then so be it. it'll be a good thing. >> right drew, always a pleasure. thank you. >> thank you, guys take care. the dow is down 1%, s&p lower too, the nasdaq turning positive again that's going to do it for "squawk on the street. "tech check" starts now. ♪ good monday morning welcome to tech check. today geopolitical tensions and possibility of war in ukraine leads to volatility. russian officials say compromise is still possible. but looking at the impact on chips as we get an joup grade of micron and a downgrade of texas

instruments. crypto, ev and the metaverse dominating the super bowl last night. >> we'll get to the coconschips what to expect when a couple of gig economies report later this week let's get to the new york stock exchange mike santoli looking at the factors shaking up the markets >> seems like a lot of the same pressure points being applied to the overall stock market hitting tech tech in a more vulnerable position because it's further off the highs. looking at the field position of the nasdaq 100 etf here, about 15% off the record high. i like to point out how far back in time we're going. pretty much to early july, late june even. basically almost eight months. so we've skimmed a lot off the top in terms of valuations right here yields are up today, which is kind of interesting, even though they're not at new highs

yet you have a slight nasdaq outperformance those rules are not necessarily day-to-day bell weather of what's going to happen with the markets. i think the story with tech has been slightly overplayed look within technology on a year-to-date basis, the last seven weeks or whatever it is, not a lot of differentiate software has struggled much more you see them all pulling into the same zone. i think this is when the market is under stress, in a correction and reacting to itself and people trying to figure out if things have gotten oversold enough, have we taken enough of the valuation out of the big guys to be on a more balanced footing here on out. >> we've had a lot of earnings, still have some to come, but what is going to be driving markets in the week ahead is it ukraine and russia and the possibility of what happens there r or is it the fed and

rate hikes >> there's a ton of fed speak, we know that, that's scheduled my guess would be on balance it's less hawkish than jim bollard who we heard from, including this morning, who is holding to the idea being much less aggressive quickly. putting that on one side of the scale it's going to get no worse at least rhetorically. geopolitical stuff i think is an exacerbating factor on this, mostly transmitted through energy prices. nobody wants a conflict, but usually that's not the long term sw swing factor for what markets do, just a quick aggravating element to what's been going on in market. >> we want to start with semiconductors, the white house warning to diversify supply chain as the russia/ukraine

conflict e canscalates if russia retaliates against u.s., companies could be blocked from key materials meanwhile, the semiconductor industry association forecasts 8.8% sales growth in 2022, that follows a record 2021 with more than a half a trillion in sales. today web bush upgrades micron to out perform raymond james takes texas instrument down. to what degree do you expect to have to react within the industry to how this russia/ukraine situation intensifies? semiconductors have overall been stable performers for the markets overall and then there's just the sentiment involved. >> right i think it's interesting just to take a look at how the market is reacting to the conflict in general or the potential for conflict in general in that region and look, the government is

issuing some warnings to the chip manufacturers that they should start considering identifying other sources for some of those raw materials that were mentioned, neon and po laidup for some of the materials that go into the chip production i think obviously the kexecutivs have been thinking about this, they have smart people on the supply chain i think it shows how globalization has impacted every aspect and when we look at these global conflicts it's another aspect of the economy that can have a significant impact. the demand for chips is just ins insatable right now if we think about all the elements chips are used in. everything has a chip these days, there's a lot of attention placed on cars, we see a lot of growth there's the iiot, infrastructure et cetera, and all of this is to have access to building those

chips. >> given that, then, because the argument has been chips are going to be in everything, chips are so important, how much do we need to be concerned about the impact of geo politics and even military conflict as we expect, perhaps if you follow that thesis, chips to have an impact on economies in general? >> i think we should look at some of the conflicts that have happened in the past you know, it wasn't -- we didn't really see a significant amount of disruption, but what we did see was a significant increase in the prices. so that's another factor, right. i think those two elements, you know, even if conflict is going to be -- and based on some of the comments that came out of russia, it seems that they're still open to diplomacy, so i think that's good. but one never knows we could see a significant increase in the price if those materials are still available and able to get out, or the folks on the supply

chain need to really start thinking about other places to be able to source some of those materials and then there will be cost in that, because i would suspect they're not going to be in the same abundance from other suppliers, meaning that there's going to lead to an increase in prices for those come po independents comep components >> as you look at downgraded texas instruments and upgraded micron, how much divergence do you think you're going to see in the sector in terms of how the companies can manage new pressures? >> that's the key, howgood are they at managing the pressures, managing their supply chains, looking at some of the other chip manufacturers looking at capital equipment makers is also going to be interesting. thinking about what impact this is going to have because we already saw pressure within the supply chain due to covid, and the demand for chips

i think this is going to be a true test of the company's ability to manage the supply chain issues and it could potentially portend their ability in the future, knowing that we're going to continue to see more demand for chips, are these companies going to be able to produce that supply, and then to be able to natalia veselnitskaya -- to be able to navigate that demand if there is an increase in the demand will they build up too much inventory, this is a test for the ability of the supply chain aspect of the companies and that's what analysts are going to key in on >> good morning. in terms of what the u.s. can do in response or retaliation, talking about the possibility of sanctions for chips. and it's a powerful lever the u.s. can pull but what about some of the longer term, unintentional consequences of that we've seen the effect on china, they made chips an important industry and they are gaining ground do you have any idea what china

might do would this spur more development, more progress in other places in the world and thus more long term geopolitical risk for the u.s.? >> that's an interesting one it is something to think about clearly the united states is concerned about maintaining leadership within technology overall. and with particular point on chips given that everything will have a chip, we know that, you know, china is obviously the biggest market for the consumption for purchasing chips, given all the products that it produces that have chips inside of them and the amount of investment that china's been making to be able to increase their ability to produce more chips. i think we would also need to think about with our political at hats on, the ties that china has to russia and could russia actually, as a result of this, kind of influence the ability for china to have easier access to some of those materials for the chip production. >> all right i also want to get to platforms

for delivery and rentals airbnb and door dash reporting results this week. we heard from uber and lyft on kind of the delivery of stuff, delivery of people last week, interesting set up uber right now, market cap is i think a little better double than door dash since door dash hasn't had the growth stock recovery that others had over the last couple of weeks of 2022 and then we had uber with the super bowl commercials last night, uber eats but not about stuff that you eat, more convenience delivery what do you expect here? let's take door dash first since they were in the cross hairs of the commercials? >> door dash, it was when he b w look at the how the deliveries played out, the tailwinds benefitted the players doing delivery it rose the tide for everyone.

but in particular, i think looking at some of the trends with workers taking advantage of offices being closed, they actually went to different locations. kind of exited the city a little bit, and when looking at how door dash was able to grow their business, they were really foe c focused -- door dash was focused on suburbs so that definitely benefitted them. and also increases with the door pass, the subscription service i think analysts are expecting that, you know, this trend will continue where now that the genie is out of the bottle and people had a teaste what it's like to have the delivery that's going to stick but the unknown, as the economy does reopen, how much more of the behavior by consumers will shift back to going out to eat and could we see a bit of a decline.

an interesting balance to watch out for, the difference between how many people continue to still order in, versus people going back out >> right market aside, market caps aside, excuse me, door dash has been valued on a higher multiple than uber priced to sales of 15 versus less than five for uber, so investors seem to like the company or value it more it's interesting because they do look like different companies, they both do food delivery but door dash is going into an asset heavy model with things like dash mart. would that make you nervous they're getting away from the platform, competing with retailers out there, or does that make you more bullish >> just looking at consumer behavior things that consumers want it's tricky when managing a platform or developing product features to understand what are things that consumers are beginning to expect that are

almost table stakes and how can one differentiate themselves we see with uber to do things more about delivery in the case of drizzly delivering alcohol it'll be interesting to look at door dash's response and understand, do we as a company need to adopt and start to have some of these other aspects that uber eats is doing because those have become table stakes in the consumer expectations. it's unclear but i think that is a good point they were able to focus on their core -- >> and low -- yeah, i was going to say, seems like table stakes these days is speed. i thought it was so interesting to hear that door dash is bumping up fees for the mcdonald's restaurants that are too slow because that says so much about what's going on in the space right now. the pressure on margins, pressure for speed, the fact there is a labor shortage. i'm wondering if you have any thoughts on that and what these

fundamental risks are, not just about the reopening but when it comes to issues of labor and margins. >> we're seeing labor being the scarce resource. and every ceo is providing comments in their guidance about the ability to be able to access the talent and the price increases that that's bringing, just yet another indication of inflation. we see that within the gig economy. the ability to be able to attract these workers is predicated on providing the economic incentives for them to want to come on the platform and, you know, at the end of the day, everything is basically handed off to the consumer as a price increase you know, speaking of the speed, yes, the gold standard in the delivery space is an expectation of about 15 minutes or so to 20 minutes to be able to get that order. and so in order to meet that, if these restaurants and workers, the restaurants have to be incentive to get the food prepared, insent the drivers to

pick up the food and deliver it, if thosecosts go up, another price increase consumers are seeing eating away from their wages. >> great to have you thank you. >> thank you getting breaking news from the new york fed, let's go to steve liesman. steve? >> some surprising news here the new york fed saying in their reporting consumer expectations that inflation expectations declined it's the first decline in the one year ahead inflation expectations that we've seen since october 2020 the third consecutive decline for the three year here's the data. one year ahead is, it's all still elevated, 5.8% but down .2 on the one year ahead. down .5 on the fthree-year ahead the largest decline since the survey began and the five year down 3%.

so they're saying they rose inside that but it was commodity expectations that fell these are still elevated, folks i don't know what to make of this, is this suggesting maybe when it comes to inflation expectations we reached a peak certainly interesting to watch whether that's a peak in the cpi. >> thanks for bringing that to us, steve. still tocome, more cloud m&a ahead. cathie wood doubles down on high growth the nasdaq is down .1% ard.stetng is ju gti stte

time now for gut check on splu inmk, the firm receiving a more than $20 million takeover deal from cysco. the two companies reportedly are in active talks. splunk shares rising on that, cisco lower to start the day, off about 1% i think it's worth noting that splunk shares before today were down dramatically since the ceo resigned last fall. >> yeah. that's important the stock had been in the 170s just back in november, and 20

billion would be around, what, 120, so this was kind of a low ball offer in what might be a hotter real estate market if i can make a metaphor than some might expect maybe in the depths of january this looked more opportunistic and possible, but they might have to pay, i don't know, a bit more especially given where silver lake seemed to value this thing middle of last year. probably can't get it for 20 billion but nice to know they're interested. >> they may have to pay a bit more but this is a classic pandemic story, shares rose early in the pandemic and almost fallen by half before today's bump up. so again, it plays into this theme what we're talking about what is looking attractive now with the valuations, where do they settle? our next guest sees a transformation taking shape in the sector, going to

$1.8 trillion by 2030. brent graceland. i believe that outlook was moved forward a little bit, so how do you sort through the names in the selloff that has hit all of cloud and software in the last few months how do you sort the names that could be m&a targets >> it's challenging if you think about the cloud group, talking about a group that's 105 different stocks all tied to the cloud, that's up from about 70 a year ago, up from 25 just about five years ago so the number of cloud stocks to choose from now is created a challenge and our view the focus really in the short term is really on buying the best cloud models the companies that can sustain the growth, that can hold the growth to me those are the areas where we're most bullish on from a near term perspective. this is a group down 30% since

the beginning of november. so it's been a very, very challenging space. the good news, we're now nearing three-year valuations for the group. and so, the valuation risk is less, but still, i think there's going to be a hyper sensitivity to the models that can sustain the growth >> so brent, what are those best business models. are you looking in the enterprise space we talk pollton, shopify, so what are those best models with the best fundamentals. >> fair enough in the short run, the bigger risk is with the some of the consumer oriented b2c companies and we're focused on the enterprise space, companies like bill.com, this is a company they have a business model where 70% of their revenue is actually tied to a small take rate. every time a small business pays their bills, bill.com gets paid.

additionally, bill.com has a business where if the fed funds rate continues to go up, every 100 bases point rate hike they get about 30 to $35 million in incremental revenue. one of the few cloud names that benefit from a raising rate environment. so bill.com is one of our favorite names in the space. another company is called pro-core they do construction software, this is a business that has majority of their revenue as a take rate but instead recognize their revenue when you buy that sweater online, they're recognizing the revenue over a five-year period it takes to build a $100 million building we like the business models that are part software, part take rate, mostly tied to the enterprise these are strong durable business models we're very focused on >> as you raise your overall forecast for the sector, brent, wondering what the potential risks are that you're most

focused on you mentioned interest rates earlier and how bill.com is a beneficiary of that, but what are you watching more broadly for the sector as you raise your forecast >> we're bullish around a group, it accelerated went from 31% in 2020 to actually 33% overall so fundamentals are really strong i continue to put valuation as the biggest risk factor, particularly in a rising rate environment for this group so you have to pick your spots carefully. there's a hyper sensitivity to growth and so we continue to kind of want to own those best business models that can grow the growth, these are real high quality cloud software assets that can hold the growth. we think about the $1.8 trillion forecast over 50% of it is controlled by the big three, microsoft, google cloud, and aws. so a big part of the forecast, a big part of the cloud market

today is controlled by the big three, we see plenty of opportunity for wealth creation in some of these smaller players. >> i wonder, you talk about valuation, if part of the lesson from this apparent -- at least at one point cisco bid for splunk is the selling was overdone when you look at how cisco and splunk are already working together, the value a lot of analysts can see would be there. and the 20 billion, it look like it was a low ball and a lot of people think they would have to pay more than that yet look how low splunk was trading just days ago. what does that tell you about some of the stocks and perhaps value to be found in this market >> some analysis that we did on public clouds software m&a it's the private equity buyers that

have been more active. cisco is making a move on splunk we think with the valuation and version, public stocks are cheaper than private companies right now. we're about to enter the next big major public cloud m &a cyce we think it's the beginning not the end of m&a we saw it in 2013, 2014 where we saw this inversion of private valuations being higher than politics t being higher than poliublics t started a wave of m&a. let's get a check on shares of disney. b of a says it's a top pick adding the stock to the one list today and they're not alone. our next guest said disney is one of the few names to own right now, that stock up 2.5%. more on why it's the stock to own enecwh th check returns in

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welcome back to tech check nasdaq is trading at session highs, meanwhile dow and s&p still negative more on the volatile we're seeing in just a moment but first let's get a news update. >> here's what's happening at this hour, james bullard making more hawkish comments on monetary policy he said strong inflation reports show price increases are broadening and the fed needs to take action >> we're in an environment we can't plod along meeting by meeting do a little bit here, a little bit there we're going to have to react to data and be more nimble in this environment than we would have had to have been in the ten years prior to the pandemic. >> 3m one of the biggest loser in the dow today, the company

giving full year revenue guidance largely below est estimates. also warning respirator sales are expected to decline and weigh on earnings. and weber seeing shares tumble 15%. first quarter losses were double what was expected. the company said it was hit with acute supply chain challenges and cost increases for raw material and shipping. weber i.p.o..ed at $14 a share in august, now trading under $9 a share. julia, back to you >> thanks, christina our next guest sees safe bets in tech including nvidia, amazon and disney, which are all up this morning joining us morris mark morris, i want to talk about some of the individual picks but start us off by giving your broader perspective on the market we've been talking about the fed, talking about inflation,

geopolitical risks what's your outlook right now? >> we just wrote a letter to our limited partners and our investors and we basically said there were two factors adversely affecting the market first one is pretty much passed, i call that indigestion, the fact so much paper was put in the market last year, and the second one i'm going to use uncertainty. fear of the fed, geopolitical environment, things that we can't -- the first one you can quantify, the rest you can't and our approach has been stay invested in quality, build some liquidity, which we have and take advantage of opportunity when you think that opportunity is there >> well, so speaking of opportunity, we just heard disney's earnings last week. i know disney is one of your top picks, along with amazon, both of those stocks up this morning, what are you seeing in terms of the opportunity versus valuation equation there >> well, the way we look at it,

we think disney is a cheap stock. when you look at the assets, the real estate, the library, the fact that gives it a tremendous base of anything like a normal economy reoccurring income and the fact we appear to be subject to another variant we appear to be moving into a more normal economy, domestically first, eventually more worldwide. you have a company with great franchises that's been investing, continuing to invest in the thing that sets it apart which is high quality entertainment. and i think its decision to emphasize streaming within the context of offering a wide range of entertainment products is right on so we really like it and we were really impressed with the quarter >> morris, good morning. how do you define quality in this market? i think when you were on with us at the end of january, you were saying i want to stay away from anything that's not profitable

right now. but since then we've seen quite a rebound in some stocks that have pretty strong growth, strong net revenue retention but are younger companicompanies. are you still defining quality the same way >> yes we love young companies. we want it to be making money, especially in an environment where financial accommodationi probably going to be more disciplined. and where we run the risk of a discount annuity, hopefully we won't have it. but we're right in the middle of one of those periods right now with respect to russia and ukraine so we take those two factors into account, we have some young companies we were always doing that. that's why we were in amazon for a long time and apple for a very long time, we still are. but we want to see cash flow you don't see cash flow, we're going to be very impatient. >> so morris, the two themes

you're thinking in terms of the market sentiment right now are uncertainty and indigestion, what do you think is driving risk sentiment today, we're seeing the nasdaq outperform some of the highest growth names like rivian and lucid, they're up big today, do you expect this to last? what's driving it? >> i wish i knew i just put it this way the world is changing, one thing that hasn't changed is that the trends toward digitization and the trend toward more and more high speed communications worldwide are there, they're intensifying i went to a seminar last week, a really great one, and the point made by a guy in the real estate business is the amount of mone going into the cloud, the amount of money being put in for the infrastructure tells you this is a long-lasting trend, still in its early stages so if we can start to see ourselves a little bit above water in terms of economic perspective, particularly

geopolitical stability, these trends reemerge in terms of visibility i think that's what we're seeing >> we have certainly seen that digitization trend morris, thank you so much for joining us this morning. >> you're more than welcome. have a great day >> coming up, crypto, evs and the metaverse, the takeaways from this year's super bowl ads. tech check is back in a moment

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that coin base ad airing during last night's super bowl, driving traffic to the site that caused coin base to crash for some users but cryptocurrency along with ev certainly dominating the airwaves last night. i know a lot of people were talking about cryptocurrency and i thought it was funny to juks t juxtapose that add that cost nothing to make with the more pricy ads starring lebron james and the like. >> it was brilliant. i've seen it about 100 times since last night when it hits that corner, always satisfying. >> that's what my sons were looking at, waiting for it to hit the corner, weren't scanning it, didn't care about that, just

watching to see if it hit the corner it was interesting like the salesforce add, which they're having fun with on twitter the last few hours but not talking about business software but taking a dig at folks thinking about space. >> there's a lot of that, taking digs at your competitor was a theme. >> taking digs and also the retro knostalgia. i think the coin base ad was so simple to the old dvd ad and got people to use qr codes for more on that ad and the qr codes let's bring in tim armstrong, founder of flow code, which is a qr maker. good morning i understand that flow code did not do the qr code that was used in that coin base ad but what do you make of this surge of awareness of what qr codes are? >> julia, great to see you

again. just got back to new york from california, i was out there all week meeting with people around the super bowl i think the most exciting thing is qr codes which we've been doing since before the pandemic. people used to ask us why are you doing qr codes, they don't seem to work we knew the biggest part of the future was going to be directly connecting with your consumer. i think last night the super bowl made qr codes go from supporting character to main character. and it's a really important technology, it's why we've built the largest qr company in the united states for tv and we have the only specific product for tv so we are cheering on coin base and as an early coin base investor and current customer there i was excited to see what they did it shows you how close you can get to your consumer and how fast i think coin base won the super bowl last night. >> well, the fact that we're all talking about indicates they probably did but i'm curious if you think

that last night the awareness of what coin base did with the qr code is going to be a tipping point in terms of how businesses use qr codes, and also consumer awareness not just what they are but how to engage with them. >> i'll say this, and julia -- >> well, it looks like tim is frozen there thanks to the joy of all this technology but jon, curious what your thoughts were in terms of whether this could be a tipping point for how consumers start to use qr codes as as opposed to missing them. >> i understand that tim is back tim, i thought that qr codes are interesting in part because of this omni channel type world that we are increasingly moving in always assume it's difficult to move people from one medium, like from tv to desktop, from desktop to mobile, et cetera, et

cetera qr codes perhaps one way of bridging that. how far can you push it? what else can they do? am i looking at that correctly >> yeah, so 85% of the economy is still jaoffline. we're big investors to the earth first and metaverse and back the biggest decisions you make, the most important ones and the customer relationships you have in many cases are build offline. that's why two and a half years ago we launched flow code in 200 countries millions of people building our products. it's important it allows you to become direct to consumer and get first party data with your customer so you build direct information which is important the second thing is your data does not go to silicone valley to the companies that take it, crunch it, auction it and sell it to your competitors so coin base last night proved the case that we've been saying for two and a half years, which

is everyone has a mobile phone you want to have direct connections and first party data, you don't need to go through silicone valley to have those data and connections so we think, this is why we built flow code, flow code is the type of company to revolut revolutionize the offline economy. >> i wonder what comes after qr codes? we were talking to snap 7 the other day and they're doing a lot of interesting stuff with augmented reality, including a menu that pops up from your table and i believe that bypasses the qr code but as we talk about augmented reality an the metaverse how do you think about it and moving into that space already if you are >> we have a large amount of companies in the metaverse, and crypto and web three use flow corrode. the reason is when you go to a bank on your corner you want a trusted place offline where you can see products and services.

so people in the metaverse and web free use our codes offline so i would say we have a big business and traditional brands building direct to consumer and small businesses and a big business in web three and things like crypto because the best way to get your online product seen is to have a presence in the offline world. >> we are certainly paying attention to the importance of first party data especially in light of the issues targeting ads, et cetera so tim armstrong, thanks for talking to us about this interesting issue on the heels of last night's crypto qr code app. >> ev is a focus of last night's ads, filing showing george sorrows bought a 2% stake in rivian those shares popping nearly 12% on the news. don't go away. how? they have a better finance system than we do. i feel like they might have a better finance system than we do. workday.

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(laughs) anything else you wanna know? is the hype too much? am i ready? i can't tell you everything. but if you want to make history, you gotta call your own shots. we going to the league! let's get a gut check on ark, the etf under performing the market since the start of the year now down 22% since that time but cathie wood is still bullish on innovation, snatching up high growth stocks. the rising rate environment not steering her away from her strategy the top holdings in her etf, in

some cases doubling down on the names that sold off. she unloaded zillow after it said it was getting out of the i buying business. i wonder if she'll look after what rich barton told us how they want to take a large piece of the transaction gs. the fact that she reports this with the transparency behind it is interesting. >> it is interesting, but is it also distracting are we trying too hard to make sense of this. she clearly has a vision of the future and how soon it's going to arrive. she was right about a certain number of things for a certain period of time and she's become sort of the person to watch representative of a certain high growth cohort. i mean, i hesitate to try to make -- to read too much into it >> well, it's interesting that she keeps on stressing the importance of innovation, i love her quote, history tells us not

to bet against innovation, but you have to take into account valuation. and i think it's interesting so many people want to bet directly against her and that thesis you describe, jon, the anti-kathy wood etf. certainly one to watch as well meanwhile, after the break, billionaire bill ackman warns the crypto rule to leave to more residents leaving the state. that story is coming up next (tennis grunts) pnc bank believes that if a pair of goggles can help your backhand get better yeah! then your bank should help you budget even better. virtual wallet® is so much more than a checking account. its low cash mode℠ feature gives you at least 24 hours of extra time to help you avoid an overdraft fee. you see that? virtual wallet® with low cash mode℠ from pnc bank.

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hedge fundmanager bill ackman and several crypto exchange saying new york effort to crackdown on fraud could alienate potential businesses in the state. robert frank has the story. >> bill ackman joined the fight against new york crypto regulations, tweeting to mayor adams, governor hochul, let's fix this right away, we can't lose any more new yorkers. new york is on its way to becoming a crypto center of innovation the issue is bit license that's a 2015 state regulation that governs any businesses that buy, sell, transmit or custody crypto for customers the state so far only granting about 25 licenses, mainly to larger companies like coinbase, gemini, and finance. it can take more than three years to get one of these

licenses and dutens of thousand of dollars no comment from the governor or mayor adams on whether bit license will change. ackman saying last year basically bitcoin is a speculative asset, he is not a big investor in crypto, but he does support the business opportunities more broadly that crypto is creating so far 17 states passed new crypto rules over the past year, despite miami's claim to be the crypto capital, florida has strict requirements for crypto legislators hoping to change that, pass more crypto friendly rules this year. wyoming still stands out, they're trying to be the delaware for crypto, recently passing several regulations that make it easier for crypto companies to trade, mine, sell crypto, and even conduct banking activities we saw the $100 million fine to block involving 32 states

selling unlicensed investment products there's a need for regulation, but it has to be coordinated and smart. back to you. >> yeah. the questionis what kind of regulation i'm curious, you got a no comment from the mayor and the governor of new york, but what kind of reception do you think ackman will get for his push and his argument >> this has been an issue that's been on a sort of slow boil for years by the crypto industry, by many attorneys, even by some regulators that say look, new york was early on this this is the first regulation but went way overboard what this did is it brought it out into the open. i think so far the governor, head of department of financial services who regulates this were already leaning in this direction, so this may be that slight push they need to change it >> and robert, the idea it comes from ackman, too, who you may not think of as pushing for these kinds of regulations

robert, thank you. if you missed part of the show, follow and subscribe to our podcast, listen anytime, anywhere, wherever you download podcasts tech check is back in a moment (doorbell ringing) (slow piano music) (music changes to rapid funk) - [announcer] ensushiastic. intensely excited over how it looks before discovering how it tastes. ♪ on time, lowest price, or we'll make it right. (chicka-chicka) grubhub.

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one more thing peloton new ceo barry mccarthy expects the company to remain independent after rumors of a potential sale to amazon or nike sent the stock skyrocketing. the former ceo telling the financial times there are lots of other things i could be doing with my time that are quite lucrative other than hanging out with a business that's about to be sold. mccarthy said his long term vision for the company focuses on content over more devices, saying, quote, that's where the magic lives. certainly, jon, we talked about this last week, you can see that hardware business becoming a legacy business for this company. it is not even that old. >> i disagree with that. i do think if he was going to try to sell it, julia, this is what he would have to say, but also nobody is paying 40 bucks a month for content, it is for the experience, that includes hardware >> to that point, jon, he said that they could move to an entirely different pricing structure, move away from the $39 a month fee, so it will be

interesting, deirdre, to see if they introduce more tiered pricing structure after this. >> a lot can happen with mccarthy at the reigns nasdaq performing off session highs of two-thirds of 1 percent. let's get to the half time with melissa lee. welcome to the halftime report i am melissa lee fear of rising rates mean immediate risk of russia invading ukraine what does it mean for the markets and where can you find safety in the market let's get a check on the markets now. the dow and s&p 500 down for a third day. the nasdaq swinging between gains and losses right now gaining .6 percent ten year yield, above 10%. joe, what do you make of the action in the past few