are conducive to some company's business models like baidu they see an opportunity in artificial intelligence. there is also reporting this week that the chinese government is amenable to releasing more information to tech companies. >> charlie munger piled in thank you seema mode audio. thattest does it for "the exchange," everybody "power lunch" starts right now boom welcome -- i feel like doing the bewitched thing. welcome to "power lunch" i am kelly evans with scott wapner. the s&p 500 trying to extend its winning streak to seven days the markets are focused on earnings they have been good. is that good enough.

plus, the paypal splsh pinterest deal we will speak with an analyst who say it is an act of desperation on paypal's part. good news when it comes to tax increases. "power lunch" starts right now sthchlt we begin with breaking news from the fed. let's go to steve liesman. >> the federal reserve at this time announcing sweeping new rules to bar federal reserve officials from purchasing individual securities. pribtsz buying stocks and bonds, in agency securities or mortgage backed securities. all of this comes in response to questions of conflicts of interest raised by large scale individual transactions by fed presidents robert cab land and rosen again. both of whom since resigned of the it comes with son

beneficials including the fed chair holding assets he previously purchased that the fed ended up buying in 2020 in response to the pandemic the new rules, investments will be limited to mutual funds or similar collect investment vehicles officials will have to obtain prior approval for purchases and securities up to 45 days ahead of time and hold investments for at least 20 years. no purchases or sales will be allowed during periods of heightened market ves. reserve bank presidents will be required to publicly disclose private transactions within 30 days as board members and senior staff currently do this raises the bar high in order to assure all of our senior officials maintain a single-minded focus on the mission of the federal reserve extreme action in response to questions of conflict of interest, certainly the appearance of this, in recent

reports. >> no doubt. what about what they already own, steve how do we teal with that >> we are told they have t divest but we are not told over the period of time that they have to divest you are right, there are holdings that we know federal reserve officials have that will be in conflict with these rules. they will have to turn the individual stocks and bonds that they hold into the cash and then into mutual funds or other collective investment vehicles. >> does this whole episode, is it going to upset jay powell's chances of being renominated for the fed? >> you know, it certainly has raised questions whether or not he was quite the shoe in others thought ahead of time. he was already facing concerns about the inflation that's out there, whether policy has been right. and now this conflict of interest issue is something that has been a knock against him i think it's not -- it is fair to say this is an effort to get ahead of that. certainly, this is something the fed has done for the first time

prospectively after the series of reports that have come out one after another about reserve trading. >> steve thank you for that, with the breaking news. we are watching the s&p 500 to see if it can keep the winning streak going one more day. dow is lower, nasdaq higher, s&p 500 is flat. the focus right now is of course on earnings, especially the guidance bob pisani is following that from the new york stock exchange, hey, bob. >> hello there, scotty good to see you. bottom line so far is earnings are good they are just not as good as they have been in the prior several quarters let me show you. right now, we've only got about 20% of the s&p reporting it's very early. some big names not out yet but we are beating by an average of 13% 12.6%. historically the beat is 3% to 5% but in the three prior quarters, the beat has been 20%. the numbers are good, just not as good. we are this the fourth quarter

this is how stocks are pricing for fourth quarter estimates, flaltenning out in the estimates, we are expected to be up 22%, 22.7%, but a few weeks ago, it was essentially the same, 21.7 in july, it was 17 so you see kind of flattish. highs for the stock market, and flattish earnings sort of not going up anymore that's a divergence traders are paying attention to demands have been outstanding. did you see auto nation's numbers? they were terrific demand simply was off the charts supply was constrained by chip shortage new vehicle inventory was really on the low side and they exploded with used car sales used vehicle sales went up 53% you heard all the stories about used car prices off the charts auto nation is essentially at a new 52-week high finally, you are wondering why

is the dow weaker and the s&p is strong center that's of course because of ibm ibm had decent numbers, with a beat revenues were a little bit short. they had a couple of key components, the cloud decision and of course the global services that were a bit on the disappointing side that's 12 points, almost 85 points on the dow. >> nasty day for big blue. so, will earnings and guidance be strong enough to keep pushing stocks higher doug butler, portfolio manager with the rockland trust joins us what's the answer to that key question >> great the see you, scott. as you just heard, i think will will be continued beats, although it is going to be a decelerating story they are going to continue to beat they are going the guide probably lower for the fourth quarter. and certainly, people are being conservative with their guidance for '22. still, we expect most companies will come in and beat earnings and probably in that low teens, like maybe even as low as the high single digits

which will be -- you know, cause a little problems for the market we have had some of the biggest investors in the world on the network this weerk seems everybody is talking about inflation, some worrying about it more than others. of all the risks out there, i say inflation. then i say, welling real rates are so low, maybe stocks aren't as expensive in this environment as some people try to claim. what do you think? >> in terms of our real rates, are very low, although you have seen that the tips break even has stretched to almost all-time highs. i think there are inflationary fears, particularly the stagflation fears are overblown for my liking. that's why i still feel like the economy still has room to grow i would forecast having a decent year for stocks coming forward even off two really strong years, i still think there is room to run. i think, again, the inflation

pressures, you saw -- you see brent and wti at $85 long term do people think that oil issing go to be at $5? those same people thought it was going to be in the 30s. >> right. >> my feeling is oil is not going to 100 and it is likely to get back to down to auto and 60. >> the taper doesn't matter? all of it is offset by the fact that the fed is still buying a lot of bonds and there is a lot of liquidity in the system regardless of what the fed does. >> there is -- the fed is going to taper you know, they are going to taper before they increase rates. that's definitely been pretty clearly signalled. the question is, does the taper really affect both carpet earnings and people's wages? we are seeing wage inflation we are seeing input cost pressures, labor shortages remaining the dominant themes along with these supply chain constraints.

but higher wages and cost pressures lead to a healthier balance sheet. and corporate balance sheets are still in good shape is we are showing some of the stocks you like, led by facebook. we obviously got the advisory board 20d. they came out and said facebook is not doing everything they should be doing. it seems like facebook bulls don't care about anything but the fundamentals of the company itself the fact that you basically have a duopoly with alphabet for advertising and that's all that matters. they make the argument that the stock is cheap as well is that the camp you are in, everything else is simply noise? >> it is not just simply noise, but those are dominant themes for us in terms of looking at facebook and why we think it is going to go to 450 or 500 is that they are going to be spending an awful lot hiring employ years, they are going to be spending a lot on investment. but they are also going to be accident rating a ton of free cash flow, especially assuming corporate balance sheets stay

strong there really suspect that much of an alternative. and they are also -- they are right now the beingy man for all that is bad with the internet. and -- the boogieman for all that is bad for the internet not that they are -- they are certainly culpable and certainly have brought a lot of this on themselves but history is littered with a lot of big-name companies that have been vieweds, you know, the wrong doers to society that ended up being excellent stocks to be in for the long haul. >> i heard that yesterday from brad geshner who was on our show as well. kell >> sorry >> that's the point of view you get from people who continue to back the stock it is a cephalon stock. >> i don't know whether that's more controversial or that he thinks bitcoin is going to 35.

supply remains tight for semiconductors the world can't get enough of them intel reports third quarter results after the bell the stock has been struggling, one reason, i losing market share. amd is up almost 50% a year, and intel only up 4% it is down 13% after the past six months hurt by higher expenses as they start to develop thrlg own manufacturing ways matt bryson tracks the ticker for webb bush and joins us what can they say this afternoon to turn things around? >> i don't know there is much they can say this afternoon. i think they did the right thing in setting a low bar but i think that the questions investors have around when are they going to catch up technology wise, what are gross margins going to look like when all the spending comes on, those aren't going to be answered at earnings to the. >> they-- aren't going to be answered at earnings tonight.

>> they have tried of course to do their own manufacturing that's a big effort now. they are maybe looking attryin to help the auto industry in particular, kind of dragging them into the new technology to help ease their chip shortages in the future. which of these, from deal make to kind of targeted industries, could help give them a leg up here >> i think it's really nuts and bolts. i think it cox back down to getting manufacturing right. their struggles with manufacturing made it heard for them to hit the curb at the right time with new technologies that's why they are losing share to amd that's why, in part, they struggled to get into the a.i. market early i think they are doing the right thing. they are going, they are investing more in their facilities they are trying to push forward faster with new chip technologies but i think it's really the nuts and bolts stuff, blocking, tackling, that they need to get right.

what they have tried in the past is to camouflage that through acquisition, entering new spaces i think you can certainly help yourself there, but at the end of the day, if they are struggling on the manufacturing side, i think that's going to be a pervasive problem across their business units. >> how much stock, pardon the pun do you put in pat gelsinger who is going to be on the network in the next 24 hours, i believe? i ask you the question because when we are talking about this i think back to, say, ge for example. had all sorts of problems. obviously a different business but they get the right person, theoretically n the chair in the corner office and finally the story seems to be better if your time horizon is long enough, can't this story have a similar outkcome >> i think that's the case if you look at what they were doing under the previous administration they were cutting expenses when they struggled and in turn that was leading to

better earnings, better cash flow for investors n. doing that, you necessarily disadvantage yourself from a technology perspective, right? it's hard when you are struggling and then you cut back your investments to catch up now they have got someone in the seat who really believes in the importance of investing, believes in the importance of manufacturing, and he's done right things in terms of reinvesting in the business to put them in a position to execute. having said that, they are competing against companies that have positionally executed, whether it is nvidia, whether it is tsmc, whether it's amd. they are trying to hit a moving target yes, if you have a long enough time horizon in 2025, 2026, when intel is targeted being ahead of manufacturing, if they execute, certain things could work out. my concern is simply what

happens in 2022, 2023, and there is not a certainty that they get to the that point. >> it's a matter of getting investors excited about the story again. what they keep hearing about is how extraly si sue is doing. how great jensen wong is doing and how great nvidia is doing and all the stories that seemingly have a better narrative around them. as you said, over one year, your target, your outlook, people are going to be disappointed over five years, why not take a bet on what you say is cheap stock? >> i think it simply comes down to uncertainty so if you wait a year, are you going to be -- have any -- you will have more insight, and you will have avoided the pain of what happens in 2022 if they are targeting being ahead in 2004, you will have a far better idea when we get closer to that time. 12 months from now, 18 months from now, whether they are executing the plan, whether they

are starting to come out with technologies that are competitive. but i just don't see why one would be involved now when all you can see is the investment. we are still looking at the projects that were started by the last team. and so you are not really seeing what pat brings to the table until 24 or 36 months from now. >> matt, thank you very much that's matt bryson. coming up, react to the big deal that surprised many people. paypal said to be interested in pinterest. up next, we are going to talk to an analyst who says it is an act of desperation by paypal. plus, we continue to get you ready for all of this afternoon's big earnings reports. we are going the look at the picture for snap our traders will weigh in as well. plus, chipotle reports after the bell will rising food prices and higher labor costs hit the company's bottom line? all that and more coupling coming up on "power lunch.

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misguided move by paypal >> well, i -- my view on paypal has been consistent, which is ultimately the company needs to monetize in the physical world at least in the u.s. the domestic electronics games market is a $7 trillion market paypal's slice of that is something less than $600 million in volume in our view. as a consequence, unless they can monetize off of e-commerce, with venmo, we think growth is going to revert toward ecom growth and that kind of acceleration is not priced into the stock. a move to make another online deal even in social media to us just doesn't make a lot of sense long term. >> this is why i think your analysis of this is so interesting. because most of us assume you go into ecom, you get higher margins, higher multiple, higher growth even our discussion yesterday was around kind of owning

e-commerce and that kind of thing which growth investors would seem to love when you suggested they should go the opposite way by a legacy payments processor you were met with groans and eye rolls. why should they turn the clock back, so to speak? >> i think it is interesting insofar as the company is turning the clock back by merging with pinterest it is reminiscent of the e-bay days where the company's growth was circumstance up described as being part of an online marketplace. for sure, physical world acquiring is a slower growth market, but it's also a much, much bigger can. i think if you bring paypal's digital solutions into the physical world and couple that with the distribution of a leading merchant acquirer, i think that's a powerful combination globally

and it potentially accelerates monetizeace of venmo, which really is the holy grail and if you look at paypal -- if you look at cash app for square, it monetizes by our estimates about five times better than venmo, i think it is emblematic of how important having that physical ecosystem is. that's the crux of our view, open up the tam and use assets to accelerate the growth of what is a slower growth ghiss. >> if you are paypal and pinterest has 450 million users why not try to get access to them >> i think, scott, that's a reasonable question and certainly a point of temptation. i think the issue is that -- i am not a social media or pinterest expert let me put that out there but my first glance at the company's financials shows that mon monetization is very low, i think the challenge for paypal

is in boosting that monetization on paypper, paypal looks terrifc they seem to be a nice compliment to pinterest. it is just a heavy lift. i think it speaks to perhaps management's realization that its growth is moving asim pattic to e-commerce and as a kens the company needs to do something. the question is whether or not this is a right deal we are somewhat skeptical in that regard. >> andrew jeffrey of truist. he covers paypal. ahead on "power lunch," the nasdaq gearing up for the release of its own bitcoin putts etf. we will speak to the nasdaq adhe of north america markets, coming up next. what's going on? where's regina? hi, i'm ladonna. i invest in invesco qqq,

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santis wants lawmakers to pass legislation to combat covid vaccine mandates put in place by businesses california unveiling a plan

to ban oil and gas drilling within 3200 feet of homes, schools, and hospitals that proposal meant to protect public health. it would be the nation's largest buffer zone between drilling activity and communities. texas urging supreme court justices to leave its new abortion law in place. it is also saying there is no reason to rush its review through the courts this comes on the heels of the biden administration's call for the high court to temple rarely block the state's ban. google is lowering fees for e book and music streaming apps. that's the latest. >> frank holland, thank you. let's get a quick check on markets. the dow one one third of 1%. the nasdaq is diagnose exactly the opposite and the s&p is flat in the middle. bond yields are higher again, but short of the levels we saw earlier this week. rick santelli has all the latest out at the cme >> yes, the short maturities are

definitely below some ever their highest he can pas turn notes are only basis point away from some of the highest intraday levels going all the way back to may, five plus months the big story today is all the plop, plop, fizz fizz, all those alka-seltzer tablets in a the fed is dropping in the water glasses because the inflation rates continue to hop and they are hot, hot, hot. here is the five-year break even inflation rate between five year notes and five year continues. it looks like it is going to challenge and beat an yowl time high going back to record keeping in 2005 and the ten-year break even at 2.6% is at the highest level since the fall of 2012 call it transient if you want, but most people are calling it -- related. democrats scrambling to come up with a tax plan to pay for their social spending package. details on where they stand and what the d.c. gridlock means for

investors. when "power lunch" returns ♪

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oil market is closing for the day. let's go to pippa steves over at the commodity desk >> oil dipping and on track for its worst day in two weeks this pullback comes after it hit highs. wti hit a seven-year high yesterday. traders are taking chips off the table. there is also new lockdowns as well as predictions iffer a warm u.s. winter both of which could hurt demand. wt is down and brent crude down. yesterday we talked about morgan stanley getting more bullish today ubs lifted the forecast to 90 based on low inventory as well as opec continuing to curb production back to you. >> pippa thank you. big business may be feeling a sense of relief as a hike in

the corporate tax rate is seeming less likely. where else might democrats find funding for their spending plan? ylan mui joins us. >> this was definitely a surprise twist democrats have been saying for months they want to make sure corporations and the wealthy pay their fair share the simplest way to do that is by raising the corporate tax rate and the rate on individual earners but today the democrats conceded those may not be options anymore. >> the last couple of days we have come to narrowing what the possibilities are as we see what we need to cover because the bill will be paid for. and so what are the choices that will be made >> now, instead, they are focusing on options like a new tax on stock buybacks a corporate minimum tax based on book income. reforming the international tax code, ramping up tax enforcement and making billionaires pay taxes on unrealized gains. i have been talking to senators

in the hallways all day today and i can tell you there is a sense of resignation that their tax goals may have to get watered down they still want the keep moving forward but guys one senator actually laughed when we asked them if there is any hope of reefing an agreement tomd. >> ylan mui with the laidest from the capitol more more on economic impact of the tax fight and what's next for the democrats let's bring in brian gardner, chief washington policy strategy. >> good to be with you >> watered down or plain old dead what's the end game here. >> i think it shifts certainly not dead watered down i guess depends on what they come up with part of this is be careful what you ask for because you may just get it you take out like the corporate income tax hike and replace with it something else. okay, what's the else? is it a corporate alternative minimum tax, which was banned in

2017 does that come back? does it come back in a new form? if it does come back, what does it do for tax credits and companies that rely on tax credits? a lot of implications there. what does it mean for international? maybe they double down on international taxes. so there's different ways to skin a cat yeah, they can get rid of the -- they can scale back and get rid the overall income tax hike but they have got to replace it with something else i think that something else, businesses investors have to be asking a lot of questions, what is the else. >> how do you think taxing aye buyback or taxing bill airs in some form or fashion is the answer >> it is on the table. chances are getting better by the day. i think investors should start thinking and pricing in that a 2% tax or something along the lines on stock buybacks become increasingly likely. they are going to have to factor

that in going forward. >> what does it mean for the biden agenda at large? they have a problem, right w senators sinema and manchin? >> they are different problems a lot of people talked about them like they are the same. sometimes their interests are aligned. sometimes they are not on the tax issue i think manchin is much more in line with rank and file democrats than sinema is sinema is coming from a different place. she floated a carbon tax that's not going the fly now democrats are going to scramble ash for a whole host of alter alternatives if the income tax hike is off the table, people who thought they were going to get salt relief, that's off the table it is interesting how you leave interest rates alone and don't bring back salt relief it is not dead it is just going to shift. it makes it more complex and it is going to fake a few more weeks for them to get through

this and figure out the end game. >> they are going to have to extend deadlines we have randy crossner the former fed governor coming up in a few minutes. we will deal with this issue with him, too. i want to ask you about the fed rules governing the ipo of individual securities. what's your reaction >> it is not a surprise given the revelations out of dallas and boston you look at the stories this week regarding chairman powell his disclosures had to with indexes, etfs, mutual funds. two different stories here i always thought that at the end of the day one that the fed would shift to banning ownership of individual securities and go for a passive allowance. the other is, i have been skeptical that this is going to purt powell all that much. one because it wasn't active investing. he was owning mutual funds and etfs and the other is, i think there is a lot of good will support

for him up on alcohol. >> not on the progressive side of the democratic party there is not. >> right and that's the point i was going to make. the loud opponents, senator warren, they are very much against. but you see the moderates, the centrists, the rank and file, even the chairman of the banking committee, senator brown, he hasn't endorsed powell but his criticism of the powell trading story was far more muted than you would expect from kind the rank and file progressives. >> somehow the fed figures out they should make new rules because it is ridiculous they are able to trade the stuff in the first place. somehow congress is still able to do it they are the ones who would have to change the rules. why aren't we talking more about that because it disgusts people that in congress you are allowed to trade and own individual stocks even though you are making the rules and you have all the information. >> yeah, i mean, look, i think that's something that voters -- it is up to voters to pay more attention to that. it is not an issue that really

resonates with a lot of people voters haven't pushed this issue as an ethical reform issue having worked up there, yeah, i always thought that members, staff, should be very careful for the appearance of impropriety of what their own income on individual names because there is a reputational risk to the members of congress. and you just have to be very, very careful on what you own, and the specific policy areas that you work on. >> brian, we appreciate it very much thanks for being here. >> thank you, scott. >> brian guard under. staff's earnings are on deck it is up nearly 50%. does it have more room to run? our trading nation team discusses that next. as we head to break, the names of other companies also reporting tonight. back in a moment

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welcome back, everybody. time for today's power movers. first up, big gains among the footwear retailers crocs reported a twong beat, that along with boot barn more than doubled they used air frayed as one way to avoid some of the supply chain and containership perhaps. sports and outdoor retailers

are higher kick's sporting got, academy sports and outdoors up finally, hp issued upbeat 2022 guidance, hyped their dividend to $1. and shares are up 20%. now to seemo mody and trading nation. >> we are watching snap ahead of earnings out after the bell. the social media network a surprising winner compared to pierce twitter and facebook managing to mostly escape the bulk of regulatory fears the stock up about 50% in 2021 can this run continue? let's bring in the traiting nation team, craig johnson and danielle shay. danielle at a time when we are trying to better understand the mental health impact of social media snap chat introducing family safety tools to protect minors using its april do you think it is conveying the right message to wall street right now? >> i think it's the.

i think they have largely been able to escape all the issues we are seeing with facebook and instagram. additionally, you know, generation z and younger millennials love snap chat they grew up in a time when they could see employer looking at facebook pages and everything is on the internet. but snap chat you can only send messages to your friends and it deletes itself afterwards. it is a huge hit with generation z, younger millennials they beat earnings the last seven quarters you have high iv and a lot of options traded on this ticker. for me, i am looking at selling put credit spreads and i am going trade it for some ib crush overnight. >> the stock is trading at $75 a share. what's the next level to watch >> i think the next level to watch seema is this stock is seth itself up for a huge consolidation. we owned it since august from our perspective we are consolidating sideways right now. we need to see the break above

those prior highs then we will be setting up for another leg higher i look at this stock it has been followed in our teen survey work. it is one of the number one apps that all the teens are looking at i wouldn't take it away from my kids without getting a revolt at my house holds the stock from a fundamental perspective could see another 17% higher according the our analyst, top champion. >> wow earnings out after the bell. we will see where the stock goes from here. craig and danielle, thank you. for more trading nation, go to our website and follow us on twitter as well. breaking news this hour. new rules for fed officials. no more investing in stocks or bonds. we will talk to a former fed governor about these new rules and the future of jay powell

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welcome back the federal reserve announcing awide ranging ban now on individuals owning individual securities in response to growing controversy over their investing practices. they will have to own diversified assets like mutual funds as opposed to individual stocks they can't invest in individual bonds either chair powell says the regulation also help to maintain a single minded focus on the mission. joining us, a former fed governor and professor at the chicago booth school of business great to have you here with this acknowledgment that they are changing the rules doesn't it imply that impolicitily rules were broken therefore, does there need to be consequences for that? >> i am not sure the previous rules were broken. my understanding is that none of the previous rules were violated but just the rules were a bit scattershot because you have people in washington, the people

on the board of governors, jay powell and others, they are federal employees appointed by the president, confirmed by the senate the regional federal reserve bank president right side part of their.org entities but they are not rules and less consistent rules but the congress set up the fed to be this unusual structure of dot-gov and dot-org to not be in washington and be of one group think and appointed by the president and confirmed by the senate. >> everybody on the board will have to follow the more strict rules. i think this was yesterday, the boston fed will not release documents if the former president vetted personal investments with the ethics

officer. do you want to comment on the decision not to release that and then the announcement of the tightening of policy doesn't it imply that this is not above board? >> no. i really don't know what's happening with boston fed and won't comment on that. i don't see that it's suggests that any rules were broken but the issue is much more about appearances and concerns about whether there could be some conflicts that would have occurred as far as i know there's no evidence of that i don't have the inside scoop on these things but i don't think there's evidence of that i think it is good to have consistent rules for the members of the board of governors and the regional bank board governors because a subset of them vote all the time and

appropriate to have similar rules. >> look. randy, i don't know if you owned individual securities as a fed governor but in that role would agree with the decision or not >> i think it's perfectly reasonable to say because of concerns of appearances that you don't want to be doing any trading and it is best to have just diversified portfolios of investments. that is one broad approach to investment which is to hold diversified portfolios rather than individual stock picking but i think not being able to trade is perfectly reasonable. >> seems kind of obvious, though right? why doyou need a rule to chang what should be fairly obvious? why should you ever own anything to influence but have insight into based on the decisions made around the big table

>> well, i mean, of course, you make decisions that are -- could have broad macroeconomic impacts. as you know the fed officials could not hold individual bank stocks where they would be able to exercise some direct control or have insights on the -- >> they could have muni bonds. where was this in the first place? seems so overdue and obvious. >> in some sense it is and it isn't because the fed never did anything but buy long-term treasury securities. buying a few more or a less. of course in the global financial crisis a decade ago the fed bought mortgage-backed

securities and now a broader set of instruments really because the fed had never done that before i think that's a reason why the rules didn't address them suddenly the fed was thrust into doing these things the congress asked the treasury to ask the fed for them to intervene in the areas and doing what congress wanted them to do and the rules were for a fed that never had done that before and so i think it makes sense to modernize the rules because the fed intervened and could in other areas going forward. >> the way it's written in the past is avoiding the appearance of conflict and prior to the pandemic it wouldn't have been implied but could argue they were once we saw how qe affected the economy. final quick question, randy. traders love to speculate about

the future of fed chair powell and whether he should be renominated by the president and if the moves point to somebody else filling that seat what do you say to those saying that this could end the tenure at the fed >> i think the president said that he has confidence in jay powell as i said i think what happened is the fed was thrust into moving into the new areas and the rules were for a fed that never contemplated moving into securities so i think it would be unfair to say this was jay powell's fault. it will be up to the members of congress and the president to decide. >> randy, formerly of the fed himself, thank you for joining us rafael bostic ll jwioin "closing

bell." we're back after this.

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got directv stream. for smarter trading decisions, now we can watch live tv and on demand. serena... scary movie... serena... scary movie... serena williams ready to serve. ahh! quiet, please. triple match point serena williams... this is her moment. ahh! quiet, please. ahh! quiet, please! get your tv together with the best of live and on demand. introducing directv stream, with no annual contract. chipotle reporting after the bell been a rocketship. but now food prices are rising and labor costs. will that be what derails that trade? kate rogers following it >> hey, scott. analysts looking for eps of

$6.32. seam store sales projected to increase 14% digital sales with details about new menu item performance. brisket was added for a limited time last quarter cfo warned of higher costs saying given the current environment it should n't be a surprise that q3 is challenged by several industry wide issues. now that issue is cropping up in the restaurant space brinker international said in a pre-release challenges are weighing on the restaurant margin just the other issue in focus labor challenges domino's saw staffing shortages and suggested it would be better positioned in terms of locking in pricing back do you guys. >> thank you. again this goes back to what crock's was -- belatedly

people using air freight if they can. if labor is the issue good luck. >> chipotle have raised prices before we'll see what they say. >> sounds like someone is headed to chipotle. thank you so much. "closing bell" is next wendy's this week, as well welcome to "closing bell." i'm wilfred frost at new york stock exchange a mixed session on wall street the nasdaq out performing heading into the final hour of trade. >> i'm sara eisen. welcome, everyone. right now investors keeping a close eye on earnings. ibm sinking and weighing on did dow. tesla higher and much more action after the close jobless claims below the 300,000 level in the latest print. more progress on the jobs front and oil making a move lower. today's downturn