an uptick. >> yeah. thank that's an interesting point. in other words, now they have a playbook they have experience they have some history with doing this and they can pivot more easily to a hybrid kind of delivery method. mr. otis, thank you very much, we appreciate your time today. >> thank you all right that does it for "the exchange. "power lunch" with contessa start right now. hi, contessa. >> hello there, tyler. and welcome, everybody, to "power lunch," i'm contessa brewer with tyler mathisen ites nice to be here hang on tyke, market volatility is back. our market expert says this hour the best way to navigate it is diversify away from the s&p. crude oil could hit a record next year, we will speak to an analyst behind the report that says it could reach $100 a barrel.

mall stocks are down will the last-minute rush of holiday shoppers this weekend be enough to turn around that trade? >> they are moving everything here, moving stuff left and right. now i come here. there is a lot going on in the market let's start with the major averages the dow getting hit the hardest, but off the lows of the session. at one point i think it was down 600. now down 300 the s&p, 4665, down about a quarter of a percent it had been down lower the nasdaq in and out of positive territory, now in positive territory, up about a half percent it had been down 1. % at session lows testry market yields are moving higher on comments from fed governor christopher waller, steve liesman was reporting it on, that march is now a live meeting for the first interest rate hike. on that news, the two year is

up, 6.42 let's get to the steve liesman, who broke the news. >> tyler, a hawkish fed governor chris waller not holding back on details of his outlook saying that, quote, march is live meeting for the first rate hike, end quote. and the fed will act depending on the economic at the time. he also said they should start reducing the balance sheet as soon as june he said there is very little cost to the financial system because banks don't need the trlsz of reserves that are out there. he said that a beat of 20% of gdp is reasonable compared to the current 35%. now there is a 56% probability of a march rate hike just about an hour ago it was underneath 50. you can see that's all ratcheted up across the system there, across the whole term structure there. 85% chance of a hike in june then you start getting into the possibility of a second hike in

july and a third by december remember, the fed officials did forecast three rate hikes. the two-year as well, it is off a little bit from how high it went, but it spiked up it had been odd that it didn't respond to the fed waller also same inflation is alarmingly high, persistent and has broadened and increasing the funds rate is warranted after the asset purchases. and it was in the q and a that he put the march date out there. it was out there, and not well appreciated. ow but now it is being appreciated. stocks didn't seem trbld by it the bond market moved on it. >> my question is about the balance sheet and why that is so important. if the balance sheet contracts, that basically -- and the bonds then that are rolling off,

maturing, don't get replaced, that means that the fed is putting less money into the economy, right and that's why it is such a critical point of interest >> yeah. so think about this in two separate stages, tyler tapering or ending asset purchases means when the government comes out to sell bonds, the fed is not going to be a buyer that's one state of affairs that the market seems pretty much okay with. the idea of reducing the balance sheet means not only is the fed not buying, it will be unloading securities or at least letting them roll off and not buying when they are reissued that's a different state of affairs. waller went through some details as to why he thinks -- i think he's at he said $1 trillion or $1.5 trillion could come off easily on what's happening in the reverse repo but that's his gauge fed chair jay powell was burned when he went to do balance sheet

reduction in 2018-2019 he retreated from that position, reversed and stopped reversing the balance sheet. we went into this pandemic with a $4 trillion balance sheet. it is $9 trillion now. waller also said something that is very true, there is no playbook for what to do with a balance sheet for a federal reserve or any central bank at all. this is uncharted territory, both the size of the balance sheet and how much it should be at but one thing for sure, the fed unloading the balance sheet will reduce liquidity >> the 2018 moment you just referred to, he had a very strong critic in the white house at that timethat i think probably pressured him to reverse course just a bit there. steve liesman, thanks. the market can't seem to figure out how it feels about the fed going into 2022. our next guest says the best strategy might be to steer away are the s&p altogether one of the things that stands

out in my notes is that thig back to gordon gecko who said agreed is good you say fear is good >> the outperformance of the s&p 500 may be going back all the way to since the financial crisis, i think it has been based on fear. when people are fearful they are still going to invest in the stock market perhaps but what are they going to do go into the largest blue chip most well financed companies and those that have an independent growth source not related to the economy if they are concerned about that that's large cap growth, new era, tech, that's been dominating everything else as we head into 2022, the relative p/e valuation of everything other than s&p is cheap, everything but the s&p

500. and the key to getting people or other parts of the market to outperform, i believe, is lifting comp on -- i think we have a shot at that sometime next year. i think the two biggest fears we have had, tyler, of late is covid and inflation. and i don't know what's going to happen, but i suspect as we move through 2022 we are going to move covid in our heads from a pandemic to an epidemic and move on and i think inflation will moderate even if it doesn't return to 2%, if it just starts to moderate, that will eliminate a lot of intense fear of runaway inflation. if we lift confidence, i think that's going to run through the market in a big leadership shift away from large cap growth stocks, more to the broader marketplace that i highlighted we just haven't had this entire covid crisis a period of

confidence, really. >> more than that, jim, you are even highlighting in your newsletter that if you go back and look to 1950, that these periods of massive increases for inflation for cpi have been followed by relatively good stock market performance lay it out for us. i am looking at the 70s here we think we have it bad now. in the '70s they walked uphill both ways. >> when you go back, i can't remember the exact number but this would be the 14th major spike in inflation since 1950 if we are peaked out around 10% here send of the previous 13 was one year after a peak resulted in very good s&p 500 gains. the average for all 13 is something in the ballpark of 13%. but the average for the ten was closer to 20% returns after inflation peaks. you don't have to -- you can say

inflation could stay elevated. if you just think it is close to a peak, that's traditionally been a really good time for the stock market in the coming months after that. you can kind of see why people are fearful of inflation running away, and when they find out it is not going to do that it's a relief. >> the other thing we are hear so much talk right now about the fed about the potential for the flattening yield curve and what it could mean for markets. yen you are looking a the low yields and saying this could be a gift explain why. >> i look back at 1926 and looked at all -- >> way back. >> all periods, all months when the ten-year bond yield was 3% or less, contessa. and it has happened about 25% of the time in our history. and we are in that world right now, of course and whenever that's been the case, the stock market has generated about 21% annualized returns compared to the other 5% of the time b 10%. not only that, it has fewer declines by quite a margin

compared to what you normally have so we look at these low yields, worry about them going to zero or negative, i am thinking this is a gift. there are so many investment generations that have passed that would trade places with us today in a heartbeat to take advantage of a sub-3% interest rate world i think we ought not lose track of that. it is such a favorable environment for business and for earnings and for valuations. >> i don't want the leave the viewers without a selection here you say avoid the s&p 500 broadly. you like cyclicals give me a security that i can buy that does that, quickly. >> well, i don't have a security per se, but i -- you know certainly like the financials. and i particularly like the consumer discretionary space i would use the equal weighted etfs to do that. and that moves you away from the large cap kind of s&p names.

i think consumer stocks will do better than people fear at the moment in part because both commodity prices with going to be less of an attack force on them and consumer confidence is going to lift. >> qua weighted etfs that by definition tear you away from the mega mega mega mega cap stocks whose names we know but won't mention here jim paulson, thanks. >> bitcoin prices trying to climb their way back from this morning's dip. but the bitcoin bulls are betting it's about to break out of its range kate rooney has more on this hello, kate in contessa, yit has been a rough month stuck in the 46,000 to $48,000 range since the crash a couple weeks ago. it ticked below $45,000 this morning. bouncing back a here right now, $47,000. it is still $20,000 from the

all-time high earlier this year. ether is down as well. it is outperforming bitcoin this year it has been up 4%. according to fundstrat in a note to complaints it seems better set up on the technical side for a bounce heading into january. crypto really has seen more institutional adoption this year and is becoming a bigger slice of main treatment portfolios as a result, it has also been reactive to events rising interest rates, one of the reasons the tech trades sold off. they have been grouped in with that other things may be related to some of the selling and the weakness there bulls saying the case has never been stronger as d.a. davidson put it in a note this morning, especially with inflation right now at multidecade highs that firm expecting some of the

adoption to propel bitcoin into 2022 amount of rough month for the crypto related stocks as well the mining companies, those are those companies that run the high-power computers to create new bitcoin. marathon digital, riot, hut rate, down 46% for the month coinbase, block, formerly known as square and robinson also seeing weakness. robinson down more than 41% for the month. >> thanks very much kate rooney. coming up, the recent decline in oil prices may not last. will crude hit $100 a barrel next year? goldman sachs says yes. are industrials heading into an era led by disruptive technologies we will have an analyst on that. and coal stocks moving higher on a report from the iea that coal-fired power generation could hit a record wo w!

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for the foster kids who need it most— at helpfosterchildren.com welcome back to "power lunch. i'm kristina partsinevelos much like the broader market, the energy sector is doesn't about 1.5% right now with valero energy and phillips 66 you could throw into positive territory

today. hess codown about 4%, the biggest drop phillips along with occidental petroleum and hess have seen some of the biggest drops, more than 20% from their 52-week highs. month to date, hall burton, valero and marathon are all roughly 3% higher. >> the energy sector may be sliding today as oil prices drop but my next guest says crude could hit $100 a barrel as demand outpaces supply over the next two years joining us now, the head of energy research at goldman sachs. why is your rediction that we could see $100 her barrel of oil? >> next year we will see higher prices, about $85, with upside risk if iran doesn't happen. usually high prices get supply to respond i think when we take stock so far of that supply response it has been slow.

it creates risk that we need actually more and even higher prices to balance the market in 2022 and 2023. i think that's the key '21 was the vaccine-led recovery and demand '22 and '23 is the bull market will supply will be tested. >> the second path is that the supply of oil can't meet the demand as the economies reopen how does virus and all the variants we experience play into that path? >> that's a short-term risk to oil demanded right now another wave, which can lead to some demand destruction. although so far you don't see it in plane numbers you don't see it on mobility numbers. this variant has had a very limited impact you have to take the forward view that the global economy has become more resilient to the virus and that through vaccinations, eventually demand increases. but keep in mind just a few weeks ago we actually hit

precovid demand levels because we have record high gasoline demand, record heidi sell demand, record high plastics demand making up for what is still lost on the jet side as that continue next year you will hit new record highs in demand the upside comes from a full reopening of international travel is that talk to me about natural gas. >> on the natural gas -- we are in winter, right, so we are having a peak demand it is cold in europe that's exasser baiting the demand fwhen you still have low flows from russian you are at historically low levels of inventories and the system is trying to reserve sufficient supply to make it through the winter the function of price right now is to reduce demand on the industrial side and to balance that is the textbook example of high prices to achieve demand destruction when you are short

hydrocarbon supply from here, what happens? if weather becomes average for the rest of winter and russian flows increase a bit you will make it through. but those are two big unknowns and the market has to try to preserve those inventories today. expect highly volatile prices and potential upside risk from here as we try to make it through winter. >> back to oil for a minute. $85 a barrel is oousz your base thesis for 2022. maybe 100, maybe 110, that's 30 or $40 before where we are right now in west texas. what is the risk to your hypothesis. >> sure. >> what could happen that would cause that $85 a barrel hypothesis to be $65 let's say. >> it is 85 base case. in the absence of a return of iranian volume, it will be a $95 outcome. that's the base case that's plan a, high net prices,

which would still be on average the highest we have seen since 2013 with that spry response. if demand beats to the upside. if we have disruption, then insubpoenaive price rises further. that's when you could hit triple digits to the downside, to justify $65, you have to assume a relatively large hit to demand. demand that really pushes -- a warrant that really really pushes back the reopening effort there is not that much spare capacity in the system that producers would be ramp you go up that aggressively to keep prices lower keep in mind, saudi, uae, russia, have the ability to produce a lot more if the rest of the word is not ramping up there is no incentive for them to defend market share. that's a key to our world today.

a downside would have to be a demand drop. >> if you are looking at such limited supply on hand, damian, then when you have an unexpected issue like a hack attack on the colonial pipeline or a super winter storm in texas that takes down the infrastructure in texas for a bit then you are really feeling that squeeze in ways that -- they are unpredictable these are unpredictable risks. >> let's take stock of where we are. global inventories of oil are now below precovid levels. we are at 2013 level of inventories. by next summer, opec's inventory will be fully normal at that point a outage of 1 million a day as we have seen over the years brings the market into a precair carryious position and that's when you get the upside risk to prices in an attempt to balance. >> thank you for joining us today.

>> thank you. damian korveland. next, a covid surge gripping new york the uk reporting its next highest number of daily cases since the pandemic started hospitalizations and testing lines are climbing all ahead of this billy -- busy holiday -- or billy lihoday -- she's good, right? those details are next i promise to be a careful steward of the things that matter to you most. i promise to bring you advice that fits your values. i promise our relationship will be one of trust and transparency. as a fiduciary, i promise to put your interests first, always. charles schwab is proud to support the independent financial advisors who are passionately dedicated to helping people achieve their financial goals. visit findyourindependentadvisor.com [uplifting music playing]

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yeah, that's more like it. i'm leslie picker. here's your cnbc news update at this hour. dramatic testimony today from kim potter the former suburban minneapolis police officer standing trial for killing and shooting a black motorist during a traffic stop she said as he was trying to escape she thought she was using a taser. >> we were struggling. we were trying to keep him from driving away it just -- it just went chaotic. it -- and then i remember yelling "taser, taser, taser" and nothing happened and then he told me i shot him

>> and news in the last hour, southwest airlines says its ceo has tested positive for covid with you is experiencing only mild symptoms. just two days ago, gary kelly testified along with other top airline executives at a senate hearing. southwest says he is fully vaccinated and tested negative multiple times before that testimony. one of the biggest concerns for investors is covid and the rapid spread of the omicron variant. officials are urging people to take precautions, expands testing, all of this ahead of the holidays meg tirrell is following the latest developments. hey, meg >> hey, tyler. so the cdc warning today omicron is spreading quickly and expected to become the dominant variant in the united states within the next few weeks as we have seen start to happen in other countries. this as transmission rates are considered high or substantial in 90% of the counties in the

u.s. we know a lot of this has been delta. there are 124,000 cases being reported every day right now that's up 30% over the last two weeks. more than 1,200 deaths every day as well, up more than 20% over that time frame. so as the balance between dealt and omicron starts to shift, we are getting this advice from the cdc how to protect yourself. here's what dr. wallensky said we have vaccine. we have boosters and we know multilayer protection strategy, mask in public indoor settings, practice physical distancing, frequent hand washing, improving ven venation are vitally important especially as we prepare for more omicron. >> all the steps that we have been using this entire time. what we are hearing is that hospitalization rates although they are rising they are not at the levels we saw at the peak

last year. we have got vaccinationed out there and a lot more protection. but there are a lot of concerns about health care capacity you are starting to see elective procedures get put off and also testing capacity start to to get strained again. >> i feel like the concern has gone from zero to 62340 the space of just a couple of week days incredible thank you for staying on top of it. ahead, extreme volatility in the market, between covid officers, supply chain impact and inflation fears, investors have a wall of worry rising in front of them. what's next? a top technician elaxpins where the charts point we are back after this -aflac! -i love my gold jacket, but that aflac blue feels so right. when you feel right, you coach right. i know that's right! prime never believed in double coverage, but health insurance and aflac...is money. ♪ must be the money ♪ and i know how coach prime feels about money. -aflaaaac. -♪ aaahhhh ♪ now that is what this jacket needs.

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what does a foster kid need from you? to be brave. to show up. for staying connected. the questions they weren't able to ask. show up for the first day of school, the last day at their current address. for the mornings when everything's wrong. for the manicure that makes everything right, for right now. show up, however you can, for the foster kids who need it most— at helpfosterchildren.com mom, hurry! our show's gonna start soon! i promised i wouldn't whmiss the showt— and mommy always keeps her promises.

oh, no! seriously? hmm! it's not the same if she's not here. oh. -what the. oh my goodness! i don't suppose you can sing, can you? ♪ the snow's comin' down ♪ -mommy? ♪ i'm watching it fall ♪ watch the full story at www.xfinity.com/sing2 we have got 90 minutes left in the trading day i want to get you caught up in the markets. volatile day on wall street following many several such days we are talking about tech knickcals, bonds, and commodities right now. first a check on the market with the dow and the nasdaq a little bit lower. no, nasdaq has come back it's higher right now buy 46 it has been that kind of day it has been up and down. the dow has been down more than 600 points now it is off by about 400 the next hour and a half, the

time will tell the s&p had been down earlier in the session. higher now by about a quarter of a propose. the chief market strategist at bell curve trading is here to tell us what technical charts mean. >> it has been a volatile couple of weeks, the omicron vant, inflation, the supply chain issues even for the pros, it is difficult. now is the time you have really got take a step back and focus on longer term trends because they are much more stable and give you a better idea of what the overall health of the market s. then the question becomes what's the key longer term trend to focus on? in equity markets around the world it is straightforward. the rally off the early 2020 lows more specifically for most equity markets, march and april. bee when i look at the s&p 500 which i think is the best tell

in the u.s. equity market to gauge overall health i look at that and say, you know, it looks in good shape. we had an initial target of 3500, 3550 we hit that in early september we told sold off exactly when we expected but what was unexpected it was only about a 5% dip. october, november we roar back and up to 4700, 4750 the bottom line is, if it gets back to 4500, 4550 i think the path of least resistance is still higher in the u.s. equity markets. >> do you think we could hit 5,000 soon >> yes, that's our next major objective in the s&p 500 i think the nasdaq 100, nasdaq comps look overall good. and the nasdaq 100, the key longer term support comes in at 15,200, 15,300

t overall when you look at the major indices even though the last few weeks have been choppy the longer term trends still look to be in place and still looks like we go higher? always good to see you >> my pleasure, happy holidays. >> to you as well. let's go to the bond market, where the ten-year is under 1.4%, and rick santelli is tracking the action for us, as he always does, hi, rick. >> hi, tyler indeed, and it stopped around 1.37, 1.38% area i continue to stress whether it is yields going up or yields going down, that zone of 1.37% to 1.39%, the 2012 and 2016 previd all-time low closing yields in tens continues to be a technical level you need the pay attention to on way up, once we went through it, we accelerated on the selling. now we are holding it as support. if we close below it that's

something you need the see followthrough on post likely technicians think we will let's look at november 1 start for three years -- two years preomicron was at 1.64 on the ten, 167, we are 27 basis poingts points below it right now at 1.40. why is that important? because the more snug up, and rates haven't fallen how much the long end keeps falling, why? the market doesn't think it is doing to see the levels we saw the dollar index is 7.5% up on 2021 back to you. >> rick santelli, have a great weekend. oil closing for the day. weekly loss to talk about. pippa stevens is at the commodity desk hey, pippa. >> tyler, that's right w. today's losses, oil is now negative for the week posting a seventh week of declines in the

last eight oil has been alternating between fwans and losses in recent sessions as the market tries to ganl potential demand hits from omicron. this is especially true around the popular holiday travel season if people choose the stay home we could see lower demand. but opec said it can adjust supply if things change. wti is down 2.25%. brent crude dipping 2% nat gas also in the red here, calling to its lowest level since july on warmer than expected winter forecast levels. and since it's friday, a check on gas prices. the national average for a gallon is $.31 that's down ten cents in the last month contessa, back to you. >> a, thank you. after the break, why this weekend could be the last big opportunity for retail this holiday season kourtney reagan taking a look at what retailers can expect in these final days before christmas. there it is.

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welcome back retail investors may have to add some risk to their shopping lists. inflation, supply chain shortages, covid's resurgence here, stocks in this group are taking a major dip lower offer the past month and digital platforms like stitch fix is down 37% traditional players like nordstrom and macy's down 30% and 29%. but this weekend could pry a final boost to the holiday and courtney reagan who i out can off before the break joins us now hi. >> hi contessa tomorrow is called super saturday in resale the last saturday before christmas. this year is expected to be the second busiest in-store shopping day of the year according to sensor mattic solutions. they say 148 million americans will be shopping tomorrow. that's down from last year but up from prepandemic in 2019. a record number of americans

shopped early this year. 42% say they will buy their last gift before tomorrow standard shipping deadlines in time for christmas have pretty much passed for a lot of retailers like nike, lowe's, nordstrom, usps and fedex non-expedited shipping that deadline passed, too 41% of super saturday shoppers will shop on line, still, and in store. an increasing number of those shoppers will use the omnichannel services like target's drive up picup or on line orders that are fulfilled by stores same day last year same day delivery ship details grew more than 300%. ship ceo kelly ka rouso says daily order volumes doubled in the back half of december compared to the front half adobe says so far this season

curbside picup orders made up 25% of all online orders for retailers that offer it and it is expected to peak at or around 40 of all on line orders by december 22nd. >> retail shoppers increased spending because they make it easier for more on the retail space let's bring in dana telsey we were talking about big names, macy's nordstrom, stitch fix dropped so precipitously over the last month is that now a buying opportunity? >> i think it is for some, contessa and great the see you, too as we think about going forward to 2022, after a year in 2021 where there has been a very strong earnings recovery, there has been margin improvement look at what you just said, the stocks are off i think they have incorporated, whether it is inflation, whether

it is the margin adjustments that may happen given supply chain. so a lot of these stocks are trading at a discount to their historical average multiples that's where the opportunity lies for some of them. >> you say historically consumer companies focused on the product, price, and place. but for 2022 you are recommending a whole new set of ps. you got it it has been about product, place and price. i think the change, we have enhanced processes, look at what the companies came out of the pandemic doing, rejiggered business models, check out curbside pickup, buy on line and pick up in store they also have purpose, in connecting their community, connecting their employees, connecting their customers there is a great i have drive for all to win and a greater drive for purpose. it lease to process. my ps for 2022 are enhance purpose to ininclude purpose to drive profits.

that's what i think it is going to be not just for '22 but for the balance going forward. i am talking to companies will what they are doing to improve purpose and drive poverty. >> what has their ps in place. >> lululemon, bath and body works. at ulta, and lvmh, newer companies like figs and traditional companies that reinvented themselves likely vies let's look at what is happening in offprice where durlg ton has a path to grow. >> i thought your recommendation on figs was interesting because you are combining two things we cannot get away from one is this return to work but, two, this is a company that's devoted to like health care scrubs and direct to consumer so it is combining a lot of the things that you are really focused on. >> exactly look what they have done they have changed the process of buying health care apparently with dtc they have a purpose, and they are ambassadors of what they

call awesome humans are the health care professionals. let's not forget that's the fastest growing professional network in employment that we have seen throughout the country and they are driving profit. they have profitability -- a profitable business model that's only continuing to grow. i like what fig stands for i think that purpose delivers profit stho a, great the see you. thank you so much. have a good weekend. >> thank you have a great holiday. mazuho putting the industrials in coverage initiating coverage on more than 20 stocks in that space w. today's losses you can get them on a discount. our trading nation team will tell you which ones among the industrials to buy 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

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welcome back to "power lunch. ites time now for a look at your etf tracker arc tiv into a sector that saw big inflow this is week. health care etfs saw inflows of $878 million over the past five days, that action was driven over rising fears over the omicron variant as more details emerged approximate how quickly it spreads, leading to cases

rising across the globe. then there are threats of more restrictions possibly coming that really sent investors into safety trades. some of the big winners were the i shares pharmaceuticals etf ticker here identification he. it was up by nearly 7% theihe ticker pph, and that was up 4.3% the first trust ticker etfh up this is will shire etf hub let's get to "trading nation". >> from health care to industrials, the industrial space, initiating coverage on 23 stocks in the sector the top buy rating includes johnson controls and aellegion there's an opportunity to buy the dip in some of our trader's favorite picks for next year let's bring in craig johnson and

nancy tengler. nancy, i know you have your eye on fedex the president of fedex said they're being inundated with calls on the job front that was an encouraging sign >> it is it's been in our 12 best ideas portfolio for some time. it's done well i think from here, however, you probably want to take a look at a name more like a honeywell that has underperformed year to date this company has been held back by it aero space segment, 35% of total sales and it's most profitable and they were able to improve margins even in this environment by 390 basis points. i think when air travel returns, this is a company that has embraced digitizing and will be poised to provide some outperformance it's an above market yield it's an above the 30-year bond yield. and they've been growing the dividend about 9% annually over

the last five years. in high inflation environment, dividend growers are a good place to be. i think that's one you might want to look at as an investor if you don't own it already. >> craig, we have some of the other major industrials set to report in january. >> you know, the relative stream trend overall is what's standing out to us. it's been a surprise to a lot of investors. on an unweighted basis, the industrial sector is starting to get close to making a new high you go through and look at things like johnson control, ho honeywell, they look sfres interesting on the charts. the standout for me is granger ticker gww from our perspective, we broke out of a nice consolidation range and breaking out the new highs. the theme is housing that's a big theme that's driving the industrial names right now. we're still short housing all across the country at this point in time. so a lot of these industrial names i think are poised to work as you go into 2022.

>> trading just below 500 a share. thank you. for more trading nation, head to our website, follow us on twitter. tyler, over to you >> thank you we have breaking news now out of the nfl sources telling cnbc that the league will announce that it will postpone three games because of covid issues. this weekend with the first games postponed this year, no word yet precisely on which games it is. but you do note that a couple teams including the cleveland browns, the washington football team have reported more than 20 of their roster are on covid protocols. >> we now have more nfl players testing positive for covid this week than ever before in the pandemic, and what we've seen is you know i cover the gambling industry what we've seen is this is playing havoc with the lines, because where you have the eagles up by say -- now i'm pulling this off the top of my head if they were up three or five points on sunday, it's up by nine points now as the favorites

to win because they're playing against the washington team. if the nfl just postpones this, you have to believe that those lines come back in, because then it's not so mismatched in terms of talent. you know, if you're missing a quarterback, your starting quarterback playing -- >> which washington apparently is >> and the browns. >> and the browns apparently are. >> that's right. and so this will be the first time the nfl has postponed games this season. when i asked draft kings ceo earlier in the season, what happens with covid now if there are cancellations, he says well, let's hope it doesn't happen, but it would really make a mess of all the parlay bets postponing a game doesn't really mess up the parlay bets in the way that cancelling a game does. >> and it's going to mess up my fantasy team >> i'm sorry >> i'm quite sure. >> i'm sorry folks, with the year coming to an end in just a few days, what are smart money moves you need to make now we'll look next.

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still time to take advantage of key investment and tax strategies before the year is out. and sharon is here with smart money moves to make right now. hey, sharon. >> hey, tyler. proposed legislation involving big tax changes for retirement savers and crypto incrvestors m drive a few money moves in the next two weeks one is that 2021 could be the last year for back door roth conversion if the build back better act passes. you make an after tax nondeduct ablecontribution and convert them to a roth account this legislation would end the conversion converting a regular ira or 401-k to a roth account by december 31st also makes sense if you want to pay tax at your current tax rate >> if your tax rate is going up in 2022, it makes sense to do in 2021 so you pay income taxes at

the lower tax rate it doesn't mean you have to convert your entire account balance. you can do microconversions. a little bit this year and a little bit next year >> meanwhile, crypto investors could be hit with the wash sale rule next year under that rule, if you sell an investment at a loss, and buy back an asset that is the same or substantially identical within a 30-day period, you are not allowed to claim that loss on your taxes. here's what would happen if the build back better act passes >> it would begin to apply to crypto currencies, foreign currencies as well as commodities. so if anyone has positions in those investments that are currently at a loss, selling them, and then buying them back shortly after can help lock in the losses >> that is if you do it by the end of this year now, those losses can be used to offset capital gains and as much as $3,000 of other income.

>> you know what it's great advice for the end of the year, and we just all got to keep it together and get to the end of the year. >> yeah. the crypto thing is really gnarly, baa it's going to be an interesting thing going forward. at any rate, great to have you with us. fantastic. >> thank you for watching "power lunch" have a great weekend get out there and get those presents shopped and wrapped "closing bell" right now welcome to "closing bell". v is for volatility and that is the word to describe today's market action. and the action we've seen all of this week. this hour the dow and s&p sharply in the red the nasdaq holding on to the green. >> i'mle leslie picker in for sa eisen. the fed and am omicron variant, sparking shut down fears again that's as fed officials are reiterating the hawkish pivot jay powell announced