>> adibi 4%, 10% earnings growth ahead. >> degas >> texas instruments chips in cars and internet of everything. >> josh brown? >> carlisle group just reported great earnings distributable profits quadrupled versus this time last year i like it. thanks for the "final trades." that does it for "the hollywood reporter." hand it off to "the exchange" with kelly evans that begins right now. thank you very much, dom. hi, everybody. markets breaking a four-day win streak for a slew of reasons primarily because of facebook's big earnings miss. worst day ever and snap's down 20%. tiktok, apple privacy changes, even reopening, all having an effect instagram driver for the company somewhat of a drag now

and nervousness about tomorrowing jobs report. bracing for big declines as omicron spreads. the jobs market and the next big earnings report namely amazon after the bell today stock currently down 6% in trading today. also preview snap and forbes we start with sellup dom told you sessions lows down 377, 380 points right now 2.6% decline we've had almost, what is it 18 hours to digest what facebook told us. not seeing any letting up in selling pressure dow down 330 s&p down by the way 78 points. guest to bob pisani for more at the nyse bob? >> not only not a bounce at nasdaq nor on the s&p or dow the tearing of big-cap names alphabet made them look better, and today because of what we see in meta weighing on the nasdaq

and s&p. s&p notably underperforming the dow jones industrial average as you can see here big tech names facebook trading ten times its normal volume. a lot of people making decisions how they want to own facebook and amazon ahead of earnings all over the place amazon 3100 at open. look at this 2,800 now. a big, big move on an intraday basis. salesforce weighing on the dow not far from a 52-week low not quite. paypal, disastrous week on earnings industrials. supply chain inflation not going away and offsets with meta look what happens to honeywell and cummins. good news. demand is strong all over the world. china the possible exception however, still seeing imact of higher prices. able to raise prices, but in some cases not completely. so there's a little bit of margin erosion in cases. cummins and honeywell got lower. honeywell down here.

cummins recovered a little illinois cootoolworks, the same. not changing guidance. gave first time today. balanced guidance actually matters. 4 half way through the earnings season 260 companies reporting. so far revenues are titanic. oceans of money coming into corporate america. $3.5 trillion talking about top-line revenues. why dividends are going up buybacks at record highs enormous amounts of money. profit margins lower 12.7%. these are operating profits. 13% where we were this time last year a little better, but many corporations still have pricing power's one thing very notable earnings beats are very small now. about 4% so far. that's about in line with historical average beating by 10, 15 even 20% last year not happening. most important thing, kelly, 2022 estimates, they'renot

getting raised much at all last year we saw every month dramatic increase to estimates not happening. we have to have something happen with an expansion of the multiple to get prices up. back to you. >> good point. bob, thank you bob pisani. talk what's going on with online and social media advertising in particular. taking the example of meta, raked in only $32 billion in advertising last quarter up 20% year over year but not enough. ceo sheryl sandberg highlighting three key problems weighing on ads. apple's ios changing, harder to target ads inflation and supply chain problems affecting consumers is the worse over? how long could all of these problems continue? aaron kessler senior internet analyst as raymond james downgraded meta from strong buy to outform with a lower $340 price target and joins me along with mark douglas, ceo of plaid

mountain how long could these ecommerce trends continue? >> ecommerce, a big boost early on during the pandemic tough comps through q1 of '22. then should see ecommerce improve starting in q2 and facebook noted, should see comps second half of the year from idfa. optimism we'll see trough growth and reacceleration beyond that. >> tiktok successful the first quarter it's showing up everywhere? >> obviously a lot more users on tiktok, growing quickly. i don't think the social user abandoned instagram. different issues than facing competition from tiktok. >> talk about instagram issues

basically, to compete with tiktok they pushed people and launched reals see it all over the place but not monetized as heavily do you think facebook can catch up and change that >> monetize them keep in mind facebook doesn't sell ads they sell traffic. ads are a means to get that consumer to go to the brand that's doing the advertising so a big thing not discussed, quality of facebook is declining. as facebook, you get the flip-flop the last few years and don't get as much data as on insta gram affecting the business and catching up. without the data, no perf performance. without performance, ad dollars go away. >> you want to add >> ifa a headwind. trying to figure out, get

signals back the next six months biggest factor heard some from agencies here. dollar shifts. called out google during the quarter. we heard that as well. it is a near-term issue. optimistic that they can close some gap signalling they have lost, increasing challenge for facebook over the last couple quarters here. >> sure. also, i mean in a way mark zuckerberg told us this was coming i don't think he could have changed the name to meta if it wasn't clear the core business was in decline signalled doing this this was coming and now it's here i actually use one of their products more than ever, aaron the problem is it's whatsapp how much should they or could they monetize that >> a big question from investors. talk a lot about business messaging on whatsapp. and get much more aggressive or more traditional forms of advertising. whether reels or other

story-type ads on whatsapp paids $20 billion. monetize that much more over the next couple years. another thing, a little more negative on the reality lapse. a $10 billion loss per year. a nice project but investors could do without that scale of losses right now >> mark, would you want to add a parting comment? with all clients you speak to a lot of companies looking to spread ad budgets around figuring what next will be on tv versus a platform like facebook and the rest of it have you picked up on significant shifts lately? what are you hearing from the clients' perspective >> main thing you hear, facebook prices are going up. meaning the price that customers are paying going up and a result of that and others data, performance going down advertisers move budgets very, very quickly not getting a return that their business needs, released the next day and will shift budget

away from facebook to other platforms. wow. >> exactly what's happening. >> raised prices maybe at exactly the wrong time very, very interesting guys, thanks leave it there for now. let's turn now to washington where president biden's federal reserve nominees are in the hot seat senate committee on banking holding a hearing on nominations of these beyond the economy and managing rick, fettle role on climate change a hot topic here's senator pat toomey of pennsylvania >> if we move aggressively to limit energy production but other countries don't, global warming probably won't significantly slow should we do it anyway how much reduction in global warming should we get? for the pain we would put the american people through? let me be clear. this isn't about whether one believes addressing global warming is important or how you

would answer either of those or any other questions related. the point is these are difficult choices, which must be made by accountable representatives through a transparent and deliberative legislative process. >> joining me now is senator chris van hollen, a democrat from maryland. i think one of the constituents, sits on that committee, involved in questioning and joins me now. senator, welcome. >> kelly, good to be with you. >> so i would assume, on the other side of the aisle. maybe concerns about climate change aren't quite as strong as senator toomey's do you share broader concern about policy drift here? >> i do not. that's because i've seen sarah bloom raskin in action, and most of the questions on climate change were directed to her. she was the chief banking regulator in the state of maryland during the financial meltdown, and she got rave reviews from our community banks who are calling me now to say they strongly support her. i would remind everybody she was

unanimously confirmed by republicans and democrats for her previous position on the board of governors of the federal reserve and concern for deputy secretary treasury. i do not share the concerns that have been expressed by senator toomey >> remind me procedurally for all of these nominees, biden's nominees, would have the full support obviously of the democrats, who are in this process, but do you have the threshold of votes necessary to approve all of them or are would you need some republican support? >> well, we would like to get some republican support, and we're talking to our republican colleagues and i'm confident that some of these nominees to the federal reserve will have bipartisan support, but the answer to your question is, end of the day, albeit, republicans do not support these nominations we can get them passed with democratic votes under our current rules.

>> okay. so zoom out for a moment what would you say your current concerns are with the fed? do you think they need to be more aggressive fighting inflation right now or are you worried they might be doing too much >> well, i support the actions taken and the message sent by the nominee to be chairman once again, powell. where he underlines importance of the dual mandate, the fed full employment and price stability. i'm confident that both he and these nominees if confirmed will abide by those two mandates. >> can you think inflation is a problem fed needs to fight or something the administration needs to tackle or kind of be a passing fad here >> i think the biggest issue with respect to price increases has been supply chains chain disruptions. we're seeing some improvement on

that front, but we continue to work that piece of it, and so i think as that part of this problem and price squeezes challenge, for example, the shortage in semiconductor chips, leading to higher prices for cars, those sorts of things i think are the primary drivers we need to continue to deal with, and i will say another peeliece legislation go a long way towards addressing the supply chains. >> and put it differently, concern more the fed can be too aggressive responding to inflation because you think the problem will work itself out >> i think there's a risk that they could be overly aggressive, but i do think it's something that the fed needs to continue to monitor carefully and i do support the statements that have been made by the current chairman and powell and he was asked about this at the hearing and i appreciated his answers. >> any time concern you had that

you've heard today or do you -- i suppose i'm just assuming you broadly support all three of these candidates, and kind of think they can do no wrong? >> well, look. i had a chance to review their backgrounds, and had discussions with them. so i do believe that they will adhere to the mandate of the fed, and their responsibilities. so, of course, we all have questions about how people will perform, but they've certainly answered the questions satisfactorily to my mind. >> one final question for you which we're sort of asking everyone these days, but to my knowledge, you don't actually own individual stocks, certainly haven't traded in them lately to speak of is that a philosophical thing or would you have any reason not to support a potential bill that would outlaw members of congress from trading and to some extent even owning stocks >> so i support the legislation. there are numerous bills introduced on preventing members

from owning and trading in stocks so i support that legislation. i haven't decided which of them, or to co-sponsor, looking at them and making that decision shortly, but you're right. no i do not currently own any stocks i decided years ago to dispense of the small holdings i did have and it's just cleaner that way, i think, and as a result doesn't raise questions from the public as to intentions on any piece of legislation. >> well said senator, thanks for joining us today. appreciate it. >> good to be with you thanks. senator chris van hollen from maryland. still ahead, it wasn't just tech stocks. demand for i.d. jobs took a hit last month up next, the new number one sector and what about the new labor market

plus, competing since 2009 expectations low enough for amazon with etfs expected to drop 70% from last year and will earnings help snap nap out of its six-week losing streak we'll get you the answers and the action this morning in earnings exchange. >> announcer: this is"the exchange" on cnbc. ♪ ♪ wow, we're crunching tons of polygons here! what's going on? where's regina? hi, i'm ladonna.

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welcome back echoed in the labor market, new data from recruiter.com showing demand for i.t. workers sliding from top spot to fourth in january looking for more architecture and engineering roles. the war for talent continues there are signs wages are starting to level off. joining me with more, ceo of recruiter.com and a lot of changes in the labor market last month. why? >> you know, i think the sentiment is down from 37 to 36, which was a surprising it came down you saw the i.t. numbers drop from the number one spot held for a long time, down to the number four spot didn't fall off completely, but i think as you said. the war for talent is on and as people could, as remote workers are now, row meet jobs increasing month after month we saw 60% increase in remote jobs

since september. a lot of those are the i.t. xbrobs wage increases across the board there. fighting for talent seeing more apply for different jobs, it's really going to affect the overall work load and saw recruiters, work load working on is now 14 jobs the, down from 18, where it was a year ago they're working on fewer jobs because it's harder and hard are and harder to fill those jobs. >> if we see, we saw in apd drop of 300,000 jobs. minus 200 or in that range tomorrow if we came to you and said, why? would it be omicron? what do you think we should attribute those to >> the great resignation is still here we predict it through the summer millions of people quit their jobs in december who quits in december? answer was, millions of people actually quit in december.

900,000 more people quit this past december than they did a year ago december. and so those jobs need to be filled we saw the number, the vacant jobs that created vacant by someone actually leaving that number actually surpassed the new job creation for the month. so backfills versus new jobs when we see that happen, pressure on new jobs being filled a recruiter at the company, in the talent acquisition you fill jobs less vacant by someone quitting, leaving or turnover. >> i wonder if two things are going on here. one, in ways the labor market is slowing its gains because to your point, there's a lot of jobs that need to be backfilled. people are overwhelmed still underlying strength, and yet at the same time omicron sort of -- jobless claims don't show signs this is a persistent headwind, that there's a problematic flowing of the labor market >> yeah.

i completely agree with you, kelly. part of the challenge is calling it a war for talent, every is more valuable than two years ago. first wage increases across the board. working on work color rules everyone is more valuable, and those high-tech talents even more valuable. salaries increase, wage increases in those areas so that's really creating this pressure on the actual labor market itself. >> very, very interesting. can't wait to see the details tomorrow changing rapidly before our eyes evan, great to have you here really appreciate it. >> thanks so much, kelly. >> evan sohn with recruiter.com. still ahead, housing numbers in perspective good news for homeowners but not first-time buyers. details ahead. nearly a year after a deadly winter storm left more than 10 million texans without power, bracing for another round of

rough weather and this time the grid is getting unexpected help from bitcoin minors. we'll explain when we come back hey lily, i need a new wireless plan for my business, but all my employees need something different. oh, we can help with that. okay, imagine this. your mover, rob, he's on the scene and needs a plan with a mobile hotspot. we cut to downtown, your sales rep lisa has to send some files, like asap! so basically i can pick the right plan for each employee. yeah i should've just led with that. with at&t business. you can pick the best plan for each employee and get the best deals on every smart phone.

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agent, or get a quote at easyaspie.com. ♪♪ giorgio, look! the peanut butter box is here. ralph, that's the chewy pharmacy box with our flea and tick meds. it's not peanut butter. ♪ the peanut butter box is here ♪ i'm out. pet prescriptions delivered to your door. chewy. welcome back, everybody. moving into the afternoon seeing indexes near session lows. about 50 points off the lows for the dow and nasdaq dow jones industrial 308 nasdaq down 348 or 2.4%. other movers besides meta and social names keeping an eye on this hour. energy stocks crushed and get back gained from earlier this week sun run and chargepoint down 7%. and t-mobile having its best day

since november 2020 amp beating earnings estimates and giving better than expected guidance. standout given challenges of competitors having with 5g hershey shares, all-time high after beating earnings and forecasting full-year profit above estimate thanks to price hikes offsetting inflation and commodities like sugar, wheat and soy. hsy up 3.5%. on "closing bell" at 3:00 p.m., interview with the ceo of hershey. as if this company didn't have enough to deal with, and from netflix to ralph lauren but relief may be on the way thanks to foreign central banks rick santelli here with the details. rick >> yes, kelly. runway just got much shorter if you were looking for the ecb to begin removing stimulus in earn

echt in 2 earnest in 2023. yields popped. more importantly, looks as though there's been a big pivot, look at it, intraday versus eurodollar boy, did it pop. same chart dollar index. same dmachart in reverse as the dollar drops why? almost 58% of the dollar index three week of versus dollar an pace to close against the dollar in three weeks zoom back to the november of last year. you can see how close we are to testin testing levels we haven't seen since pre-thanksgiving and much more aggressive than this. current pace, might be an air pact over the next several-plus sessions to get it up to the 116 level. finally, dollar index same period back to november could see how vulnerable that may be's down to 95 if not 94 we'll have to monitor definitely see if the same companies are as

happy when the dollar weakens. i have my doubts, kelly. back to you. >> fair enough rick, thank you very much. let's get to rahel solomon for a cnbc update. >> happening at this hour u.s. officials have intelligence on a russian scheme to create a pretext for invasion of ukraine. intelligence official saying russia has plans to release a fake video to accuse ukraine of genocide against russian-speaking people in its country. release of intelligence by the u.s. is designed to deny russia the opportunity to actually carry out that plan. on the news tonight, russia's latest response to the crisis on the border with ukraine is tonight at 7:00 eastern. washington says one of the helicopters involved in the attack on the leader of isis had a mechanical failure officials say it was moved and destroyeds debrie seen in northwestern syria. u.s. says, however no american

casualties in the raid. and sarah palin back in court for a liable lawsuit against the "new york times. the trial delayed more than a week after she tested positive tore covid seen entering the courthouse, we can see in this video, without mayoring a mask. hopefully she is now negative. back to you thank you. still ahead, did facebook set the tone for amazon and snap we get the answer. action and story in "earnings exchange" next.

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welcome back, everybody. let's brace ourselves for the necessary round of earnings on tap with amazon tont and another addition of earnings exchange, the action, story and trade on amazon on snap and on ford today. so let's start with the big one here amazon down 6.5% report after the bell. ecommerce not a bright spot this quarter and looking stronger shares down 15% in the year basically nowhere for 18 months. joining us with the story on amazon our own deidre bosa and

the chief market strategist at miller payback here to give us the trades deirdre, man, what are we looking for? >> ooh where do i start, kelly. what an earnings season it's been quoted by josh brown on cnbc said maybe look to a starbuck's instead of a mega cap to figure how amazon is going to do. already warned labor issues, supply chain issues weighing on costs. amazon at least profitable of the mega cap names and spending a ton on logistics now costs outside of its control. the bright side, kelly, you mentioned cloud. aws, growing at a fast clip and by far and away leader in this category ahead of azure and well, well ahead of google's cloud. good results there likely trickling through. advertising another one to watch. how much have we talked about meta today >> right. >> what hurt meta actually likely to benefit amazon's ad business, because it has more

access to first-party data like google does that helps that company. >> great point matt what do you do with the stock here >> i mean, as mentioned, dead money 18 months. the problem, concern is, on the stock itself, but good news for the long term. that mr. president jaffe along with jeff bezos don't care about short-term earnings but the long-term earnings and long-term demo domination of the company. they don't care about the short. don't like it, sell the stock. nobody should sell the stock on a long-term basis. big thing i'm watching for, margins. spent a lot of money last year in 2021 on infrastructure. to get, take their costs down. a company that can improve in the next -- it's going to help to improve their market. the question, does it happen now or down the road doesn't happen now, going to happen probably for the stock

and, of course, had so many good numbers out of the -- the technology area. now have meta with -- another one with amazon going to take a little comp out of the market. important number watch the margins. >> if investors believe in the long-term vision, then that doesn't mean it's going to be a smooth ride, nor has it been historically that's what they should hang their hats on. >> deirdre, talk about the labor issues they might have seems to me that -- i mean, no the we would hear about amazon warehouses closed. but if anything sounds like they've been soaking up a lot of the workforce. i personally know people who have kind of been reallocated to warehouse jobs and taken out of other sectors. i wonder does that help them navigate the challenges? as we know, earnings are up for sure. >> yeah. i would say, kelly, over the last few years in the pandemic

seen amazon be particularly affect effective in the battle for labor. offer things like $3,000 starting bonuses higher pay some of those incentives and benefits the question, i suppose, disruptive particularly by the omicron variant? maybe shows up next quarter, but you saw that from starbuck's as well more employees calling in sick how did that affect amazon's logistics and their labor force, now for the whole company, second largest private employer in the country also, i mean, of course, guidance right? what the season is all about what does andy jassy say going forward? amazon actually gives one quarter guidance ahead versus google that doesn't. alphabet, rather. >> and microsoft initially stock went down on the cloud business until guidance said it picked up in this quarter. amazon, services revenue expected to grow 36% to $17.4 billion. get that right maybe everything else will be okay.

>> thank you appreciate it. deirdre bosa shares down 6.5% for amazon. snap's worse down 21% after the other social and tech names crushed after meta's big news. nearly 50% lower just to start the year julia boorstin, what's the story here >> well, you know what we really should be talking about what happened in the third quarter results that has sent that stock down so much since then the same concerns weighing on the stock today. really, concerns, of course, that what hurt meta will also hurt snap. three things i want to point out here first the fact revenue is the most important thing revenue growth that fell short of expectations in the third quarter and the question is, will that trend continue or can revenue start revving up again and how well is snap doing at navigating the apple operating system headwinds second is user growth. actually better than expected in the third quarter.

can they maintain that momentum after meta and facebook in particular showed slowing growth and actually decline in daily active users in the u.s. third thing, commentary and competition. facebook, meta and facebook, competition with tiktok a number of times on the earnings call. the fact they specifically pinpointed tiktok and did not pinpoint snap you wonder whether snap is also seeing those competitive pressuring from tiktok as well. >> yeah. matt, you think still not cheap enough >> exactly i mean, the two issues julia mentioned are so important with the apple and with tiktok. tiktok just killing them with younger people especially teenagers which benefited big -- a big market for them. the thing that, much cheaper than it was. now down 50% referred to, down almost 75% just since september you think, gee, stock must be really cheap still trying to

again 76 times forward earnings. needs to get to 50 to 60 times earnings range before it becomes something that's attractive. especially with two headwinds in these two areas. >> maulultiple sums it up 72 times don't miss senate ceo exclusive interview tomorrow morning on "techcheck." julia, looking forward to that our julia boorstin. ford off a monster year surged 140% thanks to the turnaround plan by the ceo and pushing evs. phil lebeau following this hopefully won't take the whole market with it whichever way it goes. >> numbers not the focus for investors. expect to earn 45 cents a share, consensus out there. wildly off the number, not expected folkcus what the company says regarding the ev plan. driving ford shares higher along those lines, people want

to get a sense of, as ford starts ramping up production, are things on schedule we know the f150 in the second quarter start. increased amount of production they planned over the next year and a half will they make an announcement about greater investment remember, that story floated 0 ut there over the next couple of days really the focus after the bell. >> all right matt, are you a buyer? >> know what key thing i'm looking at, still talked about with the change and new concentration or emphasis i should say on ev what does it mean for their pick-up trucks where they make all their money. margins are huge how much -- batteries cost a lot. how much are the margin in the new vehicles look at, the other thing, like to look at the chart stock come down well off its high bouncing around, if you break above 50-day moving average after this report, $21, bullish and breaking below recent lows,

shifted a couple times $19, a bear. break out of the range one way are the other key for the stock over the near term. >> levels to watch less than ten times even after last year's monster year leave it there thank you all. coming up, why the major winter storm ascending on texas could become a huge test forhe t crypto mining industry that story and it's down 1.5%. we're back in a moment.

texas bracing for bitter cold temperatures as a major storm descends upon the state. feeling like 11 degrees in el paso tonight where it's about 19 crypto minors stepping in powering down to alleviate pressure on the power grid joining me now we have more. trying to help

>> reporter: yes, they are so since tuesday crypto minors across the state shutting off machines to ease burden on ercot, name of the texas power grid chief concern here, we might see a repeat of what happened in february of last year when 10 million texans lost power. to try to prevent that from happening, already cut power comp assumption by 99% heard from multiple texas minors doing the same thing reacting in realtime, ercot asking them to power down they will cut off their machines within minutes to see if actually good for stabilizing the grid is true and so far appears to be working ercot shows grid demand, enough power for current demand. >> i applaud the effort. couldn't they lose a lot of money doing this compensated somehow? >> exactly minors are tech likely losing

money when off-line. paying them a premium to cut power. question almost comes up, why does irercot need additional demand anyway? crypto minors are useful when little demand for electricity at night. basically having more minors and flexible buyers evensous demand you don't see electricity surge or go negative. >> what does it mean effective for this stretch >> probably doesn't mean much. the supply delta from changing pace of myronin mining is typic minimal. kazakhstan, one of the biggest mining stations on the planet. miners went off-line and didn't do much for the price of bitcoin. the crypto miners, marathon

digital down more than 4% toda and both 34% lower this year. >> true. a point to watch if they continue to feel the stress. mackenzie, fascinating and appreciate it. read her full story at cnbc.com. coming up, facebook the second bank stock to drop 20% or more this year put reegnewed pressure on the stock. more setback or more pain for the index? that's next. during february celebrating black history featuring some cnbc contributors. here is advice for future leaders. >> i like to remind our current and future leaders during black history month, those of you who have broken down barriers and shattered ceilings and kicked down doors, is that the community needsyou to stay vocal, visible and involved.

your very example can help bryden horizons of aspirations hearing how you got there can help engender the motivation and discipline needed to take advantage of today's and tomorrow's opportunities. (doorbell ringing) (slow piano music)

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welcome back, everybody. markets down 2.5% an meta the huge earnings miss stock itself down earnings last month joining me now is alan boomer. welcome. which in particular do you want to be a buyer of here? >> first of all, thank you for having me. you see facebook, meta i should say, down a bunch. i think of a great business trading at a low price revenue beat it is the expenses than a little higher so the earnings were not as good and the guidance moving forward wasn't as 2k3w50d but i see a stock at 17 times earnings

now investing in the future and i love itality these prices. >> isn't the stock a little trapped reminding me of a mature company to settle into a strong earning capital return kind of stock or they can try to invest in order to get back to the high growth days with a higher multiple and stronger annual performance. don't their to pick a catch? in the middle won't they penalized with low pe and not the growth in the long run >> that's a great perspective. for sure being in the middle is not a good place to be but i still view meta as a growth company and what do growth companies do they reinvest the profits into the future they invest in innovation. i think meta's been at the forefront of innovation in a lot of ways. a stock like this which i still

think is the ultimate advertising platform between the facebook site and instagram site these are incredible businesses. reelz business has potential i like the fact to buy a great company at a low valuation in the long run they will benefit from the investments they are making. >> what else in faang are you sniffing around at >> you have to be careful around the fooaangs at all we see growth going south and seeing value going forth we see folks looking at the old line companies that trade at low valuations that pay big dividends saying why would we own the growth stocks? you have to be careful with the faangs if you are worried about

tomorrow i think meta goes lower before higher netflix is clobbered i think it's a great business and a great time to buy. i like the faangs. i think that right now it is like they're losing the beauty contest at the moment. >> okay. if someone said to you -- wall street bets are seeing huge retail interest in buying meta here do you think that's prudent? >> i do. i'm surprised there's huge retail interest because often folks do the opposite on the retail side. they see a stock selling off and they start selling it is smart this time. i think it may go lower and may regret it in the short run but a stock like meta will double and how long does it take for that happen and a smooth or bumpy ride

i think bumpy. >> alan, thank you so much thank you for joining me. >> thank you for having me. coming up, profits of home sellers at the highest profits since 2008 we have the staggering numbers next a quick look at the homebuilder stocks not seeing the wealth so much toll with 2.2% decline back in a moment

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want to feel your heart beat faster? drive an electric car. where the loudest sound... ...is the beat of your electric heart. this is the new nissan. ( nissan mnemonic ) the stunning surge in home prices over the course of the pandemic has given homeowners records amounts of housing weather. diana? >> we just got updated numbers that look at housing wealth from two perspectives home seller profits. the profit on a typical sale last year just over $94,000 up 45% from the profit in 2020 and

71% from pre-pandemic profits. it was across the vast majority of housing markets that is the highest profit level since 2008 the last housing boom and that's the second part home equity is soring about 42% of homeowners considered equity rich at the end of the last year the mortgage was half or less than half of the value of their home nine of the top ten equity rich states were in the west. now how much equity? the amount of tapible equity grew up by $2.6 trillion to $9.9 trillion that's a 35% jump in a single

year the average homeowner has $185,000 in tapible equity what does that mean for the economy? a lot of potential spending power should they decide to use all that wealth. >> very interesting. we saw in the housing bubble using the homes as atms. what about now should we expect to see a boom in ashouts >> we are actually seeing a huge increase the largest in 14 years on equity but -- i say a really large caveat you must keep 20% equity in the home that was not the case in the last housing boom. that's the amount that you can take out over and above the 20% equity must have skin in the game >> of course as you point out tis good luck trying to get in this

housing market fly's that. we'll start to be able to see people get in. you hit the nail on the head it is very hard to get into the housing market because it is so pricey >> diana, thank you. that does it for "the exchange." "power lunch" with that man over there picks it up. welcome, everybody, to "power lunch." here's what's ahead. we have the good, the bad, the ugly and the big question. the ugly -- that would be facebook today the bad would be spotify the good is cloud broadly speaking the big question is amazon what happens with their numbers after the bell this hour we'll take the deep dive into each the ecb changing the ruin on rate hikes will central bank hawks bring