it is 5:00 a.m. at cnbc global headquarters and here is your top five at 5:00. the fda giving the green light to moderna and johnson & johnson for their covid-19 booster vaccines now it's on to the cdc. former president donald trump following through on his promise to take on big tech with a social media network of his own. tracking bitcoin, hitting an all-time high one day after the first crypto etf makes its wall street debut but some of the street say there's another reason for the

exub ren and tesla, as they overcome the global chip shortage. and evergrande in china. it's thursday, october 21, 2021 and you're watching "worldwide exchange" here on cnbc good morning i'm kortney regan in for brian sullivan let's get you a check on the u.s. stock futures and we are looking red here across the board, the s&p 500 indicated down by 10 points, the dow jones off by 100 and the nasdaq indicated lower by 27 points this comes after the dow jumps 150 points yesterday to hit an all-time intraday high. the s&p 500 closing higher for

its six straight session crude up nearly 8% this week oil prices this morning wti just a hair under $83 a barrel here at $82.96. and brent crude is at $85.12 take a look at crypto. we're watching the space as bitcoin surges to another all-time high. this morning you can see here above $66,000 here look at that soar. ether is higher by 2%. bitcoin higher lite coin higher by .75% we're going to talk later in the show about the reasons behind the moves so you have to stay tuned for that let's get to your stock of the day, tesla posting record revenue and profits for the third quarter. results driven by improving margins and appearing to rise

above the chip shortage. tease at $859, but down about .75% we're going to have much more on that stock throughout the hour and how wall street may react to it today when those bells sound. around the world a mixed picture overnight as asia, shares of evergrande resume trading after a week's long halt more on that in a moment but first get to europe where the trading day is just getting started. julianna tatelbaum is in our news room with the early movers, good morning. >> good morning, here in europe despite what has been a generally positive morning for corporate earnings european equities are edging lower. yesterday the stoxx 600 did eke out 0.14% worth of gains, it's fifth positive session the swiss index the only one trading in the green up about 16 bases points otherwise a broad based pullback

earnings front and center. so the key movers for you, starting with barkley's the bank exceeded expectations with the third quarter results. and we saw from barkley's the trading in the quarter was bolstered by strong returns in if investment banking the ceo told cnbc he's optimistic about the lender's performance the rest of the year. >> other businesses are doing quite well so we feel very good about the third quarter, very good about the year-to-date for many years we were asked the question, how does barclay get to its target, return on capital 10% or better and i think 2021 will be a pretty strong answer to that question >> unilever recorded a beat in shares, shares up 3.2% the technology space confirmed third quarter preliminary

earnings and is sticking to its recently raised guidance back to you. >> thank you back in asia after lifting a trading halt that lasted more than two weeks shares of evergrande sinking again this is the chinese real estate giant. eunice yoon joins us from beijing with more. >> reporter: that deal was meant to raise $2.6 billion for the struggling chinese property developer, but the company told the hong kong stock exchange late last night but it wasn't able to come to terms with the buyer, a small rival called hopson, for 50.1% stake in its property services business so that didn't go over very well for a lot of investors and evergrande related stocks, the stocks itself had dropped by 14% at one point, anything related to it also fell.

hopson saw its shares rallies as investors thought maybe it dodged a bullet. they got an extension on a defaulted bond also didn't help investors. the chairman promised he would invest his own personal wealth into a residential project associated with this bond to guarantee that that residential project would be completed people still didn't actually think that would be enough and sentiment in the sector on the whole is quite fragile ratings agency fitch has put 29 developers on criteria observation. downgraded two other smaller developers there was also other news that fuelled concerns of contagion in the sector, china states for one said it would book a loss of $29 million in the current f

fiscal year because of a bond issues r issued by another property developer and modern land said it is not looking to find an extension for one of its bonds so a lot of uncertainty right now in this sector >> and this weekend, of course, is going to be a key deadline. what will this do for evergrande's chances of not defaulting on the payments this weekend? >> that's a very, very important question and one that a lot of the foreign bondholders are hoping is going to come up with a resolution a lot of people are saying this is going to really lower the chances that the company would be able to really pull anything out of its hat in order to try to avoid what they see as a hard restru restructuring. >> interesting story, thank you for following it for us. back to the markets and specifically the s&p 500 which appears to be digging itself out

after this month-long funk the index just a fraction below its all-time high, 4535.95 since that day the s&p fell more than 5% through october 4th when it started to make the climb back up just ahead of the start of earnings season let's talk about this with craig johnson. craig, it's nice to have you with us this morning what do you make of the leg up, the stretch higher the s&p 500 has begun to make? is it sustainable as we hear more details from the corporates, they're reporting their quarterly results? >> i think it is this market is climbing the wall of worry and every new brick in the wall that you're seeing at this point in time is whether it's concerns about evergrande, concerns about growth out of china, whether it's concerns about what we see happening with higher gas prices. it's just another brick in the

wall that this market is climbing over and it's climbing over because earnings estimates continue to be strong. estimates for the third quarter earnings continue to keep rising and we are looking at $204 in earnings this year, $222 in earnings next year and that has been what is helping this market push its way to new highs. the correction in september, it's over. we reversed the down trend, breaking down -- close to breaking out new highs perhaps we can do that the next couple of days and we're starting to see the breath of the market improve this is a market that has more room to go we think 4625 is an achievable objective and we're on the right track there's a lot of stocks we can see starting to improve, particularly in financials, elsewhere in the energy sector, too. >> you don't think that inflation is going to put the brakes at all on s&p 500's traction towards than 4625 number

>> you know, not at this point in time. you look at where the ten-year bond yield is at at this point in time, around 163, 164 right now before we came in we think we're in the 150, 175 range by year end i don't think it's a hurdle. it's a psychological hurdle in the short term here. but i don't think this is a problem until you see ten year bond yields north of 275 that's when you have a real concern because that reverses the down trend going back to 1981 with rates moving up here a little bit, it's going to be great for financials and every portfolio manager is trying to figure out how they should be positioned in the fourth quarter into year end. financials is a sector you need to be overweight and energy, nobody wants to be there. i've talked about it with people, they don't want to be there, it's a small part of the market but you look at range resources,

halliburton, all these stocks are reversing multi-year down trends looking to find alpha, that's the place to be. >> that is interesting of course, energy had been beaten down for so long but found legs as the price of the underlying commodity, wti is moving higher and is just around $83 a barrel i understand that you have some other sort of technical opportunities that you've identified can you share some of those with us for the viewers >> absolutely. just this week we upgraded the technology sector from neutral to overweight. downgraded the consumer cyclical sector botd tom line we're seeing a pickup in relative outperformance of technology versus the cyclical sector some of the stocks we called out to be positive we've owned things like apple on the large cap side of things we looked at fort net at another

play on the cyber security part of the world also crm is another positive constructive looking stock and we mentioned energy. we did upgrade that as i mentioned a moment ago from neutral to overweight and we did downgrade the basic materials as we see these changes inside the market some of the -- one of the observations that some of the long-term technicians has said to me one of the things you can have is internal rotation. you've seen that, it's been a challenge for a lot of portfolio managers this year but if you step back and follow that momentum, you're going to be in the right areas of the market and tech is one of those areas you need to be in. you can side step these supply chain concerns and think about things like netflix, even though you had a soft print on the earning side it's a good stock to be in. >> i still got to catch up on

squid games which i'm apparently well behind in craig johnson, thank you for getting up early and joining us this morning when we come back, bitcoin surging to a record all-time high find out what's really fuelling the surge. that's coming up next. plus former president donald trump following through on threats to take on facebook, twitter, and using a spac to do it later, democrats' fund their plan for the infrastructure deal

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welcome back bitcoin pulling back slightly this morning after breaking through a new all-time high yesterday of 65,320. you can see it's at 66,358 on the u.s. coin metrics exchange here this comes as investors celebrated the launch of the first ever bitcoin futures etf and looks at the second that starts tracking tomorrow investors say it's not the excitement around the etf that's driving the buying it's inflation concern. from j.p. morgan we believe bitcoin has a better inflation hedge than gold. shifting away from gold etfs into bitcoins since september. that's echoed from paul tutor jones on "squawk box" yesterday. >> i think we're moving into an

increasing digitized world clearly there's a place for crypto and clearly it's winning the race against cold at the moment right. so yes, i would -- i would think that would also be a very good inflation hedge. it would be my preferred one over cold at the moment. >> joining me is jeremy welch, chief product officer over golden exchange cracken. you probably are in favor of bitcoin for a lot of different investment reasons but are you in agreement with paul tutor jones that it's moving higher because of investors looking at it as an inflation hedge >> that is one of a few factors. there's clear excitement for the etf, for the adoption we're seeing even in trends like nfts but the inflation hedge is another concern for many investors and many investors are coming to bitcoin because of that. >> whenever we speak about

bitcoin who invest in more traditional assets one of the critiques of crypto is it doesn't move on fundamentals it can move for technical reasons or reasons many of us have a hard time figuring out what the impetus is for the move do you agree with that or do you think that the more and more we're talking about bitcoin the more and more it could be used as something like an inflation hedge, the more reasons it has to move for fundamental factors? >> so the main reasons we see for price changes in bitcoin are typically around adoption or around new technical advances and between both of those, any announcement, like this etf that gets greater adoption and signals strong market movement is going to signal price but you can see, the fundamentals for bitcoin, this is open source money, the fundamentals are really the technical changes.

you can see these live it's unlike any other money before because you can see the changes to the currency. you can see how it works directly so there's technical changes for bitcoin, etherum and others. >> this new bitcoin etf is down slightly here but already valued at more than a billion dollars in assets in two days. what does it mean for your company, cracken, now this bitcoin etf is trading and we have another one waiting in the win wings to launch on friday. >> this is another signal as to the adoption of cryptocurrencies more widely. the pro shares etf specifically is exciting for us it uses the cf bitcoin settlement price from cf bench marks which is one of our subsidiaries that provides indexes for products to use like this in launch

so we're very excited crkraken up there, we've got millions of new customers coming on board this year. we're thrilled with the adoption this year. the price is exciting too. but the overall adoption is the biggest story. >> when it comes to adoption and your clients, you mentioned the app, of course what is the demographic background of your clients, of your customers does it tend to be young people or are you getting more traditional investors that have looked at things like bonds and equities for investment interested in using your platform to trade cryptocurrencies as well >> it's all ages, we see all ages, backgrounds. we have a division dedicated to professional traders and institutions, towards consumers and we have a division dedicated to building indices products

so we see interest from the financial product builders we see interest from traditional investors now, and we see interest from a lot of young people, too. you see this big wave around nfts and again we're seeing this from all ages, all backgrounds and everywhere over the world. kraken supports customers in over 170 countries and this is a worldwide phenomenon around cryptocurrency adoption and the excitement of the new technology. >> i remember it was a couple years ago when everyone went home and sat around their thanksgiving tables. and your uncle asks about cryptocurrencies do you expect that's going to become a regular occurrence? will that happen again this year >> it is certainly possible. we have seen several waves of bitcoin adoption we've seen several waves of bitcoin price bull runs so it is possible that we will see

something similar. one thing about uncles or aunts at the thanksgiving table is that everybody is up this year everybody is up with this new price high that we're hitting over $66,000, that means everybody that's invested over the last several years is up and we expect to see continued price growth although it's hard to say where it will land at chri christmastime or the end of the year. >> thank you for joining us to talked to. still on deck your big money movers, including a black e ey for big blue we're back after this. ng could . it could be the day you welcome 1,200 guests and all their devices. or it could be the day there's a cyberthreat. only comcast business' secure network solutions give you the power of sd-wan and advanced security integrated on our activecore platform so you can control your network from anywhere, anytime. it's network management redefined. every day in business is a big day.

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nature's bounty gives you more, so you can live bountifully. time now for your big money movers three stock stories of the morning. first up hp inc. shares are raising as they had a bullish outlook from the upcoming year it also comes despite the fact that hp expects pc and printer shipments to be hampered by supply chain issues into next year stock number two, ibm, shares a dropping after the revenue fell short of forecast and lower spending by customers. ibm also assuring investors the spin off of its infrastructure service business won't cause a disruption as long term

contracts get renegotiated. and csx rebounds with revenues they're working with customers to try to overcome supply chain issues that's the ongoing theme a check on this morning's other headlines. phillip mena is in new york with the latest good morning, good to see you. >> good morning. a bombshell discovery in a florida nature reserve, the fbi found human remains in the same area as personal items belonging to guilty plea's fiancee, brian laundrie he's been on the run for nearly a month. his parents say he went hiking in a local reserve and never returned the two were on a cross country road trip but in early september, brian laundrie returned home without guilty plea she was found dead in a wyoming national forest. it may be a good idea to

toss out onions you might have fresh whole onions are causing an outbreak of salmonella in 30 states the cdc said the contaminated onions were imported from mexico and distributed by pro source. if you don't know where your onions came from probably good to throw it out. the nfl is coming to terms to end a practice that uses race as a factor in the concussion settlement this means the test scores will not be reajusted based on race the "the new york times" said black players who potentially missed out, will have an opportunity to have their tests rescored the league looks forward to a judge's approval of that agreement in a statement from the league >> thank you for joining us this morning. straight ahead, more

boosters, more choices as the fda clears the way for johnson & johnson and moderna. "worldwide exchange" is back right after this i'm so glad we did this. i'm so glad we did this. i'm so glad we did this. i'm so glad we did this. 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

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taking on tech and funding president biden's multi-trillion dollar spe spending plans it's monday october 21, 2021 you're watching "worldwide exchange" on cnbc. welcome back i'm courtney reagan in for brian sullivan here at cnbc global headquarters here's how stock futures are looking halfway through the 5:a.m. eastern hour here we have futures down lower, do you jones down by 104 points, s&p off by about 10, and nooz nasdaq lower 20 points here. of course, inflation concerns continue to dominate the conversations on earnings calls from nestle to brinker and right here on cnbc

>> all of our contacts are saying there's shortages and bottlenecks and they're going to last longer than originally expected but i think all the firms can navigate that and we'll see inflation readings come back down >> i do think that, actually, the inflation which we see right now is obviously alsodriven by certain supply chain problems which we have worldwide. that will a little bit de-escalate a little bit over the next couple of months but i'm a firm believer that we will see the inflation for longer it's not just temporary. >> i do worry about inflation. i do worry about our government because, you know, each government we have is worse than the last i worry about them raising interest rates which we don't need. i worry about pulling out of afghanistan too early. i could tell you a lot of things i worry about. >> we're going to continue to

talk about the markets and the wall of worry as the hour goes on but let's get to this morning's top stories. silvana good morning, good to see you. >> good morning good to see you. former president donald trump said he'll launch his own media network including a social media platform called truth social the app appears to be the first project of the trump media and technology group which will list on the nasdaq through a spac merger, the transaction values it at up to $1.7 billion the new company which lists mar-a-lago as its address will be chaired by the former president who said this group's mission is to create a rival to the liberal media consortium a busy day for the fda after it authorized booster shots for johnson & johnson and moderna's covid vaccines while at the same

time authorizing the, quote, mixing and matching of covid vaccines which allow americans to get a booster shot from the different drug maker than the one that made the initial doses. this will be handed off to the cdc, which has a meeting scheduled today to discuss the booster data to one of your morning's big money movers, tesla. not much moved on this one after hours. this morning down about .75% after the company posted record revenue and profit in the third quarter driven by gross margins. for more let's bring in garrett nelson thank you so much for being here this morning we didn't see a huge stock reaction to the results this time around. and the call a bit more muted i guess without elon musk. what's your initial take on the results? >> sure. thanks for having me these were solid results all

around it was the eighth quarter in the last nine in which the earnings have beat consensus. tesla's execution has been outstanding over the last couple of years now the problem with that is that this has really become the expectation with tesla and in our opinion, the stock is really priced to perfection at these levels so despite a significant beat the stock traded down slightly after hours post release i think there's also elevated worries regarding the near term in 2022. regarding some of the supply chain issues and chip shortages, which could impact their operational results in the coming quarters. >> i see here you have a hold on the stock but you're actually raising your price target from 750 to 875 we're not that far from 875 right now. do you believe the stock will remain range bound once we hit

that point >> we do i mean, this stock, in 2020, tesla was up more than 700%. and at these levels, trading roughly at 100 times our 2023 estimate, we think is fair value. we also have concerns about increasing competition in the electric vehicle space from the likes of lucid, riffian, and others, the traditional auto makers are increasing their electric vehicle investments significantly. so we have concerns about increased competition and also the semiconductor issue we think is more of an issue in 2022 as they ramp their production even more when the texas and germany factors come on line by year end. >> a lot of unknowns about what will go on with those inputs into these tesla vehicles. what about the nhtsa investigation into the auto

pilot system after reports of some crashes, is that at all a drag on the stock for you? >> it is a concern i would put that, you know, lower on the list of concerns, though teslahas had many probes over the years and, you know, we really worry more about increased competition and the chip issue than that so -- you know, but they thai continue to defy expectations, as i mentioned, eight out of the last nine quarters they beat consensus. automotive gross margin was 30% for the last quarter, which is a record high. and they're really firing on all cylinders but they can only control what they can control. we think the chip issue could catch up to them their commentary in the release and on the call was much more cautious than it has been the last couple of quarters. >> the supply chain and semiconductor shortage certainly

top of mind for many companies thank you for joining us today. >> thank you. talk about a busy runway investors bracing for a string of airline results a top analyst will be here for the take as we head to break some of the other top stories. equinox is in talks to go public after one of chamath palihapitiya's companies fell threw. vitacoco priced below the range. they sold 11.5 million shares yesterday for 15 bucks each after marketing them for 18 to $21. a new report from spencer stuart, for the first time ever, 30% of all s&p 500 board of directors are women. in addition, of the 456 new

independent directors added to the s&p 500 boards through may 2021, 79% are minority men and women. we're back after this.

time now for your big money movers, three stock stories of the morning, first up las vegas sans, revenue improved but covid related travel restrictions in singapore continues to hurt

results. canadian national, the active investor has a stake in the railroad operator that adds to the pressure on the company after the ceo resigned this week in a failed bid for kansas city southern they're facing a proxy fight from tci, which is seeking several board seats. and lam research, shares are lower even after they reported first quarter increase in revenue. they've posted more than $1 billion in profit for three straight quarters. we are keeping an eye on three airline stocks today, all set to report quarterly results, american airlines, southwest airline and alaska air this after delta and united both reported better than expected results with delta actually posting a profit scott kirby also telling cnbc yesterday he believes the industry has bottomed out. joining us is sheila, jeffrey's aerospace and defense analyst. thank you for joining us here

today. we have a little bit of information so far from some of the airlines that you cover, including united we saw a surprise profit there from delta what do you like so far about what you've heard from these two and what might it portend for what we are yet to hear today? >> so we did see a surprise profit out of delta and united these companies preannounce so their revenues are known they're 30% below 2019 levels give or take on the average for the group. what we saw from united is shifting the conversation from cost to capacity so one of the headwinds for the airlines in q 4 is fuel cost fuel is up 80% year-to-date. you're basically at 2018 levels even though revenues are 30, 40% below prior peaks. so you're seeing it as a major headwind it's going to take four to six months to pass that price increase onto the consumer you're talking about some cost headwinds into q4 with fuel

about 30% of the costs for the airlines united did something interesting yesterday shifted the conversation from cost into capacity in 2022 saying they're going to see international capacity 10% above 2019 levels which is surprising and aggressive to us and domestic capacity is going to be flat with 2019 levels. they'll see massive aggressive ramps in the international side given united is more focused on the pacific, they are going to be more -- and the pacific is the latest region to recover, they're going to be more focused on increasing capacity in the atlantic, the middle east, india and parts of asia -- africa. >> and as we look to american airlines, which is reporting today. of course, we still have yet to see the return of the business passenger, at least at anywhere near the levels that we had previous to the pandemic how important will the expectations for that be as investors try to sort of gauge who might be better prepared to

deal with the uncertainty that continues for these major airlines >> that's a great point courtney, headed into the earnings season we thought it was all about bookings given 2019 levels for the airlines so it would be corporate which is 30 to 50% give or take depending on the airline but a bigger part of their earnings given the yields for corporate customers are higher united has started to shift that capacity to the longer term. for american we're looking for color on what they're seeing on bookings the commentary has been robust in what they're seeing in october so far so more of the same from american and american is well positioned, as is delta, given their corporate hubs tend to be in the southwest u.s. and southern u.s. and that's where it's picking up versus sanfran chicago and newark for united.

which we'll see a slower recovery we think. >> when you look at southwest, it was several weekends ago they had the weekend of major cancellations. i believe we were speaking with one analyst that said it's a bigger problem than one weekend because every seat matters when airlines are coming back what do you think that portends from what we can hear from southwest and how they'll be prepared to move far here, especially try to get back some of the loyalty they might have lost with some of the customers that were left high and dry that weekend? >> it's difficult not only for southwest wie're seeing it acros the industry in terms of just operational issues as you've seen capacity come back on pretty quickly and you're seeing, you know, rising fuel costs. but wage inflation is an issue across the industry, not only the airlines but aerospace and defense coverage as well so you're seeing those issues magnified. so i don't think southwest will

be alone although they were under the mag nigh fieing class with their issues that one weekend. >> thank you very much for being here with us today we'll wait to see what we will hear from american airlines and southwest. a programming note, don't miss the ceos of all three airlines reporting today joining the network throughout the day as we head to break, check out shares of china's evergrande back open for trade overnight in asia, after a two-week halt. shares sinking after the efforts to sell services unit for $2.6 billion collapsed the company also securing a rare three-month extension on the maturity of one of its bonds no comment there evergrande on that we'll be back right after this

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and wait for back and forth e-mail, or a call to be rescheduled for the third time. orrr... you could use slack. and work faster with everyone you work with, together in one place. slack. where the future works. welcome back to "worldwide exchange." we're following a developing story out of washington. a split in the democratic party on taxes as the deadline nears

elon moy joins us with the latest good morning. >> reporter: good morning to you, courtney. the it seemed that raising the corporate tax rate was a sure thing for democrats that is now in jeopardy because of opposition from arizona senator kyrsten sinema she's been skeptical of the size and scope of the social spending package and now appears to be holding out on the plan to pay for that as well two sources are telling me her opposition to an increase in the corporate tax rate or top individual rate is now forcing democrats to search for other ways to gain revenue in case she doesn't come around. there was a call yesterday that focused on a couple new proposals, which includes a tax on stock buy backs a corporate minimum incomes tax based on book income reforming the international tax code that came up as well. as well as ramping up tax

enforcement. democrats are hoping that would be enough to cover the cost of the social spending package but those noesh negotiations are in flux think about the protesters who followed kyrsten sinema into the bathroom or who surrounded joe manchin's houseboat in d.c there are big gaps to close if democrats want to reach an agreement on a framework this week i'm starting to hear some of them push back against the idea they're on a deadline at all. >> this always seems to come into "the 11th hour," following into bathrooms and stocking houseboats remind us where we stand on the democrats' plan to sort of place a tax on the bank accounts or the inflows or outflows for the year and what that means for people that use venmo. >> this is something that's a point of contention within the democratic party as well essentially what they appear to now have agreed on is to set a

$10,000 annual transaction threshold for new reporting requirements to the irs. so what that means is, if you had $10,000 coming in or going out of your bank account over the course of a year, you would then have to file additional information to the irs originally that threshold had been $600 and people felt that was simply too low, would have caught too many people in different types of bank accounts so now that threshold, democrats are agreeing should be lifted and they're hoping that will help them get their caucus on board with that, because they expect that could raise hundreds of billions of dollars to pay for this package, especially if they're not going to have to raise the corporate tax rate because of senator kyrsten sinema's opposition. they need other ways to find money. >> that's a water cooler conversation i've had with a number of friends wondering if that's going to be the case. lastly, on your final point

about democrats wondering if there's a deadline at all, if that is the case, what's the next big time frame we all should be paying attention to for decisions to be made >> so it is true that there are -- there's new urgency in these talks. the senate wants to reach some sort of agreement on a framework this week. the house is pushing back on whether that's possible. publicly they set a deadline of the end of this month to pass both the bipartisan infrastructure bill as well as the social spending package. that is very ambitious, that's like next week so it's right now it doesn't look like they're going to be able to meet the deadline but they want to show progress before the end of the month so that president biden can go to the g-20 and the glasgow climate meetings and say they're getting stuff done. >> fascinating thank you futures indicating a lower open on wall street across the

board for the three major average, the dow down about 91 points, s&p 500 down 9 points and the nasdaq indicating a lower open to about the tune of 18 points. with the dow still hovering near a new record high, however, keith lerner is the co-chief investment officer, thank you for joining us today we had market technician on earlier in the show from piper sandler who is bullish looking at 4625 as his target year end for the s&p 500. do you believe that equities can continue to climb this wall of worry and move up higher or could we be due for another pullback. >> great to be with you, as always we are positive into year end. we told our clients at the end of september to use that pullback to position for further strength into year end we had a 5% rise in a couple weeks. so perfectly normal to see

choppiness over the next week or two but we are in a seasonal positive period. and one of our key points is we think the market is now -- or the economy is now set up for positive prizes after we saw a noticeable slow down in the third quarter because of the covid trends so we thinkthere's more ammunition for this market to rise into year end >> we're going to continue to hear from a number of corporates reporting their quarterly results. i'm sure the commentary will center around the problems in the supply chain, the chip shortage, potential other worries about return to normalcy with covid do you really foresee any of that to be an issue for investors? is that something that we're just expecting and we can hunker down and look through the numbers and the expectations and focus on that as key points? >> there's always an ongoing carousel of concerns i think some of these issues that you raise, especially on

the supply chain, basically means there's going to be some areas that outperform other areas. think about the consumer staples area, an area we've been underweight for several months is having a tough time pushing through those prices but looking at financials or energy that benefit from a little bit of inflation, don't have inventory, would benefit from higher rates and good demand from the economy. those are two areas we like. look at the energy sector, it's up a lot this year, but energy prices, crude oil prices are at the highest level since 2014 the energy sector is still 25% below where it was a few years ago and then financials have just made a new high this year after not -- you know, after not doing much over the last 14 years. >> keith lerner, you and craig johnson both looking at financials and energy here today. thank you very much for joining us keith lerner from truest financial. that does it for us on

"worldwide exchange. futures are lower across the board here just a couple hours before the opening bell. we'll see if we break the winning streak we've seen for the averages, nasdaq off by 20, s&p down by 9. john "squawk box" is next or it couldy there's a cyberthreat. only comcast business' secure network solutions give you the power of sd-wan and advanced security integrated on our activecore platform so you can control your network from anywhere, anytime. it's network management redefined. every day in business is a big day. we'll keep you ready for what's next. comcast business powering possibilities. this halloween, xfinity rewards is offering up some spooky-good perks. like the chance to win a universal parks & resorts trip to hollywood or orlando to attend halloween horror nights. or xfinity rewards members, get the inside scoop on halloween kills. just say "watch with" into your voice remote

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good morning, and some good news the fda signing off on moderna and johnson & johnson vaccine boosters as well as a mix and match approach we'll tell you what happens next tesla reporting record quarterly results. we'll dig through all the numbers with the company's former president and show you how wall street and the stock is reacting and holy crypto. bitcoin surging to an all-time high providing a big lift for some crypto stocks.

it's all happening on this thursday, october 21st and "squawk box" begins right now. good morning, everybody. welcome to "squawk box" here on cnbc i'm becky quick along with andrew ross sorkin and brian sullivan joe is off today and andrew is live at the new york stock exchange. it's dark, it's cold, but you have a good reason for being there, andrew, do you want to explain? >> thanks, becky we are at the new york stock exchange wework is going public today, via spac making a delayed debut here it is one of the most dramatic business stories of the last several years a company that was once worth $47 billion, about to go public. that public offering scuttled back