i think it might be one of those short days unfortunately it's still 24 hours, or fortunately, i guess depends on how you look at things "squawk box" begins right now. good morning, everybody. welcome to "squawk box" here on cnbc i'm becky quick along with joe kernen and andrew ross sorkin. joe, you have to look at it optimistly, you need every hour of the day whether they be dark or not, because you have so much to do before the holidays. my brother's birthday, happy birthday rob, and happy winter solstice. >> days get longer from here on out, every day bill walton who's like -- i don't know what's left from the grateful dead concerts

greatest day of the year. >> yes the days get longer, it's sunnier, you look forward to it until june and it's not until september you realize it's been getting darker. >> wednesday is the best day because it's close to friday but far from monday. this is the best day because the summer is not over, it hasn't even started >> yes >> i got it, i love this day, thank you. >> i do, too this is a perfect day. joe mentioned the losses in the market yesterday, they were substantially. dow down about 330 points, nasdaq down by a lot of 188 points and the s&p down about 52 points it's starting to add up over time if you've watching this, the s&p is now 2.7% from the all-time high and the nasdaq where we know the losses are adding up,

it's off 7% from the high. this morning if you're watching futures you are getting giveback, dow futures up by 250 points, s&p by 35, and the nasdaq up by 133 the treasury yields, the ten year in morning is yielding 1.443%, a slightly higher year the 30 year is 1.87% yesterday the 20 year was higher than the 30 year, which should never happen and if you look at oil prices, oil had the worst day since november yesterday, at least in terms of wti wti this morning up by about 1.3%, still above $70 a barrel >> making headlines this morning, the cdc reporting omicron is the dominant strain in the united states, making up

73% of sequenced cases the most recent data showing delta makes up an estimated 26.6% of sequenced cases and johns hopkins reporting the united states has a seven day average of 130,000 daily cases as of sunday up 7% from the past two weeks. president biden is scheduled to address the nation today, outlining some new steps in the fight against covid. ahead of that speech a senior administration official telling reporters the biden administration will open federal testing sites in new york city this week. the white house also planning to buy 500 million at home rapid tests, americans will be able to order those online for free starting next month. among other measures expected to be announced today the government will activate about 1,000 military personnel to support hospitals but the use of rapid tests is one we've talked about on this show for probably more than a year the white house for a long time

has scoffed at the idea of providing free rapid tests last month they decided to press insurance companies to pay for them lots of folks said that's not enough these tests are still costing somewhere in the order of 7, 10, $15, if you can get your hands on them. >> if you can get one, which you can't. >> if you can even get your hands on them, so this move should help. 500 million is a real number but think ant how many people are in the country, it means everybody could take one, one and a half times. >> you look at the stores and they sell out there. how are they going to be maintaining this where people aren't paying anything it seems like a tricky path to navigate to make sure people aren't hording them all. >> i got a crash course in how hard it is to get through to a human being at cvs or any of those places i spent -- you know, it's before thanksgiving, you have 92-year-old mother-in-law and you -- you know, you want to do all that you can, and i spent

the -- i finally just said, you know what, i'm going to have to mask or do distance, whatever, because it's not going to happen for me you had some becky i probably could have hit you up. >> you didn't tell me until afterwards i told you i'd get them to you. >> i can tell you, you can spend the entire day trying and be unsu unsuccessful probably not a good idea andrew you're going to talk to steve young. the nfl, i don't know how i feel about it it's weird, if you're asymptomatic and you're totally vaccinated, you don't have to test as much and then they can -- actually, did you read that, andrew? if you score a certain amount that shows you're noncontagious. >> right. >> you're allowed to play, because so many asymptomatic triple vaxxed guys -- like everybody was testing positive

is this a good thing or is it -- >> look -- >> i understand both sides of it >> when i first read the news my instinct was to say, hold on, this seems like it doesn't make sense. but they have -- talking about here testing they have resources -- that is the nfl has resources that the average american does not. most people don't to the type of testing they're doing to be able to look at those types of numbers in the way that they are. so maybe once you start to say they're this great experiment and they're doing this all of this stuff, i'm actually hoping we might learn a little bit from their experience, maybe it works, maybe it doesn't. but hopefully in a couple of weeks we will know. >> it is complicated i tell you, this is why people grapple with it. you're asymptomatic and triple vaxxed so you can still give it to someone but if you're giving it to someone that's

asymptomatic tripped vaxxed. then you're worried about giving it to someone who's unvaxxed who knows. because the breakthroughs are so common now, it's hard to figure out -- >> i will say, it's part of the transition this is what gets us to the point it's going to be endemic eventually think i we're on the path. we don't know how big of a deal this is for unvaccinated people or immunocompromised people and those are the concerns if you have somebody you're still worried about. there are people worried about their kids because kids under 5 can't get vaccinated yet either. so there is a portion of the population that is unvaccinated. and i know parents of kids who are under 5 that have raised concerns with me recently. so you're on the path of getting the endemic point. if you feel fine -- i know so many people frustrated by the rules and how they've come down. the rules have a hard time keeping up with things as they're moving on the ground and you can say that on both

sides of the argument, in terms of still not letting people do things if they're asymptomatic, but also at the same time, what we consider to be fully vaccinated we know is not fully vaccinated and effective against these new variants either. >> when they make the decision on new year's eve out here i don't know. >> they said before christmas. but if you're going to make a decision before christmas, i think only decision could be no unless you wait and see what happens over the next several days how can you make a decision on how you know things will be in seven or eight days when things are changing up that quickly. >> do you think i should open the side door for the bathrooms? >> we know it might be useful given what i've seen outside the door. >> probably be a line. >> yep. >> a million people line we'll keep it closed, mack >> keep it closed for now. more to come, we'll open the

door on a lot of other issues today. maybe -- trying, i'm trying. coming up stephanie link joins us with her take on the trading day ahead. as we head to a break, check out the biggest premarket s&p winners and losers stay tuned you're watching "squawk box" here on cnbc feel stuck with student loan debt? move to sofi and feel what it's like to get your money right. ♪ ♪ move your student loan debt to sofi— you could save with low rates and no fees. earn a $1,000 bonus when you refi— and get your money right. ♪ ok, let's talk about those changes to your financial plan.

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welcome back to "squawk box. the futures right now are bouncing back a little bit getting about half of what the pullback just from yesterday, trying to break a three-day losing streak. joining us now stephanie link chief investment strategist at hightower and cnbc contributor still like the barbell approach to explain exactly what that means and how that can help investors navigate through a period where we may slow, may not slow, we may learn to live more quickly with something that hopefully burns its out faster maybe we're seeing positive signs like that, but how do you structure the portfolio that way? >> it's good to see you, joe, honestly it's all about diversification, right and it's having some

economically sensitive companies, some cyclical companies, some reopen names because those are the ones that haven't participated the last several months because we've had this kind of growth scare, if you will but i do believe we're going to see above trend growth in 2022, not as great as 2021 but i think 3, 4% growth is still above trend and positive and should help some of these companies i think there's an enormous amount of pentup demand from the consumer and the consumer is in very, very good shape given wages, jobs, even the savings rate, although it's come down, it's still pretty elevate d. that's one part you want exposure to. that's financials, industrials, energy, materials. that's travel, leisure, look at the tsa numbers over the weekend, 6.4 million people travelled over the weekend that's one side. the other side is total addressable market stories,

that's secular growth, ai, ev, cloud. listen to what micron said yesterday, all of those areas are driving better than expected results for micron i don't own micron but i own a lot of semiconductor companies because they have end markets that are growing substantially, not just this year but the next several years so you want exposure there as well >> so last year or even the year before you wanted high multiple names, didn't you, because they were the ones. you at this point like growth but you're avoiding those, why because rates are headed up or you think it's just not the right time for that, so you try to pick stocks or companies that are, you know, sort of sexy and growers but just not with the high multiples >> that's just not my style and at lot of them are stay-at-home and benefitted from stay at

home so as we reopen, hopefully wep we don't have closures over the omicron situation but i think you want to find companies with real earnings and their valuations are reasonable. and that's the way i invest. like growth at a reasonable price. so you don't have to go for the high flyers. you can certainly find the total addressable market stories like i just mentioned in some more realistic valuations. >> you think something like a cisco, speaking to someone new to the market, it hasn't been the one you were in. you wished you were in the ones you said are not your style, right. it's done okay but you would prefer this to trying to buy one of the high flyers on a pullback >> yeah. i think you want to have a combination. i have made a lot of money in some of the semiconductor names like a broadcomm for example or

lam research all of those trade 19 times forward estimates. they're not expensive. so those are the ones i own on one hand and the other hand i do like cisco enterprise send is starting to recover. we heard it from broad com, hpe and dell we heard it from cisco product orders were up, led by 200% growth in cloud, 30% in enterprise and 46% in commercial i think their guidance is very conservative because they had supply constraints, who doesn't. i think at the same time the price increases they're putting through are going to help them in 2022. so 17 time forward with a 2.5% dividend yield i kind of like that. the enterprise spend, recovery story is why i think they're going to have some tailwinds for 2022. >> it's like bank of america, mcdonald's, those were the three

we were going to talk a little bit about today. >> yeah. we talked about mcdonald's for a long time. bank of america, i think it's a rates play if the yield curve steepens they're doing a good job, excess capital of $26 billion, good dividend yield, buyback, 25 billion. i like when a company is buying back stock i like that, too. >> mcdonald's is funny i say it and i don't know i feel better after i say it, it's weird. it's just like a dog, isn't it it's pavlovian bank of america i have an account there it doesn't put me in a good mood. i love mcdonald's. thanks, stephanie. >> bank of america is 13 times so you can like it, i think. >> it just doesn't do the same, it's not visceral, you know what i mean it's not visceral. >> i got you, i got you. understood happy holidays. >> thank you, you too.

jack in the box does this -- i guess they all do. don't even talk taco bell. >> dunk dunkin' donuts >> that's andrew with the d donuts >> i like the ones with dory toe chips mixed in >> no. chipotle you don't have to totally make it terrible for you. >> you can't agree on mexican food >> no. >> it's all good. >> there's taco bell people and chipotle people. i am a proud taco bell. >> i'm a chipotle person. >> i'm not lying i like both of them. not joking. >> perfect, we have the whole world right here. >> we'll see where everybody comes down on the next question. we can answer it after the break. do you want to get paid in crypto that's the question. if you do, you're not alone.

there's a whole bunch of people who do, you want to hear our next report, though, first, if you're thinking about it stay tuned, yoreatinu' wchg squawk on cnbc ♪ ♪ ♪ digital transformation has failed to take off. because it hasn't removed the endless mundane work we all hate. ♪ ♪ ♪ automation can solve that

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become an agent of innovation with invesco qqq electric vehicle stocks are trading higher in the premarket this morning, but, of course, that's after they got hit hard yesterday. we're keeping an eye on names like tesla, rivian, lucid, lordstown. they were all hit yesterday after joe manchin said he wouldn't support president biden's build back better plan >> the mayor after miami banking

on it and the incoming mayor of new york wants in. football's tom brady has a stake in all of it they all say they want to be paid in crypto it's not just high profile people getting in on the craze many artisans getting paid in it already. sharon epperson has more sharon, help us here do you want to get paid in crypto >> well, a lot of people do and you have to look at the story we just did, because there are a number of people from college students to people working in the arts who want to get paid in crypto now >> great professional -- >> reporter: steven garrett has a big persuading people to down load an app that ranks sports odds makers. one of the reasons he took the job was the option to be paid in crypto >> it was pretty enticing part of the deal coming to work for sharp rank

i think crypto is a very exciting thing that's going on right now and it's very fun to be part of. >> crypto is a way to get paid but for garrett's employer it's also a way to make the startup stand out and help recruit youyoun talent. >> this stood out as an opportunity to differ ren shat ourselves. >> fluctuations in crypto currencies make it an exciting ride bitcoin has been valued from 30,000 to 60,000 in november if you got paid $670 in bitcoin a month later it was worth $500 but some people are willing to take that risk to get a foot hole in economy. brown paints acrylic on can can

vance and sells her work as nfts. >> it's like licensing every time someone uses your art, you gain a percentage so your art can potentially go up in value the more it's used, shared, and the more that people purchased it >> brown hopes crypto will take the word starving out of the description of artist. >> i feel this is an opportunity for artists to put more value in their art and investors to acknowledge their art as something that has value >> but those who get paid in virtual currencies need to be prepared for the tax bite. the irs requires people earning income in crypto to pay tax on digital coins and that can be complicated. employees must report their total wages in dollars based on the value of the crypto on the day it was received. and that means people paid in crypto could be paid tax on income that may have dropped in value since then

andrew >> so just so i understand this, you could face capital gains taxes on the crypto payment, too. so in addition to income taxes >> that's right. in addition to paying ordinary income tax, if you made money in crypto and you have a gain, you will face capital gains taxes when you sell or swap the coins for other virtual currencies it's also important to keep in mind you cannot pay your tax bill in crypto so if you owe taxes you could be forced to liquidate. >> before you go, all the folks doing this, are taking the vice president -- are taking the crypto, keeping it and investing it, and how many are saying pay me in crypto but cashing out some portion of it into u.s.

dollars? >> you know, we didn't really poll that many people. you're seeing a range. a lot of people want to hold onto it, they're looking for the potential for the gain and want to use that. >> if it's your income and paying day-to-day expenses, you have to probably liquidate some of that money to pay your bills. i think it runs the gamgamut. >> thank you so much i'm hesitant, joe. do you want to get paid in crypto >> you get paid at 60, you do the income tax on 60 and then it goes to 50, the bitcoin -- >> right >> -- and you already paid taxes on it at 60 -- >> yep. >> reporter:. >> but then you don't have to pay capital gains until it goes above 60. >> assuming it is. yes. >> this is the -- i don't think i've ever sold any -- i didn't sell much, but i'm going to have to figure it out i have to go in there and go back and write down all the --

it's going to be a pain for this year's taxes and you have to declare. >> i don't know this because i never had to deal with it but coin base doesn't do that for you? they don't generate a tax bill for you? >> no, i don't think so. i wish they would. >> like fidelity would generate a statement for you. >> they should start by having someone answer the phone i would start with that and go from there to generate baby steps a human. coming up, oil prices rising a little bit but demand still dominating the headlines we'll talk about the prospects of the commodity next. as we head to break, a look at yesterday's s&p 500 winners and losers

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oil prices this morning are bouncing back a little bit, but yesterday was the most difficult day wta has had since november and it's had a number of rough days lately. joining us is john kildoff watching wti yesterday this had to be tied in to omicron spread, the number of cases we're seeing and the concerns that you're going to see a slow down in travel, is that what you think happened >> 100%. the petroleum complex has taken the various covid-19 developments over the past two years. i would argue the worst of all the asset classes, stocks have been able to come back on narratives of work from home and different ways people would spend but man when you're getting into lockdown situations, it goes to the heart of fuel demand and the petroleum

complex cannot shake it off or see the light at the end of the tunnel it's sell now, ask questions later and in the meantime get a vaccine or something so you can avoid getting covid. >> is it an appropriate selloff or this morning we're already seeing a little bit of a bounce back where do you think the demand picture kind of levels out, let's say three to four weeks from now >> it's kind of been a very emotional market if you will, in that the oil market has rushed to price in the recovery at the same time. at times to the extent the reopening was happening, people -- look, people fled to the airports to travel to go see their families, right. tremendous numbers as we came out of the pandemic and have sustained themselves it was last week, as a matter of fact, the weekly inventory report we get from the u.s. government, it was record petroleum fuel demand last week. huge gasoline number, huge diesel numbers, huge jet numbers

last week. so with that, we're on the razor's edge, the market draws in speculators worried about the supply coming up short but then it almost turns on a dime when we get bad news like we are with the omicron situation and all of a sudden you go from a situation of relative undersupply to a situation of relative oversupply pretty quickly so we're on the razor's edge here that's why you're sighing such volatility and fluctuations. i think right now given the warm winter we're having, particularly in north america, it's a problem for the bulls in the oil market because we are going to stay i think on the side of relative oversupply if we don't get any cold weather on top of everything else i think the bias is to the down side again now for a while. >> the one thing i would say is while we've heard concerns about international travel especially because you don't know how to

anticipate restrictions coming from a country at any moment in time it doesn't seem like we've seen any drop in demand for travel domestically i don't know people changing their travel plansfor the holidays at this point if you see pictures from places like disney world, they're packed i don't know that americans are going to stop traveling inside the united states. what does that mean from the global oil perspective in terms of demand? if americans are still traveling, if other countries are traveling internally, but you don't have as much of a bounce back in international travel how does that come back on the demand picture? >> it's solid. there's a base and there's a floor for oil prices for sure as a result of that i get the sense that americans aren't like any other country at the same time. so i don't think we're going to see it -- that demand diminish any time soon. last week was a record in the united states for transportation fuels. it was incredible. the numbers were off the charts, becky. >> that's not a post-pandemic,

that's not a pre-pandemic kind of comparison. this is an all-time record, right? >> that was an all-time record and it speaks to the fact that there's this pent up demand, people want to get out of the house and go to disney world and do everything else in america. and they're doing it also, too, i'll tell you this, strong employment data like we're observing, always correlates with incredible gasoline demand. and no matter what the prices at the pump, too, because there's not a lot of mass transit opportunities for folks in if most of the country and people will pay any price for that gasoline to get to their job that's the other factor here but at the same time in terms of the global oil market we're in, that's not enough, the u.s. is not enough to the extent europe is shutting down, i notice you're not going to davos, for example. just there we lost a lot of private jet fuel demand from that event. >> that's a demand picture

>> yes there you go just to put it in a microcosm for you. ser seriously, it's enough of a hit from the various lockdowns and restrictions that it's going to keep oil prices in check and, like i said, to trend lower. >> john, thank you happy holidays if we don't see you before. >> thank you, you too, becky. >> we appreciate everything you've been here for us this year and years before that you're great we'll see you soon. >> my pleasure, thank you. coming up on the other side of this break, football legend steve young is going to join us to talk about one of his business ventures and yes, the big issues facing the nfl right now. stay tuned you're watching "squawk box" on cnbc blpz blood pressur

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. welcome back to "squawk box" this morning a surge in covid-19 cases causing the nfl to reschedule many of its games after more than 100 players tested positive last week. the league now taking a more targeted approach to testing, unvaccinated players will still be subject to daily tests. joining us to discuss this and what the policies could mean for the business world, is nfl hall of famer, and hgcc president steve young. one of the great football

players who transitioned to being an entrepreneur and brian adams, they have an announcement this morning that we'll get to but it's exciting. i want to start with the issue of the nfl a lot of folks looked at the new policy and said it's like don't look, don't ask, what's happening here and people thought this is crazy. other people saying this is the future your calling the game i think on monday so we'll see how it goes. >> i think the biggest issue they have is they have a lot of asymptomatic positives and i think from that experience, these guys, you know, they can play, let's have them play. so i don't know that that's not kind of driving it it's the don't ask don't tell, i don't know how you describe what this is going to do. the nfl is going to play ball. you saw it last year with the

denver broncos and no quarterbacks i have to give them a lot of credit through the last year they proved that innovation in trying to figure out how to get through this tough time and still put the nfl on tv is quite remarkable so i give them a lot of credit i think they're still trying to do the same thing now with omicron and how to be safe yet make sure the guys are on the field. >> but do you think -- i think part of the question that gets asked is, are they sending a signal the public looks at the nfl and players as role models and to the extent there is a -- the phrase i was looking for is see no evil, hear no evil. >> right. >> let's not pay attention to it at least as of now knowing by the way, obviously asymptomatic folks can transmit it to others and there can be community spread and the like. how to think about that? >> i think it's kind of the only way to think about it is a pandemic that's now going on to

year three maybe and how to best manage it. so i don't think it's -- certainly doesn't feel like it's a political issue. it's really more just health and safe you the of the players and how to make sure that the ones that are asymptomatic and that, you know, feel like they can get on the field and go play, i think it's working with all the regulatory issues and the cdc and everything else within that framework. they're trying to find a way to make sure that people are healthy, that they can be able to play. you ask good questions, these are the challenges the nfl has had, and this is how to deal with the pandemic and find the best way to do it. >> are you talking to any players -- are there any players out there saying you know what, i don't like this policy >> it's still early. it'll be interesting to see how it plays out, especially as it gets to the winter and the playoffs what they don't want to do is be in a situation where you can't

field a team in a playoff game they were able to get through that last year and i have to believe that's part of what they're trying to do here. >> steve, one of the reasons we wanted to talk to you this morning, beyond covid and what's happening inside the nfl is an announcement you folks are making at integrity that i know how surprised a lot of your employees very happily during this holiday season. you took a big investment from silver lake investments and some of the money is ending up in the pocket of a lot of employees and some of whom didn't even realize it >> i got to -- brian is on with me here now, in our portfolio company, integrity, we went to norfolk, nebraska where they were located at the time now, they have a share in dallas, it's grown exponentially since we invested six or seven years ago. brian came to me and said steve, i want our employees, i want them to own the business and i want to make some kind of equity

grant to them. it was a -- you know, a lot of people could say that's not the right thing to do. i think my experience from the nfl, the nfl has thrived once they made a partnership with owners and players owners and players were always so separate and there was this big chasm and canyon between them when they finally came together and made a sense of partnership, that thrived it resonated with me what brian was trying to do it makes a lot of sense. maybe that's the future of corporate america we start to figure out ways to give equity to the employees when brian wanted to do that, it's $50 million put it in the pockets of employees and now another $125 million once you do it and you're a growing and thriving business, the employees are the ones driving the success, they can own that success and i have to give brian a lot of credit for coming up with the idea. >> $125 million, you surprised the whole -- what did you hear i hope you have this filmed

somewhere or is everybody remote at this point? >> no, listen. it's been an incredible experience i travelled all over the country last week, met with over 2,000 of our employees and shared this news with them in person, flying four, five states a day, literally popping in to each one of our offices and sharing this incredible news about this new ownership program. i came to steve two years ago with this idea of really about just if we all came together we could all accomplish more. and we've seen returns with integrity and really this opportunity to be able to share this with our employees is one of the greatest joys we could ever have. we paid out 50 million two years ago and this week we're paying out $125 million to all of our employees to really help them share in the success of what we're building here. >> that's 55 employees sharing

in the $125 million. >> yeah. >> the flip side of this question i was going to ask you, we're talking about employees jumping ship from lots of companies, they call it the great resignation and how you actually create more, instill more loyalty rather than less. i wonder in this moment whether this creates more loyalty or are there people that say i'm going to take my check, this is great, i'm going to do something else now. >> i would say it absolutely creates more retention and binds people to the business because ownership -- as anyonan understands, when you sense a sense of ownership you feel like you're a builder of the business you can pay someone a bunch ofof money and be a high-paid employee but in the end they're not owners of the business when you describe ownership, that does not create a sense of i can't wait to get out of here, i made enough money. people with children, this is my

third child, if i have two kids it's my third. it's the part of our family. that's what i enjoyed watching brian do is create that sense of alignment with employees maybe that's the point you're making this is the moment where the employee incentive plan is -- it kind of resonates in a really unique and important way >> brian, this is equity in cash or how does it work? >> so we gave everyone equity in our company two years ago. so this is a payout of part of that equity and they have the vast majority of the equity still in integrity in addition we decided for every employee who was not part of our program today to grant everyone equity so now everyone is aligned, all 5500 of our employees have equity going forward to help us create more value for all the americans we serve >> brian, it's a great holiday story. we appreciate it

steve, great to have you don't be a stranger. look forward to seeing you guys very, very soon. happy holidays. >> you bet you too, great >> thanks. joe? nike shares are rising this morning on better than expected quarterly results. we'll talk to an analyst about the analyst ensqwkox" comes right back back

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. nike shares are higher after the company reported second quarter earnings and sales both tong consensus joining us to weigh in, brian nag el analyst at oppenheimer. it seems like any analysis of what's happening is totally

supply-based, brian, it's almost like there is this demand that's given and any lumpiness that we are see, even though the numbers are good, they're navigating it well, it's all about vietnam and pandemic and omicron and what it means for supply chain and manufacturing and then distribution >> all right joe, i think that sums it up perfectly. the results last night i would say were generally better-than-expected nike did a great job of managing this print what you said is exactly right what we see from nike, which i think is a huge positive we think of this company and longer is there is this unrelenting demand for this company's products, both in the united states as well as markets across the globe >> let's talk china. obviously, you got supply and demand issue

what is the state over there how much does it matter? >> it's an interesting question. so i would say, it's always difficult to determine what exactly is happening in china. but if i look at the report last night and other analysis i've done on nike and china again, i think it's very much a supply issue nike brought up a good point when these vietnam manufactured issues first took hold, china was hurt more. there was a product in the pipeline to china. now we, as we progress here through the balance of this calendar year into next year, the china sales should rebound as more product is flowing to that mark. again, we can tell that the underlying demand from within china for nike products is very, very strong. it's simply been a supply issue. >> how can nike confidently talk about fiscal 202003? i know it's not calendar 2023, don't you need to know what

omicron looks like and whether it's a relatively quick wave and doesn't cause a lockdown we saw the first time around in countries that manufacture all, in vietnam, for example, how can they say confidently what that's going to look like six months down the roads, nine months down the road >> you are exactly right to the extent wlits omicron or -- whether it's omicron or some other, it gets disrupted i think the point the company is making, like we're saying, the demand is very strong. what you are seeing is manufacturing capacity in vietnam isn't perfect. so that gives them greater confidence but like we see with all these companies, nike and everyone else, it's a very, very fluid environment. things could change quickly. we've seen a lot over the last say several quarters now

>> all right brian it seems like demand is more interesting tan we talk about products it's a supply issue in this case before we leave it there and see what happens, again, i am also told, is it a dow component? >> yep it's been a while. a good one >> all right the dow component nike is helping the futures which are up now. brian nag el all right. i got it i knew that. i knew that. you knew i knew that, didn't you? >> yes, that's why you bring it up that way. >> goldman sachs some of the icons. >> there you go, doing it again. when we come back, steve leishman with his road back barometer, more on the recent spike in covid cases and stay tuned. you are watch u watching "squawk box. this is cnbc

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investors once again this morning. the futures, though, pointing to a higher open. we'll get you up to speed son what you want to watch omicron overtakes delta as the dominant variant we'll hispeak about the rise in cases and how hospitals are preparing for it and issues with the supply chain don't look like they're ending any time soon how companies are handling a shortage of goods and what it means for the economy coming up the second hour of "squawk box" begins right now ♪ good morning, welcome back to "squawk box" right here on cnbc i'm andrew ross sorkin along with becky quick and joe concern were let's show you u.s. equities futures on a tuesday morning the dow looks like it opened 314

points higher, the nasdaq up 175 points higher. the s&p 500 up about 45 points here's what's making headlines, moderna is working on an omicron-specific booster shot that could begin within a few weeks the ceo telling a swiss newspaper only minor variations would be required, moderna did say earlier a booster dose does provide significant protection against that variant the surge in covid cases have prompted the national hockey league to prompt its break early for tonight. we go ahead of the results in testing. the league will shut down tomorrow through sunday. the break had scheduled to begin on friday. covid will not be disrupting their upcoming consumer electronic show. consumer technology association saying that the show known as cas will take place in los vegas

january 5th through the 8th as scheduled. now, they want to implement various health measures, including vaccination and masking requirements, no discussion on what i can see on this, guys, about testing. i think the real question isn't so much will it go forward but whether people will actually show up. >> the company, probably, the bigger question. >> will the company show up? the executives hoping to be there to buy all this technology will show up the sponsors are paying for the foods have been sheffield with their goods. i think that's writ all becomes very tricky. >> i agree yeah, despite senator manchin saying he could not support a social spending plan, the door is not completely closed on the matter, at least not yet sources say manchin and the president spoke saturday night after manchin declared opposition to the bill

they said they would speak again on the matter. guys, from what i have been reading about this and seeing it different places, manchin is pretty dead set on the idea of not having the gimmicks he talked about in the past, he doesn't want programs you go in two, three, four years and not count out the ten-year cost of it how you are adding things up, that he would like to see plans like universal pre k he's long been a proponent of something like that. there is an offer he put to the biden administration, money for climate change and some other issues that they want to put in that again, he didn't want to see anything partially funded. i don't think he's a fan of the parent funding that would go out. he doesn't think it's necessarily spent on kids. so we'll see how that continues to go. >> he also, they're going to great lengths to say the relationship between they were senators together for a long time. >> decades >> that's intact and there was

some things about the staff and the white house staff, i don't know i didn't think the sake, who wrote that, if that's the way you want to get the guy, sort of mend fences, that wasn't the way that you do it until you want -- mcconnell said, hey, c'mon over, if that's what your end goal is to drive the guy right to an independent or they could be an independent like bernie. some independent that said, moving to the right -- bernie, he needs his own lane i think. the latest covid outbreak is starting to show up in some high frequency data, apparently steve leishman joins us with the latest on the cnbc road back barometer. you come up with all these, road back barometer >> i do, i do.

yeah i sit around thinking about this and. >> just wasted and come one some of this stuff, after a grateful dead concert >> i know, you'd think i could be writing songs or advertising jingles or something >> it takes an active mind to come up with these >> overly active as you might think, joe here's the deal. these are early days of the economic effects of the latest wave to show up, but we are seeing the leading emof what could grow into bigger economic impacts, depending on how industries and of course individuals react. that will be a key tsa traffic, you will edge down, now stands at 18% below the level for the same weekday in 2019, jpmorgan chase trailed off, it stands two points below relative spending, the day before thanksgiving. the jefferies u.s. economics

activity index, not picking up weakness, continues to rise. you want to take a look at that more in depth in just a second as of thanksgiving, air traffic recovered to 10%, the seven-day average slipped slowly since and is now 18% down as some travelers, maybe the international ones becky was talking in the last hour have had second thoughts. the u.s. was off to a strong start on holiday spending, but it soon began to lag behind post-thanksgiving ceilings in 2019 it remains to be seen if there is a final surge into christmas. there could be i love this chart. the jefferies index is up. it shows the big drop came with the onset of the virus of the spring of 2020 that's the big v on your left. move to the middle a shallower outbreak last winter you move to the right, the shallowest of all was the delta

in the summer. maybe this next wave will be shallower still the hope is the current wave as the least effective. one key, whether it shows up in the jobs data, employers, remember they've struggled to find workers they might be reluctant to let them go. that could lessen the economic impacts. joe, i think individual sum might be vaccinated with the evidence that omicron has really very minor effects may be willing to take more risks than say in those other outbreaks >> right right. we still don't know, i guess steve, that's the ope. that is the hope that the reason cases aren't mild is they're all breakthroughs or you got some protection maybe for people that haven't had a vaccine or two or three, maybe it's mild with them, too. i don't think we can say that definitively at this point

that's the key question. >> i was talking to a doctor last night who has dealt with thousands of covid patients. so far his take and he success from what he seen was the walk-in. it is a more mild disease. that's his take. again, it's not clinical or evidentiary. i know another doctor at a major hospital says the entire staff has come down with it. that's another care for healthcare as well >> they're vaccinated. you don't know, some vaccinated. some not vaccinated. even in hospitals staff, which is weird all right. thank you, steve leishman. see you later. bye. >> a pleasure. i was reading this morning, omicron has different symptoms, too, maybe one of the most notable symptoms, night sweats, you sweat through your pajamas, sheets and everything else a little different than seeing

in the past. maybe that's worth paying attention to when we come back, supply chain woes, we will speak to an second e executive. a big decline yesterday for the marks. this morning, the dow futures up 312 points the s&p up by 43 the nasdaq indicated up by 167 probably worth pointing out the nasdaq was 7.5% off its highs. it has seen the most damage recently "squawk box" will be right back.

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supply chain lockdowns have been seen throughout the united states they have been affecting businesses in every sector our next guest has seen the effects first hands with his own business joining us is the cfo and coo of essex manufacturing, a consumer home product that supplies to big box retailers, like walmart, c walmart,costco, and many others. i take it you have never soon things like this in your career?

>> i have been doing it 45 years. the best example of this that i can give you is my detention is what you get penalized for not getting containers off a port or back to the port the last two months totaled $100,000. if i go back 45 years, add it all up, you don't get to half that number. >> we have had representatives from the port who's have come on and told us that things have been improving pretty vastly that's not been your experience? >> absolutely not. when they come on, i want to throw something at the tv before they finish speaking the whole issue in a nut shell is about the empties we have currently 350 empty trailers on chassises in our yard and our trucker's yard. the deal has been you turn in an empty. they take the empty. they give you a full container,

you pull it out. at this minute they won't take empties, so we can't pick up anything but the best part of this is the shipping companies are billing us for holding their containers for them so i mean it's minds boggling how someone can say it's improved >> so the day here, the shipping companies, where is the problem and why is this not happening? why are they not picking up the empty containers like they used to >> they're not accepting empties. we take it back to port. they won't accept them because they have no place to store them so what better way to store them than to make us keep them and bill us detention for not returning. >> who is the they, the courts what is the sudden change? is this a difference because there is not a back-and-forth, there is nothing to put in these containers and ship them over?

what happened? >> well, you have to go back quite a while. the gist of it was as we went into covid, equipment was in places and there was an expectation that demand would collapse in reality, demand explode now you have shippers and containers in the wrong places when we played detentions and demurrerers. we haven't returned it fast enough that gets paid to the shaping owner. so i blame the shippers. if you look at what maersk made in 2020, you'd be shocked at the numbers. they continue to do a blind sailings, where you have a boat that's supposed to stop at a particular port and just this week, we are told that nabo, the largest port in the world, which is in china, is being skipped for lack of equipment. what are you telling me, you

don't have enough containers there are empties all over the ports. take them, go back with them >> when you brought these issues up, what's the response you get in return because it's not something we heard as you mentioned from the port operators? >> well, you know, the ports are somewhat at the beck and call of the shipping companies if the shipper says, i can't take any more empties off the pier, the pier gets clogged up and they don't have room to unload full containers but the port operates, it's very nice to say, we have shelf-ready projects going forward that's two years out no matter how fast they come construction, and if this continues like i just mentioned at blind sails, i have a list of shipments who is supposed to have on water december 27th that

says the 1st you were told today the sailing was canceled and they'll let us know when they can give us space. >> is this an issue of so much demand, demand like we've never seen before and the about to undo the balances set up a few years ago? >> it's an amalgamation of many things the first is when covid came, no one expected ecommerce to explode like it did and at the same time, it's not a supply issue. because we can get all the product we want. as a matter of fact, our open border position is the highest it's been. but the problem is, i have plenty of supply i got plenty of demands. but i have a bottleneck in the middle that i'm not able to get through fast enough. and you know as an example, we used to get shipments every week, we would put stuff on the boat it would be here two weeks, take us a week to clear, get it to

riverside, california, we'd be able to ship right away. today it takes two-to-three weeks to get space then the vessels are traveling slower they're taking three weeks instead of two then they sit at anchor before they can come in and an example being maersk september out a notice any vessel they have anchored off the coast will be 21 days until berth. once it berths, it's another 21 days until it gets out of customs and you can get it off the pier it's gone from a month of transit to three months of transit. >> your company is a fourth generation company it's 75-years-old that it has been doing this, i guess my question is, is it still profitable how do you operate around that and what's the solution? is this a way of business that you can continue to do >> we have been operating around

it this didn't just start this past fall this really started i can till the summer of 2019 but the way we get around it is fairly simple. one, we try and pass on as much of the increased costs as we can two, we have retail partners who understand the problem, as an example supplied by walmart and compositeco, cha-- costco. chartinger their own vessels it used to be 25% fob in asia and 75% fop at the facility side now we're about 50-50 because we went to some of the retail partners and said, look, you guys may be better at this than us maybe you can move it faster which was the case with costco and walmart chartering vessels. >> quickly, you said this

started in the summer of 2019, that pre-dates covid, what caused it be every the pandemic? >> well, a lot of this is what i would call anecdotal for example, in 2018, we were paying $1500 a box in may of 2019, they jumped it up to 2250 a box then throughout the fall of 2019, we would book space on vessels and we're a 52-a-week shipper, we ship a thousand trailers a year. all of a sudden they were getting bold we'd get the booking, get the container, we'd go to bring it back and they'd say there is nothing on this boat, even though we told you there would be, it may be next week, the week after that. then covid came. the next thing you knew, the cost of the container for us went to $3,000, 3500

today the spock rate is 25,000 which is obscene >> peter, i want to thank you for joining us today it's a unique perspective we don't often get to hear. we appreciate your time today. he is with essex manufacturing thank you for being with us. >> thank you, happy holidays >> you too. okay coming up on the other side of this break, a big luxury player getting an unexpected boost from much younger crowds, who would have that story for us only one person, robert frank would have that story for us he's got the details right after the break. then new york city hospitalizations on the rise amid the latest wave of covid. the special pathogens program to talk about hospital preparedness and so much more don't go

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. welcome back to "squawk box" this morning there is a new wave of super spinners, not super spreaders out there. they are snapping up luxury goods during this time robert frank joins with us that story. robert, good morning >> good morning, andrew, luxury

companies started the year betting on china, instead the u.s. has been the big upside surprise a new report from jefferies showing global luxury revised it in north america by over $30 billion over the next three years, expected to top $100 billion in 2023. the big reason we've now got a wave of young wealthy super spenders using their crypto and asset wealth to buy everything to cardier watches the buyer is now younger and affluent and above all, from crypto currency wealth, which has increased the total of cash transactions, now, north american share of global luxury spending expected to grow 23% to 25% next year. though china is still going to lead the world by far at 40% of all global luxury spending

stocks, lb&h, over 70%, carrying over 20%, andrew bernardo the chairman has added $50 billion to his personal wealth this year because of that stock increase he is, of course, the third richest man in the world of lvmh >> are any taking compensation in crypto? i don't know if you saw our talk with sharon epperson this morning? >> no, arnott is the major shareholder, the whole family is now employed at the firm but it's interesting, if you look, we did a survey of millennial millionaires, more than half have at least 50% of their wealth in crypto, which means they probably earned them their millions in crypto so there is a vast new population of wealthy 20 and 30-something's that became

wealthy from crypto. now they're spending it. >> it's amazing. it's like we're in the future and i feel like i'm in the past. but robert, thank you, happy holidays see you later this week. appreciate it. >> thanks. >> becky >> hey, becks. i don't think beck question can hear me. so i'm going to do it. coming up, when we return, the omicron variant now the dominant covid strain in the united states making up 73% of cases. we will speak to the pathogen preparedness doctor in the latest surge in covid cases when we come back meantime, check out the futures of the dow this tuesday morning. we are in the green, nasdaq up as well about 1ative points, s&p 500 open about 45 points higher. we're back in just a moment. >>

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. president biden is scheduled to address the nation today outlining new steps in the fight against covid, ahead of that speech, a senior administration official telling reporters that the biden administration will

open federal covid testing sites in new york city this week the white house plans to buy 500 million at-home rapid tests. americans will be able to order them online for free starting next month a senior director of the system wide special pathogens program at new york city health and hospitals and doctor, what do we know at this point about omicron? it's taking over quickly is it possible that the optimistic case could be that it displaces delta with a less virulent strain? can we hope for that >> well, i think right now what we're seeing is omicron half dominated the playing field. we're seeing every three out of four infections are omicron, so it's not only growing explosively, it's using a vertical growth. it's concerning. i am concerned about those unvaccinated the thing we look at is omicron

going to overtake delta? i think that's the case. we will probably see both virulents, the most we know is is it going to cause more severe illness and death? there are some really good reports from south africa, the uk and other parts of the world that's showing that it is a milder vir leapt compared to delta and areas of concern we still need some more data i think what i am hopeful of is hopefully after seeing more infections with omicron, they hopefully won't translate into more death >> doctor, is there -- has there been in the past historically in epidemiology, has there been a case where a less virulent strain, it's sort of the beginning of the end of a pandemic and is there a positive or optimistic scenario that could result from this, where you did see it replace delta and

burn itself out, it's a much less deadly strain of covid in >> i mean, it's a great question i think as you look is this virulent going to cause us to transition into that endemic state. if we look at the silver lining, omicron a being more transmissible. which is very concerning, on the other end, perhaps more mild, will gain more immunity, hopefully through vaccination not natural infection, that's putting others at risk for hospitalization and long covid i think it will provide much more immunity in our population. when we see another virulent i think with the evolution of this virus, we will see more in the pipeline in the future, at least, we will be better ready we'll have more immunity in our population hopefully, it will pre serve hospitalizations in our hospital capacity that's one of the biggest considerations that can ensure our hospitals do not get overwhelmed. >> hey, doctor, we were talking to steve young about the nfl and

their decision this week effectively to suspend testing of players that are vaccinated, boosted, but are asymptomatic. what do you think of that? we were talking not just about the practicalities within the leak, itself to the extent they are a role model for others the signals that that sends? >> well, i think at first, we're going to see a lot more breakthrough infections. we will pick up more breakthrough infections and boost it the question becomes, do we want to eliminate all risks of introducing the virus in these settings i do think there is a case for that we want to make sure we are trying to reduce the number of infections as well as hospitalization and death. we are still in the emergency phases of the pandemic we should couple it with testing. we should try to keep the virus out. we should try to make sure people are safely vaccinated and they're doing things outdoors, if they can. obviously, nfl is very

different. it's a high contact sport. we should continue to apply risk reductions measures until we are out of the way of the pandemic >> doctor, i heard some concerning news that the pcr tests, sorry, not the pcr, the rapid antigen tests aren't necessarily picking up on some of these infections quickly. i don't know if you've heard that, if you could expound how much people could trust the rapid test participate >> testing is a point in time. when you look at this new omicron variant, incubation is shorter, with delta it was five days, four days, we're seeing with this omicron anywhere from two-to-three days. getting tested, when you have exposure, symptomatic and think you have been exposed. it's important, testing is a point in time so doing testing multiple times will give you a better indicator whether you are actively infected.

the investigation is you should get tested a few hours or in that hour before the gathering i would recommend that you get tested ahead of time as well so it will give you a better indication of truly whether you are positive or negative if you think you are exposed or symptomatic, i would not venture out and go to these gatherings you obviously have a higher suspicion rate. >> doctor, one of the other things we have all been talking about is this ten-day quarantine period, especially for those that appear to be asymptomatic a. lot say this isn't a health issue, this is a life issue, do you have a view about whether the policy should change and there should be an ability to test out or do something else? >> well, i think for those that are infected with covid-19 and fully vaccinated and received the booster, i think it should be five days, not ten days

we have enough data to show five days is good enough. if you want to be on the safe side, we can couple that with not pcr testing. i would couple that with about jen testing or rapid testing in day five if are you negative, you should feel confident are you no longer infectious, those no longer vaccinated, i would say the full ten days as we head into the third year of this pandemic, we have public health policy people will follow, not think, i'm going to stay home ten days, and i'm fully vaccinated >> if you were advising what i was going to say the great pfizer and moderna, i don't want to say that, i feel that sometimes, this is saving the world, obviously, if you were to advise their researchers would you be focusing on an omicron-specific booster or would you maybe save your -- you don't need to save it,

obviously, is that what we should be doing? delta seems like we need to take care of that one as well i don't know if i would transition the wholeprogram to an omicron booster, would you? >> i think there is value to developing an omicron-specific booster, that way it can prevent more infection we're seeing with the current boosters on the virus that we have been seeing early on, it still provides really good immunity, significant immunity to your immune system. at the same time, we want to prevent more infections from happening. we know a booster can accomplish that it can happen in the parallel. >> in the most positive therapeutic you think of is in the works. is it the pfizer whatever it is? >> yeah. so, you know, as we look at our therapeutics right now and monoclonal anti-bodies, we look at anti-viral treatments, pfizer looks very promising

i'm eager to see it get authorized in the u.s. i think it's good news on that front of the >> very good all right. thank you very much, doctor, stay vigilant, obviously, but i don't know if there are some positive things we can glean from what you told us today. thank you. >> thank you >> okay. bye. when we come back, we're going to be talking about morgan stanley investment management, global chief strategy ruchir sharma let's check out the futures. dow futures indicated up by 300 points off the highs still a big bounceback the nasdaq indicated up by 183, "squawk box" will be right back. >>

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are. well some back to "squawk box. omicron fears caused the dow to drop almost 400 points and erase the gains. with the continuance of the holidays it looks that way this morning. volatility upside, his latest piece is retail investors riding the combul mabull market should

backlash what do you mean by that >> the point i was making which is if you look at what's happening around the world, we've seen massive amount of retail interest in the market. which is type. it's a frantic base of trading activity we see from retail investors that is the cause of concern to me. what happens is the market is going south and especially because if you look at this, a lot of politicians in the u.s., we've seen it across the aisle both democrats and republicans have been celebrating bar tis pacing of finance. the problem is to the investor has a ride to the party rather late after the pandemic, the investors showed up. before the pandemic, there was

participation in this bull market so it comes late to the party. at the other side it's selling heavy, some prominency so that is something that concerns a lot of regional investors rather late and what happened is politicians having backed them in this market in this speculative manner >> i think the big question everybody wants to know, is how late are they? if the party started at 11:00 p.m. it's good if it's over at midnight, it's different if it closes at 5:00 a.m >> that's what it is we don't know exactly when the pare ends, if you look at the

big bull markets of the past 100 years or so, what we do know is retail participation always comes very late. back in '99, 1973, the bull market there are some built-in signs we are very late into this party weekend we know the fundamental reason this party has gone on is the price of money has been so cheap. yeah, it does seem it's not just the regional investors the market and all sorts of markets and the explosion that's taken place. there is widespread marks. >> is the sharm ma family

selling? are you going to cash? what are you doing as a function of this view >> yeah, so definitely sort of diversifying outside the united states because u.s. has just done so well and, yeah, in terms of lining up as far as the u.s. is concerned, now that we get speculation in other parts of the market as well, generally the next two years, the u.s. market ends this massive period of outperformance. >> and your view is europe out performs, india -- if you are not going to invest, where do you think that out performance comes? >> the emerging market china seems to be the both opportunity in the world europe and japan have no value emerging markets exchina have

both value and also. i think that's attractive. if you look at the world, the same stockmarkets, nine out of tens are emerging markets. so it's a very broad space and you have to have a gap to make predictions. the emerging market is the place to be over the next two years. >> you said exchina probably three times in the last 60 second, so it raises my antenna to know is there no rational for investing in china right now >> it's a very big mark, so it's a blanket statement to say, no, yeah, i have been very public about it i think the fundamental amounts have change d in

the demographics are turning significantly. something which i think is really underestimated. we knee to beat china next year onwards, the population begins to decline, in 202003, it begins to shrink, negative demographics, that's a regime that is very keen to winning abnormal profits by the profit sector in china. so that is one emerging market i would not put much capital in. outside of that i think it's plenty of opportunity, india is up more than 20% that's a start in some of knows markets. >> we could not have a conversation about what's happening in the markets without at least mentioning crypto

what is your view? would you invest in crypto right now? >> yeahing i say i have some exposure towards recommending that i think we are seeing there is no alternative for the u.s. dollar in the currency, the position got so frantic but yeah i have generally been a positive we need this but area i do feel some alternative has to come up to the u.s. dollar and no other currency is able to step up to it so they will end up searching and the crypto currency is one alternative to it. >> okay. ruchir, we want to thank you for

your thoughts, always a fascinating perspective on where we are, we will see where that party will end it may take some time to find the answer, though, happy holidays thank you. >> look out, guys, just when you thought things were getting better, the global supply chain constraints are starting to show up in pretty unexpected places will you not be able to get those french fries in some places mcdonald's outlets in japan will stop selling french fries for a week because of delays they've had in potato shipments. look out you better get out there and store up now >> i saw that. >> they're rationing fries >> we can agree. i know we have our thing about chipotle versus taco bell. we can agree those are the best all around >> thin, crispy, yes

>> i love wendy's are better >> they're not >> better than they were >> yeah. not better than mcdonald's fries. >> i don't like the fries you sometimes get at a strauptd, you can tell they're not cut from potatoes, they're sort of reconstituted. they're a lot like that. >> they're not nearly as good. >> how do they cut them? >> they're not like actually cut. they're xoftd. >> oh like chicken nothing et fries? >> right >> you shouldn't be able to get two large fries with a sandwich. that's bad anything in moderation, don't you this i really? >> sure, just about anything >> how about the front row how about the ones like julien

>> or old bay seasoning on >> chili cheese fries with a shot of tequila? >> surppicy fries from arby's >> that might beat mcdonald's. that's a specialty fry >> french fried shrimp. coming up. a oem vonn spreads, many find testing sites longer an update on turn around time. >> as long as we talk about dental floss dental floss >>

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entertainment giant not before sitting down with cnbc the final hour of "squawk box" begins right now >> good morning, welcome to "squawk box" here on cnbc live from the nasdaq market site in time's square. i'm joe kernon along with becky quick and andrew ross sorkin we are looking at firmer term for equities the nasdaq 180 points a.ifies bounce back from three straight sessions that were not so great if you are bullish or long treasury yields back above 1.4%. the fear of a global slowdown now 1.45

oil prices playing along as well 1.3% still under $70 becky, what happened to you? are you still thinking floss or fries at this point? >> i'm saying whatever occurs to us this is a kind of a free-flowing show.l we go where our minds take us. >> we do >> okay. >> we let the knew viewers in. we like them to come along on our strange journeys with us >> we're family. >> let's take it to corporate news this morning. >> did you hear something from someone? no >> let me talk about corporate news, nike posting better-than-expected revenue, backing its four-year outlook. it's benefiting from stronger demand in north america. nike is still continuing to deal with supply chain pressures like everybody else on the planet the company cso says all factories are up and running and production is 80% of pre-closure

levels you have a lot of demand, too, not a lot of supply, too much demand, nike shares up 3.65% 162.65 joe pointed out earlier, the dow component helping the dow. another stock to watch is mikem micron the results were driven by strong data center sales if you want to look at nvidia, amd, intel, all those stocks up consistency, inindividualia is up 3%. right now, it's up $285.75 the semi conductor is higher we will talk more in a few minutes with analyst dan ives. in the meantime, nichola --

nikola had misleading statements by the founder and former executive trevor milton, they agreed to pay $125 million in an sec settlement that stock up. president biden scheduled to address the nation outlining his steps in the fight against covid. this is the cdc reports the omicron variant is now the dominant strain. meg tirrell joins us with the latest >> andrew, this new plan includes a lot about public testing. they are calling for 500 million tests purchased by the government, home rapid tests available for free this won't happen until january. right now, testing demand is incredibly high. this is just the lab test, cr test we're doing about between 1 and 2 million per day right now. this is just what's happening with these pcr tests we talked with the testing

expert who estimates this rapid home test and other tests were doing closer to 5 million per day here in the u.s. with oem krorng given how quickly it spreads, they have 10 million with omicron, it can be tough for the system to keep up. here's who she told us >> we are at a very, very tough moment it's the perfect storm, omicron with the holidays, with the flu season coming. and the demand for testing through the roof and the good news is americans have embraced testing. the bad news is there is not enough testing in all the right places throughout the nation >> now in terms of turn around times for pcr tests, quest and lab core tell us they are averageing one-to-two days we are hearing of a lot of folks getting tests in new york city waiting three-to-five days for

results. we know that's too long. when it comes to rapid tests, we seen them increase, they are getting increasingly out of stock, like vcsing walgreens, walmart, they're spottily available. same thing with stores cvs told us due to an increase in demand they could see shortages on line they are working to build a ship around it they do see temporary outages in local stores this is difficult for folks. there are different issues for the lab tests and the rapid tests. the lab tests the biggest issue is labor, having the people to perform the tests. the second issue is the supply chain, all the materials you need, in terms of the rapid tests, it's the exact opposite the supply chain being the biggest issue, the second one is labor, hiring the people for the plants to make them. guys >> meg, is there any conversation in washington

around all of the gouging that's going on with testing? meaning, there are places in new york city, for example, for a pcr test charging up to $500 to force people or claiming they can get it back from the insurance company when it's unclear whether that will ever happen you see now, you go online f. you want to buy next tests, which are hard to come by as you know, there are folks tell e selling them for $40/$60 a box i know there are times when in crisis around the country when there are certain types of crises, the government says you can't gouge. >> absolutely. it's not something that we've heard being top of mind, but st certainly, folks are looking at this, it's something we've seen before with other crises, we hear about this in the case of hurricanes, you can't price gouge for necessary materials. more frequently, we've heard about fraudulent tests and fraudulent supplies being sold

and that being cracked down on that's a really important point, it's something a lot of people could find themselves getting caught up in there is so little supply. >> how quickly do you think that $500 million rapid tests that the white house were going to be hearing about later today, how quickly do you think that that will get into the hands of americans? >> yeah. all we know so far that this is going to start in january. there will be a website where folks can go and order them. we don't have details, who the suppliers will be. what the cadence of available will be, how long it takes to get them we will find out those details, the question, of course, is, are these 500 million, they're not suddenly magically being created out of thin air, will it make it more difficult to find the tests in stores and other places of course, the fact that they're free is fantastic. we'll have to see how this plays out. >> okay. meg tirrell, always great to see you. thank you for the news

joe. >> thanks, now to the marks, mike santoli watching the tape for us hey, mike. >> hey, joe, the theme so far this week is about the bottom ends of trading. tentatively. yesterday's session we're down more than 1% in the s&p 500. late morning, really the selling was through. if you take a look at how it's been the last couple of months, that kind of represents the vicinity of the lower trading end. it's where we peak early september. keep pointing this out, the market is oscillateing, no incremental bad news yesterday or even today on omicron, a lot of attention on the possible for lower investority, small cap stocks in a weeker position, also trying to latch onto the lower end of a much longer-term range. this goes all the way back to the very beginning of the year around 2,100 so, obviously, you got a little stabs below that, yesterday as

well, this is again a little not quite as convincing perhaps as the low end of the range a lot of very washed out stocks, small cap growth did better yesterday, did a tremendous amount of selling below the surface. you wonder if they have largely done so by now the bond market, you were talking about this, the ten-year yield drifted higher during the day. rick santelli has been very focused on this area, in the high 130s, 136 to 139. not only is that where the yield broke out back here in the fall, but also if you go all the way back before covid, it basically was the all-time low yield in 2016, 2012 so there is a lot of attention on that, the idea it can stay above there, the net positive, the ten-year treasury is not serving as that much of a beacon of exactly what growth expectations are it's better that you don't see that kind of flight from risk.

people wanting to just lock in the long-term duration of treasury yields, guys. >> the calendar is right in front of us here, mike i don't know whether in the pandemic world, i don't know if things even rhyme much less repeat themselves. but anything that we should expect between now and the end of the year or the beginning of 2022 what do you think? >> look, of course, there is a net positive bias. typically this time of year, it hasn't helped you out. we are kind of flat for december as of now. so you would think all else being equal, you have some positive tilt towards the final several days of the year, into january. the other dynamic and what was originally and traditionally known as the january effect, was not the tendency for the market to be up in january. it was the tendency for small cap, up to date performing, high risk stocks that got blasted late in the fourth quarter start to revive the next year, that's

something maybe we've set the stage for given the carnage in those areas of the market. >> okay. great, thank you merry christmas. coming up, it's saturday, right? holly mack yeah, it is. >> coming up, the other coming up, followed by tech analyst dan yi ives first, check out the pre-market nasdaq movers. stay tuned are you watching "squawk" right here on cnbc

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welcome back to "squawk box" this morning chip stocks rising this morning after that upbeat report from micron, joining us to break it down dan ives managing director at web bush securities you have always been a bull, does this make you more bullish? >> exactly the news you need to see, omicron worries fundamentally what we see from micron, that's bullish for chip sector, not just nvidia/amd, i

think broader across tech. this is something that's important because it's the ultimate chip shortage starts to moderate into the first half of the year, it's going to remove a major dark cloud over tech stocks, you're bull, you wake up to micron news, that's what you need after white knuckle few days here. >> you just said the chip shortage would lighten up in the first half of 2022 that's not what we are always hearing from those in the tech industry, many talk about the second half of '22, the first half of '23. what do you think it is? >> all our checks are showing a clear moderation, not just when i look at auto plays, testing. when i look at 5g plays, we see a moderate february/march moderate second half supply seems to be more balanced with demand. that's important that continues to be the biggest risks across the tech sector

that we've seen. i think that starts to moderate, i don't think the street is factoring that in, more and more the bred krums are bullish that's important going into next year it's a part of why we believe tech stocks are up another 20/25% going into next year flu is said the words 5g for many years up until basically 12 months ago, we used to august about this great migration over to 5g, how it was going to change the entire landscape. we haven't talked about it much, is that because it's not happening? >> you have verizon needs especially in the u.s. we're starting to see that caught 1st, second inning. when you look at 12 iphone, 13, more and more from a capacity perspective, i think 5g from the application to the echo system, that will be a big focus as we go into 2022, 2023, it speaks as

to what we're seeing i think it's the fourth industrial revolution going on that's why in tech when you look at 5g, ai, you get cloud, cyber security these are massive schemes, we expect up to 2 trillion to be spent, which is as much as it will macro-worry here when we think of tech stocks, the winners continue to move higher across the sub-sectors >> on the other side as people worry about inflation, they worry on the other end what j. powell is likely to do in '22. you've seen you know the nasdaq has gotten in i don't want to say wrecked. it's come down, some think it's oversold some think it's not sold down enough you throw the variant on top of that typically, people who rush back into tech, in fact, they're not. why is that? >> i think you have to separate, the last 18 months, really any tech stock you owned went up to the right.

it will be a stock picker's market and valuation centric that's when you look at areas like cloud, cyber security, i think fundamentals could be 15/20% above where the street expected i think there is a subsector, you talk about now piling into the tech game, some of the work from home and obviously some ecommerce plays, they continue to sell-off. i think it's where your position in tech. this is more of a digestion period rather than a broader/negative trend focus on cyber security cloud, apple continues to be our favorite microsoft and apple is 3 trillion market cap in 2022. >> just so we're clear, if 23 have this conversation a year from now, next christmas, if you only own one stock, apple you think that will be the outperformer in this space >> i think apple not just on the iphone cycle that continues to play out, with apple glass

coming next year, we believe as well as services, i this i that starts to be somewhere between a 3 and 3.5 million market cap >> dan ives. thank you. when we come back, everybody is talking about the metaverse, even though they don't know what it is. how can investors bet on the future julia boorstin brings us answers. >> julia boorstin, this is my avatar we're kicking around the virtual pe fd and tell you what to exctrom the metaverse. that's coming up later in the show at a... baby on the field?? it looks like it, craig. and the defensive linemen are playing peek-a-boo. i've never seen anything like that before. harris now appears to be burping the baby. that's a great moment right there. the ref going to the rule book here. what, wait a minute! harris is off to the races!

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welcome back checking the futures, we pulled back a little bit. we were up over 300, 330 nike is very strong. we're up 260 and change on the dow standard & poor up 38/39 the nasdaq strong on a relative basis up about 167 points. andrew >> we are going to talk about the met a verse. many companies from facebook to nike are talking about many things julia boorstin is taking an in-depth looking at what's next as businesses move into the

virtual world. julia, i don't want to say i'm disappointed to see you. i was hoping to see your avatar. >> you will see more of my avatar you saw my avatar for the these. right? we have to mix it up we're still in this hybrid world. andrew mark zuckerberg said it will be a decade before the metaverse is truly realized there is a checkive immersive world. he's talking when you have head sets and everything is inner operable the tech platforms are already here that could define the universes. mark zuckerberg's vision of the metaverse is fully immersive the people are already exploring virtual worlds without a world let's build an avatar. i got some ear rings you can explore, talk oother avatars, play black jacks and

buy telling tal real estate. companies can buy ad space road block isn't just a kids' game it was an early pioneer of virtual worlds now you can buy digital products from big name fashion brands, like ralph lauren. >> i can buy a ralph lauren beanie. >> they can buy and use roebucks to apply the virtual goods you want the real immersive experience, you need to have a head set to explore horizon worlds >> met that is working to bring remote workers into a similar space. it's designed for meetings it's a design of what the professional metaverse will look like, another, fitness, one of the companies leading the way

fit xr, that offers dancing, boxing and high intensity interval training classes all in a virtual space. >> it was a lot of fun to explore those virtual worlds this is the quest but i have to say, it did take a while to loadage setting up the head set, it was a lot easier, but it's still not quite as easy to get into those worlds as it is to stay setup in iphone i will be diving into the new mile stones to make it more accessible coming up tomorrow, andrew >> they said you did two thichlgs one was you talked about decentral land, a digital world where people are buying real estate and i remember when i first heard of this idea, i couldn't get my head around it you also, though, talked about

buying ralph lauren beanies i assume from row bucks, which is real money my kids are always asking me to reload their row bucks do you believe people will buy digital billboard if that's how this is all going to work? >> afternoon drew they're already doing it in road blocks, that's what's happening this is not truly a metaverse, it's not all truly connective or immersive. the day i can bring it from the quest, the oculus world into road block, each are met a verses, people are spending money on real jaet e estate that they can't take auto of those worlds for the most part so i think we are seeing these take holds, i think it's interesting. this isn't plugged in you don't

have to plug this in, back in the day when i used to demo every head set they'd be stuck. i think we're seeing the beginning of something new here in that it's easy for someone to try something out. ly is road blocks, you are aware of this, your kids are playing, it's about letting people create you can buy real estate and build some experience on it that other people would get to par at this time pace in if you're in horizon world, you can build something like a waterfall some person built in their spare time the idea it will be created by other users is about the metaverse and web 3. >> julia, i would say there is

still clunkiness to it when you did the tease, your hands were coming through the desk it reminds me back in 1999 i wrote a sorry for t"wall street journal," we got the christmas tree, the present, everything wrapped, christmas dinner, all of it delivered to the journal's office, we were gleeful that we could actually do this now that's how people operate more than 20 years later times do catch up. it looks a little different when it actually gets here. >> look. it's a little clunky the reason you saw my hands doing that, these are the controllers. you can put them down on the table. they can sense where your hands are moving some of the times i was waving them around. sometimes i had them down they would capture my hands i use my hands an awful lot. i think you are right. there are elements that are cool

and seem to work seamlessly, some of the websites, they did take a long time to load i think this is really just early days and the technology will gets so much better i will talk about tomorrow what will make this experience a lot more accessible. >> i do look forward to it i enjoy seeing it, thanks, julia. coming up, an exit interview with bob eiger we have that eluvexcsi interview coming up next, "squawk box" will be right back why not both? visibly diminish wrinkled skin in... crepe corrector lotion... only from gold bond.

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if you're feeling anxious about the future, you're not alone. calhope offers free covid-19 emotional support. call 833-317-4673, or live chat at calhope.org today. disney chairman bob eiger is stepping down from the company at the ends of a nearly 50-year run. he spoke to david faber. david joins us with the highlights. david, this is really the end of an era. i was thinking back to michael eisner's days there. bob eiger came in and has done such a phenomenal job, better than just about anybody was anticipating it was hard to see him leaving at this point. >> he did step down as you well know, becky, at the end of

what's called february of 2020, right before the pandemic hit very hard and, of course, he had had three times that we thought he was going to step down as ceo only to stay on. but this time is for real. he's got about ten days left as you said on a career that spanned some 47-plus years at this company starting as he did in sports at abc at 23 years of age. we did have a chance to sit down for a long period of time late last week in disneyland and talk about his career, the challenges facing did my at this point. a lot of other things you don't typically do in a cnbc interview. i did ask ierg at this moment as he looks towards the future and his path to disney, whether he's got any anxiety at all >> there is no opening sight about that at all, sadness, because i'm leaving people that i love working with and a company that i love working for, but no remorse, no

second-guessing, no anxiety. >> you don't regret having left when you did and stepped down as ceo when you did >> no, no one knew that the pandemic was going to explode the way it did i think at the time it was unfortunate. but throwing a new ceo into that circumstance was difficult, but, no, i have no regrets about having made that decision. it was time. i didn't want people to say be going around saying, when in the heck is he going to leave? isn't it time? i'd rather have them say, gee, did he have to leave when he was leaving? we would have liked him to stay longer i am getting some of that. >> i caner turns 61 not too long from now it is time as he said. there is going to be a lot more of this interview throughout the day, including, of course, a conversation about what will be next for him in addition to so many things that we have for

you. >> david, i have been waiteding to see this, so, really looking forward to this, of course, it raises a lot of questions, too, about the ceo to the and what he is doing he did step in as an incredibly difficult time with the pandemic happened has had to grapple with a lot. how are things looking for him right now? >> there are no shortages. there have been decent amounts written about challenges cheney ch -- between chapek and eiger. eiger didn't want to engage too fully on it. i don't know if we had time. i asked him if there were returns in relationship between the bobs at this course as you know it is mr. chapek's show, that's something eiger agrees with. >> it shouldn't be a concern to disney shareholders at all that any dynamic between us would have an impact on the company long term. i'm leaving, he's in, it's his

company. he's going to manage it as he sees fit he sees fit with the board under circumstances that are different than existed when i was ceo and chairman they're changing as we talk, so rapidly. and you know he'll make his own decision and hopefully, he's learned good lessons i believe that he has in terms of some of the things that i did along the way and what worked and what didn't work i think the relationship i had with him is not really relevant to how effective he is running the company. >> to your point, though, becky, no shortage of challenges, clawing focus on direct-to-consumer, whether or not disney is broad enough to continue to the move towards that 230 million subgoal they vietnam it's obviously years out, but certainly some questions about that >> you know, he did sell, eiger did. he sold $90 million early this year he was back in june.

if he thinks there is no concern to disney shareholders, maybe people would look at his actions. >> he still owns a decent slug of stock as well he is a significant shareholder. it's a good point. he did monetize. he was ceo during a very strong run for the company. he talked so much during the course of the interview about the decisions that he made, including, of course, in the beginning with the acquisition of pixar and moving on there through a significant acquisition run. the opening of disney shanghai it went 40 times high as his tenure at ceo. so much to get to. we will also get to the challenges as well you point out, whether it's direct to consumer or espn and sports rights. it's nice to be able to sit down with somebody for over an hour and have that kind of a conversation it's a rare opportunity. >> i'm looking forward to it thank you for a little of a tease there. i am sure everybody will be on

board watching too, see you in a bit, thanks. now to washington, where politicians are talking about senator joe manchin's vote to say he wouldn't be for the current build back better plan for president biden. a move that killed the bill at least in its current form, one reason manchin gave was economic the senator from west virginia argues the infusion of government suspending would make situations worse joining us is austan goolsby, professor of economics at the university of chicago school of business and former chairman of the economic advisers in the obama administration, michael strain, director of economic policy studies at the american enterprise institute austin, looking at some of your comments, nobody knows whether a smaller deal or smaller bill is a possibility and it seems like the door is left opened. manchin reportedly was in favor of some of the proposals, just

not maybe that the overall ties and costs, but you say even if he doesn't, biden at this point his major accomplishments will be the rescue plan and infrastructure bill. you think both of those are substantial given that it wasn't a huge win where you swept huge amounts of the senate in the house. he's got an lot done for not having huge majorities in either chamber. >> i'm not sure it means i need a rapid test i think i agree 100%, for a brief moment, you were the second most important joe, you know, in the public eye. we got joe manchin first i think the white house absolutely now needs to decide, do they want to do a partial bill, do they want to figure out what in build back better joe manchin would support. the oldest rule of economic fear

e theory is, you got tore 50 votes if you want to do something. so i think the infrastructure bill was a major aeccomplishmen. i think the american rescue plan in that we did not have something deeper and longer-lived in terms of an recession coming out of the resurgence of the virus. knock on wood, let's not experience na again with omicron. i think those will be the major legislative accomplishments, now they should get what they can get. we'll have to see how it goes. >> austin, the build back better bill then i'll get to michael, but the build back better bill, was it important right now to help the economy continue healing from the pandemic or was it a collection of things that dralths have wanted for years and years and years and, therefore, a bridge too far given that the -- you didn't have as i said earlier, it's

50-50. if you want to do something transformative, instead of pillaring joe manchin, why don't you elect more senators? >> yeah, look, 100%. i think they need to elect more senators i think i don't believe that build back better was about short-run stimulus that's why i think just on factual grounds, i disagree a bit with senator manchin i don't think it would have much on inflation up or down, because it's spread out over a number of years. the impact right away wasn't very big so i don't think it was about addressing covid-related things. i think it was about investments in human capital that have been neglected. >> michael, the, i don't know, aei, american enterprise institute, that covers a wyeth

wide range, it's not a monolith of people there. in your view, how much credence do you give to the notion it was a major transformation of the united states into an entitlement state where you had entitlement creep up to the middle class where perhaps it's not needed, and when you do fund entitlements with higher taxes, there are people at aei that would say that's a problem right from the start, it's going to impact private sector growth >> yeah, joe, first of all, let me put this in as i speak for myself and aei issues, there's a lot there, it's problematic. the tax increases on corporations would violate president biden's pledge not to increase taxes on households that earn less than $400,000, some increases would be formed by workers in the form of former wages. i do think it was a step towards a larger middle class entitlement stage.

i don't think that's deniable. i think that's the goal. whether or not you agree with that goal is you know a matter of politics and political philosophy and government things of that nature a separate issue that i had with build back better is just in the design of these programs that we're in it. the design was very poor and led to a lot of money being proposed to be spent that wasn't necessary. for example, it makes no sense to give the same child tax credit to a household earning a six-figure income as a household with no earnings it doesn't make any sense to have a paid leave program that would benefit upper income workers who are and have paid leave from their employers the structure of the child care subsidy would get us in the same position that we were in, that we are in speaking of medicare,

with higher education funding, the plan is to boost the demand and subsidize it with tax dollars. the only to subsidize it for some people. you are really hurting a lot of people by the cost of commercial day care and you are in this situation where you are chasing your tail, you subsidize it, that boosts a demands and further the price goes up and up and up so a problem i have with it is the middle class entitlement society. but it's also just, it was just really poorly designed i think it's better for the country and the economy that it didn't pass. >> they're telling me to wrap, austin thank you both austin, i was going to ask you whether as an honest and good person, do you have a problem with ten years of taxes for one year of a program? did you know that was fuzzy

math >> did you say something about honest, mr. i still owe you two years? >> now omicron it's all occasioned against us it's hard to get it done, man. it's hard to get it done it's external things, austin, now, no fries. now it's tough to get fries. there is a fries shortage. thanks. coming up, jim cramer on the trading day ahead. stay tuned

welcome back to "squawk box. we're going to get down to the new york stock exchange. jim cramer joins us. jim, it's great to see you i know you tweeted, this is at 3:53, today is the day the santa claus rally starts, 2007 to 2009, so it's hard to doubt, futures are looking positive this morning are you a believer >> yes, i am the word i was usingfrom the great historian larry williams, we went over every single year during this period, if you bought today and held on for six days, you make money almost every single year, it is uncanny. remember, even in 2018, when they were talking lock step three, you still made money. so you are dealing with some of

the toughest years and it worked it is hard to go against something that's been right every time that's making money sometimes it makes you laugh >> to be clear, a short-term trade today to new years the trial frame, the window? >> it is a short-term trade. then you start getting into positive seasonality in january. we had this downturn and the santa claus rally would dictate that the rally is now over. >> finally before we go, i saw you tested positive again today? >> yeah, what a bummer you know, i mean, where did i put my thing yeah, i tested positive. that's thursday, friday, saturday, sunday, monday, tuesday. if i were in the nfl, i would be playing. but that -- i'm not in the nfl so i'm not playing >> jim, we will see you, hopefully playing on the field a little bit later on "squawk on

the street" in just a little bit. good-bye, everybody -- what did you say, jim >> i'm on ir injured reserve. >> injured reserve we're -- >> i wanted to be on covid that's it. >> you're playing injured. we know it you can check out cnbc's investing club with jim cramer shoot your phone right at the screen as we speak that newsletter that he's doing bsiponr unreal and worth you sucrti "squawk box" returns right after this

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thank you! a customer service rep is working unseen, making it happen. and at genesys, we're proud to help them help you everyday. welcome back to "squawk box," everybody. joining us right now to talk about the markets is greg branch and kevin munn let's talk a little bit about what's happening here. kevin, let's start with you. you've been worried about overvaluations in the marketplace. now that we're starting to see some of these sell-offs, this is an opportunity to buy, as far as you're concerned >> it certainly could be we saw the pe of the s&p 500 as high as 33 at the midpoint of this year.

now it's down below 26 and we think growth opportunities are going to be that much more difficult to find next year. in fact, the outlook for next year is still growing, but yet slowing. investors will need a lot more selective to find those opportunities and we think financials in e-commerce are two of those potential opportunities. >> we're going to talk about those areas in just a minute greg, you're a little more concerned at this point and say that you would not buy any of these sell-offs at this point. why not? >> yeah, look, to an extent, i agree with kevin i don't know if now is the time. we know that omicron is more highly transmissible we know it is more immune and treatment elusive. so we know things with certainty. we know we're going to see a macro downgrade on gdp growth both global and the u.s. we're going to see downward

revisions with certain serctors and tightening the mandates cause further pain in the supply chain. until we're on the other side of those things, until i feel like those things are fully digested, fully priced in, i just think there may be better opportunities down the road and i'll wait and see how some of that plays out >> kevin, you mentioned financials in particular they have come under pressure in recent days as we've seen some of the sell-offs why do you think that's the wrong move >> we heard from the fed last week that we're clearly in a rising-rate environment now. whether you agree they're going to hike rates three times next year or two, we know over the course of the next three years, rates will be rising and financials had performed well in rising-rate environments when the economy has been expanding. the fed won't raise rates if growth slows considerably and they perform well when there are moderate levels of inflation

we see the opportunities within financial within the smaller cap, regional banks, community banks. that's an area that investors may want to consider. >> when you mention e-commerce, are you talking about amazons, walmarts, targets? are there other ways to play that e-commerce craze? >> it's a great question i think you need to look beyond just the traditional retailers and consider some of the other ben -- warehouses. e-commerce isn't just a passing fad or seasonal trend. it's forecasted to account for 22% of total global retail sales by the end of 2024 that's an area that we think is attractive >> and, greg, you are concerned about some of the overvalued stocks some of the places we've seen the biggest sell-off have been in the nasdaq.

tech stocks are 7.5% off of their highs. you do like some areas in technology what are they? >> i focus in on secular tailwinds. e-commerce is one, another is the transition to the cloud, which we are experiencing both professionally and personally, right? we've transitioned the way we order food from our phone and paper mens tus to the cloud. and so when you look at those areas that are experiencing those secular tailwinds, you see sustainable growth that happened in 2019, 2020 and 2021 and so when you get that sustainable growth and companies like microsoft, adobe, google, you saw the expansion at those companies, sustainable growth and that's the security i want while we wonder if the inflationary impacts, the rising-rate environment, all of those things are going to create

a quite difficult pathway for the companies. we will see it narrow when we get to the performance that i expect probably mid to late next year >> greg, kevin, i want to thank both of you guys if we don't see you before this weekend, happy holidays, happy new year to both of you. >> happy holidays, thank you >> thank you we're watching the markets as we get closer to the opening bell. >> yeah. 2022 happy new year let's hope final check on the markets up 300 points now. right in the middle of the range we've seen for most of the premarket session here the nasdaq, it's a little better up 182 points or so. the s&p, as you can see, up 43 at this point. got a ten-year at about 1.45% and oil prices rebounding a little it's -- as we mentioned earlier, it's going to be the shortest day of the year.

still 24 hours but the least light but it's all uphill from here as i said -- yeah, bill walton said it's the greatest day of the year the days will start getting longer the days will start getting longer please join us tomorrow -- >> until we roll the clocks back, and then what? >> it's confusing. >> it's spring >> and we also lose an hour in the spring make sure you join us tomorrow "squawk on the street" is next ♪ good morning welcome to "squawk on the street." i'm carl quintanilla with jim cramer and david faber coming up today, faber sits down with bob iger futures are looking to get back some of monday's loss as we continue to wrestle with the omicron wave we await the president