the drones that are supposed to shoot video of your house and make you feel more secure. >> you can buy one now >> well, we'll see steve, thank you >> thanks, jon and that's going to do it for "the exchange" with the dow still barely in positive territory. major indices off the lows "power lunch" starts right now ♪ ♪ ♪ ♪ thank you very much, jon welcome to "power lunch," everybody, i'm last with the last thought there that people are no longer just staying home and vacuuming, they're actually getting out this summer. welcome to "power lunch. i'm tyler matheson we have a big jobs number, 528,000 jobs added to the economy in july. that was more than double what had been effort mated. the unemployment rate falling now to 3.5% lower even than pre-pandemic and average hourly earnings jumping 1.2% from last

year, at least for today recession fears, it seems, taking a backseat to inflation worries yet again and more rate hikes possibly coming from the fed. that's why we're seeing stocks mixed after this blockbuster jobs number that for the economy, at least, bob pisani, is good news >> yeah. it's good news for the economy and it's hard for people to understand that the stock market is a discounting mechanism so it looks six months ahead the reason we're down today is there are concerns that while we're not in any recession now and doesn't appear to be so, maybe down the road the fed will be forced to be more aggressive than investors want and this is the way the stock market thinks and it's a forward-looking mechanism. so if you look at it, the selling pressure is very modest today. the volume is not very heavy and the worst print was right at the open and we were about to break 4100 on the s&p 500 and that didn't happen. we rallied and essentially held on fairly well here and the dow

is weak here, but some of the selling has been in the nasdaq, but even here, i would say very modest declines overall. one of the reasons the s&p has held up is because value is doing very well and oil stocks have generally held and oil has been all over the place today. 87 to 91 and right now slightly on the upside and you see some of the big material names like freeport mcmorran rallying back and some of the well known oil companies like apa, devin, occidental and chevron doing well and that's one reason the overall market is up and another reason, ten-year yields were popping and we were up 18 basis points in the ten-year and when you get something like that, usually you'll see bank stocks rallying and that's the second leg that's holding the market up j.p. morgan and some of the super regional bank like fifth-third, science and wells fargo all moving to the upside as for the key rally since mid-june, tech stocks, mega-cap tech, they're down and not down much and there's no aggressive

selling and i look at the volumes, apple, lam research, nvidia is up 20% in a month and when i look at the volume, yes, we're down and there's no one looking to get out in droves and very modest selling pressure and consumer discretionary will be on it and we had ylan talking about it and delaying the cyber truck that everyone is so interested in and individual stock storage there. overall, i would have to say inflation was much stronger. wage inflation was much stronger than the bulls anticipated that is not good news for the bull case and yet still hopes out there that we can avoid some kind of serious recession down the road the goldilocks scenario is still alive, but it's under a lot of pressure today >> among the interesting things you said there, bob, one that caught my ear is this. here you get a good jobs number. interest rates go up, thefear then is with a good jobs number

and high inflation, high wage growth the fed will continue to raise interest rates and therefore and thereby induce a recession and therefore stocks are as mixed as they are did i hear you right >> right this is the problem with explaining this to people about how the stock market works wait, this is good news, right, bob? because we're not in recession the economy is good. the consumer is good, but why is the stock market down? it is good news, but the stock market looks down the road and it's concerned about the fact that the federal reserve officials who have been out screaming this week will keep raising rates are right. they are going to keep raising rates and down the road they'll create a recession and that makes people crazy. >> we'll call it an inflation. thank you very much, bob bob pisani yields jumping after falling to four-month lows and rick santelli in chicago for us

rick, did the bond market guess wrong on this jobs report and once again, as we end up the week i always love to ask you, what it we learn this week you know, i don't think the bond market responded in a fashion that could be considered wrong let's look at the two year at 3223, and if you look at tens, we're at 17 basis points on the week at 282 and think about that tens are up half as much as twos so on weak numbers we flatten or invert more and on strong numbers we invert more what is that telling us? what it's telling me is the market is still right and it's putting pressure on the short maturities because of the implications of the fed and the long end still sees the same thing and as a matter of fact, on the week to date chart, 285 was the high wednesday we only took it out by a smidge.

look at the dollar index because the fed's getting more aggressive potentially, the dollar index popped nicely and there's the center of attraction and the january fed funds futures of 23. they're currently down 18 basis points on the day when they go down they put more fed in and that really is at the crux of the matter, and it's all the same everywhere. bond yields moved 11 basis points higher. italian yields moved a dozen basis points higher, and if europe is watching us that closely, we better watch them as we heard bailey say when he raised rates on thursday it is already in a recession back to you, tyler >> rick, on that note, have a great weekend, sir the latest read in america adding to the volatility on wall street and it's figuring out

what a ng stronger than expected labor tightening, and how should you invest in these tricky times. let's bring in megan shue. welcome back, megan. good to see you. >> thanks, tyler good to see you, too >> i see in my notes you're in commentary and you are a little bit above your normal cash position, but you have switched a little bit from value to growth, and you have added to technology on the face of it those things seem a little counter intuitive or a positive to one another. >> the asset class level we have definitely taken down risk pretty steadily throughout the year our last and most recent down, and we're neutral to equities and that speaks to the uncertainty that we see going forward opinion you know, the key inflationary problem that

we've had all along has been pressure from both the supply side and the demand side and the good news is when we look at oil prices, commodity prices and supply chains and goods, purchases coming down, and signs that the supply side is improving, but today's labor market report, the strong wage data it really still gives concern that the demand side will remain too strong, that the fed will have to keep its foot on the brake continue hiking and really undo a lot of the optimism that's market has baked in and that the fed rate hike cycle had ended earlier than we thought before so while we're neutral to equities on the level where we were, they didn't move a lot we still see rick and that's why we're underweight in holding our defense of allocation in cash.

the rotation into growth is a function of three pillars that we look across when we are making factor decisions, valuation momentum and the economic environment and when it comes to the growth versus value tradeoff, valuation is much more attractive by our signals for growth stocks. momentum has certainly improved over the last month or so and then when it comes to the economy, i would say best case scenario we are moving towards a below-trend growth or even potentially recessionary scenario and in that case looking for companies that are providing their own growths is better than the cyclicals. >> educate me because folks who are in your business often will use the phrases you just did we are neutral on equities what does that mean in practice in a practical sense >> yeah. well, the most important thing for an investor and a diversified investor long term in nature is really coming up with that strategic asset

allocation which is based off of your risk tolerance. whenever we talk about neutral we're talking about the long-term strategic asset allocation and an overweight or underweight neutral stance speaks to our view of the asset class over a shorter time horizon, we use nine to 12 marks and seeing a lot of uncertainty ask having to wait and chase this rally and success respectful from the market and down from a technical perspective, up 11% in a matter of weeks and you don't want to totally ignore what the market's telling you. >> in other words, if my comfort point and my normal baseline portfolio is 60% equities and 40% fixed income, let's say a lot of i bonds in there right now. neutral to equities would mean

you would be right on your normal 60%, right? >> that's right, yeah. and that strategic asset allocation is still the most important thing for long term investors to get right and it really speaks to their risk tolerance, how much tolerance they have for drawdown at any point in time and we try to add alpha where we can by looking shorter term and try to anticipate where the market is going. >> meghan, always good to see you. thanks for being with us. >> thanks for having me. >> you bet meghan shue, wilmington trust. let's bring in mark morial former mayor of new orleans and ceo of the national urban league hi, tyler, how are you >> very good to see you. i'm going to walk out here and i know you can dive down into these numbers with me. we talked about the headline number and it is much bigger than people expected, but there are a couple of things that i know of particular sensitivity to you and one would be declining labor force

participation among black workers. why is that? >> first of all, ty, i love the cleveland browns ty there. i don't know if you've changed your loyalties, but it is sharp. >> thank you >> here's the point, black workers like any other worker can become discouraged they're in the workforce they're seeking jobs and then they drop out and may go a month or two without putting in an application for work the unemployment numbers measure only those who have sought employment in the last month versus those who have been hired in the last month. it's important to understand the statistics here and it's also crucial to use the 6 number with those who work part-time who would like to work full time and not withstanding the bouncing around in the labor force participation rate and i would add that sometimes this report

doesn't capture the number of people who have decided to join the gig economy, the uber, the doordash and those sorts of things, the lyft and there are a lot of gig opportunities that may not fully be captured when you look at this jobs report the inequality remains the two to one ratio between black and white unemployment and this is an outstanding report because it not only beat analyst expectations because here's the punctuation point and that is that employment has just about come back to pre-pandemic levels and what does that mean from a historical perspective it means that this has been one of the fastest post-recession recoveries in modern american history. we had double digit unemployment two years ago. we were bleeding jobs and now it appears as though the economy has almost fully come back to equilibrium. >> i think you're right and the

$22 million jobs to regain -- i want to come back to the comment of workers are discouraged or potential workers be discouraged in the face of such a robust job market and rising incomes? i would think they would be discouraged in a shrinking labor market where incomes were falling and layoffs were high come that's not happening. >> well, i think it's also important to note that the decline in the labor force participation rate, while it is not necessarily significant and we may see this number bounce around over the next several months asoptimism is restored to the economy and the prospect of job creation becomes stronger and sometimes you have skills mismatches sometimes you have geographic mismatches sometimes it's on markets and the only jobs that require

higher skills and in some places there might be an abundance of lower wage, lower-skilled jobs and it's tough to look at national figures and really drill down, for example, as far as what's happening in toledo or baltimore or worston we can't fumy tell so i think the important thing for people to understand is one of the things that this also takes into effect is those that have become a little bit older, have now retired or who no longer have an interest in full-time employment younger workers or young mothers who may be grappling with the challenges of child care the discouraged worker is always a factor, and i think it would be great for cnbc to get out on the road sometimes maybe we need to go talk to some of these workers and find out, you took 60 days and you look for a job then and that third month you said i'm not going to

look this month because i couldn't find anything i liked or wanted. that behavior is very rational >> enough of the jobs talk you and i are roughly of the same generation, and i would love to hear your reflections on the basketball player i grew up with and idolized bill russell who passed away last weekend. >> oh, yes >> he was one of the great pioneers and one of the greatest players of all time. he played in a tough city for a black man to play in in the '50s and '60s. >> here's the thing about bill russell that i want people to really focus on. as the greatest basketball player of that generation he was not the highest scorer >> no. >> bill russell was not the highest scorer he was a great rebounder, a great defender and a great team player, and this is a lesson to anyone who studies leadership. bill russell who ultimately

became a player koefrp of the boston celtics also had a great partner in auerbach and refusing to play in lexington, kentucky, in 1961 when the players were refused service and standing at a time when it was a controversial move for the greatest basketball player, a boston celtic and a champion, if you will, an all-star, a great risk he was willing to take, but he ailso, you have to remember, bill russell is measured in his commentary and not prone to hot or high rhetoric, but very principled in what he stood for, and i am just -- for our generation, ty he was the greatest and no team bfrp or since had managed him

him and challenged him in 12 years. >> yo know will ever rin chchl onships in any of the great purpose sprt. >> a great black man, great leader. >> first black coach in the nba. >> always good to see you. cnbc diving deeper into the jobs report and what it means for the economy. we have a special report tonight at 6:00 p.m. eastern "inside jobs." get it "inside jobs" hosted by eamon javers be sure to watch and stick around for "the news" with shepard smith which will have a very special guest host. we'll criss-cross the country to get a read of the real estate in the united states. there we are we went to raleigh okay cleveland, boise, today, los angeles, folks

what does the housing market look like in l.a.? we'll talk to a local realtor there. tesla, shares falling 5% even after a mostly positive shareholder meeting. elon musk reassured investors that the company would be fine without him some day. >> we do have a very talented team here, so i think -- i think tesla would continue to do very well even if i was kidnapped by aliens or went back to my home planet maybe. ♪ ♪ anywhere, no download necessary. and kim. she wanted to execute a pre-set trade strategy in seconds. so we gave 'em thinkorswim® web. because platforms this innovative aren't just made for traders -they're made by them. thinkorswim® by td ameritrade

>> all right let's take a quick look at the markets right now. the dow industrials are flat, up ten points and the s&p, ditto, a third of a percent and the nasdaq down 94 points at 6.25 that's three-quarters of a percent lower. a rare flattish day for stocks as we round out the first week of august. ♪ ♪ another busy day? 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 converged network.

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without ever wondering if you're getting the most out of your trip. because you are. all right. what a trip and what a long, strange trip it's been welcome back to "power lunch." we are arriving in the final stop with the powerhouse road trip and we are arriving in six cities for a look at how the market is changing the median price is over 900,000, top five of the country and the market still seems pretty hot inventory down 12% year over year and homes sold are going

above listing price up 15% year over year for more let at let's bring in emily vitaco and we're a little tight on time, stephanie. my notes say you say that you think the market out there sort of peaked in march-ish does that mean that sellers are still trying to get those march numbers or are they being a little more flexible >> so i think they're starting to be a little more flexible i'm in the san fernando valley which is a suburb of los angeles, and in 2021 the prices were just insane i think we experienced over 20% appreciation we definitely have seen since march deceleration and stabilization. so if someone is looking or hoping to get what that one neighbor got at the very peak which now appears to be march, that's not going to happen any longer, but if they're realistic for the price of their location, the condition, the square footage, they will still sell.

there are still plenty of buyers out there. >> you know, i have always felt that it is the buyers who set the price in the market, not the sellers because the sellers can say whatever they want the house to be, but if you don't have the buyer willing to pay it, you're not going to get it, right wrong? >> we got really spoiled there the past two years have been an artificial market. as long as i've been doing this i've never seen anything like it we were used to getting 10, 20, 30 offers on a property and now we're back to the condition matters a whole lot more the floor plan matters a whole lot more and buyerser being picky and they can be picky and they want to make sure they're getting a fair value they got used to just getting in a crazy bidding war and now if we get an offer we treat it like gold and if we get multiple offers which now means two offers and not 15 offers >> very interesting.

the number of offers have come down sellers are having to be more realistic on pricing and i guess implicit in that is is that houses may be staying on the market longer. stephanie, we'll have to leave it there alas, i can speak on real estate >> thank you >> bertha coombs >> president biden took the opportunity to tout july's strong employment report, andly also spoke about the importance of passing the budget reconciliation budget left for a vote tomorrow on the senate. >> i know people will hear today's extraordinary jobs report and say they don't see it they don't feel it in there own lives. in short, this bill is a game changer for working families in our economy. i look forward to the senate taking on this legislation and passing it as soon as possible. the department of defense

denying muriel bowser's defense for bussing migrants to texas. texas governor greg abbot has been highly critical of the biden administration's border policies and began bussing migrants to d.c. in april. >> in iceland a spectacular volcanic eruption just 15 miles from the country's capital city is drawing a lot of spectators look at that they're coming to the site despite a call from officials to avoid the area due to the poisonous gasses i have to say, tyler, that makes me think i really have to trip a book to iceland. >> i think i have two friends who are there now. they were coming back from ireland and they were going to stop in iceland. when a time to be there. i want to go there everyone says it's a spectacular place to visit >> bertha, have a great weekend. >> ahead on "power lunch," tesla

holding the annual shareholder meeting and we'll discuss the biggest takeaways from that. plus speaking of shareholders, nearly 400 companies have been targeted by shareholder activists so far this year and what do we see in this ramp up we'll discuss all of that and more when "power lunch" comes right back to you. osteo bi-flex every dayed g because it has joint shield... ...clinically shown to improve joint comfort within 7 days. osteo bi-flex - find our coupons in sunday's paper. this thing, it's making me get an ice bath again. what do you mean? these straps are mind-blowing! they collect hundreds of data points like hrv and rem sleep, so you know all you need for recovery. and you are? i'm an investor...in invesco qqq, a fund that gives me access to... nasdaq 100 innovations like... wearable training optimization tech. uh, how long are you... i'm done. i'm okay.

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we've got about 90 minutes left in this first trading week of august. i want to get you caught up on the markets, stocks, bonds and commodities and tesla fall after the first shareholder meeting and we'll hear what the colorful elon musk had to say. the dow was down 237 points at the low and the s&p and nasdaq staying firmly in negative territory. you see, basically minor changes and the others down a little bit more in percentage terms shares of lyft popping on a big earnings beat with ridership at its highest levels since before the pandemic so there is a cherry on top. the 10-year yield jumping as high as 2.7% today the low on tuesday was 2.52 and two months ago it hit a high of

3.48 big swings in the bond market reacting to the jobs report and the possibility that the fed will continue to keep its foot on the monetary brakes, so to speak. speaking of wild moves, oil closing for the day and bouncing back a little after a down week. let's talk to pippa stephens at the commodity desk hi, pippa. >> tyler, just barely in the green and not enough to push back above 90 and not enough to erase the heavy losses from earlier in the week and a potential slowdown in demand remains front and center wti is up half of 1% and it is down 10% on the week and brent crude falling almost 14% for the week right now at 94.83. next week we'll get monthly reports from the international energy agency, and the eia and opec the market will be closely watching these, since there's a growing divergence between demand forecast for the back half of the year this will provide a look at how

energy agencies are modeling the forward-looking supply/demand balance and turning to energy stocks which are catching a bid today and it's the tech sector led higher by eog resources and the company doubled quarter over quarter to $7.4 billion and one final stock to mention is sunrun after barclays initiated coverage with an overweight rating tyler? >> thank you very much, pip pa stephens elon musk as always with his remarks at the meeting tim is a cnbc contributor. tim, he never disappoints and he even joked on twitter apparently that he had more children born in the second quarter than lucent had cars made one must question mr. musk's lucidity there, but whatever, the company seems to be doing well the stock is coming back and what are the challenges ahead for tesla?

>> the challenges are -- i think the challenges for the auto you understand stree in general and that's where the economy is going and listening to elon yesterday he seems pretty bullish. yes, he sees a mild recession lasting 18 months and he thinks the market has reached peak inflation and if he can understand where his costs are going to be and he understands where his sales are going to be, he thinks he's got six months to a year of orders in the books and he can kind of look out to the future and see where the xhvm company is going to be which explains why he's talking about the continued growth on an annual basis by 2030 and pippa hintinging that by year's end he'll announce where the gigafactory will be, maybe canada and the eastern u.s >> he's got to expand his production capacity to get anywhere close to 20 million vehicles he's missed targets before, but forgive him. he's done plenty well. >> absolutely.

i mean, the factory in california outside of san francisco is really, you know, brim full of production at this point. it's hard to imagine getting more there they have the factories in germany and texas that they really start to ramp up and he's been burning cash earlier this year one of those things we saw tesla early on one of the first companies to say they were concern with the the macro economics and cutting the workforce and doubling down on trying to ensure they were going to have supply of those important battery cells that those electric cars need. >> ride. let's talk about the stock split. we understand from basic math that it means nothing in the short run in terms of the company's valuation. the company is worth what the company is worth no matter how many stock shares are out there, but in the long run does it mean

for investors to get into that stock and tesla has benefited from the fever and the excitement among small-time investors over the last few years buying into the vision that elon musk is selling about the future of car and the future of solar panels and all these things and also the stock split, you tend to see a run-up in the stock. so, you know, investors are expecting, you know, some movement there, and also there's market rumors about the idea that maybe the junk bond status will be shed and they'll get investment grade andthat would help them in the investment community, as well so it's one of those kind of another pivot point for the stock and so the company to get moved from being the teenager out there trying to prove themselves into becoming more of an adult company >> tim, always great to see you. always clearly put we appreciate it tim higgins. >> thank you up next, many claim russia is the leader in the global energy market with putin sitting

atop, but could the premise be incorrect? they'll join us to do some myth busting. 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.

>> when russia invaded ukraine the u.s. and the world vowed to hit back at russia through financial means to cripple its economy. now russia would like you to believe its economy is doing just fine, but a new study from yale contradicts those claims. our next guest along with a team of his fellow yale experts debunked some of the myths about the effects of sanctions on that russian economy. let's bring in yale school of management's jeffrey sonnenfeld. good to see you. >> good to see you >> you have nine myths and it boils down to this russia is in trouble, on the verge, potentially, of imploding. you have nine myths. i want to bear down on three of them let's start with this one. russia is making up for lost western business in imports by replace them with imports from asia why is that a myth and untrue? >> putin's trying to pretend that they can pivot east for

energy sales which, thof course, is not true, and trying to pretend that the companies that left, the 1,200 multinational companies that left aren't hurting them because they can substitute the imports from china. not only have their imports into russia as we've seen plummeted by more than 50%, but in fact, taking a look at china's own data they have the customs data as public and it's pretty reliable and what they're sending into russia from china has also plummeted more than 50%. they like to create this myth of bellicose several-reliance and the long-russian tradition saying they invented electricity and the airplanes and automobiles and sliced bread, but the fact is they're not self-reliant and they are pulling about 25% of their gdp is from imports. >> and when you look at their two major exports which is oil and gas, it's not as easy as

just flipping a switch and say we will send that unbought or unpurchased gas and oil and switch it to india and china, and oh, by the way, sell it at 35% discount there isn't the infrastructure to get the product two those places myth number two, russian domestic consumption and consumer health remains strong why a myth >> that's also a myth. is that we're seeing what are people buying? there are malls everywhere, we have photographs and people on the ground in russia and elsewhere -- in moscow and elsewhere, that the stores are shuttered, malls are closed and largely the western businesses that left which is 12%, if you believe russia's numbers, merely 12% of the workforce, which is probably a million people right there and the number is three times that we are looking at 30% of the people out of work and the mayor of moscow, i don't know how he's

doing, but back in april he had hundreds of thousands of people out on the streets and there's massive unemployment and you look at critical areas such as parts that they need for apple supplies or industrial equipment. >> they can't get them >> they can't get those. >> let's look at the final myth and then we'll wrap it up. putin says he's running a budget surplus thanks to energy prices. true or false? >> no. he's running a deficit and nobody's going to fund that deficit because it's uninvestable to put money into russia and we found that more dramatically they pulled out the better wall street celebrated them and doing well and doing good were consistent with each other. >> does russia need to sell its gas to germany even more than germany needs to buy it? >> good for you. that's something that a lot of journalists missed for a while because putin was trying to

create the opposite smoke screen the idea that he's a great, global energy czar is running out of gas and that myth is crazy and russia needs to sell 85%, 86% into gas from europe and europe only needed at most 43% of gas and now the u.s. supplies more gas to europe than russia did at its peak and norway substituting and as they now develop the process to transfer liquid gas back to gasified energy and they'll take from algeria and other places in the world and this will be done by the end of this calendar year russia is very dependent and they're like a state in a mercantile system. >> finally and quickly, putin loves to brag about the strength of the ruble true or just a bunch of f

fertilizer >> fertilizer is one of the key products it's not an open traded currency you can't sell your rupels for dollars and no, it's a set price. it's closed and there's no -- there is actually no volume of trading in rupeles. >> jeff, zwe have to leave it there. always good to see you, sir. >> thank you >> thank you still to come, three stock lunch running through the biggest movers of the day. we will be right back. do you have a life insurance policy you no longer need? now you can sell your policy - even

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time for today's three-stock lunch. we'll look at three of theday' biggest movers draftkings up almost 13% as the company boosts its full-year revenue outlook as we head into, yes, football season warner brothers discovery down 17% after reporting a big loss also announced plans to merge its streaming service with hbo max. that's discovery plus and hbo plus basically and beyond meat up nearly 23% despite slashing its revenue outlook and announcing layoffs we've got three glasses. let's bring in lee munson, cio at portfolio wealth advisers

let's kick things off with draftkings i thought it was draftkings and fanduel and i thought that was about it in this space and it's not that way at all. >> there's a lot of competition, i don't think that's what the core issue is. we understand that draftkings, there's good news. if i was trading this i'd probably take some money off the table and all of this is on the hope we'll have a better football season and all this kind of nonsense tyler, the core issue isn't just competition or the cost of getting people to come onto the platform, but you're dealing with a casino wagering structure that doesn't have food and entertainment to sell to make some actual profits. i don't see profits. i don't believe that the total addressable market by 2030 is really going to quadruple from where it is now. and just listen to the ceo from draftkings about a month ago i was listening to a radio interview where he was lamenting how new york state, that the state

regulators are preventing them from making profits. so remember, it's the one part of the casino that's highly regulated. states want to take all the profits. i think i'm just going to pass on this. i'd rather roll the dice on a craps table. let's move on to warner brothers discovery, which of course had a rough, rough week they did a lot of merger-related costs, some staffing cuts, administrative shuffles. what do you think? >> you know, i love this stock back when it was viacom after the hong kong whale. remember how it got crushed because that guy was overleveraged and committing fraud? i was buying it in the high 30s -- >> this is warner brothers, not viacom. >> so when you're looking at streaming, okay, what we have to remember is you're dealing with a battle between owning hbo max and discovery a la carte and having it be separate from everything else.

i don't think i want to own hbo max just alone i want to have discovery they're talking about making a profit next year they're talking about -- in 2024, maybe making a billion dollars. i don't know if that's going to happen i can tell you if a company just wants to work on making money and they just want to work on raising the price, that's a better deal than viacom. i think it's a better deal than netflix and i think it's a better deal than the other streamings out there that's why i might wanti to take a chance on it but we're going to have four more messy quarters and this is the one for value players that want to make some cash >> all right let's move on to beyond meat that's the final one for today. >> i have to tell you, i'm a vegan, one of those weirdos that just eats plants what beyond meat's issue is, even though i own the stock for full disclosure and i was buying it recently here in the 30s. beyond meat is overextending what they want to do with this

thing about beef jerky i don't think people want to slip into a slim jim are the first audience i would like to meat so the bottom line is they showed last year they can make a 30% gross margin now it's negative. why? because they're spending too much on hiring people like the kardashians to be spokes people and all this stuff if ethan, the ceo, can get back to basics, just like with warner brothers, try to make a profit, raise the money, see who your core fans are, i think beyond meat can be a profitable company. right now it just doesn't have what it takes. i think if you believe in the addressable market, which i do, this still has a chance to make some money i think you nibble at it, buy a little, see where it goes. >> lee, thank you very much. we trained those glasses beautifully. thank you, my friend appreciate it. >> thank you. after the break, the board room boxing ring companies dealing with a surge of activist investors. that story is next

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so you can go see even more of all the world's bubbles. shares of pinterest and paypal both up double digits but still down 65% from their recent highs. they have one more thing in common, activist investor elliott management taking stakes in both companies. leslie picker joins us now with

a look at why shareholder activism seems to be picking up lately this isn't the only place either, is it, leslie? >> it is certainly not, tyler. activism saw a slight uptick in the first half of the year, but still well off the highs of the pre-pandemic era the second half of the year appears to be rife with activity as well. elliott confirming stakes in pinterest and paypal this week alone and bankers and advisers to companies and activists say they are expecting an unprecedented second half. >> i think we are already setting ourselves up at a good year but it's likely to be a record year for activism i predict unless there's a major event on the back end of the year, something macro or something that disrupts the markets, there should be a pretty significant amount of

activity in the back end of the year >> markets are a key driver here, of course, with valuations stabilizing in recent weeks. for many companies at lower levels that's especially true of that growthy tech area. there's also a rule change coming down the pike in september that may favor activists as well as it pertains to something called the universal proxy. in essence, experts believe this could allow activists to get at least one or two board seats or in prior instances they may have risked getting none, tyler. jamie dimon talking economy, recession. what did he say? >> yeah, he spoke with our boston affiliate and shed some light on his thoughts on whether two consecutive quarters of gdp constitute a recession take a listen. >> right now the american economy is strong. a recession, the technical terms of a recession of shrinking gdp, i'm not sure i even believe those numbers because they're so distorted coming out of covid, supply chains. employment is still going up i don't think i've ever seen a

recession where employment was getting stronger, not weaker wages are going up so people have more money, they're spending more money, they have more money than they had pre-covid. they're spending 10% more than last year, 35% more than pre-covid. that doesn't sound like a recession to me, currently. >> mr. dimon gets the last word there. thanks for watching "power lunch. "closing bell" right now. a wild session here to ending the trading week as investors try to make sense of that scorching hot jobs number the most important hour of trading starts now welcome to "closing bell." take a look at where we stand in the market at one point we were down 1.1% on the s&p we're down half a percent. the dow on the verge of going positive we were positive, up 55 is the high of the day. down 237 is the low of the day the tech stocks are getting hit the hardest on these rising rates. what's holding up the market today, energy stocks o