lawyer by training, they've never worked in manufacturing. maybe they should go to the plant floor and check it out >> it's a good opportunity for future children, right >> kristina partsinevelos. [ speaking foreign language >> that does it for the exchange kelly is back tomorrow so the day is saved "power lunch" with tyler starts right now. ♪ ♪ all right, everybody welcome to "power lunch. i am tyler matheson. apple's next chapter making a push to disrupt the buy now, pay later sector and the announce made just min ago and the annual developer's conference and we'll have a look at apple's future as device sales slow and the stock is slumping with a lot of other stocks, by the way, and the financial exchange power player and the cebo ceo launching a throwback to in-person trading as more exchanges go electronic.

now to my friend contessa brewer who is in for kelly. contessa >> hello there, tyler and hello, everybody. it's been a volatile day on wall street the dow up as much as 336 points at the high today and now you can see it's trading a thid han. they've got the s&p 500 up three quarters of a percentage rate and the nasdaq down up almost a percent. part of the reason why we saw the pullback off the highs is the rise in rates and the ten-year yield above 3% and closing in on its 2022 high of 3.2% it hit that in early may tyler? >> contessa, with the ten-year yield above 3% the market this week faces a key inflation test. the release of the cpi on friday could help answer the question has inflation peaked joining us now with her look ahead and a few stocks she's watching is stephanie link, chief investment strategist and portfolio manager at hightower advisers she is also a cnbc contributor

so, what do you think, link? is inflation peaking is that what you're hoping for or is that what you're expecting? >> yeah. i think macro is front and center at this point until we get earnings in a few weeks so yeah, it is inflation and it is the fed. it is interest rates it is potential recession where timing of when that could occur. cpi is very big this friday. the number is 8.2% if it's better than that, if it's cooler than that, then you will hear about the peak inflation and the talk is, tyler, you have inflation everywhere, right? and it's still very high and very elevated, and i think it's going to remain so just last week alone, we have unit labor costs up 12.6% and wages from the non-farm payroll rose year over year. the pce price index rose 3.3% year over year and these are astounding numbers and i've not

seen in my life time and i think the fed will have to go 50, 50, 50 in the next three meetings and it's debatable i don't know why they would take the foot off the gas given that inflation is everywhere? >> do you think inflation is peaking then, but it's going to take time for it to slow >> yeah. >> okay. >> yeah. yeah it could be peaking the next couple of months or so, but i think it's just going to stay very high. >> let's keep an eye on a couple of stocks you have your eye on and it seems to be the exception within the chip area and what i would call is safe plays one is campbell's soup what do you say for the campbell's soup, contessa? >> nothing like a bowl of chicken and noodle. >> or clam chowder. paint it safe, paint it safe and advanced microdevices and these are ones you've got your eyes on >> yeah.

i do there's not a lot of company news this week and i do think these three will learn some things and that's important here and campbell's soup is not market moving and it's up 5.4% year to date and yields 3.4% and for a staple stock that's actually cheap, believe it or not. what i want to learn is have we seen demand destruction and they have organic growth negative 1 to positive 1 and let's see if anything changes on the pricing and i want to hear about consumer trade and we've heard that from a host of consumer companies over the last month, month and a half that consumers are trading down and sherwin-williams, they'll have an investor day and they have housing exposure, right? so we want to hear about the housing market and any cooling down there, and also, the stock if you recall when they reported earnings, the stock rallied 12% in two days because people thought raw material inflation was starting to ease i find that very hard to believe, but everyone got all jazzed up about it, but they

have put price increases in and costs are coming down and that's good for operating profits and let's hear what they had to say, probably the most intriguing because they're down and trade at 24 times earnings and i think, they're just in the last quarter they raised 30 revenue growth and that is interesting to me. the problem, tyler, is that semiconductors and i think once the supply chains ease you will hear about double and triple ordering and that's going to be problematic. >> when you're looking at inflation and erspecially the consumer-facing names like campbell's soup and sherwin-williams how can they raise prices before they start to see demand backing off a little bit what kind of insight do you expect to get from them and where do you think we'll hit in terms was inflation? >> yeah. no question about it, contessa we've heard from so many companies that were caught off

guard in terms of the supply chains and inflation and the consumer and that they did raise prices and then the consumer decided that all of a sudden they were trading down if you look at the chart and listening to all of the companies in the last earnings report, companies that talked about trade down is back to the 2008 level so this is very, very important because the consumer is 70% of the u.s. economy we know that so i do think a little bit of it is in your world, right? in the services world. people are going to the gambling c casinos and they're going to restaurants and the services shift away from goods. >> it's definitely happening, stephanie, to your point where they're seeing the erosion is at the very about the bottom levels and the high-end customers are still coming and they're waiting to get big. >> it's like a can of condensed

soup all of that in a condensed soup can. nothing better than a good grilled sandwich and tomato soup. >> it's kind of off my menu, but yes. how about apple? it's the annual developer's conference, and let's go to steve outside headquarters late-breaking news what is it >> contessa, they just announced their new m2 chip and this is sl latest version of the m-series of chips that they're using to replace intel in all their mac computers and they put that chip in the new macbook air, very similar to the macbook pro that was launched last fall and it has a nice screen with a notch in it for the camera that we saw last year and they're still going over all of the specs and pricing and detail and this was one of the few expected hardware announcements we're getting today. on the software side, new ios 16

announcements and the big one is, the buy now, pay later option called apple pay later and this is a direct competitor for pharma, anda firm and it dropped 6% when it was first announced and anywhere apple pay is accepted we'll pay no fees over the next four months and a big swipe at competitors trying to build apple wallet into where you only need to carry around. you can carry your ids around and buy everything on a buy now, pay later situation. >> there you see apple stock up a percent. thank you for that let's bring in casey newton, cnbc contributor for what apple is announcing today and what it's not delivering today. i mean, this idea of apple competing in the buy now pay later space, do you think it has the potential to be very disruptive >> i do. i mean, you're already seeing it in the decline in the affirm stock price.

i think that there's long been a question about whether these buy now, pay later services deserve to be companies or rather they're just better off as features in a larger platform and given how ubiquitous apple pay is already i expect this could eat up the lion share of that market. >> i'm interested, as well in some of the other things that we've learned, for instance that they're going to be able to translate text that are in photographs. i'm wondering how that affects the potential for hackers to get in past they say, can you read this can you do it? you know what i'm saying, the images and then this other thing about the paying where you can pay somebody just by bumping your phones. i know that was announced earlier, but for developers, does that have the potential to create new opportunities >> yeah. absolutely i think that that has long been a goal of these sort of those to

pay the peer to peer payments. so you think about some of the companies that have seen success in that area like a square or venmo, and iphone users will start to pay and i'm sure everyone in that payment space is announcing what apple is announcing today very closely. >> whether apple will give met a facebook's parents a run for their money and living in this virtual space right here have we heard anything yet, casey, that you think oh, yes. this is the way that you can create the content where, then, people are demanding the augmented and virtual reality. >> actually, yeah, and you mentioned that live text feature which will increasingly help you happened the world around you and we'll fig you out what kind of dog or cat do i have, and

this is all stuff that will find a very happy home in the mixed reality glasses and it becomes a new thing that helps you understand the world stepping-stones on the way to apple's ar future are hiding in plain sight in this key mode. >> which of these announcements today, if any, could move the stock which is down 18% for the year it's up a little bit today is there anything in here that is that market moving that the stock would move higher? >> well, when i think about the stocks, i looked at the financial side of things and so everything apple is doing with apple pay, i think, is the spot to look. it clearly has widespread adoption and it is unclear to me how much revenue it is driving for apple that when they introduced the buy now, pay later stuff apple is increasingly becoming a bank to hundreds of millions of people and if they're able to improve

the grip they have i'm sure that will do wonders for the stock. >> one reason they've had this crunch this year is because of the shutdowns in china where they couldn't have their factories and their suppliers open the announcements that things might be looking brighter at this point do you think that will push forward, for instance, the announcements about the new laptops? >> we'll have to see what i do know is apple is diversifying the supply chain. you've seen announcements in recent weeks that they're moving certain production to vietnam, for example. i think that increasingly for them the goal is going to be diversify the number of companies where they're producing these devices so when these supply chain crunches come up they're able to solve them more quickly >> could we switch topics and talk about musky, musky, elon. what do you think of the tousle between him and twitter.

do you think this is gamesmanship to get a lower price or is it games man shh, it could be that he's seeking a lower price. we have known that twitter has had 5% of its user base for a long time. the company has been reporting that in sec filings in the last eight years. elon knew it when he signed the deal the deal is binding. he has buyer's remorse because the company is more expensive today than when he bought it and you can't get out of it just because you got a bad deal we'll see if he can weasel his way out of it, but the law is not on his side. >> casey newton, thank you very much we appreciate it >> coming up, biotech stocks battered and bruised down 30% and will some stocks get a boost as new cancer clinical data emerge plus oppenheimer has a list of recession-proof restaurant stops. we'll talk about chipotle, mcdonald's and papa john's in

today's three-stock lunch and as we head to a break, a look at the chinese ev makers which are trading higher on signals of 'lbeig bk.ndg dema wel rhtac

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investors are hoping for some relief and a few catalysts that come out of the world's premiere oncology gathering currently under way, but our next guest says the best strategy is to stay defensive in the sector joining us is chris raymond, senior biotech analyst at piper sandler. chris, welcome >> when we say it's almost oxymoronic to me, biotech and defensive, but explain what that means and where that leads you in terms of stock names. >> yeah. absolutely >> i guess from our perspective, it leads us into the larger commercial, more mature names. so companies that have earnings actually have a more established commercial footprint, and in some instances, given what's happened in the space. >> so let's get to some names there leading with your favor r

which is a large-cap abbvie. some of the others they would not be so familiar with. >> from our perspective, abbvie is the preeminent large cap name in the space from an evaluation standpoint, it's pretty attractive, but there are so many sources of upside to expectation, this company is facing a loss of exclusivity of the world's largest drug next year, hume ira and there's been a ton of angst over whether they can replace that revenue role and there are other sources that are underappreciated and in addition, you get it at a decent valuation and there is a dividend yield and that sounds pretty defensive to us. >> i'm just curious. if there are attractive entry points right now because of how far these stocks have come down, do you think they've hit a bottom and if you don't, why not? what would be the leading

indicator? call the bottom is the trickiest part of doing this job and one of the sure-fire signs of a bottom that we've seen over the years in covering this space has been signs of capitulation and in one instance and aspect of that is we analyze the flow of funds into and out of mutual funds and usually when you see a sustained outflow for a period of time in the breadth while being massive, that's your sure-fire sign of capitulation over the last 27 years or so it's happened about a dozen times and every time you see the dynamic take place the sector does rally on average over 20% over the six-month period. we just haven't seen that capitulation sign yet. so it's not to say that we wouldn't see a recovery in a rally, it's just i would feel much better calling a bottom if we saw that sign of capitulation

taking place >> two more on your list are genix and ultragenx has been better than the other. ul ultragenx. >> we believe their drug will beat numbers this year pretty sizeably ultragenx is pre-profit, but they do have a number of drugs on the market and there's a transformative therapy with key data happening some time this summer and we like the opportunity there and the odds of that being positive and potentially transformative therapy for the company. >> thank you we'll have you back soon we appreciate it >> here comes the sun. i'd sing it, but then the lawyers call me and tell me i'm

out of line. so solar stocks surging on news that the biden administration will lift tariffs on imports of solar panels those moves next plus honing the craft. we'll take a look at one start-up helping food companies like kraft-heinz become more sustainable. plus throughout the month of june we're celebrating pride month, here's chris delula, senior field producer. >> my advice to the community especially lgbtq youth is to stay true to yourself no matter what your background is. there will always be someone who doesn't agree with you and that's okay. don't let labels define you. what defines you is the kind of person you are if you're an ally, be supportive speak up when someone makes a disparaging remark to creatche ange we must use our voices and help lift each other up i'm so glad we did this. i'm so glad we did this.

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insurance. pull over. -that's not how planes work. ♪ ♪ everybody hold onto somebody. [ roar ] welcome back to "power lunch. solar energy stocks powering this afternoon array technologies is up 18% sunrun up 7% emphase up 6% and you have sun power and solar edge up about 4% now and the invesco solar etf up

8% the biden administration is ready to declare a 24-month tariff exemption for solar panel products from some southeast asian nations as the russia-ukraine war has actually disrupted the energy markets around the world the white house says it will apply the defense production act to spur u.s. production of solar panels and other clean energy technology tyler? >> tessa, ahead on "power lunch. open for trades, the sibo opening a new trading floor in chicago. we'll talk about that. shou y oldouwn them? that's our three-stock lunch for today. lemons. lemons, lemons, lemons. look how nice they are.

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with rewards for the whole family! from epic trips... to jurassic-themed at-home activities. join over 3 million members and start enjoying rewards like these, and so much more in the xfinity app! and don't miss jurassic world:dominion in theaters june 10th. i'm seema modi here is your cnbc news update at at this hour a man hunt continues today for attackers that killed 50 people at a catholic church in nigeria. explosives were used in the coordinated attack on worshippers inside and outside the building authorities have not yet identified the suspect and no organization has claimed responsibility for the attack. 82 million covid vaccine doses have been discarded in the u.s. disdecember 2020, that

according to nbc news. one-fifth of them came in the past three months and it comes as less than half of fully vaccinated americans have received a booster shot and as many poor countries struggle to get supply a variety of factors have contributed to the waste including unused doses from open vials and expired vaccines and spoilage due to power outages. the world's largest trial for a four-day workweek began today in the uk. 3300 workers across 70 companies will work one fewer day per week for the next six months. they'll still get their full pay with expectations that their productivity won't change. researchers will attempt to learn about quality of life, overall productivity and the environment. let's hope that works. >> i worked at a company that had that in the summer it was a good experiment we went from eight hours to 10, 10 and a half days

>> i think it could work well. >> with what we do, it could with work well we want to get you caught up on the markets, stocks, bonds, commodities and all of the markets and trade as well. we'll throw that in. we'll get to that, but we begin with bob pisani as the markets are off their highs of the day robert >> and it's a fairly tight trading range, 3-2 advancing for declining stocks, the worst-performing stocks fairly tight today. so very interesting what's going on and we're being led up by, of course, some of the mega-cap tech names and alphabet and amazon having a good day and mook micron and what's going on with new products with them it's really alphabet and amazon moving the s&p if you look at the market, gaming stocks are kind of like ping-pong balls for consumer sentiment. if the economy is doing better or the perception is, gaming stocks are up. if not, gaming stocks are all doing very well up 2%, 2.5%.

one sector that's down, the only sector in the s&p 500 that's down is reits. real estate investment trust have been struggling because rates have been going up all last week, remember, yields on treasurys go up and they compete against reits and they've been having a problem and all of those are down today and we'll get an update from some of the apartment reits some time this week finally, a look at the s&p 500 and it's very tight. 4100 to 4200 for the last six or seven days and not coincidentally, this is the time when yields have been moving up on treasurys all throughout last week, and i think that is the major headwind for the markets right now. tyler, back to you >> bob, thank you very much. >> let's look at oil right now it is slightly below $120 a barrel saudi arabia briefly raising the price of its crude there you see west texas at 118, down about a half percent. we're also checking on wholesale gasoline futures known as r bob,

still up in the past week and down 1.5% today and up 4.25% over the last five days. the ten-year yield jumping to over 3% today and it is still short of the 3.17 we hit back on may the 9th. the bond market looking ahead to friday when we get the latest reading on inflation and so will cpi show some cooling and indication that inflation may have peaked. right now you're looking at the yields, what is it right now 3.038. to rick santelli now who is with the chairman and ceo of sibo and a new era of what's known as open outcry. rick >> yes you know, tyler, it's amazing because i thought we'll never see another exchange open up with actual hume arngs but i was wrong and here is the chairman

and ceo edward tilly known as ed on the floor ed, welcome. >> thanks. >> congratulations on the success of the opening of the new trading floor. maybe you can tell me why you're opening up a hybrid with people while everybody else is dealing with computers >> simple. the customer service business. our customers find great utility in the value added from this incredible talent of liquidity and our brokers. the service is excellent and our customers look forward to that >> you know, there's something about options trading in general as we look over these pits some of those transactions can be rather complex. it isn't just matching buyers and sellers. some of those have multi-legs and you have condors and you have double condors. all of those, of course, need a little work. the term when i used to be on the floor was work my order. computers work the orders. is that a big plus >> it is a big plus and the thing about a hybrid trading environment is our customers choose how they'd like their

orders represented and a vast majority of the orders are electronic and they use the open outcry and the human intervention for price discovery and better execution great utility and it is incredible. >> do the numbers bear it out? in other words, are the option numbers enough to compensate to have this added dimension outside of a computer. absolutely this is customer service first as i say, about 33% of the orders in the s&p 500. about 42% in the vix which is right over your shoulder and there is a huge advantage for us and our customers to continue this type of trading >> i'll tell you what, the vix has changed everything it really has. it's one of those great contracts from day one that gives a whole new dimension to assess risk and try to manage risk and there's now many different spreads and trades that use vix as one of those legs do you see new products even

beyond that coming along >> we do what we've seen in vix are the etns and exchange-traded notes that have come as a direct and continuation of what the pure vix trade futures and options and the democratization of volatility as an asset class so we do see more products coming up >> democratization has been a huge word the last couple of years from the robin hood crowd and we know that retail in general wants to play with more options, and in many ways this is a much safer bet for newcomers to try to assess risk. i know that you have a variety of ways to educate some of your users and customers on cbo products >> yes, we do. education is part of cbo since we started in 1973 we think the educated investors is one that's a sustainable investor for the long term super important for us, and as you bring up education and the chains that options allow in the portfolio it's not just being

long and short the payout scheme is much different than options and there is a product and versatile approach to investing in every marketplace. >> cash settlement maybe quickly give an explanation for our viewers. there are many contracts that trade on the s&p 500 yours is unique in certain ways. >> so we are a security version of the s&p 500 across the street you can trade on the futureus side, most investors find it through spdrs and etf. the most popular etf in the country, but we do trade the cash settled version here tends to be institutionally based, but we just launched a new product called nanos which is a bite-size version of the s&p 500 directly designed for that new retail investor. that's been a huge plus because whether it's the cme or cbo, there's always the notion that there are smaller customers that need the same type of transparency and have the same needs to try to advance

strategies in the smaller bite-sized product seemed to be a perfect fit. >> it's a perfect fit with a great feedback and that comes with education at every turn, so but we have had great success. >> real quickly. we only have a minute left the federal reserve meets a week from wednesday the ecb meets thursday interest rates have gone up. ten-year notes are over 3% the dollars get hit a bit as overseas currencies see their central bank also tighten. my question to you is can the consumer withstand the fed activity that will dent this to try to bring down inflation? >> importantly for us, the consumer can position themselves for all of the moves that you've mentioned and all of the ones that you and i don't seecoming so an options overlay or options as a protected investment as part of the portfolio super important and that's what we teach. >> excellent >> ed tilly, it's a pleasure. >> thank you >> conestessa, back to you fromn exchange with people.

>> so exciting to see that, rick thank you for bringing us that just really amazing. the recipe for recycling today's "clean start" is focused on reducing waste. this month we offer financial planning tips to secure your money and your future you are. here's sharon epperson here's a tip for your money, your future you are. a silver lining when stocks slide is the potential to trim your tax bill by tax loss harvesting here a how it works. sell an investment that's in the red in a taxable account and replace it with a similar investment then use that investment loss to offset earnings on winners that can help reduce or erase your capital gains taxes for the year if losses are greater than gains, use that amount to offset up to $3,000 of ordinary income from federal income tax and if there's money left over, carry those losses forward to future you are tax years to offset capital gains taxes on ordinary income

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a lot of companies are now claiming their products are, quote, good for the environment,

climate friendly, sustainable, but the claims really are hard to verify with the data. now one new tech company is taking on that challenge and attracting some very big customers in the process cnbc's senior climate correspondent, diana olick joins us with her continuing series on clean start-ups. diana? >> contessa, take a product, any product and ask any number of questions. what are its greenhouse gas emissions? it's soil, water diversity impact does it create deforestation and this brooklyn start-up will have the answers. >> it provides sustainability intelligence and the idea is that we have the largest database in the world on food sustainability and companies get to use it now to start making better decisions and to be more transparent. >> because every ingredient in every product has different environmental impacts all of which change region to region.

how good claims to have mapped over 33,000 ingredients. >> for coco, we have high greenhouse gas emissions and labor risk >> it takes in close to 250 da different attributes from those ingredients which companies can use to improve their products. but companies are hungry for the data, both to meet their sustainability goals and because their customers increasingly demand it. >> now you can measure how the ingredients help to reduce its impact on the planet >> chipotle uses how good for its so-called footprint and kraft heinz is a new client now experimenting with some of its staples. >> we are looking at favorable and interesting things with cheese and plant-based alternatives so we're really excited about the possibility that how good it can help us with their extensive catalog look at more carbon-friendly alternatives as well as our

other usg metrics. >> backers include tightened grove, first mark capital, serious change and contour venture partners, great oaks venture capital and total funding to date, $26.5 million while companies like kraft heinz and walmart are buying the deep data to assess their products, consumers can also use the how good app to check on the sustainability of the products they're buying back to you. >> okay. so let me get this straight. they're taking data about, ask he mentioned coco, and that seems a good one to go for and you look at the greenhouse gasses emitted and is it sustainable in terms of worker and human rights you can have a company that comes out with a great score because it's good on lots and lots of metrics and miserable on another. can consumers see that can the customers themselves see where they'redoing well and poorly >> yeah.

they can break down the pieces of it and you'll see this, and interestingly, they said most of the companies don't have a high score, but the company still wants this data so they can use it to improve it to get the highest score, only 3.5% of the products they have in the database actually have the highest score. yes, they have some great attributes and that is what creates that one score >> i saw on one of the shots there used 1.4 fueler gallons of water or whatever. so what would these metrics be compared with? in other words, what -- >> it would be compared for what would normally used for that type normally you'd use a system that saves water or putting carbon retrieval from something so it does not get out into the atmosphere those would all be factored into saving those emissions or saving that water without standards or metrics that would help. >> i see diana, really fascinating. thank you so much.

>> interesting. still to come, the results of the national economic challenge. that's next and we will go back to steve liesman for the results of this staunch competition. ♪ ♪ 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.

lemons. lemons, lemons, lemons. look how nice they are. the moment you become an expedia member, you can instantly start saving on your travels. so you can go and see all those, lovely, lemony, lemons. ♪ and never wonder if you got a good deal. because you did. ♪

18,000 high school students competing in the national economics challenge after a long test, steve liesman is standing by with the winners. >> tyler, thanks a very exciting competition and very close up until the very end and 22 questions, unbelievable how smart these kids are let me introduce the winners of the division from parker's school, san jose, california we have to my left here, my left, zachary clark and then we have rohan no let me put my flasglasses, rohad zarze. >> you have the competition for fun? >> yeah. since 2015 since i was in sixth grade, i competed for eight

seconds in the rubik's cube. >> the competition sort of ended and i've been doing mostly school work and economics and stuff. >> what was the toughest question >> probably the world bank one simply, it's trivia and -- >> you just did all of this stuff about marginal utility and up wardly sloping curves and stuff and the one about the world bank and what it used to be called was the hardest one? was the rest easy? >> not easy, it is ultimately a result of our preparation, tieing to figure out what kind of questions will be asked and preparing different terms, logic, to solve them really quickly. >> faye rite vorite economist >> adam smith. >> why >> he kick started the whole shebang and you know e, and everyone, i think owes him a lot

of credit. i think he got the conversation going and that's very admirable. >> all right, advice for powell, did he strew up, did you think >> he is doing the right thing now to raise the rates >> what about before >> well, he might not have wanted to start raising the rates earlier. >> what about qe, did he keep it on qe too long >> definitely. that's why we have like 8%, 8.3, it's pretty bad. >> do you think guys in congress should learn some of the stuff that you guys do >> yes >> why >> i think that a lot of policies should take greater account of the concrete results of those actions rather than just the political implications of those actions. >> what about investing advice for people at home >> 363 rule, if you don't know

it look it up. >> zach? >> diverse if i your portfolio, that's all >> that's all, diverse if i. we have 15 hours a day on cnbc and that's all we need i want to know what the 363 rule is at the end. >> remember. >> tyler, i have a question for you. i'll give you the answer that one of our contestants gave you. what is inconcurrent into other -- >> garbage >> one group said junk currency. one said soft currency one of the -- that is the right answer i want you to know that one of

the groups here answered cryptocurrency >> i'm not surprised >> these kids are pretty smart but they have a real sense of humor, too >> they it is a great job by the counsel on economic education and this is about fostering this education. >> that's fantastic. congratulations to all of the participants and especially the winning team congratulations, gentleman >> i think it would be really interesting and steve you can get back to me on this if the teenagers have parents advice about how to turn my skbkids into geniuses, too we talk about the three names during three stock lunch listen to power lunch on the go. look for us on your faye rite

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time for today's three-stock lunch. restaurant spending staying resilient. the top picks, with chipotle and papa johns down 20% to 30% this year and mcdonald's down only 7% let's bring in levi munson

first up, lee, chipotle. >> i love it but here to what it is a beat up growth stock that you're trying to pick away at. like a home builder. you know we're going to get out of a recession, the one we'll probably have next year, but you to be careful about getting your positions right now, right they have a drt customer mix they don't rely on that bottom 20% of wage earners that are getting the squeeze from gas prices chipotle also has more dynamic pricing. they will be able to be more responsive, but i think that people have to tlaem this is not a recession play this is just what they were saying this week they're able to grow and never go negative back in an '08 time period. they created their own

competition. so they have to deal with that this time around >> i think what you're going to tell me is a slightly different mix. >> absolutely. that's why this is the core holding you want for a recession. you remember 2008? mcdonald's was up 11% that year. chipotle was like 70 plus percent. what i love is they control their suppliers. they serve more food than any ore corporation on this planet and they have the muscle that can go lower on the wrungs so this is a core holding, i think you add things leek a walmart or a dollar tree, but

you to get the timing right because by 2010 mcdonald's was really under performing in the broader markets. how about papa johns. >> you want my opinion i'll tell you, i think this this is like one of the old covid lock down stocks i don't know if they will sell through the recession better but when you deal with the bottom to%, this time around there is better delivery options. if we stay not locked down people will find better choices. i would buy something else cheap or i would say i'm going to put together a recession basket. >> you make it all sound so delicious. and now the drinks are empty

>> we should point out that apple has ended. it is lower now on the news of more of etc. open proprietary chip >> and it will be delayed, thanks for watching. thank you, stocks are re retreating the dow was in negative territory a moment ago it is pretty much unchanged. you have consumer discretionary at the top of the market alphabet, meta, al