then-president trump's alleged scheme to corrupt the justice department and use the doj to help overturn the election and now you know the news of this wednesday, june 22, 2022. i'm shepherd smith follow us on instagram and twitter at the news on cnbc. it is 5:00 a.m.on wall street another failed rally stocks look to close out the worst half of the year since jfd was in office. craig johnson says we have yet to see the worst of it jay powell turning hawkish after the interest rate hike in years. he says a recession is possible. also in washington, the white house running out of options for lower gas prices with little support for a

federal gas tax holiday, the biden administration wants to talk to producers themselves. mark zuckerberg laying out the north star with his fantasy world. and elon musk is getting real on how much it costs to keep the lights on it is thursday, june 23rd. this is "worldwide exchange. good morning, good afternoon or good evening. welcome from wherever in the world you are watching i'm brian sullivan thanks for joining us. let's get to the markets stock futures are sanguid this morning. they are mixed a couple up. dow futures are down 100 nasdaq up 75 points. all this as the market tried to turn around yesterday. you remember 24 hours ago, stock futures were down big, but in

the morning, buyers stepped in and markets were green much of the day. overall, stocks ended lower across the board not by a lot, but in the red listen to this unfortunate stat unless something big changes in the next week, the s&p 500 is on pace for the worst first half of the year since 1962. that is when it lost 23.5% ouch bonds, the 10-year treasury has been moving lower lately this morning, it is back below 3.1% also moving down is the price of oil getting weaker over the last couple sessions. we are seeing the price of crude oil right now down to $103.63. it is off 10% in the past week that should over a matter of time, remember it is not immediate, bring gas prices down

just a touch crude oil closing below the 50-day moving average for the first time since mid-may all ahead of the biden ceo summit and jennifer granholm will meet with heads of oil and energy today and in the crypto markets. the price of crypto has been slammed the last couple weeks. they are slightly higher right now. up 1.5% to 3%. cold comfort bitcoin is back above 20,000 right now. bitcoin was at $60,000 at its highs. now at $20,576 that is what is happening here let's check on the action and headlines in europe. julianna tatelbaum is in the london newsroom. a split board behind you

>> brian, in terms of equities, we have red across the board every major market is trading lower. germany under performing dax down 1.2%. we have the gas situation firmly in focus in germany. the big news is germany has triggered phase two of the emergency gas plan calling on industry leaders to do whatever they can to ensure gas supplies we have a line from the economi to avoid a rationing situation we are also seeing a decent amount of action in fixed income in europe this morning not only the reaction to the news from germany, but reaction to fresh pmi the june flash numbers came in and disappointed we are still in expansion territory in eurozone. the situation has deteriorated investors are focused on recession and downturn than

previously expected. here is the german 10-year bund is 1.5%. the italian 10 heav-year at 1.5. and we see the investors sell the euro over the dollar brian, back over to you. >> not just america facing inflation and higher rates and fears of slower economy. it is a global phenomena julianna, thank you. to the morning's headlines and possible more flying woes as american airlines will stop service to smaller american cities silvana henao is here with that and more good morning, silvana. >> brian, good morning shares of chinese ev makers on reports that beijing is considering extending tax

exemption. exemptions are due to expire this year. the move is part of the bigger package aiming to boost spending in the auto sector american airlines will drop service to several small u.s. cities this september. citing service cuts and shortage of pilots. the four cities losing american service, toledo, islip, ithaca and debuke, iowa the more is similar to the industry fears with other airlines to scale back citing lack of pilots. and a new report of a child death linked to the abbott baby formula. it learned of the death in january. the agency says the probe is in preliminary stages and will

provide ongoing updates. the fda did not say which formula the baby consumed or where the formula was produced abbott recalled the products and closed the michigan plant back in february after reports of serious bacterial infection in four infants brian. >> tough story there silvana henao, see you in a few minutes. thank you very much. let's get back to wall street and your money. investors looking ahead to the second day of testimony on capitol hill for jay powell. this after he testified yesterday after the battle against inflation could raise rates high enough to trigger an economic downturn. >> our part of it is to do what we can to get inflation back under control. i know higher interest rates are painful, but that is the tool we have to moderate demand and get that back in balance to get inflation to come down >> everything is a tool these

days powell's comments are coming as the s&p is closing the worst half start of the year since 1 1962 the u.s. stock market losses may have just begun. here is seema shah yesterday >> we are not seeing a drop in the growth numbers this is the first leg and as we start to see the economic data, the growth data starts to turn that's the second leg of economic declines. i would not say 30% drop from the peak is impossible >> joining us now is piper sandler's craig johnson. craig, good to have you back on this morning i know from reading your notes, the technicals do not look great right now. how bad do they look in the near term >> brian, everybody is trying to put it in perspective is this a bottom or a bounce

i think the answer is this is just a bounce. there is not enough technical evidence to say a true bottom has been set and when you go through, you look at the charts. look at the microsoft and apple and adobe and large cap names. they are all in definable down turns, brian as i look at the market, i look at the setup it looks like another 7% to 10% downside we have been hovering around 3,500 as we likely will find support and footing. right now, the fed is not our front and interest rates are not our friend at this point in time the fed will clearly keep raising rates to push down inflation pressure that means likely more pain for equities >> we had the gut-wrenching days, craig. you get 30 to 1 downside volume.

the vix pops 20% no stocks on the nasdaq 100 that are higher we have a couple of those days and the market has not found a bottom i know there is not some big flag -- hey, market bottom here! is there one thing over something else that you are watching for craig, don't say for stocks to start going down i know that. >> brian, nobody rings a bell at the bouttombottom shocking seriously, we have some indicators with the market breath indicators have been com commence we have talked and those periods in 2007 and 2008, those indications are getting to those levels brian, it has been the first week we gotten to the levels

the indicators we look at will be between six-to-ten weeks. we're in week one. it will take more time i want to see the measure washout. i want to see improvement and expansion and that will be for me the indication i'll look to step in and get what i can define as a tradeable bottom not the bottom >> but, here's the big headline. you are sticking by your end of year price objective of 4,775, craig. that's bold! that's big >> that is big that's 26% or 27% up side from where we are now we got a lot of push back as why we are sticking with this. the answer is history. when you look at the weak first halves you discussed, there are indications from june to december where you can get a 20

plus percent advance from here to the year end if the market starts to improve. if you look at the indicators that measure that, brian, we get to the level and we see the breath expansion i think of sitting on a beach ball in the pool and watching that expand quickly. we can get 20% expanses in a 26-week period of time that is likely what will happen once the fed comes back and says we accomplished our goals and inflation pressures have come down the market will respond quickly. >> that's it history says along with the charts, we have to have the fed pivot. the fed has to change their tune maybe at the jackson hole conference in august >> absolutely. don't forget about mid-term elections coming it could boost invest or

confidence >> i heard about the elections craig johnson. we appreciate you getting up early. craig, thank you very much. we have more to do here. we are just getting started on thursday when we come back, rising mortgage rates may spark trouble for home buyers, but one part of the real estate world is benefitting. and president biden going after big oil and slamming profit margins as unacceptable and calling to boost supplies of gasoline as refineries are already maxed out. some ceos are meeting with secretary granholm today. and elon musk's is saying two of his plants are turning into gigantic money furnaces we're back after this. me most re

. for every customer. current, new, everyone. to show the love. think he's posting about all that ancient roman coinage? no, he's seizing the moment with merrill. moving his money into his investment account in real time and that's... how you collect coins. your money never stops working for you with merrill, a bank of america company.

when it comes to cybersecurity, your money never stops working for you with merrill, the biggest threats don't always strike the biggest targets. so help safeguard your small business with comcast business securityedge™. it's advanced security that continuously scans for threats and helps protect every connected device. on the largest, fastest, reliable network with speeds up to 10 gigs to the most small businesses. so you can be ready for what's next. get a great offer on internet and security, now with more speed and more bandwidth. plus, find out how to get up to a $650 prepaid card with a qualifying bundle.

welcome back good thursday morning. let's get a money mover check. we are watching shares of occidental petroleum right now berkshire buying $9.6 million more of stock. what is amazing of the buy by buffett, he likes to buy when things are low

occidental petroleum is one of the hottest stocks in america in the last year. warren buffett buying not at the high, but a high compared to relatively where it had been maybe oxy. meantime, mortgage applications are dropping as rates continue to rise rates for a 30-year fixed income mortgage up 80% in just 12 months even so, home prices are also still rising up about 15% in the past year. it is not just ownership rents are too darn high in many places up 17% nationally. how does this play out joining us now is scott lawlor ceo and founder of the multidevelopments in florida scott, welcome back to cnbc. good to have you on. how does it play out can prices continue to rise as

rates continue to rise >> well, no, they can't. let's break apart single family. the rate of home price appreciation is not sustainable. everybody understood that. some moderation and rate of increase is a good thing i don't think we are seeing anything with declines across the board, but declines in rate of growth. you have prices going up and you highlighted the increase in rates is highlighting the problem. that is something that 4 million americans who could noafford a home a year ago, could not today. that will moderate same with the rental side. the survey of growth over the last year is not sustainable that is a function of supply and demand or a host of reasons.

united states has been under supply for a long time on the buy side and rental side >> it feels like the priceof oil, scott, changes. everybody wants the price at the pump to change overnight that is not how the oil and gas business works it nis not how real estate works for many, it takes months to bow a home do you know how long that lag time is between a spike in rates and when we actually start to feel it in the market itself >> sure. it is a matter of degree we have seen some impact already. we have been increasing at an incredible rate of speed that is coming to a decline. we are seeing mortgage companies layoff people. applications when the rate of growth flattens

out and declines, it is difficultto pin that decision. it takes a while i don't think anyone would be surprised to see prices across the country six months from now -- maybe a little lower than today. i don't think it is a severe or sudden decline it will move in the opposite direction. this was coming. in some ways, it is good >> you know, maybe going back 1820 with a housing shortage, scott. scott, in modern times, we have not had the housing shortagewe do now there is the juxtaposition rates on the rise. prices are up. it looks like a negative setup, but at the same time, because of demographics, we have the housing shortage particularly in

the sunbelt states where you operate. there is a counter prevailing force, is there not? as painful as it is, people got to live somewhere. >> that's right. what is going on with the rental side and mortgage side, it is very important to understand what is driving it as you are pointing out supply and demand. very basic supply and demand we have been under supply of single family homes relative to household formation for the better part of the millennia that is something that has to change over time because of how we have seen it manifest in numbers over the last few years. what is interesting, on the demand side, i don't think anyone isforecasting any fallout. people move to florida and texas and so on and the northeast and midwest and california

that is accelerating as it relates to supply and demand and the fundamentals for dri driving? it could change over time. people are worried with the dp decline in household formation >> nine of the biggest ten inbound moving states are on the sunbelt. i told my buddy he should get into the hvac business because air conditioning is going to boom scott lawlor, thank you. everybody wants to live where it is sunny and warm all the time bullish energy there you go. on deck, bullish options buying and beaten up retailers our friend jon najarian is here with a name you might want to consider

>> announcer: today's big number $2.4 trillion. that's how much global energy investment will reach by the end of 2022 driven by clean energy according to the international energy agency. that is up 8% over last year back over pre-covid levels ..eves so healthier can look a lot like...you. cvs. healthier happens together. ♪ in any business, you ride the line between numbers and people. what's right for the business and what's best for everyone who depends on it. solving today's challenges while creating future opportunities. it takes balance. cla - cpas, consultants, and wealth advisors.

we'll get you there.

another crazy day? cla - cpas, consultants, and wealth advisors. of course—you're a cio in 2022. but you're ready. because you've got the next generation in global secure networking from comcast business. with fully integrated security solutions all in one place. so you're covered. on-premise and in the cloud. you can run things the way you want —your team, ours or a mix of both. with the nation's largest ip network. from the most innovative company. bring on today with comcast business. powering possibilities.™

welcome back to "worldwide exchange." i'm phillip mena robb elementary school, the scene of the massacre, that left 21 dead is set to be demolished. this as the school police chief arrendando is facing criticism he said he did not consider himself to be the officer in charge at the scene. federal prosecutors say ghislaine maxwell should spend 30 years in prison maxwell was convicted of sex trafficking after a trial. her lawyers are asking for a sentence shorter than 20 years. the westminster kennel club dog show

trumpet the bloodhound beat out a french bulldog and english setter this show is ual ithsulyn e winter, but it was moved because of the pandemic. "worldwide exchange" will be back after this. there has to be someone here making sure everything is safe. secure. consistent. so log in from here. or here. assured that someone is here ready to fix anything. anytime. anywhere. even here. that's because nobody... and i mean nobody... makes hybrid work, work better. ♪ ♪ how's he still playin'? aspercreme arthritis. full prescription-strength. reduces inflammation. don't touch my piano. kick pain in the aspercreme.

this is xfinity rewards. d our way of showing. our appreciation. with rewards of all shapes and sizes. [ cheers ] are we actually going? yes!! and once in a lifetime moments. two tickets to nascar! yes!

find rewards like these and so many more in the xfinity app. can stocks and your money turn it around futures are mixed as markets may do something they have not done since john f. kennedy was in office

we have patrick palfrey here with what's on his list. and mark zuckerberg laying out heis vision for his online world. >> our north star, by the end of the decade, we hope to get 1 billion people in the metaverse doing hundreds of dollars of commerce >> what else zuckerberg told jim cramer and how he plans on getting it done. and the biden administration is turning to the oil executives to ask them why gas prices are not coming down. it is thursday, june 23rd. this is "worldwide exchange" here on cnbc welcome or welcome back, everybody. 5:30 on the east coast let's kickoff with the check on the markets and money. stock futures are doing

something they have not done in a while. that is not give us a great indication of which way they want to go yesterday this time they were down big up big on tuesday. down big yesterday we were in the green yesterday they ended down. i don't know if we have seen a mixed market in a listenong time nasdaq up 43 dow down 40 points what has been moving down is oil prices actually weakening over the last couple sessions. we are seeing the price of crude oil down again $2.20 a barrel overall, oil is down 8% to 10% in the past week that should help bring gas prices down just a touch we will see. by the way, rare good news in energy prices lately natural gas has been falling it is downmore than 50% in the past week.

by the way, one of the biggest natural gas etfs, the first trust nat gas is falling with it the fire in the freeport lng plant taking a toll in the market by the way, washington examine reported that the fbi involved in looking into the fire an interesting twist to the freeport fire. if true, something to watch. not all fossil fuels are down lately in the rbi, we will show you one that is up big it is not good news for you watching or listening in boston or vermont or portsmith, new hampshire. you know what is good news having jon najarian with us. jon, great to have you back on i know you have individual stocks and options you want to

look at, but overall, macro market view. do you have one? >> absolutely, brian thank you for having me. good morning, everybody. the issue you pointed out about the wild swings in the market and for the most part from the upper left to the lower right on the charts, moving lower it doesn't look like we broken the fever yet. the reason i'm saying that is the volumes on any rallies have been abysmal when we got that fed relief rally last week and the markets just screamed 600 points to the upside, the volume that day was just a paltry 39 million contracts. the very next day, when we gave it all back and then some, it was 47 million contracts the average for the year is 41, by the way

when we see people trying to, you know, jump start or get the market rolling to the upside, brian, and you are seeing low volumes like tuesday this week where it was 37 million. yesterday was 43 million these are low numbers. they don't imply the institutions have been convinced that the bottom is in yet. doesn't mean it is always right. i'm saying evidence evidentiallt doesn't mean the bottom is is there yet. >> it is not a big number. all right. let's talk about a couple of names that caught your eye at market rebellion one is nordstrom what are you seeing there? >> yup

these are short-term july 24 calls. stock mid 23s yesterday, brian not really doing anything, of course, in the pre-market this early. it looks like they are putting on big bets there. we have seen some pretty big bets in walmart recently and as far as other consumer dis discretionary plays with starbucks. overall, it has been an individual stock pickers market rather than broad retail across the board. we did see that rebound in target did not get a subsequent endorsement yet in people getting back in after the whack that target took on these dual warnings they had over the past month or six weeks overall, people are putting some money in betting that some of the retailers have a bounce in the short-term

>> it sounds like a lot of the stuff we are talking about is a short-term phenomena the bounce in the market or the names like nordstrom or target we are watching. it could be a long, hot summer jon najarian always love having you on, my man. thank you. get some rest. >> thank you, brian. okay you're very welcome. all right. turning to d.c new details about the meeting with energy secretary-ge jennif granholm and other oil executives it will start in 45 minutes with the end time at noon in attendance is the ceos of the seven companies that president biden sent letters to last week including exxon, chevron and march athon and valero and bp.

asking why they are not producing more oil they may push back saying they are running at 90% capacity and driving the refineries to produce more could pose a safety risk by overburdening the facilities and crew. keep in minds, , this is an industry that has been told it will be phased out and now asked to make more joining us now is mike sommers ceo of the american petroleum institute. representing 6600 companies. mike, good to have you back on i get to play the role of the administration in our discussion here first off, my source told me the meeting was at 11:15 to noon, i thought that is short.

what are you hearing about the meeting today? >> as you know, brian, it would be a short meeting we obviously would love an opportunity to spend more time with the administration to explain the intricacies of the refining business. as you mentioned, our refineries are operating at a 94% level which is historically high level. refiners in the country are really putting the pedal to the metal to refine more gasoline right now at a time of real market tightness what you will hear from us is an explanation of what is going on in the marketplace and how we need some relief, particularly on the regulatory side to get more refineries up and going at a time of a really difficult situation for american consumers. >> all right again, i'll play the other side of this role, mike what we hear from the administration and what we hear from viewers or twitter or whatever it is

9,000 leases not being activated. why are you not drilling when profit margins are high? profits are not at records yet that is a misstatement they are up. you are not drilling more as an industry by a wide measure up, but not a lot. how come >> in fact, this industry last month hit 12 million barrels of production a day which is the highest levels it has been since the pan demdemic began. we will fproduce more numbers as the stat of9,000 leases, we are producing on more leases today than the his indtory of o country. the prices are high. i think what this administration needs to do is stop using the facts that are simply wrong.

they need to start faocusing on the tone they set. they continue to say the industry is not going to be around in the next eight years that will not provide the investment we need in the industry which will be iaround o decades. the world will continue to demand oil and gas they should demand that oil and gas from the united states not from abroad like russia. we are sending a letter to the president today to request he come to the prolific permean basin or the shale before saudi arabia to beg for more oil from saudi arabia. >> i explained it to my son, mike, i said imagine being told fast food is bad and fast fad, bec it needs to go away. and then a year later, you are

saying fast food, were are you not producing more big mmacs and whoppers this industry had to ping pong on the industry. how do you operate every four-to-eight years with different agendas in washington? >> you hit the nail on the head, brian. of course, we're different from fast food as well. ours is an industry that produces essential products. products that the world will continue to need far into the future in fact, the international energy agency suggests that every country meets the paris climate accord agreement, the world would get 50% of energy from oil and gas we need to continue to make those investments. we need an investment environment. environment from the top

from the president of the united states himself who says we need to continue to invest in the fuels and production in the united states. we're just not hearing that. we actually put out a plan. >> mike, i saw the plan. we talked about it quickly, i know we have to go. do you believe that this is largely an administration -- and there are bright people in the administration, by the way, and he understands how the industry works. as a whole, some of the things you hear, it seems the industry d doesn't have a fundamental understanding of how the industry works >> i spent a lot of time with the administration explaining how important this industry is to the world and american consumers. we try to spend time educating the administration on how important this is and we need the industry for many years ahead. there are some bright lights in the administration who want to help solve this problem.

people like amos and david at the department of energy these are smart people who understand the energy markets. unfort unfortunately, we are not hearing it from the president who continues to badger the industry which employs 11 million people in the country. it accounts for 8% of the gdp. >> yeah. just a reminder. i said it on twitter last night and on air now big oil companies only own 1% of gas stations in america. most are owned by mom and pop, single owners or convenience store chains we hear odd stuff. mike sommers, i appreciate you starting your day with us. >> great to be with you, brian. mike, thank you. coming up, forget gigafactories. why elon musk is calling his factories in germany and texas money furnaces good band name bad for business dow futures down 12.

we're back right after this. s b. you know which pizza is eaten with a fork and a knife... and which one is definitely not. you know a cappuccino is for the morning and an espresso is for the afternoon. you know how to answer "sparking or still" in over 12 different languages. you'll try anything that's not currently alive... unless of course it's highly recommended. the delta skymiles® american express card. if you travel, you know. (vo) this is more than just a building. it's an ai-powered® ainvestment firm with.

billion-dollar views. a cutting-edge data-security enterprise. yes, with a slide. a perfect location for the world's first one-hour delivery. an inspiration for the next workout cult. and enough space for a pecan-based nutrition bar empire. it could happen. because there's space for any dream on loopnet. the most popular place to find a space.

what do you think healthier looks like? cvs can help you support your nutrition, sleep, immune system, energy ...even skin. so healthier can look a lot like...you. cvs. healthier happens together. welcome or welcome back. good thursday morning. let's get the top corporate headlines with silvana henao >> mark zuckerberg has high hopes for the metaverse. tellingis likely to be a big part of the business this half of the decade, but not

without investment >> to develop these issues in the next several years, we need to develop the whole stack from hardware to the software and experiences on top of it we will do that. it is a big focus for us we are at this point a company that can afford to make some big long-term research investments >> zuckerberg adding he hopes to have up to 1 billion people in the metaverse one day. elon musk says two factorie are losing billions with supply chain issues and it limits the company's ability to ramp up production in a recent interview with the tesla owners club, musk says the factories are gigantic money furnaces >> berlin is losing billions of dollars right now. a ton of expense and hardly any

output getting austin functional and shanghai back in the saddle fully are our concerns >> musk adds he hopes to resolve the issues quickly shares of tesla are down 30% this year. shares of kb home are popping ahead of the open. home builder with better than expected numbers 50% higher compared to this time last year. kbh sees the housing market moderating, but the revenue goals will be met this year. brian. >> you know, so important what musk was saying. higher fossil fuel costs good for the ev business. he has it raise prices utility costs republican are up here is a tesla. silvana henao, thank you i'm back and so is the rbi

today's most random but interesting thing is bad news for viewers and friends in new england. sorry. the price of oil and gas has started to tick down lately, but the price of something else that you up there use a lot of has not. that is heating oil. look at this price of heating oil is not only higher, but on fire. futures contract compare to the past in june of 2019, three years ago, it was just over $2 in june of 2020, as the lockdowns hit, it was over $1. retail prices are above $4 and $5 a gallon in new england something which has never been seen this is going to be really, really bad for millions of americans who use heating oil to heat homes in winter the cost to fill the tank could

be double one year ago imagine paying $1,500 last year and $3,000 this year that may not be possible for everybody. that is for you in the new england area and northeast 60% of homes in maine are heated with oil prices have been soaring and a push by the climate council to raise taxes on heating oil the governor shot that down at least for now. some rare good news, i guess, for those strugglingwith energ poverty. a few months ago, we were showing you how electricity prices in new england were out of control remember that in january and february it costs so much to make hour th power there. with heating oil on the rise, let's hope boston and new england skirt another cold winter if they don't, and if power costs rise again, it could be a very long and very expensive

winter in beantown and portsmith and everywhere else. talk to your officials about it. i'm sure they would love to hear you as prices spike. random but interesting on deck, energy stocks, speaking of the winners this year the mega returns are not stopping your next guest from making a bigger bet on the group. that's next.

(woman vo) sailing a great river past extraordinary landscapes into the heart of iconic cities is a journey for the curious traveler, one that many have yet to discover. exploring with viking brings you closer to the world, to the history, the culture, the flavors, a serene river voyage on an elegant viking longship. learn more at viking.com

welcome back investors continue to monitor inflation pressure and any sign that the u.s. or global economy is headed for a slowdown or recession. what does it mean for the equity markets? where is it going? patrick palfrey is credit suisse senior analyst we had a stat earlier in the

show that the s&p is on pace for the worst first half of the year since 1962 can it get worse >> well, i think right now it depends on where you think the economy is headed. we believe that a lot of the valuation correction we have seen in market has taken place because we have rising interest rates and wide credit spreads and volatility we have the question is if we get volatility, we believe the stocks can rally from here i think the flip side to the question is if you think we are headed to recession, we don't think markets are pricing recession risk there could be another leg down. in the near term, especially we don't see that on the horizon. we think stocks have the ability to move higher here. >> you know, recessions matter because earnings come down what is the earnings model $200 in total on the s&p

16 times earnings gets you to 3,200 price objective? where do you stand at credit suisse on earnings and valuations >> for earnings, we're looking for 235. that up 10%. 2023, 255. what is important -- that is also 10% corporate profits are healthy because companies benefit from the nominal strong gdp i think the debate is what do you put on for a multiple? right now, our expectation for multiples is to move back to the range of 19. we're 16.5 we expect it to take place in the back half of the year. as we see volatility come down, we believe multiples can move higher that said, if recession risk picks up, i think earnings have to come down we are not seeing it right now in the estimates we are not seeing it with the

analysts they seem to be comfortable with the estimates. we don't think we have the same rece recessionary concerns that our friends are focused on >> that is a big number, patrick. all we hear is recession and doom >> i think what investors are focused on is activity we are coming out of an economic bounce we are decelerating. let's not take that away from the conversation we are accelerating from the high level and moving to something that looks back toward trend getting. investors are, i believe, over extrapolating the pain they are seeing and saying we're headed for recession. when you look at labor and industrial production, you see a back drop that remains healthy even retail sales have continued

to hang in there when we look around the landscape, we don't see the same recession trends we don't see the same concerns or risks toward earnings right now. >> 20 seconds to go. leave us with an investable idea, patrick? something has to look good >> i would continue to have investors focused on commodities. we had weakness in oil we are in an environment around commodities and that will be the area where we see a lot of fixed cost leverage and upside in profits. >> patrick palfrey, credit suisse great stuff. i appreciate you coming on the program. have a fantastic day folks, that is for you as well in tv or radio or podcast land thank you for tuning in. we will see you tomorrow "squawk box" is next have a great day

this? this is supersonic wifi from xfinity. it's fast. like, ready-for- major-gig-speeds fast. like riding-a-cheetah fast. isn't that right, girl? whoa! it can connect hundreds of devices at once. [ in unison ] that's powerful. couldn't have said it better myself. and with three times the bandwidth, the gaming never has to end. slaying is our business. and business is good. unbeatable internet from xfinity. made to do anything so you can do anything. when it comes to cybersecurity, the biggest threats don't always strike the biggest targets. so help safeguard your small business with comcast business securityedge™. it's advanced security that continuously scans for threats and helps protect every connected device.

on the largest, fastest, reliable network with speeds up to 10 gigs to the most small businesses. so you can be ready for what's next. get a great offer on internet and security, now with more speed and more bandwidth. plus, find out how to get up to a $650 prepaid card with a qualifying bundle. good morning jay powell warning congress about the potential fora hard landing. >> i know higher interest rates are painful, but that's the tool we have to moderate demand and get demand and supply back in balance so inflation can come down >> we will show you how markets are reacting to powell's comments just turned green. the energy sector. reacting to president biden's call for a gas tax holiday

today, seven oil executives come to washington to meet with energy secretary granholm. interesting moves in the 10-year treasury and in oil. elon musk is out with a stark assessment of his factories and how much it costs to keep the lights on in the supply chain disrupted world it is thursday, june 23rd, 2022. the days are getting shorter "squawk box" begins right now. good morning welcome to "squawk box" here on cnbc we're live from the nasdaq market site in times square. i'm rebecca quick. along with joe kernen and andrew ross sorkin. yay. everybody back together. >> nice to see everybody