sell that we know other companies like real real are looking at but it's not quite there yet we know that investors don't really love that business either when they become public. >> if they included that depreciation figure, what would that do to the numbers make them look worse, right? >> the losses are much wider >> thanks, everybody, for watching "power lunch. "closing bell" starts right now. hello, and welcome to "closing bell. i'm sara eisen here at the new york stock exchange, mixed session on wall street s&p kind of in between as we head into the final hour of trade. >> and i'm wilfred frost let's have a look at what is driving the action today the nasdaq dodging losses today as microsoft and alphabet trade higher on the back of earnings those stocks each up 4%. bond yields are pulling back adding more support to the tech sector the 10-year yield falling well below 1.6% oil prices are lower and dragging on the energy spice

thoughe though the sector is still up double digits. >> spotify's cfo joins us to talk about his quarter as the stock gets a big boost today plus, affirm ceo max levchin talks about his company's new buy-now-pay-later partnership with american airlines and we will speak to the imf managing director kristalina georgieva ahead of the g20 and cop26 summits. >> let's first focus on the big stories we're watching today mike, let's start off with the broader markets. the s&p flat >> a bit of an uneven performance aside from the indexes. well, if you mentioned microsoft, alphabet, you can throw tesla in there that's responsible for the s&p being positive the vast majority of stocks are actually in pull-back mode today. a little bit of a fatigued market seems like it's taking its toll

on the average stock the index is holding to the highs still looking like we have the sort of seasonal shakeout. yes, you get fourth quarter strength typically, but it doesn't always come on cue and it's not simply every day. take a look at the lop-sided nature of the recent gains in the nasdaq 100 even. it's obviously more pronounced even than the s&p 500. also the biggest five in the s&p 500. they're responsible for about 40% of the weight of the nasdaq 100. this is the equal weighted version of that same index and you can see really kind of a widespread here the average stock just looking like it might roll right near those prior highs. so, obviously, a little bit of kind of unequal type action going on right here. it doesn't necessarily mean the overall market has to roll as well but it tells you that it is the few carrying the many right now.

also fintech payment space has been a weak spot today mastercard and visa down 5, 6% on the today fintech down almost 10%. visa had some cautionary comments about volume outlook. but i think in general you can see the performance of all these different fintech and payments proxies. this is a fintech etf. this of course is ipay is sort of broadly in the payment space. really struggled all year relative to traditional financials a lot of that was previous gains. but a lot of it's just a ton of capital being thrown at startups and existing big players and maybe the volume's not quite coming through just yet, guys. >> the other standout is that earnings is really making very clear stock-specific difference this quarter microsoft versus facebook, there's nearly a 10% differential over 20% differential month to date and you could make those comparisons across various sectors as well as earnings have

rolled out >> that's right. microsoft and alphabet showing the virtues of being virtual monopolies it doesn't hurt. they're able to grow off massive bases. and you have some losers in that equation as well it's often the case with earnings season, the heart of earnings season reporting weeks. you have a lot of kind of give-and-take underneath the surface. the indexes themselves get drained of some volatility but you have a lot of individual moves. next week maybe latter part of next week we start to get more into macro mode. >> let's turn to boeing. moving lower after missing on both the top and bottom lines. phil lebeau speaking to the ceo dave calhoun earlier >> this was not an earnings report that boeing investors will like. when you listen to the analyst call, you kind of came away going, okay, when do things finally start to improve here? take a look at some of the things that came out in boeing's conference call and in the third quarter earnings you have them restarting 787

deliveries when well, dave calhoun told me this morning they're not going to put a date on it some believe it may happen before the end of the year they do believe they'll hit their target of 31 per month by early next year. but they haven't received any orders from china. here's calhoun talking with us this morning on "squawk in the streets. without a doubt if i got to the middle of next year and said there's no china, then we wouldn't cut rates, but we would not increase rates at the pace that we would otherwise increase them >> by the way, it is unclear when china, first of all, needs to recertify the 737 max dave calhoun is cautiously optimistic that they're making progress there, and that will happen weather plans that have already been delivered and are flown by chinese airlines. but what's going to happen with orders will there be more orders for boeing airplanes in china? and that is tied up, guys, as you know, with the biden administration, trade relations between the u.s. and china that's a hornets nest.

that goes well beyond boeing those are some of the issues that are weighing on the stock there you see a comparison between boeing and the s&p 500 in the last year >> phil lebeau, as always, thanks so much for that. meantime, mcdonald's earnings beat estimates kate rogers has that story for us >> reporter: mcdonald's out with better than expected earnings across the board for the third quarter. better than the $2.46 expected revenue 6.20 billion that's also better than the 6.04 billion that had been projected. now in the u.s. comps up 9.6%, better than the 8.3% expected on a two-year stack the comps were up 14.6%. this thanks to larger orders and menu price hikes the crispy chicken sandwich platform continue to boost the company's sales. digital channels continued to the growth here as the company launched itrewards program in the quarter which now has 21 million members, 15 million

active users really huge numbers there. overall same store sales increased 12.7% versus the 10% estimated year, international business also rebounding from covid. the company calling out strength in the uk, japan, and latin america. its systemside digital sales are up more than 20% of total systemwide sales mcdonald's also announced a partnership with ibm, which is acquiring its mcd labs to continue to enhance its automated drive through ordering with artificial intelligence which also of course plays into the ongoing labor crunch that's being felt across the restaurant sector back over to you >> kate, thanks so much. up 2.9% for mcdonald's we've got a news alert out of washington on the billionaires tax and ylan mui has that for us >> reporter: the democratic plan to tax unrealized gains of billionaires is on life support, if not already dead. the chairman of the house ways and means committee says it is, quote, apparently out as a way

to pay for democrats' social spending package he said the onus is really on the senate to show that it can get support from all 50 democratic senators before the house will consider it instead, he said, that he is talking about a proposal to impose a surtax on millionaires with a threshold for that tax starting at $10 million. in addition he said that he is supportive of the idea of a corporate minimum tax, and there's also a new discussion around bank reporting rules. i'm told that that is being discussed with senate democrats as a way to target those who are making $400,000 or more per year that would be higher than the sort of $10,000 bank account threshold that had been discussed previously they're also working to address some cyber and privacy concerns. so clearly a lot of moving parts in these negotiations. but one member of democratic leadership told me that they hope to have an agreement in the next 24 to 36 hours. >> that would be quick it seems like it it's back to the drawing board.

after the break our exclusive interview with the imf managing director kristalina georgieva ahead of g20 and cop26 summits. we'll get her take on the global recovery, policy, and the biggest threat right now dow's down about 119 points. nasdaq's going strong thanks to microsoft and alphabet you're watching "closing bell" on cnbc. flexshares are carefully constructed. to go beyond ordinary etfs. and strengthen client confidence in you. before investing consider the fund's investment objectives, risks, charges and expenses. go to flexshares.com for a prospectus containing this information. read it carefully. tv: mount everest, the tallest mountain on the face of the earth. keep dreaming. [coins clinking in jar] ♪ you can get it if you really want it, by jimmy cliff ♪

♪ [suitcase closing] [gusts of wind] [gusts of wind] [ding]

(rhythmic electro rock music) (crowd cheering) - bito, bito, bito, bito! - [announcer] bito, the first u.s. bitcoin-linked etf. the nation's earning season, the realtime corporate score card, following a volatile quarter, strategies for investment, portfolio opportunities, team coverage and ever wonder how san francisco became the greenest big city in america? just ask the employee owners of recology.

we built the recycling system from the ground up, helping san francisco become the first city in the country to have a universal recycling and composting program for residents and businesses. but it all starts with you. let's keep making a differene together. 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 for an exclusive live stream with jamie lee curtis. a q&a with me! join for free on the xfinity app. our thanks your rewards. the 2021 g20 summit and

united nations climate change conference both set to kick off this weekend i just spoke with imf managing director kristalina georgieva who's attending both and asked her whether she thought the biggest risk to the global economy is still covid as investors in a number of surveys are now saying it's inflation that threatens the recovery. here's what she says >> we need to be very watchful of what is happening with inflation. why watchful because the two factors, demand shoot up supply from behind combined with supply side disruptions with shipping, delivering to ports but not drivers to put what is delivered and take it to stores. this is causing inevitably pressure on prices and this pressure, we expect, will continue all the way until

mid-next year, maybe all the way to the end of 2022 we do expect inflation to calm down by the end of next year and we do know that central banks are very careful so what do central banks do? they are looking at two things st still the recovery is not quite as strong as we want it to be. and on the other side they need to be very careful with inflation dynamics and especially of the deflation expectations now, imagine that advanced economies continue to spike up, emerging markets in developing countries fall behind. and advanced economies are pressed to normalize monetary

policy the repercussion for these countries that are not yet growing or not growing enough of a higher interest rate environment canning quite significant. and, of course, then this would halt the recovery of the world economy back >> i wanted to also ask you about climate ahead of the cop26 summit, which i know you're participating in there was this big pledge in 2015 for the paris climate accord with all of these very ambitious goals set out. how do you perceive the progress to be from countries around the world toward capping the temperatures at 2 degrees celsius? it feels like there's still a lot of work to be done >> absolutely. so, good news. in terms of commitments to net zero by 2050, for some countries 2060, a lot of progress is made. in other words, for the long term countries are gearing up in

a way that matches the paris agreement. before we started preparations for cop, only one-third of countries make pledges now we are at three-quarters and growing. not so good. we see less ambition demonstrably of what is going to be done in this decade and let's remember by 2030, we need to cut emissions by 45% let's let this number sink we are not at all at this point of time geared for this decade to reach this objective. >>you've also advocated for carbon pricing and i wanted to ask you as this debate is sort of live in the u.s. right now around the reconciliation bill, whether democrats should be using something like a carbon tax to pay for universal pre-k and expanded care for the elderly and for children

is that a good idea? >> it is proven that carbon tax is the most efficient way to influence decarbonization. and countries that have adopted the carbon tax have also generated revenues that they used to support their population, be it for transition or to meet priority needs. canada just right next door has done exactly that. but there are other ways to price carbon you can trade carbon, you can put the market and then the market helps decarbonization you can also introduce what we would call a shadow price of carbon through regulation. in our view, every avenue should be pursued if we are to reach this 45% reduction target i talked about >> who's doing more on climate

from your assessment the u.s. or china? >> well, the u.s. is doing more. it is an economy with very high degree of innovation, very dynamic private sector and it has been a -- vis-a-vis historic levels. china has recognized that the climate threat is real it is actually devastating for parts of china where agriculture productivity can decline dramatically if we are not to meet our objectives of keeping temperature increase under 2 degrees celsius. >> speaking of china, how concerned are you about the recovery there, given some of the enormous debt challenges they have around the property sector >> well, the forecast we put out for the world economy

specifically on china is with the small downgrade. it is for two reasons. one, china has limited fiscal support, a bit faster than we anticipated. and, secondly, clearly, the real estate developer sector is now under a bit of a shadow. we think that the chinese authorities have the instrument to address this problem, to limit it so there is no spillover within china or beyond china. but it is a serious problem. we are watching it carefully >> speaking of china, we haven't have you had cnbc since you yourself faced some heat around china. and you've been cleared by the imf board. no evidence of wrongdoing as it relates to your role at the world bank and bias toward china, allegations there in the doing business report. now we hear that you've offered

the world bank a chance to defend yourself, and the board has rejected that. why do you think that is >> well, i made it to the imf board. the imf board took it. they listened to my side of the story and they provided full confidence for me to do the important work that the fund is charged to do. i thought it would be just fair to make the same offer to the world bank but, look, this is not important. what is really important for the world is what happens at the g20 summit what happens at cop 26 and i'll tell you i was with the staff this morning discussing these big challenges and feeling very energized by this commitment to do the work that matters to our membership. >> our thanks to kristalina georgieva, the head of the imf

i followed up and then asked her, we didn't have time to play it, what is the imf's role then on this battle for supremacy, whether it's on trade or geopolitics around taiwan or just yesterday the u.s. banned the chinese telecom company. and she said we're here for all the countries and all of our member countries, which are almost 200 of them always good to hear from the head of the imf who says inflation may now last until the end of next year, although she think it's will ultimately come down >> we should mention as well, broader markets have slipped over the last five or ten minutes. s&p in negative territory now, down 0.3%. we're gearing up for another big afternoon of earnings with reports coming from ford, ebay, teledoc and many more. and we'll speak with spotify's cfo on the back of his earnings report, which is sending that stock higher today. as we head to break, check out some handcuff today's top search

tickers on cnbc.com. the 10-year yield back on top once again as we do see a bit of a flattening of the curve today. not sure why it's green, the yield is very much lower today >> we track the price in the green and red. it's a little confusing. >> it's not always that, though. anyway, tesla, microsoft, the others in the top. we're back in a couple minutes the cnbc program is sponsored by truist wealth, where meaningful relationships matter most. peerless design, cutting-edge tech, and a world-class interior. the exhilarating mercedes-benz glc. extraordinary runs in the family.

wealth is breaking ground on your biggest project yet. worth is giving the people who build it a solid foundation. wealth is shutting down the office for mike's retirement party.

worth is giving the employee who spent half his life with you, the party of a lifetime. wealth is watching your business grow. worth is watching your employees grow with it. principal. for all it's worth. so, should all our it move to the cloud? the cloud would give us more flexibility, but we lose control. ♪ ♪ ♪ should i stay or should i go? ♪ and we need insights across our data silos, but how? ♪ if i go there will be trouble ♪ ♪ ♪ wait, we can stay and go. hpe greenlake is the platform that brings the cloud to us. ♪ should i stay or should i go now? ♪ ♪ ♪

there's only one mark cuban. >> that's what i'm talking about. >> and only one "shark tank. tonight starting at 8:00 eastern, cnbc, get yours let's check on some individual market movers here's a check on rent the runway the stock opening at $23 a share in its nasdaq debut versus its ipo price at $21 a share though, has lost some steam during the session, down 8%. texas instruments falling after reporting a revenue miss yesterday the chipmaker noted it's struggling with supply

chain constraints. the stock down 4.6%. jim cramer talking about texas instruments in his investing club newsletter today. to learn about his stock picks and to sign up, head to cnbc.com/investingclub >> or put your phone up to the screen to the qr code and it'll take you right there shares of affirm moving higher today on a new buy buy-now-pay-later deal this one with american airlines. max levchin will join us to discuss it the 10-year yield firmly below 1.6% buying of bonds is back in style. we'll be right back. (rhythmic electro rock music) (crowd cheering) - bito, bito, bito, bito!

- [announcer] bito, the first u.s. bitcoin-linked etf.

tonight the alec baldwin

shooting answers from the sheriff on how it happened. plus, no ticket, no i.d. needed, just you

bank america's ceo speaking out to cnbc's kayla tausche today. hitting a range of topics from banking to climate funding ahead of cop 26. >> brian moynihan co-chairs an effort with the prince of wales called the sustainable markets initiative that aims to coordinate the way that global corporations are working toward their glimt goals. and the conversations that are going to be happening at the g20 and cop26 come as the biden administration is pursuing its own strategy on climate regulation, mandating new disclosures, declaring climate a systemic risk and even exploring stress testing the issue moynihan in our exclusive said that latter one at this point that exercise is still big

picture. >> how you're handling those risks and how do you think a near-term risk, it's in the principles now, it's not necessarily numerically defined yet. >> the white house had hoped to enter talks in glasgow with a framework on climate and a big dollar commitment to try to reclaim a leadership roleon climate with global partners, and i asked moynihan whether $500 billion as reported right now would be enough to do that >> -- have a role of the money they spend but also the incentives they give in a given quarter, we have tremendous tax incentives because we are a very large financier of windmills and solar and affordable housing we'll see what comes out of congress it's important to provide incentives for this change is 500 billion enough when you look at it in the context of the $2 trillion a year that's required but, remember, it's catalytic money. that's what the money the government does. it enables things to happen. the real money's going to come from the trillions of dollars of

expenditure by all these companies in the private sector driving this >> the last time that the united nations held a cop summit was in 2015 and it produced what became the paris agreement. what do you expect to come out of this summit will there be something as seismic as that agreement? >> everywhere points to the two weeks in scotland or whatever it is and says that is a thing. it's really a leadup to it it's a rallying cry for the world to continue to make move at a faster and faszer pace and raising the energy level once again. and that's the nice thing, especially after two years of pandemic when people haven't been together, to get people together to say we have to move, we have to move with the pace, we have to make the commitments and here's a couple weeks to sort of catalyze that or categorize that or assess that but the reality is all the work that goes up to it and beyond it are the important things >> so, that public money should catalyze private investment on this front but as far as that agreement

democrats are deep in negotiations earlier today press secretary jen psaki was asked repeatedly where negotiations stood and whether there would be an agreement before the president leaves tomorrow. she said that she hopes that global partners take note of what the administration is trying to achieve even if it's not agreed yet back to you. >> yeah, unfortunately in the u.s. has become such a political football between administrations and parties. kayla, thank you great to hear from brian moynihan time now for a cnbc news update with kristina partsinevelos. >> hi, sara. here's what's happening at this hour the nor'easter that hammered new england took part of a roof on this apartment building just near boston. you can see chunks of it on the ground behind the housing facility no injuries have been reported, but crews are now trying to patch the hole left behind and stop further water damage. amazing video of a tornado that touched downin eastern texas. you got the twister that became stronger and more defined, then started ripping trees out of the ground and sucking debris

hundreds of feet into the air. far more meat packing workers got sick from covid than previously thought a new report from the house of representatives say at least 59,000 meat packers became ill that's nearly triple the estimate from a food worker's union. the report says companies could have done more to protect their workers. and the state department has unveiled a modernization plan. secretary of state blinken says he's looking to build expertise in areas including climate, global health and cybersecurity. blinken says the changes are needed to address emerging foreign policy challenges. i'll send it back over to you guys >> kristina, thank you so much up next, we'll dive into tech earnings and what to expect from apple's report tomorrow why this quarter could look very strong compared to september 2020 plus, affirm's ceo max levchin will join us to talk about the company's new buy-now-pay-later rtrsp thmecan airlines we'll be right back. yeah... uhhh...

doug? [children laughing] sorry about that. umm...what...it's uhh... you alright? [ding] never settle with power e*trade. it has powerful, easy-to-use tools to help you find opportunities, 24/7 support when you need answers, plus some of the lowest options in futures contract prices around. get e*trade and start trading today. 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.

(rhythmic electro rock music) (crowd cheering) - bito, bito, bito, bito! - [announcer] bito, the first u.s. bitcoin-linked etf.

october 28th, join cnbc's esg impact exploring environmental, social, and government issues and investing in a sustainable future. register now we've got about 23 minutes left of trading. jeffrey's downgrading cloudflare today to hold from buy after the stock jumped more than 60% just in the month of october. the firm says cloudflare has an elevated valuation compared to its peers. you can read much more about this call on cnbc pro which i encourage you to do because it's one of those downgrades where the price target got increased to 195 from 135, which is a 5% upside >> i do need to look at that >> cnbc pro. another great -- when's the next big cnbc pro conversation, though >> they do it the first wednesday of every month >> do they >> do. >> well, we look forward to that one when it comes. >> so i think it's next week major moves in tech stocks

today. alphabet and microsoft are jumping on strong quarterly results while texas instruments and twitter are both sinking both after missing revenue expectations joining us on the phone collin gillis so, the quarter itself, you're pretty bullish on? >> for apple, absolutely we think that there's a strong degree of upside particularly in gross margins. and we're looking to see 32% revenue growth north of 85 billion in revenue and $1.25 in earnings you have to remember that this september quarter is going to compare very favorably to the prior year because the prior year the iphone 12 didn't launch until the december quarter >> and in terms of the guidance and some of the potential pressure points to offset that strong quarter for apple, what will you be looking out for? >> right so there's always the concern about did they pull forward the revenue into the september --

people are expecting a blockbuster holiday from apple and apple has only been giving soft guidance. it would be great to see since the beginning of a new fiscal year if apple would give a little bit more color as to what that higher end could look like for the december quarter and also there's concerns about supply constraints in particular with the iphone 13 we just point to tim cook as being one of the best operators out there in the business. and even if there is some little turbulence in supply, the demand profile for the iphone is still extremely strong >> totally anecdotally ran into someone on the way into work today who couldn't get an iphone 13 in the lower manhattan soho store because they said it's backed up on the ships so, colin, where are the numbers for next week? where is the market and where

could the surprise come? >> i think you're going to see surprise both on the revenue side in the june quarter apple produced, they beat revenue by $10 billion. we're modeling gross margins of 42.4%. there could be some upside to earnings provided by that gross margin now, the real question is, is that going to be enough to move the stock. because as soon as we get the september quarter printed, all eyes will turn to the december quarter. what we think was the macbook proceeds coming through, some of the new air pods, just the volume of people coming into the apple ecosystem that will be targets for their services, this is still a very strong upgrade cycle. and we're still very positive on the shares >> colin, thank you for joining us the stock is flat today. when we come back, coca-cola's ceo james quincy speaking out today about the quarter and what the company has

learned throughout the pandemic. xt, 'shit that one neit a winner today in the "market zone." we'll be right back. it card deb? move to sofi and feel what it's like to get your money right. ♪ move your high-interest debt to a sofi personal loan. you could save with low rates and no fees. earn $10 just for viewing your rate and get your money right. ♪ you have the best pizza in town and the worst wait times. you need to hire. i need indeed. indeed you do. indeed instant match instantly delivers quality candidates matching your job description. visit indeed.com/hire

moving is a handful. matching your job description. no kidding! fortunately, xfinity makes moving easy. easy? -easy? switch your xfinity services to your new address online in about a minute. that was easy.

i know, right? and even save with special offers just for movers. really? yep! so while you handle that, you can keep your internet and all those shows you love, and save money while you're at it with special offers just for movers at xfinity.com/moving. power e*trade gives you an award-winning mobile app with powerful, easy-to-use tools, and interactive charts to give you an edge, 24/7 support when you need it the most. plus, zero-dollar commissions for online u.s. listed stocks.

[ding] get e*trade and start trading today. never settle with power e*trade. it has powerful, easy-to-use tools to help you find opportunities, 24/7 support when you need answers, plus some of the lowest options in futures contract prices around. get e*trade [ding] and start trading today. the "market zone" is sponsored by etrade. trade commission-free today with no account minimums. 15 minutes to go in the trading day. we are now in the closing bell "market zone." cnbc's senior markets commentator mike santoli here to break down these crucial moments of the trading today we've got ritholtz wealth management the dow and the s&p 500 are actually falling here into the

close. we've come to session lows down half a percent on the s&p. nasdaq still in the green, and within 1% of a record high thank you, microsoft and google, alphabet but also strengthened in tesla and amazon i wanted to start with the payments and fintech space, which is one of the sources of pain in the market today and a number of commentary to be blamed from these and potentially pfizer which is under a lot of pressure. some concern i'm hearing about the quarter-to-quarter trends in car data, which is something flagged by the banks but weighing on the group. and just general commentary there. what's your take on some of the weakness we're seeing? >> yeah, look, if visa catches a cold, mastercard's going to catch that same cold and to a somewhat different extent you'll see american express, discover financial, capital one, and then of course it's interesting the payments names that are away from the credit card land like affirm

don't seem to be as affected, probably because of how big the growth opportunity is there. visa and mastercard really needed to have more of a cross-border commerce pickup they needed more travel. keep in mind, we had this violent spike in delta in august and that sets a lot of stuff back it causes for a lot of things to be canceled. so they're a little bit revenue-challenged but the guidance is not terrible from visa. i think the street was expecting 20% growth, and they said, like, 17 if you're an investor and you've been looking for an opportunity in these stocks, maybe this presents that opportunity for you because it's not catastrophic it's just a differing pace in the global economic recovery than maybe what investors and these companies had expected i'm not in them. i got out of mastercard a while back mainly not for this reason but because i think there is a genuine fintech threat coming from the buy-now-pay-later

names. the name i'm most excited about in this space is klarna, which i own, some of my clients own in the private market that's not -- i don't know when that will come public. but that's where i want to be placing my chips i'm in paypal as well. i don't think that 20% apr credit cards are long for this world. i really don't >> also some commentary that folks are talking about, about, to josh's point about delta. pause and corporate travel there was hope that it would come back toward the end of this year that's being put off until 2022, '23. >> a lot of optimism that the trans-atlantic part is going to bounce back from november the 8th when that's allowed with phil lebeau earlier talking about that more leisure, exactly, perhaps, but either way - >> we know you're into that. >> yeah, i'm into that part of the spending i was going to say as well, affirm holding up today because of stock-specific news which we'll be discussing with the ceo later in the show.

mike, it's not just the card names that are down, the flattening of the yield curve, which is quite pronounced today affecting some of the bank stocks, which have been hot of late >> banks down more than 2% today. value in general is getting smoked today the energy stocks are down what we have for energy is a 1% pullback in the market small caps are down 1% but you have microsoft and alphabet together adding $200 billion in market cap today. so that's kind of where the math gets you on the s&p 500. it's nothing wrong with it >> slightly overbought in the short-term basis a little bit fatigued after a good run but you're definitely filling in the majority of stocks today as opposed to just sitting flat as the s&p would have it. >> shares of robinhood are under pressure after the company reported quarterly results last night. let's get to kate rooney on that one. >> crypto is the big story after making up more than half of

transaction-based revenue in the second quarter, it dropped to about 19% in the most recent quarter. that was a result of dogecoin excitement drying up there robinhood saw a net decline in funded accounts, revenue per user fell in half, and a bleak forecast weighing on the stock today. robinhood says lower trading activity is expected through the end of this year on top of all of that, guys, there's more ipo lockups expiring today back to you. >> thank you so much for that. we mentioned earlier the way in which earnings is definitely playing out on stock specifics and you could throw in twitter as well. and you're seeing some satisfy those more highly priced like robinhood tech stocks suffering today. >> expensive and considered sub scale is kind of the equation that gets you a little bit of an adverse reaction robinhood very, very messy quarter. absolutely massive stock-based compensation charge, really bloated the expense side of things if you wipe that away, it's still a 40% increase in expenses

year over year, showing you they're ramping up as a public company. they're hiring a lot they really, really need mini manias by their customers to start trading feverishly it hasn't happened it's a tough business because i don't think they have anything that distinguishes them now that everybody else is at 0% commissions, it's what do i download when i want to start trading? it's a little bit of an uphill battle to get economics to work for robinhood. >> josh, i don't think you've ever been a fan. so give you credit on that the to k is down 10.5% would you be buying it if it goes down to a lower price >> not really. the thing i understood about robinhood and why i was not bullish after it became public is that they had this incredible advantage in cost to acquire a customer or what we call cac in that the app was viral, and people were sharing it with their friends, and young people

tend to do that. they find an app that amuses them, they share it. the thing is they came public at the best possible time for robinhood's private market investors to get a liquidity event. but probably the worst possible time for the general public to be buying shares, because you probably could live another hundred years and never again see an environment like the one in which robinhood spent its last year as a private company understand that from march '20 to march 2021, 96% of all s&p 500 stocks were up this never happened before we may ennever see it again from march 2020 through the end of august this year, so almost a year and a half, the stock market went up 100%. that is the fastest double for the stock market in history. you will also never see that repeated again, i don't think. it'd be hard to imagine. so, you've had this really

unique environment in which the company was perfectly positioned it >> you had no sports on tv, nothing to gamble on you had no casinos open. you had nothing to do with your time other than stare at your phone and/or netflix at the same time and we were the only game in town, stocks and crypto. that environment is over, and now robinhood is competing for everyone's attention just like everybody else and it's not that exciting when thestock market isn't doubling in 12 months, when stocks are going down, when people have blown up their accounts in electric vehicle spacs and all that other stuff whf that excitement goes away, what are we left with? mike santoli will tell you, it's a darts business darts businesses are not sexy. daily average revenue trade. i don't know if anyone's old enough to remember whenwe used to breathlessly follow schwab and etrade shares and see what the darts were each month. nobody wants to be in a darts business so i don't think the stock even down as much as it is. i don't think it gets killed

from here because it's very unique, and it still does have a hard-core user base. i just think there's better places to be allocated in financial technology >> bitcoin, by the way, down 5%. shares of coca-cola moving higher today following its earnings this morning. the company posted a beat on both the top and bottom lines. it saw volume growth across all of categories just to give you a sample, nutrition, juice, dairy and plant-based beverages grew by 12% and both its sparkling soft drinks, which is soda, and hydration, sports, coffee and tea segment grew by 6% i did speak with coca-cola chair and ceo. >> as we've learned to adapt and adjust and be flexible with how we invest and how we execute our business, we have gotten

consecutively better at delivering and driving the brands and the execution through each of these lockdowns such that our business sequentially through the year has got better when you compare it to 2019. when you compare it to 2020 everything looks easier. but when you compare to pre-covid, the business has built momentums. >> quincy's main point to me, mike, and the reason for i think the reflection in the shares and the fact that they raise guidance is that they are doing better than the overall economy in getting back to 2019 levels on volume, on revenue, it's a target he set out. and they're doing it by ramping up the marketing they've shrunk the portfolio so they're focusing on a key number of brands and they're taking learnings from around the world and using their scale to deal with things like supply chain issues the stock, though, has underperformed i asked him why he thinks he has a discount to the staples, he said because half of their business is away from home >> it's gotten a little bit of re-opening flavor to it. as a stock, it's probably at the

smallest premium for the overall s s&p 500 it's been in 20 years. it's about the same as it was around the peak -- the bottom of the market in '09. part of that's because the overall s&p is more expensive than it used to be coke used to have more of a -- i do think the idea of the steadiness with a little bit of a kicker in volume and pricing growth is decent combination and maybe a catch-up to pepsi which has the benefit of the business. >> it really stands out against the other consumer packaged good companies because they're all lowering guidance or at least struggling to hold on because of these supply chain issues. >> we are at session lows. the cow is down 236 points general motors posting an earnings beat earlier today. phil lebeau has the details for us >> this is a case with gm where the market completely shrugged its shoulders. they pushed shares of gm lower this morning as the company was

holding its conference call. here is what we came away learning about general motors. they did beat on the top and the bottom line. the chip shortage is going to be here through at least the first quarter. >> it's a bit more complex than everyone's looking at it but we are seeing stronger supply in fourth quarter we'll see stronger supply in the first quarter. we're also taking steps longer term to make sure that we aren't impacted by semiconductors or any other of the commodities or material that we need to successfully grow our ev future. >> general motors also said that it plans to see full-year profits near the higher end of its previous guidance. that didn't do much to push the stock higher you mentioned will ford. they report earnings, oh, in

five or six minutes. people will want to know any change in the guidance in terms of ev production for the f-150 lightning and its other ev plans. those really start to ramp up next year. guys, back to you. >> phil lebeau, thanks so much for that mike, just under two minutes left of the session. >> really it's the indexes falling to meet what has been a relatively ugly picture. the broadest measures of the market are showing us down more than 1% on the day and here you have declining volume well more than three and a half times what advancing volume is. that's been the case all along nasdaq 100 is down more than 1%. growth holding up decently well. these are kind of the more extreme definitions of growth and value, kind of pure value versus mega cap growth on a month-to-date basis. both very good gaines.

the s&p being up 6% month to date coming into today helps to explain stocks down, bonds up, slight rebalancing flavor toward the end of the month that's at least a piece of the story. volatility index perking up by 17 15's been the floor all year we now are bouncing off that again. you have the fed meeting coming up next week and a little bit of unsteadiness below the surface >> looks like we're going to break a three-day win streak here for the dow and the s&p 500. take a look at where we are. session lows down 250 points on the dow. and as mike said, a little bit earnings related but also just general market weakness. visa is the biggest drag s&p 500 has just two sectors positive into the close. communication services and consumer discretionary everybody else has gone red. energy is the biggest loser. financials not doing well as the

treasury curve flattens yet again. lower yields pretty much across the board. microsoft, alphabet, amazon looks like it's going to close higher big losses in the payments and fintech space. also weighing on the overall market [ closing bell ringing ] ♪ welcome to the "closing bell," everyone. i'm wilfred frost along with sara eisen and mike santoli, cnbc senior markets commentator. we nearly ended in the red on all three of the major averages. the nasdaq closing essentially flat, losing its gains likely of the major averages in that last half an hour of the trading session. s&p 500 down 0.5%. the close of the dow down 265 points only two sectors were positive by the close we've got a jam-packed hour of earnings coming your way we'll hear from ford, ebay,

teledoc, service now plus, affirm's ceo max levchin joins us to talk about the company's new partnership with american airlines to offer travelers a new way to pay he'll join us in a cnbc exclusive interview. josh brown joins us. and tasty trade's victor jones joins the conversation as well mike, to you first of all. quite a noticeable selloff and now sort of looks like alphabet, microsoft, and tesla have managed to hold onto decent gains. >> we can point to a loft different things i mentioned some of the month-end stuff. some satisfy the adverse reactions to earnings where the beat rate is still high but the margin of outperformance is not as high as you get past peak earnings who point to all these things being factors who knows if the idea that they're still not for close to any kind of idea on the fiscal stuff.

it's certainly the idea that we can't actually get there without the revenue offsets and the idea that you have another debt ceiling expiration six, seven weeks away is probably not hurting. i would say none of this would matter if the market wasn't up 7% in three weeks and a little bit tired and overbought and therefore you had an excuse for some of these things to take effect >> any change in the earnings narrative? >> i don't think it's a change in the overall narratives. it's definitely about the outlooks though. visa -- josh mentioned visa said 17% growth s they said the high end of mid teens. anything that shades as a little bit of a downturn in the enthusiasm for what's to come has been taking a bite out of the stocks this quarter. >> victor, what's your assessment of the state at play here we had a nice 7% pop over the last few weeks is it about time that we do see a little bit of another mini

pullback >> we were getting into the 15 handle in the vix. i think to me the most interesting market action today of the core market instrument what's the long end of the curve. a pretty decent move given where volatility was priced. you have a market putting on a bunch of flatteners. an aggressive fed action in the short term, has slowed growth in the long term. you've seen a pretty big flattening of that curb over the last couple of days. that's going to be bad for banks. it's going to be decent for big tech, just not necessarily causation, more correlation. and i think midterm the question is, is the market perhaps a little bit too aggressive on where the fed might go in 2022 we see a little bit of reversal steepening of that curb. and, if so, are you getting a decent entry point on things like financials which might be a

little bit, you know, cooling off from where we were just a week or two ago. >> is that what you're saying? is that what you would be doing looking at the spots that have been hit on this surprise move lower in bond yields in recent days or do you flip the script and just go toward big cap tech which does well on days like this >> i think personally i'd be playing a move on the steepening of the yield curve not to get too macro, but if we do move in 2022, as some are pricing in, you might get sort of a start and stop scenario i think you can't overprice an aggressive fed in '22 without potential for monetary conditions to tighten. i think that might be in the cards here and, if so, again, you might have -- you might be starting to build a favorable entry point for some of the financials i do think it's starting to build in a favorable entry point. >> josh, is it all to your view on the banks at all?

i know you're a jp morgan holder, when you see the flattening >> i mean, i think a lot of this is time frame. like, i don't know that the conditions today are going to persist even into tomorrow, let alone for the next two or three months so i agree with what victor is pointing out about the current environment. but i would just, like, look at my own time frame. i'm talking about the viewers looking at their own time frame, and just ask yourself, like, is today's action representative of the big picture, the real trend or is it counter trend so, i happen to think a lot of that stuff is counter trend and the real trend is higher so, i would be looking at financials if i were underweight. they've obviously had an incredible year already. you're certainly not buying them as inexpensively as you could have but i think as the curve does steepen going forward and liquidity gets removed from the system and money actually starts to be priced at something, these stocks should do well if you're

worried about inflation, financials, historically, they weather that and actually the stocks do better than the overall market in a period of normal inflation i would look at some of the redness that you're seeing around them as a chance to buy, not sell >> wanted to point out rent the runway because it was an odd day for a market debut initially the shares went up 10%. and actually they priced at the high end of the deal they upsized the deal and it ended sharply lower. and you can point to some of the financials i know there's been a lot of talk about depreciating assets i love this perspective because it's all about female empowerment. jennifer hyman tells the story about this so that women don't have to own dresses, they can buy them and rent them the women who work spend three times as more on what they wear to work than men

>> yes it's a totally interesting narrative. i get why they have traction in terms of the story line. it just wasn't the day to come out with a, we'll figure out the financials down the road, how the business model works sharing economy economics are not proven almost anywhere at this point and this is the case as well with rent the runway, even though you can find all kinds of reasons to of course that they as a leader and a kind of a pioneer in this one little segment could make it work >> ford moving 4% higher as those earnings just crossed. >> the reason that ford shares are moving higher, this is a beat in terms of earnings for the third quarter. much better than expected earning 51 cents a share the street was expecting them to earn 27 cents a share. a margin for the quarter of 8.4% the outlook, they say a couple of things that are noteworthy. the chip supply has improved, one reason for things improving

in the third quarter in terms of volumes but it's still a challenge and there's no indication when this is going to be completely resolved they have upped their full-year guidance it was previously 9 to 10 billion for the full year. now they expect to make between 10.5 and $11.5 billion they are reinstating the dividend for the fourth quarter. that is the first time since march of 2020 that ford shareholders will be able to collect a dividend and one other note ford expecting its cap x to be 40 to 45 billion through 2025. that includes about 15 billion that's going to be invested into battery electric vehicles that they have previously outlined. we're going to hop on the ford conference call in about an hour, guys but there you see shares of ford up more than 4%. guys, back to you. >> yeah, nice boost on the outlook too, thank you ebay earnings are also just

out. deirdre bosa with the numbers. >> hey, sara some mixed results here. yes, was a beat in terms of the top and bottom lines however, little soft on guidance and active buyers. so you're seeing the shares down about 2% in extended trade let me give you the numbers. coming in at 90 cents per share. that's up 11% and better than the 2.46 just slightly better than the street was expecting soft q4 revenue and earnings guidance active buyers the street was looking for 159 million. we did see a big pop at the beginning of the pandemic. it's now sort of leveling out to declining. that gross merchandise volume coming in at 19.5 billion. that's actually down 10% year over year. it did beat the street's expectations however, what's going to be

important here is the take rate. so revenue divided by gmv. remember that ebay ironically has developed its own payments system so that is helping its profitability. we're going to dig into these numbers and we'll bring it to you. could be some interesting discussion for some other moves happening in the space back to you. >> yeah, down 3.6% deirdre, thank you tomorrow squawk on the street we'll have a first cnbc interview with ebay ceo jamie iannone. >> and a penny beat was probably a little bit lower than in general. you're seeing right now so there's no doubt about it. it's had a pretty nice run it's very much a kind of free cash flow value type story in this area. also slight irony, you know, funding their own new payments system >> could've just held onto paypal >> paypal's looking for retailers to buy so who knows what's going. >> josh -- >> they're converging again.

>> just give us some reminders, pivot back to some of the other earnings movers that have declined twitter and snap do you see those as buying opportunities? >> no. i spent seven years as a shareholder of twitter it's one of my worst investments ever i think i ended up breaking even but the entire technology sector had tripled during that period of time. and i couldhave bought pretty much any other stock and had made money so i managed to buy the one that just really has not been good to its shareholders this stock is 14 points above the price where it closed its first day as an ipo. so, i have no interest in this stock up or down they're not particularly good at the advertising side they're not terrible, and there's real revenue coming in but they just have not created value for shareholders snap has been a better stock but i do feel like they are incumbered with the privacy

issues on ios. and i don't think that's a one-quarter story. i think that's something that will be a cloud hanging over these names for a while. so i'm just not there. i'm not even watching them fall. i'm not looking for opportunities there. i could be wrong i feel like these stocks are going to underperform relative to other technology names that i'm interested in. >> your worst investment ever is one you broke even on? [ laughter ] >> well, no. because it's opportunity cost and the size i had a lot of it. i was sitting on a ton of twitter -- >> but you've never had any nominal negative declines? >> oh, sure. i've lost money in thousands of stocks don't worry. i just feel like twitter was something where it wasn't working, it wasn't working, and i kept sticking with it, and i convinced myself that i'm right, the market is getting this story wrong. and, of course, that rarely ends

up it didn't end well for me. >> josh, thank you twitter closed down 11% today. teledoc numbers are out. >> that's right, wolf. we've got teledoc beating on the top and the bottom line posting a lost of 53 cents a share the estimate had been for a loss of 65 cents on the top line, 522 million in revenue that's up better than 80% from the same quarter a year ago. the estimate had been for 516.6 million. one of the areas that they came up short was on gross margins coming in at 67.7% that's down from last year, which was 67.9% and that's what the street was looking for this time subscription access fees were higher than expected at 413 million in the u.s., a little shy on international membership, the u.s. paid manipulate was right in line at 52.5 million

up now to 725,000. total visits 3.9 million that was much better than expected still, that gross margin certainly impacting the outlook for investors here even as they raise their guidance for the full fiscal yearand for the fourth quarter sara >> thanks very much for that one. down 3% in after hours victor, i wanted to pivot back to another mover of late and today of tesla and just see what you thought of that extraordinary surge there. it's obviously involved a lot of options action as well >> yeah. i think, look, it relates to the reactions i think we've seen in gm and ford. if i could take you back to ford and i'll bring it all the way full circle to your question here the interesting thing that you're seeing is a difference in management teams gm, i think a lot of the street expected both gm and ford to come out in beat and raise

i think the street punished them ford, on the other hand, they beat earnings expectations they raised guidance as well and i think that's what the street was looking for you see a move of 4% to the up aeside that's exactly what the street is looking for i think in 2020 tesla went effectively it went vertical i think you've seen it take a pause in early 2021 as you had effectively a catch-up trade between gm and ford as tesla had a market cap that bested the rest of the major oems i think you have an interesting trade happening. the hertz and uber deal created massive upside market cap for tesla. and at some point in time for solid management teams you have to believe that if one is true, does it create an opportunity for ford to have sort of this follow-through, gm to have a follow-through so, the more of a spread there is between those two market gaps, i think the more interesting the catch-up trade becomes. and it seems like ford is managing through this chip shortage and pandemic situation

a little bit better than gm, at least in the previous quarter. >> are you guys seeing decline in volume in users like robinhood? >> no, quite the opposite actually i actually think the reaction on robinhood's earnings is really interesting for the simple fact that people -- let's rewind three months this was a $50 stock and it just spent the last three months making its way down to 40 now you have to ask yourself why was that it's because they were really aggressive in sort of warning on lower volumes and quarters ahead. which is sort of a head scratcher because it's seasonally a stronger time for trading. and the revenue seemed to be overweighted to doge to get it here and you effectively get exactly what was sort of said and effectively priced into the market, you need an additional 8% downside, i think interesting, and i think josh's point is 100% this is at the moment it's a

pure dart story. and what is consistent is option starts their options business last quarter was 165 million. they do 52 million in equities last year. they do 50 million this quarter. what is volatile is the cryptocurrency component and unless you see shoulibu goi next month, i don't know if that changes either and i think the pressure for diversifying the revenue soars, i think that just starts to heat up because if you're running a purely transactional business you're at the mercy of volatility in a market where everybody's talking about inflation, value overgrowth, that's not exciting. if that's what we're going to see over the next six to nine months with muted potential upsides, you have some potential headwinds ahead as well. >> shiba inu, i think it's rapidly approaching the size of doge thank you both we're out of time.

spotify seeing a nice pop after reporting earnings this morning. up next the company's cfo joins us exclusively to talk about the quarter anwh's dvi td atringhat growth we're back in just two minutes on "closing bell."

moving is a handful. no kidding! fortunately, xfinity makes moving easy. easy? -easy? switch your xfinity services to your new address online in about a minute. that was easy. i know, right? and even save with special offers just for movers. really? yep! so while you handle that, you can keep your internet and all those shows you love, and save money while you're at it with special offers just for movers at xfinity.com/moving.

let's start off with service now. q3 results just crossing here. they're looking for eps of $1.55 versus expectations of $1. q4 they're looking for subscription revenue year-to-date this one was up about 20%. it was only about 3% off its all-time high that it hit, remember, on monday. also tulia reporting q3 results. those also just crossing eps of one cent at a loss per share 15 cents was what they anticipated.

for q4, they're forecasting a loss per share between 23 and 26 cents that's wider than expected it was expected of around 8 cents. revenue between 760 and 770 million versus expectation of 745 million. heading into this print, this was up about 25% off its february high and down about 10% in the past three months back to you. >> josh, thank you tomorrow we will talk to the twilio ceo about these earnings. shares of spotify popping today after reporting q3 earnings the company beating revenue estimates, seeing strong user growth and paying subscribers, both up 19% from last year joining us is paul vogel, spotify cfo. so, paul, certainly the market liked the quarter operating profits also good, users, revenue. what's driving the improvement for you? >> well, i think it's a number of things. i think first of all we're really pleased with how we did in the quarter

as you mentioned, our user growth was really strong, up 19% to 381 million users and our revenue growth at 27% was really, really strong. i think what's really impressive in the quarter was our advertising growth up 75%. that was led by really strong growth on the music side it was led by triple-digit growth on the podcasting side. we showed advertising growth really helped propel our revenue growth to one of the best revenue growth rates we've had in the last couple of years. our gross margin was better than the market was looking for for a 26.5% gross margin and as you mentioned that translate neighborhood a bottom line operating profit. this is a third quarter in a row we've had positive operating profit we have positive free cash flow. in general we felt like our top-level kpis, our users and subscribers performed really well >> so, on the margin story, talk

to us about what kind of improvement we're going to see from here. this is really what the stock moves on and you've promised that you could get to it in the 30s it's been in the 20s i know the music labels are all concentrated and that costs a loot but are we at an inflexion point for you in the margin story? >> there are a number of factors that helped. better advertising so we get better leverage both on the music side but particularly on the podcasting side with better advertising. so that's really helpful we've talked about our marketplace strategy of giving tools and services to creators and labels and that's been positive for us. we've also actually done some things that are not as noticeable on what other costs of revenue streaming, delivery and payment fees things that people don't really think about. we've been able to get leverage on there i think we feel really good about the gross margin story i think we still believe wholeheartedly that 30% plus long-term gross is in our

future >> it's rare on this quarter, at least, to hear app-based tech companies talking about advertising growth you haven't had any effect of the apple ios change >> we had a really great quarter. i think for us what's been really helpful is we have a ton of first-party data. that has helped translate into good engagement and good measurement for the advertiser so they want to be a part of that ecosystem because of the strong first-party data we have. and i think also podcasts in general are doing really well. we've had great engagement we've had great growth there so as we've had more impressions, the demand has been really, really strong. our impression growth was significant. it led to better cpm growth across music and across podcasting we feel good about the health of the advertising business we've invested a lot in tool and technology and we think we're only at the beginning of where advertising can go for us. it's about 13% of revenue in the quarter. that's up from 9.5% where we ended last year. i think we talked about we

believe advertising can be 20% plus of our business maybe even beyond that so we'll have to see >> what about prices i know you somewhat recently took your first ever global price increase is this something that you can consistently do over the years like a netflix >> yeah, we'll see we test pricing all the time in the price increases we've already taken, when you take price increases you're looking at two factors does it impact your gross intake do you lose people who might not now come in because of price increase what we've seen in the markets, there's really been very little impact to gross intake or churn. everything has been kind of in line to slightly better than expected we'll have to see about that and for us it's always about testing and learning we have a number of different price points in the market from our standard plan, our family plan, our student plan, our duo plan, and so we're always looking at what's the best thing for creators, what's going to grow the most users and most subscribers to grow our business

what's going to be best for the users to have differentiated products and services. >> in terms of the negotiation with musicians in terms of what cut they should be getting from streaming revenue, you're proposing 10.5% going forward for the next period of time. they want potentially double that what's a win for spotify is 10.5% a win is a couple more percent more than that still a win? >> yeah, i don't know what a win is i think for us we want to pay fairly across the ecosystem. we've paid over 5 billion to rightsholders last year. we've paid 23 billion to rightsholders since the inception. for us it's about the right balance. we want artists and creators and everyone to be compensated fairly >> and just one final question did you see in the data that you're tracking any level of return to work effect on whether it's podcasting or music do you think more commuting helps you or hurts you what's your take >> yeah.

so we've seen engagement trends across all of our major markets actually have improved so north america, europe, latam. we've seen engagement improve. and we're seeing sort of more return to normal and return to things that you would expect commute times are going up in-car listening is going back up again we've seen that more return to normal and we think any time people are out and about, any time they have a reason to listen to music or listen to a podcast will be really good for us we're encouraged that any more sense of return to normalcy will be positive for us >> good to see you, thanks for joining us it's been another busy after-hours earning session. we're going to dig into those results with an analyst right after the break. plus, fly now pay later? affirm ceo max levchin will join us to talkbo t authe latest partnership for his company.

♪ ♪ wow, we're crunching tons of polygons here! what's going on? where's regina? hi, i'm ladonna. i invest in invesco qqq, a fund that gives me access to the nasdaq-100 innovations, like real time cgi. okay... yeah... oh. don't worry i got it! become an agent of innovation with invesco qqq ♪ say it's all right ♪ yeah... oh. ♪ say it's all right, it's all right ♪ ♪ have a good time 'cause it's all right ♪ ♪ now listen to the beat ♪ ♪ kinda pat your feet ♪ ♪ it's all right ♪

♪ have a good time 'cause it's all right ♪ ♪ oh, it's all right ♪

shares of ford moving higher at 3.7% on the back of earnings, beating analysts' expectations on both the top and bottom line. why the share price jump, in your eyes? >> sure. thanks for having me this was a significant beat adjusted earnings came in at

51 cents the consensus was 27 so, this was the sixth straight quarter in which ford has come in ahead of consensus. importantly in the release what they cited for the beat was improved supply of semiconductors, which in our view has been the primary overhang on the stock in recent months so, if things are improving there and they've also raised their full year adjusted earnings guidance by about $1.5 billion very, very solid release and i think that's what you're seeing with the shares trading higher after hours >> so, how do you put that, garrett, next to gm, which had a different kind of report today >> sure. the problem with gm's release is they reported a good quarter but the implied guidance for the fourth quarter was below consensus. so, they raised their full-year guidance but when you back it out, the q4 earnings are going to be disappointing relative to where

consensus was. so i think that's why you saw the stock, that stock trade off today. >> are they having a harder time with the chip shortage than ford or is everyone just sort of dealing with it the same way >> it certainly appears that way. year-to-date ford has struggled more with its semiconductor shortages than gm. but clearly something has changed here recently whereas ford has ample supply of semiconductors and, frankly, has a lot more product momentum with their vehicle mix when you look at the new bronco, the f-150 lightning, the maverick pickup and other vehicles such as the mustang mach-e we like ford a lot more than general motors here. >> so does the market, at least in after hours thank you, garrett good to talk to you. ford shares surging more than 4% still ahead, a new partnership in the buy-now-pay-later space.

we'll discuss affirm's latest deal with ceo max levchin, next. and later amazon giving investors a key read on how the supply chain issues might be weighing on its bottom line. 'lte ywel llou what we'll be watching when "closing bell" comes back

(rhythmic electro rock music) (crowd cheering) - bito, bito, bito, bito! - [announcer] bito, the first u.s. bitcoin-linked etf.

welcome back time now for a cnbc news update with shepard smith >> wilfred, thanks for the news. the assistant director who handed alec baldwin the gun that killed the sinning toer hylane hutchins said he did not check it enough. they also confirmed there was a live round in that gun investigators say it's too early to tell whether criminal charges will be filed but the sheriff said there was complacency on set that safety issues that need to be addressed by the industry. it's apparently back to the bargaining table on the iran nuclear deal iran now says it's will hg now to explore reviving the deal

tehran's chief negotiator says they'll restart talks with european allies at some point next month iran started enriching uranium again when the trump administration pulled out of that deal three years ago. carly lloyd one of the most celebrated women's players of all time had her final game last night. carly lloyd leaves the pitch having won two world cups and two olympic gold medals. as for the game, the u.s. beat the south koreans 6-0. tonight the extreme weather as the storm system stretches more than 1,500 miles from the plains to the gulf coast on "the news" right after jim cramer 7:00 eastern cnbc sara, back to you and the rest of the "closing bell" team, which lost an inspired dodge ball match to the news team this morning 3-0. >> we did. >> we heard you with cnbc. >> i don't know about that, but your team came together very well indeed.

but it was great to meet more of your team and to see more of our team in person >> i just wonder how different it would've if you and i had got in on the action >> i would have been broken and bleeding on the court. >> i think i would have been pretty good. i think small people are more nimble at dodge ball >> we'll be back we'll see you next year for the rematch. >> good rivalry there. you got this one congrats to the news team. we've got a news alert now on starbucks kate rogers is here with that. hi, kate >> hey there, sara starbucks announcing wage hikes for its workers in late january 2022 partners with two or more years of service can receive up to a 5% raise, and those with five or more can receive up to a 10% raise. now, in summer of 2022 the average pay for all u.s. hourly workers will be nearly 17 an hour and will range from 15 to $23 an hour. that'll be based on both the

market they're in and tenure current hourly average wages are $14 an hour. and the company also says that more than half of its workers make about $15 an hour right now. it's adding recruiting specialist as cross u.s. markets. and it's also extending its $200 referral bonuses to help attract and retain workers in this ongoing tight labor market we also want to give you an update on an earnings report from china's third quarter its eps and miss year 22 cents adjusted compared to 31-cents that was estimated comps were down 7% overall we knew it would be a tough quarter thanks to the spread of the delta variant over the summer in china. the company adding a few headwinds for the fourth quarter. sales deleveraging impact, rising commodity prices and wage inflake. the stock was up about 1%. fly now, pay later, a firm

launching a new partnership with american airlines today. this comes as the payment platform deals in place with other travel companies such as price line, expedia, and vrbo. affirm's ceo max levchin joins us now in an exclusive interview. max, thanks for joining us >> great to be here. thank you for having me. >> so, american airlines, the news today just one of many that you kind of seem to be continuing to add to your partnerships and this is for, what, flights of a certain price only or all flights? >> flights above $50 i think that covers quite a lot of it. it's definitely hugely exciting for us to add american and just to get another meaning partnership. they are a partner of choice i'd really like to believe all companies but certainly companies that have quality in their partners both from the

scaleability and transparency. so we're super proud to announce it just in time for the holidays, too. >> certainly on a good run, max, in terms of financing those new partnerships and walmart and amazon and massive names not just many names. my question on that is how water-tight and long term are the deals that you're announcing i was looking through the terms that have been announced in press releases where we can find them it seems to be sort of a three-year deal mostly are you a little bit worried that in those three years' time they could kind of evaporate as quickly as they've arrived >> um, you know, obviously being a public company and all, i think the industry in general is turning to partnerships that are forged in the quality and value and alignment as opposed to ten-year exclusive partnerships like it or not which is

certainly the battle so we bring to the market something really unique and special. we are exceptional at risk management as our numbers continue to show we are a real technology company. we built great products with fantastic engineers and continue scaling with our partners. and we treat the customer right. really have figured out how to be the right partner for our consumers. i think that's what makes great partnerships especially so with companies like walmart, like american airlines and amazon where customer obsession is at the core of the dna. i think you can try to lock up your partners but if you're treating your customers wrong they're going to find an alternative. if you do what's right by them and by the partner, you have partnerships that stand the test of time. we've shown over many years now that all partnerships exclusive or otherwise one year renewable or three years exclusive typically continue and continue

on and both sides continue to be quite happy. >> it's a good point because i was going to ask you about the exclusivity factor because amazon, as i understand, is not exclusive to you, correct? >> we announced that right after we announced the amazon deal >> are the other ones including american airlines also not exclusive? >> the american airlines one is in fact exclusive for installment pay for three years. >> i want to ask, max, about the risk that there's a consumer credit bubble building or perhaps it's already built but i get that your personal risk management is excellent but we've seen a massive growth more broadly in buy-now-pay-later. do you think that is also a massive growth in the amount of debt-fueled consumer spending? or is it a market share shift within how consumers are

spending via leverage, via debt? are there any concerns that you have more broadly there? >> it's a multilayered question and a really good one. so, generally speaking, the foundation of our approach to risk management, vis-a-vis consumer, in total alignment with their financial interest. we don't charge late fees, we don't compound interest. we don't compound past the -- whatever we tell you your interest will be this many dollars, that number is the final dollar, the price does not change all of those steps that were taken ten years ago specifically to make sure that we only come out the right way when the consumer behaves in the financially healthy way. and, so, in that sense, our incentives are fully aligned with the merchant and the consumer in terms of the overall spend shift relative to credit cards, et cetera, i think there's definitely some of that.

but vast majority of what's really going on is you have millennials and gen-c consumers that actively opted out of the credit card system in the first place. their answer to the, hey, put it on the card and let's just compound it and maybe you'll die in debt is no thanks whatever i'd like to do is primarily live out of my debit card and affirm and just the overall buy-now-pay-later but certainly we think ours is the best, as far as solutions go, is there to help people like that and like-minded other generations to spend money in a way that feels more responsible, that gives them more control, that gives them a sense of safety in that sense i think we're expanding what the merchant can book as opposed to taking something away or shifting and i do agree that risk management overall both industrywide and to the consumer is truly important that's why -- i always brag about it as our number one

differentiate for affirm we think we're in a really good position there >> on a related note i was going to ask you about how you feel about the traditional payments companies and the when you're trying to just intermediate the networks of a visa or a mastercard on whether you actually need them whether you're paying by debit or credit card >> so, that's exactly right. in general, payment industry is one of competition where you inevitably end up with partners that also offer competing products and the other way around visa, mastercard, et cetera are sort of national partners for us over the last 40, 50 years they put down all the plumbing, if you will, bring acceptance and also repayment pipes to consumers and to merchants so in that sense those are great partners of ours and we have lots of things both visible and not that we're working on.

for example, our previously announced debit plus card will obviously run on both affirm stack as well as sit on one of the traditional card rails that said, people that issue credit and especially the ones in my opinion that issue credit that revolves and has deferred interest and all kinds of yucky features that i think consumers should just not be putting up with anymore, that's the national competition that's where we think we have a right to play and win. >> on the yucky feature. >> i was about to say yucky features [ laughter ] max levchin, thank you for joining us see you again soon >> thank you so much after the break, will history repeat mike santoli looks at this year's run for the s&p 500 and how that compares to previous setups plus, microsoft and alphabet were winners today will amazon and apple get their own earnings pop tomorrow? wl evwatch out.

weilpriew what to watch out for when they report [suitcase closing] [gusts of wind] [ding] when you hear the word healthy, it always feels a little out of reach. that's 'cause the way we're thinking about it is all wrong. so we made a healthier song. for some folks it's like baby steps. maybe it's a jump or eating something green. or taking mom to get that vaccine. ♪ healthier means bringing stuff to the folks ♪ ♪ that really need it. ♪ ♪ like millie's meds straight to her door or care at home. ♪ ♪ believe it. ♪ ♪ sometimes it's healthier to laugh. ♪ ♪ other times it's healthier to cry. ♪ ♪ we'll work through it together. ♪ ♪ when it works for you, drop on by. ♪ ♪ 'cause healthier happens easy ♪ ♪ when you just give people access. ♪ ♪ for bob it meant admitting ♪ ♪ that he needed reading glasses. ♪ ♪ healthier comes in all these ♪ ♪ different shapes and sizes. ♪

♪ and ages and races and faces and eye-ses. ♪ ♪ and caring for them all means ♪ ♪ we're doing healthier right. ♪ ♪ so, let's do it all together people, ♪ ♪ 'cause this is what healthier looks like. ♪

stocks fall back off record highs. let's take a look how the s&p 500 are tracking compared to other years in recent history. >> a couple of years in particular since the beginning of 2021,

2017 and 2013 as prior years that could be precedent for this year both post-election years, both came after market shock, economic volatility. both of those years had rele relentless rallying. we didn't see a 10% pullback in those years. where we are right now is between them it started climbing, had a pullback and rose to a 20% year-to-date return. we did get bumpiness into early november and then a strong finish to the upside there also followed both of those years. a little bit more of a tougher and stingy market. this is what it looks like on a year-to-date basis not more than a 6% pullback.

that was almost maximum in 2013. 2017 it didn't get that fall can't say for sure, but so far the rhythms are matching up nicely we just heard from ford and ebay those moving in opposite directions, next i'm searching for info on options trading, and look, it feels like i'm just wasting time.

that's why td ameritrade designed a first-of-its-kind, personalized education center. oh. their award-winning content is tailored to fit your investing goals and interests. and it learns with you, so as you become smarter, so do its recommendations. so it's like my streaming service. well except now you're binge learning. see how you can become a smarter investor with a personalized education from td ameritrade. visit tdameritrade.com/learn ♪ in business, setbacks change everything.

visit t so get comcast/learn business internet and add securityedge. it helps keep your network safe by scanning for threats every 10 minutes. and unlike some cybersecurity options, this helps protect every connected device. yours, your employees' and even your customers'. so you can stay ahead. get started with a great offer and ask how you can add comcast business securityedge. plus for a limited time, ask how to get a $500 prepaid card when you upgrade. call today.

a quick check on this afternoon's earnings therewere a lot of them. they all topped estimates on the top and bottom line, but the moves are mostly lower with the exception of ford. maybe having to do with the outlook, like you were saying. rkrd boosted its outlook and the maet liked it. after the break we are looking for apple. we will tell you the other names that should be on your radar when we come right back. iquis. eliquis is proven to treat and help prevent another dvt or pe blood clot. almost 98 percent of patients on eliquis didn't experience another. and eliquis has significantly less major bleeding than the standard treatment. eliquis is fda-approved and has both. don't stop eliquis unless your doctor tells you to. eliquis can cause serious and in rare cases fatal bleeding.

don't take eliquis if you have an artificial heart valve or abnormal bleeding. if you had a spinal injection while on eliquis call your doctor right away if you have tingling, numbness, or muscle weakness. while taking eliquis, you may bruise more easily and it may take longer than usual for bleeding to stop. seek immediate medical care for sudden signs of bleeding, like unusual bruising. eliquis may increase your bleeding risk if you take certain medicines. tell your doctor about all planned medical or dental procedures. what's around the corner could be a different game. ask your doctor about eliquis. ok, let's talk about those changes to your financial plan. bill, mary? hey... it's our former broker carl. carl, say hi to nina, our schwab financial consultant. hm... i know how difficult these calls can be. not with schwab. nina made it easier to set up our financial plan. we can check in on it anytime. it changes when our goals change. planning can't be that easy. actually, it can be, carl. look forward to planning with schwab. schwab! ♪♪

everything you've seen me do was made possible by what you don't see. cause when you're not looking, i go to work. ♪♪ strength isn't a given. it's grown. it's earned and tested. ♪♪ we all have the strength to see what's possible. it's up to us to unlock it. tonal. be your strongest. our retirement plan with voya, keeps us moving forward. it's up hey, kevin!lock it. hey, guys! they have customized solutions to help our family's special needs... hey, graduation selfie! well done! and voya stays by our side, keeping us on track for retirement... ...giving us confidence in our future... ...and in kevin's. you ready for your first day on the job? i was born ready. go get 'em, kev. well planned. well invested. well protected. voya. be confident to and through retirement.

welcome back more earnings ahead -- all reporting tomorrow don't miss our interview with shopify president. one thing i have been dying to talk about is bank of canada >> i can't believe we haven't hit it >> it has been one of the

factors in moving yields >> they abruptly stopped their asset purchase program today and indicated a near term tightening rate as a result, in general, of higher inflation expectations, it is assumed that higher response will come it may not be perfectly precise and correct, but that's been the direction. >> they are moving towards interest rate hikes. there is one in for april. i thought you were flattering me, but you were just mocking me brazil will be up next i think what is interesting about some of these central banks ready to move. we will see how the market treats the credibility question and are central banks getting too ahead of inflation >> i wasn't really mocking because i think it's interesting. bank of canada is tighting a bit

sooner than feds you are fearful of a currency collapse if inflation gets out >> they can't afford to be more patient. they will want flexibility with the statement next week. you have to move fast. >> it will be a juicy fed meeting next week. i cannot wait. that will do it for us "fast money" begins right now. >> this is "fast money." i'm melissa lee. tonight's lineup -- tim seymour will join us in moments. tonight the trillion dollars test will earnings send stocks soaring? speaking of cards, the chart master said it's time to put the brakes on this