so, there's still a lot ahead, even though we have one element of the decision, not the decision, but the recommendation and the vote, which as i mentioned, it's not totally surprising i think the critical issue is at what age will be the cutoff, if any? >> and based on the research and the studies you've seen from israel and elsewhere, dr. fauci, would you recommend a booster shot for the older cohort, which they still might vote on here? >> you know, i -- i have publicly said that looking at the data from israel, that i would be in favor of boosters. i'm not going to give you my age group that i would, because i don't want to get ahead of the advisory committee at the time that they're deliberating. i think that would be inappropriate. we have a good group there i'm very interested to see what their vote is. so i really would like to respectfully refrain from making an age prediction.

>> but didn't you advise president biden to announce booster shots, which he did several weeks ago, and actually targeted next week for americans to give -- to get their boosters -- >> no. no >> no? >> no, that is incorrect what we said is that we need to plan in case the fda and the cdc make a recommendation. we said we need to plan and be ready at the week of september the 20th one of the things that often gets misinterpreted, that we made no decision we said that we feel that there would be a likelihood that we would need boosters and if so, we need to be prepared, because you can't just snap your finger when a decision comes and have all the parties that will be involved in implementing the rollout. but never statement, including the statement that we all signed

out on, myself, my colleagues, the surgeon general, the director of nih, the acting commissioner of fda. all of them, and the people from the various agencies that were involved in the discussion, we always said, provided and under the condition, that the fda give a regulatory decision about what can be done. and that's the beauty of the situation. because that's what's going on right now. we're in a deliberative mode, and we will, i guess by the end of this day, have an answer as to what the advisory committee will recommend so there's no incompatibility with what went on. it was always contingent on what the fda would be deciding. >> dr. fauci, i'm wondering about what goes in -- all the inputs that would go into a recommendation whether by the fda and then by the administration to getting

booster shots. is it purely a matter of, does the science suggest that there is effectiveness to adding booster protection, that outweighs the risk, if there is an incremental risk, or is there a messaging consideration here about, will it encourage more people to just in general get vaccinated will it discourage some people from the idea, well, if i need boosters, i'm not going to get my initial vaccination is it just about what the numbers tell you, or are there other concerns >> well, it really is mostly a risk/benefit ratio one thing we do know is that in the clinical studies, some that we've done here, the israelis have done far more, is that when you get a third boost, you dramatically increase the protection and the case that they looked at they dramatically increase the protection against infection and in some respects, against severe disease. so we know that boosters can do that

no doubt, there's data the recommendation of for whom to give it to will always be a risk/benefit ratio we know that the risk of the mrna, which is the vaccine in question now, with pfizer, has a very rare, adverse event that did not prevent the recommendation for that vaccine for younger people at two doses. so the question that the advisory committee is considering and looking at, at what age is that risk of this rare adverse event, which was rare enough as to not preclude at all the recommendation for the two doses, what is the risk of that in a certain age group for the people who might be getting a third dose

and that's what they're going to be talking about right now how far down in the age group, if you make a recommendation for a boost, and i'm not going to get ahead of them to anticipate that but if they make a recommendation for a third boost. at what age cutoff will they do that i think that's the issue that's being discussed now. it doesn't really have much to do with the messaging, if you give a boost, will you get people feeling that they shouldn't get the first shot to begin with i don't think that's the case to be honest with you it really is fundamentally a benefit versus risk ratio. >> what about the million people or so in this country, dr. fauci, that have already gotten a booster, whether they were qualified for it, or not i know a lot of people ane anecdotally who have just already done it, because they've looked at the studies themselves, and they're looking at israel and they're talking to other people and they want to protect themselves >> right

well, people are doing that and people will do that, because a lot of the data has become public again, people do that. it is not advised to do that until you get the approval of from our regulatory authorities. but people, you know, can look at this and make a risk/benefit type of decision for themselves individually, but we would hope that people would wait until you get the impromatur from the right people there are people who have already been cleared, those who have receiving immunosuppressive therapy, patients on chemotherapy, autoimmune

patients who are receiving doses of immunosuppressant agents. that's already a done deal those people should and should be getting the third boost the others are just what i mentioned with regard to a risk/benefit ratio that is always under consideration >> i still don't quite understand, dr. fauci, and i would think it would play into this decision at some point why the u.s. government, why the cdc isn't collecting and publishing data on breakthrough cases, aside from hospitalizations and deaths is it because they don't want to alarm people or dissuade people from getting the vaccine, because they might see that it doesn't protect -- the vaccines don't protect you from getting the infection? certainly, the benefit is there with hospitalizations and deaths, but there are breakthrough cases all over the place. >> yeah, there are breakthrough cases. and again, the cdc is not doing something or doing something because of a concern about alarming that's not the case.

and what they do is based on science. they will be now collecting more data on breakthrough cases that are not symptomatic and that don't go to the hospital that is now being done in different areas of their cohorts. >> you have any explanation for why the numbers on israel continue to look worse they're now at the highest level of cases that they have ever been, in any surge, for a population that's 80% vaccinated, and as administered the most booster shots how do you explain and what can we tllearn from that so we don' follow this path that we've been following in this trajectory of the disease? >> yeah, they are having cases and breakthrough cases i think people need to understand, and it is understandably confusing that when you get a very large proportion of your population that's vaccinated, when you have a vaccine that is not 100%

detective, as no vaccine is. and particularly when the vaccine was designed and in the clinical trials that prove its efficacy, did not prove its efficacy against infection, it approved its efficacy against clinically apparent disease. so the israels are about a month or more ahead of us in every aspect, temporally, and they do very good work, i must say that. and what they have is they have a much -- they have a larger proportion of their population fully vaccinated than we do. we're close behind, but they have a larger proportion when you have such a fully vaccinated portion of your population, you will get breakthrough infections. because of the reason i just mentioned, the vaccines are not 100% but what they're showing is very clearly, and what we show, too,

is that people who are vaccinated, when they do get a breakthrough infection, what happens is that it is much more highly likely that that will not be a serious outcome that it will either be an asymptomatic infection or a mildly to moderately symptomatic. usually mildly the other thing that's important is that israel has a health care delivery system quite different than ours. they have, i believe, four or maybe five hmos in which all the data are easily accessible so they are picking up breakthrough infections that are essentially nonsymptomatic because when someone comes in for another reason, they'll get a test so they know more about breakthrough infections. so when you see the number of cases that are going up, despite booster and despite a primary vaccination regimen that they got with two doses, remember,

they're following very carefully, even asymptomatic individuals. so that makes a difference there. >> dr. anthony fauci, very good to have you. especially as this news had been unfolding. thank you so much for your time. >> good to be with you thank you. all right. coming up, invesco reportedly in talks to move with state street's asset management business we'll dive into what that deal could look like next in the mark ze.eton ♪ ♪ i know the best coffee spot in town. i can make a rustic cabin feel modern. i am a guidebook for guests. i can make an indoorsy person, outdoorsy. i give families a home, not just a place to stay. i am a vrbo host. ♪ ♪

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we are now in the "closing bell" market zone. welcome, everyone. commercial-free coverage of all the action going into the close. today, we have got josh brown here as well as mike santoli who's here all major averages lower for the week lower for the day. materials are getting hit the hardest, down 2% worst-performing sector on the day, on the week looks like we're getting about a 1% decline here on the s&p 500500 josh, how does the market look to you we're not too far off record highs, but it has felt really soft and even underneath the major averages there's some pain out there. >> yeah, it feels to me like the cyclical trade is unwinding first and the texts have been holding up the best. but those might be ready to roll, too. the industrials for months and months now, but now they're violating the lower end of that range. it's not good. the xlv is already trashed freeport mcmoran is the one i

watched in that group. it's already 30% off its high. one argument is that we've probably seen the worst for that group. i'm not so sure, but i would be more concerned in the short-term, at least, with what's going to happen now that apple and facebook are looking more vulnerable than they have in a while i'm okay with it we're still up 18%, year-to-date the spx, the index is only 2.5% off the high and i think people need to keep in mind, year-to-date, only 78 s&p 500 stocks are down. so it's 5-1, you know, in terms of like the names that you hold being green. we still look very good overall. but nobody should be astonished if this weakness continues it's, some would say a long time coming, and it's definitely deteriorating from the perspective of the internals so, that's really, to me, been the big takeaway from this week. >> yeah, certainly, it's the biggest stocks actually leading the downside right now banks are actually firm. so lots of mixed messages in flp

but to sell or not to sell stocks ahead of a possible capital gains tax hike that's the question facing many investors right now. robert frank has the details hey, robert? >> mike, it is a $50 billion question president biden and democrats in the house and senate have all proposed increasing the capital gains tax on high earners. biden's plan would be retroactive to april the new house plan gives a start date of september 13th kevin brady, he's the top republican on ways and means, saying this morning that, quote, no decision has been made. and maybe that's why many wealthy taxpayers are looking this week to sell stocks or assets, hoping maybe for an even later start date a tax foundation analysis found if the capital gains tax hike takes effect on january 1st of next year, that would allow investors to sell beforehand total revenue from a hike would drop by $50 billion. maybe this is one small element that's adding to the selling

pressure this week mike >> yeah, hard to say, robert, thanks, in terms of what the psychology of it all is. i mean, josh, i guess if you were going to act on this prospect, you would have to have a sense of what the rate was going to go up to, what the timing might be, the treatment of retroactive or not, and then did you want to actually sell something soon anyway? and what are you going to do with the money how would you sort of advise somebody to play these things? >> yeah, thanks, mike. it's a good question and the last thing you said is the most applicable thing. from a wealth management perspective, if you work with a financial planner and they're telling you to make sales because of the political debate over where the cap gain rate is going to go, you probably should start shopping for a new financial planner. this is not good investment advice the reason to sell things is because you're using the money for something, or there's a better investment to be made because in the end, you're still going to be sitting with that capital. you're still going to have to

put it to work you could make the argument that opportunity zone fund might get hot again, depending on where that rate ends up going to but like it's not the -- to me, that's not very tactical that feels more strategic, when you're working with somebody on your wealth situation. so, i would not be counseling people in like 99% of cases, to do anything to their portfolio ahead of this, during it, or after. i don't think it's smart and i don't think historically, that's been the right way to invest i've got realms of evidence showing the contrary >> let's hit m&a potential deal. rumors, invesco reportedly in talks to merge with state street asset management business, which manages nearly $4 trillion in assets in separate statements, the firms say they, quote, do not comment on speculation those stocks moving in opposite direction today. invesco up 6 state street down almost 3%.

mike, i remember when nelson peltz first bought into this company, invesco, back in -- last year, and the rumors started flying then, that there was going to be a push for a deal what do you think about this -- >> stocks have been dirt cheap for sure, and even the idea that such a deal might happen, just underscores that it's such a scaled business. a lot of these assets are index funds, low-margin. a good, steady business, but definitely not something where necessarily it's that performance-based. so you bolt these things together, and it might make sense. these deals don't the end to happen at the beginning of market cycles. it seems like when huge asset managers are looking to get together, it seems like we're at somewhat of a mature phase fedex shares under pressure. frank collins explains why >> fedex down more than a 1. ubs lowering its ebs forecast

from $5.64 down to 75 a share. ubs also lowering its price target from $397 and $380. just yesterday, fedex announced it's seeking 90,000 seasonal workers for the holidays adding that seasonal costs will be a headwind for this quarter both stocks really underperforming the s&p in recent months as ecommerce has decelerated during the reopening. back over to you >> thanks very much. skewed to the downside in terms of new york stock exchange volume not quite 2-1. it's less negative than you might think. treasury yields have been the story. have been firm all week. actually kind of pressing up against their maybe two-month trend, up around 140 looks like it will be hard to crack. that's a one-year -- a year-to-date chart you can see it's gotten a little

bit of upside there. and the volatility index has been jumpy did get above 20 for a while today. it's going to go out above 20. the market is a little bittage stated, as we have another test of the s&p 500, 50-day moving average and a second straight losing week. don't see that every day the closing bell from space. i'm sara eisen with mike santoli in today for wilfred frost the dow closing auto down about 168 points goldman sachs the biggest drag along the microsoft, cart caterpillar, apple, visa got some strength out of the

health care stocks s&p 500 closed down almost a full percent a little more than half a percent down for the week overall. materials the >> worst performers today. health care did finish positive. everything else was lower on the day. for the week, it was a mixed bag. we had energy ending the week higher, up 3.1%. the nasdaq down as well. technology got dragged into the selling. apple, microsoft, amazon, nvidia taking down the nasdaq a full percent or more. and the russell index also lower on the day we've seen the russell pretty much underperform -- actually, finished higher, ticked up into the close. did get that quad witching a lot of expiration of options into the close, potentially adding a lot of volume, moving small caps into the green. facebook under fire. senator marsha blackburn leading a probe right now into the company over a report that it

knows instagram is toxic to teens. her team just met with a whistleblower on that story. first up, josh brown still with us. megan hornerman joins the conversation, welcome. mike, we'll first turn to you on what drove us lower for the week and what stood out amid the damage is this a cyclical correction with materials leading the charge lower >> i would say that's the backdrop, really, the last two weeks has been real consciousness of this late summer slowdown. we're revising down gdp. it seems like earnings estimate forecasts maybe have peaked and are rolling a little bit that's the backdrop. but cyclical stocks have been weak since july. it's not the start of that process. today, it's a noisier market to try to interpret right now just because of the expiration effects and the technical effects. the s&p 500 closed just a few points below its 50-day average. the megacap stocks really led the way down, they're already big in the index

we've seen this rebalance. the average stock did better and financial and consumer stocks did better than the index. we're at a moment, is this another one of those that we just space higher from or is it because of september, because flows have been so heavy into stocks all year, do we have a little more reflux action as we come back to work next week >> i mean, could it just be seasonal factors, josh do you buy that? >> yeah, you can't really set your watch by that i can look at the last ten years and show you some late september periods that were magnificent for stocks it's hard to like point to that and say, oh, yeah, everybody should have known that it's always like this i think big picture, the top 25 stocks in the s&p, 5% of the index, are responsible for 55% of the gains

it's a little bit above average. but when you look underneath the surface, it's not just cyclical stocks that are blowing up and causing people to bel less bullish and maybe pay less zoom had a market cap larger than exxon it's 50% off its highs fastly is in a 70% drawdown. lemonade, 60% drawdown virgin glalagalactic, 60% drawdn so many other names cut in half. zil low, open door, these stocks, every one of the ones i just named is down at least 50%. these are the stocks that had captivated the attention of the players at the margin. the robinhood people, et cetera. there was just less enthusiasm for the market overall, because so many of those trades have silently blown up. we also never talk about them on tv, but there are real losses

there. so i think you combine the cyclicals not working, with some of the larger cap names like apple trading off, and then all of those glamour stocks blowing up, and you can just see like, maybe it's seasonal, but maybe it's really just a lack of enthusiasm, and it makes sense when you think about it through that lens. >> megan, how would you be approaching this market right now, just given both the fact that we're up 18% for the year treasury bottoms, maybe they head higher still, and a little bit of a fog out there in terms of some policy news. >> we're a little bit cautious right now. we don't see anything wrong with holding a little bit of cash on the sidelines to see how this market starts to play itself out. there are several risks that we see that could get us that first 5% pullback this year. interest rates isone of the things that we didn't really

discuss. we have seen them back up a little bit, but at the end of the day, they're still very, very low and that could take more headwind with some of those more growth-expensive stocks. seasonality, that is one thing that could have something to do with this, but also just valuation. we could be in for a traditional valuation correction >> which certainly in some senses has been going on for a little while right now valuation has flattened out. let's get over to meg again. the fda advisory committee voting against pfizer booster shots for those ages 16 and over just last hour, we spoke with dr. anthony fauci. here's his reaction to that news >> in some respects, i'm not surprised that they didn't vote that it go all the way down to 16 years old but as meg said, what's going on right now, which is going to be critical discussion, is going to be at what age will they consider making the recommendation for the third booster? is that going to be 60, 50, 40

we don't know. and that's the reason why we just need to wait and wait for the deliberation and the decision of the advisory board >> still waiting meg terrell is here with the latest from that meeting meg. >> that's exactly what they're doing right now. a committee has taken a break and it sounds like they're going to reformulate the committee for the advisers to vote on to perhaps narrow it to a group of maybe those over 45 and those at high risk because of covid because of occupational exposure or like picks with underlying conditions we have to see did they settle on 65 plus one of the panelists joked that he was 63, and so he would rather it be 60. although there are a lot of people pointing out suggest that 60 is the good cutoff to go with in terms of where that protection starts to wane for severe disease so, guys, we're going to see

where they come back and then where the vote lands here the fda seems like it wants to approve these boosters, guys you have dr. peter marcks, who' the number two regulator there, and the guys in charge of the vaccines unit, you have dr. janet woodcock, who is the acting commissioner who has signed on to that letter from all the u.s. health officials, who say they plan to start rolling out boosters in september 20th, which is next week as long as the fda and cdc sign off on it. so we'll see where this vote goes and then we'll see how the fda actually approves this and then we'll see how the cdc does next week, guys. but right now, sounding like a narrower vote about to be taken, guys >> dr. fauci told us a lot about this, meg. he said that he suggested that he was in favor of recommending a booster for an older population didn't give an age number, because he says he didn't want to get ahead of that vote, which is going on or potentially is going on soon. he also really walked back

president biden's speech to americans several weeks ago who told us that the vaccine boosters are coming. dr. fauci said, no, no, no, what he said is be ready and be prepared in case the fda does approve the boosters i'm just curious what you thought about all of that? because the biden administration was going in that direction towards boosters >> absolutely. and what dr. fauci said is true, that in the statement from the health officials, about the booster shots, saying that we think we need them and they want to be ready to start offering them the week of september 20th, they say pending fda and cdc signing off on them, now, the cart got before the horse, a lot of people feel, that letter, that statement in general, because typically what happens is, the fda evaluates an application. then it goes to the cdc, and then it gets rolled out. but instead, we had this sort of policy declaration and then the

regulatory agencies had to scramble to catch up and what we're seeing happen right now is they're not necessarily onboard with that and it may get narrowed. but it's always possible that no matter which way the advisers vote today, the fda can go what it wants and then the cdc next week has its advisory meeting and they'll do what they want. >> meg, thank you very much. sorry, sara, just jumping in there. we'll think josh brown and megan hornaman, we appreciate it we'll talk much more about the fda call and the markets, next when we come back, senator marsha blackburn's team just spoke to the whistle-blower behind the explosive report that facebook knows instagram is toxic for teens. and senator blackburn going to join us next with the details on that meeting and later, the ceo of taskrabbit on the outlook for

free lance workers gog nd right now amid the oninlabor shortage what that looks like we're back in just two minutes

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comcast business. powering possibilities. congressional leaders are launching a probe now into facebook this comes after "the wall street journal" uncovered internal documents that indicate facebook knows exactly how toxic instagram is for teens, especially girls in a blog post, instagram says the company stands by its research, saying, quote, it demonstrates our commitment to understanding complex and difficult issues young people may struggle with. earlier this afternoon, members from senator blackburn and senator blumenthal's team met with the whistle-blower who provided that information to the "wall street journal" and senator marsha blackburn joins us now for an exclusive interview. welcome, senator thank you for joining us there's a lot to unpack here, but first, tell us if there's any new information your team was able to glean from this whistle-blower >> what we know is that the

whistle-blower has worked inside facebook they have documents, which, of course, "the wall street journal" has been reporting on and then we are just beginning to process these and go through our work now, sara, just so y'all are aware, we are going to have a hearing with facebook, youtube, twitter, snapchat, tiktok in two weeks. and we look forward to having them in front of us. what we know is a lot of this anecdotal information that we had from parents, teachers, pediatricians, about the harms of social media to children, that facebook was aware of this that they knew they had done research they had the information they knew that it affected the mental health of children, the psychological well-being they also knew that there was an

addictive nature to using social media, but you know what in pursuit of the dollar, they did it anyway. >> so i don't think people would be surprised to hear, senator blackburn, that there's a hearing. there have been so many hearings how many times have we watched mark zuckerberg come before you lawmakers, cambridge analytica, disinformation, and nothing really happens as a result there's a lot of outrage and there's a lot of questions about what facebook knows and how it's profiting and then nothing happens. is something different this time >> i think there is something different, because senator blumenthal and i are working on this together in a bipartisan nature we know that there needs to be a push to finish up online privacy for the -- for the federal legislation that we need to look at copa, which is the legislation that protects children online.

stiffen the penalties. and put protections in place likewise, data security. looking at section 230 and one of the things that is different about this is facebook and other social media can say, well, no, marketing to children is not a harm, but now we know that, yes, they do know that they ought not to be marketing to minors. that they ought not to be pushing instagram for kids or a kid' youtube channel. that there need to be greater parameters around this because of this. it is time for them to engage with us and say, these are going to be the guardrails these are going to be the parameters this is how we're going to prevent drug traffickers, sex traffickers, human traffickers, from using our platforms to conduct their business >> senator, certainly, when

there are, you know, illicit activities such as drug or human trafficking, that there are, you know, legal standards for what's okay, what's not understandable that you have to make sure that facebook and other platforms are not, you know, crossing those lines but i do wonder about the broader point of the "wall street journal's" reporting, which is that in general, they have research at facebook apparently saying, we know that some of our users tend to feel worse, it tends to weigh on their mental health if they use our products a lot where's the role for the senate or policy makers in overseeing something like that? >> this will be an action that we take up in the consumer protection committee and work with the ftc on. there should be chose guardrails in place in addition to the harm that comes, what we have seen, they have the documentation on, with instagram and what this does to

children, you also have to look at like google chrome and children's data and the lack of protections that have been put around that. and we have been saying, police yourself well, what we know now is that social media lacks the discipline to police themselves and they have their own research, not outside research, not a pediatrician's research, but their own research that identifies these harms and even goes to the level of the harm so it will be up to us to say, you cannot market to children. you cannot allow children that are 13 to open an instagram account. see, 40% of the facebook's users globally are kids and teens. 40%. and facebook has 90% of their users that reside outside the

u.s. and canada, but what we have found out is that they are only using 13% of their resources to look for these harms that are u.s.-based. and they're not putting the power where the greatest harm is being done, which is to these chil children >> senator, does that suggest that you would want to have a minimum of how much a company spends in order to police these activities >> this is what -- no, not looking at minimums, of what they spend what senator blumenthal and i will do is look at what the rules should be. thousand they should be able to market to children, or what not should be allowed. we are just beginning to go through the documents. we're going to comb through, see

exactly what is there. as sara mentioned, our staffs had that first meeting with the whistle-blower today we're determined to do something in a bipartisan way that is going to protect our children in the virtual space that will allow them to be able to use the internet, do zoom school, if they need to, do research, but to be protected and have their privacy protected when they are online >> i was just as disturbed as you were, senator, reading the article, but i did struggle to figure out what facebook was doing wrong. they're just -- instagram just a photo sharing app. and they can stand by that but what i think, ultimately, is one of the problems is they should have been more forthcoming with this data and with this information. because, you know, girls are going to have eating disorders and they're going to have body image problems, whether they're on instagram or not. but having that kind of data

available for psychologists and psychiatrists and for parents, i think, would be really helpful and useful for families making these kind of decisions. is there any way you can -- >> and they chose not to make this public. and that is one of the points for consideration. they as a company chose not to make this public not to say here is how we're going to work with teachers and parents and medical professionals to make certain that children know how to use this in the right way. here is where we're going to put the guardrails so that predators cannot use these platforms and come at children and pursue children but they've chosen not to do that this is why in order to protect consumers and protect our precious little ones that are online, that it is important for us to step in, bring awareness to this issue, decide what kind

of guardrails we can put in place through federal statute, work with the ftc for enforcement of this. >> we hope you'll bring out that transparency senator marsha blackburn, thank you so much for joining us >> thank you up next, chart expert katie stockton on the sector she thinks is showing a buy signal right now. plus, 3,900 percent. that is the gain one trader made on in a single day on green sky after goldman announced witas buying the company details on that later on "closing bell. that building you're trying to buy, - you should ten-x it. ? ten-x is the world's largest online commercial real estate exchange. you see it. you want it. you ten-x it. it's that fast. if i could, i'd ten-x everything. like... uh... these salads.

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a rough week for stocks with the s&p 500 and nasdaq closing lower for a third straight week. let's bring in katie stockton, founding and managing partner at fairly strategies. great to see you thanks for joining us. great to have you to weigh in after this particular market close today. i guess on one level, it looks like a bunch of the kind of pullbacks we've had in the market previously this year. they never got to even a 5% pullback we do have the 50-day average for the s&p. actually broken just slightly at the close today. where does that leave us in the

broader market >> i feel like it's murphy's laws on a day like today to see one point below on a close that is not a decisive breakdown. what we need for a breakdown one two decisive closes below that level. i believe it was right around 4434 for the s&p 500 and that's what we're watching in part. we don't want to seal out breakdowns in the major industries, but also from a bottom-up perspective. what we saw this week importantly was short-term oversold conditions and short-term oversold upturns, making a pretty wide spread. and initially, we saw a pretty good reaction to that, leading to upturns in our short-term gauges today was a little bit of an offday as you can see for the market we did have triple witching and some news out there. i'll be really interested to see if we get some follow-through to the downside on monday >> katie, stay with us, we have

some more news coming through from that fda advisory panel meg terrell, what can you tell us >> the panel has taken another vote on different language now unanimously voting in favor of recommending a pfizer booster shot for people age 65 and older and those who are at high risk for severe covid-19. in addition to changing the language in the age group and category for the vote, they also changed to it an emergency use recommendation, rather than a recommendation to add to pfizer's full approval they seem to want more data before they get more comfortable fully approving a booster shot and they narrowed the categories for whom they think it's appropriate now. now, this will go to the fda to make its decision on whether to approve the booster and for whom and then it goes to the cdc's advisory committee, which next week will make clinical recommendations on how this is used but right now, the first step here in the u.s., the fda's advisory committee recommending

a pfizer booster for people 65 and older, and those at high risk of severe disease there is now some discussion going n, amid the committee members, about whether health care workers should be included in people who are at high risk not necessarily for severe disease, but because of exposure and so there's a lot of discussion happening and that will bleed into what the cdc talks about, as well guys >> so, meg, has the fda ever made a decision that goes against what this advisory committee recommends didn't this happen with biogen >> yeah. a lot of people are drawi ing tt parallel today this is specifically a vaccine advisory committee so i don't know the history of how often they get overturned by the fda, but the fda in general, does not have to go with the recommendation of its advisory committees, and the most high-profile example of that recently is the biogen alzheimer's drug's decision, whether the advisory committee voted against recommending approval and the fda approved anyway, and it's been quite a

headache for them. there'll be a lot more discussion of that now but it's possible that the fda goes with this 65-plus and high-risk recommendation from the advisers >> meg, thank you very much for keeping us on top of it all. appreciate it. katie, thanks for sticking around just to dial back to the markets. you were saying, you're on alert for potentially further breakdowns in the indexes, as we get back to it next week i'm wondering, though, how are you seeing different groups act lately obviously, some of the more cyclical parts of the market, they had their peaks a while back, a couple months ago, more in some cases. maybe they've shown, they're on a different clock than the overall market where would you actually gravitate towards if you were willing to play a comeback there? >> to be clear, i do think that we'll see a short-term oversold next week, and that would prevent breakdowns from being establish ed by the major indices. it's almost always right to assume that the prevailing trend, which is higher, will resume so we're making that assumption

here with the sector performance, we've seen some really interesting developments just in the past week or so. we got more bullish at the start of the week in the energy sector and that sector has seen now some short-term breakouts. we're seeing some stocks clear their 50-day moving averages xle has also done the same that's the energy spider so that reversal is happening in absolute and relative terms for energy that's pretty interesting and marks an important shift more into the cyclical areas of the market we're also seeing really as of today, even, some signs of life in the retail sector if you look at the etf, xrt, it's perked up a bit it is reacting to short-term oversold conditions withinits trading range, and the trading range is leading itself to have this oversold analysis and we have a very clean oversold upturn in the retail sector. that has been a laggard recently it's the first time we're seeing some good reactions from the stocks to those oversold ratings. i think that's pretty promising.

>> i love your thoughts on treasury yields at this point. they've actually tilted a bit higher, even today i wonder what that means for where yields go go and also for financial stocks >> we saw signs of life in the regional sector today. kre came into its rising 200-day moving average and seems to be stabilizing and bouncing off of that level, and that's probably not unrelated to the rebound in ten-year treasury yields, which really do remain in a consolidation phase. they've seen a distinct loss of downside momentum since that sort of april peak was established. however, they failed to get through resistance, which is basically in line. so there's the potential, of course, for some news and activity next week around that, but we would see a move, a decisive move above one spot 38% as a minor breakout that would bend target about 1.354% and

that would be a nice catalyst. >> we are right there under that 1.38 and i think we will get a little news next week that has bearing on fixed income at the fed meeting. katie, thanks very much. appreciate your thoughts today talk to you soon up next, mike is going to be looking at what the potential threat of a corporate tax hike could mean for profit margins on wall street. plus, investors getting set for a huge week of home builder news everything you need to know ahead of a full housof da e at and earnings, later on "closing and earnings, later on "closing bell."ents! we want to put money aside for them, so...change in plans. alright, let's see what we can adjust. ♪♪ we'd be closer to the twins. change in plans. okay. mom, are you painting again? you could sell these. lemme guess, change in plans? at fidelity, a change in plans is always part of the plan.

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time for a cnbc news update with shepard smith >> a tragic mistake, that's what the general in charge of central command is now calling a drone strike that happened in kabul last month in the chaotic final days of the united states' evacuation as many as ten civilians, including up to seven children

killed that's according to them a general reports that no one killed was associated with the isis terrorists. this, of course, a major reversal for the pentagon, which had originally informed us that the strike was just. there's a potential humanitarian crisis unfolding in texas, in the border town of del rio homeland security officials tell nbc news at least 10,000 mostly haitian migrants are packed under an overpass there. agents struggling to process a surge of migrants and asylum seekers at the border. the white house granting temporary protected status to haitians, but only to once who were already in the united states at the time of the natural disasters and political unrest that was back in may the order does not apply to any new arrivals and the fbi and local authorities stepping up their search for gabby petito. they're in wyoming on the search, grand teton national search that's believed to be her last known location the park, more than 300,000 acres in total, so authorities are hoping tips from people who

may have seen her will help narrow the search. the 22-year-old missing since late august. gabby was on a cross-country trip with her boyfriend, ryan laundry, what she called the van life police say that laundry returned to florida 16 days ago without gabby and has so far refused to cooperate. tonight, gabby petito's stepfather is in wyoming on the search we'll speak to him live. plus, we'll have the latest on the fda panel vote on covid boosters on the news, right after jim cramer, cnbc now back to you. >> shep, thank you we'll see you then shep smith now let's send it back to mike santoli, who's taking a closer look at corporate tax rates versus profit margins and how that could change, i guess >> we still have some suspense about whether, in fact, an increase in the corporate tax rate might be part of any coming fiscal package this shows just how low the corporate tax burden has become. this is the stated formal legal corporate tax rate over time

this goes back to 1994 it's stepped down to 21% in 2017 into 2018. what you'll see is that pretty consistently, the effective tax rate of the s&p 500 is below that obviously, they have the ability to write things off. overseas income, so it's not going to be one for all. and that's also been the case since the tax cut. it's been more like an 18% effective rate for the s&p 500 these spikes means a lot of companies are losing money when profits crash is the only time you see the stated rate go up it's not the amount of tax being paid take a look at profit margins. one big reason that corporate profit margins have remained evaluated at levels that were previously never seen is because of tax rates pre-tax margins are not quite as strong it's not the whole story, but it does show you that we have this slant to the upside. now we're running 12%. of course, the kind of companies that now we now have, very, very profitable ones. durable margins like tech are

part of that reason. i would read this as saying, yes, there's a potential squeeze here, but we're coming from such a generous level that the market, if we went up 2 to 3% in the stated tax rate, it could possibly easily swallow that in terms of valuation >> have you been following any of those baskets that strategists follow of the higher-taxed companies and whether they've been underperforming on this new proposal >> it doesn't seem as if there has been much of a trend here. in other words, the market is not really doing a lot to try to front run any potential tax changes. i think a lot of that, though, is also sector-based some sectors would really be hurt i think a lot of people look at things like pharmaceuticals or something like that, where there's a lot of -- you know, their after-tax earnings say a lot about what they're going to pay out. so far, i don't think the market is going to preemptively get ahead of this. that was also the case for a little while in 2017, until you had a real proposal kind of in process on the new tax rate and

it seemed to have some legislative momentum >> got it. mike, thank you. up next, ceo task robert on how the tight labor market is impacting her company and the outlook for home improvement demand right now plus, the materials sector was the big loser on wall street this week. as we head to break, here's a check on the sector's biggest check on the sector's biggest decliners today.m. she wanted te a pre-set trade strategy in seconds. so we gave 'em thinkorswim web. because platforms this innovative, aren't just made for traders - they're made by them. thinkorswim trading. from td ameritrade.

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i'm so... ...glad we did this. [kid plays drums] life is for living. let's partner for all of it. i'm so glad we did this. edward jones ikea-owned taskrabbit has

seen a boom in growth over the past few years it's a revenue surged 65% in the fiscal year, ending in august. and saw a 63% jump anya smith joins us now. thanks for being here. >> thanks for having me on >> so, obviously, a great year of growth, what really seems to be driving it? what related to the pandemic, the lockdown, people's interested in home activities and improvements what of all of those things seem to be getting people to you? >> you know, for taskrabbit, it is mostly about all of the traditions that are going on right now because of covid so we have seen a surge of moving tasks, and also tasks around the home, people getting new furniture assembled, needing mounting of tvs and needing new cleanings. and so that has really resulted

in a 70% growth year over year of jobs that we've booked. >> has that sort of come back at all from those growth rates in the last, let's say, couple of months has it tapered off in late summer we're looking at a lot of indicators, as we saw the u.s., kind of delta/covid surge in some parts of this country, that people were doing a little bit less, but has that impacted you? >> not really. our business is somewhat seasonal, but we're still in our peak season, so we're seeing record numbers day in, day out we expect to see some slight slowdown as we head into the winter months, but right now we're really busy. >> how much of your business, anya, is from ikea, directly, and setting up that furniture? >> you know, it's a portion of our business so, it's not a large portion, but it is something overall that we're thinking about as we head into partnerships with other

retailers, as well furniture assembly is a big component of what we do, but it is only a portion of what we do. >> anya, how has the debate and the changing relationship of gig workers to their networks that they work with impacted you at all. obviously, we're looking at the ride-sharing platforms some efforts to regulate them for employees, but also just the difficulty in finding as many people at the old prices to participate. >> so, for taskrabbit, we're a little bit different our taskers get to set their own price. so they get to take home every single dollar that they earn, which means that they have the autonomy to really earn a meaningful income and work how and when they want to. i would say that we need to continue working with the regulators and local legislatures and so forth, but

for taskrabbit, our taskers are in a different position. our average hourly rate is $36 in new york city, it's $49 an hour so it puts us in a little bit of a different spot >> but no benefits, right, to be clear? >> so just to be sure, the work that we're doing and the independent work that our taskers are doing are really important and we see it as future work, especially as we're coming out of covid. and so right now, the way that the labor market is structured, it really prevents us to do anything more than what we're trying to do every day, which is really build alliances and help taskers with perks and with anything that we can do. we're working very closely with governments, with taskers, with other companies, to make sure that we do provide access to some sort of benefits, whenever possible but right now, the structure

really does not allow us to do that >> anya, i know that angie, you know, the old angie's list, i suppose, in some respects, a competitor of yours. a publicly traded company. they've been trying to perhaps, i guess, create more brand loyalty within certain types of things, like some subcontractor categories and maybe having exclusives among some of their workers. is that something you would do, or is everyone purely kind of come-and-go independent, your taskers? >> the mission of taskrabbit is to make everyday life easier for everyday people, and that really includes taskers, who can earn a meaningful income. so right now we're focused on creating a marketplace and a platform that really truly allows all independent contractors who can do any of these tasks to be able to easily find their way to taskrabbit and really for the homeowners, who are going through so much change and transition in this market, particularly as we're spending so much more time at home, to have access to these taskers, who can help them in so many

different ways >> i've used it, very helpful, anya smith, thank you very much for joining us >> thank you for having me on. up next, shady trades? goldman sachs just acquired fintech company green sky for $2.2 billion but it looks like there could have been some suspicious bets happening behind the scenes before that deal was public. that scoop after the break but first, it's hispanic heritage month all month long, we'll be spotlighting cnbc contributors, business leaders, and our own on-air reporters and anchors here's the founder of ooh ah la. >> the most important financial advice for the next generation of of latinos is to ensure that everyone in our community is included we need to make sure that everyone has an account from which they're able to be included in the financial system, where they can save and create a credit history, so they can make better progress ilin fe

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trader bought 8,000 options that would pay off if the price rose above $10. well, it did pay off big time. the trader made a massive gain in a single day according to sources. hugh san here with the scoop that would raise some suspicions >> yeah. you know, the experts i've spoken to, people with decades of experience in the markets and specifically in the options market that we're talking about, say that you know, a move this blatant is basically inviting regulators to come and investigate. that it is so on its face blatantly obvious. so you're a trader, you're sitting, you know, at your terminal on tuesday and you decide to make a bet and you put on several thousand options that expire in three days and they're only five cents because they're such a short duration remaining, such a short duration before they become

worthless. so you're betting the price of green sky is going to jump by 40, 50% within a three-day window it really boggles the mind that somebody thought this wouldn't get looked at. >> so i mean it's not just that wow, this was a really, you know, kind of unique situation massively out of the money calls that were bought with perfect timing i think as a matter of routine, the sec will look at every merger deal announced and see if there's any of this type of activity what's interesting here is that the acquiring company is goldman sachs, which of course has lots of experience with what you can and can't say about m&a. not to say they were involved but, they would have some standards here and not necessarily want somebody trading on this information. >> you're exactly right. goldman sachs is going to have, you would think, some of the best standards in industry given where they exist in wall

street, they're the nexus of probably the biggest deal flow pipe in the business so they're going to have top quality, you know, head of financial crimes folks to look at all of these transactions make sure it's not some junior banker on a desk to get frisky i think the thing i want to point out is there's a 2014 academic study that actually says that one out of every four public companies, public company deals when you look at mergers and acquisitions, actually have some sign of market manipulation, particularly insider trading involved and that there are so many of these that authorities just can't get to all of them so it really is in cases where you have a famous party like goldman sachs, something like that that could perhaps draw more attention from regulators >> yeah, obviously that temptation may be just too high so people can't resist taking a shot hugh, thanks a lot great story. prees appreciate it. for more on this story, check

out hugh's article on cnbc.com next week is shaping up to be a big one for housing we'll break down the data every investor needs to be watching. "closing bell" will be right back in 2016, i was working at the amazon warehouse when my brother passed away. and a couple of years later, my mother passed away. after taking care of them, i knew that i really wanted to become a nurse. amazon helped me with training and tuition. today, i'm a medical assistant and i'm studying to become a registered nurse. in filipino: you'll always be in my heart.

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a big week coming up for housing. especially the home builders let's get to diana olick for the details. >> hey, mike yeah, it's going to be data palooza starting with monday then housing starts and building permits, existing and new home sales as well as weekly mortgage applications normally this would be the start of the slow season, but it's starting to pick up after a lull in the last few months realtor.com cited a second wind. price gains had eased slightly in august. we saw mortgage applications to buy a home rise sharply last week even though rates haven't really budged in several weeks as for the home builders, the stocks took a hit after guidance was lowered for home closings due to supply chain issues we'll get quarterly earnings from lennar and kb home. they are likely to cite similar

issues >> diana, thank you. as we look to other events next week, the federal reserve meets and why there isn't expected to be any major pronouncement of tapering or scaling back stimulus, they're moving in that direction. the consensus is that they're going to announce it in november then start to pare back in the months that follow but always market moving and will be interesting to note whether they also take note of the weaker inflation numbers, some of the mixed numbers on growth and what's that going to mean for this tapering decision and eventually on interest rates. >> and this is one of the meetings where you get the dot plot you have every committee member mutt put out their projections about when they're going to raise rates. that's usually the source of the most confusion in the markets because people have to try to interpret them and then maybe overinterpret them and chair powell has to say don't look at the dot.

that's the confusing element from the september meeting >> 1% decline though on the s&p today and we got another down week second in a row for the nasdaq and we're starting to see real weakness and it is kind of widespread next week seasonally is another weak one >> it is the week after, pretty weak. have a great weekend that does it for "closing bell." "fast money" begins right now. live from nasdaq market site, this is "fast money. tonight's lineup -- tonight, tech gets wrecked. facebook, google, apple, microsoft, all handing in big losses today so is the tide turning on tech plus, we're gearing up for a big week of earnings we'll break down the ones that need to be on your watch list. and later, phoning home. something just happened in