future >> all right san, you're up >> black rock. we talk a lot about the banks when we are talking about financials the asset management industry is going to continue to consolidate. black rock has scale they utilize technology effectively and a large distribution network >> okay. great. give me a name, rich i have to go >> rockwell automation automation >> all right good stuff thanks, everybody. have a great weekend "the exchange" is now. ♪ thank you very much, scott hi, everybody. happy friday welcome to "the exchange." i'm kelly evans. the jobs number disappoints again. fewer than half as many jobs created as expected, but the unemployment rate falls to a stunning 3.9%. the fed's barely started tightening do we have a strong labor market or not we have both sides of that debate bitcoin hitting its lowest level since september, down 40% from the highs now, but drops

like these have happened before. will it bounce back like it always has in rapid fire, gamestop's nft plan, who is ahead in a.r., and can uber's strong month continue first, the markets today, and dom chu brings usthose numbers >> with a disappointing jobs numbers that you threw out there, the mixed picture overall, we are seeing the same mixed picture with regard to the markets because it hasn't been predominantly negative or positive for the session we are in the middle of a range. the dow industrials are outperforming, up about .2 of 1%, around 36,297. the s&p is down about one quarter of 1%. the nasdaq lagging, 14,979 is the last trade there a lot of focus on big technology interest rates are a big part of the story today. despite the mixed jobs report kelly mentioned, interest rates, specifically those tied to the benchmark ten-year treasury note

yield have ticked to the highest levels in two years. at the highs of the day we were at 1.8%. we are currently at 1.77%. as you see, it is a two-year chart. you have to go back to january of 2020, prre-pandemic to get t these highs in interest rates. the two-year high is 2.9%. we will continue to see to watch that level to see if there's a magnet effect at that stage. the stock of the day far and away in the s&p 500 is discovery. you can see those shares of the media company up about 17% off their session highs right now. it has been a rough go, ups and downs over the last year, but discovery, the beneficiary early this morning of an upgrade to buy by analysts over at bma. they think a lot of the positivity around their merger with warner could lead to a true rival they think for netflix and disney plus on the streaming content side of things that kicked off what could be considered maybe a little bit of a short squeeze as well here remember, kelly, it is the second most, discovery, the

second most shorted stock in the entire s&p 500, 15.5% of shares outstanding are short interest only american airlines has a higher short interest in the s&p. i will send things back to you >> wow, quite a move thank you, dom stocks are broadly on track for a losing week. the economy is adding way fewer jobs than expected, but the unemployment rate sank to a pandemic era low of 3.9% and wage gains look strong, rising nearly 5% year over year is the labor market strong or not? joining me to discuss the risk for the feds, gus foshay, chief economist at pnc and sa sandy villier. gus, i'll start with you >> we are obviously in an extraordinary circumstance the fed has said they want the economy to be at full employment before they start to increase

the fed funds. i think we are close to full employment if not there yet. i would expect at some time in the first half of this year we will see the fed start to raise the fed's fund rate as they grow more concerned about an overheating labor market >> i guess what would you say, gus, to those who wonder about how much all of the child tax credits and the various incentives for unemployment benefits and all of that, how has that changed the dynamic of people in labor force? how is omicron changing the dynamic of people in the labor force? >> well, i don't think there's any question but that the additional aid that households have received in the federal government over the past couple of years have caused some people to drop out of the labor force so that makes the labor force look tighter even if employment isn't back to where it was before the pandemic. that being said, omicron, we haven't seen any impact of that yet in the job numbers these numbers are from mid-december, but even in the unemployment insurance claims which go through tend of 2021, no let-up in hiring because of

omicron. so we'll have to see if it has an impact on the labor force, but so far no negative impact yet on the job market. >> sandy, do you expect the fed to do several rate hikes this year you know, what is your expectation there? how does it affect the kind of stocks you are interested in here >> yeah, looking at the disappointing, you know, employment numbers that came out today, the question , anything d was talking about in their minutee importantly, that the qu rationally with nasdaq and technology stocks that would do

poorly with rates selling off and things like xlf. so the market is acting pretty rationally given the employment numbers. >> you are looking to pick up some of the smaller cap growth stocks here, is that right >> i am. it underperformed large pretty handsomely if you look inside the small cap you saw the growth index of about 2.5% with small cap value up about 28% there's a lot of, i would call it value inside of the small cap growth area, and that's where we're looking. we're going to dig through the rubble and find some good names that i think can really perform nicely in 2022nion >> i know a couple of the names you like, maybe not for exactly the same reason, but cesar's palomar and freeport-mcmoran, up 32%. gus, a final comment here. do you think the fed is behind the curve? >> i don't think so. i think that inflation is coming

faster than the fed was expecting. that being said, the fed has said they wanted to wait until the economy got to full employment before starting to raise the fed funds rate i think we will be there sometime over the next few months i expect the fed will start to raise rates over the next few months, and i do think that some of the inflation pressures we are seeing in the economy are temporary. so i would expect to see a gradual slowing in infrags over the course of 2022 >> i guess to use the analogy, gus, i always expect that, you know, as the fed is reaching its destination, it is starting to put on the brakes, right you don't want to get to the destination and then start braking or you are going past it so not to keep bringing up the point, but i don't understand why they're not doing more to tighten when the unemployment rate is at almost record lows. >> well, the unemployment rate, i mean certainly it has fallen faster than people in the fed were expecting, faster than i have been expecting, but i think they are watching the signs for wage growth. they're watching the tight labor market they're watching the

unemployment rate for various demographic groups again, i think we are at that and close to that full employment level i think the fed is getting ready to start hitting the brakes. >> do you think people who have left the labor force are coming back in, gus >> we have seen people come back in, you know, over the past six months or so the labor force participation rate rose substantially in november it held steady in december i think we will see more of those people come back in. i think some of it is going to be hopefully the fading of the pandemic some of it will be higher wages. some of it will be a return to in-person schooling and child care centers reopening, but i do think that we will see a gradual increase in the labor force over the course of this year. >> all right we will leave it there, gentlemen. thank you both gus fochere and sandy villere on these markets. medical specialists are in more demand as covid cases continue to surge. kate rogers is here with the story and the impact kate >> hey, kelly. at a time when testing has never

been more important, medical laboratory professionals behind the scenes are in short supply not only are these workers running pcr tests for covid in hospitals, they're also working on diagnosing of other critical conditions like cancers. the shortage creates a ripple effect for all of those in need. at a.u. health in awe gus tau, georgia, the hospital system is stated for 211 full-time lab professionals but has only 168 that includes 30 in out of retirement during the pandemic to help, but others are burning out. >> we have seen within the laboratories individuals that have left and they're not just leaving our lab. they're leaving the profession you know, they feel like they don't have enough support and that primarily stems from not enough individuals they're like, i'm doing all of this and i feel like i'm doing it by myself it is heartbreaking when you have a shift and you know that

you need five people on that shift but you can only staff it with two because that's all you have >> now, these are highly defined specialized tests to diagnose variants being run in these labs by workers that many times have not only a bachelors but masters and ph.d.s and even board certifications they say the pay doesn't keep up with others who have the same certifications which makes, of course, recruiting an ongoing challenge, kelly back to you. >> how does the shortage of testing supplies also impact with the work they're trying to do >> yeah, this is really interesting. in more rural areas in georgia, they don't have enough testing supplies it is not just the test but the supplies needed to run the tests and they sending patients to this a.u. system and they're inundated with more tests to run, and hospitals have to prioritize which to test first which changes during the pandemic and some of the shifts are running half staffed

they need 14 workers and only have seven at a time. as we mentioned, many are burning out quickly. >> wow, additional challenge as testing needs surge. i appreciate it, kate. kate rogers on where jobs are. jpmorgan chase kicks off on monday jamie dimon will join us monday here on "the exchange" coming up, what stays and what goes if biden's build back better plan gets scaled way back that's one set of policy predictions this year. we look at what else could be changing ahead plus, bitcoin hitting a three-month low, down 3% right now and 40% off its highs from november we'll look at what is driving those declines home depot and united health weighing on the dow, the biggest laggards today, although we're seeing two-to-one green outpacing red. we are back in a moment. this is "the exchange" on cnbc

nurse mariyam sabo knows a moment this pure... ...demands a lotion this pure. new gold bond pure moisture lotion. 24-hour hydration. no parabens, dyes, or fragrances. gold bond. champion your skin.

new year, new start. and now comcast business is making it easy to get going with the ready. set. save. sale. get started with fast and reliable internet and voice for $64.99 a month with a 2-year price guarantee. it's easy... with flexible installation and backing from an expert team, 24/7. and for even more value, ask how to get up to a $500 prepaid card. get a great deal for your business with the ready. set. save. sale today. comcast business. powering possibilities.

♪ welcome back president biden touting his build back better plan in his speech this morning, saying it will help fix what ails the economy, but it is not expected to survive according to my next guest. s s they expect the fed to double the focus on esg and kind of as

a result they warn of increasing stock market volatility this year joining me is dan clifton, head of policy research with strategas. great to have you back let's start with market volatility what do you see? >> midterm elections tend to be volatile from a stock market perspective. the average decline on the s&p 500 is about 13% that's natural those events happen. when you get into a midterm election year, that decline is about 19%. it is very, very outside the usual ranges, and we believe it happens for two reasons. first, presidents are trying to pursue and motivate their base they use a lot of executive powers they tend to be anti-growth policies for trump it was his trade war, for president obama it was banking regulation you likely will see president biden using his executive power this year as legislation stalls in congress. the second reason this happens is because the investors have to grapple with the fact that the other party likely wins in a

mid-term election. what does it mean to the debt ceiling in 2023 and the gridlock that ensues from it? the good news is that those steep declines, those intra year declines turn out to be some of the best buying opportunities i have ever seen because one year later stocks are up almost every single time. in fact, every single time, and by an average of 32% kelly, i probably will jinx it by telling you this but the s&p 500 has not declined in the 12 months following a midterm election since 1946, largely because the investors begin to anticipate there will be more stimulus ahead of the presidential election. so more volatility based on these policy factors, but there's light at the end of the tunnel it is temporary and we tend to rally out of that. >> there's a lot of logic to what you are saying, that they have to pivot to do something for the base and that often can be anti-growth for lack of a better word. is that going to take the form of build back better here? what planks do you think survive and what odds would you give them of surviving?

>> sure, build back better as passed by the house of representatives is dead. that's according to senator manchin in late december the democrats have to decide how they're going to pick those pieces up. what senator manchin is saying is that he wants dollar for dollar, $1.8 trillion of spending equally with $1.8 of tax increases. the house bill is about $5 trillion of spending if you extend the current provisions. that means in our view the democrats have to pick a few items and do them much better. those four items largely will be driven around climate change, about $500 billion health care spending prekindergarten and trying to figure out a way to do the child tax credit if you do all four of those over ten years it comes out to about $2.6 trillion over ten years >> wow >> they only have about $1.8 trillion of revenue, so they have to figure out do they keep the child tax credit in this bill or try to pass it in another bill or do they curtail it so much it only narrowly

impacts a few americans, particularly below 60,000. these will be extremely difficult choices for the democrats to make. there's going to be a lot of tears over some of the programs that get thrown out like housin or paid family leave, but there's no alternative here. this majority has a time stamp on it where it may not be here in november. >> right >> so you have to pass what you can while you have it now. my sense is that you will see a slimmed down build back better plan passed by the end of the first quarter. >> that's happening on the fiscal side. on the regular torrey, what should we anticipate there >> president biden will make his appointments to the federal reserve probably early next week this is a sea change to have four, five different new fed people coming on to the board at once you will have confirmation hearings we will be talking about inflation, climate change and banking standards so there could be a lot of confusion.

i would stay focused on the chairman as it relates to inflation. that will be his number one focus. if the president chooses sarah bloom raskin as expected, we anticipate you will see more discussion about higher capital standards for the banks in 2023, integrating climate finance for the banks if they finance fossil fuels, and on top of that just a more type of focus on employment for some of the new members rather than inflation. so the new chairman is definitely going to have his hands full with a more dovish and more regulatory set of members joining the fmoc that will be partially offset by some of the regional governors joining for the voting this year they will tend to be a little more hawkish that's why i think the chairman will get what he wants on inflation, but investors have to anticipate you probably will see more regulation on the banking sector going into 2023 >> any last word on maybe something i haven't mentioned? you think you have ten or a dozen of these surprises for the year a final word you would want to leave investors thinking about

>> yes, i think this year geopolitics has more of an outsize effect we don't pay much attention to it but if you get something that goes wrong in russia or ukraine you could be looking at $100 a barrel for oil and inflation remains the issue going into the midterm election there's a possibility that the voters of the country will remove the party in power. in eight of the nine last elections since the financial crisis, the u.s. never had political volatility like this since the end of the civil war for investors, you got to stay on top of this because every two years it is expand health care, raise taxes, cut taxes, take away health care it keeps changing every two years and i think this political volatility will be with us until we get economic growth back to normal >> it can make your head spin and you also depress returns in some of the asset classes. dan, thanks very much. we appreciate it >> thank you, kelly. >> dan clifton with strategas.

game stop popping as much as 30% on the news. is it a game changer we will discuss. plus, this house comes with 42 bathrooms and a lot of controversy. not just because of the bathrooms. we will go inside the bel air mansion that went from most expensive home in america to heading for the auction block. you dot nto sst.n'wa tmi i (swords clashing) -had enough? -no... arthritis. here. aspercreme arthritis. full prescription-strength? reduces inflammation?

thank the gods. don't thank them too soon. kick pain in the aspercreme.

♪ ♪ ♪ digital transformation has failed to take off. because it hasn't removed the endless mundane work we all hate. ♪ ♪ ♪ automation can solve that by taking on repetitive tasks for us. unleash your potential. uipath. reboot work. welcome back to "the exchange," everybody the dow was up 146 at the highs, hanging to an 85 point gain. it is the only of the major averages in the green. so more pressure as the ten-year yield spiked to 1.8% today

look at the effect across markets. energy is the best sector, up 10.5%. that's the best week since last march and it is the best performing sector in the market. financials are number two with a 5% gain as rates move higher tech is the biggest laggard, down almost 4.5% since monday for the worst week since october of 2020. a couple of names to show you what is going on netflix, down 10% since monday for the worst week since july 2020 it is on pace for its sixth straight daily decline it is the worst performing of the so-called faang names this week, down 2% today. microsoft and alphabet seeing their worst weeks since march of 2020 apple, by the way, down more than 3% today. it is only worth $2.8 trillion right now or basically the equivalent of a dozen netflixes. now to leslie picker for an cnbc news update. leslie >> hi, kelly tributes are pouring in from hollywood and beyond for actor sidney poitier who died at the age of 94. in 1964 the bahamian american

actor was the first black male to win the academy award for best actor in "lilies of the field. poitier's trail blasing career spanned more than half a century. the case of a michigan teen accused in november's deadly mass shooting is headed for trial. 15-year-old an ethan crumbably appearing in court today he is accused of opening fire at his high school, killing four students and wounding seven others citi group will start enforcing its previously announced no-jab, no-job policy requiring u.s. employees to be vaccinated against covid-19. it is according to a message sent to staff. office workers who do not comply will be initially placed on unpaid leave and then terminated at the end of the month.

covid has scrambled the nation's housing market. tonight on the news, is it better to rent or buy in the new normal 7:00 p.m. eastern on cnbc. i'll send it back to you, kelly. >> thank you, leslie coming up, a non-fungible rally. software is still eating the world. snapping up the metaverse and getting uber bullish rapid fire is next

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

♪ welcome back, everybody. let's get you up on a few calls that should be on your radar this afternoon it is time for rapid fire. here to help break it all down, our own deirdre bosa joined by seymore asset manager tim see more and gina sanchez. welcome, one and all let's start with gamestop today. new games, nft and crypto, cnbc confirming with a source familiar with the project gamestop is planning to establish new crypto partners, too. the shares were up 20% when the market open, but up less than 4% now. they're still down 70% from the 5-week high. deirdre, what is the opportunity

here when there are lots of others doing nft platforms and the like >> and also when this was already announced but, you know, it is this kind of in the meme era say things like nft and crypto and your stock will get a pop. what is interesting, kelly, i looked at wall street's wrightup forum and the top post, it is not excitement over nfts and the business expansion the top post was a meme of a video that starts with the title "483 bag holder. what does 483 mean the top for gme shares they're down now at 136 and change so it is not having the same pull that it used to yes, nfts is exciting for this company. they're well-positioned to do this and be a leader, but it is not something that is new and there's still a lot of execution that needs to be done. >> tim, what would be the best case scenario for gamestop to take its existing assets and do something meaningful in an exciting space like that >> well, again, there's a lot of

competition. there are other platforms i think are in the business of being that platform of buyers and sellers. i think the best thing gamestop can do is what they've already done, which is they've raised some money the balance sheet is in great shape. we know there are smart folks at the helm who have proven they've done it before i think, you know, 14% short interest on top of a stock dow 72% from the 52-week high is why you got the move in the after hours. if i was going to buy a meme stock here it would be viacom because viacom is not a meme stock, yet has been treated like one and yet is a real business and has a value play again, i'm not sure what gamestop's path to glory here other than what they've already done >> you like when they get de-memed, if i could put it that way. geena, is game stop -- how much more room does it have to fall if it is going to ultimately find a resting point where it has fleshed out the new retail base >> i think it can still fall further from here because it still -- you have to ask the question what is its basic

business if it is going to be in the business of changing its business, what does that look like i agree that the execution issues are a problem or at least a challenge when you are changing businesses. let's not forget that the nft market is really akin to the collectibles market, and it is a market that requires a lot of excess money in the system to be able to support the purchases of those and the continued flow into that space. that's something that in 2022 is going to go out the door we will see liquidity tighten. >> yeah. >> and collectibles and nfts will get hit >> that's very well said you basically extend that warning, gina, to anybody who has made a quick buck in the space over the past year or so >> absolutely. >> interesting and we are definitely off to that kind of start this year all right. we will move along software is still eating the world according to rbc capital they're saying the trade still has legs and is actually shaping up to be one of the most powerful and durable trades for the future they're naming palo alto and

crowd strike palo alto was up 60% while crowdstrike dropped about 3% tim, either names interest you >> both do palo alto, believe it or not, is kind of a value play in the software space, nine times ev to sales. i like crowdstrike what jumps out about the note is they say they have the ability in the near term, and that's kind of a vague term, to grow their installed base ten times relative to other sas players and especially in the security spot, as the firewall refresh cycle is only getting going, the stock is inexpensive to its peers. it is probably 40% cheap to its peers. on a pull back i think you are picking your spots but i think kraut strike deserves the growth >> deirdre, we should note software eating the world was an exciting thing 10, 15 years ago, but now it feels like the exciting places are where it is

still changing other sectors i think of john deere with it's t autonomous tractors and stuff like that. i am just curious, i guess it is a well-known story >> yeah, we talk about this all the time, right. software is eating the world, but now you have to be a bit more discerning when every company wants to be a tech company. you could throw peloton into that john deere company as well, a company that you don't traditionally think of as software, that has now come down huge amounts from the pandemic era bumps. another area that's interesting, we talked about enterprise a.i. which was supposed to be exciting you see you have some distinguish even within the smaller group, c3 ai has come down so much and these valuations are rerated a little bit but wall stream seems to like snowflake better. yes, software is eating the world but it is harder to pickes these days

>> which software stocks look attractive to you given the liquid liquidity dynamics we were talking about, gina? >> the market seems to be focused on valuation, but you know we are experiencing growth, that's not going away. growth at a reasonable price becomes the way you evaluate stock. you have to have the growth component along with cheap valuations which take out some of the bigger players which are highly over valued right now i think it is one of the reasons palo alto or crowdstrike looks attractive because both are relatively inexpensive i think the market will be focused on that. >> both of you like those names given what has happened with the research next up, jefferies says snap is the best play in the metaverse, naming it a top pick the firm says its discover platform has a highly engaged audience

it is up about 1.7% today, down 10% this past week and dropped 6% in 2021 i wondered about this. are they going to be late to get a halo effect from all of their investments into the vr/ar space or are they too small and not part of the mainstream narrative on this story? >> i think it is a little bit of both, kelly. i mean i think snaps when they came out, the big question was how would they monetize. it has taken them a while to get that path going. meanwhile, anybody competing against them has already grown dramatically i think they are a little late, and i think that the market right now is not going to be willing to sort of step up and support highly valued or kind of still growing companies. so i think that they are not well positioned given the marketplace right now, that they're just hitting their stride >> tim, you like them? >> look, valuation wise, again, relative to the big gorilla of meta, it is not even close it is very expensive, even after

a 50% pull back off 52-week highs. i think you have to look at really their core business and say what is going on in the digital ad space and they were seeing growth on revenues there anywhere from, you know, 15% to 30% on -- with most vendors, is part of the story. i think the bigger issues for snap have been, yes, an environment where high-multiple stocks have been punished. there are the ios privacy issues that i think kind of still hangover we don't know what it will mean for snap, and i think more exposed maybe even than facebook >> true. >> that's the story here, but there's a lot of scarcity in terms of investment places to park cash, not just in the meta space but really in social media. i think that's part of been the success of snap as an investment >> and its p/e is still 110, deirdre, even though it is only a $42 stock. >> yeah, it is expensive, buff i do think it is kind of this underrated metaverse play. i think what is interesting that snap is doing versus some of its

competitors is it is actually experimenting with ar and vr in the open it is not being ultra secretive like an apple, but, remember, its users are younger, too that demographic advertisers want, they're already using it it is not being talked about as, you know, a headset that will be coming out in the future yooshs are getting comfortable with it now and it is extremely sticky among that generation >> all right it has proven durable if nothing else, given everything else thaws come on the scene. finally, the street is bullish. they named as catalyst, a resurgence in the gig economy, opportunity in grocery delivery and an attractive valuation after last year's pull back. they dropped 17% last year deirdre, i am coming to you first on this one. i think the thing i keep watching, isn't 45 the ipo price from 2019, 2018 maybe, and we're still at 42? >> it is we have been watching this level

forever since it went public wall street loves this stock, but people in technology and silicon valley, a lot less so now has it is being run by an operator i think a lot of the calls are around the value in uber it is relatively less expensive than, say, a doordash which has a much higher multiple but hasn't really changed the fundamentals it has still been looking market share to doordash. yes, it is trying to innovate have you acquisition, through mna while doordash is doing it largely organically. i think in terms of the long term you have to figure out which team you believe in. it could easily be a value trap as it has been for the last two years. >> tim >> i don't think you are going after it on valuation, i agree i think it is -- you are going after it because you actually want that super app of multiple platforms, you know, like the drzly acquisition, it is not a game changer but a reason you

are going to uber. they have to hold on to the 5% delivery margins and 10% on transportation, and these are really big, important numbers for the stock. when they talk about adjusted ebitda, as an investor you always have to say, hold on a second, what is adjusted ebitda. it is one of these things on profitability that i still think is part of the overhang for uber look, i like it. i would rather be in the super app versus a lyft, and i think at this level, $40 on the stock has proven to be pretty good support. >> all right gina, what say you >> well, look, i think that the biggest challenge that uber always had was it had negative operating leverage, which is that all of these companies were losing on every single transaction that they were making until they fix that, that they weren't going anywhere the pandemic allowed them an opportunity to raise prices and start to right size that, and that is meaningful actually. if they can fix that problem permanently, then that works but it does mean that, you know, you look down the road for

these. it is still making losses, and the path to profitability still looks a long way away. i think that's a challenge to uber >> we will leave it there. deirdre, should i be using doordash for quick grocery i feel like you are -- like you know how to navigate all of these different offerings. can i get stuff quickly on them from demand, like from the store? >> let me tell you, i subscribe to a lot of them as i'm trying to decrease my subscription footprint. can i do without doordash? probably not i actually like the sub skrimgs effect of it because delivery, food delivery is pretty -- you are paying so much in fees, it eliminates it a little bit it depends for what you are looking for. if you want restaurant delivery, yes. grocery delivery, less >> we appreciate it. deirdre bosa, tim seymour and gina sanchez joining us for this

edition of rapid fire. less than 40% can afford an unexpected $1,000 cost now some companies are putting savings boosting benefits in place for employees. we have all of those details next at fidelity, your dedicated advisor will work with you on a comprehensive wealth plan across your full financial picture. a plan with tax-smart investing strategies designed to help you keep more of what you earn. this is the planning effect.

welcome back in a new survey, nearly 20% of americans reported they didn't save any money at all in 2021. now, some companies are trying to help workers boost their emergency cash on hand sharon epperson joins us with that story >> kelly, in the covid crisis it can be tough for some people to save, yet many have had a wake-up call on the importance of preparing for the unexpected. a new survey from betterment finds nearly half of full-time workers, 46%, said they didn't think they needed an emergency fund before the pandemic now they say they do and employers are taking note.

>> folks did not have a short-term savings vehicle, and their back stop was their retirement plan. so they were tapping their long-term savings options in order to meet short-term savings needs. >> now, voya financial started offering emergency savings solutions to its workplace clients in 2020, and about 26% of plan sponsors use roth or other after-tax contribution features to help employees build emergency funds. about 60% are interested in doing so according to willis towers watson. health savings account are hsa that can pay for unexpected medical costs are increasingly popular. >> you put money into an hsa, the money is going in on a tax-deferred basis the earnings on the funds are tax free, and then the distribution, provided they're used for qualifying medical

expenses, are also typically tax free >> now, offering these savings options could give employers an advantage, too, in attracting and retaining workers. we have a lot more about this on cnbc.com/investinyou, kelly. >> all right how much money can employees put away if offered this benefit >> it varies widely. some allow workers to stash away as much as $10,000 hsa's do have annual contribution limits to that set by the irs first you have to have a high-deductible health insurance plan if you do and you have family coverage you can put au way up to $7,300 in 2022 and you can contribute up to $3,650 an as individual with self-only coverage >> it looks appealing. sharon, thank you so much. we appreciate it >> absolutely. >> sharon epperson up next, crypto getting slammed in the first week of the year and there's an interesting wl g nt. trend afoot weildiinex

you need to hire. i need indeed. indeed you do. when you sponsor a job, you immediately get your shortlist of quality candidates, whose resumes on indeed match your job criteria. visit indeed.com/hire and get started today. do you have a life insurance policy you no longer need? now you can sell your policy - even a term policy - for an immediate cash payment. call coventry direct to learn more. we thought we had planned carefully for our retirement. but we quickly realized we needed a way to supplement our income. our friend sold their policy to help pay their medical bills, and that got me thinking. maybe selling our policy could help with our retirement. i'm skeptical, so i did some research and called coventry direct. they explained life insurance is a valuable asset that can be sold. we learned we could sell all of our policy, or keep part of it with no future payments. who knew? we sold our policy. now we can relax and enjoy our retirement as we had planned. if you have $100,000 or more of life insurance, you may qualify to sell your policy.

don't cancel or let your policy lapse without finding out what it's worth. visit coventrydirect.com to find out if your policy qualifies. or call the number on your screen. coventry direct, redefining insurance. two out of three guys experience hair loss by the age 35. kind of scary. that's why i use keeps. keeps offers clinically proven treatment, and the sooner you start the more hair you can keep. get started for $1 a day at keeps.com.

♪ welcome back, everybody. bitcoin and ether kicking off the year on a down note, falling 11% and 15% respectively they're nearly 40% off the highs

setback in november. the composition of the crypto market is changing, too. ethereum's market cap is now more than 50% of bitcoin and only makes up 39% of the value of the whole crypto space, the lowest ratio since 2018. joining me to discuss is jodie gunsberg, managing directo at coin desk indices what are the bulls saying about the weakness we have seen in crypto lately? >> i think that what we are seeing, the most important thing was the indication that the fed was going raise rates. also some of the unrest in kazakhstan shook confidence in bitcoin. the bulls, what i think is going to happen, is investors will use this price drop as a buying opportunity since the technology is viable and it's here to stay. but rather than just buying bitcoin, investors are going to

take this opportunity to buy a variety of digital assets because the revving of bitcoin it too high. >> why would bitcoin be riskier than ethereum and other names out there, car donna, and -- you name it. >> bitcoin's risk isn't more than solana or any of the others but it is higher as an equity asset class. one way to manage that risk is to diversify across the different digital assets that can reduce some of that risk or they might be able to invest in baskets that are sector specific or they can use strategies with futures and cash to manage the volatility if they are comfortable with just bitcoin itself. >> it seems like it is gaining

more p.o. popularity, when i am in stocks i want the s&p 500 so if i am looking at crypto i want broad exposure as well. stocks have to graduate into the s&p 500. they have to be born, perform well maybe privately for blaen years, they have to go public at high valuation they have to be voted by a committee into the s&p 500 meanwhile with bitcoin there are some that are well vetted, ethereum, and some of the newer ones, not so much. it doesn't seem like you are making the same bet on something as proven as you would by being a diversified holder of stocks. >> the process for selecting digital assets is following the process of the traditional assets it's just a newer asset class. we really only have data for downtown itself going back to 2014 in the indices. now, with the expansion of all of the digital assets using the

cryptography and blockchain technology we are able to classify the assets into defined sectors and industries to really help investors understand how to invest in them just as have thing like financials or technology, we have other sectors in digital assets like currencies or smart contract platforms or defy that enable investors to play across the space and manage their risks approp appropriately. >> certainly style investing, whether by risk metrics is a tried and true method -- at least a long tried method. i totally understand why it is coming for crypto now. again, coin desk does offer a of the of these opportunities thank you for talking with me about it jody gunsberg with coin desk. up next, the one was supposed to have reached $500

million. but now it is hundreds of millions if debt how amicmoera's st expensive home went belly up after this quick break.

the feel great hit of the holidays comes home. audiences give "sing 2" an a+. and a 98% on rotten tomatoes. you're a genius! momma always said "gunter, you're not as stupid as your papa."

welcome back it's the half a billion dollar bel-air bust what was once mark's most expensive home heading to the auction block. i feel like i have seen this story before robert frank is here with it. >> it is a 100,000 square foot mega manning in bel-air, california the estate known as the one listed this morning at $295 million. if it sells for that price, it will be the most expensive home ever sold in the u.s it is four acres overlooking downtown l.a. and the pacific ocean. the main houses that 21 brooms, 42 baths, has a nightclub a 40-seat movie theater, spa, movie theater, a bowling alley, a cigar room -- the master is

5,000 square foot with its own terrace pool there are seven water features including an indoor lap pool and a moat that goes around the house. it comes with plenty of controversy and as you mentioned a lot of debt. the builder, a hold producer turned developer, he defaulted an over 18 -- $180 million in loans. if it doesn't sell it will head to the auction block there were eight sales last year for mega mansions for over $100 million. normally, kelly, there are just one or two this is a great market we will see whether they can beat time here and sell it before this auction that starts on february 7th. >> you know what i mean, robert? it always seems like the ones that are way out of -- the biggest of everything. they just -- it is almost like their market power is so much worse than the ones who are only $100 million >> yeah, and this is the result

of this mega mansion building boom that started in 2015. there was this arms race of builders that wanted to be ever bigger, ever more expensive. and it just spun out of control. you are right. these houses that are just beyond even what a billionaire would want, they have trouble finding buyers we will see where it eventually settles out. but you are right, we see this every few years. something that went a little too far on the mega mansion scale. >> just a little it looks like a hotel. what would the taxes be on something like this? >> about $2 million a year if it sells for around $200 million. but the insurance is even more than that. so just to operate this thing, you are probably looking at somewhere between $4 million and $5 million a year, just to keep it running. >> yeah, you know, it's 42 bathrooms, the number of staff you would need to keep that clean -- the whole thing is ridiculous robert, thank you very much, we appreciate it. robert frank reporting

interested to see what happens with the price there. don't forget, the 40th annual jp morgan health care conference kicks off on monday ceo jamie dimon will join us in an interview monday on "the exchange" around 1 p.m. eastern. that's it for "the exchange" today. i am staying put, and "power lunch" starts right now. ty in. >> welcome, everybody. kelly, we will see new just a s.e.c. i am tyler mathisen. just ahead, will main street fair better than wall street this year. will the real economy win out? and how do you invest in this new environment. choppy flight path flights canceled for 12 days in a row. airline analysts say there is a recovery on the way and one name could be a big winner. the ceo of too simple has a solution, long hau