the 17 sdlift sdlf calls and it's just out of the moneyy. i traded this for the first time ever, frank. so, i'll probably ride it for two to three weeks >> i'm glad you stayed on brand. extreme pessimism. "the exchange" begins right now. and maybe things are looking up we'll explore that this hour hi, everybody. and ahead on "the exchange" stocks are trying to stay positive off a huge upweek 26% for the nasdaq we'll get advice on what to do for the back half as the calendar turns to july and 2022 has been a whole lot worse for crypto bitcoin is down 55%. crypto stocks and well hear from

one analyst who says the bottom is not here yet. ready to spend on makeup, chocolate and rotisserie chickens b wev got three buys in the consumer staples addition. what's the latest, bob >> it's a bit choppy today, kelly. we had a big update on the russell rebalancing. and let's take a look at the major averages s&p about 40 points. 15/15 advancing in declining stocks there we saw weakness in tech. energy in pharma same with nasdaq 100 evenly split take a look a thlt commodity stock. they were all slammed. today, they're the market leaders. this is the rotation making it difficult to get a series of updates going here

last week, conversely, consumer discretionary stocks and today, guess what, they're the ones moving down. you see them almost rotating in and out of the market. microsoft, apple, nvidia not much energy today. all the major ones are down except for apple maybe 6% now in the last four or five days. is there anything with consistent energy? >> about the only group is pharmaceuticals. lilly, bristol meyers and merk all at new highs remember, we have a rebalancing at the end of thursday, the end of the quarter we'll see pension funds rebalancing. we may see moves here. because the s&p is down 13%. these are prices that are down here so, there is hope here that.

>> big institutions may have some stocks to buy on thursday on the last day of the quarter >> coming up so quickly. bob, thank i couldn't tell very much if you are starting to feel more bullish, how should you set yourself up for the next half of the year joining me is president and portfolio manager. are you feeling a little more bullish these days talk to me about your general off the cuff feelings on this market s >> thank you for the plug for the artwork. no, i'm not really feeling bullish or bearish i think we're in a period of volatility, a sea change interest rets, i thuj, are not done going up. we've got a lot of unrezauvlted

issue geo politically. heading towards the recession quickly, gradually, or at all. i thing the way to play this is be diversified among a bunch of different asset classes. you mention equities and certainly in that areas we like dividend payers, companies with fufrpsing power and can control their clock structure. we're not nesative equities. and they're. it's a lot more reasonable than it was having said that, they could go down further given interest rates, recessionary risks and other unknowns out there >> before we talk about the names, some of the companies we talked about a couple of months ago, a lot energy names, a lot

of financial they are not trading well lately certainly the energy names are not. >> yes, we are inaerj had a bad week. when you look at the macro story in energy. sumy, can demand energy is going to, i think, stay high. and as a result, they're going to do well, increase dividend payouts over time. and there is a real supply/demand misplach going on globally energy. so, yes, we do like the long term we think wore wrr in the beginning stages of a broader commodity cycle. where supply, demarnd, likely inflationary risks bode well for

commodities going forward. and those comp aanies trading reasonable prices long term, when they're doing well, the money flows to the bottom line divdepends go up, buybacks go up, special dividends occur. it's not a bad place for a long hfr term investor to be? >> you're sticking with this as a multiyear here where with are other parts of the market do you like right now? and given the interplay with rates, if they're going to keep going up, would that put any downward pressure on the names >> it could. but we tend to be diversified. we have a healthy waiting that's not over done. even though the prices have come down

higher price stokz tend to odecline manufacturing, financials. we like the interest earnings yooeld in the banks are healthy as we found in the recent fed stress test. although, to the degree you have more stress in the future could be true but not now. we like to spread our bets around and on the baungd side, we like low duration, high-quality balance sheets. >> at least you like something michael, thanks for your time. >> quick point inflation running 88 or 9%, cash is 8 or 9% negative right now. we think you can do better being diversified. >> and short duration like you said

thank you. rates are on the rise after the five-year option let's get to rick for the latest >> what we need to do is show an interday chart of fives, because i'm pretty sure viewers are smart enough, that wasn't a particularly good auction. 47 billion fives we had an hour and a half to go for twos, which didn't go well this auction, 3.271 is the yield. the one issue mark was trading about four basis points below at price. that is nasty the way the numbers worked out people definitely shying away this far and if we look lat the internals, all week, and indirect bidders under 605956.5.

the only bright spault almost a 20%. wloeing away the 18% auction average. dealer took nearly 24% what is this telling me about the markets? might be better muse for ecwities because as they slow lar start to find their way, woe sigh the treasury yields are starting to get more buoyant after inning down from interday peeks about a weeks go >> you see the pop on the screen he was talking about in yields meanwhile, the g7 summit is underway pp president biden with president biden, leaders of uk and france, canada are all in germany. here's the very latest kayla. >> reporter: kelly, lead rbz of the seven richests economies in

the world have seen their eskaunomies clouded and sky rocketing global invasion made worse in part by policies to try to stop the war. even so, have rolled out new policies to try tighten the screws on the kremlin. new tariffs, export controls they're trying to increases the pain on vladimir putin they're beginning negotiations to cap it price. a senior administration official telling me the goal is keeping supply steady, reestablishing certainty to the market. and while jake sullivan said this is one of the most meaningful developments out of a g7, it solo shows the tight rope they're trying to walk to ease domestic inflation while trying

to reestablish supply on the market and shift the message away from out-right bans experts are not sure how this is going to work in practice. especially without india and china, which are major customers of the kre78line, being on berd with this. how do you get more people on board? as long as russia can sell energy, that can generate a tremendous amoint of income, even at a discount and president zelenskyy posting this on his telegram account, he says is a russian bombing of a shopping mall with civilians inside the u.s. is expected to send more longer-range rockets to the country and g7 leaders said they will provide all the it support they can for as long as it takes.

>> such a brazen strike, spaelgts right now the g7 alliance is already being tsed by the russia/ukraine wars. and they have energy prices soaring, inflation sky rocketing in europe. heads of the top energy companies worried about what could happen once winter settles in and a cnbc on oed, says staying unified is a prerequisite for victory. fred, it's good to see you a lot to run through here but let's start with the idea of price caps could this work? >> i'm in madrid for the nato esummit tomorrow it's really meaningful the g7 takes place ahead of the nato summit

but your question, the way it would work is insurance companies would set a cap and they would only insure to that cap. that means a country like india could openingly charge up to that cap to be fullny sured and wouldn't have it to say to russia we're not going to take your oil nobody really knows how this is going to work. since febl ware, india has massively increased deliveries for oil. it's going to six-month contracts. so, this couldn't be turned around even if they could do this it's a nice theory the finance ministers will work out how it's going to work it's a way to bring countries that might ebe on board.

>> cracking down on their purchasing of russian oil puts more pressure on russia. at the same time, inprice of oil is going to keep rising for everybody. >> and the indian finance minister has been defending the purchases saying it's my job to get the best price oil that i can and the greatest quantities i can. and the re9rys make refined product said i don't think this is going to be turned around anytime soon. >> we have a new proposal to try cap oil price os sort of explains the price action let's turn back to europe where

we've seen france wanting to offer an escape hatch to russia or putin if needed are what do you think is likely to come out of the g7 in terms of the messaging and the fire power the europeans are going to bring when the heads of their own energy company as are wrng what could happen as a result. >> the g7 applied sanctions before thadrapher nevrl frozen asats and we saw the russia's first sovereign debt default on sunday the first since 1918 that shows they're being squeezed on the other hand, you have 8% inflaigz flagsz in europe. probably heading to recession by the end of this yeerp if not

next year. and you saw tht with macron's election in france he did not get the majority. i think you'll see the staying power of european leadsers being wayed against the war of atrition of putin. and putin is betting hey can stay longer than european leaders can see. they understand and they're not going to back off. the question is will the economics allow them to keep an eye on >> everyone to walk away with a concrete sense of where this energy is going to come from the next six to 12 months? >> i think a slowing economy is

going to reduce energy prices because there will be less demand of course, everything we've been talk about i'm in madrid. what are people are lacking for here are two questions hard to answer which is how ado you give ukrainians long range so the hitting of suavillians can be stopped? and russians are talking about potentially hitting harmed sites and what do we do then nato is saying it's good teeing defend every inch of nato territory but nobody's really decided what that means. >> thank you for laying it out for us and we'll check back in soon he mentioned russia's debt default. frrmgs the first time in over a century. seema.

>> $100 million in interest in bonds, dollars and euroes. that's what led russia to default. unlike greece, argentina, that have dealt with debt issues, russia's is largely symbol sanctions are preventing moscow ofrom paying the bond holders. kremlin saying it's been trying but can't. and agent, belaey blaming the egg. the question is what happens next they could take legal action exbrts we poke to say that is unlikely given the country is in the middle of a war with ukraine. and a think tank says this will hikelyfect russia's reputation and heighten cost cans in the

long term. the impact will mount once russia's revenue from energy experts >> so the factor could be the price of oil >> absolutely. coming up, bitcoin down 70% from the all-time highs. is the bottom in sight or not? that's next. andf our trader has three bois and one bail to consider

♪ 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.

we've been streaming all day from every room. cla - cpas, consultants, and wealth advisors. the power and speed of this super-sonic wifi from xfinity is incredible. mom! mass speeds was my idea, remember? get minion net, with speeds of up to one minion bite per hour. [ low screaming ] but that was an epic fail.

with xfi we can stream, share, swipe, like... impress your mom with super-sonic wifi. it's unbeatable internet for a more unbeatable gru. i mean, you. welcome back to "the exchange." bitcoin 23e8 by more than 40% this year. and saying decreased activity will cut the revenue base by 61%. shares are town nearly 10% today. my next guest says crypto has yet to find a bottom good to see you. you feel more encouraged after -- what did we dip to? 18,000 a couple of weekends ago? >> thank frufor having me back

we will continue to see esome stabilization, some spike. it's good to see markets keep on reassuring every time the price goes down there's always the buyers. both institutional and crypto. the whole conversation is when do we buy again. i like that spirit of a long-term belief in the space. and going back to what you just said, are we at the bottom are we still going to go down? i think over the next couple of months, especially around september, october, i wouldn't be surprised if you see the bottom >> after you were on last time, i got questions from people who heard what you saided about the way you'd want to invest in crypt is with tools and technology people wonder why you didn't

sound more bullish on the price of the coins themselves. i didn't know if you are and i didn't explain it well or if you could explain tactically why you'd want to be in the picks and shovel space instead of buying the gold outright, so to speak. >> i think there's a builder block chain fund which only invests in technology and we believe in long-term tech nin block chain space. do i personally believe i'm bullish or not i'm 100% bullish on the space. yes, it's not a financial advice prr it's my personal belief that whatever the last all-time high eweet saw and apround 700. i think it's going to be much bigger than that whether that's going to happen in a year and a half or four or five years, that's the part we have to see.

s the reason i'm bullish of the space. >> oh, interesting and again, you've been in the space almost a decade. when you see a note like goldman's on coinbase and the struggles the platform might face if fees go to zero, is that an example of a cautionary tale? nor coinbase will benefit if the crypto space does as well as you think. >> any activity you do on an ecing change, you pay the fees for it it's always been balanced with respect to when the time is high and them smart people sell and people are still lick wudating or boiing.

i see exchange cans don't have the same all-time high revenues. but will coinbase completely disappear? i don't think so you have your stocks out there people ready to create and short of sell it that's the marmg tifrance is this time they can make decision of buying and providing liquidity and coinbase cannot even have a lending start up >> sort of the j.p. morgue thochb crypto cycle. the lender or buyer of last resort >> it's super fascinating. it's sbf is going to be the jesus of crypto? who knows. but for me, it goes back to the

season of being a u.s. company and going ipo, verses not and expanding into teng other products >> it's too bad, in a way, because there are implications for the u.s.'s position lin of this good to see you again. still ahead, spirit airlines board still supports a merger with frontier. we'll hear from the ce, eo l and is it a bullish sign from home boirs

welgcome back to "the exchange." a quick check on markets shows we're fractionally down for a s&p. crude climbing back to $110 a a barrel 640 after falling earlier. and gas prices flirting with their worst month since 2018 >> and the stock is set for the third straight month of losses and saying it will remain under pressure despite falling 60% this year. now, to contes -- co ontessa >> we have bricking news in the last few minutes

the houses's january 6th hearing has scheduled a surprise hearing for tomorrow, saying it will present what it calls recently obtained evidence. it could involve footage subpoenaed from a documentary film maker working on a project involving former president trump and his family with sex trafficking sentencing, ghislaine maxwell is on suicide watch she's asking for a delay in the case they counter that maxwell claimed staffers are threatening her safety but don't say why u.s. basketball star, brittney griner appeared four months after her arrest for cannabis possession her trial is set to begin july 1st. still ahead, consumer staples have been holding up,

out performing amid the volatility the second best sector three buys and a bail, staple edition next ♪ ♪ imagine a community where millions share ideas and trade stocks, crypto and beyond. to the moon? in other words... etoro.the power of social investing. your record label is taking off. but so is your sound engineer. you need to hire. i need indeed. indeed you do.

indeed instant match instantly delivers quality candidates matching your job description. visit indeed.com/hire

welcome back, everybody. consumer staples remain a bright spot and up 6% in last week's trading. let's dive in and get stock-specific action as we look towards the back half of the year joining us is director of options at simpler trading she has today's three buys and a bail welcome back the first buy is costco. i think it's going to be news to people that you have one buy and a bail costco is up 3.5% in june. why do you want to stick with this one and thing they'll continue to benefit? >> number one, costco got punished when walmart and target fell but when you look at what costco actually did, they've continued to beat earnings, given the ongoing economic situation and i think that people are

going to continue to shop at costco, especially even more than at other stores just because of high inflation. yes, costs are going up everywhere it make as lot more sense to buy in bulk in this current situation than it does to go to specialty retail stores or specialty grocery stores i think costco looks good. i'd like to trade it up to at least $500 i'm definitely holding and adding to my long-term shares. >> why do you feel comfortable if this is a broader endorsement on the sector, why do you feel comfortable endorsing that >> what i want to look at is charts that have held up on earnings and with the technicals when you're looking at the way the chart pattern overall, on a weekly chart basis has held up,

it's relative strength, very popular. one of the top stocks in the top sectors and continues to trade higher on a weekly basis >> you're following the trend. this went up 3% in june. it's trying to snap a five-month losing streak. >> i feel like it doesn't get a lot of attention i feel like when you're looking at stocks in this space, of course we talk about groceries and overall energy prices and commodity prices and how that's impacting things we're buying. but estee lauder doesn't really get those news-related hits because it's makeup and skin care we can still see earnings growth yes, it's down 30% with the rest

of the market. for me, it goes back to the wokely trend and the fact they continue to do well in the current economic environment based on everything that's going on, on an earnings basis >> the final buy is actually the best performing one of all it's hersheyy's. it's up about 5% in june and less than 5% from all-time highs. why do you like hershey here >> you know, kelly, i never like to advocate boiing a stock like this when it's off 5% of the highs. but the stock has been so strong and for me as a trader, i love to look at stocks that are only 5 or 10% off the highs and for any stock in this environment to be that close to highs is amazing what this is demonstrating is

where everything going on, people are not getting rid of their chocolate habits i know it sounds crazy but you can see it this chart and stock actually as a history of trading higher going into earnings. and we're going to have earnings autothe end of the month i have it on a percentage basis. it usually trades higher by 2% prior to earning i think we could see it trade aingnather tithe $9 higher, which would be a great trade >> again, costco, hershey's estee lauder and walgreen's on pace for the six monthly loss this year and what do you see when you look at the price action some

>> so, there's a variety of different reasons i don't like this stock number one, it made all-time highs in 2015. tried again in 2018. but if there's a stock that couldn't maj manage to make a new high, there's no excuse >> that. you have to look at a couple of other things why are people shopping less there? well, when everybody a was rushing to get their covid vaccinations, that's what wal greens told us this is going to cause so much foot traffic and things are going to improve and we just didn't see that happen at all. their products are expensive i would rather go to costco and buy in bulk than pay extra to buy something at a corner store. i think it's a a sell every time it rallies

>> 42 is the price today thank you for joining us good to have you back. still ahead, pending home sales climbing while inventory starts to build well dig into the data next.

- common percy! - yeah let's go! on a trip. book with priceline.

you save more, so you can “woooo” more. - wooo. - wooo. wooooo!!!!! woohooooo!!!! w-o-o-o-o-o... yeah, feel the savings. priceline. every trip is a big deal. welcome back to "the exchange." pending home sales climbed in may from april although they're down 14% from a year ago diana joins us with details. >> two things. a temporary pull back in mor mortgage rates they rose .7% compared with april. that beat expectations and broke a six-month streak of decline. now, this indexfrom the real realtors measured on the home

and they fell back slightly from a high of over 5.5% to 5.25. they shot right back up in june. more supply came on the market in may and the slow down the months before, caused total active inventory to rise for the first time in years and saying the housing market is clearly undergoing a transition. now, regionally, sales were strong in the northeast. and took the biggest dive in the west, where home prices are the highest. june may be a different story as they're reporting they're seeing a real pullback in demand. >> so, this genual withinly could be a one-month quirk >> i think a drop back in rates, people rushing to get in because they were afraid rates would go higher, which they did and that very small increase

doesn't give me a lot of confidence we're going to see much more ahead, especially what we're hearing on the ground. >> very true thank you for now. up next, from housing to traveling, more flight delays and cancellations this past weekend. with the highest number of travellers crossing tsa check point since 2020 inn the industry get a handle of thgs and this as airline stocks continue to out perform this month. we're back in a moment in an, 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.

welcome back sunday marked the sixth straight day airlines cancelled at least 500 flights. and an effort to avoid further delays and cancellations here with the very latest. phil >> this is the airline industry trying to do whatever is possible to avoid major disruptions to the flight schedule so, what you're sooing with the airlines is continued problems in terms of cancellation and delays you mentioned sunday was the fifth straight day with 500 flights cancelled. today 749 according to flight

aware. newark cancelled 17% of the flights today. we talked about the issues at newark that's why united said it will cut 12% of the daily flights out of newark, which is its hub, starting july 1st. not a lot of reaction since they made that decision in terms of all airlines, they have been scaling back their july flight plan starting at the beginning of this year if you compare the flight scheduled from january to now, omg. all of them bringing down their scheduled considerably and wunt to take a look at two stocks substantially in the red. spirit as well as frontier or its parent company they have reached an agreement with spirit in a merger deal in which they rejected jet blue

here's the ceo talking with us this morning about why he believes spirit and frontier still makes the most sense >> this is a clear choice. our merger actually lowers fairs with consumers, whereas the jetblue important i think lowering fares for consumers is much more important. >> jetblue says spirit is making the wrong choice they said that on friday when spirit came out with this decision to once again announce that it plans to merge with frontier, and today the company is out urging investors of spirit to reject this bid when they vote on thursday. interesting to see whether or not we hear something more formal from jetblue over the next day or two, kelly they could come back with yet another bid because we don't have a final vote on this until the spirit shareholder takes place. >> i want to go back to that extraordinary graphic you showed american airlines is flying 24% fewer flights than it did in

january? >> no, no, no, no. incorrect. >> than they had planned so every airline sets their schedule months in advance, and in january all of the airlines thought, look, we'll be over covid and we'll have a lot more flights. what they were hoping is that they would have the staffing as well as the air traffic controllers would have the staffing and the airports would have the staffing in order to make that happen, but they don't have that staffing for a variety of reasons that we've talked about. so they've scaled back their plans and they've done this consistently since january to the point now that on average, it's about 17% of the july flight schedule. it's gone. it's just -- if you had a flight originally booked they'll put you in a different flight or they're doing that right now phil, thank you very much for bringing that us to. our phil lebeau. our next guest says since sweetening its spirit, frontier has a chance of winning jetblue and it is still hard to call

joining me with that and other bright spots savi is from raymond james. i can't help myself. let me start with what we were just talking about with phil so american is flying 24% fewer flights than it had hoped for the month of july. is that unprecedented? has that ever happened before? are they ever going to be able to get this back up to normal capacity >> we have seen in the past where airlines load a schedule and then bring it down and you get a better picture of demand and let's not forget in january it was half of where it is today. so there are other factors that have changed, but the fact is clear that demand is really strong and airlines aren't going putting out the supply that will meet their demand and they're flying much lore than demand and they want to make sure they can handle disruption. >> is there a number that they

can pay to have pilots and flight staff for not just american and for all of them to fliesa many routes as they'd like >> it's more of a timing issue especially on the pilot front because the training sizes have been much smaller in the past. you haven't had to train as many pilots to get into the cockpit and these days, the sizes -- airlines are hiring three to four times more than they've hired in a typical month in the past, and so it's really more timing and crash and print than what they're paying pilots in attracting united, delta, american, they're not having any problem attracting a pilot and it's a matter of getting them through the training system and on to the planes. >> right >> in some cases as you pointed out it's just an airport issue with airspace capacity >> it's not like they want to hurry up and train the pilots

and get them in the skies. i understand they have to proceed cautiously american is also up 24% year to date and i don't think it's one of your big picks here you like delta and southwest those are strong buys and you like alaska and united and what do you want frontier to do here in the shareholder vote? >> frontier has done -- with frontier it looks like they've upped the bid and last week when jetblue came out with their revised offer we didn't see a pathway for the frontier margin to get approval unless frontier approved the offer and you've had that on friday and with iss changing their recommendation, they have a higher probability of getting it approved from a merger standpoint the front is spirit merger it makes sense they have similar models and commonalities and from a shareholder perspective, it doesn't need jetblue spirit execution risk, it doesn't matter because it's an all-cash

deal do you want the all-cash deal or do you want to take the chance that the macro and the execution works out well that you have a higher price in the end of it than two or three years down the road so much to grapple with and both of those company shares under significant pressure savi, we'll leave it there thanks for your thoughts joining us from raymond james today. >> the box office battle, the weekend saw big movies bringing in some big bucks. we have the eye-popping numbers and yet stocks are shrugging it off and why amc is up. we'll dig into that next indeed you do. indeed instant match instantly delivers quality candidates matching your job description. visit indeed.com/hire

♪ ♪ maconnecting to opportunityon. is just part of the hustle. ♪ ♪ opportunity is using data to create a competitive advantage.

♪ ♪ it's raising capital that helps companies change the world. it's making complicated financial concepts seem simple. opportunity is making the dream of home ownership a reality... ♪ ♪ ...writing new rules and redefining the game... ...and driving the world forward to a greener energy future. (applause) ♪ ♪ opportunity is setting a goal... ...and charting a course to get there. sometimes the only thing standing between you and opportunity... ...is someone who can make the connection. at ice, we connect people to opportunity. everything you've seen me do was made possible by what you don't see. ♪♪ we all have the strength to see what's possible. it's up to us to unlock it.

tonal. be your strongest. welcome back, everybody. one more thing that should be on your radar before we go, it was a big weekend for hollywood. two movies sitting at the number spot one of them just passed the billion dollar mark since its release. let's get out to julia boorstin with the figures for us. julia?

>> well, kelly, there were more signs this weekend than there are reasons to be optimistic about movie going in the box office as they yielded sizeable returns for five different films including "elvis" from warner brother which debuted with $30 million and a sign that older aud audiences, that's the demographic many feared would stay home came out to theaters "top gun maverick" which continues to draw audiences five weekends after its debut now topping $1 billion in global ticket sales meanwhile, universal's "jurassic dominion" just topping $700 million at the global box office theater stocks are benefiting from the weekend, receipts, amc entertainment shares up 12% and cinemarkup 12% and they've

thrived during economic downturns and there are indications that once again, despite inflationary pressures and recession fears, consumers think that the trip to the movies is worth it at least when it comes to the big budget and those franchise films. kelly? >> all right it has a pulse, the theater business thank you very much, julia boorstin not only is the box office back, but the chief strategist tells us why on "power lunch" which begins right now ♪ ♪ welcome to "power lunch. i'm contessa brewer in today for tyler matheson here's what's ahead. wall street layoff a two-year hiring boom is coming to an end. the deals are slowing and the ipos are drying up and according to a new cnbc.com report the math is ominous. plus the nuplunge in nat gas, prices low since late 2018 the ceo of the largest nat gas produce or where they go next and what the